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403_RDUE_Report C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . A P P R A I S A L -C O N S U L T A T I O N -R E A L T O R S C. William Carlson, MAI, SRA J. Lee Norris, MAI, SRA State - certified general State - certified general Real Estate Appraiser RZ667 Real Estate Appraiser RZ643 bcarlson@carlsonnorris.com lnorris@carlsonnorris.com 1919 COURTNEY DRIVE, SUITE 14, FORT MYERS, FLORIDA 33901 239-936-1991 FAX 239-936-7359 CARLSONNORRIS.COM January 6, 2016 Collier County Transportation Right-of-Way Group 2885 S. Horseshoe Dr. Naples, Florida 34104 Harry Henderson, SRA, Review Appraiser Re: Golden Gate Boulevard Widening Project No. 60145 Parcel No. 403 RDUE Location: Golden Gate Boulevard E. Golden Gate Estates, Naples, Florida Our File Number: 15-150-403 Dear Mr. Henderson: At your request and authorization, Carlson, Norris and Associates, Inc. has completed an appraisal presented in an Appraisal Report format of the market value estimate for the total compensation due to the property owner for the proposed road right-of-way, drainage and utility easement acquisition. The parent tract is located along the north side of Golden Gate Blvd. E. approximately 0.2 miles east of Everglades Blvd. N. in Golden Gate Estates, Naples, Florida. It is rectangular and contains a total of 5.15 acres or approximately 224,400 square feet. The parcel is a vacant wooded site with a width of 330 feet and a depth of 680 feet. The proposed road right-of-way, drainage and utility easement acquisition area (Parcel 403 RDUE) is irregular shaped and contains 6,550 square feet rounded. It varies from 15 or 25 feet wide by 330.00 feet. It is located along the north side of the existing roadway easement in the southerly portion of the parent tract. The acquisition area did not appear to contain any improvements. The remainder property contains 5.15 acres including the proposed easement acquisition area. Data, information, and calculations leading to the value conclusion are incorporated in the report following this letter. The report, in its entirety, including all assumptions and limiting conditions, is an integral part of, and inseparable from, this letter. Any special assumptions and limiting considerations were especially noted in Section 7 of this report. Your attention is directed to these General Assumptions and Limiting Conditions which are part of this report. The following appraisal sets forth the most pertinent data gathered, the techniques employed, and the reasoning leading to the opinion of value. The analyses, opinions and conclusions were developed based on, and this report has been prepared in conformance with, our interpretation of the guidelines and recommendations set forth in the Uniform Standards of Professional Appraisal Practice (USPAP) of the Appraisal Foundation, the requirements of the Code of Professional January 6, 2016 Collier County Page 2 Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute, the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), and Title XI Regulations. Carlson, Norris and Associates, Inc. do not authorize the out-of-context quoting from or partial reprinting of this appraisal report. Further, neither all nor any part of this appraisal report shall be disseminated to the general public by the use of media for public communication without the prior written consent of the appraiser signing this report. Based upon the results of the investigation and analyses contained in the following report, subject to the hypothetical condition and extraordinary assumptions noted in the attached appraisal, it is our opinion the total compensation due to the property owner for the proposed easement acquisition under market conditions existing November 18, 2015 is: TWO THOUSAND FOUR DOLLARS ............................................................................ ($2,400.00). Respectfully submitted, CARLSON, NORRIS AND ASSOCIATES, INC. J. Lee Norris, MAI, SRA State-certified general real estate appraiser RZ643 Timothy P. Foster State-certified general real estate appraiser RZ2526 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 1 Parent Tract Aerial Photograph Golden Gate Boulevard E. Golden Gate Estates Naples, Florida C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 2 TABLE OF CONTENTS SUBJECT AERIAL PHOTOGRAPH ................................................................................................ 1 SECTION 1 - SUMMARY OF SALIENT FACTS .................................................................. 4 SECTION 2 – PREMISES OF THE APPRAISAL ................................................................. 5 INTENDED USERS OF APPRAISAL ......................................................................................................... 5 SCOPE OF WORK ................................................................................................................................ 6 SALES HISTORY .................................................................................................................................. 9 VALUATION HISTORY ......................................................................................................................... 10 APPRAISAL ANALYSIS AND REPORT TYPE.......................................................................................... 10 EXPOSURE TIME ................................................................................................................................ 10 MARKETING TIME .............................................................................................................................. 11 EXTRAORDINARY ASSUMPTIONS ...................................................... 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SECTION 3 – DESCRIPTION OF REAL ESTATE APPRAISED .......................................... 14 LOCATION MAP ................................................................................................................................. 14 LOCATION DESCRIPTION.................................................................................................................... 14 MARKET AREA MAP .......................................................................................................................... 26 MARKET AREA DESCRIPTION ............................................................................................................ 26 LEGAL DESCRIPTION ......................................................................................................................... 28 OWNER OF RECORD ......................................................................................................................... 28 ASSESSED VALUE AND TAXES ........................................................................................................... 28 SITE DESCRIPTION............................................................................................................................. 28 FUTURE LAND USE PLAN CLASSIFICATION ........................................................................................ 31 ZONING CLASSIFICATION ................................................................................................................... 31 SUBJECT PROPERTY PHOTOGRAPHS ................................................................................................ 33 SECTION 4 – HIGHEST AND BEST USE ANALYSIS........................................................ 35 HIGHEST AND BEST USE AS THOUGH VACANT ................................................................................... 35 SECTION 5 – VALUATION OF THE SUBJECT ................................................................ 36 VALUE ESTIMATE BY THE COST APPROACH ...................................................................................... 37 VALUE ESTIMATE BY THE INCOME APPROACH .................................................................................. 37 VALUE ESTIMATE BY THE SALES COMPARISON APPROACH .............................................................. 37 LAND SALES LOCATION MAP ............................................................................................................ 40 LAND SALES DATA SHEETS .............................................................................................................. 41 LAND SALES GRID............................................................................................................................. 53 LAND SALES ADJUSTMENT ANALYSIS ............................................................................................... 54 DISCUSSION OF ACTIVE LISTINGS ...................................................................................................... 55 ACQUISITION AREA DESCRIPTION & VALUATION ................................................................................ 57 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 3 REMAINDER PROPERTY DESCRIPTION & VALUATION ......................................................................... 60 COMPENSATION DUE OWNER ............................................................................................................ 61 SECTION 6 – RECONCILIATION OF VALUE ................................................................... 62 SECTION 7 – CERTIFICATION AND LIMITING CONDITIONS ........................................... 63 CERTIFICATION OF J. LEE NORRIS, MAI, SRA ................................................................................... 63 CERTIFICATION OF TIMOTHY P. FOSTER ............................................................................................. 65 GENERAL ASSUMPTIONS & LIMITING CONDITIONS ............................................................................. 67 SECTION 8 – ADDENDA ............................................................................................... 72 ENGAGEMENT LETTER ...................................................................................................................... 73 LICENSES .......................................................................................................................................... 75 QUALIFICATIONS OF J. LEE NORRIS, MAI, SRA ................................................................................. 76 QUALIFICATIONS OF TIMOTHY P. FOSTER .......................................................................................... 78 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 4 Section 1 – Summary of Salient Facts Project Name: Golden Gate Blvd. widening & Everglades Blvd. improvements; Project No. 60145 Parcel Number: 403 RDUE Property Reference: 40682320003 and 40682280004 Property Type: Vacant Residential Property Location: Golden Gate Boulevard E. in Golden Gate Estates Naples, Florida Report Format: Appraisal Report Date of Report: Date of Inspection: January 6, 2016 November 18, 2015 Date of Value: Real Estate Interest Appraised: Purpose of the Appraisal: November 18, 2015 Fee simple for Parent Tract and Easement for proposed acquisition The purpose of this appraisal is to estimate the total compensation due to the property owner for the proposed acquisition of a road right-of-way, drainage and utility easement. Use of the Appraisal: Intended User(s): The intended use of this appraisal is to aid our client by estimating the total compensation due to the property owner for the proposed acquisition. The intended user of the appraisal is Harry Henderson, SRA Review Appraiser with Collier County Transportation Right-of- Way Group. Client: The client for this report is Harry Henderson, SRA Review Appraiser with Collier County Transportation Right-of-Way Group. Location: The subject property is located along the north side of Golden Gate Blvd. E. approximately 0.2 miles east of Everglades Blvd. N. in Golden Gate Estates, Naples, Florida. Parent Tract: Acquisition: Remainder: The parent tract is rectangular and contains a total of 5.15 acres or approximately 224,400 square feet. The parcel is a vacant wooded site with a width of 330.00 feet and a depth of 680 feet. The proposed road right-of-way, drainage and utility easement acquisition area (Parcel 403) is irregular shaped and contains 6,550 square feet rounded. It varies from 15 or 25 feet wide by 330.00 feet. It is located along the north side of the existing roadway easement in the southerly portion of the parent tract. The remainder property contains 5.15 acres including the proposed easement acquisition area. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 5 Legal Description: Included subsequently in the report. Future Land Use: Zoning: Residential Estates Subdistrict (Within the Estates District) Estate District (E) Highest And Best Use As Vacant: Single family residential development Parent Tract Value: Cost Approach: Not Applied Income Capitalization Approach: Not Applied Sales Comparison Approach: $82,000 Acquisition Value: Remainder Property Value: Total Compensation Due: $2,400 $79,600 $2,400 Appraisers completing report: J. Lee Norris, MAI, SRA State-certified general real estate appraiser RZ643 Timothy P. Foster State-certified general real estate appraiser RZ2526 Section 2 – Premise of the Appraisal Purpose of Appraisal: The purpose of this appraisal is to estimate the total compensation due to the property owner for the proposed acquisition of a road right-of-way, drainage and utility easement. Use of the Appraisal: The intended use of the appraisal is for aid our client by estimating the total compensation due to the property owner for the proposed acquisition. Intended User(s): The intended user for this report is Harry Henderson, SRA Review Appraiser with Collier County Transportation Right-of-Way Group. Client: The intended client for this report is Harry Henderson, SRA Review Appraiser with Collier County Transportation Right-of-Way Group. Competency of Appraisers: The appraisers' specific qualifications are included within this report. These qualifications serve as evidence of their competence for the completion of this appraisal assignment in compliance with the competency provision contained within the Uniform C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 6 Standards of Professional Appraisal Practice as promulgated by the Appraisal Standards Board of the Appraisal Foundation. The appraisers' knowledge and experience, combined with their professional qualifications, are commensurate with the complexity of this assignment based on the following: • Professional experience • Educational background and training • Business, professional, academic affiliations and activities The appraisers have previously provided consultation, value estimates, and compensation due to property owners for right of way acquisitions. Scope of Work: The Uniform Standards of Professional Appraisal Practice (USPAP) define the scope of work as: “the type and extent of research and analyses in an assignment”. “The scope of work includes, but is not limited to: the extent to which the property is identified, the extent to which tangible property is inspected, the type and extent of market research and the type and extent of analysis applied to arrive at opinions or conclusions.” The scope of this appraisal has been to collect, confirm, and report data. Other general market data and conditions have been considered. Consideration has been given the property’s zoning and surrounding improvements and neighborhood. The work performed for this assignment included but is not limited to the following: • Extent to which the property was identified o The appraisers relied on sketches, construction plans and right-of-way maps provided by our client and parcel numbers obtained from the Collier County Property Appraiser’s office relating to the subject property. In addition, we obtained a copy of the legal description for the parent parcel from the instrument recording the most recent transfer of the property. • Extent to which the property was inspected o An inspection of the property being appraised as well as the neighborhood in which it is located was done on November 18, 2015. During the inspection, an inventory of the property attributes was collected based on visual observation and photographs taken. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 7 • Type and extent of the data researched o Investigation of public records for the property’s future land use, zoning, flood hazard area classification, property appraiser records, and tax collector records for attributes of the property. o Collection and analysis of comparable land sales in order to form an opinion of the value of the underlying land. § Sales and listings in the market area were located and were selected based on physical and location characteristics. § The data was verified with the buyer, seller, or representative of the comparable as well as the public records. • Type and extent of analysis applied o The value opinions presented in this report are based upon review and analysis of the market conditions affecting real property value, including land values and sales data for similar properties. o Three approaches were considered to be utilized in determining value. 1) Cost Approach – either replacement or reproduction cost is used to develop a value indication for the subject property. 2) Income Approach – valued on the ability of a property generating a cash stream. 3) Sales Comparison Approach – value indication is derived by comparing sales of similar properties. It is the most common and preferred method of land valuation when an appropriate supply of comparable sales are available. o As the subject property contains no improvements, the Cost Approach is not considered to be an applicable appraisal tool. o Vacant land is not generally purchased for its ability to generate a cash stream; therefore, the Income Approach is not utilized. o The analyst will utilize the Sales Comparison Approach exclusively in estimating the market value for the subject property. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 8 § An investigation of comparable land sales and active listings of similar unimproved properties were utilized. The sales and listings were considered in order to make a comparative analysis which would lead to the completion of the Sales Comparison Approach. o The value opinion presented in this report is based upon review and analysis of the market conditions affecting real property value, including land values, cost and depreciation estimates (where appropriate), the attributes of competitive properties, and sales data for similar properties. o In estimating the compensation due to the property owner, the analyst provided different values for the property. Initially a value estimate for the parent tract was obtained prior to the proposed acquisition. Next an estimate was obtained for the acquisition area. Then the remainder property before and after the acquisition was estimated. Finally, we provided an estimate of the total compensation due the owner. o Preparation of a written report. To develop the opinion of value, Carlson, Norris and Associates, Inc. performed an appraisal as defined by the Uniform Standards of Professional Appraisal Practice (USPAP). In this appraisal, Carlson, Norris and Associates, Inc. used the Sales Comparison Approach to develop a reliable value indication. Furthermore, the value conclusion reflects information about the subject and market conditions. This appraisal of the subject has been presented in the form of an Appraisal Report, which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(a) of the USPAP. Property Rights Appraised: The property ownership rights appraised in this appraisal are those known as fee simple for the parent tract and easement for the proposed road right-of-way, drainage and utility easement acquisition area. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 9 Fee simple estate is defined as: “Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.”1 Easement is defined as: “The right to use another’s land for a stated purpose.” Bundle of Rights Theory is defined as: “The concept that compares property ownership to a bundle of sticks with each stick representing a distinct and separate right of the property owner, e.g., the right to use real estate, to sell it, to lease it, to give it away, or to choose to exercise all or none of these rights.” Market Value Definition: The following definition of market value is used by agencies that regulate federally insured financial institutions in the United States: “The most probable price that a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: • Buyer and seller are typically motivated; • Both parties are well informed or well advised, and acting in what they consider their best interests; • A reasonable time is allowed for exposure in the open market; • Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and • The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.” Source: Appraisal Institute; The Dictionary of Real Estate Appraisal, 6th Edition Sales History: The Uniform Standards of Professional Appraisal Practice requires a statement of the listings, purchase contracts and sales history of the subject property for the five years prior to the appraisal date. No qualified transactions were noted occurring in the past five years. To our 1 Unless otherwise noted, all definitions in italics are taken from The Dictionary of Real Estate Appraisal, 6th Edition, The Appraisal Institute, Chicago, Illinois C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 10 knowledge the subject is not currently listed for sale and we are not aware of contracts or offerings to purchase at this time. Valuation History: The Uniform Standards of Professional Appraisal Practice requires the appraiser to divulge any services provided on the subject property during the preceding five years. J. Lee Norris, Timothy P. Foster or Carlson, Norris and Associates, Inc. have not completed an appraisal of the subject property, nor have we provided any services related to the property during the five years preceding the date of this appraisal. Appraisal Analysis and Report Type: The Appraisal Standards Board controls the process of making an appraisal of a parcel of real estate. The Board issues rules and guidelines from which all appraisals and resulting reports are made. The process of administration of those rules and guidelines is addressed to the Real Estate Appraiser Commission of each respective state. The Appraisal Standards Board issues the rules and guidelines in the form of a document update published each year by The Appraisal Foundation. That document is entitled “The Uniform Standards of Professional Appraisal Practice” (USPAP). As of January 1, 2014, the two types of appraisal types are; Appraisal Report and Restricted Appraisal Report. The appraisers have used the Appraisal Report option. The following definitions have been adopted for each type of report: • An Appraisal Report: A written report prepared under Standards Rule 2-2(a). • Restricted Appraisal Report: A written report prepared under Standards Rule 2- 2(b). Exposure Time is defined as: “The estimated length of time that the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of appraisal. Exposure time is a retrospective opinion based on an analysis of past events assuming a competitive and open market.” Exposure time is therefore interrelated with appraisal conclusion of value.” An estimate of exposure time is not intended to be a prediction of a date of sale or a simple one- line statement. Instead, it is an integral part of the appraisal analysis and is based on one or more of the following: • statistical information about days on the market C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 11 • information gathered through sales verification • interviews of market participants. The reasonable exposure period is a function of price, time, and use. It is not an isolated estimate of time alone. Exposure time is different for various types of real estate and under various market conditions. In consideration of these factors, we may have analyzed the following: • Exposure periods of comparable sales revealed during the course of this appraisal; • Macroeconomic exposure times for the subject property type across the Subject MSA and the entire United States as published in multiple articles and websites. • Knowledgeable real estate professionals. The sales used in this report sold in a period of one to seventeen months. A majority of the sales sold in less than twelve months. It is our opinion that properties that are competitively marketed would have an exposure time of up to 12 months. This exposure time assumes the subject parcel would have been competitively priced and aggressively promoted within the market area. Marketing Time is defined as: “An opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value level during the period immediately after the effective date of an appraisal. Marketing time differs from exposure time, which is always presumed to precede the effective date of an appraisal.” The marketing time is an estimate of the number of months it will require to sell the subject from the date of value, into the future. The anticipated marketing time is essentially a measure of the perceived level of risk associated with the marketability, or liquidity, of the subject property. The marketing time estimate is based on the data used in estimating the reasonable exposure time, in addition to an analysis of the anticipated changes in market conditions following the date of appraisal. The future price for the subject (at the end of the marketing time) may or may not equal the appraisal estimate. The future price depends on unpredictable changes in the physical real estate, demographic and economic trends, real estate markets in general, supply/demand characteristics for the property type, and many other factors. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 12 Based on the premise that present market conditions are the best indicators of future performance, a prudent investor will forecast that, under the conditions described above, the subject will require a marketing time of up to 12 months. Hypothetical Condition is defined as: “A condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results, but is used for the purpose of analysis. Hypothetical conditions are contrary to known facts about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in an analysis.” A hypothetical condition may be used in an assignment only if: • Use of the hypothetical condition is clearly required for legal purposes, for purposes of reasonable analysis, or for purposes of comparison; • Use of the hypothetical condition results in a credible analysis; and • The appraiser complies with the disclosure requirements set forth in USPAP for hypothetical conditions. Please note the following hypothetical condition: • For the sake of this report we assumed the proposed acquisition and roadway improvements have been completed as of the date of value, November 18, 2015. Extraordinary Assumption is defined as: “An assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser's opinions or conclusions. Extraordinary assumptions presume as fact otherwise uncertain information about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in an analysis.” An extraordinary assumption may be used in an assignment only if: • It is required to properly develop credible opinions and conclusions; • The appraiser has a reasonable basis for the extraordinary assumption; • Use of the extraordinary assumption results in a credible analysis; and • The appraiser complies with the disclosure requirements set forth in USPAP for extraordinary assumptions. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 13 Please note the following extraordinary assumptions: • A soil analysis for the site has not been provided for the preparation of this appraisal. In the absence of a soil report, it is a specific assumption that the site has adequate soils to support the highest and best use. The analyst is not an expert in area of soils, and would recommend that an expert be consulted. • It is assumed that there are no hidden or unapparent conditions to the property, soil, or subsoil, which would render them more or less valuable. Subsurface oil, gas or mineral rights were not considered in this report unless otherwise stated. The analyst is not an expert with respect to subsurface conditions, and would recommend that an expert be consulted. • It is assumed that there are no hazardous materials either at ground level or subsurface. None were noted during the property inspection. The analyst is not an expert in the evaluation of site contamination, and would recommend that an expert be consulted. • The appraisers were not provided a wetland study or report for the subject property. The value conclusions are based on the extraordinary assumption that any wetlands on the subject property would be minimal and would not affect its development potential. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 14 Section 3 – Description of Real Estate Appraised Location Map COLLIER COUNTY AREA ANALYSIS Overview: The subject property is located in Golden Gate Estates within Collier County, Florida, some 170 miles south of Tampa and some 120 miles northwest of Miami. Collier County is located on the extreme southwestern portion of the state of Florida. It is the largest county in the state (in terms of land area) with 2,026 square miles which includes 821,600 acres of preserves, parks, and refuges. The most highly developed areas within the county are west of Interstate 75 and along the coastline of the Gulf of Mexico. Development becomes increasingly sparse the more easterly the location in the county; and these easterly areas of the county contain a considerable amount of preserved land. There are three incorporated cities within the county; namely City of Naples, City of Marco Island, and Everglades City. Collier County was created during the Florida land boom in the 1920s, the start of modern C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 15 development of the area. (1) Collier County was actually created in 1923 and was separated out from what was a larger Lee County. Collier County is named for Barron Collier, a New York City advertising mogul and real estate developer had moved to southwest Florida and established himself as prominent business man and land owner. By the end of the decade railroads and Tamiami Trail were in-place which opened the area to agricultural and resort development. Florida’s first commercial oil well was drilled in 1943, and the county’s pine and cypress logging industry flourished into the 1950s. The county’s economy boomed along with its population shortly after World War II. In a short span of 30 years the population increased from 6,500 to 86,000 by 1980. The economy was sustained from agribusiness, tourism and real estate. This turned the county into one of the fastest growing areas in the country. The county is famous for its subtropical climate with average high temperatures ranging from 75o F. in January to 91o Fahrenheit in July and August. The average annual precipitation for the county is 51.9 inches. This area is also subject to tropical storms and hurricanes. The hurricane season runs from June through November. The most recent damaging storm to hit this area was named Wilma. National Public Radio described this storm with the following quote: “Hurricane Wilma hit southwest Florida at dawn as a Category 3 storm, packing winds of 125 mph that took off roofs, damaged homes, downed power lines and brought flooding as far south as Key West. The storm remained powerful as it crossed from the Gulf of Mexico to the Atlantic Ocean.” This storm occurred late October 2005. Population: According to the office of demographic and economic research, Collier County is Florida’s 17th most populous county with 1.7% Florida’s overall population. The most recent population estimates indicate there is a population of 339,642 people living in Collier County. This figure represents an increase of more than 25% since 2000; and current projections anticipate this trend will continue with an increase of more than 22% over the next ten years. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 16 Currently, US Census Bureau population data for the incorporated areas of the county is broken down as follows: (2013 Census estimates) • City of Naples – 20,537 • City of Marco Island – 17,163 • City of Everglades City – 403 (year 2010) The 2014 U.S. Census Bureau provides estimates-projections for Collier County: • Persons per household (2009-2013) – 2.64 • Median Household Income (2009-2013) – $55,843 • Total Housing Units (2009-2013) – 122,972 Additional population estimates reflect population projections from the year 2015 to the year 2040 and compare the five counties in the southwest Florida area. The counties include; Glades, Hendry, Charlotte, Collier and Lee. The population estimate for the year 2015 for Collier County is 345,100 and increases to 492,533 in year 2040. This represents a 43% increase in population over this 25 year period. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 17 Tourism is important business for Naples, Marco Island and the Everglades. As the leading employer and the primary economic engine for the region, the tourism industry is responsible for over 34,000 jobs in Collier County. Over 1.6 million visitors in 2013 spent over $1.08 million dollars, resulting in a total economic impact of over $1.6 billion to Collier County. Collier County enacts a 4% tax on all hotel, campground, vacation rental stays of less than six months. The distribution of tourist development tax dollars is set according to Collier County ordinance. The funds are dispersed as follows; Category A is beach related projects and re-nourishment, 50% of the first 2% allocated for beach re-nourishment, beach park facilities and inlet management. 100% of the third percent collected is allocated to beach re-nourishment, beach park facilities and inlet management. Category B is tourism promotion, 24% of the first 2% collected pays for tourism administration and for re-imbursement of emergency advertising funds. 100% of the fourth percent pays for tourism advertising and promotion. Category C is museums, 26% of the first 2% is allocated for museums. County owned museums receive 22%, non-county museums receive 4.764%. New Development: A relatively new town is developing in the eastern part of Collier County known as Ave Maria. The town is located on what was once largely agricultural land and it is centered around Ave Maria University, the country’s newest Catholic University. The university C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 18 opened its doors in 2007 and plans to grow to 5,500 undergraduate and graduate students. The town is designed to be a compact, walk-able, self-sustaining town that reflects the community’s rural roots while offering a full range of residential options and commercial services to its residents. The Ave Maria community totals about 5,000 acres, of which nearly 20% has designated as the University Campus. A Town Core anchored by the landmark oratory that also incorporates retail, commercial, and residential living space provides a central connection between the town and the university. Business is expanding in Collier County as evidenced by a surgical device company that recently broke ground on a site near Ave Maria University to build a $25 million manufacturing plant. This construction project is expected to bring 500 construction jobs to the area this year; and once complete, the plant will employ 403 to 500 workers. Government: The county government is headed by a Board of Commissioners. There are five commissioners, each assigned to a specific geographical area within the county. A County Manager coordinates most of the departments including county services, public services, community development/environmental services, utilities and transportation. The county is currently experiencing a decline in revenues which will result in future capital improvement plans being significantly cut back. Additionally operating expenses are under increasing pressures due to legislative mandates from the state, escalating costs of property insurance and health benefits, and the overall economic downturn. Transportation: The infrastructure of the county continues to see improvements. Interstate 75 has been widened to six lanes from Fort Myers to Golden Gate Parkway in Naples. The County recently widened several major corridors such as Immokalee Road, Collier Boulevard, Rattlesnake Hammock Road and Goodlette-Frank Road. East Naples was not overlooked, with road widening projects along Collier Boulevard, Santa Barbara Boulevard and Radio Road. Major north south roads are: US 41, Interstate 75, Airport Pulling Road and Livingston Parkway. The Collier County Government has worked diligently to develop an efficient road system that will accommodate future growth; and it is likely to continue to develop the necessary road infrastructure in the years to come. Southwest Florida International Airport (RSW) in Fort Myers, Florida satisfies the passenger traffic needs for the fast growing population of Southwest Florida. RSW is the eighth fastest growing airport in the nation, servicing more than 8 million passengers a year. More than two dozen commercial airlines currently serve Southwest Florida Regional Airport with non-stop service to C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 19 more than 27 domestic and two international destinations. The Southwest Florida International Airport also maintains customs clearing facilities for international cargo. RSW is located off Interstate-75 in South Lee County, an approximate 30 minute drive from most areas of Naples. In 2005 the airport was completely updated and expanded to meet the growing demand of area businesses and visitors. The $386 million ultra-modern complex includes a two story terminal with 28 aircraft gates along three concourses, a new taxiway, and new parking options that includes a three story parking structure. The facility will allow for incremental expansion up to 65 gates. Construction was recently completed on a direct access connection between I-75 and the airport. In March 2015 passenger activity for the three southwest Florida airports grew to 1,425,354 persons of 31% over February 2015 and 4% higher than March 2014. Premier International in southwest Florida had passenger activity totaling 1,181,382 enplanements in March 2015 which is a 3% over one year earlier. The Naples Municipal Airport is a fully certificated air carrier airport. The airport also provides FBO services for general aviation including fueling and catering. It is the home to charter airlines, aircraft maintenance facilities, a restaurant, fire/rescue services, mosquito control, car rental agencies, the Collier County Sheriff’s Aviation Unit, flight schools, the Humane Society, and over 40 additional aviation and non-aviation businesses. The airport encompasses approximately 732 acres of land, approximately two miles northeast of Old Naples with convenient access to major roads and Interstate-75. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 20 Employment: Collier County’s largest employment concentrations continue to be in industries that are fueled by population growth. The retail trade, construction, and hotel industries have the most employees in Collier County. Those three industries combined employ more than 62,000 people in Collier County. The fourth largest industry in Collier County is the healthcare industry, which employs more than 13,000 people. Major employers in this area are NCH Healthcare with 4,000 employees and Collier County Public Schools which employs nearly 3,000 teachers. As the Collier County population matures, employment in the healthcare industry will continue to make up a larger part of overall employment. Below you will find a top 25 employer chart in Collier County as developed through Reference USA and FGCU. The unemployment rate in Collier County has decreased to 5.6% for September 2015 vs. 6.4% in September 2014. Collier’s top 25 employers are listed below. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 21 Below you will find a chart which shows Collier County employment by industry as well as Collier County average wage distribution by industry. This chart clearly shows retail trade employing the largest number of persons with 17,217 people. In addition, the largest wage by industry is management of companies and enterprises with an average wage of $127,905. Education: The Collier County public school system currently contains a total of 56 schools with 45,000 students and 3,200 teachers. Collier County averages 2,700 graduates per year. The below chart shows more detail with regards to the public schools system. High speed fiber optic networks now span all of Collier County, providing businesses with leading edge internet, VOIP, and wireless services. Collier County Public Schools are all interconnected via multiple fiber rings enabling the educational institutions to leverage technology to present our students with multi-faceted learning opportunities. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 22 Collier County is home to several colleges and universities. As mentioned, Ave Maria University is a newly established Catholic University offering liberal arts oriented baccalaureate degrees as well as some graduate degree programs. The county is also home to branch campuses of Florida Southwestern State College and Florida Gulf Coast University. General Real Estate Discussion: Collier County was not spared from the national economic downturn (2007-2009). Collier County experienced a significant increase in residential and commercial property values from 2004 through 2006. Several news publications rated Naples as the most over-valued area of the country with respect to residential housing values. The decline in residential property values began in 2006. Inventory levels began to rise as investors and owners positioned themselves to sell at a significant profit. However, buyers were reluctant to purchase any property with a sense that the economy as a whole was headed for trouble. Many investors were not able to meet their carrying costs and properties went into foreclosure. Southwest Florida became the epicenter for residential property foreclosures with communities such as Golden Gate at the forefront of the crisis in Collier County. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 23 Residential construction projects in various stages of development were stopped as housing inventories continued to rise and prices began to fall significantly. Southwest Florida thrived on the residential construction industry; and with no homes to build, this industry was quickly decimated. Contractors that supplied this industry typically ran their businesses from various industrial locations in Collier and Lee Counties. This type of property was the first commercial property to be adversely affected with retail and office properties following. There are 24+/- industrial parks and parks of commerce located throughout Collier County. Each park is proximate to Interstate-75 for connection to major air transportation and water ports. Collier County’s zoning allows the flexibility of properties of 19 acres or more to be zoned as Research and Technology Parks, which are based on commerce parks and offer advanced infrastructure to attract technology based businesses. Single family permits are an indicator of health in an economy of a given area. Below is a chart showing single family permits issued on a monthly basis from 2005 to 2014. This chart shows clearly that at the height of the market in 2005 over 300 permits being issued per month. In the bottom of the recession in 2009 Collier County was below 50 permits per month. In 2014 the average was approaching 200 permits per month. This indicates a steady improvement in the economic conditions as far as the real estate market is concerned. Single family permits identify houses under construction and therefore reflect jobs in the construction industry. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 24 Conclusion: In summary, Collier County is located along the west coast of Florida along the Gulf of Mexico. The climate is sub-tropical with mild winters that allow for year round enjoyment of the many attractions this area offers. Collier County is a desirable destination for residents and non- residents alike. In spite of the many positives, portions of Collier County were greatly affected by the past housing debacle which resulted in a significant number of residential foreclosures, a significant decline in residential and commercial development, and a high unemployment rate. While the current “improving” economic climate will keep commercial and residential development at bay in the short term, the availability of commercial vacant land, the county's numerous natural attractions, and the anticipated future population growth will bode well for this area over the long term. Collier County has tremendous opportunities as far as employment is concerned in many different industries. The diversity of job opportunities spans a significant range from low income persons to jobs of very high income people as well. There are tremendous recreational facilities with numerous golf course, beaches and recreational parks, not to mention the significant amount of land that is federally held in conservation in the eastern portions of the county. The public school system is good and provides for a well-rounded public education for the students that reside within the county. Property values continue to increase, the median price for a single-family home was $392,000 up 23% from a year earlier. In fact, Collier County is one the leading areas in the nation in terms of property appreciation over the last 12 months with significant construction and development occurring. GOLDEN GATE ESTATES AREA Overview: The subject property is located in Golden Gate Estates within the eastern portion of Naples in Collier County, Florida. This community was acquired and developed in 1960 and was planned to become one of the largest residential subdivisions in Naples. Home building of any significance did not start until the late 1970’s. Golden Gate Estates covers a total of 80 square miles in a rural area including uplands and wetlands. It has acreage properties typically from 1.14 acres that are 75 foot wide to 660 feet deep, to up to ten acres. Many of the properties allow horses. There are no homeowner associations and homes are on well and septic tank. Residents in Golden Gate Estates consist primarily of the local workforce. Second home owners make up a small percentage of the owners. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 25 The Golden Gate Area Future Land Use Map depicts the following primary arterial roads within North Golden Gate Estates. The north/south roads from west to east include I-75, CR 951 (Collier Blvd.), Wilson Blvd., Everglades Blvd. and Desoto Blvd. The primary east/west roads from north to south include Immokalee Road, Randall Blvd., Golden Gate Blvd., and I-75. The primary boundaries are I-75 to the west and south, Immokalee Road to the north and Desoto Blvd. to the east. The eastern portion of Golden Gate Estates does not have nearby gas stations, stores or other services. The western portion is closer to these services and has fewer vacant lots. There is a planned Publix supermarket that would be the anchor for the Neighborhood Shoppes at Orange Tree at the northeast corner of Immokalee Road and Randall Blvd. Approvals are still being obtained with a target opening date by the end of 2016. Existing shopping areas are primarily located along Immokalee Road and Collier Blvd. From the intersection of Golden Gate Blvd. and Everglades Blvd. in eastern Golden Gate Estates it is approximately 19 miles to the Naples Municipal Airport and 23 miles to the Naples beach. The schools in the vicinity of Golden Gate Parkway and Collier Blvd. are Golden Gate Elementary, Middle and High Schools as well as other schools. The schools shown as being in the subject’s district include Palmetto Ridge High, Cypress Palm Middle and Palmetto Elementary. Police services are provided by Collier County Sheriff’s Department and fire services are provided by Golden Gate Fire Control and Rescue District. A search of the Southwest Florida Multiple Listing Service for the Golden Gate Estates area was completed that provided the following information. The average sales price for a single family residence for 2015 through November was $260,125 and the median sales price was $230,000. The average sales price for vacant land for 2015 through November was $33,417 and the median sales price was $22,500. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 26 Market Area Map Market Area is defined as: “The geographic region from which a majority of demand comes and in which the majority of competition is located. Depending on the market, a market area may be further subdivided into components such as primary, secondary, and tertiary market areas, or the competitive market area may be distinguished from the general market area.” Market Area: Boundaries: Northern Randall Boulevard Southern 18th Avenue SE Eastern Desoto Boulevard Western Wilson Boulevard C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 27 Life Stage: “Because market areas are perceived, organized, constructed, and used by people, each has a dynamic quality. Appraisers describe this quality as a market area’s life cycle. The complimentary land uses that make up neighborhoods and homogeneous land uses within districts typically evolve through four stages: 1. Growth – a period during which the market area gains public favor and acceptance 2. Stability – a period of equilibrium without marked gains or losses 3. Decline – a period of diminishing demand 4. Revitalization – a period of renewal, redevelopment, modernization and increasing demand” It is our opinion that the subject market area in the eastern portion of Golden Gate Estates is currently in the growth cycle. Sales prices and transactions have been increasing for the last couple of years for single family residences and for vacant land. Public Transportation: Public transportation is provided by Collier Area Transit to the western portion of the market area. Maintenance/Condition: Varying levels of maintenance is evident throughout the subject market area. These conditions range from relatively new to fair. Property Compatibility: This area contains vacant residential acreage typically ranging from 1.14 to 5.00 acres and single family residential uses on acreage sites. Appeal/Appearance: This area has generally average to good appeal. Appearance ranges from newer construction to older structures with generally good to fair appearance. Neighborhood Access: Good access from major north-south corridors including Wilson Blvd., Everglades Blvd. and Desoto Blvd. The major east-west corridors include Randall Blvd. and Golden Gate Blvd. E. Police/Fire: Collier County Sheriff’s Dept./ Golden Gate Fire Control and Rescue District Development Trend: Single family residential development has been increasing in the last couple of years. Residential land price range: Vacant similar land sales typically range from $10,000 to $20,000 per acre. Supply of Vacant Tracts Vacant land is available throughout the market. Much of the market area still has undeveloped lots. Demand for Vacant Tracts: Real estate professionals indicate the demand for vacant land parcels has been increasing. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 28 Allowable Uses in the District: Single family residential, family care facilities, essential services, public schools and accessory uses such as agricultural, horses and livestock, guesthouses, recreational facilities and certain excavation uses. Legal Description: It is recommended that a survey be obtained to verify the accuracy of the legal description. There are two Warranty Deeds that describe the legal description for the subject property filed in the Collier County Official records as follows: The first deed is recorded in Book 1232, Page 2312 indicating the subject’s legal description as follows: The east 180 feet of Tract 28, Golden Gate Estates, Unit No. 77, according to the plat thereof as recorded in Plat Book 5, at Page 15, of the Public Records of Collier County, Florida. The second deed is recorded in Book 1232, Page 2313 indicating the subject’s legal description as follows: The west 150 feet of Tract 28, Golden Gate Estates, Unit No. 77, according to that plat thereof as recorded in Plat Book 5, at Page 15, of the Public Records of Collier County, Florida. Owner of Record: According to information obtained from the Collier County Property Appraiser’s office, the current owner of record for the subject property is Juan I. Bustamante and Maria Bustamante, 5609 Parkaire Drive, Metairie, LA 70003-2319. Assessed Value and Taxes: According to the Collier County Tax Collector’s Office the subject property is identified by its Parcel numbers 40682320003 and 40682280004. For 2015 for both parcels the combined market, assessed and taxable value for schools is $53,560 and the remaining taxing agencies have assessments and taxable values of $33,026 due to a 10% annual CAP. The taxes based on a March 2016 payoff amount are $498.03. Only the Collier County Property Appraiser’s office can assess properties for taxation purposes. The actual tax liability is calculated utilizing the millage rate as set by the Collier County Commission then multiplying this by the assessed value for the property. Should the millage rate or the assessed value change for the site the tax liability would be different from that as reported herein. Unpaid Taxes: The Collier County Tax Collector's web site did not indicate any delinquent taxes as of the effective date of this report. Site Description: We invite your attention to the aerial and plat maps that follow which show the relative size, configuration and location of the subject property. This will be followed by general C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 29 site information and data as well as information on the physical characteristics and economic factors that affect the site. Aerial Map Plat Map C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 30 General Site Information Assessor’s Parcel Number: 40682320003 and 40682280004 Location: North side of Golden Gate Blvd. E. approximately 0.2 miles east of Everglades Blvd. N. in Golden Gate Estates, Naples, Florida. Physical Characteristics of the Site Frontage: 330.00 feet of frontage along the north side of Golden Gate Boulevard E. Total Site Area: 5.15 acres or 224,400 square feet per the Collier County plat map. Dimensions: Shape of Tract: 330.00 feet along Golden Gate Blvd. E. and along its rear boundary & 680.00 feet of depth along its eastern and western boundaries Rectangular Access: Access is along the north side of Golden Gate Boulevard E., a two lane paved road. Corner Influence: This property is not located at a corner. Utilities to Site: Sewer: Septic tank/drainfield required Water: Well required Electric: Florida Power & Light Phone: CenturyLink Police/Fire: Collier County Sheriff’s Dept./ Golden Gate Fire Control & Rescue District Flood Designation: Flood Zone AH, Map Number 120067-12021C0435H, Dated May 16, 2012. The subject is in an area inundated by 100-year flooding. Easements: According to a sketch for the Golden Gate Blvd. widening project, the southern 50 feet or 16,500 square feet of the subject is within an existing roadway easement dedicated to the perpetual use of the Public per Plat Book 5, Page 15. Topography: The subject site is heavily wooded. There is a drainage swale along the road frontage. The appraisers were not provided a wetland study or report for the subject property. The value conclusions are based on the extraordinary assumption that any wetlands on the subject property would be minimal and would not affect its development potential. Economic Factors Affecting the Site Supply of Vacant Tracts: There are vacant residential parcels located within the immediate and general vicinity of the subject property. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 31 Demand for Vacant Tracts: Realtors have indicated that demand is improving. Neighboring Property Uses: The subject’s nearby or neighboring uses include single family residences and vacant parcels. Future Land Use Designation: The subject has a future land use designation within the Estates District. This district is characterized by low density semi-rural residential lots with limited opportunities for other land uses. Typical lots are 2.25 acres in size. However, there are some legal non-conforming lots as small as 1.14 acres. Residential density is limited to a maximum of one unit per 2.25 gross acres, or one unit per legal non-conforming lot of record, exclusive of guesthouses. Multiple family dwelling units, duplexes, and other structures containing two or more principal dwellings, are prohibited in all Districts and Subdistricts in this Designation. Generally, the Estates Designation also accommodates future non-residential uses, including: ● Conditional uses and essential services as defined in the Land Development Code, except as prohibited in the Neighborhood Center Subdistrict. Also, refer to the Conditional Uses Subdistrict. ● Parks, open space and recreational uses. ● Group Housing shall be permitted subject to the definitions and regulations as outlined in the Collier County Land Development Code (Ordinance No. 04-41, adopted June 22, 2004, effective October 18, 2004) and consistent with locational requirements in Florida Statutes (Chapter 419.001 F.S.). ● Schools and school facilities in the Estates Designation north of I-75, and where feasible and mutually acceptable, co-locate schools with other public facilities, such as parks, libraries and community centers to the extent possible. The subject’s future land use designation is also within the Residential Estates Subdistrict. This indicates that single-family residential development is allowed within this Subdistrict at a maximum density of one unit per 2.25 gross acres, or one unit per legal non-conforming lot of record, exclusive of guesthouses. Estate District (E) Zoning Classification: The subject is zoned Estate District (E). The purpose and intent of the estates district (E) is to provide lands for low density residential development in a semi-rural to rural environment, with limited agricultural activities. In addition to low density residential development with limited agricultural activities, the E district C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 32 is also designed to accommodate as conditional uses, development that provides services for and is compatible with the low density residential, semi-rural and rural character of the E district. The E district corresponds to and implements the estates land use designation on the future land use map of the Collier County GMP, although, in limited instances, it may occur outside of the estates land use designation. The maximum density permissible in the E district shall be consistent with and not exceed the density permissible or permitted under the estates district of the future land use element of the Collier County GMP as provided under the Golden Gate Master Plan. A complete copy of the zoning including accessory uses, conditional uses, and other details is available in the Collier County Land Development Code. 1. The following subsections identify the uses that are permissible by right and the uses that are allowable as accessory or conditional uses in the estates district (E). a. Permitted uses. 1. Single-family dwelling. 2. Family care facilities 3. Essential services 4. Schools, public, including "Educational plants." The dimensional standards include a minimum lot area of 98,010 square feet or 2.25 acres and a minimum lot width of 150 feet. The maximum building height is 30 feet and the minimum floor area is 1,000 square feet. The subject contains 5.15 acres and exceeds the dimensional standards required. Please note the subject property photos that follow. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 33 Subject Property Photographs View: Looking northeast of the subject from Golden Gate Blvd. E. Photograph date: November 18, 2015 Taken by: Tim Foster View: Looking northwest of the subject from Golden Gate Blvd. E. Photograph date: November 18, 2015 Taken by: Tim Foster C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 34 Subject Property Photographs View: Looking east of Golden Gate Blvd. E. with the subject to the left Photograph date: November 18, 2015 Taken by: Tim Foster View: Looking west of Golden Gate Blvd. E. with the subject to the right Photograph date: November 18, 2015 Taken by: Tim Foster C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 35 Section 4 – Highest and Best Use Analysis The principal of highest and best use is defined as: “The reasonably probable use of property that results in the highest value. The four criteria that the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum productivity.” • Permissible Use (Legal) - what uses are permitted by zoning and deed restrictions on the site in question? • Possible Use- to what uses is it physically possible to put the site in question? • Feasible Use-, which possible and permissible uses will produce any net return to the owner of the site? • Highest and best Use- among the feasible uses, which use will produce the highest net return or the highest present worth? Highest and Best Use “As Vacant” Legally Permissible: Factors that impact the legally permissible uses for the subject property include such things as the comprehensive land use plan classification, zoning classification, deed restrictions and government regulations. The subject has a future land use designation within the Estates District. This district is characterized by low density semi- rural residential lots with limited opportunities for other land uses. Typical lots are 2.25 acres in size. However, there are some legal non-conforming lots as small as 1.14 acres. Residential density is limited to a maximum of one unit per 2.25 gross acres, or one unit per legal non-conforming lot of record, exclusive of guesthouses. Multiple family dwelling units, duplexes, and other structures containing two or more principal dwellings, are prohibited in all Districts and Subdistricts in this Designation. The subject’s future land use designation is also within the Residential Estates Subdistrict. This indicates that single-family residential development is allowed within this Subdistrict at a maximum density of one unit per 2.25 gross acres, or one unit per legal non-conforming lot of record, exclusive of guesthouses. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 36 The subject is zoned Estate District (E). The purpose and intent of the estates district (E) is to provide lands for low density residential development in a semi-rural to rural environment, with limited agricultural activities. The dimensional standards include a minimum lot area of 98,010 square feet or 2.25 acres and a minimum lot width of 150 feet. The subject property contains 5.15 acres and exceeds the dimensional standards required. Physically Possible: The physical aspects of the site impact legally permissible uses. The subject property is rectangular in configuration containing 5.15 acres or 224,400 square feet with frontage along Golden Gate Blvd. E. It is 330 foot wide and 680 feet deep. Based on the size and configuration of the site, it is our opinion the physically possible and legally permissible uses of the subject property would include a single family residential use. Economically and Financially Feasible: Any physical possible and legal use of the vacant land that produces a positive return to the land after considering risk and all costs to create and maintain the use. The subject is located along the north side of Golden Gate Blvd. E. approximately 0.2 miles east of Everglades Blvd. N. in Golden Gate Estates, Naples, Florida. Single family residential properties are increasingly being developed in the subject’s immediate area and throughout Golden Gate Estates. The most probable buyer would purchase the subject property for single family residential development which in our opinion is a financially feasible use. Maximally Productive: With the increase in single family residential activity in the subject’s market area, it appears this is a financially feasible use. The future land use and zoning classifications allow single family residential uses. Considering the nearby land uses and the typical buyers, it is our opinion that the highest and best use as vacant is for single family residential development. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 37 Section 5 – Valuation of the Subject VALUE ESTIMATE BY THE COST APPROACH Cost Approach is defined as: “A set of procedures through which a value indication is derived for the fee simple estate by estimating the current cost to construct a reproduction of (or replacement for) the existing structure, including an entrepreneurial incentive or profit; deducting depreciation from the total cost; and adding the estimated land value. Adjustments may then be made to the indicated value of the fee simple estate in the subject property to reflect the value of the property interest being appraised.” Since there are no improvements to consider, the cost approach will not be used in this appraisal. VALUE ESTIMATE BY THE INCOME APPROACH The Income Approach is defined as “Specific appraisal techniques applied to develop a value indication for a property based on its earning capability and calculated by the capitalization of property income.” This conversion can be accomplished in two ways. One year's income expectancy can be capitalized at a market-derived capitalization rate or at a capitalization rate that reflects a specified income pattern, return on investment, and change in the value of the investment. Alternatively, the annual cash flows for the holding period and the reversion can be discounted at a specified yield rate.” The Income Approach is widely applied in appraising income-producing properties. Anticipated future income and/or reversions are discounted to a present worth figure through the capitalization process. Since vacant land is typically not purchased for its ability to generate a positive cash stream, the income approach will not be used in this appraisal. VALUE ESTIMATE BY THE SALES COMPARISON APPROACH Sales Comparison Approach is defined as: “The process of deriving a value indication for the subject property by comparing sale of similar properties to the property being appraised, identifying appropriate units of comparison, and making adjustments to the sale prices (or unit prices, as appropriate) of the comparable properties based on relevant, market-derived elements of comparison. The sales comparison approach may be used to value improved properties, vacant C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 38 land, or land being considered as though vacant when an adequate supply of comparable sales is available.” The Sales Comparison Approach will be used and it involves the direct comparison of sales of similar properties, adjustments for variances, and correlation of the results into a property value indication. Adjustments to the sale prices of competitive properties selected for comparison are considered as they relate to the subject property and to the various dissimilar investment features. The application of this approach produces an estimate of value for a property by comparing it with similar properties which have been sold or are currently offered for sale in the same or competing areas. Site Valuation: The valuation of the subject site involves research, analysis, and comparison of sales of similar properties to the subject. There are several units of comparison applicable for appraisal purposes. Due to the nature of the subject property and comparable sales, it is our opinion the sales price per acre would be the most appropriate for utilization. This unit is calculated by dividing the sale price of the comparable sales by the number of acres contained within the sale. The subject site is being valued based on highest and best use; and as such, data selection begins by limiting the sales considered to include only those sites with a highest and best use similar to that of the subject. From these sales, only the most similar to the subject in terms of physical and locational characteristics were selected. The appraiser’s research uncovered multiple sales of sites that were considered appropriate for comparison purposes. These transactions were included in the analysis process. The appraiser also considered listings. In the analysis process, the analyst will utilize a qualitative procedure. In the initial step the appraiser will utilize a cumulative adjustment for each of the sale properties considering property rights, financing, conditions of sale, expenditures immediately after sale, and market conditions (commonly known as time). As the adjustments are cumulative in nature they must be performed in the order in which they occur. Next the analyst will utilize a qualitative procedure by considering physical characteristics including location, site size, future land use, zoning, topography, and access. These properties will be rated C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 39 and compared to the subject. They will be considered as similar, inferior, or superior. After completion of the analysis of each individual sale based on its physical characteristics, an overall property rating will be assigned to each of the sale properties. This property rating will be similar, inferior, or superior. After completion of the analysis and adjustment process, the appraiser will estimate an appropriate value per acre and multiply this by the number of acres contained within the property in order to estimate the market value for the site. This value estimate will then be rounded to an appropriate figure for appraisal purposes. We now invite your attention to a land sales location map which follows. This map shows the relative location of each of the sales to that of the subject property. Following this will be a land sales exhibit which will contain land sales data sheets for each transaction utilized in the analysis process showing the relative size, configuration and location of the site as well as the relative information for each individual sales transaction. Following the land sales exhibit will be a sales grid showing the relevant information for the subject and each of the comparable sales as well as the adjustments and factors which were considered in providing an overall rating for each of the comparable properties. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 40 Land Sales Location Map Please consider the sale exhibits on the following pages. The exhibits furnish aerial views along with locational, site and financial information for each of the sales. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 41 COMPARABLE 1 Property Reference: Property Type: Residential Vacant Land Address: 14th Avenue NE Naples, FL 34120 County: Collier Location: South side of 14th Avenue NE west of Everglades Blvd. N. in Golden Gate Estates STRAP/ID: 40576800008 Grantor: A & M American Investments, LLC Grantee: Dayely Gonzalez Legal Data: Sale Date: October 01, 2015 Sale Price: $22,500 Sale Price per Acre: $19,800 Recording: Inst. # 5181351 Interest Conveyed: Fee simple Deed Conveyed: Warranty Deed Land Use: Residential Estates Subdistrict (In the Estates District) Zoning: Estate District (E) Highest and Best Use: Single family residential development CNA Data # 621 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 42 Site Data: Site Dimensions: 75' x 660' Site Size: 49,500 square feet, 1.14 acres Shape: Rectangular Topography: Heavily wooded Corner Influence: No Utilities: Well & septic required Access: 2 lane paved road Visibility: Average Sale Analysis: Sale Price: $22,500 Financing: Cash to the seller Price per SF: $0.45 Price per Acre: $19,800 Sale Confirmation: Verification: Angel Madera, Jr.-Selling agent, 239-253-2815 Verifying Appraiser: Tim Foster, December 14, 2015 Sale History: A prior sale on September 11, 2015 was for a larger parcel Comments: The property was purchased to build a single family residence. It was listed for sale for $26,900 for 88 days. Per the listing information the property contains 100% uplands. Our file # 15-150 CNA Data # 621 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 43 COMPARABLE 2 Property Reference: Property Type: Residential Vacant Land Address: 735 18th Street NE Naples, FL 34120 County: Collier Location: West side of 18th Street NE north of Golden Gate Blvd. E. in Golden Gate Estates STRAP/ID: 39322240301 Grantor: Hayri Solms Grantee: Agniel Marquez Legal Data: Sale Date: October 01, 2015 Sale Price: $17,000 Sale Price per Sq. Ft.: $0.34 Sale Price per Acre: $14,960 Recording: Inst.# 5179297 Interest Conveyed: Fee simple Deed Conveyed: Gen. Warranty Deed Land Use: Residential Estates Subdistrict (Within the Estates District) Zoning: Estate District (E) Highest and Best Use: Single family residential development CNA Data # 622 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 44 Site Data: Site Dimensions: 75' x 660' Site Size: 49,500 square feet, 1.14 acres Shape: Rectangular Topography: Heavily wooded Corner Influence: No Utilities: Well & septic required Access: 2 lane paved road Visibility: Average Sale Analysis: Sale Price: $17,000 Financing: Cash to the seller Price per SF: $0.34 Price per Acre: $14,960 Sale Confirmation: Verification: Diego Figueroa-Listing agent, 239-692-7757 Verifying Appraiser: Tim Foster, December 09, 2015 Sale History: No sales in the prior three years Comments: The property was purchased to build a single family residence. It was listed for sale for $19,700 for 33 days. It is unknown if the property contains wetlands. The property was also verified with Gisel Cardenas the selling agent. Our file # 15-150 CNA Data # 622 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 45 COMPARABLE 3 Property Reference: Property Type: Residential Vacant Land Address: 6th Avenue SE Naples, FL 34117 County: Collier Location: North side of 6th Avenue SE east of Everglades Blvd. S. in Golden Gate Estates STRAP/ID: 40932960003 Grantor: Alicia Odom Hinte, Trustee Grantee: Habitat for Humanity of Collier County, Inc. Legal Data: Sale Date: August 17, 2015 Sale Price: $17,000 Sale Price per Sq. Ft.: $0.34 Sale Price per Acre: $14,960 Recording: Inst.# 5162482 Interest Conveyed: Fee simple Deed Conveyed: Warranty Deed Land Use: Residential Estates Subdistrict (In the Estates District) Zoning: Estate District (E) Highest and Best Use: Single family residential development CNA Data # 624 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 46 Site Data: Site Dimensions: 75' x 660' Site Size: 49,500 square feet, 1.14 acres Shape: Rectangular Topography: Heavily wooded Corner Influence: No Utilities: Well & septic required Access: 2 lane paved road Visibility: Average Sale Analysis: Sale Price: $17,000 Financing: Cash to the seller Price per SF: $0.34 Price per Acre: $14,960 Sale Confirmation: Verification: Ruth Huff-Listing agent, 239-596-1678 Verifying Appraiser: Tim Foster, December 09, 2015 Sale History: No sales in the prior three years Comments: The property was purchased to build a single family residence. It was listed for sale for $17,901 for 263 days. The listing agreement did not mention the presence of wetlands. Our file # 15-150 CNA Data # 624 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 47 COMPARABLE 4 Property Reference: Property Type: Residential Vacant Land Address: 731 Everglades Blvd. N. Naples, FL 34120 County: Collier Location: West side of Everglades Blvd. N. south of 8th Avenue NE in Golden Gate Estates STRAP/ID: 40630480005 Grantor: Michael J. Sugrue, Individually and as Trustee Grantee: Ariel Falcon & Marlene Fernandez Legal Data: Sale Date: September 21, 2015 Sale Price: $31,900 Sale Price per Sq. Ft.: $0.28 Sale Price per Acre: $12,385 Recording: Inst.# 518305 Interest Conveyed: Fee simple Deed Conveyed: Warranty Deed Land Use: Residential Estates Subdistrict (Within the Estates District) Zoning: Estate District (E) Highest and Best Use: Single family residential development CNA Data # 625 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 48 Site Data: Site Dimensions: 165' x 680' Site Size: 112,200 square feet, 2.58 acres Shape: Rectangular Topography: Heavily wooded Corner Influence: No Utilities: Well & septic required Access: 2 lane paved road Visibility: Average Sale Analysis: Sale Price: $31,900 Financing: Cash to the seller Price per SF: $0.28 Price per Acre: $12,385 Sale Confirmation: Verification: Ruth Huff-Listing agent, 239-596-1678 Verifying Appraiser: Tim Foster, December 09, 2015 Sale History: No sales in the prior three years Comments: The property was purchased to build a single family residence. It was listed for sale for $39,901 for 123 days. The listing agreement indicated the property had no department of environmental protection report. The sale was also verified with David Noval, the selling agent, who indicated there was a small portion of wetlands in the back of the site that had no development impact on the site. Our file # 15-150 CNA Data # 625 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 49 COMPARABLE 5 Property Reference: Property Type: Residential Vacant Land Address: 10th Avenue NE Naples, FL 34120 County: Collier Location: North side of 10th Avenue NE east of Everglades Blvd. N. in Golden Gate Estates STRAP/ID: 40525120001 Grantor: Susan Colgan, Trustee Grantee: Jairo Tapia & Rosita Tapia Legal Data: Sale Date: October 23, 2015 Sale Price: $35,000 Sale Price per Sq. Ft.: $0.29 Sale Price per Acre: $12,833 Recording: Inst.# 5191081 Interest Conveyed: Fee simple Deed Conveyed: Spec. Warranty Deed Land Use: Residential Estates Subdistrict (Within the Estates District) Zoning: Estate District (E) Highest and Best Use: Single family residential development CNA Data # 626 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 50 Site Data: Site Dimensions: 180' x 660' Site Size: 118,800 square feet, 2.73 acres Shape: Rectangular Topography: Heavily wooded Corner Influence: No Utilities: Well & septic required Access: 2 lane paved road Visibility: Average Sale Analysis: Sale Price: $35,000 Financing: Cash to the seller Price per SF: $0.29 Price per Acre: $12,833 Sale Confirmation: Verification: Angel Madera, Jr.-Selling agent, 239-253-2815 Verifying Appraiser: Tim Foster, December 11, 2015 Sale History: Sold in Nov. 2014 for $25,000 & June 2014 for $26,900 Comments: The property was purchased to build a single family residence. It was listed for sale for $35,000 for 181 days. The listing agreement indicated the property had 99% uplands per a Tropical Environmental Resources report dated March 2015. The sale was also verified with the grantor, Susan Colgan. Our file # 15-150 CNA Data # 626 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 51 COMPARABLE 6 Property Reference: Property Type: Residential Vacant Land Address: 14th Avenue NE Naples, FL 34120 County: Collier Location: South side of 14th Avenue NE east of 8th Street NE in Golden Gate Estates STRAP/ID: 37444760005 Grantor: Simeon D. Francis Grantee: Audi Homes & Land, Inc. Legal Data: Sale Date: August 28, 2015 Sale Price: $58,000 Sale Price per Sq. Ft.: $0.27 Sale Price per Acre: $11,600 Recording: Inst.# 5169071 Interest Conveyed: Fee simple Deed Conveyed: Warranty Deed Land Use: Residential Estates Subdistrict (In the Estates District) Zoning: Estate District (E) Highest and Best Use: Single family residential development CNA Data # 627 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 52 Site Data: Site Dimensions: 330' x 660' Site Size: 217,800 square feet, 5.000 acres Shape: Rectangular Topography: Heavily wooded Corner Influence: No Utilities: Well & septic required Access: 2 lane paved road Visibility: Average Sale Analysis: Sale Price: $58,000 Financing: Cash to the seller Price per SF: $0.27 Price per Acre: $11,600 Sale Confirmation: Verification: Angel Madera, Jr.-Selling agent, 239-253-2815 Verifying Appraiser: Tim Foster, December 11, 2015 Sale History: No sales in the prior three years Comments: The property was purchased for single family residential development. It was listed for sale for $60,000 for 519 days. The selling agent did not believe there were wetlands on the site. The sale was also verified with Ruth Huff, the listing agent. Our file # 15-150 CNA Data # 627 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 53 Criteria Subject-403 RDUE Sale 1 Sale 2 Sale 3 Sale 4 Sale 5 Sale 6 Location Golden Gate Blvd. E.14th Avenue NE 735 18th Street NE 6th Avenue SE 731 Everglades Blvd. N.10th Avenue NE 14th Avenue NE Golden Gate Estates Golden Gate Estates Golden Gate Estates Golden Gate Estates Golden Gate Estates Golden Gate Estates Golden Gate Estates Recording N/A Inst. 5181351 Inst.# 5179297 Inst.# 5162482 Inst.# 518305 Inst.# 5191081 Inst.