APPRAISAL OF REAL PROPERTY OF VACANT LAND – MIXED USE GEORGIA HIGHWAY 16 & GEORGIA HIGHWAY 23/42 BUTTS COUNTY, GEORGIA
AS OF: OCTOBER 25, 2007
PREPARED FOR JAMES E. STROUP, JR.
BANK OF COWETA P.O. BOX 1218 NEWNAN, GA 30264
PREPARED BY
FLETCHER & COMPANY REAL ESTATE APPRAISALS AND CONSULTATION P.O. BOX 884 GRIFFIN, GA 30224 (770) 227-4008
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October 25, 2007 James E. Stroup, Jr. Bank of Coweta P.O. Box 1218 Newnan, Georgia 30264
Mr. Stroup:
RE: Summary Appraisal Report Vacant Land – Mixed Use GA Hwy 16 and GA Hwy 23/42 Jackson, Butts County, Georgia
In accordance with your request I have personally inspected the above captioned property for the purpose of estimating the Market Value in the Fee Simple Interest. The effective date of this appraisal is October 23, 2007. Submitted herewith is my report containing pertinent facts and data gathered in my investigation. The method of appraising is detailed in the attached narrative report. As of October 23, 2007 it is my opinion that the Market Value with Fee Simple Interest in the subject property is:
Four Million Three Hundred Twenty Five Thousand Dollars ($4,325,000) The undersigned appraiser states that his employment was not conditioned upon his producing a specific value or a value within a given range. Further employment or the payment of the fee is not dependent upon producing specified values. It has been a pleasure to serve you in this matter. Respectfully submitted, FLETCHER & COMPANY Jason D. Fletcher State of Georgia Certified General Appraiser #211251
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TABLE OF CONTENTS SUMMARY OF SALIENT FACTS AND CONCLUSIONS........................................................ 4 INTRODUCTION ........................................................................................................................ 5 ASSUMPTIONS AND LIMITING CONDITIONS ....................................................................................... 6 CERTIFICATION................................................................................................................................... 8 APPRAISER COMPETENCY .................................................................................................................. 9 DEFINITIONS ....................................................................................................................................10 ASSIGNMENT DESCRIPTION ............................................................................................... 13 Appraisal Objective and Property Rights ................................................................................14 Intended Use and Intended Users............................................................................................14 Effective Date of the Appraisal / Report Date .........................................................................14 Statement of Ownership and Sales History ............................................................................15 THE SCOPE OF WORK .......................................................................................................................16 IDENTIFICATION OF PROPERTY .......................................................................................... 18 PROPERTY DATA ...............................................................................................................................19 Description of Site ......................................................................................................................19 PHOTOGRAPHS OF SUBJECT PROPERTY ...........................................................................................22 AREA & NEIGHBORHOOD OVERVIEW..............................................................................25 Location Maps of Subject Property...........................................................................................29 Subject Area Soils Map..............................................................................................................33 HIGHEST AND BEST USE ..................................................................................................................34 VALUATION.............................................................................................................................. 36 THE VALUATION PROCESS ...............................................................................................................37 APPROACH TO VALUE .......................................................................................................................38 SALES COMPARISON APPROACH (COMMERCIAL ACREAGE) ............................................................39 SALES COMPARISON APPROACH (MULTI-FAMILY ACREAGE)..........................................................43 SALES COMPARISON APPROACH (SINGLE-FAMILY ACREAGE).........................................................46 INCOME APPROACH ...................................................................................................................49 Discounted Cash Flow Analysis................................................................................................50 RECONCILIATION AND FINAL ESTIMATE ........................................................................ 51 ADDENDA ................................................................................................................................. 52 SUPPORTING DOCUMENTS FOR SUBJECT PROPERTY.......................................................................53 Exhibit “A” - Engagement Letter..............................................................................................54 Exhibit “B” – Subject Legal Description & Plat ......................................................................57 Exhibit “C” – County Tax Assessment .....................................................................................61 Exhibit “D” – Ordinance ............................................................................................................64 SUPPORTING DOCUMENTS FOR COMPARABLE SALES......................................................................71 Exhibit “E” – Profiles for Commercial Land Sales ..................................................................72 Exhibit “F” – Location Map for Commercial Land Sales........................................................80 Exhibit “G” – Profiles for Multi-Family Land Sales................................................................82 Exhibit “H” – Location Map for Multi-Family Land Sales .....................................................90 Exhibit “I” – Profiles for Single-Family Land Sales................................................................92 Exhibit “J” – Location Map for Single-Family Land Sales.....................................................98 APPRAISER QUALIFICATIONS – LICENSE & RESUME.....................................................................100
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Summary of Salient Facts and Conclusions Property Type:
Vacant Land – Mixed Use
Property Address:
GA Hwy 16 (a.k.a. 1044 West 3rd St.) & GA Hwy 23/42 Jackson, Butts County, Georgia
Parcel ID:
0032023 & 0032024
Client:
Bank of Coweta
Owner:
Caledonian Land Company, LLC
Site Size:
142.32 Acres
Improvements:
Brick Home & Barn
Year Built:
1951
Zoning:
35.11 Acres – R-20 27.29 Acres – C-2 79.92 Acres – RM
Interest Appraised:
Fee Simple
Effective Date of Appraisal:
October 23, 2007
Date of Report
October 25, 2007
Final Estimate of Value:
$4,325,000
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Introduction
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Assumptions and Limiting Conditions The appraisal is made subject to the following conditions and assumptions: 1. Any legal description or plats reported herein are assumed to be accurate. Any sketches, plats or drawings included in this report are included to assist the reader in visualizing the property. I have made no survey of the property and assume no responsibility in connection with such matters. 2. No responsibility is assumed for matters legal in nature. Title is assumed to be good and marketable and in fee simple unless discussed otherwise in this report. The property is appraised as free and clear of existing liens, assessments and encumbrances, except as noted in the attached report. 3. The appraiser does not assume responsibility for sub-surface soil conditions. No geological reports have been furnished to the appraiser. 4. Unless otherwise noted, it is assumed that there are no encroachments, zoning or restriction violations affecting the subject property. 5. The property is assumed to be under competent and aggressive management. 6. Information, estimates, and opinions used in this appraisal are obtained from sources considered reliable; however, no liability for them can be assumed by the appraiser. 7. The value estimates reported herein apply to the entire property and any proration or division of the total into fractional interests will invalidate the value estimate, unless such proration or division of interests is set forth in the report. 8. This report may not be used for any purpose other than as stated in the report, by any other than the client without previous consent of the appraiser and his client and then only with proper qualifications. 9. The appraiser assumes the reader or user of this report has been provided with copies of all leases and amendments, if any, encumbering this property. 10. Neither all nor any part of the contents of this report shall be conveyed to the public through advertising, public relations, news sales or other media, without the prior written consent and approval of the author.
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This pertains particularly to valuation conclusions, the identity of the appraiser or firm with which he is associated. 11. The final value estimate has been concluded on the basis that the property is environmentally compliant. Further the acreage was based on information provided by the owner and/or public records. If the actual acreage or developable unit is different than the amounts used in this report, the appraiser reserves the right to modify this report. 12. The final value estimate has been concluded on the basis that the subject is not subject to flooding. For an official determination a certified survey is recommended.
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Certification I certify that, to the best of my knowledge and belief: -
The statements of fact contained in this report are true and correct.
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Jason Fletcher visited and inspected the subject property and the comparables used in the report under review.
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The reported analyses, opinions, and conclusions in this review report are limited only by the assumptions and limiting conditions stated in this review report, and are my personal, unbiased professional analyses, opinions, and conclusions.
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I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. I have no bias with respect to the property that is the subject of this report.
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My engagement in this assignment or in any future assignment is not contingent upon developing or reporting predetermined results.
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My compensation is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event. -
My analyses, opinions, and conclusions were developed, and this review report was prepared in conformity with the Georgia Real Estate Appraiser Classification and Regulation Act and the rules and regulations of the Georgia Real Estate Appraisers Board. _____________________________________________ Jason D. Fletcher – Certified General Appraiser #211251
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Appraiser Competency - Jason D. Fletcher is experienced in the valuation of commercial, retail, office, industrial, land acquisition and development, multi-family, condemnation, recreational and special purpose properties. For additional information on the competency of the appraiser, please review the Qualifications of Appraiser in this report. The appraiser has extensive experience in appraising various types of commercial developments similar to the subject property and is considered to be competent in performing an appraisal on the subject property. The appraiser is also considered to be competent in the area of which the subject property is located.
