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CM-07-03-027PAUL HORNSBY & COMPANY REAL PROPERTY APPRAISERS AND CONSULTANTS February 19, 2007 Mr. Nyle Maxwell, Mayor City of Round Rock 221 E. Main Street Round Rock, TX 78664-5246 Re: Proposal for appraisal services relating to acquisition of 5,625 SF of vacant land located in downtown Round Rock, Williamson County, Texas. Dear Mayor Maxwell: At your request, I am pleased to provide this proposal for appraisal services on the above - captioned project. Terms of the assignment are summarized below. Real Estate to be Appraised: Purpose of the Appraisal: Use of the Report: Appraisal & Reporting Standards: MN-b`1-Ooa-- Approximately 5,625 SF of vacant land located along the southeast line of East Liberty Avenue, between South Mays Street and Lampasas Street, Round Rock, Williamson County, Texas. To estimate the market value of the fee simple interest in the subject property as of the date of inspection. To assist the client in the potential purchase of the subject property for purposes of constructing additional parking in downtown Round Rock. The appraisal will be developed and the report will be prepared in conformity with and subject to the requirements of the Uniform Standards of Professional Appraisal Practice (USPAP) of the Appraisal Foundation and the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. The results of our analysis will be set forth in a summary appraisal report as defined by Standard Rule 2-2(b), of USPAP. 8303 N. MoPae Expressway. Suite A-150 • Austin, Texas 78759 • 512/477-6311 • Fax 512/477-1793 Mayor Maxwell February 19, 2007 Page 2 Fee: $3,500, payable upon completion of the report. Completion: Time spent in addition to the initial appraisal, including, without limitation, updates, meetings, depositions, mediation, arbitrations, hearings, trial and preparation for testimony, will be paid monthly, as incurred, at the following hourly rates: Paul Hornsby: $300/hour Staff Appraisers: $125-$225/hour As soon as possible, but not later than 45 days from authorization. If these terms are acceptable, please indicate by executing this agreement and returning one copy to me. I look forward to working with you on this assignment. Respectfully Submitted, PAUL HORNSBY & COMPANY / Paul Hornsby, MAI, SRA, C Accepted: o`Z jD9 Date City of Round Rock James R. N W, YY1Gt.Y9erp f Stiff QOt u?LL 1DburviiDua-PcuAe.4), FAQ;tel PAUL HORNSBY & COMPANY Cmc REAL PROPERTY APPRAISERS AND CONSULTANTS December 23, 2004 City of Round Rock c/o Ms. Laura Levinson Sheets & Crossfield, P.C. 309 E. Main Street Round Rock, Texas 78664-5246 Re: Appraisal of an approximate 5,625 SF vacant tract of land along the southeast line of E. Liberty Avenue, Round Rock, Williamson County, Texas. Dear Ms. Levinson: At your request, we have undertaken an appraisal of the above -referenced property, the conclusions of which are set forth in this summary appraisal report. This report is intended to comply with the reporting requirements set forth under Standards Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice for a Summary Appraisal Report. As such, it presents only summary discussions of the data, reasoning, and analyses that were used in the appraisal process to develop our opinion of value. Supporting documentation concerning the data, reasoning, and analyses is retained in our files. The depth of discussion contained in this report is specific to the needs of the client and for the intended use stated below. We are not responsible for unauthorized use of this report. Based upon the data and analyses summarized herein, the market value of the subject property, as of December 17, 2004, was estimated as follows: FIFTY THREE THOUSAND FIVE HUNDRED DOLLARS $53,500 The value estimate is predicated on a cash or cash -equivalent sale within a one to six month exposure time. The value estimate is also predicated upon the Assumptions and Limiting Conditions listed in this report. Extraordinary assumptions were required for this appraisal, as summarized on page vi. 8303 N. Mopac Expressway • Suite A-150 • Austin, Texas 78759 • 512/477-6311 0 Fax 512/477-1793 I 1 i 1 1 1 1 1 1 1 1 1 1 1 1 1 1 We certify that, to the best of our 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 are our personal, impartial and unbiased professional analyses, opinions, and conclusions. We have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved. We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. Our engagement in this assignment was not contingent upon developing or reporting predetermined results. Our 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. Our analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute, which include the Uniform Standards of Professional Appraisal Practice, and the Canons of Professional Ethics and Conduct of the Texas Real Estate Commission. Paul Hornsby and Steve Bryant have made a personal inspection of the property that is the subject of this report. The inspection was made from the adjacent street and alley, and from the adjacent property. As of the date of this report, I, Paul Hornsby, have completed the continuing education program of the Appraisal Institute. No one provided significant real property appraisal assistance to the undersigned. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. ll I 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 This transmittal letter and the following pages constitute our report which contains the data and analyses utilized in formulating these opinions. If you should have any questions concerning this report, please do not hesitate to contact the undersigned. Respectfully Submitted, PAUL HORNSBY & COMPANY Paul Hornsby MAI, SRA, CRE Certified App. #TX -1321761-G Steve Bryant Certified App. #TX -1331989-G 1 TABLE OF CONTENTS 1 1 i 1 1 1 1 1 1 1 1 1 1 1 1 i 1 Letter of Transmittal with Certification Page No. Table of Contents Ordinary Assumptions iv Extraordinary Assumptions v Limiting Conditions vi vii DESCRIPTIONS AND ANALYSES Subject Identification Legal Description 1 Purpose and Intended Use of the Appraisal 1 Definition of Market Value 1 1 Appraisal, Inspection, and Report Dates Scope of Work 2 Ownership History and Ad Valorem Taxes 2 Site Analysis 4 Subject Photographs 5 Highest and Best Use Analysis 7 13 VALUATION, AS IMPROVED Sales Comparison Approach, Introduction Comparative Analysis 14 Conclusion 14 16 QUALIFICATIONS Qualifications of Paul Hornsby, MAI, SRA, CRE Qualifications of Steve Bryant 19 ADDENDA Inspection Letter iv 21 CITY MANAGER BLUE SHEET DATE: 2/26/07 SUBJECT: City Manager Approval/Approval date 3/2/07 ITEM: Authorization for City Manager to enter into agreement for appraisal services with Paul Hornsby and Company for the Downtown Parking Project --Parcel 1. Department: Legal Staff Person: Don Childs ustification: Authorization for City Manager to enter into agreement for appraisal services with Paul Hornsby and Company for the Downtown Parking Project --Parcel 1. Fun Fun- ing Cost: $3500. Source of funds: Background Information: Updated 3-10-05