Police Bldg Appraisal Hirez 2

APPRAISAL Consur-t,lNrs Conp.

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125 DUNNELL ROAD, MAPLEWOOD, NJ _ MARKET VALUE ANALYSIS

(4) Area andsetbackrequirements (a) Minimums for lot area,lot width andrearyardshallbe asfollows [1] Minimum requirements Ttpe Lot area(s0 Lot width (feet) Rear yard (feet)

NB 5,000sf 50 15

RD

HB

) 50O cf

5,000sf

25 15

50 15

[2] FrontyardNo front yard shallbe requiredexcepton thoselots which adjointransitionallots, in which casetheminimumfront yardshallbe fifty percent(50%)of thatrequiredin the district in which thetransitionallot is located [3] SideyardNo sideyardshallbe requiredexcepton thoselots whichadjointransitionallots,in which casethe sideyardshallbe a minimumoffifteen ( 15)feetandbufferedin accordance with the requirements ofthis chapter (b) Maximums

Tw"

NB

RD

Curb cut (% of lot width)

.A

Curb cuts not encouagesin the RB District sincethey can interrupt the safeflow of nedestriantraffic

Building coverage(percent) 5 0 Lot coverage(percent) 90

80 10 0

HB

50 90

for curbcut,buildingcoverageandlot coverageshallbe asfollows [1] Marimum requirements [2] BuildingheightNo buildingshallexceedf,rfty(50) feetin heightHowever,thatportionof thebuildingoverthirty (30) feetin heightshallbe setbackfrom the streetline one(1) foot for everyfoot in buildingheightoverthirty (30)feetTheseheightandsetbackrestrictionsshallnot applyto multipledwellingsin theNB Districton SouthOrangeAvenue,which shallhavea maximumheightofone hundred(1 00) feetabovethefour-hundred-sixty-foot elevationabove sealevel

Appnnrs,lI CoNsur,ralrs Conp.

_))_

125DUNNELL ROAD, MAPLEWOOD, NJ- MARKET YALUE ANALYSIS

(5) Otherprovisions (a) In the RB District,on-siteparkingshallnot be requiredHowever,off-streetparkingeitheronsiteor off-siteshallbe requiredwherethereis a conversionofresidentialuseto nonresidential usein RB District Parkingfor residentialusesin the RB Districtshallbe asrequiredunder$27150J(14)and $271-50Kof this chapterParkinglots which servemultipledwellingswhichare locatedin the RB District shallcomplywith therequirements of $271-50AthroughH, inclusive 4-19-1988 by Ord. No. 17471 lAmended (b) Outdoorstorageofgoods,wares,merchandise or othermaterialshallbe regulatedby those ordinancesof the Townshipof Maplewoodwhich govemusedmotorvehicledealers,the storage, displayor saleofnew motorvehiclesotherthanin a building,andgasolinesellingor service stationsandpublic garages (c) Within the RB andHB Districts,additionalbuildingcoveragecanbe achievedasa bonusfor undertakingsheetor sidewalkbeautification projectsTheamountofthe bonusshallbe relatedto the extentofthe beautification projectundertaken, but in anyeventit shallnot increasethe allowablecoverageby morethantenpercent(10%)[i.e.,a maximumof eighty-eightpercent (88%)in the RB District andfifty-five percent(55%o) in theHB Districtl ASSESSMENT: The subjectbeinga municipalpropertyis exemptfrom realestatetaxes. The following arethe currentmunicipaltax rateandChapter123Ratio. RealEstateTax Rate:

$4.23l$100

Chapter123Ratio:

57.58%

Appnrrs,lr,Coxsur-raNrsConp.

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125DUNNELL ROAD, MAPLEWOOD, NJ _ MARKET VALUE ANALYSIS

DESCRIPTION: SITE:

@leaserefer to thetax mapforgreaterdetail)

Location:

N/Westerlysideof DurLnellRoadbetweenOakview Avenue and Oakland Road in the Township of Maplewood,Countyof Essex,NJ

Block/Lot:

17.16t10

LandArea:

0.848+acres- 36,939+sf (aspertax map)

Shape:

Irregular(seetax mapandabovesketch)

Topography:

Level andat gradewith surror.urding streets

Easements:

Thetax mapindicatesno easements. (We haveassumedno easements. If at somepoint in time we aremadeawareofany significanteasements, we reservethe right to review our final valueestimate.)

Utilities:

All mmicipalutilitiesareavailableat thesite.