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Definitions Market Value Market Value is defined as: “The most probable price which 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 are the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: 1. buyer and seller are typically motivated; 2. both parties are well informed or well advised, and acting in what they consider their best interests; 3. a reasonable time is allowed for exposure in the open market; 4. payment is made in terms of cash in United States dollars or in terms of financial arrangements comparable thereto; and 5. 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.”2 Fee Simple Interest or Estate “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.”3 Real Property “All interests, benefits, and rights inherent in the ownership of physical real estate; the bundle of rights with which the ownership of the real estate is endowed.” In some states, real property is defined by statute and is synonymous with real estate. See also personal property; real estate.4 Improvements “Buildings or other relatively permanent structures or developments located on, or attached to, land.”5 2 Uniform
Standards of Professional Appraisal Practice, 2006 Edition (The Appraisal Foundation), p. 194 (as published in Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) of 1989). 3 The Dictionary of Real Estate Appraisal, 4th Ed., (Chicago Appraisal Institute, 2002), p. 113 4 Ibid, 234. 5 Ibid, 142
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Personal Property “Identifiable tangible objects that are considered by the general public as being ‘personal’ -for example, furnishings, artwork, antiques, gems and jewelry, collectibles, machinery and equipment; all tangible property that is not classified as real estate.”6 Intangible Personal Property “Property that has no physical existence beyond merely representational, nor any extrinsic value; includes rights over tangible real and personal property, but not rights of use and possession. Its value lies chiefly in what it represents. Examples include corporate stock, bonds, money on deposit, goodwill, restrictions on activities (for example, patents and trademarks), and franchises. Note: Thus, in taxation, the rights evidenced by outstanding corporation stocks and bonds constitute intangible property of the security holders because they are claims against the assets owned and income received by the corporation rather than by the stockholders and bondholders; interests in partnerships, deeds, and the like are not ordinarily considered intangible property for tax purposes because they are owned by the same persons who own the assets and receive the income to which they attach.”7 Goodwill “The intangible asset that arises as a result of a name, reputation, customer patronage, location, products, and similar factors that have not been separately identified and/or valued but that generate economic benefits.8 Exposure Time “The estimated length of time the property interest being appraised would have been offered on the market prior to a hypothetical consummation of a sale at market value on the effective date of the appraisal.9 It is our opinion that the estimated exposure time for the subject property prior to the effective date of this report would have been twelve to eighteen months.
6 Uniform
Standards of Professional Appraisal Practice, 2006 Edition (The Appraisal
Foundation), p.4.
7 The
Dictionary of Real Estate Appraisal, 4th Ed., (Chicago Appraisal Institute, 2002), p.
8 The
Dictionary of Real Estate Appraisal, 4th Ed., (Chicago Appraisal Institute, 2002), p.
148. 128.
9 Uniform
Standards of Professional Appraisal Practice, 2006 Edition (The Appraisal
Foundation), p. 90.
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Marketing Time “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.”10 With regard to marketability, primary consideration has been given to the subject's overall location, features, the socioeconomic characteristics of the area, and probable near-term and long-term market demand for the property. The marketing time for the appraised is based on a review of real estate sales, some of which are provided later in this report, together with conversations with brokers and other real estate professionals in the subject market. The estimated marketing time is estimated to be eighteen to twenty-four months based on current market conditions. Market conditions are considered favorable with reasonable interest rates and no financing concessions necessary.
10 Uniform
Standards of Professional Appraisal Practice, 2006 Edition (The Appraisal
Foundation), p. 128.
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Assignment Description
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Property Identification The subject property is considered to be vacant land located on GA Highway 16 (a.k.a. West 3rd Street) and GA Hwy 23/42 in Jackson, Butts County, Georgia. The subject tract is located in Land Lots 86, 87, 106 and 107 of the 1st Land District of Butts County. The total site contains approximately 142.32 acres. It is identified by the Butts County Assessor’s Office as Parcel Numbers 0032023 & 0032024. Below is a copy of the plat.
Appraisal Objective and Property Rights The objective of this appraisal is to estimate the current fee simple market value of the real estate. Intended Use and Intended Users Per Standard Rule 1-2 of USPAP, the intended use and users of the appraisal must be stated. Bank of Coweta needs the market value of the Fee Simple Interest in the subject property for collateral evaluation purposes. The intended user of the report would be Bank of Coweta. All information contained within this report is confidential between the client and the undersigned appraiser(s). Any information contained in this report cannot be released to a third party without written permission from the client only. Effective Date of the Appraisal / Report Date The final estimate of market value represents our opinion estimates as of October 23, 2007, the most recent date of the real estate inspection. The report date is October 25, 2007.
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Statement of Ownership and Sales History Standards Rule 1-5 of USPAP requires an analysis of all agreements of sale, options, or listings, and at least a three-year sales history of the subject property. According to Butts County Deed Book 538 Pages 19-20, Caledonian Land Company purchased 142.32 acres from G & R Homes, Inc. on July 19, 2006 for $4,625,400. The subject tract has been sold in the last three years. G & R Homes purchased the subject tract from Douglas E. Briscoe on the same day, July 19, 2006, for $3,769,600. The tract has been exposed to the market over the past year by way of a sign on the subject tract and a listing with John Rucker of Rucker Company, a real estate firm, since July of 2006.
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The Scope of Work According to Advisory Opinion 28 of USPAP, an appraisal must “1) identify the problem to be solved; 2) determine and perform the scope of work necessary to develop credible assignment results; and 3) disclose the scope of work in the report.”1 The primary purpose of the appraisal is to meet the requirements of Title XI of the Federal Financial Institutions Reform, Recovery, and Enforcement Act (“FIRREA”) of 1989 with respect to real estate-related financial transactions as we understand these requirements. Bank of Coweta needs an appraisal to assist it with collateral valuation of the subject property. This Summary appraisal report covers the necessary collection and analysis of data, property inspections and the application of accepted approaches to value. This report sets forth the rationale, assumptions, conditions and significant facts upon which the final value is based. All of the generally accepted approaches to value have been considered within this report. The Sales Comparison is the only method applicable in the valuation of the subject tract. There are no improvements and no proposed improvements there for the Cost Approach in not applicable. There is no real potential for income from the vacant land therefore the Income Approach is not applicable. The following is a brief discussion of the various inspections and analysis and data collection and analysis considered and utilized in arriving at a conclusion of value. 1. An inspection and analysis of area and neighborhood factors which would have an impact on the subject property. 2. An inspection and analysis of the physical features of the subject property and any factors which would have a positive or negative influence on value. 3. Property consideration of the present zoning and a discussion of highest and best use of the subject. 4. The collection, analysis, and verification of market data considered pertinent to arriving at the value estimates made by the Sales Comparison, Cost and Income Approach (when applicable). 5. The value indications for the three approaches are then reconciled into a final estimate of value.
1 Ibid.
P. 213.
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6. An inspection and analysis of the physical features of the subject property and any factors which would have a positive or negative influence on value. 7. Property consideration of the present zoning and a discussion of highest and best use of the subject. 8. The collection, analysis, and verification of market data considered pertinent to arriving at the value estimates made by the Sales Comparison, Cost and Income Approach (when applicable). 9. The value indications for the three approaches are then reconciled into a final estimate of value. The appraisal has been prepared in accordance with Uniform Standards of Professional Appraisal Practice requirements (USPAP).
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Identification of Property
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Property Data Description of Site Location:
GA Hwy 36 (a.k.a. 1044 West 3rd St) & GA Hwy 23/42 Jackson, Butts County, Georgia
Land Area:
142.32 Acres
Shape:
The subject property is considered slightly irregular in shape.
Frontage:
The site has 1731.12 LF of road frontage on GA Hwy 16 & 1178.01 LF of road frontage on GA Hwy 23/42
Topography:
The site is best described as rolling terrain with several creeks running through the tract.
Utilities:
Water, Sewer and Electricity are available to the property.
Environmental:
There were no visible signs of hazards from the visit to the site. This report assumes that there are no environmental hazards present that would impact the value of the property.
Flood Plain:
As per information provided by the owner, there is approximately 25 acres of wetland which includes the 8 acres of area within a pond. The area designated as flood plain can also been examined on the plat in the addenda of this report.
Easements:
The appraiser is not aware of any detrimental easements or encroachments encumbering the site other than typical utility and access easements.
Real Estate Taxes:
The subject tracts are identified by Butts County Tax Assessor’s Office with a Parcel Number. The following table details the subject’s current assessment and taxes payable to the city and county.
2007 Property Assessment Data Parcel No.
0051 006B Total
SF
Land Size Acres
32024 76,230 6,137,604
Land
Tax Appraisal Data Improvements
Total
Tax Asessed Value @ 40%
Millage Rate City & County
1.750 $ 52,500 $ 95,832 $ 148,332.00 $ 59,332.80 140.900 $ 923,850 $ ‐ $ 923,850.00 $ 369,540.00
Property Taxes 2006
33.2320 $ 1,971.75 33.2320 $ 12,280.55 $ 14,252.30
Based on the value conclusion in this report, the subject is under assessed for tax valorem purposes.
