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Senn Park Property Appraisal - 5.01.1995 f i rr tirr 1 APPRAISAL REPORT Residential Land East of 9750 S.W. 74th Avenue Tigard, Oregon PREPARED FOR: Mr. Greg N. Berry Utilities Engineer City of Tigard 13125 S.W. Hall Boulevard P.O. Box 23397 Tigard, Oregon 97223 PREPARED BY: Kirk W. Shaeffer, MAI Real Estate Analysis Northwest 8835 S.W. Canyon Lane, Suite 135-B Portland, Oregon 97225 Telephone: (503) 292-0125 ,rr REAL ESTATE ANALYSIS NORTHWEST May 1, 1995 Q .r. Mr. Greg N. Berry REAL ESTATE ANALYSIS NORTHWEST Utilities Engineer Kirk W. Shaeffer, MAI err City of Tigard 13125 S.W. Hall Boulevard P.O. Box 23397 rw Tigard, OR 97223 Dear Mr. Berry: .� In accordance with your request, I have completed an appraisal to estimate the market value of a residential development site lo- cated immediately east of 9750 S.W. 74th Avenue in Tigard, Ore- gon. I have prepared the following report describing the methods used in arriving at the final conclusion of value. The appraisal has been prepared in conformance with Regulation 12 CFR Part 34 of the Office of the Comptroller of the Currency titled Real Es- tate Appraisals, and the Uniform Standards of Professional Ap- praisal Practice of the Appraisal Standards Board which the re- gulation adopts in full. This consists of a full narrative ap- praisal utilizing a complete appraisal analysis. The property which is the subject of this appraisal consists of a residential development site containing 8.9 acres of gross site area. The site is fully described within this report. Based upon my investigation and analysis of available informa- tion, the market value of the above-described property, as of April 26, 1995, is: rri FOUR HUNDRED THIRTEEN THOUSAND DOLLARS $413,000 The valuation stated herein is subject to the conditions and com- ments appearing in this report. Respectfully submitted, REAL ESTATE ANALYSIS NORTHWEST Kirk W. Sha fer, MAI KWS/dhj ■ P.O. Box 25532 • Portland, Oregon 97225 • 503/292-0125 +�+ TABLE OF CONTENTS Letter of Transmittal Table of Contents Paae .r AppraisalSummary . . . . . . . . . . . . . . . . . . . . 1 �. Preliminary Appraisal Information . . . . . . . . . . . . 2 Photographs of Subject and Neighborhood . . . . . . . . . 5 Regional Description . . . . . . . . . . . . . . . . . . 11 Neighborhood Description . . . . . . . . . . . . . . . . 22 Site Description . . . . . . . . . . . . . . . . . . . . 24 Highest and Best Use . . . . . . . . . . . . . . . . . . 31 Valuation Methods . . . . . . . . . . . . . . . . . . . . 38 Site Valuation . . . . . . . . . . . . . . . . . . . . . 39 Certificate of Appraisal . . . . . . . . . . . . . . . . 67 r. Addenda Wr REAL ESTATE ANALYSIS NORTHWEST r� rir err err r err � 2 NTRODU CT 2 ON rr rr r. irr REAL ESTATE ANALYSIS NORTHWEST 1 APPRAISAL SUMMARY rr Date of Appraisal/Value April 26, 1995 Date of Inspection April 26, 1995 rw Location Immediately east of 9750 S.W. 74th Avenue in Tigard, Oregon. err Subiect The subject consists of a mostly rectangular-shaped inside site with direct frontage along S.W. 74th Avenue. Site Size 8.9 acres gross area and a net developable area of approximately 5.9 acres Zoning R-4 . 5, Single Family Residential waw Valuation Premise +�• The estimate of value for the subject assumes that there is no contamination located throughout the site or unusual soil condi- tions which would require extensive on-site development costs. The estimate of value also assumes that the tentative layout and preliminary cost estimate completed by Harris-McMonagle Associ- ates, Inc. , is accurate within a typical market range. The esti- mate of value also assumes that the site would be sold within a 3 to 12-month marketing period. This marketing period is within the typical range for smaller residential properties with each of the comparables reflecting varying marketing periods. Final Estimate of Value $413, 000 or $70, 000 per usable acre REAL ESTATE ANALYSIS NORTHWEST rr 2 �. PRELIMINARY APPRAISAL INFORMATION The property to be appraised consists of a residential site lo- cated immediately east of 9750 S.W. 74th Avenue in Tigard, in Washington County, Oregon. Purpose and Function of Appraisal The purpose of this appraisal is to estimate the market value of the subject site in its unencumbered fee simple title. This ap- praisal is to be utilized by the City of Tigard regarding the possible acquisition of the property for a city park. Scope of Appraisal rr+ The appraiser researched the subject neighborhood and competitive areas primarily within Washington County in order to locate com- parable land sales. There were a sufficient number of comparable sales within these areas to complete an appraisal of the subject site. The following data sources were analyzed in completion of the research applicable to the subject: direct observation of new developments, published sales data, research of Washington County Records, real estate articles in local newspapers and the Realtors Multiple Listing Service. Definition of Market Value For the purposes of this appraisal, market value will be defined as follows: "The most probable price in cash, terms equivalent to cash, or in other precisely revealed terms, for which the appraised property will sell in a competitive market under all condi- tions requisite to a fair sale, with the buyer and seller each acting prudently, knowledgeably, and for self-interest, and assuming that neither is under undue duress. err "Fundamental assumptions and conditions presumed in this de- finition are: 1. Buyer and seller are motivated by self-interest. 2 . Buyer and seller are well-informed and acting prudently. rr 3 . The property is exposed for a reasonable time on the open market. 4 . Payment is made in cash, or its equivalent, or in spe- cified financing terms. REAL ESTATE ANALYSIS NORTHWEST rr 3 PRELIMINARY APPRAISAL INFORMATION (continued) 5. Specified financing, if any, may be the financing ac- tually in place or on terms generally available for the property type in its locale on the effective ap- praisal date. 6. The effect, if any, on the amount of market value of atypical financing, services, or fees shall be clearly and precisely revealed in the appraisal report. "* Financing Considerations Only one of the comparable sales was sold with seller financing. However, this transaction did not require a financing adjustment due to the market level seller financing terms and very short balloon period. All of the remaining comparables were sold on a cash sale or cash out basis. Valuation Considerations The appraiser has estimated the unencumbered fee simple value of the subject on an "as is" basis reflecting current market condi- tions. The estimate of value for the property also assumes that it will receive typical market exposure prior to the ultimate sale of the site. It also assumes that it will be sold on a cash sale or cash out basis with no influence from favorable seller �. financing terms. Finally, the value estimate assumes that poten- tial purchasers of the subject would complete a due diligence analysis of the property in order to evaluate the development costs and building requirements applicable to the division of the r. subject into a residential development. It is understood that some potential purchasers of sites similar to the subject make an offer on a property and then subsequently complete a due dili- gence regarding the sale property which may result in a cancel- lation or renegotiation of the sale price of the potential site. Environmental Considerations The appraiser is not qualified to complete an environmental audit of properties. Thus, it is recommended that a Level I environ- mental study by obtained if information is required regarding the historical activities which have occurred throughout the site for determining any possibility of contamination. It is interesting *Crowell, Sheila F. , The Appraisal of Real Estate (American In- stitute of Real Estate Appraisers, 1983) , p. 33 . ri REAL ESTATE ANALYSIS NORTHWEST 4 PRELIMINARY APPRAISAL INFORMATION (continued) �. to note that several buckets and containers are located through- out the property in the vicinity of the house and several out- buildings. It is assumed that no contamination has occurred from these containers. rir Soil Conditions It is assumed that the soil conditions throughout the site would allow the development of the property in accordance with the po- tential development design completed by Harris-McMonagle Associ- ates, Inc. , which has been included within this report for infor- mational purposes. Property Rights Appraised The property rights appraised constitute the fee simple interest of all present and future benefits which may be derived from the property's present or possible future use. History and Ownership WX Mrs. Elda Senn indicated to the appraiser that she and her hus- band had acquired the subject in 1948. The appraiser completed research at the Washington County Assessor's Office and located „ the original deed for the subject which was dated July 29, 1948 and recorded in the Washington County Deed Records in Book 287, Page 462 . Subsequent to the purchase of the property, Mr. and Mrs. Senn constructed their residence and later partitioned their residence from the subject property which currently consists of a residential development parcel. There have been no other sales regarding the subject during the last three years. Legal Description A complete metes and bounds legal description was not available to the appraiser at the time of appraisal. However, the entire subject site including the house with the partitioned site is legally described as follows: Lot 28, Tract 1, BOULEVARD HEIGHTS, City of Tigard, Washington County, Oregon. There was no specific deed segregating the house with the partitioned site �+ from the subdivision parcel as this division was completed by a mortgage release. rw Date of Appraisal/Value Date of Inspection April 26, 1995 April 26, 1995 REAL ESTATE ANALYSIS NORTHWEST rr err irr DESCR= PTI ON irr rr� it rr rr REAL ESTATE ANALYSIS NORTHWEST 5 PHOTOGRAPHS OF SUBJECT AND NEIGHBORHOOD 0. f 1 - View north along S.W. 74th Avenue with the northwest corner of the site immediately to the right. ".c a i View south along S.W. 74th Avenue with the mid-portion of the subject immediately to the left. REAL ESTATE ANALYSIS NORTHWEST l y„ t_ `yf � y� yr�• 1.ACP-`� !�1'# ,i'.yam •' lfy•Y ;Y' ♦�. "�^•' 0 • r •T''Tr�1�j A.z,. �� t �,�.� �rrp°f 't � f�j. ^l.,a a..a:. vef - • - - • • - - - • - 000 - • • • • • 7 PHOTOGRAPHS OF SUBJECT AND NEIGHBORHOOD 41 'f 1 View of the interior of the site with an out-building in the distance. At 9 C 4 k l View of the meadow area adjacent to the creek along the south property boundary. REAL ESTATE ANALYSIS NORTHWEST 8 PHOTOGRAPHS OF SUBJECT AND NEIGHBORHOOD , r yam` d 4 / i View of the west portion of the subject adjacent to S.W. 74th Avenue. 1 REAL ESTATE ANALYSIS NORTHWEST 119TH Saw,e 78TH Island 28TH Van ou IAO SL VD North Plain MNrNia COL OM 1ALPO MARI� 't 34TH F, L MBARD ST G. mnr Washougal On,,, KILL ING SIN PrH ark Orest rove Oro ELL A Orne ius BASELIN RD L go Village O WN POINT 8 goal, RD r04(AT(N A1,E,HWY DIVISION T —WE Gresha D,nay A'.'. RD BEAVERT-1 1—1, Powell 10 BOR. WOODSTOP,nk FOST MULTNOMAH CO rB<P y�SOHeme I Mm ZK Farming- .."Happy LA-MAS-t on ilwaukle Valley PK Pp Po Tigar PE FERRY L , suralwoo BALD B.II Lake T,'Mw" 111111 ONW151DE RD 0,.,g Oswego 0 Damaecu QO WASHINGTON CO. 4 Y 212 —YAMHILL CO.— King nCson HWY 212, City rham UALAA B-on Sandy Tualatin ivergrove GI .5ton FORSYT H,;y 11 0 West 5� Linn erwoo zr- Cre,?YDn E.,.. 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' C <,IJ t ' w IP r f, x ' °` .R ■ i MU TN MAN MAPI EW600 'LV W fAMAH, 1r, NO MULT �Y n9 R r SOON Fa1xw o, ff —N 3w, NI �tlniie[u v S.w AL<ox ar g 3» ✓j K, u e ST;. j wp"'tN A,[^ `•�< Sw OePilxp :Sw�• .a C P 'f� �w CAPTO Rw2.f.w CAPSO tK wR. 217 rM W 3•F»"^ z” __`e r..e SW{{�� 4^ orA WANT HOM N '3^sw rftW'S Y sr 3 . s w sPRlac RG xux[ h wo r `oLMf STEST^0 RCl « T w DOIr Sr N 3 ''RD 800 c I: 3`•:,• o f W Ce ST f, D�" 3W !!�• f sT ;rr,, taw fl • > M Sr F aefw x O 1 DOLP Si HID «+3 JW OOL X—CT > Tw V� • NDOLrx C,:, _ 7IU •r KAll Progress Down MunicipalI >" s IPO"LT • L W S T} • A l •,401D i T. + JK 4t t W G xW00 LPIm + f4 i o / 1 41 • n"D'. i yP�OPG UP < 0.O >f " 9T. rTw rR1MR03 P a� -srl,wltA t ____ =Tr sw rxslx4ro E L Golf Courts t L'iLl[F a• un. /•LI„ w x Y EL o '�'"-« '+' $ zwo .LCE s. '00 .w`? f I � x .�i s"4p,•a � r 1 ark '« WEST 1 ON 110 NE A RY I f AN l rrc> -eIPCX wF W IN GTO Itp♦.t,p « o `Gto A,S,• t r « f w4fxTU.r )LOAN ST SQUARE Y ,. 