Contamination:

To thebestof our knowledgethesiteor improvements on the site arenot contaminated.We havevaluedthe subjectbasedon this assumption.

FloodStatus:

asperNationalFloodInsuranceMap Panel #340186-0001A -8/15177. Zone"C" isanareaoutside ofthe 500yearflood area.

Lmprovements:

Masonrypolicestationbuilt in the 1950'scontaining approximately11,074 squarefeet plus a second building constructed in 1930 containing approximately11,425squarefeet.(areas& etc.from municipalpropertyrecordcard and assumedto be corTecrJ

It is our opinionthatthecurrentimprovements do notrepresentthehighestandbestuseforthissite. Il'e will thereforenotdescribethemunicipalownedimprovement, vthichwoulduponorprior to the salebedemolished and thesite usedfora higherandbetteruse.

Appn-lrsar-CoNsur-tatlirsConr.

.A

125 DUNNELL ROAD, MAPLEWOOD, NJ _ MARKET VALUE ANALYSIS

HIGHEST AND BESTUSE: The AppraisalofReal Estate- 12' Edition,at page305,indicates: HighestandBestUsemay be definedasthe reasonably probableandlegaluse,of vacant land or an improvedproperfythat is physicallypossible,appropriately supported,andfinanciallyfeasibleandthatresultsin thehighestvalue. Fundamentally, theconceptofhighestandbestuseappliesto landalonebecause the valueof the improvements is considered to bethevaluetheycontributeto the land. Land is said Io have value,while improvementscontributeto the value of the propertyasa whole. The highestandbestusemustbe: (1) physically possible (2) legallypermitted (3) financiallyfeasible (4) maximallyproductive(resultsin thehighestvalue). HighestandBestUseis a fundamentai conceptin real estateappraisalbecauseit focusesmarket analysison the subjectproperfyandallowstheappraiser to considertheproperfy'soptimumusein light of marketconditions on a specificdate.... TheAppraisalofRealEstate- 11'Edition,at page50,indicates: Because theuseofthe landcanbelimitedby thepresence of improvements, highest and best use is determinedseparately for the land or site as thoughvacantand availableto be put to its highestandbestuseandfor thepropertyasimproved. Thefirst determination reflectsthefactthatlandvalueis derivedfrom potentialland use.... (T)hehighestandbestuseofland asthoughvacantis theusethatbringstl-le highestretumto thelandafterthethreeotheragents(labor,capitalandcoordination) havebeencompensated. The seconddeterminationrefersto the optimumuse that could be madeof the properryand all existingimprovements. Analysisof the highestandbestuseofa properfyasimprovedimpliesthattheexistingimprovement(s) shouldbe renovated or retainedasis so longasit continues to contributeto thetotalmarketvalueofthe properfy,or until theretumffom a newbuildingwouldmorethanoffsetthe costof demolishingtheexistingbuilding(s)andconstructing newone(s).

APPRAISAL CoNsur-ranrs Conp. 125DUNNELL ROAD, MAPLEWOOD, NJ _ I\tr{RKET VALUE ANALYSIS

HIGHEST AND BEST USE: on it, thehighestandbest It is to berecognizedthatin caseswherea sitehasexistingimprovements to bedifferentfrom theexistinguses.The existinguse useofthe sitemayvery well be determined thetotalvalue will continue,however,unlessanduntil landvaluein its highestandbestuseexceeds property in its existinguse. ofthe TheAppraisalofRealEstate- l2u Edition,at page323,indicates: The use to which a site or improvedpropertyis put until it is readyfor its future highestandbestuseis calledan interimase.Thus,interimuseis a currenthighest and bestusethat is likely to changein a telativelyshorttime - say,five to seven years. Also implied is that the determinationof the highestand best use resultsfrom the appraiser's judgementandanalyicalskill, ie: thattheusedetermined ffom analysisrepresents anopinion,not a the premise fact to be found.In appraisalpractice,the conceptof highestandbestuserepresents uponwhich valueis based. in Highest and Best Useofthe Site,asvacantandavailablefor development, is for development accordwith zoning. possible thepropertywiththemunicipalengineer regarding ln undertakingthis analysiswe discussed and from the zoning map it was developmentscenarios. Basedon datafrom the engineer's office BusinessDistrict. The district determinedthat this properfyis locatedin the NB - Neighborhood allowsretailbusinesses, restaurants, dwellingsunitsoverstoresandotherrelatedcommercialuses plusmultipledwellingsr.urits. As previouslysummarizedin the zoningsectionof our report,the ordinanceprovidesfor 50Vo building coverage,90o/olot coverageanda 15'rearyard. It alsoprovidesfor 2 carsper unit for multi-familydevelopment. ln accordwith themunicipaltax mapthelot, locatedonthenortherlysideof DunneliRoadbetween Railroadcontainsanarea OakviewAvenueandOaklandRoad& backingupto theErie-Lackawanna of 0.848acresor 36,939square feet. Baseon a veryroughzoninganalysis- we would havea significantlygreaterlevelofconfidenceif the engineeror architector plannerundertookthis "numberofunitsanalysis"- we concluded with the following:

AppRarsalCoNsulraNrsConr.

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I25 DUNNELL ROA,D,MAPLEWOOD. NJ - N{ARKET VALUE ANALYSIS

HIGHESTANDBESTUSE If we assumingthat50%ofthe lot canbedeveloped wewouldconcludewith a buildingfootprintof approximately18,000squarefeet. We haveassumed thatthebuildingwouldbedeveloped on stilts with parkingbelow. Assumingthat the lot for development purposecal be coveredto 90Yoor 33,245sf.(lessgroundfloor areaneededfor entarce,elevatorandmechanicals ofsay3,000sfor an areaofaround30,000sf.) Assuming self-parking at 300sf/car(zoningrequires 9'x 18'for parking space)would concludewith approximately100carsandthusa maximumof dwelling50 units. We f.rther assumed that an averageunit wouldbe approximately1,250sf. This living area,plus commonareafor haliways,elevators& utility rooms,sayapproximately20010, concludeswith an averageof 1,500+sf allocatedper unit. Takingthe foot print of 18,000+ sf concludeswith approximately12unitsperfloor or 50units/12units/floor= 4 floors(plusparkingat groundlevelor a heightequalto around5 stories.(Zoningprovidesfor a buildingheightof 50') Wedon'tknow if a heightvariancewould be grantedhoweverfor this analysiswe haveassumedit canbe achieved properties,proximityto thetrain stationanduses. basedon surrounding Basedon the abovescenariowe areofthe opinionthatthefour-parttestfor HighestandBestUse couldbe achievedfor this typedevelopment. 1.

Theproposedusewouldbephysicallypossible.We believethatthe siteis suitablefor this wDeuse.

2.

Theproposedusein our opinionwouldbe appropriatelysupportedor legallypermissible. Theuseis a permittedusein thezone. Thevariablewould be the precisenumberof units planing,variances, thatcouldbedeveloped basedon engineering, if aayandfinal approvals.

3.

TheusewouldbeJinanciallyfeasible. A1lusesthatareexpectedto producea positiveretum regarded are asfinanciallyfeasible. Beingawareofthe subject'slocationit is our opinion thatmulti-familyusewouldbe in demandard likewisea financiallyfeasibleuse.

4.

The use would be maximallyproductiveor resultsin the highestvalue. There is no reasonablealternativeuse for the propertythat could be consideredto approachthe productivityof the proposedusefor multi-familydevelopment.

As analtemativewedid considerotherusespermittedin thezone.Applyingthesamescenarioto a hypotheticalcommercialbuilding - office or retail or combinationof retail on the first floor and office above- we concluded thatanapproximately 18,000squarefoot footprintcouldbedeveloped. Parkingrequires1 spaceper 250 sf for office and i spaceper 200 squarefeet for retail. At an averageof 225 sf per spacea 15,000sf buildingwouldrequire67 spacesor around20,000sf or covemgeof 35,000sf (closeto the90o/o of 33,245sf.)

AppnarsalCoxsulratrs Conp. I25 DUNNELL ROAD, MAPLEWOOD, NJ - MARKET VALUE ANALYSIS