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Zoning:
The subject site is designated with three different zonings. 35.11 acres is zoned R-20, Single-Family Residential Medium Density, 27.29 acres is zoned C-2, Neighborhood Business District, and the remaining 79.92 acres is zoned RM, Multi-Family Residential, by the city of Jackson. The surrounding neighborhood consists of various free standing retail and commercial improvements at major intersections and scattered along state highways and main through fares, with single-family residential developments scattered along state highways and on the secondary streets. For official zoning and allowances, a letter of permissible uses must be obtained from the city of Jackson Planning and Zoning Department. The excerpt from the City of Jackson Zoning Ordinance is located in the Addenda section of this report.
Dimensional Requirements: R-20 Zoning, Single-Family Residential Medium Density: Minimum Lot Width: 100’ Minimum Lot Size (SF): 21,780 SF Front Setback: 80’ Rear Setback: 30’ Side Setback: 10’ Minimum Building Size: 1,500 SF Maximum Building Height: 35’ C-2 Zoning, Neighborhood Business District: Minimum Lot Width: None Minimum Lot Size (SF): None Front Setback: 100’/70’ Rear Setback: 12’ Side Setback: None Minimum Building Size: None Maximum Building Height: 35’ RM Zoning, Multi-Family Residential: Minimum Lot Width: 60’ Minimum Lot Size (SF): 12,000 SF for 1st unit, 3,000 SF for 2nd unit & 1,000 SF for each additional unit Front Setback: 80’/65’ Rear Setback: 30’ Side Setback: 10’ Minimum Building Size: 1,000 SF for the 1st unit & 600 SF for each additional unit Maximum Building Height: 40’
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Description of Improvements: There is a brick home and a barn on the subject tract. Neither improvement lends any value to the land. The Home is poor shape. It appears as though the home may have been going through some renovations. The ceilings are caving in, many windows are broken or missing and there maybe some weather damage also. The house could be renovated but will need a lot of work.
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Photographs of Subject Property
Facing East on GA Hwy 16
Facing West on GA Hwy 16
Facing North on GA Hwy 23/42
Facing North on GA Hwy 23/42
Subject Tract from GA Hwy 16
Subject Tract from Behind House
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Brick Home on GA Hwy 16
Sunroom
Rear of Subject Home
Living Room of Subject Home
Low land running parallel to GA Hwy 23/42
8 ac. Lake on the Subject Tract
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AREA & NEIGHBORHOOD OVERVIEW Introduction The purpose of this analysis is to review historic and projected economic and demographic data to determine whether Butts County and the subject neighborhood will experience future economic stability, or decline. The subject tract is located on GA Hwy 16 also known as West 3rd Street and on GA Hwy 23/42 within the city limits of Jackson in Butts County, Georgia. The immediate neighborhood consists of all types of developments including commercial, single-family residential, multi-family residential and scattered industrial developments. The subject tract is located west of the courthouse square in Jackson. GA Hwy 16 is the main east-west corridor through Butts County. GA Hwy 23/42, which is on the east portion of the subject tract, traverses to the north through the northeast portion of Butts County and on into the southern portion of Henry County and the cities of Locust Grove and McDonough. In summary the immediate neighborhood consists of commercial and multi-family development along major through fares and single-family residential developments along secondary and feeder roads. Population In 1990, Butts County’s population was 15,326; in 2000 the population had grown to 19,522, indicating a compound annual growth rate of 2.15% between 1990 and 2000. The year-end 2006 population estimate was 23,561 indicating a compound annual increase of 2.86% between 2000 and 2006. The following table illustrates historical population trends for Jackson, Butts County, and the State of Georgia.
Between 2000 and 2006, the population in Butts County grew at an estimated compound rate of 1.45%, while the State of Georgia grew at a rate of 1.95% for the same period. Given the recent compound increase in the population base for Butts County, the population growth trends foreshadow an inconsistent and unstable growth and economic trend into the foreseeable future. However, due to the growth of Henry County, which adjoins Butts
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County to the north development of residential and commercial property is expected to rise over the next five years in the county. Developer’s have already sought after Butts County for the next development “push” in the near future. The highest concentrated age group of the county’s inhabitants is between the ages of 35-54, or 31.9%. In terms of household size, at the end of 2005 the number of households stood at 6,455 in Butts County with an average household size of 2.73 persons and an average family size of 3.15 persons. A demographic profile for Butts County appears in the chart below.
As the year end 2005 statistics indicates that 42.9% of the households in Butts County earned over $50,000 per annum. As indicated in the table above, Butts County was below the State of Georgia in median household income.
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Area Business and Related Economic Trends According to the US Census Bureau, the number of employed people in Butts County in 2005 was 8,114, resulting in an unemployment rate of 2.1%, or 325 persons. A comparison of the major components of the economic base for 2005 is presented in the table below.
In summary, the Metropolitan Atlanta economy continues to send mixed messages, which is reflective as the national economy as a whole. Unemployment rates for both Metro Atlanta and the state of Georgia have recently remained stable; however, as two automotive plants close, the Bellsouth/AT&T merger, and the fate of Delta Airlines and its attempt to restructure under bankruptcy protection, long-term economic predictions are not possible. These are major employers of not just the Atlanta area but suburban counties as well.
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Neighborhood/Market Analysis Jackson has just started to experience an increase in residential development in the past 3 years. There have been tracts purchased in the area by real estate development companies for future site development. Commercial development is on the rise on Georgia Highway 16 in Jackson and near Interstate 75. There are plans for a new large mixed use development that will contain single family, multi-family, a shopping center, and commercial out parcels for restaurants and retail. Henry County is located north of the subject and is responsible for the upswing in residential development in Butts County. Henry County was recently ranked as one of the fastest growing counties in the state as well as the nation. Residential and commercial development appears to be stable into the foreseeable future due to the growth of the region. Supporting facilities such as shopping, schools, churches, area employment, and recreation are located in close proximity.
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Location Maps of Subject Property
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Subject Neighborhood Map
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Aerial Map for Neighborhood
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Drive Time Map to the Subject Tract
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Subject Area Soils Map
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Highest and Best Use Highest and Best Use is a real estate valuation principle that dictates that the market trends to put property to its most profitable use, and that use which provides the greatest benefits of ownership. The Appraisal of Real Estate, 12th Edition, defines highest and best use as:
The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and that results in the highest value. Because the principle of highest and best use reflects the actions of the market, generally accepted professional appraisal practice requires that the subject property must be valued under this premise. If the property being appraised is improved with a structure, two highest and best use analyses are required; the highest and best use of the land as though vacant, and the highest and best use of the total property as developed. The highest and best use analysis is developed using the following four criteria. The highest and best use must be Legally Permissible, Physically Possible, Financially Feasible, and Maximally Productive. Land as Vacant
Physically Possible – As previously mentioned, the subject property contains
142.32 acres. Many uses would be physically possible including commercial, office, single-family residential, multi-family residential, industrial, service, or other compatible uses.
Legally Permissible – In estimating the highest and best use of a property,
the legally permissible uses are typically determined by the zoning constraints of the jurisdiction in which the property is located. The subject parcel is located within the city limits of Jackson in Butts County and is under this jurisdiction of the city of Jackson. The property has three zonings. 35.11 acres is zoned R-20, Single-Family Residential, 27.29 acres is zoned C2, Neighborhood Business District, and 79.92 acres is zoned RM, MultiFamily Residential. The subject is located in a neighborhood that is predominately composed of commercial and multi-family residential development along state highways and major intersections and single-family residential development along secondary and feeder roads. According to the City of Jackson Planning and Zoning Department, the subject’s current use as a vacant mixed-use tract is a legal and conforming use and is compatible with the surrounding land uses. For official zoning and allowances, a letter of permissible uses must be obtained from the City of Jackson’s Planning and Zoning Department.
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Financially Feasible and Maximally Productive Uses – After determining
which uses are physically possible and legally permissible, it is necessary to determine what potential uses are economically feasible. A use that produces an overall positive return, be it cash flow or return on investment, is economically feasible. From the list of economically feasible uses, the one use that produces the greatest return is chosen. This is the maximally productive use and, therefore, is the highest and best use of the property. This thought process could be described as a detailed process of elimination.
Maximally Productive – Of all the financially feasible uses, each use is
analyzed to determine which use will return the highest profit or which use will be the maximally productive use.
Highest and Best Use as Vacant – Of the available alternative uses that are
physically and legally acceptable, the best use for the subject site as is vacant would be to develop the site under the current zonings with commercial, multi-family and single-family developments.