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REGIONAL DESCRIPTION PORTLAND METROPOLITAN AREA Location and General Description The Portland metropolitan area is situated in the northwestern portion of the state of Oregon, adjacent to the southwestern cor- ner of the state of Washington. Portland, covering approximate- ly 67 square miles, is bisected by the Willamette River near its confluence with the Columbia River. The Pacific Ocean is located 80 miles west of Portland City Center. Portland ranks third among Pacific Coast seaports and is the largest distribution center in the Pacific Northwest. Portland is situated 639 miles north of San Francisco, California, and 173 miles south of Seattle, Washington. Vancouver, Washington, is located seven miles north of Portland City Center. The Portland metropolitan area consists of a four-county area including the three Oregon counties of Multnomah, Clackamas and Washington. Also in- cluded is Clark County, Washington. Population The following chart illustrates the change in population growth +� throughout the Portland metropolitan area: POPULATION TABLE rrr Census Census %Change Est. Pop. %Change Area 1980* 1990* 1980-90 1993 1990-93 rri Total Portland area 1,242,187 1,470,300 + 18.4% 1,647,200 +12.0% Clark Co. , WA 192,227 228,700 + 19.0% 269,500 +17.8% Multnomah County 562,640 583,500 + 3.7% 615,000 + 5.4% +�++� Washington County 245,401 313,000 + 27.5% 351,000 +12.1% Clackamas County 241,919 279,500 + 15.5% 302,000 + 8.1% City of Portland 366,383 440,000 + 20.1% 471,325 + 7.1% City of Beaverton 30,582 53,500 + 74.9% 60,000 +12.1% �+ City of Gresham 33,005 69,000 +109.1% 73,185 + 6.1% City of Hillsboro 27,664 37,800 + 36.6% 42,280 +11.9% City of Vancouver, WA 42,834 44,570 + 4.1% 55,450 +24.4% City of Tualatin 7,483 15,160 +102.6% 16,805 +10.9% nr City of Lake Oswego 22,527 30,800 + 36.7% 32,555 + 5.7% City of Tigard 14,799 29,650 +100.4% 32,145 + 8.4% City of Oregon City 14,673 16,100 + 9.7% 17,315 + 7.5% Wr rr *Stated in the 1980 and 1990 Census Records and information supplied by the Portland Chamber of Commerce and the Oregonian. REAL ESTATE ANALYSIS NORTHWEST 12 •• REGIONAL DESCRIPTION (continued) The majority of the population growth within the Portland metropol- itan area has been occurring in the suburban areas such as: Beav- erton, Hillsboro, Tigard, Tualatin, Lake Oswego and Gresham. In fact, during the last ten to twenty years the three cities with the most rapid growth were Tualatin, Gresham and Tigard. Portland has reflected a somewhat slower growth trend due to the built-up nature of the area. The Portland metropolitan area is ranked 25th in size r. (population) of the nation's largest metropolitan areas. +rr Employment The Portland metropolitan area is considered to have a diversified economic base in comparison to other regions throughout the state of Oregon. Most other regions of the state still rely considerably on lumber, agriculture or paper. Those regions involved in consu- mer lumber products and materials typically experience a particular hardship during downturns in housing starts and due to increasing environmental pressure for the protection of the northern spotted owl. The three largest sectors of the distribution of employment in the Portland metropolitan area are manufacturing, services, and retail trade. Below the employment and unemployment statistics for the Portland metropolitan area illustrate the steady increase in employment over the past twelve years. PORTLAND METROPOLITAN AREA LABOR FORCE AND EMPLOYMENT* irr 1980-90 1980 1990 Increase 1992 1993** Civilian Labor Force 624,900 686,000 9.8% 874,500 904,700 Employed 586,100 657,000 12.1% 818,400 850,500 Unemployed Rate 6.2% 4.2% --- 6.4% 6.0% w *Data from the Portland Chamber of Commerce. **Data from the Portland Chamber of Commerce (estimated) . NOTE: The 1992 and 1993 data includes Clackamas, Clark, Columbia, r Multnomah, Washington and Yamhill Counties. The state of Oregon, which is the 10th largest in terms of land area in the nation, is ranked 30th in population. The Portland metropol- itan area has approximately 800 high-tech companies. REAL ESTATE ANALYSIS NORTHWEST irrr 13 REGIONAL DESCRIPTION (continued) The chart below illustrates the increase within specific categories of employment in the Portland metropolitan area. �r EMPLOYMENT GROWTH IN PORTLAND METROPOLITAN AREA* %Change +� Type of Employment 1980 1990 1980-90 1993** Manufacturing 114,200 104,900 - 8.1% 123,400 +� Services 111,000 165,300 +48.9% 203,600 Retail Trade 96,700 112,600 +16.4% 134,800 Government 81,400 83,900 + 3.1% 107,300 Wholesale Trade 45,300 52,400 +15.7% 57,000 err Finance, Insurance & Real Estate 45,700 51,700 +13.1% 63,100 Transportation, Comm. & Utility 36,300 38,000 + 4.7% 44,000 Construction 24,600 29,300 +19.1% 34,300 wry *Data from the Portland Chamber of Commerce. **Data from the Portland Chamber of Commerce (estimated) . rr� As of November 1994 the Portland metropolitan area experienced a sig- nificant decrease in the unemployment rate to approximately 3 .7% ac- cording to data from the Oregon Employment Division. The Portland metropolitan area typically experiences an unemployment rate slight- ly lower than the state of Oregon. Also, the Portland metropolitan area sometimes experiences slightly higher unemployment than the national average during economic slowdowns. This trend is primar- ily influenced by the housing industry. However, the long-term +rr (past 20 years) increasing employment in categories other than lum- ber products within the Portland metropolitan area assists in de- creasing our sensitivity to changes in the housing industry. The rr unemployment rate for the Portland labor market remains measurably below the national average. City Center Commercial Development The Portland Transit Mall, located in Portland City Center, is a public development which was completed in late 1977 . The transit mall constructed for (Tri-Met) Tri-County Metropolitan Transit Dis- trict is a local mass transit system. This $16, 000, 000 transit mall provides a parklike environment for the city center commer- cial and financial district with greater mobility for transit. Buses utilize two lanes on S.W. Fifth and S.W. Sixth Avenues, from W. Burnside to S.W. Madison Streets. REAL ESTATE ANALYSIS NORTHWEST rr 14 REGIONAL DESCRIPTION (continued) The "Old Town" district, which is located several blocks north of the Portland City Center financial district, has witnessed the renovation of several old buildings. Also, One Pacific Square, which is a 15-story, 245, 000-square foot office building, has been constructed within this area. The Pioneer Place project was constructed recently and had a grand opening in mid-1990. This development added 284, 000 square feet of office space and more than 80 high-quality specialty stores and restaurants to the market. The first Saks Fifth Avenue in the Pacific Northwest is included in this development. Other recent city center developments include: the $75, 000, 000 30-story Pacwest Center office building which contains 526, 000 square feet, the $60, 000, 000 43-story U.S. Bancorp Tower office building which contains 901, 000 square feet, the KOIN Tower of- fice/condominium/retail building, Pioneer Courthouse Square which is a full block cultural center, the South Waterfront project which contains many residential condominiums, and the Portland Center for the Performing Arts which is one of the largest munici- pal arts/entertainment enterprises in the United States. The 1000 Broadway Building was recently constructed on S.W. Broadway and contains 240, 000 square feet of office space. Another new office building is known as One Oak Plaza which contains 380, 000 square feet of office space. The Central Eastside Industrial District is now the new home of the Oregon Museum of Science and Industry or OMSI. This new $35, 000, 000 facility contains 200, 000 square feet of building area and is located on an 18.5-acre site. The location of the development is just south of the Marquam Bridge on a riverfront parcel. +�+■ Commercial Developments An additional commercial development immediately outside of the city center area includes Johns Landing, just south of Portland City Center, which offers riverfront condominiums, several mid-rise office complexes, restaurants and retail shops at the Water Tower. There are currently five regional shopping centers in the Portland metropolitan area including: Lloyd Center in Portland (1, 500, 000 square feet) , Clackamas Town Center in Clackamas County (1, 192 , 000 square feet) , Washington Square in Washington County (1, 200, 000 square feet) , Vancouver Mall in Vancouver, Washington (914 , 000 square feet) , and Jantzen Beach Center in Portland (750, 000 square feet) . The Tanasbourne Town Center Mall in Washington County will be trans- formed into a 1, 000, 000-square foot regional shopping center during the 1990s. +r. REAL ESTATE ANALYSIS NORTHWEST 15 .ir REGIONAL DESCRIPTION (continued) The new Oregon Convention Center opened in late 1990. This new $85, 000, 000 convention center is expected to draw 200 , 000 delegates and their families each year. The complex includes 150, 000 square feet of meeting and seminar space. It will hold 7 , 500 people for a general session or 875 booths for a trade show. New suburban commercial development has increased substantially since 1983 and includes several new mid-rise class "A" office buildings on the periphery of the Washington Square regional shop- ping center and Square Too, an 88, 000-square foot retail develop- ment next to this center. The Cascade Plaza, a 105, 000-square foot $10, 000, 000+ complex, is also located adjacent to Washington Square. The Tanasbourne Community was unveiled in late 1984 by Standard Insurance Company. This 700-acre master planned commun- ity is in the Sunset Corridor (an area adjacent to Highway 26 im- mediately northwest of Portland) and includes a 221-acre commer- cial center and a 397-acre planned unit development. There are several class "A" office buildings completed along Kruse Way south of Portland adjacent to the Interstate 5 freeway. Industrial Development The Portland metropolitan area is characterized by a wide variety of smaller firms representing a diversity of industries. This in- dustrial diversity, along with the smaller average size of a firm, has given the Portland metropolitan area more economic stability .. than a city dominated by a single firm or industry. Currently there are eight major industries in the Portland metro- politan area: 1) electronics (instruments and related products) , 2) machinery, 3) transportation equipment, 4) printing and pub- lishing, 5) food and kindred products, 6) lumber and wood pro- ducts, 7) fabricated metals, and 8) primary metals. The Port of r. Portland has assisted in increasing the distribution trade in Portland as it manages aviation, industrial and marine trade operations, maintains a 40-foot channel, and has developed indus- trial land to support expanded industrial activity in the Port District. The Business Journal recently released a list of the largest pri- vate employers in the Portland metropolitan area. The following list of 20 corporations was derived from the Business Journal Top 50 private employers data. REAL ESTATE ANALYSIS NORTHWEST r 16 .Y. REGIONAL DESCRIPTION (continued) LARGEST AREA PRIVATE-SECTOR EMPLOYERS Number of Corporation Name Metro Employees Type of Business w► Intel Corporation 7,200 Microcomputer Chips Fred Meyer 6,731 Retail Kaiser Permanente 6,102 Health Care Sisters of Providence Health Care 5,278 Health Care Legacy Health System 4,914 Health Care Tektronix 4,500 Electronics +� U.S. Bancorp 4,452 Financial Services Freightliner Corporation 4,036 Truck Manufacturing Consolidated Freightways 3,233 Transportation Safeway Stores, Inc. 3,085 Retail Groceries +r+M First Interstate Bank 3,043 Financial Services U.S. West 2,860 Telecommunications Nike, Inc. 2,671 Athletic Footwear James River Corporation 2,566 Paper Products err Hewlett-Packard Company 2,400 Ink-Jet Printers Red Lion Hotels & Inns 2,285 Hospitality United Parcel Service 2,265 Small Package Transportation Precision Castparts Corp. 2,089 Aerospace Components Meier & Frank Company 2,000 Retail McDonald's Corporation 1,943 Fast Food Chain �.r ,r Residential Development The early 1990s brought a substantial revitalization to the Portland wo real estate market. Vacancy rates in the commercial and industrial sectors began to decrease to relatively low levels. Multi-family housing starts began to boom although the number of new starts de- creased somewhat throughout 1992 . The single family residential market also began to boom including new construction and existing house sales. During the spring and summer months of 1990, the single family residential market reached near panic buying levels which translated to sharply increasing prices. The single family residen- tial market started off 1995 at a more reasonable sales pace. How- ever, the market is still somewhat more active than in many other areas of the country. Medical Facilities The majority of the medical facilities in the Portland metropolitan area have either undergone recent remodeling or are new. The Univer- sity of Oregon Health Sciences Center (dental school, medical school and hospital) is located in Portland. The Veterans Administration REAL ESTATE ANALYSIS NORTHWEST 17 .r ■r REGIONAL DESCRIPTION (continued) has completed a large expansion of their hospital adjacent to the Oregon Health Sciences Center. Emanual Hospital has a regional burn treatment center. Transportation Major highways in the Portland metropolitan area include: Inter- state 5 (north/south) , Interstate 84 (east/west) , and U.S. Highways 26, 30, 99E and 99W. The Interstate 205 freeway, providing an east- ern bypass for Interstate 5, connects with the Interstate 5 freeway several miles north of Vancouver, Washington and also several miles south of Portland, and was completed in late 1983 . The Interstate 205 project included the construction of the second Columbia River bridge at a cost of $175, 000, 000. Portland International Airport was first completed in 1958 and has recently undergone major expansion, doubling the passenger handling capacity and the public space for ticket and baggage claim activi- ties. A new multi-story public parking structure was recently added to the facility. The Port of Portland has also recently improved the Hillsboro and Portland/Troutdale airports. Portland is served by three transcontinental railroads: 1) Bur- lington Northern, 2) Southern Pacific, and 3) Union Pacific. Greyhound/Trailways provides interstate bus transportation throughout the area. Tri-Met buses provide transportation throughout the Portland metro- politan area. Much of the Portland metropolitan area is served on a 24-hour, seven-day per week basis. The Banfield Light Rail Project, now known as MAX, was completed sev- eral years ago. The total project is $225. 