HIGHESTAND BESTUSE: Th.e.estimated underlyingland varuefor commerciavofficedevelopment assuminga 15,000sf would be approximately$35 - $50/square foot of buildini *"u o.u.*g-, of berween lgt9lg $525,000to $750,000.(presentlynot a greatmarketfor retailor offie use;. Basedon the abovewe concludedthat cornrnercial/office usesat this time did not reflectthe rype subject'shighestandbestuse. Theaboveusefor multi-familydevelopment is furtherthroughour studyof boththeStateandNew JerseyTransitencouraging whatareknownas"TransitVillages."It wasour opinionthatdueto the proximity of the commuterrail stationto the subjectandhavingknowledge of the emphasison developmentof "Transitvillages" throughoutthi statethat this ur" ..,ppJrt, our conc'lusion of HighestandBestUse.We cameto theaboveconclusionbasedonthecrite;; for thedevelopment of transit village usage. The criteria can be found on the NJDor weu site, . A summaryofthosewebpagesare shownon the followingpages. We areawarethatthesubjectsitemaynot meeteveryoneof thebelowcriteriafor a Transitvillage howeverthe site andits anticipateddevelopmentwould beanoverallbenefit to thecommurlityfrom a corrmutingstandpoint.Althoughwe havenot addressed a mixeduse(retailon thefiJ ftoor and apartmentson the upperfloors) it is a possibilityhoweverdue to the proximity of all of the comrnercialdevelopment withinthealmostadjacent, MaplewoodVillagethatthismixeduseconcept may not be economicallyviable. Howeverthe combinationof tf,e apartments, part
Appnarsar, Consur-rnxrs Conp.

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125DUNNELL ROAD. MAPLEWOOD, NJ - MARKET VALUE ANALYSIS

Overriew The New JerseyDeparhnentof Transportation(NJDOT) and NJ TRANSIT spearheada multi agency Smart Growth partnershipknown as the Transit Village Initiative. The Transit Village Initiativehelpsto redevelopandrevitalizecommunitiesaroundtransitfacilitiesto makethem an appealingchoicefor peopleto live, work andplay,therebyreducingrelianceon the automobile. growth TheTransitVillageInitiativeis anexcellentmodelfor SmartGrowthbecause it encourages in New Jerseywhere infrastructureandpublic transit alreadyexist. Aside from SmartGrowth communityrevitalization,two othergoalsof theTransitVillage Initiative areto reducetraffic congestionandimproveair quality by increasingtransit riders. Studieshave shown that an increasein residentialhousingoptions within walking distanceof a transitfacility,typicallya onequarterto onehalfmile radius,doesmoreto increase transitridership goal thananyothertypeofdevelopment.Therefore, it is a ofthe TransitVillageInitiativeto bring morehousing,morebusinesses andmorepeopleinto communitieswith transitfacilities. Transit Village Criteria Specialcriteria are usedto determineif a municipalityis ready to be designateda Transit Village.The criteria are: . A good Transit Village candidatemust make a commitmentto grow in jobs, housingand population. . A designated TransitVillagemusthavea transitfacility.Thiscanbea rail or lightrail station,ferry terminal,a bushub or bustransferstation. . The candidatefor TransitVillage designationmust havevacantland and/orunderutilizedor deteriorated buildingswithin walkingdistanceoftransitwhereredevelopment cantakeplace. . A TransitVillage candidatemusthaveanadoptedland-usestrategyfor achievingcompact,transitsupportive,mixed-usedevelopmentwithin \ryalkingdistanceoftransit. This landusestrategyshould be based on transit-orienteddevelopment(TOD) principles ald can be in the form of a redevelopment plan or zoningordinance.

AppRnrsar,CoNsur.uxrs Conp. 125DUNNELL ROAD, MAPLEWOOD, NJ - MARKET VALUE ANALYSIS

. The candidatemusthavea strongresidentialcomponent. This caninclude mid-risebuildings,to*mhouses or apartrnents overfirst-floorbusinesses. A wide varietyofhousingchoiceswithin walkingdistanceoftransithelpsto supporttransitridership.

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Appnarsar, CoNsur-raNrs Conp.

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125 DUNNELL ROAD, MAPLEWOOD, NJ _ MARKET VALUE ANALYSIS

projects.This meansat leastonetmnsit_oriented 'A goodcandidatewill have"ready-to-go" projectthat canbe completedwithin threeyears.

..ln orderfor a municipalityto succeed asa TransitVillage,it should demonstatepedestrian andbicyclefriendliness. Thismets clear,direct pathwaysfrom the transit stationto shops,oflices, surroundine neighborhoods andotherdestinations.

. A good candidateviews its transit station asthe focal point of the communityand usesits stationplazaasa gatheringplacefor communityactivitiessuchasfestivals,concerts, publicceremonies and farmersmarkets.

' A good candidate includes its tansit station in a station ,uea managementplan, in a special ' improvement district (SID) or as part of a Main StreetNew Jerse],disignatiln.