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Valuation
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The Valuation Process The valuation process is the orderly program in which data used to estimate the value of the subject property are acquired, classified, analyzed, and presented. The first step in the process is to define the appraisal problem, i.e., identify the real estate, the effective date of value estimate, the property rights being appraised, and the type of value sought. Once this has been accomplished, the Appraiser collects and analyzes the factors that affect the market value of the subject property. These factors are addressed in the area and neighborhood analysis, the site and improvement analysis, and the highest and best use analysis, and in the application of the three approaches to value: The sales comparison approach, the cost approach, and the income capitalization approach. The sales comparison approach is used to estimate the value of the land as though vacant and/or the property as improved. The Appraiser gathers data on sales of comparable properties and analyzes the nature and conditions of each sale, making logical adjustments for dissimilar characteristics. Typically, a common denominator is found. For land value, the unit of comparison is usually price per square foot or per acre. The second approach applied is the cost approach to value. Accrued depreciation is deducted from the new cost of the improvements and this figure is added to the land value to indicate the value of the whole property. The third approach applied is the income capitalization approach and is predicated on the assumption that a definite relationship exists between the amount of income a property can earn and its value. In other words, value is created by the expectation of benefits to be derived in the future. In this approach, the anticipated annual net income of the subject property is processed to produce an indication of value. Net income is the income generated before payment of any debt service. Income is converted into value through capitalization, in which net income is divided by a capitalization rate. Factors such as risk, time, interest on capital invested, and recapture of the depreciating assets are considered in selecting the capitalization rate. The final step in the valuation process is the reconciliation or correlation of the value indications. In the reconciliation, the Appraiser considers the relative applicability of each approach used, examines the ranger of the value indications, and gives most weight to the approach that appears to produce the most reliable solution to the appraisal problem. The purpose of the appraisal, the type property, and the adequacy and reliability of each approach to value are all taken into consideration. To apply the three approaches to value, information pertaining to the fair market value of the subject property must be derived from the market because the Appraiser seeks to anticipate the actions of buyers and sellers in the market.
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Approach to Value The Sales Comparison is applicable for the subject property and will be utilized to value the property. The Income Approach is considered to be not applicable due to the fact that the subject tract is vacant and has no potential for any real income. The Cost Approach is considered not to be applicable for the subject property since the land is vacant and proposed uses or buildings are not in the scope of work.
Fletcher & Company 38 Real Estate Appraisals & Consultation
Sales Comparison Approach (Commercial Acreage) This indication of value for the subject property is based on an analysis of the sales of similar properties located in similar market areas. A search was conducted for the most comparable or similar type facilities in the subject property’s market area. The following sales are considered to be the most comparable and current sales data from which to compare the subject and have been adjusted for accordingly. A comparable analysis is set forth as follows: `
`
`
INPUT DATA: Property or Comparable Location
Land Size Primary (Acres): (Square Feet): Zoning/Use:
Subject
Land Comp 1
Land Comp 2
Land Comp 3
GA Hwy 16 & GA Hwy 23/42
Off GA Hwy 16
531 Old Bethel Road
Colwell Rd/I-75
Jackson, GA
Jackson, GA
Jackson, GA
Butts County, GA
Butts County, GA
Butts County
Butts County
Butts County
27.290
40.410
13.057
80.650
24.740
13.289
12.848
5.000
1,188,752
1,760,260
568,763
3,513,114
1,077,674
578,869
559,659
217,800
C-2 - Commercial
Mixed-Use
C-1
Comm.
Commercial
Commercial
Commercial
Commercial
Dec-06
Mar-07
Oct-06
May-05
Jun-06
Aug-06
Feb-04
$1,388,200
$410,000
$4,462,920
$1,360,700
$850,000
$1,316,000
$200,000
$34,353
$31,401
$55,337
$55,000
$63,963
$102,428
$40,000
Sale Date: Transaction Price: Price Per Acre:
Land Comp 4
Land Comp 5
GA Hwy 16 & Wallace Rd GA Hwy 16 & Old Griffin Rd Jackson, GA
Land Comp 6
Land Comp 7
Glade Road
GA Hwy 16
Butts County, GA
Jackson, GA
Butts County
Butts County
ORDERED ADJUSTMENTS: Financing Adjusted Indicated Price/SF Conditions of Sale Adjusted Indicated Price/SF Market Conditions
0%
0%
0%
0%
0%
0%
0%
$34,352.88
$31,400.78
$55,336.89
$55,000.00
$63,962.68
$102,428.39
$40,000.00
0%
0%
0%
0%
0%
0%
0%
$34,352.88
$31,400.78
$55,336.89
$55,000.00
$63,962.68
$102,428.39
$40,000.00
0%
0%
0%
6%
3%
3%
15%
$34,352.88
$31,400.78
$55,336.89
$58,300.00
$65,881.56
$105,501.25
$46,000.00
Location
0%
10%
-5%
-10%
0%
-10%
0%
Size
0%
-5%
5%
-5%
-10%
-10%
-10%
Shape
0%
0%
5%
0%
0%
0%
0%
Zoning
5%
0%
0%
0%
0%
0%
0%
Available Utility
0%
5%
5%
5%
0%
5%
0%
Access
10%
-5%
5%
0%
-5%
0%
0%
Topography/Site Conditions
0%
0%
0%
0%
0%
0%
20%
Adjusted Indicated Price/SF OTHER ADJUSTMENTS:
Frontage/Divisibility
5%
5%
5%
0%
0%
0%
5%
Net Adjustments
20%
10%
20%
-10%
-15%
-15%
15%
$41,223
$34,541
$66,404
$52,800
$56,287
$90,137
$52,000
27.29
Acres @
$50,000.00
Adjusted Value
Value Indications Range Minimum: Range Maximum: Range Average: Standard Deviation Reconciled Value Estimate:
Price Per Acre $34,540.86 $90,136.99 $50,251.15 $19,788.38 $50,000.00
$1,364,500 Rounded
$1,365,000
Estimated Value Via Sales Comparison Approach
$1,365,000
Fletcher & Company 39 Real Estate Appraisals & Consultation
Explanation of Adjustments Cash Equivalency - All of the sales were cash or cash equivalency sales that did not require cash equivalent adjustments. Conditions of Sale – No condition of sale adjustments were made to the comparable sales. Market/Time - The time adjustment represents a dollar/percentage change (plus or minus) applied to the sale for appreciation and/or depreciation in land values within the area. The land sales range in date from February 2004 to March 2007. Adjustments for time of sale were warranted for sales 4, 5, 6 and 7. These sales occurred over one year ago but were used for their location and overall similarities. Appreciation must be taken into consideration also. Location - Location adjustments are made to comparable sales to recognize perceived value differences in relation to neighborhood influences, access to commercial services, location aesthetics, commercial density, overall exposure and visibility, and overall market demand. The subject and all of the comparable sales are located on state highways or just off state highways. Sale 2 is located in the northern portion of Butts County in a neighborhood of industrial uses and agricultural uses. This tract has less exposure to normal traffic flow and therefore required an upward adjustment for location. Sales 3, 4 and 6 are all located nearer to Interstate 75 which is considered superior to the subject due to the fact that the area near Interstate 75. Size - Smaller parcels tend to sell for higher prices per square foot than larger parcels due to a higher demand for smaller parcels. Sale 3 is larger than the subject tract and required an upward adjustment for this factor. Sales 2, 4, 5, 6 and 7 are all smaller than the subject and therefore required a downward adjustment. Shape - Tracts that may be irregular in shape in a way that limits the divisibility and/or overall utility will create a negative impact on value. Lots that are irregular in shape tend to be less desirable to the market. Sale 3 has limited frontage and is irregular in shape which is considered to have inferior shape compared to the subject and therefore required and upward adjustment. Zoning – The zoning dictates what type of improvements and uses are allowed within the site. If a tract has a zoning that significantly limits the use of the site, the tract is obviously worth less. On the other hand, if the zoning of the tract allows majority of commercial uses, the value is more. Sale 1 has both commercial and multi-family zonings but is considered comparable since the subject tract has three different zonings. The commercial zoning is considered
Fletcher & Company 40 Real Estate Appraisals & Consultation
superior to the mixed-use zoning and therefore required an upward adjustment for zoning. Available Utilities –If a tract does not have sewer available, the tract is limited in use since high water use businesses such as restaurants, carwashes, and large developments would not be allowed. By not having sewer, the density of the tract is also limited since septic drain fields will have to be installed causing less developable land. Sales 2, 3, 4 and 6 do not have sewer which is considered inferior to the subject and therefore these sales required upward adjustments for available utility. Access – The subject is located in the western portion of Jackson, GA along GA Highway 16 and Georgia Highway 23/42, which are major corridors through the western and northwester portion of the county. All sales except sale 3 have similar access from major thoroughfares that encompass its location. Sale 3 has frontage on I-75 though, but still required an adjustment for access. Sale 1 does not have direct access from GA Highway 16 and therefore has inferior access to the subject therefore this sale required an upward adjustment. Access to the property does not appear to be an inferior issue from either bound lane. Sales 2, 4, and 5 all have frontage on two road compare to one for the subject, this is considered superior in this case and therefore adjustments were made accordingly. Please note the preliminary plans of the subject tract have plans to build a new street that will be accessed from GA Highway 16 and will cause the subject tract to have two corner commercial lots which tend to sell at a higher price per acre, but this cannot be used since this road has yet to be built. Topography/Site Conditions – The topography of a tract can be crucial for a tract. If a tract has a steep grade or rolling topo, grading costs can multiply and therefore a developer could not pay the same for the land as other competing tracts to compensate for the additional grading costs. Site Conditions are also crucial for commercial development. Any low or flood areas could affect the density, parking, and building size that could be constructed for a development. A developer typically pays for the developable land of a site that has poor site conditions. The subject tract does have some flood plain but none on the subject commercial area. Sale 7 has a creek splitting the property in half therefore this sale required an adjustment for site conditions. Frontage/Divisibility - Frontage can make a significant difference in value. If a land tract has above average frontage and can be further subdivided into smaller tracts from existing road frontage with very little development costs, the value can be much higher. Also a tract with frontage on multiple roads is desirable due to access. The subject tract has the ability to be divided more times than Sales 1, 2, 3 and 7, this is considered inferior to the subject and therefore these sales require upward adjustments.