# 5169071 Sales Price N/A $22,500 $17,000 $17,000 $31,900 $35,000 $58,000 Sale/Appraisal Date November 18, 2015 October 1, 2015 October 1, 2015 August 17, 2015 September 21, 2015 October 23, 2015 August 28, 2015 Parcel Size (Acres)5.15 1.14 1.14 1.14 2.58 2.73 5.00 Sale Price N/A $22,500 $17,000 $17,000 $31,900 $35,000 $58,000 Sale Price per Acre N/A $19,737 $14,912 $14,912 $12,364 $12,821 $11,600 Transactional Adjustments Property Rights Fee simple Fee simple Fee simple Fee simple Fee simple Fee simple Fee simple Financing N/A Cash to the seller Cash to the seller Cash to the seller Cash to the seller Cash to the seller Cash to the seller Conditions of Sale N/A None noted None noted None noted None noted None noted None noted Expenditures After Sale N/A None noted None noted None noted None noted None noted None noted Market Conditions N/A $900 $680 $1,020 $1,276 $700 $3,480 Adjusted Sale Price N/A $23,400 $17,680 $18,020 $33,176 $35,700 $61,480 Adjusted Sale Price per Acre N/A $20,526 $15,509 $15,807 $12,859 $13,077 $12,296 Physical Properties Location Golden Gate Blvd. E.14th Avenue NE 735 18th Street NE 6th Avenue NE 731 Everglades Blvd. N.10th Avenue NE 14th Avenue NE Parcel Size (Acres)5.15 1.14 1.14 1.14 2.58 2.73 5.00 Future Land Use Residential Estates Residential Estates Residential Estates Residential Estates Residential Estates Residential Estates Residential Estates Zoning Estate District (E)Estate District (E)Estate District (E)Estate District (E)Estate District (E)Estate District (E)Estate District (E) Topography Wooded Uplands Wooded Uplands Wooded Uplands Wooded Uplands Wooded Uplands Wooded Uplands Wooded Uplands Access 2 lane paved road 2 lane paved road 2 lane paved road 2 lane paved road 2 lane paved road 2 lane paved road 2 lane paved road Location Golden Gate Blvd. E.Similar Similar Similar Similar Similar Similar Parcel Size 5.15 Similar Similar Similar Similar Similar Similar Future Land Use Residential Estates Similar Similar Similar Similar Similar Similar Zoning Estate District (E)Similar Similar Similar Similar Similar Similar Topography Wooded Uplands Similar Similar Similar Similar Similar Similar Access 2 lane paved road Similar Similar Similar Similar Similar Similar Overall Rating Similar Similar Similar Similar Similar Similar Land Sales Adjustment Analysis - Qualitative Physical Property Ratings C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 54 Adjustment Analysis: The sales were compared to each other individually and collectively as well as being compared to the subject property in order to assist in the adjustment process. Property Rights: “An element of comparison in the sales comparison approach; comparable properties can be adjusted for differences in the real property rights involved in a transaction.” In this analysis all property rights conveyed were fee simple, no adjustments were necessary. Financing: “An element of comparison in the sales comparison approach; comparable properties can be adjusted for differences in the financing terms of a transaction, also called cash equivalency adjustment.” In this analysis the transactions were either market financed or cash to the seller, no adjustments were necessary. Conditions of Sale: “An element of comparison in the sales comparison approach; comparable properties can be adjusted for differences in the motivations of either the buyer or a seller in a transaction.” In this analysis, the sales were all at “arm’s length” including no conditions of sale. Expenditures made immediately after purchase: “An element of comparison in the sales comparison approach; comparable properties can be adjusted for any additional investment (e.g., curing deferred maintenance) that the buyer needed to make immediately after purchase for the properties to have similar utility to the subject property being valued.” The appraisers are not aware of any expenditures made immediately after the sale of these transactions. Market Conditions: “An element of comparison in the sales comparison approach; comparable properties can be adjusted for differences in the points in the real estate cycle at which the transactions occur. Sometimes called a time adjustment because the differences in dates of sale are often compared, although the usage can be misleading because property values do not change merely as the result of the passage of time.” The comparables occurred recently from August 2015 to October 2015 and the date of value is November 18, 2015. Per market information and discussions with realtors, property values have been increasing in the subject’s market area. To estimate the amount of the increase the appraisers utilized information from the multiple listing service. A search was completed of vacant acreage and residential lot sales from 2011 through 2015 year to date within an approximate three mile radius of the subject property. The search criteria considered 373 properties. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 55 The properties had an average sales price for 2011 of $18,064 increasing to $27,007 through 2015. The average increase over these four years is 12.38% per year or 1.03% per month. The properties had an average sales price for 2013 of $18,199 increasing to $27,007 through 2015. The average increase over these two years is 24.20% per year or 2.02% per month. The properties had an average sales price for 2014 of $18,928 increasing to $27,007 through 2015. The average increase over this period is 42.68% per year or 3.56% per month. Over the three different time frames used the price increases ranged from 1.03% per month to 3.56% per month. Based on this information, the appraisers have estimated an increase of 2.0% per month and have adjusted the sales accordingly. Physical Characteristics: Next the sales were considered and compared with one another and the subject for physical characteristics. These include location, size, future land use, zoning, topography and access. This process involves a qualitative analysis. Qualitative analysis involves distinctions based on qualities which do not in themselves provide quantifiable results. Location Adjustment: The subject property is located along Golden Gate Boulevard E. approximately 0.2 miles east of Everglades Blvd. N. in the eastern portion of Golden Gate Estates, Naples, Florida. The sales have similar locations to the subject based on their proximity to areas with commercial services. Size: The subject property contains 5.15 acres and the comparables range in size from 1.14 acres to 5.00 acres. The sales are all small acreage parcels and are considered similar to the subject property. Future Land Use: The subject property has a Residential Estates Subdistrict future land use designation. The sales were considered similar with the same designation. Zoning Classification: The subject property has an Estate District (E) zoning designation. The sales were considered similar with the same designation. Topography: The subject property is wooded and the value conclusions are based on the extraordinary assumption that any wetlands on the subject property would be minimal and would not affect its development potential. Each of the sales are similar since they are also wooded with uplands or only a minimal amount of wetlands. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 56 Access: The subject property is located along a two lane paved road. Each of the sales were considered similar with two lane paved road frontage. Land Sales Discussion: Following will be a brief discussion of each of the sales transactions utilized in this analysis to estimate the value for the subject property. Sale One was purchased on October 1, 2015 and is located along the south side of 14th Avenue NE west of Everglades Blvd. N. in Golden Gate Estates, Naples, Florida. The property consists of 1.14 acres and was acquired for an adjusted price of $23,403 or $20,526 per acre. Sale Two was purchased on October 1, 2015 and is located along the west side of 18th Street NE north of Golden Gate Blvd. E. in Golden Gate Estates, Naples, Florida. The property consists of 1.14 acres and was acquired for an adjusted price of $17,680 or $15,509 per acre. Sale Three was purchased on August 17, 2015 and is located along the north side of 6th Avenue SE east of Everglades Blvd. S. in Golden Gate Estates, Naples, Florida. The property consists of 1.14 acres and was acquired for an adjusted price of $18,020 or $15,807 per acre. Sale Four was purchased on September 21, 2015 and is located along the west side of Everglades Blvd. N. just south of 8th Avenue NE in Golden Gate Estates, Naples, Florida. The property consists of 2.58 acres and was acquired for an adjusted price of $33,176 or $12,859 per acre. Sale Five was purchased on October 23, 2015 and is located along the north side of 10th Avenue NE east of Everglades Blvd. N. in Golden Gate Estates, Naples, Florida. The property consists of 2.73 acres and was acquired for an adjusted price of $35,700 or $13,077 per acre. Sale Six was purchased on August 28, 2015 and is located along the south side of 14th Avenue NE east of 8th Street NE in Golden Gate Estates, Naples, Florida. The property consists of 5.00 acres and was acquired for an adjusted price of $61,480 or $12,296 per acre. Competitive Listings: A search was completed for active listings within an approximate two mile radius of the subject property. Fourteen listings were considered ranging from 1.14 acres to 5.00 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 57 acres. On a per acre basis the listing prices range from $11,999 to $21,842 per acre with a mean of $17,577 per acre. Final Analysis: When evaluating the comparable land sales, considerations including location, size, future lane use, zoning, topography and access were utilized. The sales have adjusted sales prices range from $12,296 per acre to $20,526 per acre with a mean of $15,012 per acre. Consideration was also given to the listings prices that had a mean of $17,577 per acre. It is our opinion that the appropriate unit of value for the subject property should be $16,000 per acre. Multiplying $16,000 per acre times the subject’s 5.15 acres equals an estimated value of $82,400 or $82,000 rounded. It is our opinion the market value of the fee simple interest of the Parent Tract “As Is” under the hypothetical condition, extraordinary assumptions, and market conditions effective November 18, 2015 utilizing the Sales Comparison Approach is $82,000. Project Description: Collier County is completing roadway improvements to widen Golden Gate Boulevard (C.R. 876) to four lanes from Wilson Boulevard to Desoto Boulevard. The gross length of the project is 6.098 miles. A portion of Everglades Boulevard will also receive improvements where it intersects with Golden Gate Boulevard. The intersection improvements along Everglades Boulevard include the acquisition area of the subject property. The information is based on 60% Contract Plans and is part of Project No. 60145. The improvements will include without limitation new roadway including turn lanes, shoulders, drainage structures, curbs and gutters, utilities, sidewalks, brick pavers, sodded areas and portions with a grass median. Acquisition Easement (Parcel 403 RDUE) Description Parcel 403 RDUE: Collier County has a proposed road right-of-way, drainage and utility easement acquisition area known as (Parcel 403 RDUE). It is rectangular, contains 6,550 square feet or 0.150 acres and is located in the southerly portion of the parent tract. It varies from 15 or 25 feet wide along its east and west boundary and is 330.00 feet along its north and south boundary. The acquisition area did not appear to contain any improvements. Its southern boundary is located along the north side of the existing roadway easement. Collier County has used the following wording in describing other similar road right-of-way, drainage and utility easements they have acquired. The easement conveys, grants, bargains and sells unto the Grantee (Collier County), a perpetual, non-exclusive road right-of-way, drainage, and C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 58 utility easement to enter upon and to install and maintain roadway, bikepath and sidewalk improvements, drainage structures, including but not limited to ditches, swales, earthen berms, rip- rap and retaining wall systems, underground pipes, various types of water control structures and any and all manner of public and private utility facilities over, under, upon and across the subject property. The grantee has the right to enter upon said land and to place and/or excavate materials for the purpose of constructing, operating, and maintaining roadway, sidewalk, drainage and utility facilities thereon. “Utility facilities” includes public as well as private utilities, such as electric, telephone and cable television, but only if such facilities have Collier County’s consent and proper authorization. This easement includes the right to remove and use any and all excavated material. The easement granted herein shall constitute and easement running with the land and shall burden the lands described above. Legal Description Parcel 403 RDUE: The legal description for proposed Parcel 403 RDUE is lengthy and is provided from a sketch and description prepared by RWA Consulting, Inc. as shown on the following page. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 59 Sketch & Description of Proposed Acquisition: C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 60 Valuation Parcel 403 RDUE: Easements should be evaluated based on how they impact the utility/efficiency of the underlying fee simple ownership. They are not typically bought and sold on the open market. The subject’s proposed perpetual road right-of-way, drainage and utility easement acquisition significantly reduces the bundle of rights (previously defined in this report) remaining to the property owner. The easement has permanent above and below ground improvements with access rights to maintain these improvements. It is our estimate that the easement consumes 99% of the fee simple value. The proposed road right-of-way, drainage and utility easement acquisition area known as (Parcel 403 RDUE) is valued as follows. Previously the value for the parent tract was estimated at $16,000 per acre. The easement was estimated to consume 99% of this value or $15,800 per acre rounded ($16,000 x 99%). Applying $15,800 times the easement area of 6,550 square feet or 0.150 acres results in the following estimate. Valuation Summary Parcel 403 RDUE: Parcel 403 RDUE: 0.150 acres x $15,800 Per Acre = $2,370 $2,400 Rd. Remainder Property Description of Remainder: The remainder property size is unchanged at 5.15 acres for an estimated 224,400 square feet. It now includes the proposed easement acquisition area in its southern portion of 6,550 square feet or 0.150 acres as previously described. The remainder property is a vacant wooded site with the same road frontage, width of 330 feet, and depth of 680 feet. It continues to have access to Golden Gate Blvd. E. It is estimated that the highest and best use is unchanged and continues to be for single family residential development. In our opinion the remainder property is not damaged as a result of the proposed acquisition and no cost of cure is necessary. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 61 Valuation of Remainder: The value of the remainder property before and after the proposed acquisition is estimated to be the same since no damages were estimated. There are no improvements to consider. The value of the remainder property is obtained by subtracting the value of the acquisition from the parent tract. We invite your attention to the following information that summarizes these values. Value of Parent Tract: $82,000 Less Value of Acquisition (Parcel 403 RDUE): (2,400) Value of Remainder Property Before & After: $79,600 Compensation Due Owner: We invite your attention to the following summary of the estimated compensation due to the owner. Easement (Parcel 403 RDUE): $2,400 Improvements Acquired: 0 Total Compensation Due Owner: $2,400 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 62 Section 6 – Reconciliation of Value The Cost Approach and Income Approach to value were not included and not considered to be applicable in this appraisal. The cost approach was not used since there are no improvements to consider. The income approach was not used since vacant land is typically not purchased for its ability to generate a positive cash stream. The Sales Comparison Approach was used exclusively in estimating the market value of the parent tract prior to the right of way acquisition. In using this approach, the site valuation was initially completed followed by a valuation of the acquisition area. The value of the Remainder Property was than estimated and was not considered to be damaged as a result of the proposed acquisition. Finally the appraisers estimated the compensation due to the property owner. Based upon the results of the investigation and analyses contained in the following report, subject to the hypothetical condition and extraordinary assumptions noted in the attached appraisal, it is our opinion the total compensation due to the property owner for the proposed easement acquisition under market conditions existing November 18, 2015 is: TWO THOUSAND FOUR DOLLARS ............................................................................ ($2,400.00). CARLSON, NORRIS AND ASSOCIATES, INC. J. Lee Norris, MAI, SRA State-certified general real estate appraisal RZ643 Timothy P. Foster, Associate State-certified general real estate appraiser RZ2526 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 63 Section 7 – Certification and Limiting Conditions Certification of J. Lee Norris, MAI, SRA I certify to the best of my knowledge and belief: • The statements of fact contained in this report are true and correct. • The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and is our personal, impartial and unbiased professional analyses, opinions, and conclusions. • I have no present or prospective interest in or bias with respect to the property that is the subject of this report and have no personal interest in or bias with respect to the parties involved with this assignment. • My engagement in this assignment was not contingent upon developing or reporting predetermined results. • My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. • This appraisal assignment was not based upon a requested minimum valuation, a specific valuation, or the approval of a loan. • My analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice of The Appraisal Foundation and the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute, as well as the requirements of the State of Florida relating to review by its duly authorized representatives. This report also conforms to the requirements of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA). • The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. • J. Lee Norris has completed the requirements of the continuing education program of the Appraisal Institute. Certification is current through December 31, 2016. • J. Lee Norris has made a personal inspection of the property that is the subject of this report. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 64 • No one provided significant real property appraisal assistance to the persons signing this report. • J. Lee Norris has extensive experience in the appraisal/review of similar property types. • J. Lee Norris is currently certified in the state where the subject is located and has completed the continuing education requirements set forth with the State of Florida. Certification is current until November 30, 2016. • Although other appraisers may be contacted as a part of our routine market research investigations, absolute client confidentiality and privacy are maintained at all times with regard to this assignment without conflict of interest. • J. Lee Norris is in compliance with the Competency Provision in the USPAP as adopted in FIRREA 1989 and has sufficient education and experience to perform the appraisal of the subject property. • Carlson, Norris and Associates Incorporated has not previously appraised the subject property in the past five years. Based upon the results of the investigation and analyses contained in the following report, subject to the hypothetical condition and extraordinary assumptions noted in the attached appraisal, it is our opinion the total compensation due to the property owner for the proposed easement acquisition under market conditions existing November 18, 2015 is: TWO THOUSAND FOUR DOLLARS ............................................................................ ($2,400.00). CARLSON, NORRIS AND ASSOCIATES, INC. J. Lee Norris, MAI, SRA State-certified general real estate appraiser RZ643 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 65 Certification of Timothy P. Foster I certify to the best of my knowledge and belief: • The statements of fact contained in this report are true and correct. • The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and is our personal, impartial and unbiased professional analyses, opinions, and conclusions. • I have no present or prospective interest in or bias with respect to the property that is the subject of this report and have no personal interest in or bias with respect to the parties involved with this assignment. • My engagement in this assignment was not contingent upon developing or reporting predetermined results. • My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. • This appraisal assignment was not based upon a requested minimum valuation, a specific valuation, or the approval of a loan. • My analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice of The Appraisal Foundation and the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute, as well as the requirements of the State of Florida relating to review by its duly authorized representatives. This report also conforms to the requirements of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA). • The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. • Timothy P. Foster has completed the requirements of education for registration through the State of Florida is current until November 30, 2016. • Timothy P. Foster has made an inspection of the property that is the subject of this report. • No one provided significant real property appraisal assistance to the persons signing this report. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 66 • Although other appraisers may be contacted as a part of our routine market research investigations, absolute client confidentiality and privacy are maintained at all times with regard to this assignment without conflict of interest. • Timothy P. Foster is in compliance with the Competency Provision in the USPAP as adopted in FIRREA 1989 and has sufficient education and experience to perform the appraisal of the subject property. • Carlson, Norris and Associates Incorporated has not previously appraised the subject property in the past five years. Based upon the results of the investigation and analyses contained in the following report, subject to the hypothetical condition and extraordinary assumptions noted in the attached appraisal, it is our opinion the total compensation due to the property owner for the proposed easement acquisition under market conditions existing November 18, 2015 is: TWO THOUSAND FOUR DOLLARS ............................................................................ ($2,400.00). CARLSON, NORRIS AND ASSOCIATES, INC. Timothy P. Foster, Associate State-certified general real estate appraiser RZ2526 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 67 General Assumptions & Limiting Conditions Information Used: No responsibility is assumed for accuracy of information furnished by others or from others, including the client, its officers and employees, or public records. We are not liable for such information or for the work of contractors, subcontractors and engineers. The comparable data relied upon in this appraisal has been confirmed with one or more parties familiar with the transaction unless otherwise noted; all are considered appropriate for inclusion to the best of my factual judgment and knowledge. Certain information upon which the opinions and values are based may have been gathered by research staff working with the appraiser. Names, professional qualifications and extent of their participation can be furnished to the client upon request. Legal, Engineering, Financial, Structural or Mechanical Nature, Hidden Components, Soil: No responsibility is assumed for matters legal in character or nature nor matters of survey, nor of any architectural, structural, mechanical or engineering nature. No opinion is rendered as to the legal nature or condition of the title to the property, which is presumed to be good and marketable. The property is appraised assuming it is free and clear of all mortgages, liens or encumbrances, unless otherwise stated in particular parts of this report. The legal description is presumed to be correct, but I have not confirmed it by survey or otherwise. I assume no responsibility for the survey, any encroachments or overlapping or other discrepancies that might be revealed thereby. I have inspected, as far as possible by observation, the land thereon; however, it was not possible to personally observe conditions beneath the soil or hidden; as a result, no representation is made herein as to such matters unless otherwise specifically stated. The estimated market value assumes that no such conditions exist that would cause a loss of value. I do not warrant against the occurrence of problems arising from any of these conditions. It is assumed that there are no hidden or unapparent conditions to the property, soil, subsoil or structures, which would render them more or less valuable. No responsibility is assumed for any such conditions or for any expense or engineering to discover them. Information relating to the location or existence of public utilities has been obtained through inquiry to the appropriate utility authority, or has been ascertained from visual evidence. No warranty has been made regarding the exact location or capacities of public utility systems. Subsurface oil, gas or mineral rights were not considered in this report unless otherwise stated. Legality of Use: The appraisal is based on the premise that there is or will be full compliance with all applicable Federal, State and local environmental regulations and laws, unless otherwise stated in the report; and that all appropriate zoning, building and use regulations and restrictions of all types have been or will be complied with and required licenses, consent, permits or other authority, whether local, State, Federal and/or private, have been or can be obtained or renewed for the use intended and considered in the value estimate. Component Values: The distribution of the total valuation of this report between land and improvements applies only under the proposed program of utilization. The separate valuations of land and buildings must not be used in conjunction with any other appraisal, and are invalid if so used. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 68 A report related to an estate that is less than the whole fee simple estate applies only to the fractional interest involved. The value of this fractional interest, plus the value of all other fractional interests, may or may not equal the value of the entire fee simple estate considered as a whole. A report relating to the geographic portion of a larger property applies only to such geographic portion and should not be considered as applying with equal validity to other portions of the larger property or tract. The value for such geographic portions, plus the value of all other geographic portions, may or may not equal the value of the entire property or tract considered as a single entity. All valuations in the report are applicable only under the estimated program of the highest and best use and are not necessarily appropriate under other programs of use. Auxiliary and Related Studies: No environmental or impact studies, special market study or analysis, highest and best use analysis study or feasibility study has been requested or made by us unless otherwise specified in this report or in my agreement for services. I reserve the unlimited right to alter, amend, revise or rescind any of these statements, findings, opinions, values, estimates or conclusions upon any subsequent study or analysis or previous study or analysis that subsequently becomes available to us. Dollar Values, Purchasing Power: The value estimates and the costs used herein are as of the date of the estimate of value. All dollar amounts are based on the purchasing power and price of the United States dollar as of the date of value estimate Inclusions: Furnishings and equipment or business operations, except as otherwise specifically indicated, have been disregarded, with only the real estate being considered. Proposed Improvements Conditioned Value: For the purpose of this appraisal, on- or off-site improvements proposed, if any, as well as any repairs required, are considered to be completed in a good and workmanlike manner according to information submitted and/or considered by us. In cases of proposed construction, the report is subject to change upon inspection of the property after construction is complete. The estimate of value, as proposed, is as of the date shown, as if completed and operating at levels shown and projected. Value Change, Dynamic Market Influences: The estimated value is subject to change with market changes over time. Value is highly related to interest rates, exposure, time, promotional effort, supply and demand, terms of sale, motivation and conditions surrounding the offering. The value estimate considers the productivity and relative attractiveness of the property both physically and economically in the marketplace. The estimate of value in this report is not based in whole or in part upon race, color or national origin of the present owners or occupants of the properties in the vicinity of the property appraised. In the event this appraisal includes the capitalization of income, the estimate of value is a reflection of such benefits and my interpretation of income and yields and other factors which were derived from general and specific market information. Such estimates are made as of the date of the estimate of value. As a result, they are subject to change, as the market is dynamic and may naturally change over time. The date upon which the value estimate applies is only as of the date of valuation, as stated in the letter of transmittal. The appraisal assumes no responsibility for economic or physical factors occurring at some later date which may affect the opinion stated herein. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 69 An appraisal is the product of a professionally trained person, but nevertheless is an opinion only, and not a provable fact. As a personal opinion, a valuation may vary between appraisers based upon the same facts. Thus, the appraiser warrants only that the value conclusions are his best estimate as of the date of valuation. There are no guaranties, either written or implied, that the property would sell for the expressed estimate of value. Title Review: Unless otherwise stated, the appraiser has not reviewed an abstract of title relating to the subject property. No title search has been made, and the reader should consult an attorney or title company for information and data relative to the property ownership and legal description. It is assumed that the subject title is marketable, but the title should be reviewed by legal counsel. Any information given by the appraiser as to a sales history is information that the appraiser has researched; to the best of my knowledge, this information is accurate, but not warranted. Management of the Property: It is assumed that the property which is the subject of this report will be under prudent and competent ownership and management over the entire life of the property. If prudent and competent management and ownership are not provided, this would have an adverse effect upon the value of the property appraised. Confidentiality: We are not entitled to divulge the material (evaluation or valuation) content of this report and analytical findings or conclusions, or give a copy of this report to anyone other than the client or his designee, as specified in writing, except as may be required by the Appraisal Institute, as they may request in confidence for ethic enforcement, or by a court of law with the power of subpoena. All conclusions and opinions concerning the analyses as set forth herein are prepared by the appraisers whose signatures appear. No change of any item in the report shall be made by anyone other than the appraiser, and the firm shall have no responsibility if any such unauthorized change is made. Whenever our opinion herein with respect to the existence or absence of fact is qualified by the phrase or phrases "to the best of our knowledge", "it appears" or "indicated", it is intended to indicate that, during the course of our review and investigation of the property, no information has come to our attention which would give us actual knowledge of the existence or absence of such facts. The client shall notify the appraiser of any error, omission or invalid data herein within 10 days of receipt and return of the report, along with all copies, to the appraiser for corrections prior to any use whatsoever. Neither our name nor this report may be used in connection with any financing plans which would be classified as a public offering under State or Federal Security Laws. Copies, Publication, Distribution, Use of Report: Possession of this report, or any copy thereof, does not carry with it the right of publication, nor may it be used for other than its intended use. The physical report remains the property of the firm for the use of the client, with the fee being for the analytical services only. This report may not be used for any purpose by any person or corporation other than the client or the party to whom the report is addressed. Additional copies may not be made without the written consent of an officer of the firm, and then only in its entirety. Neither all nor any part of the contents of this report shall be conveyed to the public through advertising, public relations effort, news, sales or other media without my prior written consent and approval of the client. It has been assumed that the client or representative thereof, if soliciting funds for his project, has furnished to the user of this report complete plans, specifications, surveys and photographs of land C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 70 and improvements, along with all other