. A goodcandidateshouldstriveto minimize automobileuseby maximizingtheappealof transit.Oneexampleof this is the concierge servicein the Metuchentrain station.Commutersdrop off enands(zuch asdry cleaning,packages for mailing,etc.)in themomingandpickup itemson theoppositesideof thetrackson theway home.'The candidateshouldprovidecommuterparkingfor residentsandnon-residents. A Transit village shouldalsostriveto reduceparkingrequirements neartransitstationsandimplement sharedparkingsolutionswhereverpossible. ' The candidateshouldsupportrocalarts andculture.This brings vibrancyand activity to a Designatingan arrs,antiqueor restaurantdistrict helpsmake rr*.it viitug. u ::y'1y? oe$lnatlon. "

AppRlrsal CoNsur,r.llqrs Conp.

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125DIJNNELL ROAD. MAPLEWOOD. NJ - MARKET VALUE ANALYSIS

. The candidateshouldsupportthehistoricandarchitectural integrity of the communityby ensuringthatnewbuildingsblendin with the existing buildings. This can be donewith architecturaldesign guidelinesthatgovemnewbuildingfacades, windowreplacements, awnings,lightingandsigns.

. The candidateshouldconsiderhow to incorporate someaffordablehousingwithin walking distanceof transitsincelow andmoderateincomehouseholds rely heavilyon public transDortation.

Appnlrs,rr-,Coxsulr.lNrs Conp.

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125 DUNNELL ROAD, MAPLEWOOD, NJ - MARIGT VALUE ANALYSIS

Below is a summaryof othernear-bytansit villagedevelopments.

PhotoGallery Rahway

Rahway'sTransitVillagecentersaroundits recentlyrenovated train station.Thetrains offer easyaccessto New York City, Newark lnternationalAirport, Trenton,Phiiadelphia andtheJerseyShore.Along with amplebus serviceand a 24-hourtaxi, residentshave excellenttransportation options.Theplaza in front ofthe stationservesas a gathering placefor the community.Farmers'and crafts marketsandother eventssuchasthe "Taste of Rahwav"takeolacehere.

Rutherford The RutherfordRail Stationis the focusof a newtransit-oriented development thatwill provide shops,offrces,48 apartrnents,a day carecenterandparking. Trains go to New York City andpointsthroughoutNew Jersey via the new SecaucusJunction

SoutbAmboy

A newTransitVillageprojectwaskicked off in SouthAmboyon June24,2003,at a groundbreakingceremonyfor the construction ofa newrail stationplaza.The designincludeshansitarts,suchasa sculptureanda mural, that will illustrate SouthAmboy'srich history.Otherelements plaruredfor the TransitVillage includea new ferry terminal,residentialdevelopment anda waterffontbike path.

AppnqJsar-, Coxsur.r,lrvrsConr.

- 33-

125 DUNNELL ROAD, MAPLEWOOD, NJ - MARIGT VALUE ANALYSIS

ln additionto the aboveothertransitvillaeesin the immediateareainclude: 1.

Fanwood - The plan for this transit village was adoptedin 2005 for the downtownarea.Theplanwill providefor 2.5to 3 storymixed-usedevelopment with the centerof theblockbeingdevotedto parking.

2.

Somerville - The plan providesfor a mixed-usedevelopmentwith 3 story structuresincluding housing and retail commercial. The developmentis replacingan older single story strip shoppingcenteranchoredby a large plan. supermarket whichwill remainaspartof thenewdevelopment

3.

Cranford - Thisplan,knownasCranfordCrossing, is a mixed-use development locateddirectly acrossfrom the CranfordTrain Station. This transitvillage projectwill includea newparkinggange,22,000squarefeetofretail spaceand 50 apartmentshousedin a four storystructurewith retail on tlle first floor.

Ourhighestandbestuseis alsopredicated onthesuccess ofthe ridershipofvariousTransitVillages thoughout the state. From a historicaloverview,the first TransitVillages were createdand designatedin the time periodof 1999. Sincethat time a total of 17 Villageshavebeencreated thoughout the state. The overallprimaryobjectivesin eachcasewereto help in eliminating environmentalcontaminationcreatedby automobilesandto limited the growthof highwayand communitycongestion by automobiles.Thetermemployedfor theaboveis "smartgrowth",thatis, allowingautomobiledriversan altemativemeansof travelthroughoutthe statewhile at the sarne time providing for near-byhousingandretail shoppingconveniences. As summarized abovetherearea numberof priorityrequirements emphasized by NJ Transitin orderto fulfill the objectivesof a successful transitvillage. Someof themoreimportalt thatwe considered in concludingour highestandbestuseincludesthe following: Thesubjectpropertyis not valuedontheassumption thatfinal development is anaccomplished factbut ratherthe valuationrepresentsthe valueofthe site asvacantandtotally suitablefor developmentin accordwith our Highestand BestUse. We havefi-rther assumedthat approvalswould be granted basedon the abovefactors. We haveadjustedfor the categoryof approvalsin our analysis.