5 million in 1980 dollars. Tri-Met constructed the light rail system in cooperation with the State of Oregon through its Department of Transportation. This pro- ject carries more than 23 , 000 passengers daily over the 15-mile route to Portland City Center from east Multnomah County. Voters approved a westside light rail project as the ridership on the existing MAX system has exceeded original goals. Construction is underway for this 18-mile extension west into Washington County, connecting Port- land City Center with Hillsboro. This light rail extension project is scheduled for completion in late 1997. REAL ESTATE ANALYSIS NORTHWEST rr 18 REGIONAL DESCRIPTION (continued) Educational Facilities The Portland School District, at the center of the most populated area, has primary schools, elementary schools, intermediate schools and high schools. Higher education and community colleges are available to residents of the Portland metropolitan area at: Portland State University, the University of Portland, Reed College, Lewis and Clark College, Mt. Hood Community College, Portland Community College, and Clackamas Community College. The state has two major universities, the Uni- versity of Oregon in Eugene, 100 miles south of Portland, and Ore- gon State University in Corvallis, 70 miles south of Portland. .r Cultural and Recreational Facilities The Portland metropolitan area has a good system of city/county parks and playgrounds. The city's Waterfront Park, completed in 1978, includes a public plaza, outdoor stage, floating platform for Willamette River access, and public restrooms. The Cascade Mountain Range (Mt. Hood) and the Pacific Ocean each lies one hour to two hours from Portland, respectively. There are public and private golf courses in the area. Portland has several professional sports teams. In 1991 the Portland Trailblazers an- nounced plans to build a new arena (now under construction) at a cost of $265 million with a capacity of 16, 000 to 20, 000 sports fans. Horse racing and dog racing facilities are located in the immediate area. The Portland metropolitan area also has a symphony, junior symphony orchestra, opera association, pops symphony, symphonic choir, civic • theater, Oregon Museum of Science and Industry, art museum, Histor- ical Society, zoo and zoological gardens, and art galleries. Port- land's extensive public library system has many branches. The Port- land Civic Auditorium, Portland Civic Stadium and Memorial Coliseum provide space for large cultural and sports events. Climate and Topography The climate of the Portland metropolitan area is most accurately des- cribed as "mild with some rain. " The annual rainfall in the Portland metropolitan area is the same or less than such cities as New Orleans, Boston, New York and Houston. However, the annual rainfall is spread throughout much of the year (88% occurs between October and May) , with rain falling on an average of 153 days. REAL ESTATE ANALYSIS NORTHWEST rr 19 REGIONAL DESCRIPTION (continued) The months of July, August and early September are typically dry and cloudless. The coldest month of the year is January with an aver- age temperature of 38 degrees. July is the warmest month with an average temperature of 67 degrees. Most years the Portland metro- politan area is free of snow although some years a small amount of snowfall does occur. �. The majority of the east side of Portland is level with the area immediately west of Portland City Center rising to an altitude of 1, 073 feet from the area's average altitude of 175 feet. As one travels further west from Portland City Center, the topography again becomes level. Government The Portland metropolitan area has various forms of governmental systems. The City of Portland operates under a city council system with a mayor and four commissioners. The four county governments operate under an administrator/commis- sioner governmental structure. The suburban communities operate with either a mayor-council or mayor-manager system. Most of the governmental bodies within the Portland metropolitan area have significantly influenced land use patterns and have at- tempted to attract various types of industry to the metropolitan area. The City of Portland has been active in attracting new in- dustry into the area. A great deal of time has been spent by governmental bodies in the encouragement of the citizens to par- ticipate in governmental planning from the most basic levels through neighborhood groups and public hearings. The Portland metropolitan area has pioneered a regional government organization known as the Metropolitan Service District (M.S.D. ) . The M.S.D. is administered by 12 unpaid counselors and a paid exe- cutive director. Responsibilities of M.S.D. include local plan review, management of solid waste disposal, and the Portland zoo. Taxes The state of Oregon, and all local governments in the state, are operated on a balanced-budget basis with only limited reliance �+• on general obligation bonds. Very few new taxes have been enacted in the state of Oregon since 1929. New taxes in recent years are the cigarette tax on the state level, and the following on the local level: Tri-Met tax, Multnomah County business income tax, and the Multnomah and Washington Counties gas taxes. The state of Oregon has no sales tax and no business inventory tax. The w REAL ESTATE ANALYSIS NORTHWEST 20 REGIONAL DESCRIPTION (continued) „r heaviest tax in the state is the personal income tax which is graduated between 5% and 9% of an individual' s taxable income. Local government districts derive a significant portion of their funds from real and personal property taxes. Personal property in transit through the state to a final destination outside of the state is not subject to a personal property tax while being warehoused in the state of Oregon (Freeport Law) . Any corporation doing business in the state of Oregon must pay an excise tax on the net income derived from its Oregon opera- tions. However, the excise tax paid in Oregon can be used as a deduction in computing the federal income tax. In November 1990 Measure 5 was approved by voters in a statewide election. This property tax limitation measure will gradually reduce property tax rates to $15. 00 per $1, 000 of assessed val- uation over a five-year period. Bonded indebtedness will be ,.� added to the basic tax rates. Summation and Trends The economic base of the Portland metropolitan area has histori- cally been characterized by stable, moderate economic growth. �. Many new electronics firms have entered the area which aids in .providing additional diversification away from the lumber indus- try and related products. In fact, the lumber and wood products industry has declined in terms of importance since late 1979 or the end of the nationwide housing boom. Although the population within the city of Portland has increased somewhat since 1980, the population in the suburban areas has in- creased rather significantly. In general, the majority of the population growth in the state of Oregon and the Portland metro- politan area is due to immigration. The total employment in the Portland metropolitan area has shown a 28% increase since 1980. Unemployment rates within the Portland metropolitan area tend to be slightly lower than the rates exper- ienced throughout other areas of the state. However, unemployment rates in Oregon sometimes exceed the national average during reces- sion periods although this situation has not occurred during the most recent recession. The state of Oregon and the Portland me- tropolitan area have a desirable environment for continued growth �. and real estate investment. This trend is evidenced by the amount of commercial construction recently completed and planned within the Portland City Center area, suburban areas, and new electronics firms located in the Sunset Corridor. REAL ESTATE ANALYSIS NORTHWEST 21 +• REGIONAL DESCRIPTION (continued) Transportation throughout the Portland metropolitan area has been improved with the new Interstate 205 freeway. Also, the MAX (light rail) has improved east Multnomah County transportation and MAX will improve Washington County transportation. The Port of Portland has assisted in increasing the distribution trade in Portland with the city of Portland assisting in drawing .r new electronics manufacturing firms to the area. Although the housing market throughout the Portland metropolitan area is at a much faster pace than the early 1980s, this trend is expected to moderate during the near term. Government and environmental regulations are expected to maintain .. the high quality of life for which the Portland metropolitan area and the Pacific Northwest are known. The continuing growth of em- ployment and increase in population throughout the Portland metro- politan area should assist in maintaining the demand for commer- cial/industrial and residential properties. In summary, the outlook for the Portland metropolitan area should reflect stable-to-moderate increases in real estate values of all types. REAL ESTATE ANALYSIS NORTHWEST rr 22 ... NEIGHBORHOOD DESCRIPTION The subject is located along the east side of S.W. 74th Avenue in a neighborhood typically referred to as the Metzger area. This neighborhood is bounded on the north by S.W. Taylors Ferry Road, on the south by S.W. Pacific Highway, on the east by the Multno- mah County line and on the west by S.W. Hall Boulevard/S.W. Wash- ington Drive. r. In general, within the subject neighborhood the majority of the land is zoned Residential. The only exception to this zoning consists of some commercial properties located along S.W. Pacific Highway and S.W. Hall Boulevard throughout the perimeter of the area. Portland City Center is located approximately 6 miles northeast of the subject and downtown Tigard is located approximately 1-1/2 miles to the southwest. Portland International Airport is lo- cated approximately 12 miles northeast of the subject. rrr The residential development located within the immediate subject neighborhood is primarily older in nature with the price levels of these residential properties being in the mid-price ranges for Washington County residential properties. However, the Washing- ton Square Estates and Razberry Patch which abut the subject to the north, south and east represent "pocket" developments of re- sidential properties in the mid-to-upper price ranges. There are also several new residential developments located along the north side of S.W. Taylors Ferry Road with the price ranges of the houses in these developments in the mid-price ranges. The resi- dential development throughout the area reflects an average-to- above average level of maintenance at the current time. The ma- jority of the area is built-up with residential properties al- though there are a few infill sites remaining in areas. It is expected that residential development throughout the neighborhood will continue on available development sites. Commercial development throughout the neighborhood primarily con- sists of retail properties along both sides of S.W. Pacific High- way. There are also a few retail and office properties located along S.W. Hall Boulevard. The primary commercial development throughout the area consists of the Washington Square regional shopping center which is located in the Washington Square neigh- borhood west of the subject adjacent to Highway 217 . Other new commercial development in close proximity to the subject has oc- curred immediately south of S.W. Pacific Highway and east of �+ Highway 217 . This development consists of the new Costco, Cub Foods and Petsmart stores. A new Office Max is scheduled to oc- cupy a new 23,500-square foot retail building adjacent to the Cub .� Foods store. Mr. Gordon Martin, Jr. , and his family plan to de- velop a $33 million retail center on their 25-acre site immedi- ately south of Cub Foods. These new retail properties are lo- cated within the Tigard Triangle area. Although this area is REAL ESTATE ANALYSIS NORTHWEST 23 uri NEIGHBORHOOD DESCRIPTION (continued) .r outside of the subject neighborhood, retail properties within this development serve residents throughout the area. It is ex- pected that much of the new commercial development within close proximity to the subject will occur within the Tigard Triangle ++ area. Adjoining uses within the immediate neighborhood appear to be compatible. No adverse factors were observed which would nega- tively influence the subject neighborhood. Therefore, the out- look for the neighborhood appears to be positive over the near term. rr r. r. rr REAL ESTATE ANALYSIS NORTHWEST w 24 ++� SITE DESCRIPTION Location The subject is located immediately east of 9750 S.W. 74th Avenue inside the city limits of Tigard in Washington County. rw Size rr The subject site contains approximately 8.9 acres acccording to a plat map for the property obtained from the Washington County As- sessor's Office. A copy of this plat map has been included at " the end of this section of the report for informational purposes. ' Shape The subject consists of a mostly rectangular-shaped inside site. The property would be perfectly rectangular if a smaller rectan- gular site with a house (commonly referred to as Tax Lot #400) were not divided out of an area adjacent to the northwest corner of the property. The west property boundary which abuts S.W. 74th Avenue is approximately 321.45 feet in length. The west property boundary which abuts the Washington Square Estates de- velopment is approximately 421.45 feet in length. The north property boundary which abuts an older residence and the Raz- berry Patch residential development is approximately 968 feet in length. The south property boundary which abuts an older house and the Washington Square Estates development is approximately 967.8 feet in length. Flood Plain Considerations The appraiser reviewed the most recent Flood Hazard Boundary Map �. available from the U.S. Department of Housing and Urban Develop- ment Federal Insurance Administration. The map panel applicable to the subject is 410238 509 B which is dated September 30, 1982. According to this map the subject is not located within a 100- year flood plain. A copy of this flood plain map is located at the end of this section of the report. �.r Topography .. A topography map furnished by the City of Tigard has been in- cluded at the end of this section of the report. Basically, the lowest portion of the site is adjacent to a creek which runs in a northwesterly direction. It appears that one of the lowest por- tions of the site is approximately 196.5 feet in elevation di- rectly adjacent to S.W. 74th Avenue. The highest portion of the site is located near the northeast corner of the property and REAL ESTATE ANALYSIS NORTHWEST 25 am rw SITE DESCRIPTION (continued) .r appears to be approximately 284 feet in altitude. The northeast corner of the site slopes down to the southwest to the creek. The southwest corner of the site slopes down to the creek in a northeasterly direction. The lowest portion of the site is lo- cated on both sides of the creek and this area is nearly level throughout the creek area. The north and southwest portions of the site appear to be most developable based upon the current r„ topography and a physical inspection of the site. Please see a copy of the Topography Map located at the end of this section of the report for further details regarding grades. Site Improvements There are two small out-buildings located on the site. These out-buildings are in poor condition and do not add any contribu- tory value to the property. Some of the perimeter of the site is also fenced although the fencing is old and does not add any con- tributory value to the site. Vegetation/Trees The subject essentially consists of a heavily-wooded site primar- ily including cedar trees. There are also a few smaller fir trees and some deciduous trees located throughout areas of the site. Other vegetation includes many ferns which appear to be of at least two different varieties. There are some holly trees, laurel plants and other low-growing brush including blackberries throughout the site. A low portion directly adjacent to the creek and several houses appears to be a small meadow with low- growing grass. The developable portions of the subject would have a view into the wooded area adjacent to the existing creek. .r. Real Market Value/Taxes �. The subject is classified as a Forestland-Potential Site with an additional tax liability. The current land special market value of the site is $5, 320 and the current taxes are $83 .21. This information is based upon the 1994/95 tax year. The value and taxes above do not have any impact on the subject for valuation purposes although there are accumulated deferral taxes attributed to the