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10/22/2012 Council Packet
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10/22/2012 Council Packet
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City Council
Council Document Type
Council Packet
Meeting Date
10/22/2012
Council Meeting Type
Regular
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• <br />• <br />• <br />make sense when establishing a cartway over an existing road. Unlike in the typical situation, <br />this land is already expressly dedicated for, and is used as, a roadway. In fact, that is the reason <br />Outlot A was created in the first place. The land is therefore not being connected in the same <br />manner as in a typical road project. The use is not changing at all; it was a road before and still <br />will be if a cartway is established. <br />What is being created, in essence, is a license to access a portion of a private road without <br />any of the restrictions that can accompany a license. This is arguably a lesser impact to the <br />existing rights of the HOA and, consequently, it gives rise to lesser damages than the typical <br />creation of a new right -of -way easement. Thus, even if one only looks at the 16,121 square feet <br />sought by Petitioner, the full sale value of $.50 per square foot (or whatever it ought to be) may <br />be overstated. It is not as if the HOA will lose its use of the road. Rather, they will simply have <br />to share it with another person and his guests. There is a value to that loss of privacy, but it may <br />be less than the full sale value of $.50 per square foot. <br />Improvements <br />The HOA appraiser valued the roadway and bridge at $519,080. The Petitioner only <br />seeks access across the bridge to his property. Adding the bridge value ($273,700) to 12.28% of <br />the roadway, lighting and signage value ($30,133) equals $303,833. This is the estimated total <br />value. As discussed above, these improvements are not being taken in total for this cartway. <br />Rather, the usage of the existing road will simply broaden from the five HOA members to those <br />five plus Petitioner and his guests. It is illogical to assign as damages the total current value of <br />the improvements when the HOA will continue to utilize the improvements in essentially the <br />same manner as before, with the only difference arising out of Petitioner's occasional use. <br />Petitioner is not "taking" the improvements and converting them to his exclusive use. He is <br />simply gaining a legal right to use the existing improvements. That usage is not likely to have a <br />significant impact on the depreciated value of the bridge and road. <br />Severance Damages <br />The HOA appraiser estimated 5 -10% severance damages to the adjoining properties, <br />whichuhe HOA calculates as at least $163,255. The problem- with this argument is that these <br />purported damages are attributed to separate parcels that are not directly involved in this action. <br />These damages have nothing to do with Outlot A on which the cartway is located. The single <br />family home lots owned by the HOA members have not been severed in any respect. Severance <br />damages cannot be attributed to parcels that merely adjoin the parcel at issue. Staff sees no merit <br />to the severance damages argument. <br />Damages — Conclusion <br />The creation of a cartway over an existing private road will adversely affect the value of <br />the road. Even though the anticipated usage of the cartway is minimal, it will nevertheless no <br />longer be a truly private road and will be viewed as a loss to the owners. It is very difficult to <br />put a dollar value on that diminution in value. <br />5 <br />
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