information which might be deemed necessary to correctly analyze and appraise the subject property. Authentic Copies: Any copy that does not have original signatures of the appraiser is unauthorized and may have been altered and, therefore, is considered invalid. Testimony, Consultation, Completion of Contract for Appraisal Services: A contract for appraisal, consultation or analytical services is fulfilled and the total fee payable upon completion of the report. The appraisers or those assisting in the preparation of the report will not be asked or required to give testimony in court or hearing because of having made the appraisal in full or in part, nor will they be asked or required to engage in post appraisal consultation with client or third parties except under separate and special arrangement and at an additional fee. Any subsequent copies of this appraisal report will be furnished on a cost plus expenses basis, to be negotiated at the time of request. Limit of Liability: Liability of the firm and the associates is limited to the fee collected for preparation of the appraisal. There is no accountability or liability to any third party. Fee: The fee for this appraisal or study is for the service rendered, and not for time spent on the physical report. The acceptance of the report by the client takes with it the agreement and acknowledgement that the client will pay the negotiated fee, whether said agreement was verbal or written. The fee is in no way contingent on the value estimated. Special Limiting Conditions: The Americans with Disabilities Act became effective January 26, 1992. Not withstanding any discussion of possible readily achievable barrier removable construction items in this report, Carlson, Norris and Associates, has not made a specific compliance survey and analysis of this property to determine whether it is in conformance with the various detailed requirements of the A.D.A. It is possible that a compliance survey of the property together with a detailed analysis of the requirements of the A.D.A. could reveal that the property is not in compliance with one or more of the requirements of the A.D.A. If so, this fact could have a negative effect on the value estimated herein. Since Carlson, Norris and Associates has no specific information relating to this issue, nor is Carlson, Norris and Associates qualified to make such an assessment, the effect of any possible non compliance with the requirements of the A.D.A. was not considered in estimating the value of the subject property. This analysis is made in conformity with the requirements with the Uniform Standards of Professional Appraisal Practice and the Standards of Professional Conduct of the Appraisal Institute. Hypothetical Condition is defined as: “A condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results, but is used for the purpose of analysis. Hypothetical conditions are contrary to known facts about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in an analysis.” A hypothetical condition may be used in an assignment only if: • Use of the hypothetical condition is clearly required for legal purposes, for purposes of reasonable analysis, or for purposes of comparison; • Use of the hypothetical condition results in a credible analysis; and • The appraiser complies with the disclosure requirements set forth in USPAP for hypothetical conditions. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 71 Please note the following hypothetical condition: • For the sake of this report we assumed the proposed acquisition and roadway improvements have been completed as of the date of value, November 18, 2015. Extraordinary Assumption is defined as: “An assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser's opinions or conclusions. Extraordinary assumptions presume as fact otherwise uncertain information about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in an analysis.” An extraordinary assumption may be used in an assignment only if: • It is required to properly develop credible opinions and conclusions; • The appraiser has a reasonable basis for the extraordinary assumption; • Use of the extraordinary assumption results in a credible analysis; and • The appraiser complies with the disclosure requirements set forth in USPAP for extraordinary assumptions. Please note the following extraordinary assumptions: • A soil analysis for the site has not been provided for the preparation of this appraisal. In the absence of a soil report, it is a specific assumption that the site has adequate soils to support the highest and best use. The analyst is not an expert in area of soils, and would recommend that an expert be consulted. • It is assumed that there are no hidden or unapparent conditions to the property, soil, or subsoil, which would render them more or less valuable. Subsurface oil, gas or mineral rights were not considered in this report unless otherwise stated. The analyst is not an expert with respect to subsurface conditions, and would recommend that an expert be consulted. • It is assumed that there are no hazardous materials either at ground level or subsurface. None were noted during the property inspection. The analyst is not an expert in the evaluation of site contamination, and would recommend that an expert be consulted. • The appraisers were not provided a wetland study or report for the subject property. The value conclusions are based on the extraordinary assumption that any wetlands on the subject property would be minimal and would not affect its development potential. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 72 Section 8 – Addenda C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 73 ENGAGEMENT LETTER C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 74 ENGAGEMENT LETTER C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 75 License of J. Lee Norris, MAI License of Timothy P. Foster C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 76 QUALIFICATIONS OF J. LEE NORRIS, MAI, SRA STATE-CERTIFIED GENERAL REAL ESTATE APPRAISER RZ643 EDUCATION: Florida State University - 1978 Bachelor of Science - Real Estate Edison Community College - Associate of Arts Degree PROFESSIONAL EDUCATION: Narrative Report Writing Seminar - 1980 S.R.E.A. #101: Florida State University - 1978 S.R.E.A. R-2 Exam - 1981 A.I.R.E.A.: Course 1-B, Part 1, 2 & 3 - 1983 Farm and Land Institute - Citrus Seminar - 1982 A.I.R.E.A.: Standards of Professional Practice - 1984 S.R.E.A: Income Property Appraising - 1984 R41c Florida League of Financial Institutions - 1986 S.R.E.A.: Uniform Residential Appraisal Report - 1987 S.R.E.A. #202: Applied Income Property Valuation - 1987 A.I.R.E.A.: Rates, Ratio and Reasonableness - 1988 S.R.E.A.: Professional Practice Seminar - 1988 S.R.E.A.: Depreciation Analysis - 1988 Appraisal Institute: Appraisal Theory and Overview - 1992 Appraisal Institute: Banking Regulations - FIRREA - 1992 Appraisal Institute: Rates, Ratios, Reasonableness - 1992 Ted Whitmer Seminars: Comprehensive Appraisal Workshop 1992 Appraisal Institute: Standards of Professional Practice - Part A & B - 1992 Appraisal Institute: Appraisal Review - Income Properties - 1993 Appraisal Institute: New Uniform Residential Appraisal Report - 1993 Appraisal Institute: Understanding Limited Appraisals - 1994 Appraisal Institute: USPAP Core Law Update - 1994 Appraisal Institute: Electromagnetic Fields - 1994 Hondros Career Centers: Home Inspections - 1995 (40 Hours) Appraisal Institute: USPAP Core Law Update - 1995 Appraisal Institute: Appraising Retail Properties - 1996 Appraisal Institute: Standards of Professional Practice - Part A - 1996 Appraisal Institute: Standards of Professional Practice - Part B - 1996 NAIFA: Fair Lending Practices - 1997 SFWMD: Rural Properties in Southwest Florida - 1998 Appraisal Institute: USPAP/Core Law - 1998 Appraisal Institute: Appraisal Office Management -1998 Appraisal Institute: Core Law Update - 1998 Appraisal Institute: Attacking & Defending an Appraisal in Litigation - 2000 U.S. Department of Justice: Everglades/Big Cypress Market Study - 1999 Appraisal Institute: Defending an Appraisal in Litigation - 2000 Appraisal Institute: Appraisers Florida Law Update - 2000 Appraisal Institute: Course 430 - Standards - Part C - 2000 Appraisal Institute: 410 - Principles of Condemnation Appraising SFWMD: Appraisal Fundamentals, Project Influence and Natural Resource Impacts - 2001 Bert Rodgers - Online - Florida State Law & USPAP Review for Real Estate Appraisers - 2002 SFWMD: Current Appraisal Issues in Florida - 2002-2005 National USPAP Update Course – 2004, 2006, 2008 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 77 The Professional’s Guide to the URAR Form - June, 2005 SFWMD: 2006 Appraisal Seminar - April, 2006 Florida State Law for Real Estate Appraisers – August, 2006; September, 2008 Reappraising, Reassigning and Readdressing Appraisals, May 2007 Appraisal Challenges: Declining Markets and Sales Concessions - May, 2008 SFWMD: 2008 Appraisal Seminar - May, 2008 Supervisor Trainee Roles and Rules – September, 2008 Appraisal Institute: Business Practices and Ethics – December, 2008 Florida Department of Revenue – Value Adjustment Board Training – Sept., 2009 Appraisal Institute: USPAP Update Course – August, 2010 Appraisal Institute: Supervisor Trainee Roles and Rules – August, 2010 Appraisal Institute: Florida Law Update – August, 2010 Appraisal Institute: Forecasting Revenue – October, 2010 Appraisal Institute: The Uniform Appraisal Dataset from Fannie Mae and Freddie Mac– August, 2011 Appraisal Curriculum Overview (2 Day General) – November, 2011 Appraisal Institute: Appraising Convenience Stores Online Education – Dec., 2011 Florida Appraisal Law – May, 2012 Appraisal Institute: National USPAP Update Course – May, 2012 Appraisal Institute: Online Using Your HP12C financial Calculator – Oct 3, 2012 Appraisal Institute: How to Systemize Your Appraisal Business – April 17, 2013 Appraisal Institute: Online Appraisal Curriculum Overview-Residential –April 21, 2013 Appraisal Institute: Online Appraisal Curriculum Overview-General – April 28, 2013 Appraisal Institute: Online Appraisal Curriculum Overview-General –May 1, 2013 Appraisal Institute: Problems in Critical Thinking – February, 2014 Appraisal Institute: Florida Appraisal Law – April, 2014 Appraisal Institute: National USPAP Update Course – April, 2014 Appraisal Institute: Statistics, Finance and Valuation Modeling – September, 2014 Appraisal Institute: Trial Components – November, 2014 EXPERIENCE: 7/85 to present: Carlson, Norris and Associates, Inc. 3/82 to 6/85: Stewart & Stephan, Inc. Fort Myers, Florida 6/78 to 3/82: Webster & Associates, Inc. Fort Myers, Florida 1990-2005, 2009/13: Special Magistrate, Lee County Value Adjustment Board PROFESSIONAL MEMBERSHIP: 1989 - 1990 - President, S.R.E.A. Chapter 186 MAI Member #09852 - Appraisal Institute - 1993 SRA Member - Society of Real Estate Appraisers - 1983 Certification - State Certified General Appraiser #0000643 Member - Board of Realtors State of Florida - Registered Real Estate Broker Properties appraised include: subdivisions, retail centers, motels, commercial buildings, industrial buildings, warehouses, mobile home parks, professional offices, medical offices, office/warehouse condominiums, single family homes, duplexes, apartment projects (3 units and more), individual condominium projects, residential lots, acreage, wetlands and other miscellaneous properties. Appraisal clients include banks, savings and loan associations, attorneys, corporations, builders, developers, mortgage companies, home transfer companies, private individuals, and government agencies. Has been qualified as an expert witness in Lee County Circuit Court. Has been qualified as an approved appraiser for the Florida Department of Transportation, the Florida Department of Environmental Protection, National Park Service, the Lee County School Board, Lee County Division of Public Works, and the South Florida Water Management District. C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 78 QUALIFICATIONS OF TIMOTHY P. FOSTER STATE-CERTIFIED GENERAL REAL ESTATE APPRAISER RZ2526 EDUCATION: University of South Florida - 1986 Bachelor of Science - Accounting Norwich University, Vermont – 1979 Bachelor of Arts - Government PROFESSIONAL EDUCATION: Appraisal Institute: Appraisal Principles, Course 110 – March 1993 Appraisal Institute: Appraisal Procedures, Course 120 – April 1993 Appraisal Institute: Basic Income Capitalization, Course 310 – October 1997 Appraisal Institute: General Applications, Course 320 – April 1999 Appraisal Institute: Standards of Professional Practice Part A, Course 410 – April 1993 Appraisal Institute: Standards of Professional Practice Part B, Course 420 – April 1993 Appraisal Institute: Standards of Professional Practice Part C, Course 430 – Oct. 2002 Appraisal Institute: Advanced Income Capitalization, Course 510 – October 2001 Appraisal Institute: Highest & Best Use & Market Analysis, Course 520 – Sep. 2000 Appraisal Institute: Advanced Sales Comparison/Cost Approaches, Course 530 – Oct. 2002 Appraisal Institute: Report Writing & Valuation Analysis, Course 540 – Oct. 2003 Appraisal Institute: Advanced Applications, Course 550 – May 2004 Appraisal Institute: USPAP 7-Hour Update – October 2004 and August 2006 Appraisal Institute: Florida State Law – September 2004 Appraisal Institute: General Appraisal Report Writing – May 2003 and September 2005 Academy of Real Estate Education Inc.: Valuation of Partial Interest – November 2006 Academy of Real Estate Education Inc.: Diversity – October 2006 Appraisal Institute: Case Studies in Commercial Highest and Best Use – September 2005 Academy of Real Estate Education Inc.: Red Flags – August 2008 Academy of Real Estate Education Inc.: Techniques of Income Property Appraisal – August 2008 Academy of Real Estate Education Inc.: National USPAP – August 2008 Academy of Real Estate Education Inc.: Supervisor Trainee Roles and Relationships – August 2008 Academy of Real Estate Education Inc.: Core Law for Appraiser – August 2008 Appraisal Institute: 420 Business Practice and Ethics – November 2007 Robert E. Keller Inc.: Bullet Proof Work File Course – October 2010 Robert E. Keller Inc.: Ethics in the Appraisal Business – October 2010 Robert E. Keller Inc.: FREAB Complaints and Your License – October 2010 Robert E. Keller Inc.: Mortgage Fraud: A Dangerous Business – October 2010 Robert E. Keller Inc.: Roles & Rules of Supervisors & Trainees – October 2010 Robert E. Keller Inc.: USPAP Update – October 2010 Robert E. Keller Inc.: The Florida Rule and Law Update for 2010 – October 2010 Robert E. Keller Inc.: Mortgage Fraud a Year in Review the FBI – November 2012 Robert E. Keller Inc.: Ethics in the Appraisal Business – November 2012 Robert E. Keller Inc.: Investigative Review Course – November 2012 Robert E. Keller Inc.: Bullet Proof Work File Course – November 2012 Robert E. Keller Inc.: Roles & Rules of Supervisors & Trainees – November 2012 Robert E. Keller Inc.: FREAB Complaints and your License – November 2012 Robert E. Keller Inc.: The Florida Rule and Law Update for 2010 – November 2012 Robert E. Keller Inc.: Florida Law Update – July 2014 C O L L I E R C O U N T Y T R A N S P O R T A T I O N R I G H T -O F W A Y G R O U P C A R L S O N , N O R R I S A N D A S S O C I A T E S , I N C . 79 Robert E. Keller Inc.: USPAP Update – July 2014 Robert E. Keller Inc.: Ethics in the Appraisal Business – September 2014 Robert E. Keller Inc.: FHA/VA Appraiser: Thriving & Surviving – September 2014 Robert E. Keller Inc.: Bullet Proof Work File Course – September 2014 Robert E. Keller Inc.: FREAB Complaints and Your License – September 2014 Robert E. Keller Inc.: Roles and Rules of Supervisors & Trainees – September 2014 EXPERIENCE: 7/12 to present: Carlson, Norris and Associates, Inc. Fort Myers, Florida 2/96 to 9/10: Hanson Real Estate Advisors, Inc. Fort Myers, Florida 10/93 to 1/96: Allied Appraisers & Consultants, Inc. Fort Myers, Florida PROFESSIONAL MEMBERSHIP: State of Florida State-Certified General Real Estate Appraiser RZ2526 State of Florida Real Estate Broker BK581243 Properties appraised include: commercial and residential acreage, industrial buildings, warehouses, retail centers, office buildings, commercial buildings, apartment complexes, agricultural land, vacant land, special use properties, and other miscellaneous properties. Appraised numerous properties for eminent domain purposes and qualified as an expert witness in Lee County Circuit Court. Appraisal clients include attorneys, banks, corporations, developers, private individuals, and government agencies.