Fletcher & Company 41 Real Estate Appraisals & Consultation
Land Value Conclusion – Based on the sales above and giving consideration for location size, zoning, available utilities, topography, and frontage, the appraiser has concluded that a value of $50,000 per acre is appropriate for the subject tract, which is shown in the adjustment grid on the following page. The total value rendered for the subject land via Sales Comparison Approach is $1,365,000.
Fletcher & Company 42 Real Estate Appraisals & Consultation
Sales Comparison Approach (Multi-Family Acreage) This indication of value for the subject property is based on an analysis of the sales of similar properties located in similar market areas. A search was conducted for the most comparable or similar type facilities in the subject property’s market area. The following sales are considered to be the most comparable and current sales data from which to compare the subject and have been adjusted for accordingly. A comparable analysis is set forth as follows: `
`
INPUT DATA: Property or Comparable Location
Land Size Primary (Acres): (Square Feet): Zoning/Use:
Subject
Land Comp 1
Land Comp 2
Land Comp 3
Land Comp 4
Land Comp 5
GA Hwy 16 & GA Hwy 23/42
Off GA Hwy 16
Lyons St. & Bailey St.
Carver Rd
US Hwy 19
Henderson St.
Kelly Road
Jackson, GA
Jackson, GA
Jackson, GA
Griffin, GA
Spalding Co., GA
Jackson, GA
McDonough, GA
Butts County
Butts County
Butts County
Spalding Co.
Butts County
Henry County
79.920
40.410
1.760
12.370
13.763
4.200
20.160
3,481,315
1,760,260
76,666
538,837
599,516
182,952
878,170
RM
Mixed-Use
RM
HDR-A
R-6
RM
PD
Dec-06
Jun-06
Aug-05
Jun-04
Jul-03
Jun-07
$1,388,200
$200,500
$618,500
$575,000
$330,000
$3,375,000
$34,353
$113,920
$50,000
$41,779
$78,571
$167,411
Sale Date: T ransaction Price: Price Per Acre:
Land Comp 6
O RDERED ADJUSTMENTS: Financing Adjusted Indicated Price/SF Conditions of Sale Adjusted Indicated Price/SF Market Conditions Adjusted Indicated Price/SF
0%
0%
0%
0%
0%
0%
$34,352.88
$113,920.45
$50,000.00
$41,778.68
$78,571.43
$167,410.71
0%
0%
0%
0%
0%
0%
$34,352.88
$113,920.45
$50,000.00
$41,778.68
$78,571.43
$167,410.71
0%
2%
4%
6%
8%
0%
$34,352.88
$116,198.86
$52,000.00
$44,285.40
$84,857.14
$167,410.71 -20%
O THER ADJUSTMENTS: Location
0%
0%
0%
0%
0%
Size
0%
-10%
-5%
0%
-10%
0%
Shape
0%
0%
0%
0%
0%
0%
Zoning
0%
-5%
-5%
-5%
-5%
0%
Available Utility
0%
0%
0%
0%
0%
0%
Access T opography/Site Conditions Frontage/Divisibility Net Adjustments Adjusted Value
Value Indications Range Minimum: Range Maximum: Range Average: Standard Deviation Reconciled Value Estimate:
Price Per Acre $30,917.59 $125,558.04 $55,198.77 $36,822.42 $36,500.00
0%
5%
5%
0%
5%
5%
-10%
-10%
-10%
-10%
-10%
-10%
0%
0%
0%
0%
0%
0%
-10%
-20%
-15%
-15%
-20%
-25%
$30,918
$93,415
$44,500
$38,019
$69,143
$125,558
7 9 .9 2
A cres @
$3 6 ,5 0 0.00
$ 2,91 7 ,0 8 0 R ounded
$ 2,92 0 ,0 0 0
Estimated Value Via Sales Comparison Approach
$2,920,000
Fletcher & Company 43 Real Estate Appraisals & Consultation
Explanation of Adjustments Cash Equivalency - All of the sales were cash or cash equivalency sales that did not require cash equivalent adjustments. Conditions of Sale – No condition of sale adjustments were made to the comparable sales. Market/Time - The time adjustment represents a dollar/percentage change (plus or minus) applied to the sale for appreciation and/or depreciation in land values within the area. The land sales range in date from July 2003 to June 2007. Adjustments for time of sale were warranted for sales 2, 3, 4, and 5. These sales occurred over one year ago but were used for their location and overall similarities. Due to the lack of multi-family land sales in Jackson and Butts County older sales were required in order to valuate the subject tract. Appreciation must also be taken into consideration. Location - Location adjustments are made to comparable sales to recognize perceived value differences in relation to neighborhood influences, access to commercial services, location aesthetics, commercial density, overall exposure and visibility, and overall market demand. The subject and all of the comparable sales are located on state highways or just off state highways. Sale 6 was the only sale that required a location adjustment and this was due to the fact that this sale is located in McDonough of Henry County which tends to sell at a higher per unit rate than the Jackson/Butts County area. Adjustments were made accordingly. Size - Smaller parcels tend to sell for higher prices per square foot than larger parcels due to a higher demand for smaller parcels. Sales 2, 3 and 5 are all smaller than the subject and therefore required downward adjustments for size. Shape - Tracts that may be irregular in shape in a way that limits the divisibility and/or overall utility will create a negative impact on value. Lots that are irregular in shape tend to be less desirable to the market. All the tracts have shape that is conducive to development and therefore no adjustments were required. Zoning – The zoning dictates what type of improvements and uses are allowed within the site. If a tract has a zoning that significantly limits the use of the site, the tract is obviously worth less. On the other hand, if the zoning of the tract allows majority of commercial uses, the value is more. Sale 1 has both commercial and multi-family zonings but is considered comparable since the subject tract has three different zonings. No adjustments were required for this sale. Sales 2, 3, 4 and 5 have zonings which allow for a little higher density,
Fletcher & Company 44 Real Estate Appraisals & Consultation
which is considered superior to the subject and therefore required a slight downward adjustment. Available Utilities –If a tract does not have sewer available, the tract is limited in use since high water use businesses such as restaurants, carwashes, and large developments would not be allowed. By not having sewer, the density of the tract is also limited since septic drain fields will have to be installed causing less developable land. All sales and the subject have access to all utilities and therefore no adjustments were required. Access – The subject is located in the western portion of Jackson, GA along GA Highway 16 and Georgia Highway 23/42, which are major corridors through the western and northwester portion of the county. The subject and sales 1 and 4 are located just off State or US Highways and are accessible from two to four lanes of traffic. Sales 2, 3, 5 and 6 are located on secondary street or feeder roads which is considered inferior access to the subject and therefore required slight upward adjustments for access. Topography/Site Conditions – The topography of a tract can be crucial for a tract. If a tract has a steep grade or rolling topo, grading costs can multiply and therefore a developer could not pay the same for the land as other competing tracts to compensate for the additional grading costs. Site Conditions are also crucial for commercial development. Any low or flood areas could affect the density, parking, and building size that could be constructed for a development. A developer typically pays for the developable land of a site that has poor site conditions. The subject multi-family zoned tract has a good portion of the tract in wetlands and therefore downward adjustments were required to all sales for site conditions and topography. Frontage/Divisibility - Frontage can make a significant difference in value. If a land tract has above average frontage and can be further subdivided into smaller tracts from existing road frontage with very little development costs, the value can be much higher. Also a tract with frontage on multiple roads is desirable due to access. All sales have similar frontage and divisibility and therefore no adjustments were needed. Land Value Conclusion – Based on the sales above and giving consideration for location size, zoning, available utilities, topography, and frontage, the appraiser has concluded that a value of $36,500 per acre is appropriate for the subject tract, which is shown in the adjustment grid on the following page. The total value rendered for the subject land via Sales Comparison Approach is $2,920,000.