property. Utilities The following public utilities are currently available to the subject site: public water, public sewer, electricity, natural gas and telephone. Public water is provided by the Tualatin REAL ESTATE ANALYSIS NORTHWEST 26 r SITE DESCRIPTION (continued) Valley Water District and public sewer is provided by the City of Tigard. Electricity is provided by the Portland General Electric Company and telephone service is provided by U S West Communica- tions. Natural gas is provided by the Northwest Natural Gas Com- pany. The appraiser contacted Mr. Kevin Schmeltzer at the Tualatin Val- ley Water District in regard to the availability of public water. Mr. Schmeltzer indicated that an 8-inch water main is located in S.W. 74th Avenue adjacent to the subject. The appraiser contacted Ms. Karleen Aichele at the City of Tigard regarding the availability of public sewer. Ms. Aichele indi- cated that a 12-inch public sewer line is located in the creek which bisects the subject and continues under S.W. 74th Avenue. Next, the appraiser contacted Ms. Linda Christy at the Northwest Natural Gas Company regarding natural gas availability. Ms. Christy indicated that a 2-inch natural gas main is located in portions of S.W. 74th Avenue adjacent to the subject. However, she did indicate that a 150-foot gap in service was located in the proximity of the creekbed in S.W. 74th Avenue. Street Improvements S.W. 74th Avenue is an asphalt-paved/gravel, two-way (north/ south) road. S.W. 74th Avenue is paved from the vicinity of the northerly portion of the site and continuing further to the north. This road terminates at a barrier and drops off severely to the south to the creek area. It is possible to enter the property by continuing in a northerly direction on S.W. 74th Avenue from S.W. Landau Street although the improvements in this area consist of a gravel road and only provide access to the +rr southwest corner of the site. S.W. 74th Avenue again terminates due to a severe change in grade down to the base of the creek. In other words, it is not possible to drive north or south past the entire subject property along S.W. 74th Avenue due to a ter- mination in the street improvements created by a severe downslope adjacent to the creek. Overhead power/phone lines are located along the west side of S.W. 74th Avenue in the vicinity of the subject. Traffic flows along S.W. 74th Avenue in the vicinity of the subject are classified as light as it only serves a few houses. Accessibility The overall accessibility of the subject is rated as average for a residential property. The main portion of the site has access from S.W. 74th Avenue at the northwest property boundary. The REAL ESTATE ANALYSIS NORTHWEST irr 27 r �. SITE DESCRIPTION (continued) southwest corner of the site has access from the southerly por- tion of S.W. 74th Avenue. Easements The appraiser was not provided with a title insurance policy or preliminary title report for the subject. Based upon a physical inspection of the site and a tentative layout, it appears that a sanitary sewer easement encumbers the portion of the subject di- rectly adjacent to the creek or the lowest-lying land throughout the site. No other easements were apparent upon physical inspec- tion of the site. If any easements become evident regarding the subject, the appraiser should be re-contacted for further anal- ysis regarding the effect of the encumbrance upon the value of the site. Zoning The subject is under the jurisdiction of the City of Tigard Plan- ning Department. In this regard the appraiser contacted Mr. Will D'Andrea, an assistant planner with that department. Mr. D'An- drea indicated that the entire subject site is zoned R-4 . 5 which is a Single Family Residential zone. He further indicated that the Comprehensive Plan designation for the subject of Low Density Residential is in conformance with the existing zoning. The R-4 . 5 zoning allows a variety of residential uses including the following: single-family detached residential units, public sup- port facilities, farming, temporary uses, residential treatment homes, manufactured homes and home occupation. There are also a variety of conditional uses allowed under the existing zoning. Basically, the subject site could be developed to a density of 4-1/2 residential units per acre which is based upon a minimum +rr lot size of 7, 500 square feet for each detached house. Overall, the existing zoning allows a variety of residential �. developments to be constructed on the subject site. The density transfer option does not appear to add any measurable density to the subject due to the lot width and other requirements estab- lished by the zone code according to Mr. Jim Harris, who was in- volved in the tentative layout of the subject property. Thus, the site is suitable for a residential subdivision. irr REAL ESTATE ANALYSIS NORTHWEST ----------- Ir - W 3000 I 300 `.3200 3500 30 -g j��24 l 3x0 2 r A jrr) \ 31 ;7 S.W. BARBARA 3400 202 32 25 460IO 27 20. 39 A LANE 44CO W 43M 42;�7 Z 4500 o 4= 37 'm F�-, T c H 35 34 -n Vs > SEE MAP 6- 2 80 .s I 25CO i 300 400 U L E: V A IF? SEE I MAP 9 2-3-81 Is 25DO 28 30 H T S f 700 84 A, I so .6 ------ ..... \j\l A T. LOTTED res1300 1400 1500 - 2000 2100 nDD 900 1700 .1800 6 1900 S I pr Z200 3 5 6 7 10 1100 4 Boo Q U A R 12 "Oo NIJ• spew m S. W. 2 VENTURA JCR,M54)) 29 000 -,2 2900 2700 2600 250, 2400 —Cy Z, 'Ar 22 24 v 23 m -W. ANO" STAEETI ji� 1 /16 CO... 114 SEE MAP C c%J 56AB r-- N FOR ASSESSMENT PURPOSES ONLY. 3 DO NOT RELY ON FOR ANY EfS VI OTHER USE. Plat Map 00 r . ��• /"mow � � --��.�ww�.� ` \.fit.. -�E- SUBJECT E � \ t t • • ` PMA 1 30 .. MIN NJ a -1911ab- ® an ■® I! a Gieev ■ ■ ■ 9 ■ r ■ ■ ® ■ OWIN ® 9861 ® ■■ ■ .rr �sr ® ® 0 0 O � ■ ® ® � ■ ® ■ ® FLORENCE ® ■ ■ ■ ■ a LAN® ■ ® ® ® ® ®�® ® ®®® ® � ®® s ® a ■ O 25 y ORS FERRY ROAD ■ 11111 iYlli rrr HWEST CEDARCREST STREET w z w rr > Q --------------- rw OOp STREET rlr C� ZONE C WEST OCK rrl ET F- 00 0 +rr HWEST LANDAU STREET IMMMMMMI br DUN QMWAM Me.00OPYNOW IM Flood Plain Map 31 err HIGHEST AND BEST USE The highest and best use is defined as that legal and probable use which will support the highest present value of the site as of the effective date of the appraisal. The highest and best use must be legal, marketable, financially feasible and physically possible. In addition, the highest and best use must not only maximize the wealth of the ownership position of the property, but must also have a maximizing benefit for the community. With respect to the subject site, the highest and best use is considered to be as a single-family residential development site. This is based upon the overall location, zoning and other prop- erty characteristics of the site. This information will be dis- cussed in detail within the following paragraphs. The legal factors influencing the highest and best use of the subject are primarily related to zoning and other governmental restrictions. As previously mentioned within this report, the entire subject site is zoned R-4 . 5 which is a Single Family Re- sidential zone. According to the zoning regulations, various types of residential developments could be developed on the sub- ject site in addition to several other legally permitted uses. It is also important to analyze the impact of surrounding prop- erties on the subject property based upon zoning. It is noted that most of the properties in the immediate vicinity of the subject also have the same zone designation. Therefore, the zoning will establish a high level of conformity of use with the potential for negative influences in the future being reduced. Overall, the Comprehensive Plan for the subject neighborhood will create an environment conducive to further development which will enhance the marketability of properties within the subject neigh- borhood. The physical characteristics of the subject site are favorable to various types of residential developments. The site has suffici- ent exposure from S.W. 74th Avenue which is a lightly-trafficked road. Even though the subject does not have visibility from a through street, the access to the site is acceptable for a sin- gle-family residential development. It would appear that the ac- cess and exposure of the site would be insufficient for residen- tial multi-family units as these types of developments frequently require a greater level of identity from a nearby street. It ap- pears that it would be physically possible to develop the subject site as a residential subdivision essentially divided into two .. distinct areas primarily due to the sloping topography adjacent to the creek. A copy of a tentative layout regarding the devel- opment potential of the subject has been included at the end of this section of the report for further support of the physical development potential of the site. Also, the wooded nature of the site and adjacent creek represent amenities to the property REAL ESTATE ANALYSIS NORTHWEST rr 32 HIGHEST AND BEST USE (continued) which enhance the overall marketability of individual lots within the potential development scenario of the site. The market considerations which influence the subject property include the suitability of the subject as an investment alterna- tive and the supply/demand characteristics of residential sites at this time within the subject neighborhood and competing areas. r.. Considering the demand for the subject as an investment vehicle, it is noted that well-located residential sites are continuing to be purchased throughout the subject neighborhood and competing areas by residential builders/developers. The demand for resi- dential development land, especially somewhat smaller parcels similar to the subject, has remained at high levels as there is less development risk associated with a smaller residential prop- erty within the marketplace. Also, it is becoming more difficult to find an adequate supply of residential development land within the Tigard and Tualatin areas due to the current location of the urban growth boundary. Regarding the demand for completed houses or single-family dwel- lings, it is noted that new properties have continued to reflect a high level of demand, especially if the price ranges are under $300, 000 for the completed properties. The demand is even stronger for houses under $150, 000, according to several real estate agents and developers interviewed by the appraiser. In summary, the marketability of the subject appears to be aver- age-to-above average in relationship to investors or developers seeking residential sites oriented toward smaller residential subdivisions. The financial feasibility of a project is one of the most diffi- cult factors to analyze. One basic test which incorporates most financial considerations is the comparison of the values as indi- cated by the Income and Cost Approaches. Due to the fact that the estimated cost of development of the subject as a residential subdivision (on a per lot basis) is within the range of other recently completed or planned residential developments, it ap- pears that the project is financially feasible. This conclusion is based primarily upon the reliability of the cost estimate ap- plicable to the subject as prepared by Harris-McMonagle Associ- ates, Inc. , which has also been included at the end of this sec- tion of the report for informational purposes. Basically, the �.. total estimated cost of development for the subject excluding in- direct costs such as financing is $466,795 which reflects an average lot development cost of $18, 672 ($466,795/25 lots) . The following are several of the costs for the comparable land sales analyzed within this report on a per lot basis: Comparable No. 2 _ $18, 750/lot, Comparable No. 3 = $18,500/lot, Comparable No. 4 = $18 , 000/lot, Comparable No. 5 = $16, 000/lot, Comparable No. 6 = REAL ESTATE ANALYSIS NORTHWEST .r 33 ++ HIGHEST AND BEST USE (continued) $11, 000-$12 , 000/lot, Comparable No. 7 = $18,500/lot and Compara- ble No. 9 = just under $18, 000/lot. Thus, with the exception of one comparable which had relatively low direct development costs, the subject costs are within the typical market range. In the above analysis, legal, physical, market and financial considerations have been discussed as they relate to the highest and best use of the subject property. The analysis indicates that the only significant restraint affecting the use of the subject consists of the topography throughout the site and con- siderations of the creek location. Overall, it can be concluded that the highest and best use of the subject is as a vacant resi- dential subdivision developed to a similar density as the tenta- tive layout for the subject as concluded at the end of this sec- tion of the report. Wr+ REAL ESTATE ANALYSIS NORTHWEST w SENN PROPERTY DATE: 4/13/93 LEGEND q 'TENTATIVE LAYOUT SCALE 1' - 50• Na ss CONTOURS: CITY OF TIGARD MAPPING • CATCH BASIN M r w r A PORTION OF LOT 28, BOULEVARD HEIGHTS TAX MAP: 1S-1-25 DC SITUATED IN THE S.E. 1/4 OF SECTION 25 TAX LOT: 300 TOWNSHIP 1-SOUTH, RANGE 1-WEST OF THE WILLAMETTE MERIDIAN AREA: 8.9 ACRES — — — STORM DRAINAGE UNE r�'w* i.0 wmc CITY OF TIGARD. WASHINGTON COUNTY, OREGON ZONING: R-4.3 (CITY OF TICARD) ------ SANITARY SEWER LINE E WATER UNETYPCAL 8"REET JEL"noN • BARR19-Ye11oNAQ1E I390CIA7t& INC. s I I H�BLVD. -- - - EXISTING FACILITIES 6257 �((Msw)IN 31Mi — - 0 50 100 ra:(503)&N-tau ;\ \ L SCS SO" 1p I 5cp I I II •°� tI I cls .00 I�cp oo I tom" I tI All I AI I AIS ►1 I tl�. �� + -4 r � TSI• ' — — — - -----——�d--o--- t All 2 3 4 5 6 7 j op tl�. 8I 21 \`\ `` 11� I, \\ •---- ___SANITARY Al \ I 20 —• —Y _� WATER —— --- — `�-- 200• 9 WATER QUALITY- 7,T FAC0.1f1' ` 18 17 All 16 � 15 14 t 3 __ _- 10 \ `\ \ cit of > 12 \ \ .p M O �` \_` SRO#,. ••"AS -\ AYp�r�F SO 7 __ - _ _ _ _._ -. _._ 22 I \ Aft� -�\ v£ :, � \ OPEN - `��oo 3 23 zoHF `-\� \ SPA Cc Al 24 j 25 OPEN SPgC \ , \ _ tl�o Epp � TRACT - PRN. DR. I I I V Gt �1 -- qtr I 'QP I t1�115co bep I ' I I Qp I I 'VAST INGTON S�ARE ESTA7I I AI I tl I tl�1�o0 1 I I I / t'`�1� I - - �' - - -I- - -I- - - s - - - - - -► - - -I- - -I- _ 2 S.W. VENTURA DP. t — 35 +■ PROJECT: SENN PROPERTY EST-1/3 SUBJECT: PRELIMINARY CONSTRUCTION COST ESTIMATE SUBDIVISION IMPROVEMENTS 4/14/95 Senn SUMMARY PRIMARY CONSTRUCTION Interior streets & site work .............................................................................. $146,548 SW 74th Ave.interim improvements ................................................................ 30,793 Stormdrainage ................................................................................................ 42,128 Sanitarysewer ................................................................................................. 67,745 Waterworks..................................................................................................... 