AppRllrsar,CoNsulraxrs Conr.

34

125DUNNELL ROAD, MAPLEWOOD, NJ. MA.RKET VALUE ANALYSIS

Real tife lF II AT

A,\t E RI

C ,{ N S

W,{N T

otd tistt tair r\ti'MNi' sm;.. b,tva, I@ktfot ad tb. ItzI ofAn./i.',.

o

It ta|l 3 RFJLToR.o'a/nth.@ag At Tbttttattt id Prt"t .li.* an"G.aab OX If IIt 'sdc,t-!t @ bitbl4bt

GrowthOK If lt's'Smart' Maiority favorwalkability,transitsoiutions

IllESSAGE

T0 colcttss: e S T A R TS P E '{ OIIIG Cdlg.esslo lacuspublrc dollaG E trari*trg ro:d6 ad hribr.

.s iiir! rrganairgrnss rr*a :?.:&t-r6Eod .d b.l4.i l'oE.t 9!e -.'!O7 Obti rnn hEpoatDi 9rt.r_ rr"i s.?a a*h au 5 'id

Hitrih cncrgt costs ere makin8 Amcricanr rlin! r$'ice ibout rampani dcvclopment. Ovenbclming\,; people *ant developers and local governments to mrk€ tieir commmitics less dcp€ndenr on cars by rcthirting land use and pouriDg rcsoures into publc trarsportation, according to a sUrvcy of r,ooo US. adults by 6e N-{Tros^r.ts@r-{TroN oF RrALroRs! and Smarr Gro\lrh America. Asled to select rhe best approach to reducing ener&. use, mor. tian 8o percent said they hror building communides so that pcople cajt rm.lk more, ald aloost 9o pcrcenc favorproriding public tnnsponador\ iocluding rail and buscs. ln a similzr vei.i, ii frcrcen( s".v thc cure for escdating tiaffc proF lem! irn't more roads but *zlkablc communiries and morc trarsit choicer"lrhat thesc survey results sho*' is tiar, wirh incrcased rr.afiEccongestion and longer commures,

pcople are receprile to ne*'ideas rhet enablc th€m to clt doq n on their driving," sa)'sNAR Past President Pat V Combs. Don Chen. cr.ccutive dirccror ofSman (iro*'rh ,A.merica,saysthe'new ideas'that pcople arc lookint for i nvolvc neu * aF ofthin-king about growth. iA.meric:ns scc smartcr devclopmcnt patterns as a yiable Fay rc rcducc lhe time thcy spend in rhc car," he seysOncwry ro crearerralk-rblecommuortics is to redevdop exbrbg areas.tr{orc th;n 8o percent prefer that kind ofdevelopment over building neq: Along*irh shoringlittle appetire for morc roads, of Americans oycnvhekrin8ll rciect prh?ti:lttsn roads- AJmost 85 perccnt say no to locrlities setling roads to toll-chalging private companies, a.nd r.*'o out of three reiecr allosing prirare compades ro bu;ld ncv/ roads. BrR.taf, rn.dn'ar JANUARY 2OOA

iEALIOB}

A

APPRATSAL Coxsur-raxrs Conr.