Fletcher & Company 45 Real Estate Appraisals & Consultation
Sales Comparison Approach (Single-Family Acreage) This indication of value for the subject property is based on an analysis of the sales of similar properties located in similar market areas. A search was conducted for the most comparable or similar type facilities in the subject property’s market area. The following sales are considered to be the most comparable and current sales data from which to compare the subject and have been adjusted for accordingly. A comparable analysis is set forth as follows: ` INPUT DATA: Property or Comparable Location
Land Size Primary (Acres): (Square Feet): Zoning/Use:
Subje ct
Land Comp 1
Land Comp 2
Land Comp 3
Land Com p 4
GA Hwy 16 & GA Hwy 23/42
Off GA Hwy 16
Wallace Road
Oakland & Valley Rds
Barnett's Bridge Rd
GA Hwy 16
Jackson, GA
Jackson, GA
Jackson, GA
Jackson, GA
Butts Co., GA
Butts Co., GA
Butts County
Butts County
Butts County
Butts County
35.110
40.410
99.260
43.790
36.770
234.221
1,529,392
1,760,260
4,323,766
1,907,492
1,601,701
10,202,667
R-20
Mixed-Use
Residential
Residential
Residential
AR
Dec-06
Jan-06
Oct-04
Jun-06
Oct-06
$1,388,200
$4,168,920
$995,000
$450,500
$3,513,400
$34,353
$42,000
$22,722
$12,252
$15,000
Sale Date: T ransaction Price: Price Per Acre:
Land Comp 5
O RDERED ADJUSTMENTS: Financing Adjusted Indicated Price/SF Conditions of Sale Adjusted Indicated Price/SF Market Conditions
0%
0%
0%
0%
0%
$34,353
$42,000
$22,722
$12,252
$15,000
0%
0%
0%
0%
0%
$34,353
$42,000
$22,722
$12,252
$15,000
0%
3%
9%
9%
0%
$34,353
$43,260
$24,767
$13,355
$15,000
Location
0%
-10%
5%
5%
0%
Size
0%
5%
0%
0%
10%
Adjusted Indicated Price/SF O THER ADJUSTMENTS:
Shape
0%
0%
0%
0%
0%
-10%
10%
10%
10%
10%
Available Utility
0%
10%
0%
10%
10%
Access
0%
0%
5%
5%
0%
T opography/Site Conditions
-5%
-5%
-5%
-5%
-5%
Zoning
Frontage/Divisibility Net Adjustments Adjusted Value
Value Indications
Range Minimum: Range Maximum: Range Average: Standard Deviation Reconciled Value Estimate:
Price Per Acre $17,030.05 $49,560.00 $29,263.92 $12,841.93 $18,500.00
5%
5%
5%
5%
5%
-10%
15%
20%
30%
30%
$30,918
$49,560
$29,311
$17,030
$19,500
3 5 .1 1
A cres @
$ 1 8 ,5 0 0 .0 0
$ 6 4 9 ,5 3 5 R ounded
$ 6 5 0 ,0 0 0
Estimate d Value Via Sales Comparison Appro ach
$650,000
Fletcher & Company 46 Real Estate Appraisals & Consultation
Explanation of Adjustments Cash Equivalency - All of the sales were cash or cash equivalency sales that did not require cash equivalent adjustments. Conditions of Sale – No condition of sale adjustments were made to the comparable sales. Market/Time - The time adjustment represents a dollar/percentage change (plus or minus) applied to the sale for appreciation and/or depreciation in land values within the area. The land sales range in date from October 2004 to December 2006. Adjustments for time of sale were warranted for sales 2, 3 and 4. These sales occurred over one year ago but were used for their location and overall similarities. Appreciation must be taken into consideration also. Location - Location adjustments are made to comparable sales to recognize perceived value differences in relation to neighborhood influences, access to commercial services, location aesthetics, commercial density, overall exposure and visibility, and overall market demand. The subject and sales 1 and 5 are located on or just off state highways. Sale 2 is located near the intersection of Interstate 75, where the development has been strongest in the counties to the north and therefore will most likely be the strongest in the future in Butts County. Due to this fact the location of Sale 1 is considered superior to therefore required a slight downward adjustment for location. Sales 3 and 4 are located north of Jackson in areas considered to be rural. This is considered inferior location to the subject and therefore these sales required slight upward adjustments. Size - Smaller parcels tend to sell for higher prices per square foot than larger parcels due to a higher demand for smaller parcels. Sales 2 and 3 are larger than the subject and therefore must be adjusted upward for size. Shape - Tracts that may be irregular in shape in a way that limits the divisibility and/or overall utility will create a negative impact on value. Tracts that are irregular in shape tend to be less desirable to the market. All sales have shape that are conducive to development and therefore no adjustments were needed. Zoning – The zoning dictates what type of improvements and uses are allowed within the site. If a tract has a zoning that significantly limits the use of the site, the tract is obviously worth less. On the other hand, if the zoning of the tract allows majority of commercial uses, the value is more. Sale 1 has both commercial and multi-family zonings but is considered comparable since the subject tract has three different zonings. The commercial and multi-family
Fletcher & Company 47 Real Estate Appraisals & Consultation
zonings are considered superior to the single-family zoning and therefore required an downward adjustment for zoning. Available Utilities –If a tract does not have sewer available, the tract is limited in use since high water use businesses such as restaurants, carwashes, and large developments would not be allowed. By not having sewer, the density of the tract is also limited since septic drain fields will have to be installed causing less developable land. Sales 2, 4 and 5 do not have sewer which is considered inferior to the subject and therefore these sales required upward adjustments for available utility. Access – The subject is located in the western portion of Jackson, GA along GA Highway 16 and Georgia Highway 23/42, which are major corridors through the western and northwester portion of the county. Sales 3 and 4 are located on feeder roads or secondary roads and the subject is located on a state highways. The subject’s access is considered superior to these sales and therefore these sales required upward adjustments for access. Topography/Site Conditions – The topography of a tract can be crucial for a tract. If a tract has a steep grade or rolling topo, grading costs can multiply and therefore a developer could not pay the same for the land as other competing tracts to compensate for the additional grading costs. Site Conditions are also crucial for commercial development. Any low or flood areas could affect the density, parking, and building size that could be constructed for a development. A developer typically pays for the developable land of a site that has poor site conditions. The subject has some flood areas which will be developed around but these areas take away from the overall density. Therefore all the sales have been adjusted accordingly to these conditions. Frontage/Divisibility - Frontage can make a significant difference in value. If a land tract has above average frontage and can be further subdivided into smaller tracts from existing road frontage with very little development costs, the value can be much higher. Also a tract with frontage on multiple roads is desirable due to access. All sales have similar frontage and divisibility and therefore no adjustments were required. Land Value Conclusion – Based on the sales above and giving consideration for location size, zoning, available utilities, topography, and frontage, the appraiser has concluded that a value of $18,500 per acre is appropriate for the subject tract, which is shown in the adjustment grid on the following page. The total value rendered for the subject land via Sales Comparison Approach is $650,000.
Fletcher & Company 48 Real Estate Appraisals & Consultation
INCOME APPROACH Based on the supporting data presented in the foregoing section, the following discounted cash flow analysis illustrates a 10% cash flow chart with an estimated 18 month sell-out period. The sell out period is based on the absorption rate of other similar properties within the same market.
The present value that has been rendered for the subject tract is based on 100% completion. The prospective date for the present value of the subject tract is November 1, 2007. Of the tracts surveyed the average time on the market from the listing date to the date of the sale is 327 days. The tracts surveyed sold over the past two years. The market has slowed since the times of the sales and the appraiser has concluded that the subject tract will take approximately 18 months to sell. Discount Rate: The Discount Rate represents the investor’s opinion of time value of his investment given the risk associated with the investment. The rate also reflects the appraiser’s judgment about all risks, which are associated with the periodic cash flows over the absorption or sales period. These risks include “real” interest rate, estimate of the impact of inflation, estimate of the stability of the periodic cash flows, and an estimate of the liquidity risk associated with market conditions at the date of resale. In arriving at an appropriate discount rate for the proposed property, the appraiser has considered the following: “Real Interest Rate”: Estimate for Inflation: Estimate for Security: Illiquidity:
3% to 3.5% 4% to 5% 2% to 5% 1% to 2%
An overall built-up rate implies a yield rate between 10% and 15.5%. Considering the risk associated with the subject property and based on current market conditions, a discount rate of 10% is selected.
