Laserfiche WebLink
MEMO TO: Clerk-Administrator and City Council <br /> 11/1 <br /> FROM: Director of Public Works/Community Development <br /> DATE: July 9, 1985 <br /> SUBJECT: APPRAISAL REPORT OF THE HERBST PROPERTY <br /> Attached please find a copy of the Ery Herbst appraisal report <br /> conducted by Russell Smith & Associates, Inc. <br /> To summarize the report, the approximately 22 acres that Ery Herbst <br /> owns has been valued by Russell Smith at $10, 000 an acre for a <br /> total fair market value of the underlying land at $220, 000. This <br /> report specifically states that no consideration as to the value of <br /> the building improvements have been given in preparing this <br /> report. This single lot has Perkins Restaurant and the Herbst <br /> Warehouse on it. <br /> City Code Chapter 42. 13 states that a reasonable portion of each <br /> proposed subdivision shall be dedicated to the public for public <br /> use as parks, playgrounds, public open space or storm water holding <br /> areas or ponds, or at the option of the municipality , at its sole <br /> discretion, that the subdivider contribute an equivalent amount in <br /> cash based on a fair market value of the undeveloped land. <br /> • I quote this because the issue becomes, does the fair market value <br /> of the undeveloped land include the cost of the buildings on that <br /> land. The Parks Director has indicated to me that the Parks and <br /> Recreation Commission recommends a cash payment. I have requested <br /> Attorney Meyers opinion on this issued. <br /> RECOMMENDATION: I recommend securing a second appraisal report of <br /> this land because the present appraiser in his section entitled , <br /> The Valuation Process, states that other land in the area has sold <br /> for up to $18, 000 per acre. <br /> The City should consider offering Herbst & Sons $220 , 000 for his <br /> land. <br /> SWT/bac <br /> • <br />