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125DUNNELL ROAD, MAPLEWOOD, NJ - MARI(ET VALUE ANALYSIS

TIIE APPRAISAI PROCESSAND METHODOLOGY: Therearethreeclassicapproaches to value,i.e. THE COSTAPPROACH:An appraisal whereinthecomponents technique - landand improvements- arevaluedseparately. The aggregatedsumof the componentvalues providesanindicationof marketvalue.Basicto theCostApproachis theprincipleof substitutionthat statesthat no prudentpersonwill pay more for a propertythan the amountwhich hecanobtainby purchaseofa siteandconsfuctionofthe improvements profit arean integral without unduedelay.Developer'soverheadandentrepreneurial partofthe anticipated costnew TI{E MARKET DATA SALES COMPARISON APPROACH: Traditionally, an appraisalprocedurein whichthemarketvalueestimateis predicateduponpricespaid in actualmarkettransactionsandcunentlistings,the formerfixing the lower limit of valuein a staticor advancingmarket(pricewise),andfixing thehigherlimit ofvaluein a decliningmarket;andthelatterfixing thehigherlimit in anymarket.It is a processof (with similarH&BU andEstates) analyzingsalesof similarrecentlysoldproperties in property. orderto deriveanindicationofvalue for thesubject Like theCostApproach, the Market Data Sales ComparisonApproach is based upon the principle of substitution. THE INCOME APPROACH:An appraisaltechniquewhereinthe anticipatednet income is processedto indicatea capitalamountof the investnent.The processof income capitalizationgenerallyreflectsthe principle of anticipation,definedas the presentworth of anticipatedbenefits.Anticipationfollows apattemsimilarto investor thinking and motivation. In real estate,an investoris essentiallytrading a sum of presentdollarsfor the right to receivefuturedollars. ln essence all approaches to value(particularlywhenthepurposeofthe appraisalis to determinemarket value)aremarketdataapproaches sincethedatainputsarepresumablymarketderived.Theappraisers permanent maintaina andconstzntlyupdatedmarketdatabank,whichprovidesanoverviewof thereal estatemarket. DatasourcesincludeSR1As,Deeds,LeasesandLeaseAbshacts,BrokerListingsandBrochuresand newspaper leads.Thedatais catalogued for easyreference andretrieval.Confirmation andanalysisof thedataincludesa siteinspection- at leastanexteriorandneighborhood inspectionandwherepossible aninteriorinspection, andverificationwith oneor moreofthe buyeror tenantor selleror landlordor broker(s)or attomey(s)familiar with thetransaction.

Appnnrsal Coxsulralrrs Conp.

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125 DUNNELL ROAD, MAPLEWOOD, NJ _ MARKET VALUE ANALYSIS

TI{E APPRAISAI PROCESSAND METHODOLOGY,continued Whereandasnecessary, a datasearchfor specificdatawith specificattributesis madesothat specific comparabilitycanbe established- comparedandconfasted. Specialcareis madeto developcomparables with essential similarityin highestandbestuse,estate and/orrealpropertyrightsconveyedfrom thebundleofrights, locationandfinally physicalattributes. For vacantland,highestand bestusepresupposes similar use(s)of right and,/oras approvedby the applicableagencies or authorities. Sinceno two propertiesareidentica.lin all attributesthe appraisalprocessandmethodologyrequires that adjustrnents bemadeto theknowndatato deriveindicationsofvalue for the subject.Comparisors aretypically drawnbetweenlike units or appropriateunits of comparison- i.e., the componentsinto which a propertymaybedividedfor purposesofcomparison.Theunitsofcomparisondependuponthe appraisalproblemandareusedto facilitatecomparisonbetweencomparable propertiesandthesubject. In the instantcaseto estimatethemarketvalueof the subjectasvacantlandwe employedthe Market Data SalesComparisonApproach.

Appn-q.rsA.rCoNsur,raNrsConp. 125DUNNELL ROAD, MAPLEWOOD, NJ - MARKET VALUE ANALYSIS

SITE VAIUATION: MARKET DATA SALESCOMPARISONAPPROACH: In theprocessof estimatingcomparativevaluefor thesubjectsite,theappraiser hasdevelopeda market compared to thesubject. databankandselected thosesaleswhicharemostreasonably properties Thisis not to saythatthesalesareconsidered to beidentical,butratherthattheyrepresent whichcouldbe saidto havecompeted for the subject's typicalbuyer'sdollaranddevelopunit prices which areindicativeof Marketvaluefor the subject. TheelementsofcomparisonincludeHighestandBestUseandZoning,PropertyRightsandApprovals, all asa firnctionof TermsandConditions,Dateof Saleor Time,LocationandPhysicalCharacteristics; (or thebasicunitsof comparison commondenominators) includingbutnotnecessarily limited to oneor more of SalesPrice/Acre,SalesPrice/SquareFoot, SalesPrice/FrontFoot, SalesPrice/Lot, Sales Price/SquareFoot ofperrnittedbuilding area(FAR). In estimatingthe value as vacantland suitablefor multi-familydevelopment and as previously indicated,we assumed development of approximately 50 rmits. We thereforesearched the market for land salesfor proposedmultifamily development.We found transactions in a numberof communitieshoweverhaveplacedgreatestrelianceon the salesresearched anddocumentedin this report. The following multi-familylandsaleswereconsidered.