Fletcher & Company 49 Real Estate Appraisals & Consultation
Discounted Cash Flow Analysis Jackson, GA - 142 ac. Prepared By: Ken Fletcher GA Hwy 16 & GA Hwy 23/42 Number of Units: 3 Periods: Quarterly Scenario: As Is Cash Flows Beginning Nov-2007 Feb-2008 Inventory Unit Sales No. Unit Sales No. Commercial Tract $1,365,000 0 $1,365,000 1 Multi-Family Tract $2,920,000 0 $2,920,000 0 Single-Family Tract $650,000 0 $650,000 0 Inventory 4 $0 0 $0 0 Inventory 5 $0 0 $0 0 Inventory 6 $0 0 $0 0 Inventory 7 $0 0 $0 0 Inventory 8 $0 0 $0 0 Inventory 9 $0 0 $0 0 Inventory 10 $0 0 $0 0 $0 0 $0 0 Inventory 11 $0 0 $0 0 Inventory 12 Appreciation --> 0.0% Revenues $0 0 $1,365,000 1 Expenses Period 1 Period 2 $0 $0 Expense 1 $0 $0 Expense 2 $0 $0 Expense 3 $0 $0 Expense 4 $0 $0 Expense 5 $0 $0 Expense 6 $0 $0 Expense 7 $0 $40,950 Marketing/Commissions 3.0% $0 $0 Developer's Profit 0.0% $0 $13,650 Contingency 1.0% Total Expenses $0 $54,600 Net Income $0 $1,310,400 0.97561 0.95181 Annual Discount Rate: 10.00% Discounted Value $0 $1,247,258 Net Present Value $4,324,892 2.50% Rounded $4,325,000
Period 3 May-2008 Unit Sales $1,365,000 $2,920,000 $650,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% $0 Period 3 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.92860 $0
No. 0 0 0 0 0 0 0 0 0 0 0 0 0
Period 4 Aug-2008 Unit Sales $1,365,000 $2,920,000 $650,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% $2,920,000 Period 4 $0 $0 $0 $0 $0 $0 $0 $87,600 $0 $29,200 $116,800 $2,803,200 0.90595 $2,539,561
No. 0 1 0 0 0 0 0 0 0 0 0 0 1
Period 5 Nov-2008 Unit Sales $1,365,000 $2,920,000 $650,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% $0 Period 5 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.88385 $0
No. 0 0 0 0 0 0 0 0 0 0 0 0 0
Period 6 Feb-2009 Unit Sales $1,365,000 $2,920,000 $650,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% $650,000 Period 6 $0 $0 $0 $0 $0 $0 $0 $19,500 $0 $6,500 $26,000 $624,000 0.86230 $538,073
No. 0 0 1 0 0 0 0 0 0 0 0 0 1
Period 7 May-2009 Unit Sales $1,365,000 $2,920,000 $650,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% $0 Period 7 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.84127 $0
No. 0 0 0 0 0 0 0 0 0 0 0 0 0
Period 8 Aug-2009 Unit Sales $1,365,000 $2,920,000 $650,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 0.0% $650,000 Period 8 $0 $0 $0 $0 $0 $0 $0 $19,500 $0 $6,500 $26,000 $624,000 0.82075 $512,146
No. 0 0 1 0 0 0 0 0 0 0 0 0 1
Powered by @Value Software ~ www.atvalue.com
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Project Totals Unit Sales No. $1,365,000 1 $2,920,000 1 $650,000 1 $0 0 $0 0 $0 0 $0 0 $0 0 $0 0 $0 0 $0 0 $0 0 $4,935,000 $0 $0 $0 $0 $0 $0 $0 $167,550 $0 $55,850 $223,400 $5,361,600 $4,837,038
3
RECONCILIATION AND FINAL ESTIMATE Summary of Value Conclusions Land Size (Acres)
142.32
Sales Comparison Approach Commercial Land
$1,365,000
Multi-Family Land
$2,920,000
Single-Family Land
$650,000 Total
Cost Approach (Tangible Assets Only)
$4,935,000 N/A
Income Approach
$4,325,000
Reconciled Mark et Value of Real Estate
$4, 325, 000
The Sales Comparison Approach is generally the most reliable indicator of value since it typically reflects actions of buyers and sellers in the market place, especially in an active market. The Cost Approach is more reliable when appraising new construction or special purpose properties as to the highest and best use and for feasibility. The Income Approach is the most basic of the three approaches and is normally the starting point for the developer or lender. The Income Approach is considered a reliable indication of value since the typical investor in this type property is concerned with the income producing aspect. Conclusion: Consideration was given to both the Sales Comparison and Income approaches; however, I relied more on the Discounted Cash Flow Analysis or Income Approach as it takes into account the current demand in the market, discount rate and absorption period. As of October 23, 2007 it is my opinion that the Market Value with Fee Simple Interest in the subject property is as follows: Four Million Three Hundred Twenty Five Thousand Dollars ($4,325,000)
Fletcher & Company 51 Real Estate Appraisals & Consultation
Addenda
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Supporting Documents for Subject Property
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Exhibit “A” - Engagement Letter
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BLANK
BLANK
Exhibit “B” – Subject Legal Description & Plat
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Exhibit “C” – County Tax Assessment
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Exhibit “D” – Ordinance
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Supporting Documents for Comparable Sales
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Exhibit “E” – Profiles for Commercial Land Sales
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Commercial Land Sale 1 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract West 3rd Street Jackson, Butts County, GA 0032004
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
L. Simpson Charitable Remainder Unitrust Fourth Quarter Properties #79, LLC $1,388,200 $34,353 12/26/2006 557/250 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 40.41 Acres 14. Zoning: Mixed-Use 15. Utilities: All Available 16. Comments: Tract adjoins the subject tract to the west.
Fletcher & Company 73 Real Estate Appraisals & Consultation
Commercial Land Sale 2 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract 531 Old Bethel Road Butts County, GA 0030011
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Kathy Rasmussen Butts County Properties, LLC $410,000 $31,401 03/16/2007 567/40 Public Records/Appraised by Fletcher & Co. Arm's Length All Cash to Seller
Property Data 13. Land Area: 13.057 Acres 14. Zoning: C-1 – Neighborhood Commercial 15. Utilities: All Available 16. Comments: This tract has long road frontage along Old Bethel Road and some frontage along GA Hwy 42/23. To be developed into smaller commercial tracts. Fletcher and Company appraised this property at the time of the sale.
Fletcher & Company 74 Real Estate Appraisals & Consultation
Commercial Land Sale 3 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract Colwell Road Butts County, GA 0003024C
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
M.L. Simpson Foundation Trust Canyon Creek, LLC $4,462,920 $55,200 10/02/2006 547/426 Public Records Arm's Length Cash to Seller and Partial Owner Finance
Property Data 13. Land Area: 80.85 14. Zoning: Commercial 15. Utilities: All Available 16. Comments: Large commercial tract in west Butts County. Fronts on I-75 & Colwell Road.
Fletcher & Company 75 Real Estate Appraisals & Consultation
Commercial Land Sale 4 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract GA Hwy 16 Jackson, Butts County, GA 0003041
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
B.J. Thomason Est. James B. White, Jr. $1,360,700 $55,000 05/17/2005 484/375 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 24.74 14. Zoning: Commercial 15. Utilities: All Available 16. Comments: Located west of Interstate 75 in Butts County. Tract has frontage on GA hwy 16 and Wallace Road. Parcel divided prior to purchase.
Fletcher & Company 76 Real Estate Appraisals & Consultation
Commercial Land Sale 5 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract Corner of GA Hwy 16 & Old Griffin Road Jackson, Butts County, GA 0032006
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Steven Bert Kinard, Jr. James Wilbur, LLC & et al. $664,450 $50,000 06/21/2006 489/200; Plat Book 15 Page 84 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 13.289 Acres 14. Zoning: Commercial 15. Utilities: All Available 16. Comments: This tract is a corner tract at GA Hwy 16 and Old Griffin Road. Long road frontage along Hwy 16 and Old Griffin Road
Fletcher & Company 77 Real Estate Appraisals & Consultation
Commercial Land Sale 6 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract Glade Road Butts County, GA 0003030
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Fourth Quarter Properties, LLC D. Brent, LLC $1,316,000 $102,428 08/04/2006 544/494 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 12.848 Acres 14. Zoning: Commercial 15. Utilities: All Available less sewer 16. Comments: Vacant commercial tract in Land Lot 6 of the 2nd Land District just west of Interstate 75 in Butts County.
Fletcher & Company 78 Real Estate Appraisals & Consultation
Commercial Land Sale 7 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract GA Hwy 16 Jackson, Butts County, GA 0032004A
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
L. Simpson Charitable Remainder Trust Thomas Acquisition Corp. $200,000 $40,000 02/05/2004 428/364; Plat Book 14 Page 901 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 5.0 Acres 14. Zoning: Commercial 15. Utilities: All Available 16. Comments: Vacant commercial tract just west of the subject tract. This tract was developed for a medical office and several retail units. Portion of this tract is unusable
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Exhibit “F” – Location Map for Commercial Land Sales
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Location Map Comparable Commercial Land Sales
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Exhibit “G” – Profiles for Multi-Family Land Sales
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Multi-Family Land Sale 1 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract West 3rd Street Jackson, Butts County, GA 0032004
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
L. Simpson Charitable Remainder Unitrust Fourth Quarter Properties #79, LLC $1,388,200 $34,353 12/26/2006 557/250 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 40.41 Acres 14. Zoning: Mixed-Use 15. Utilities: All Available 16. Comments: Tract adjoins the subject tract to the west.