3 6,295 Electrical ......................................................................................................... 15,850 Sub-Total ........................................... $339,359 Construction contingency (10%) ..................................................................... 33,936 Sub-Total - Primary Construction ...... $373,295 SECONDARY CONSTRUCTION Wetlandsdelineation ....................................................................................... 4,000 Engineering, surveying, project coordination ................................................... 57,691 Materials testing, soils engineering .................................................................. 5,000 +� City fees (planning & public works).................................................................. 12,254 WaterDistrict fee ............................................................................................ 3,750 Storm water service charge ............................................................................. 5,995 Countyfees ..................................................................................................... 2,010 P.G.E. fees.............................................................................................. 2,800 Sub-Total - Secondary Const. ............. $93,500 TOTAL ESTIMATED COST ....................................................... $466,795 36 PROJECT: SENN PROPERTY EST-2/3 SUBJECT: PRELIMINARY CONSTRUCTION COST ESTIMATE SUBDIVISION IMPROVEMENTS 4/14/95 ITEM DESCRIPTION UNITS MEASURE UNIT COST TOTAL COST INTERIOR STREETS & SITE WORK 101 Mobilization/traffic control I lump sum 3,500.00 3,500.00 102 Erosion/sedimentation control 1 lump sum 3,000.00 3,000.00 103 Clearing&stripping 1 lump sum 24,000.00 24,000.00 104 Excavation..fill&grading 6,000 c.y. 6.00 36,000.00- 105 Curb 2,344 If 8.00 18,752.00 106 Subgrade stabilization 50 c.y. 20.00 1,000.00 108 Base rock. I-1/2"-0. 8"thick 4,333 s.y. 5.75 24.914.75 109 Base rock. 3/4"-0. 2" thick 3,825 s.y. 1.50 5,737.50 110 Asphalt Concrete. 3-1/2"thick 3,825 s.y. 7.75 29.643.75 SUB-TOTAL. INTERIOR STREETS—& SITE WORK...................................................... . 146.548.00 SW 74TH AVE INTERIM IMPROVEMENTS 111 Erosion/sedimentation control 1 lump sum 500.00 500.00 112 Excavation.fill&grading 790 c.y. 8.00 6,320.00 113 Subgrade stabilization 15 c.y. 20.00 300.00 114 Base rock. I-1/2"-0. 8"thick 1,790 s.y. 5.75 10.292.50 115 Base rock. 3/4"-0,2"thick 1,790 s.y. 1.50 2,685.00- 116 Asphalt Concrete, 3-1/2"thick 1,380 s.y. 7.75 10,695.00 SUB-TOTAL, SW 74TH AVE INTERIM IMPROVEMENTS ........................................... . 30.792.50 �. STORM DRAINAGE 201 Pipe, 12-inch 752 If 18.00 13.536.00 202 Pipe, 10-inch 120 If 16.00 1,920.00 204 Manholes 3 each 1,500.00 4,500.00 205 Catch basins 9 each 1.000.00 9,000.00 206 Discharge pads 3 each 1.200.00 3,600.00 207 Water quality facility 1 lump sum 4.200.00 4.200.00 208 Rock backfill 377 c.v. 14.25 5,372.25 SUB-TOTAL, STORM DRAINAGE ................................................................................. . 42,128.25 SANITARY SEWER 301 Pipe, 8-inch 1,333 If 15.00 19.995.00 302 Pipe,4-inch sen ice laterals 700 If 13.00 9.100.00 304 Manholes 6 each 1,800.00 10.800.00 305 Cleanout 1 each 400.00 400.00 306 Tees, 8-inch X 4-inch 25 each 40.00 1.000.00 307 Trench stabilization 40 c.y. 20.00 800.00 308 Rock backfill 1,800 c.y. 14.25 25.650.00 SUB-TOTAL. SANITARY SEWER................................................................................... . 67.745.00 rr 37 PROJECT: SENN PROPERTY EST-3/3 SUBJECT: PRELIMINARY CONSTRUCTION COST ESTIMATE SUBDIVISION IMPROVEMENTS 4/14/95 ITEM DESCRIPTION UNITS MEASURE UNIT COST TOTAL COST WATERWORKS m 401 Pipe, 8-inch 1,050 If 18.00 18,900.00 402 Pipe, 6-inch 355 If 15.00 5,325.00 404 Connect to existing 8-inch 1 lump sum 600.00 600.00 405 Valves, 8-inch 4 each 500.00 2,000.00 406 Valves, 6-inch gate 1 each 400.00 400.00 407 Fire hvdrant assemblies 1 each 1.800.00 1.800.00 rr. 408 Blow-off assemblies 1 each 475.00 475.00 409 Misc. bends&fittings 800 lbs 2.00 1.600.00 410 Rock backfill 340 c.v. 14.25 4.845.00 �r 411 Water sample station 1 each 350.00 350.00 SUB-TOTAL. WATERWORKS ........................................................................................ 36.295.00 ELECTRICAL 501 Crossings 4 each 750.00 3.000.00 502 Trenching&backfill 2,100 If 2.50 5.250.00 503 Vault installation 4 each 500.00 2.000.00 504 Street lights 7 each800.00 5.600.00 SUB-TOTAL,ELECTRICAL ............................................................................................. . 15.850.00 rr r. err Wr rw rrr rr� irr rr� �r. VALUAT=ON ANALYS= S AND r"' CONCLUS=ON err rr REAL ESTATE ANALYSIS NORTHWEST rr 38 �• VALUATION METHODS The property which is the subject of this report consists of a vacant residential site located in a primarily built-up area. Thus, it can be most accurately described as an "infill" parcel. As previously concluded within this report, the highest and best use of the subject was estimated to be as if vacant and available for development as a single-family residential subdivision. Therefore, only the Market Approach, which is frequently referred to as the Direct Sales Comparison Approach, will be utilized in estimating the market value for the subject. Within the Market Approach sales of similar vacant sites are analyzed, compared and contrasted in order to derive an indication of value for the sub- ject being appraised. The Market Approach is considered to be the most applicable approach for estimating the market value of the subject at the current time due to the availability of un- developed or raw land sale comparables currently available for analysis. A Subdivision Analysis or Subdivision Development val- uation technique is typically applied to residential subdivision land appraised for financing purposes. This type of analysis is also utilized in feasibility studies and in appraisals when com- parable sales of undeveloped or raw land are scarce. A Subdivi- sion Analysis is essentially a variation of an Income Approach as the retail lot prices or lot values are discounted over a holding period after deducting appropriate development expenses. Unfor- tunately, with this type of analysis there are several important factors which have to be researched and supported by market data in order to properly apply this valuation method. Several of these components are somewhat subjective in nature and can change rapidly. Several of these factors which are exceedingly impor- tant within this type of analysis include the following: an es- timated absorption period, estimated future potential interest rates applicable to mortgages of houses or single-family dwel- lings, estimated amount of developer's profit/overhead and an estimated discount rate to apply to the discounted cash flow analysis applicable to the net cash flows. Thus, if there were very few sales of vacant residential sites available for develop- ment, it would be reasonable to also complete a Subdivision Anal- ysis for the subject. However, this situation does not apply to the subject due to the availability of current market data. The estimate of market value within the site valuation section of the report is based upon the following assumptions: stable soil conditions, the accuracy of the tentative layout as completed by Harris-McMonagle Associates, Inc. , with the associated cost es- timate and the professional marketing of the site within the mar- ketplace. The estimate of value also assumes that a potential purchaser of the subject would complete a similar type of tenta- tive layout and cost analysis as the one described above prior to completing the acquisition of the property. REAL ESTATE ANALYSIS NORTHWEST rr 39 �+• SITE VALUATION rr The estimate of market value for the subject within this section of the report will be estimated by comparing the subject with similar residential sites which have sold throughout the subject neighborhood and competing areas. The majority of the compara- bles have slightly differing zone designations as opposed to the subject although they have been or will be developed with single- family residential developments. Thus, the ultimate sale prices of these comparables were all based upon single-family residen- tial developments consisting of detached dwellings. There does not appear to be any measurable value difference among these com- parables based upon their differences in zoning on a per acre or per raw/undeveloped lot basis. It is interesting to note that one of the comparables would have allowed a much higher density of development as opposed to the actual development completed of the property. The comparable sales will be analyzed on both a price per acre and price per raw/undeveloped lot basis. Those comparable sales utilized to indicate the market value of the subject are similar to the subject in many ways including zoning, available services, taxes, exposure and other important factors related to residential site valuation. erw Each of the sales within this section is compared with the sub- ject property in order to estimate a value for the subject being +�+ appraised. The Tabulation of Vacant Residential Site Comparables is presented on the following pages and has been extracted from the sales as listed in detail within this section of the report. In regard to a time adjustment, the appraiser completed research within the subject neighborhood and competing areas in order to attempt to extract a precise measurable change in values of resi- dential development sites over the time period as spanned by the comparables. Unfortunately, no sites could be located which had sold and subsequently resold which would reflect value trends. err After an interview of several residential developers and real es- tate agents, it is apparent that residential development land has been increasing in value during the last several years. Thus, it would appear most appropriate to place primary emphasis upon the most recent comparable sales in order to estimate the value of the subject by minimizing the effect of time upon the value esti- mate. The somewhat older sale transactions analyzed within this report have been included primarily for informational purposes. It is also important to note that the smaller residential sites appear to sell for a premium in the marketplace as opposed to somewhat similarly-located larger sites. This is probably due to the lower development risk or absorption risk associated with smaller residential land parcels. It is understood that some potential developers of residential sites have been attempting to buy sites at values well above the indicated values of the comparable sales analyzed within this re- REAL ESTATE ANALYSIS NORTHWEST 40 am+• SITE VALUATION (continued) port. Apparently, these higher offers are made to potential sel- lers with adequate earnest money clauses allowing the developers to cancel the sale agreement or renegotiate the price based upon unknown conditions at the time of the offer. It does not appear reasonable to include these offers as bonafide closed sales when the ultimate sale prices of these properties have not been con- firmed. In fact, Mr. Jim Harris of Harris-McMonagle Associates, Inc. , indicated to the appraiser that he has tried to market the professional services of his firm to owners of residential devel- opment land. Basically, he indicated that the owners of residen- tial development land would be provided with a tentative estimate regarding the development potential of their property eliminating many of the unknown conditions which are typically included as due diligence items in earnest money agreements. In that manner, the owner/sellers would be provided with current development cost information and constraints regarding their properties due to the fact that many of the available development sites consist of sloping, wooded or wetlands considerations. Mr. Harris is also aware of offers somewhat above the typical ultimate sale prices of properties with those offers subsequently being reduced or "sale fails" occurring. In regard to the "sale fail" situations, Mr. Harris indicated that owner/sellers who had originally re- ceived higher offers than current ultimate sale prices had un- realistic expectations about their property values due to the original offers made by potential developers. Then, it becomes more difficult to sell those properties due to the above market asking prices established predicated upon the original offers which subsequently resulted in "sale fail" transactions. Detailed land sales pages with applicable photographs will be in- cluded within the following section of the report. After presen- tation of this detailed land sale information, the appraiser will estimate the value of the subject site. rrr REAL ESTATE ANALYSIS NORTHWEST 41 LAND SALES Land Comparable No. 1 ' Location: Northwest corner of the inter- section of S.W. Cedarcrest Street ' and S.W. 82nd Avenue in Portland. Seller: J.L. Blough Company Buyer: Olson Development Company, Inc. Date of Sale: February 1995 Sale Price: $165, 000 Terms: Cash Verified: Nina Olson (639-2125) and Todd Mintz, DeCosta Real Estate (636-4800) Y.. Recorded: Fee #95-8041 Legal Description: Tax Lot #1500, Map 1S1 25CB, Washington County, Oregon. REAL ESTATE ANALYSIS NORTHWEST 42 LAND SALES (continued) Land Comparable No. 1 (continued) Improvements: A small one-bedroom, one-bath house is located on a portion of the site. The buyer did not give the structure any contribu- tory value and it will be razed at a cost of approximately $5, 000. Property Description: This square-shaped corner site has direct frontage along several streets although S.W. Cedarcrest Street is the only abutting im- proved street at the current time. The site slopes down to a creek on a slight-to-moderate basis. All public utilities were available to the site at the time of sale. Size: 3 . 08 acres Zoned: R-5, Residential Indicated Price per Acre: $55, 195 (based upon an adjusted price to include razing costs) Marketing Period: 7 days Comments: The purchaser plans to develop approximately 11 single-family lots from this parcel . A portion of the site is in a wetlands area although the precise acreage of this area has not been deline- ated. If there were no wetlands, the zoning would have allowed 15 single-family lots. REAL ESTATE ANALYSIS NORTHWEST 43 LAND SALES ' Land Comparable No. 2 �i Location: 15214 S.W. Scholls Ferry Road in Tigard. Seller: Macel E. May Buyer: Standring, Inc. , et al Date of Sale: September 1994 Sale Price: $510, 000 Terms: Cash Verified: James Standring (245-9715) Recorded: Fee #94-90634 Legal Description: Tax Lot #1800, Map 2S1 5, Wash- ington County, Oregon. REAL ESTATE ANALYSIS NORTHWEST 44 ■r ' LAND SALES (continued) ' Land Comparable No. 2 (continued) Improvements: One old house was located on the site at the time of sale. The buyer did not give the struc- ture any contributory value and it was razed at a cost of $5, 600. Property Description: This mostly rectangular-shaped inside site has direct frontage along S.W. Scholls Ferry Road. The site slopes up to the south above street grade. There are some trees located throughout the site and area views are pos- sible from the upper portion of the property. All public utili- ties were available to the site at the time of sale. Size: 11. 