APPRAISAL CoNsur,r.qwrsConr.

- 38-

125DUNNELL ROAD, MAPLEWOOD, NJ-MARI(ET VALUE ANALYSIS q 6{-1 a-r.6

\"- r } - a r :

51061

S ale Num b e r; 1 O c c c ode: S t r eet A d d re s s :

S - 2 3 184 VL C o n dos or R es C .Luster 1 2 -2 2 Mari e P l ace

M unic ipalit y : T M B . loc k / L o t

M a p fe wood Tw p. 2 I.0 1 /395

(s ):

(E ssex C o,)

T I T LE . De e d D a te d : S ales P r ic e : B oo k . / P age :

A 4 /2 1 /204' 1 5 7 5 0 / 000 I2 A 5 2 / 166' 7

G r anr or : G r ant ee: T er m s / Con d i t i o n s : E s t at e c o n v e y e d : T he . I and s o -L d :

Ma p l e wood Menori al P osL 10120 V el erans 7 2 -2 2 l 4ari e LLC Typical F e e s i mpl e Su b j e c E co approval s

of

For-ei gn l', lar s

NEIGHBORHOODDATA AND ANALYSI S Ut ilit ies : M u n i c l pal Z oning: H B- H i g hw ay B usi ness SITE DATA AND ANALYSIS Lot S iz e (s q ft) : A c r es : F r ont F ee t: S hape: T opogr aphy: P er m it t ed + u n i ts : Fi -h6<-

i

q a sf

1 5 ,0 0 0 0 .3 4 4 3 5 3 1 5 0 .0 0 R e c ta n g ufar c e n e ra l ly fevel 10

r lc- .

As

MARKET INDICATORS: S P / P E RM I T T E D U N IT :

c grade

zo n e d

$ 7 5 ,0 0 0 .00

REMARKSAND OBSERVATIONS: A t t he t in e was i mproved w i th a V Fl ,l H al l . o f s a fe th e s i te A use vari anc e to per m ir a 1 0 u n i t to w n h o u s e d e v e l opment w as needed & a bul k vari ance for the r ear v:rd

se t

h :ck

ThF

< ir c

wi

1l

hc

nrqrlcu flr ql fl l 9 J, ai m r 'L nr },l vvg

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r es iden! ia1 rn i L s . Ea c h -rn i c w -11.Lhave (2) pa-rki ng spaces per d!.,i e-l -Li ng gar ages un d e r e a c h u n i t. R e s o l u ti on w as menori al i zed 71,/5/2401 .

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in

AppRAISALCoNsur-rANrsConr. 125DUNNELL ROd), MAPLEWOOD, NJ - MARKET VALUf, ANALYSIS

ACC MARKET DATA BASEFILENUMBER:S:23184

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$e'

tol,,,o" ps'

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APPRAISAL CoNsulraurs Conr.

- 40-

125 DIJNNELL ROAD. MAPLEWOOD. NJ - MARKET VALUE ANALYSIS

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4 9160 s- 22623 VL Condos or Res Cluster 200 Burnett Ave.

ri,rml-\6r.

sal,e Numlf,er: 2 O c c Code: S t r eet A dd re s s :

Maplewood Twp, (Essex Co. ) 48.4',7 /26

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T M B loc k , / I o t

(s ) :

T I T LE , Dee d D a te d r s ales P r ic e : B ook / P age:

03/ a'// 2a05 s400,000 6L51/ 643

G r ant or :

Jerro.Ld Krumhol z JTC Enterprises, LLC cash to s eller Fee sinpfe

T a rn
^^ n \rar r a.l.

qrrhi

T he . land so l d :

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+^

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c

NEIGHBORHOODDATA AND ANALYSIS Ut ilit ies I M u n i c i p af Z oning: c L - c o runerci aL - Indus tri aI SITE DATA AND ANALYSIS T.^+

qit6

/cd

€f

1.

A c r es : F r ont F eet : S hape; T opog! aphy : P er m it t ed # unit s : Hi

dhA.1_

L

Fa.+

11.a.

MARKET INDICATORS: S P / P E RM I T T ED U N IT :

r'7,842 0.40960? 131.37 Irre q u l a r r :anAr ,l

I rr

5 Residentiaf

l ar r ol

A

^r ^.l a

980, ooo

REMARKSAND OBSERVATIONS: A t t he t im e o f s a l e , t ownhom es w e re b u i It.

th e re

w a s a house on property.

Thi s w i l l

be demol i shed

and 5