Fletcher & Company 83 Real Estate Appraisals & Consultation
Multi-Family Land Sale 2 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Multi-Family Tract Lyons Street & Bailey Street Jackson, Butts County, GA J012118 & J012119
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Phillip Payne P.J. & L. Investment Group, LLC $200,500 $113,920 06/15/2006 532/367 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 1.76 Acres 14. Zoning: RM – Residential Multi-Family 15. Utilities: All Available 16. Comments: Purchased for high density development of 15 Units – Lyon Ridge Town Homes, $13,366 per undeveloped unit.
Fletcher & Company 84 Real Estate Appraisals & Consultation
Multi-Family Land Sale 3 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Multi-Family Tract Carver Road Griffin, Spalding County, GA 54D-1-1
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Chapter 2 Rental Properties, LLC MB Land Ivestments, LLC $618,500 $50,000 08/30/2005 2757/174 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 12.37 Acres 14. Zoning: HDR-A – High Density Residential 15. Utilities: All Available 16. Comments: Purchased for High Density Development – 80 Units – Phase III-Summerwoods Town Homes
Fletcher & Company 85 Real Estate Appraisals & Consultation
Multi-Family Land Sale 4 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Multi-Family Tract US Hwy 19 Spalding County, GA 233-6-7
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Marlan Development Group, LLC Eulas Sam Smith, Jr. $575,000 $41,779 06/09/2004 2506/300 Public Records/Fletcher & Co. appraised Arm's Length All Cash to Seller
Property Data 13. Land Area: 13.763 Acres 14. Zoning: R-6 – High Density Residential 15. Utilities: All Available 16. Comments: Located in Spalding County just south of Griffin. Similar area as the subject. Site approved for 96 town house units. $5,990 per unit.
Fletcher & Company 86 Real Estate Appraisals & Consultation
Multi-Family Land Sale 5 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Multi-Family Tract Henderson Street Jackson, Butts County, GA J011-085
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Jack Gilardi WHS Properties $330,000 $78,571 07/25/2003 403/318 Public Records/Fletcher & Co. appraised Arm's Length All Cash to Seller
Property Data 13. Land Area: 4.20 Acres 14. Zoning: RM – High Density Residential 15. Utilities: All Available 16. Comments: Located in Jackson, GA. Site approved for 12 units per acre. $6,600 per unit.
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Multi-Family Land Sale 6 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Multi-Family Tract Kelly Road McDonough, Henry County, GA 0074-01-027-000
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Weisbaden Investments, LLC Haddon Place, LLC $3,375,000 $167,411 06/27/2007 10302-0042 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 20.16 Acres 14. Zoning: PD – Planned Development 15. Utilities: All Available 16. Comments: Located outside of McDonough, GA. Approved for Multi-Family, undetermined # of units at time of appraisal.
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Exhibit “H” – Location Map for Multi-Family Land Sales
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Location Map Comparable Multi-Family Land Sales
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Exhibit “I” – Profiles for Single-Family Land Sales
Fletcher & Company 92 Real Estate Appraisals & Consultation
Single-Family Land Sale 1 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Commercial Tract West 3rd Street Jackson, Butts County, GA 0032004
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
L. Simpson Charitable Remainder Unitrust Fourth Quarter Properties #79, LLC $1,388,200 $34,353 12/26/2006 557/250 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 40.41 Acres 14. Zoning: Mixed-Use 15. Utilities: All Available 16. Comments: Tract adjoins the subject tract to the west.
Fletcher & Company 93 Real Estate Appraisals & Consultation
Single Family – Land Sale 2 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Residential Tract Wallace Road Jackson, Butts County, GA 0003039
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Wriclay Company, LLC M.L. Simpson Foundation Trust $4,168,920 $42,000 01/06/2006 514/365 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 99.26 Acres 14. Zoning: Residential 15. Utilities: All Available less sewer 16. Comments: Residential tract just south of the subject tract on Wallace Road in the western portion of Jackson in Butts County. Purchaser intends to hold for investment or development.
Fletcher & Company 94 Real Estate Appraisals & Consultation
Single Family – Land Sale 3 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Residential Tract Oakland & Valley Drive Jackson, Butts County, GA J004009
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
TNA Properties, Inc. R & B Construction, Inc. $995,000 $22,722 10/08/2004 461/49 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 43.79 Acres 14. Zoning: Residential 15. Utilities: All Available less sewer 16. Comments: Located within the city limits of Jackson. Older sale used due to similarity to the subject tract.
Fletcher & Company 95 Real Estate Appraisals & Consultation
Single Family – Land Sale 4 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Single-Family Tract Barnett’s Bridge Road Butts County, GA 0057030E
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
H.R. Cochran MBR Developments, Inc. $450,500 $12,252 06/16/2006 543/142 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 36.77 Acres 14. Zoning: Single-Family Residential 15. Utilities: All Available less sewer 16. Comments: Located north of Jackson in Butts County.
Fletcher & Company 96 Real Estate Appraisals & Consultation
Single Family – Land Sale 5 Property Identification 1. 2. 3.
Property Type: Property Description: Address:
4.
Tax ID:
Vacant Land Single-Family Tract GA Hwy 16 Butts County, GA
Sale Data 5.
Grantor: Grantee: 6. Sale Price: 7. Price Per AC: 8. Sale Date: 9. Deed Book/Page: 10. Verification: 11. Condition of Sale: 12. Financing:
Peggy Patrick Whitesides M.L. Simpson Foundation Trust $3,513,400 $15,000 10/02/2006 548/334 Public Records Arm's Length All Cash to Seller
Property Data 13. Land Area: 234.221 Acres 14. Zoning: Residential 15. Utilities: All Available less sewer 16. Comments: Located west of Jackson, GA. Located on GA Hwy 16 between Jackson and Interstate 75.
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Exhibit “J” – Location Map for Single-Family Land Sales
Fletcher & Company 98 Real Estate Appraisals & Consultation
Location Map Comparable Single-Family Land Sales
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Appraiser Qualifications – License & Resume
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Corporate Office 122 W. Solomon Street Griffin, Georgia 30224
PHONE Local: (770) 227-4008 Toll Free: (866) 408-2812
Mailing Address: P.O. Box 884 Griffin, Georgia 30224
Fax Local: (770) 227-7329
Real Estate Appraisal Service Since 1971
J A S O N D. F l e t c h e r
C o - Ow n e r / C h i e f A p p r a i s e r
Partial Client List Lending Institutions: United Bank Peachtree Bank of Gwinnett First National Bank of Griffin Southern Community Bank First National Bank of Barnesville Georgia Power Company First Choice Community Bank First Liberty Building & Loan BB&T Security Bank Regions Bank Spalding County West Central Georgia Bank of Thomaston Southern Horizon Bank Georgia Banking Company City of Griffin Colony Bank and Trust United Community Bank McIntosh State Bank Neighborhood Community Bank First Georgia Bank Bank of Coweta Heritage Bank First City Bank Park Avenue Bank Bank of Atlanta Attorneys: Drew Whalen – Griffin, Ga Tim Cramer – Griffin, Ga Hal Sturdivant – Griffin, Ga Sam Sullivan – Griffin, Ga Smith, Welch, & Brittain – McDonough, Ga
Allan Connell – Thomaston, Ga Dianne Wheeler – Thomaston, Ga Lance Owen – Griffin, Ga Dillard & Galloway – Atlanta, Ga David Dunaway – Thomaston, Ga
Accountants: Robinson, Whaley, Hammonds, & Allison – McDonough, Ga Alton Knight – Griffin, Ga Qualified as Valuation Expert Witness: Superior Court of Spalding, Pike, Fayette, Lamar, Henry, Fulton, and Upson Counties. U.S. Bankruptcy Court, Savannah, Newnan and Atlanta, Georgia.
Education:
Graduate of Griffin High School – 1994 Graduate of Real Estate 2000 Appraisal School – 90 hrs – First licensed in 1999 Income Capitalization courses – 150 hrs Legal & Economic Aspects of Appraisal – 15 hrs Additional 220 hrs. of various Appraisal, USPAP, Math, & Georgia Appraisal law classes State of Georgia - Certified General Real Property Appraiser – No. 211251 State of South Carolina - Certified General Real Property Appraiser – No. 5906
JA S O N D. F LETCHER | A pp r a i s e r L i c e ns e s