28 acres Zoned: R-15, Multi-Family Residential Indicated Price per Acre: $45, 709 (based upon an adjusted price to include razing costs) Marketing Period: Off/on market for some time due to sale fail transactions. Comments: This site has been approved for a 48-lot single-family residen- tial development. ir. REAL ESTATE ANALYSIS NORTHWEST 45 LAND SALES Land Comparable No. 3 e Location: 21055 S.W. Boones Ferry Road in Tualatin. ' Seller: Lowell and Donna Owen Buyer: Nabco, Inc. Date of Sale: June 1994 Sale Price: $130, 000 + $55, 000 buyer-paid finder's f ee Terms: Cash Verified: Mansour Nabavi, Nabco, Inc. (781-9871) ■ Recorded: Fee #94-57669 Legal Description: Tax Lot #13600, Map 2S1 26CA, City of Tualatin, Washington County, Oregon. Improvements: Vacant at the time of sale. REAL ESTATE ANALYSIS NORTHWEST 46 LAND SALES (continued) ' Land Comparable No. 3 (continued) ' Property Description: This "L"-shaped flag lot has some direct frontage along S.W. Boones Ferry Road. The site slopes down slightly below street grade with ' the interior being mostly level. All public utilities were avail- able to the site at the time of ME sale. Size: 2 . 8 acres Zoned: RL, Residential Low Density Indicated Price per Acre: $66, 071 Marketing Period: Buyer solicitation Comments: This site has been improved with a 12-lot single-family residen- tial development. REAL ESTATE ANALYSIS NORTHWEST 47 LAND SALES ' Land Comparable No. 4 LLE t Location: Southeast corner of the intersec- tion of S.W. 109th Avenue and • S.W. Naeve Street in Tigard. Seller. Bruce A. Law, et al ' Buyer: Renaissance Development Corp. Date of Sale: May 1994 ' Sale Price: $3890, 500 ' Terms: Cash Verified: Julie Dunn, Renaissance Develop- ment Corp. (557-8000) Recorded: Fee #94-53848 Legal Description: A portion of Tax Lots #600, 700, 800 and 900, Map 2S1 10DA, City of Tigard, Washington County, Oregon. REAL ESTATE ANALYSIS NORTHWEST 48 LAND SALES (continued) Land Comparable No. 4 (continued) Improvements: Vacant at the time of sale. Property Description: This somewhat irregular-shaped inside site has direct frontage along S.W. 109th Avenue. The site slopes up to the north from the south property boundary. The east lots located throughout the property have Mt. Hood views and the upper lots have area views. All public utilities were avail- able to the site at the time of sale. Size: 7 . 6 acres Zoned: R-3 . 5, Residential ' Indicated Price per Acre: $51, 250 Marketing Period: Unknown Comments: This site has been improved with a 29-lot single-family residen- tial development. s 0 REAL ESTATE ANALYSIS NORTHWEST 49 LAND SALES ' Land Comparable No. 5 1 ,� r IQtt I Location: North side of S.W. Norwood Road north of S.W. 89th Avenue in Tua- latin. Seller: Mary L. Meagher, et al Buyer: H & S Development, Inc. Date of Sale: November 1993 Sale Price: $630, 248 Terms: Cash Verified: Greg Heinze, H & S Development, err Inc. (692-6383) Recorded: Fee 193-94276 Legal Description: Tax Lots #200, 201, 300 and 301, .. Map 2S1 35AC, City of Tualatin, Washington County, Oregon. REAL ESTATE ANALYSIS NORTHWEST 50 4 L LAND SALES (continued) ' Land Comparable No. 5 (continued) Improvements: One old house was located on the site at the time of sale. The buyer did not give the structure any contributory value and it was razed at a cost of approximately $7, 500. Property Description: This irregular-shaped inside site has direct frontage along S.W. Norwood Road. This site slopes down slightly throughout the ex- treme west portion of the prop- erty. All public utilities were available to the site at the time ' of sale. Size: 11. 67 acres Zoned: RML, Residential Medium-Low Den- sity Indicated Price per Acre: $54 , 649 (based upon an adjusted price to include razing costs) Marketing Period: Not on the market ® Comments: This site has been improved with a 61-lot single-family residen- tial development. I V REAL ESTATE ANALYSIS NORTHWEST 51 LAND SALES Land Comparable No. 6 Location: Northeast corner of the intersec- tion of S.W. Boones Ferry Road and S.W. Iowa Street in Tualatin. Seller: Gerald W. and Carol L. Crow Buyer: Greg A. Hemstreet, et al bo Date of Sale: October 1993 Sale Price: $540, 000 Terms: Cash Verified: Randy Clarno, Pacific Land Man- agement (635-2996) Recorded: Fee #93-87522 Legal Description: Tax Lots #600 and 700 , Map 2S1 35AC, City of Tualatin, Washing- ton County, Oregon. ■ REAL ESTATE ANALYSIS NORTHWEST 52 LAND SALES (continued) Land Comparable No. 6 (continued) Improvements: Two older houses were located on the site at the time of sale. The buyers did not give any con- tributory value to one of the houses and were going to inte- grate the second house into the proposed development. However, they changed their plans and 6w razed the second house as it did not conform to the development. The total razing costs were ap- proximately $20, 000. Property Description: This square-shaped inside site ' has direct frontage along S.W. Boones Ferry Road. The site slopes up to the east above ' street grade. Some area views are possible from several lots. All public utilities were avail- able to the site at the time of sale. Size: 8 . 62 acres Zoned: RML, Residential Medium-Low Den- sity Indicated Price per Acre: $64 , 965 (based upon an adjusted price to include razing costs) Marketing Period: Not available Comments: This site has been improved with a 53-lot single-family residen- tial development. ■ ■ REAL ESTATE ANALYSIS NORTHWEST 53 LAND SALES Land Comparable No. 7 i —r_ r Location: Northwest corner of the intersec- tion of S.W. Boones Ferry Road and S.W. Ellman Lane in Durham. Seller: The Bank of California, et al Buyer: Beacon Homes, Inc. Date of Sale: September 1993 (a small portion of the site was acquired in Jan- uary 1993) Sale Price: $1, 031, 000 (considered cash equi- valent) Terms: Two separate seller trust deeds. One trust deed was for $30, 000 at an 8% interest rate due 9 months after closing. The other trust deed was for $160, 000 at an 8% interest rate for 8 months. Verified: Kurt Dalbey, Beacon Homes, Inc. (629-5000) REAL ESTATE ANALYSIS NORTHWEST 54 LAND SALES (continued) Land Comparable No. 7 (continued) ' Recorded: Fee #93-5111, 93-82190 and 93-83225 Legal Description: Tax Lot #100, Map 2S1 13CC and Tax Lots #200, 300 and 400, Map 2S1 13CD, City of Durham, Wash- ington County, Oregon. Improvements: Two old houses were located on the site at the time of sale. The buyer did not give the struc- tures any contributory value and had them razed at a total cost of approximately $10, 000. Property Description: This mostly rectangular-shaped corner site has direct frontage along S.W. Boones Ferry Road. The majority of the site is level and on grade with both abutting streets. However, the extreme back portion of the site slopes down measurably toward the Tuala- tin River. The site was heavily wooded at the time of sale with many fir trees and the back lots within the development have good views above the Tualatin River. All public utilities were avail- able to the site at the time of sale. Size: 16. 69 acres (net of a 1. 07-acre common area) Zoned: SFR, Single Family Residential Indicated Price per Acre: $63 , 589 (based upon an adjusted price to include razing costs and timber value, and based on net area) Marketing Period: Seven companies submitted bids on this property. Comments: This site has been improved with a 62-lot single-family residen- tial development. As part of the REAL ESTATE ANALYSIS NORTHWEST 55 LAND SALES (continued) Land Comparable No. 7 (continued) rft sale agreement the Bank of Cali- fornia received an additional $30, 468 in timber proceeds with Mr. Dalbey receiving approximate- ly $10, 156. The adjusted sale price of the property is approx- imately $1, 061, 300. 1 i 1 1 1 1 1 1 1 1 1 1 REAL ESTATE ANALYSIS NORTHWEST 56 6 LAND SALES ' Land Comparable No. 8 w . � M v _ 4 >.. r7i h Location: S.W. Landau Place and S.W. Landau Street in Tigard. ® Seller: Robert B. and Frances H. Burness Buyer: A.R. Williamson Construction, Inc. Date of Sale: August 1993 Sale Price: $1501, 000 Terms: Cash Verified: Alan Williamson (590-1873) Recorded: Fee #93-69792 Legal Description: Lots 1-9, LANDAU WOODS, and Parcels 1 and 2 , PARTITION PLAT NO. 1993-076, City of Tigard, Washington County, Oregon. Improvements: Vacant at the time of sale. REAL ESTATE ANALYSIS NORTHWEST 57 LAND SALES (continued) Land Comparable No. 8 (continued) Property Description: This somewhat irregular-shaped ft inside site has direct frontage along S.W. Landau Place. The site slopes down to the north below street grade into a wet- lands area. All public utili- ties were available to the site at the time of sale. A prelim- inary plat was approved prior to the sale although the buyer gave it minimal value. Size: 2 . 52 acres ' Zoned: R-4 . 5, Residential Indicated Price per Acre: $59, 524 Marketing Period: Not on the market Comments: This site has been improved with an 11-lot single-family residen- tial development. r REAL ESTATE ANALYSIS NORTHWEST 58 ' LAND SALES Land Comparable No. 9 y - Location: Southwest corner of the intersec- tion of S.W. Bull Mountain Road and S.W. 148th Place in Tigard. ® Seller: Jack Y. Yeager Buyer: Tower Development, Inc. Date of Sale: August 1993 Sale Price: $200, 000 ' Terms: Cash Verified: Michael McCollum, Tower Develop- ment, Inc. (655-2159) Recorded: Fee #93-67452 Legal Description: Tax Lot #8200, Map 2S1 8AD, Wash- ington County, Oregon. REAL ESTATE ANALYSIS NORTHWEST 59 LAND SALES (continued) Land Comparable No. 9 (continued) Improvements: An old garage was located on the site at the time of sale. The buyer did not give the struc- ture any contributory value and had it razed at a cost of $2 , 000. Property Description: This "L"-shaped inside site has direct frontage along S.W. Bull Mountain Road. The site slopes down below street grade in a ' southeasterly direction. Sever- al of the lots have a good view amenity of the area. All public utilities were available to the ' site at the time of sale. Size: 3 . 79 acres Zoned: R-6, Residential Indicated Price per Acre: $53 , 298 (based upon an adjusted price to include razing costs) Marketing Period: Long marketing period Comments: This site has been improved with a 15-lot single-family residen- a tial development. a REAL ESTATE ANALYSIS NORTHWEST 60 i LAND SALES i Land Comparable No. 10 y �'L i ter- :t: �• `. !0 o , i ems: ' Location: East side of S.W. 92nd Avenue abutting Tigard High School sports field in Tigard. Seller: R.A. Gray, et al Buyer: Waverly Construction Company — Date of Sale: July 1993 i Sale Price: $490, 000 Terms: Cash Verified: Ken Waymire, Waverly Construction Company (694-5505) �i Recorded: Fee #93-62331, 93-62336 and 93-62337 Legal Description: Tax Lots #1000 and 1400, Map 2S1 14A, City of Tigard, Washington County, Oregon. REAL ESTATE ANALYSIS NORTHWEST i 61 LAND SALES (continued) Land Comparable No. 10 (continued) Improvements: Vacant at the time of sale. Property Description: This rectangular-shaped inside site has direct frontage along S.W. 92nd Avenue and secondary frontage along S.W. 85th Avenue. The south portion of the site slopes down measurably toward a creek area. All public utilities were available to the site at the time of sale. Size: 8 . 24 acres (net of a 2 . 88-acre common area adjacent to the creek) Zoned: R-12 , Multi-Family Residential Indicated Price per Acre: p $59, 466 (based upon the net area) Marketing Period: Not available Comments: This site has been improved with a 46-lot single-family residen- tial development. REAL ESTATE ANALYSIS NORTHWEST TABULATION OF VACANT RESIDENTIAL SITE COMPARABLES Cash Unit House Comp. Subdivision Sale Equiv. Number Development Price Cash Price Cash Price No. Name/Location Date Price Price Size Zoning of Lots Density Range Per Lot Per Acre 1. No name yet 2/95 $165,000 $165,000 3.08 acres R-5 11 3.57/acre $130K- $15,455 $55,195 N.W.C. S.W. Cedarcrest Street $180K & S.W. 82nd Avenue Portland 2. Mayview 9/94 $510,000 $510,000 11.28 acres R-15 48 4.26/acre Unknown $10,742 $45,709 15214 S.W. Scholls Ferry Road Tigard 3. Boones Ferry Commons 6/94 $185,000 $185,000 2.80 acres RL 12 4.29/acre $190K- $15,417 $66,071 21055 S.W. Boones Ferry Road $230K Tualatin 4. Renaissance Surmitt 5/94 $389,500 $389,500 7.60 acres R-3.5 29 3.82/acre $240K- $13,431 $51,250 S.E.C. S.W. 109th Avenue & $320K S.W. Naeve Street Tigard 5. Norwood Heights 11/93 $630,248 $630,248 11.67 acres RML 61 5.23/acre $152K- $10,455 $54,649 North side S.W. Norwood Road $238K North of S.W. 89th Avenue Tualatin 6. Pennington Heights 10/93 $540,000 $540,000 8.62 acres RML 53 6.15/acre $130K+ $10,566 $64,965 N.E.C. S.W. Boones Ferry Road & S.W. Iowa Street Tualatin 7. Heron Grove 9/93 $1,061,300 $1,061,300 16.69 acres SFR 62 3.71/acre $240K- $17,118 563,589 N.W.C. S.W. Boones Ferry Road $380K & S.W. Ellman Lane Durham 8. Landau Woods 8/93 $150,000 $150,000 2.52 acres R-4.5 11 4.37/acre $179K- $13,636 $59,524 S.W. Landau Place & S.W. $220K Landau Street Tigard 9. Continental Heights 8/93 $200,000 $200,000 3.79 acres R-6 15 3.96/acre $200K- $13,467 $53,298 S.N.C. S.W. Bull Mountain Road $250K & S.W. 148th Place Tigard 10. Waverly Estates 7/93 $490,000 $490,000 8.24 acres R-12 46 5.58/acre $178K- $10,652 $59,466 East side S.W. 92nd Avenue $232K Abutting Tigard High sports field Tigard NOTE: All value indicators are based upon the cash equivalent prices and include razing costs of existing improvements. N r r r r r r r Lm::. a r r r HELL L HUGH BROA Y T Nr ` f EEM,y w SAN RAFAEI $T qp HALSE T < < CO RD 'g' _ Y COPNE` LISA T wa q L I t LEAHY I N+ IDE R T NS D (Fq E'r L I L URNSIDE T 0 SO 1AAK 51 t 5)('19 q0 0 JA.E.q PDgD D w p BE ONT ST TA T 0 I M ISOH "> VAST/LL�M STDN YkOS(ggy i ` MAIN ST YA w �2 BARN > -.1 ORN(E� i pNr0 > ENA Ap f5 TSTA 'O" 2 =o L NCL an 5l 4 MARAEi ST MILL' T o N L RD NS 1 l5¢ M1 1 MPHR h qy - � � i i ^ Y q0 Z 8 P BLVD R 0 O - I/1 N S) rAi DIVISION T t 2 I> POAp JDRO T 4I Cl IM10N ST 2 O� y�V ^ i P RD I� PATTON �� B WELL VD 44,0 AqV �'PyO,9v - lV0 �BiRLHWDOOD G RGLADS ZONE M/I ION ST rt BLV $ _ ST 8 .r0.H u < � HOIGA TE BLVD Bt vD ^ oa of > O a HOLGAIE ` ` < 5TH S T W HWY t0 ` k HI LS A E 00 sJE'j _ O O OJ,JE w = POWJohnfon CAMERON Q ' STFELE 5T ry q O > Butte TON 2 - i i Be verton PO I �f4 RD NR'y 8 6> > 4 ^ qO NANOID ST f' O e 5 i i Y N WOODSTOCK BIVO r2 - DAVIS RD ALLEN BLVD VERNONI� • i ` - 2 RD NAAt RD ;` OENNEY RD MUI iNOMAN BLVD i'� ' .i m' ` FLAVEL ST A ` V 2 O _t FIA VEL SJ 44 v GARDEN HOME ¢ qYS AL SPRiHGS Arr 8 'C EY NIGER) r0 I RD .N SfROfN PEPPY E DALOM ST BL 6LV0S TT 'PO BAITER — 0 0 5 RqY ¢ SROCANAN B( i T h -F RR R Yi 2 i VDIs ft RD i V 4' Mil uki` 2� • Mt ° R,OG RE)RD` WEIN RD = Z£ HSBEw PD 1 PO 9 T oOTT q IDLEMAN Scott +•c ' ^ OAK • MONAD NiNOLD T NIL MONROE STD ` ROAD O KING Rp f PO w` i l c�gOB q PFSAF)FIE A BODNES w 1L 9 D HILLCREST Happy DAOoO THOMPSON ST Valley RD °mR A ('E SIO SI, 2 O i >MOH HAG�EN x + ` M1 0 ,q0 C T '4 R0 ERR NAgv P 2 q NM,y E � 4 P � NER R � p TIRBEN—.