12-06-1995 Council Agenda - Laserfiche WebLink

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Elk 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 BETTENDORF ROHRER KNOCHE WALL, INC. -2- The estimate of value, as stated in this report, is predicated upon the definition of market value contained herein. Implicit in the definition of market value is that payment is made in cash or its equivalent. The equivalent of cash is conventional financing at bank/institutional rates. The subject property is appraised based upon cash or cash equivalent financing. A portion of the subject property was improved with a gasoline service station prior to a few years ago. The service station together with underground tanks has since been removed. You appraiser has been advised that pollution problems resulting from the presence of the gasoline service station have been cleaned. No direct evidence is available which would indicate the presence of environmental hazards on -site and none are assumed. However, your appraiser is not qualified to detect such substances. You are hereby urged to retain an expert in the field, if desired. The property rights appraised reflect fee simple title. There are two tenants currently in the property. One tenant, a barber shop, has no formal lease agreement reflecting a month -to- month status. The second tenant is a shoe repair facility who is in the first year of a five year lease. The lease contains a 90 day cancellation clause. Recognizing the foregoing, it was concluded that no leasehold interest exists with the value reflecting fee simple estate. The estimate of value reflects any outstanding real estate tax, special assessments or other such encumbrances, if any, as paid in full. The effective date of this report is November 2, 1995, which constitutes the date of inspection. The property was inspected in the presence in the presence of Misters David and Leroy Guerin, sons of the owner. By virtue of my investigation, I have formed the opinion that the market value of the subject property as of November 2, 1995 is: THREE HUNDRED FIFTY THOUSAND DOLLARS ($350,000) In analyzing the subject property, no consideration was given to the city's redevelopment project or to the moratorium, recognizing the function of the appraisal, to assist in the negotiation of acquisition of the site by the city. The property is appraised "as is" reflecting normal market influences. This report has been prepared in conformity with the Code of Ethics and Standards of Professional Practice of the Appraisal Institute together with the Uniform Standards of Professional Appraisal Practice of the State of Minnesota. Page 49