—. NNv E 4 WALIYVT S) 'vl Nr' A > 00 LOR �/�\A O AVEK �(OF HARMONY RD q£ m¢V 9CgESJ B k Mf S W �d 5 Bull igar STE I T ERG RD AT wATE _ Talbert R RD P -C'Avf DM R;RO COUNTRY LIUB MED GMRDE MCDONA:D ST m KRUSE ¢ qp V NE LAAE q B L ST LtB(y RD Hlll RD D p 2 MATHER MTN PD .1 BONIIA R PO STN BLVD OAK GROv N Dama m • $� i /PON BLVD 90 TH�ESSEN q0 i SAT)LER S I Pp I 2> �' P. LACAAMA O gc rr09�' ONCOP i R OT$ i HwY 212-IN HWY 2t2 BEND ND King DURHIM O YL PO C OG 90 Ohn$O Al''ST �-> _ BEEF _� C.itY C I .I,NT GRFE TREE p1E 0 8� 2 w C ^� I 0`0 0 P Clty JE STIFFR R 0 P i Tvaloon urha 4,O w¢ BERGiS � o IN ` F/$pp EN t P ; OYER(OOA DN < d CROS Va"er T. � V �fq O 1tl F^E RIVFq Rior. T A AIiN ?� q 2 N CT'1 y DR a t ne r�?k RD Y c vergr0Ve O TEP a PO o Tualatin a NST 4 OPDNIU D RIN"WATEq q y T9O PO SAGERT RD RANO q 2Q w AV RY T PO O AP 2 W • y? bt <w SMERWOOD gUv Ptd 4 b eLYp 90 West\' NOl O U i PO • 6 aJ. DEL— Linn Comparable Land Sales w 64 SITE VALUATION (continued) Site Valuation Analysis The comparable sales presented in the previous pages of this re- port were all located throughout the subject neighborhood and competing areas. In addition, nine of the comparable sales were sold on a cash sale basis and only one comparable was sold on a short-term seller financing basis. No financing adjustment was necessary to the one comparable with short-term seller financing due to market rates affecting the transaction. The comparables were somewhat similar to the subject in size consisting of some smaller sites, some nearly identical sites and some slightly lar- ger sites. The price ranges of the majority of the houses were available and are listed on the Tabulation of Vacant Residential Site Comparables chart. Several of the comparables had houses or structures located on them at the time of sale requiring razing cost adjustments. Also, Comparables No. 7 and No. 10 had rela- tively large common areas which were not able to be developed due to topography and wetlands considerations. Several of the other sales had very small common areas for water retention and other considerations. The net developable acreage of Comparables No. 7 and No. 10 were utilized within the analysis as the common areas �. or undevelopable areas were sizable in relationship to the total site area. It is also important to note that the appraiser in- terviewed Mr. Tim Weishaupt at Harris-McMonagle Associates, Inc. , regarding the approximate size of the open space located through- out the tentative layout for the subject. Mr. Weishaupt indi- cated that approximately 3 acres of the subject would not be able to be developed as it is located in an open space area and is subject to wetlands and topographical considerations. Thus, the net developable acreage of the subject is approximately 5.9 acres. Conversely, the tentative layout for the subject is for a total of 25 residential lots. This is a density of development for the non-open space area of the site of 4. 24 units per acre (25 lots/5.9 acres) . The density transfer bonus for the subject had minimal effect upon the total number of lots which could be divided from the property due to street frontage considerations affecting the proposed locations of the two streets which could serve the subject. The density of development for the subject based upon the non-open space area is well within the typical market range. Comparable No. 6 was the only comparable analyzed which had a density of development exceeding 6 units per acre which reflects relatively small lot sizes. The comparable sales have been analyzed on a cash price per raw .. or undeveloped lot basis and also a cash price per acre basis. There appears to be a somewhat narrower range of value as re- flected by the cash price per acre basis. Thus, it would appear more appropriate to analyze the subject utilizing this type of �. data. The estimated market value of the subject will therefore be based upon a cash price per acre and the developable portion of the site excluding the relatively large open space area. This REAL ESTATE ANALYSIS NORTHWEST 65 r .,� SITE VALUATION (continued) is very similar to the situation affecting Comparables No. 7 and No. 10 which were analyzed on the same type of basis. Comparable No. 2 indicates the lowest value for the subject of $45,709 per acre. This comparable also consists of the second most recent sale transaction. This indicated price per acre ap- pears to be somewhat below the range of the remaining comparables even though some of the comparables consisted of somewhat older sale transactions. Thus, no emphasis has been placed upon this comparable in the final analysis due to this consideration. Comparables No. 8, No. 9 and No. 10 consist of somewhat older sales transactions. No emphasis has been placed upon these three comparables due to this consideration. rr Comparable No. 1 consists of a very recent sale transaction. The buyer is in the process of attempting to delineate the wetland area affecting the site. If the site did not have any wetland area and were developed to the maximum density allowed by the zoning, it would have been suitable for a 15-lot development. However, at the time of sale the purchaser anticipated developing approximately 11 lots throughout the property. This is a density of development of approximately 73 . 3 percent (11 lots/15 lots) of the maximum density allowed if the entire site were developable. +� In other words, the effective developable size of Comparable No. 1 is somewhat smaller than 3 . 08 acres. Thus, the indicated price by this comparable of $55, 195 per acre is an average unit .� price including the wetlands area. If the net developable size of this comparable were 73 percent of the total size or 2 . 26 acres, this comparable would have reflected a value of $75, 221 per acre. Some of the houses adjacent to the wetlands may be able to have larger back yard areas or it may be necessary to leave a somewhat larger open space within this development. The indicated price by this comparable of $55, 195 per acre is proba- bly somewhat below the effective indicated value based upon a net developable area. This comparable illustrates that land values for residential properties have increased somewhat during the near term as this comparable is somewhat inferior to several of the other comparables in terms of amenities and the potential price ranges of houses which would be supported on this site from a development viewpoint. Only slight emphasis has been placed upon this comparable due to this consideration. Comparables No. 3, No. 4 , No. 5 and No. 6 were all located �. throughout the Tigard and Tualatin areas. It appears that the upper range of value as indicated by these four comparables would be most appropriate for the subject considering the amenity of the site offered by the wooded nature of the property adjacent to the creek. Also, Comparable No. 7 consists of a site which had more timber value than the subject on a per acre basis and was superior to the subject in terms of a water amenity due to the REAL ESTATE ANALYSIS NORTHWEST 66 �• SITE VALUATION (continued) fact that it is located immediately above the Tualatin River. Even though Comparable No. 7 consisted of a somewhat older sale, it still reflected a price per acre well above the indicated values by several other comparables which sold near the same point in time other than Comparable No. 6 which was developed to a slightly higher density which should logically reflect a slightly higher sale price per acre. After considering increased .. demand for somewhat smaller residential development sites similar to the subject, it would appear that a value for the subject of $70, 000 per acre would be supportable. This would reflect an in- dicated value for the property of $413, 000* ($70, 000/acre x 5.9 acres net) . This total value translates to a price per raw or undeveloped lot of $16,520 ($413 , 000/25 lots) . This price per raw or undeveloped lot is near the upper end of the range as in- dicated by the comparables although it is still slightly lower as opposed to the indicated value of Comparable No. 7 by this type of analysis. The indicated value for the subject would require that the site be developed with new houses in the mid-to-upper price ranges. These houses would probably be slightly higher in price as opposed to adjacent houses in the Razberry Patch and Washington Square Estates residential developments. Based upon an analysis of the above market data, it is the opin- ion of the appraiser that a value for the subject of $70, 000 per •• acre appears most supportable based upon current market condi- tions. It is important to note that this value estimate includes the amenity value of the site consisting of the wooded nature of the property. Thus, the amenity value for the trees has been in- cluded in the estimated value of the property. This estimate of value also assumes that the subject would be sold on a cash sale or cash out basis. Below is the estimated market value of the subject site: $70, 000/acre x 5.9 acres = $413 , 000 Estimated Value, Market Approach = $413 , 000 or. *No cost for razing the two out-buildings has been included as it is very minimal due to the small structures and lack of foundations. .r REAL ESTATE ANALYSIS NORTHWEST rr 67 • CERTIFICATE OF APPRAISAL I certify that to the best of my knowledge and belief: The statements of fact contained in this report are true and correct. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, unbiased professional analyses, opinions and conclusions. 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. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uni- form Standards of Professional Appraisal Practice and the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. The appraisal also meets r„ the 1990 appraisal standards mandated by federal law and USPAP. I have made a personal inspection of the property that is the subject of this report. No one provided significant profes- sional assistance to the person signing this report. I certify that the use of this report is subject to the require- ments of the Appraisal Institute relating to review by its duly authorized representatives. As of the date of this report, I, Kirk W. Shaeffer, have com- pleted the requirements under the continuing program of the Ap- praisal Institute. Employment of the appraiser was not conditioned upon the apprai- sal producing a specific valuation, a requested minimum valua- tion or approval of a loan. My compensation is not contingent r+. upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value es- timate, the attainment of a stipulated result, or the occurrence of a subsequent event. The real property which is the subject of this report has been valued as of April 26, 1995, for: FOUR HUNDRED THIRTEEN THOUSAND DOLLARS .. $413 ,000 May 1, 1995 1A 0496 1 Date K rk W. Shae er, MAI REAL ESTATE ANALYSIS NORTHWEST r. rr. wr err �. ADDENDA r.. r. REAL ESTATE ANALYSIS NORTHWEST .�. ASSUMPTIONS AND LIMITING CONDITIONS This appraisal is subject to the following limiting conditions: The legal description furnished me is assumed to be correct. It was verified by this appraiser with the official county records. I assume no responsibility for matters legal in character, nor do I render any opinion as to title, which is assumed to be market- able. All existing liens, encumbrances, and assessments have been disregarded, and the property has been appraised as though free and clear, under responsible ownership and competent manage- ment. The exhibits 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. Unless otherwise noted herein, it is assumed that there are no encroachments or zoning or restrictive violations existing in the subject property. The appraiser assumes no responsibility for determining if the property requires environmental approval by the appropriate government agencies, nor if it is in violation thereof unless otherwise noted herein. Information, estimates, and opinions contained in this report are obtained from sources considered to be reliable; however, no lia- bility for them can be assumed by the appraiser. This report shall be used for its intended purpose only, and by the parties to whom it is addressed. Possession of this report does not include the right of publication. .r The appraiser may not be required to give testimony or to appear in court by reason of this appraisal with reference to the pro- perty in question, unless prior arrangements have been made therefor. The distribution of the total valuation of this report between land and improvements applies only under the existing program of utilization. The separate valuations for land and improvements must not be used in conjunction with any other appraisal and are invalid if so used. The statements of value and all conclusions shall apply as of the date shown herein. The appraiser has no present or contemplated future interest in .� the property which is not specifically disclosed in this report. The gross building area has been computed based upon exterior building dimensions as measured by the appraiser. REAL ESTATE ANALYSIS NORTHWEST ••. ASSUMPTIONS AND LIMITING CONDITIONS (continued) 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 or approval of the author. This applies particularly to value con- clusions and to the identity of the appraiser and the firm with which he is connected. .,, The valuation stated herein assumes professional management and operation of the building throughout the lifetime of the improve- ments, with an adequate maintenance and repair program. This report is based upon historical information and historical trends, which may or may not reflect future trends. In this appraisal assignment, the existence of potentially haz- ardous material used in the construction or maintenance of the building, such as the presence of asbestos or urea-formaldehyde foam insulation and/or toxic waste, which may or may not be pre- sent on the property, was not observed by the appraiser; nor does the appraiser have any knowledge of the existence of such mater- ials on or in the property. The appraiser, however, is not qual- ified to detect such substances. It is recommended that the cli- ent retain an expert in these fields of expertise if desired. REAL ESTATE ANALYSIS NORTHWEST sr Im MON KNOW ALL MEN BY TflES�PRESE T5.� at. .It�►.A� ]d►aLosei'. »�•.......... inconslderr'lono/...'17CtL.t►. OQ.a�.wu.a� 16ADWAa6.10.4k.. .. -..................y».........................Dollars. to t�ea....'....pard ey.....mc'Pe.R�. ,...8th..!!A4.. .» .,,.Ifiaa...�iubgae..aa�.wti................................ ......................»_..............».» ....».. .....__......_..»_.»..»....__.......... ...grantees. do hereby grant,bargain,sell and convey unto the said grantees,as tenants by the entirety and not as tenants in community property,their heirs and assigns,all the following real property,with the tenements, heirdiraments and appurtenances,situated in the County of........N!• WJMtOA............................and State of Oregon,bounded and described as follows,to-wit: I.ot 88, Tract 1, Bonlererd Heights, in the Oouaty of Washington and State of Oregon. I ' t i i r i i 7 3 j j To Have and to Hold the above described and granted premises unto the said grantees as tent nts by the i entirety,their heirs and assigns forever. And the grantor P.do......covenant that....th9...ar....lawfully seized in lee simple of the above granted premises free from all incumbrances,........................ ......... .............. ............ .................... ........................................... _.......... ....................... _................ . ............ ............._......................................................................................_•........ _.._»_. .__.». _._. ___.._.._..... and that....•.they..._.....will and.........tht.AX.....heirs.executors and adminlattatorx.shall warrant and forever defend the above granted premises,and every part and parcel thereof,against the lawful claims and demands of all persons whomsoever. ti Witness.....TUOIX..........hand..4 and seat.... 19. A STATE OF OREGON, - /c•�k !•- �� AT) i as. .. _.. •r County of........._.11ultnamnh._........... ._.._.} On this..... before me, the undersary Public n rad forltatd C�paogrr and�ra�te,pe[sonaily fppeared the within named......... ha,•C, liacb�+mer an... srIFessSS....Ne..;.............AMc_r»g n» Dena_ a�»id sir• i known to me to be the Identical IndlvidusJR..described in and who executed the within 1 ent�Snd acknowledged to me that.....thaY.........executed the same freely and voluntarily. I i ;� �.E...�• �;�,, .. IN TESTIMONY WHEREOF.I have hereunto set my hand and seal • �'" the day and year last above written. koT n,,, Notary Public for Oregon. s f My Commission Expires.SAN ..�..q. ry. INS ICA ?. c o a -," �N I 'i ` t rf py q � �a . . Ile.f� ate �,, c. r ... Chaccer 18. 50 R-4.5 : SINGLE-FAMILY RESIDENTIAL (7, 500 SQUARE FEET) .r (5, 000 SQUARE FEET PER UNIT) Sections• 18.50.010 Purpose 18.50.020 Procedures and Approval Process 18.50.030 Permitted Uses �. 18.50.040 Conditional uses (See Chapter 18.130) 18.50.050 Dimensional Requirements 18.50 .060 Additional Requirements .r 18 .50 .010 Purpose A. The purpose of the R-4.5 zoning district is to establish standard urban low density residential home sites. (Ord. 89-06; Ord. 83-52) rr 18 .50.020 Procedures and Approval Process A. A permitted use, Section 18.50.030, is a use which is allowed outright, but is subject to all applicable provisions of this title. If a use is not listed as a permitted use, it may be held to be a similar unlisted use under the provisions of Chapter 18.43, Unlisted Use. .r. B. A conditional use, Section 18.50.040, is a use the approval of which is discretionary with the Hearings Officer. The approval process and criteria for approval are set forth in Chapter 18.130, Conditional use. If a use is not listed as a conditional use, it may be held to be a similar unlisted use under the provisions of Chapter 18.43, Unlisted Use. (Ord. 90-41; Ord. 89- 06; Ord. 83-52) r�r 18.50.030 Pet-pitted Uses A. Permitted uses in the R-4.5 district are as follows: +rr 1. Single-family detached residential units; 2. Public support facilities; 3 . Residential treatment home; .r 4. Farming; S . Manufactured homes; .. 6. Family day care; 7 . Home occupation; S. Temporary use; 9. Fuel tank; or 10 . Accessory structures. (Ord. 90-41; Ord. 89-06; Orr:. 85.15; Ord. 84-69; Ord. 83-52) rr do Revised 1/17/91 Page 105 18.50 .040 C�nditicnal Uses (See Chacter 18. 1301 A. Conditional uses in the R-4.5 district are as follows: 1. Children's day care; 2. Community recreation including structures; 3 . Cultural exhibits and library services; 4. Residential care facility; .■ 5. Mobile home parks and subdivisions: 6.. Duplex residential units; rr 7 . Single-family attached residential units; 8. Funeral and internment services: interning and cemeteries; 9 . Hospitals; 10. Utilities; 11. Public safety facilities; .. 12 . Religious assembly; 13 . Schools and related facilities; and 14. Accessory dwelling units. (Ord. 90-41; Ord. 89-06; Ord. 83-29; Ord. 83-52) 18 .50 .050 Dimensional Reauirements .n A. Dimensional requirements in the R-4.5 district are as follows: 1. The minimum lot area shall be: a. 7, 500 square feet for each detached unit; and + b. 10, 000 square feet for duplexes; 2. The average minimum lot width shall be: a. 50 feet for detached units; and b. 90 feet for each duplex lot; 3 . Except as otherwise provided in Chapter 18.96 and Section 18.100 .130, the minimum setback requirements are as follows: r. a. The front yard setback shall be a minimum of 20 feet; Revised 1/17/91 Page 106 b. On corner and through lots the minimum setback for each side facing a street shall be a minimum of 15 feet; however, the provisions of Chapter 18.102 must be satisfied; r� C. The side yard setback shall be a minimum of five feet; d. The rear yard setback shall be a minimum of 15 feet; and e. The distance between the property line and the front of the garage shall be a minimum of 20 feet; 4 . Except as otherwise provided in Chapter 18.98, no building in an R-4 .5 zoning district shall exceed 30 feet in height. (Ord. 89-06; Ord. 85- 32; Ord. 83-52) rr� 13.50 .060 additional Requirements A. Additional requirements in the R-4.5 district are as follows: „■, 1. Residential density transition, Section 18.40.040; 2. Overlay Districts, Chapters 18 .80 Planned Development, 18 .82 Historic Overlay District, 18.34 Sensitive Lands, and 18.88 Solar Access Requirements; 3 . Supplemental Provisions, Chapters 18.90 Environmental Performance Standards, 18.92 Density Computations, 18.94 Manufactured/Mobile home .�r Regulations, 18.96 Additional Yard Setback Requirements and Exceptions, 18.98 Building Height Limitations: Exceptions, 18. 100 Landscaping and Screening, 18. 102 Visual Clearance Areas, 18.104 Fuel Tank .�„ Installations, 18.106 Off-Street Parking and Loading Requirements, 18.108 Access, Egress, and Circulation, and 18.114 Signs; 4. Site Development Review, Chapter 18 .120; rrr 5. Development and Administration, Chapters 18. 130 Conditional Use, 18.132 Nonconforming Situations, 18. 134 Variance, 18. 140 Temporary Uses, 18.142 Home Occupations, 18.144 Accessory Structures, 18 .146 Flexible Setback Standards, and 18.150 Tree Removal; and 6. Land Division and Development Standards, Chapters 18.160 Land Division: r. Subdivision, 18.162 Land Division: Land Partitioning - Lot Line Adjustment, and 18.164 Street and Utility Improvement Standards. (Ord. 91-02; Ord. 90-41; Ord. 89-06; Ord. 84-29; Ord. 83-52) .r rr rr Revised 1 /17/01 Page 107 .r REAL ESTATE ANALYSIS NORTHWEST Real Estate Analysis Northwest (REAN) has been established with the goal of serving clients in a professional and timely manner. Real estate services provided by the firm include appraisal, con- sulting, site analysis, feasibility and market studies. These services can be utilized for the following purposes: loan origi- nation, property acquisition, division of interest, condemnation, court testimony as an expert witness, rent survey, feasibility .. analysis, and the analysis of alternative real estate investment opportunities. The appraiser has recently completed advanced ap- praisal course work offered by the American Institute of Real Estate Appraisers and the Society of Real Estate Appraisers. The appraiser completes all analyses by utilizing the contemporary real estate analytical methods. qw Professional Services Real Estate Analysis Northwest offers a wide variety of accepted methods for analyzing the different interests in real estate. Services of other specialized professionals are incorporated, when necessary, in order to produce the most accurate and com- prehensive analysis possible. The following is a brief descrip- tion of our real estate services: Appraisals: Valuation estimates of all types of properties including: commercial, industrial and residential. Feasibility Studies: Analyzing a proposed project on the basis of the reasonable likelihood of satisfying explicit objectives. Market Studies: Comparison of market analysis pro- jections with the supply of space ++� for a specified use in an effort to identify market opportunities. Expert Witness Testimony: Rendering a professional opinion as an expert witness regarding the ap- lot praisal or analysis of real estate. go REAL ESTATE ANALYSIS NORTHWEST Important Assignments The following list of appraisal or analysis assignments has been .. completed by appraisers of Real Estate Analysis Northwest while under the employment of this firm or other firm affiliations. Oregon Trail S & L, Gresham Main Br. Gresham, Oregon Oregon Trail S & L, Raleigh Hills Br. Portland, Oregon Oregon Trail S & L, Sandy Br. Sandy, Oregon Banfield Plaza Office Building Portland, Oregon .r„ Daneland Mobile Home Park Eugene, Oregon Ranch Village Mobile Home Park Bend, Oregon Mountain View Medical Clinic Bend, Oregon Suntree Mobile Home Park Bend, Oregon Rippling River Condominiums Welches, Oregon Tanasbrook Condominiums Beaverton, Oregon Airport Industrial Park Portland, Oregon Ostrow's Business Park Portland, Oregon Piercy & Barclay Office Building Tigard, Oregon Bend Villa Capri Retirement Center Bend, Oregon Highland House Nursing Home Grants Pass, Oregon Mr. Steak Restaurant Grants Pass, Oregon Oil Can Henry's Portland, Oregon Broughton Business Park Eugene, Oregon Bend Sunriver Mall Bend, Oregon Metro Arms Apartments Salem, Oregon Precision Optical Warehouse Portland, Oregon �+ Rondele Apartments Salem, Oregon Wood Village Apartments Corvallis, Oregon Riviera Apartments Corvallis, Oregon U.S. Post Office Building Forest Grove, Oregon Columbia I-5 Industrial Park Portland, Oregon Metro Manor Apartments Salem, Oregon Rowena Dell Subdivision The Dalles, Oregon Heritage Village Apartments Monmouth, Oregon Canterbury Apartments Salem, Oregon Brinson Industrial Park Bend, Oregon ••• Brudi-Wayron Mfg. Plant Longview, Washington Clients Served Lending Institutions: Fred Meyer Savings and Loan Association First Interstate Bank of Oregon U.S. National Bank of Oregon The Oregon Bank First State Bank of Oregon .� Equitable Savings and Loan Association Oregon Mutual Savings Bank Lincoln Savings and Loan Association Oregon Trail Savings and Loan Association Amfac Mortgage Company REAL ESTATE ANALYSIS NORTHWEST Clients Served (continued) Lending Institutions: Simco Mortgage Company National Mortgage Company Johnson Mortgage Company Columbia Mortgage Company U.S. Credit Corporation '■" Sherwood and Roberts Metropolitan Bank 1st Federal, Longview Corporations and Developers: Mortgage Guarantee Insurance Company Transamerica Relocation Service Portland General Electric Company Pacific Northwest Bell General Electric Company Way Lee - Developer Gordon Powelson - Developer Governmental Agencies: Portland Development Commission (PDC) State of Oregon, Dept. of Transportation City of Portland, Oregon r wo go aw do REAL ESTATE ANALYSIS NORTHWEST .r PROFESSIONAL QUALIFICATIONS KIRK W. SHAEFFER, MAI Kirk Shaeffer was born in Marysville, California in 1950. After attending public schools in Marysville and participating in var- sity sports at Marysville Union High School, he received a B.S. Degree in Business Administration, specializing in real estate finance, from the University of Nevada, Reno. Since his gradua- tion in 1972 , he has resided in Portland, Oregon. Real Estate Experience Real Estate Appraiser/Owner - Real Estate Analysis Northwest Real Estate Appraiser - Donnerberg Appraisal Company Real Estate Appraiser - Palmer, Groth and Pietka Real Estate Appraiser - Charles D. Bailey and Associates Chief Appraiser - Lincoln Savings and Loan Association Real Estate Marketing - D2S Resources, Inc. Real Estate Leasing, Management and Marketing - United States National Bank of Oregon Professional Education Completed the following college credit courses and examinations: err Real Estate Principles and Practices Real Estate Law Real Estate Finance (Graduate Credit) Real Estate Appraisal (Graduate Credit) Real Estate Investment Legal Aspects of Land Use Completed the following professional courses and examinations: Course 101, Introduction to Appraising Real Property, presented by the Society of Real Estate Appraisers, Portland State University, 1977. r. Course 201, Principles of Income Property Appraisal, presented by the Society of Real Estate Appraisers, Portland State University, 1978. Course 2-1, Case Studies in Real Estate Valuation, presented by the American Institute of Real Estate Appraisers, University of Georgia, 1980. Course 2-2, Valuation Analysis and Report Writing, presented by the American Institute of Real Estate .. Appraisers, University of Georgia, 1980. .r REAL ESTATE ANALYSIS NORTHWEST ■r Course 4 , Litigation Valuation, presented by the American Institute of Real Estate Appraisers, University of Portland, 1980. Course 2-3 , Standards of Professional Practice, presented by the American Institute of Real Estate Appraisers, University of Portland, 1980. Course 6, Introduction to Real Estate Investment Analysis, presented by the American Institute of Real Estate Appraisers, University of Portland, 1981. Course 2-3 , Standards of Professional Practice, presented by the American Institute of Real Estate Appraisers, Portland, 1984 . Recently completed seminars: Using Lotus 1-2-3 in the Appraisal Office, presented by the Society of Real Estate Appraisers, Reno, Nevada, June 1989. Construction Costs Seminar, presented by the American In- stitute of Real Estate Appraisers, Portland, February 1990. Feasibility Analysis/Highest and Best Use, Non-Residential Properties, presented by the American Institute of Real Estate Appraisers, Portland, October 1990. Financial Institutions Reform, Recovery and Enforcement NON Act (FIRREA) , presented by the American Institute of Real Estate Appraisers, Portland, November 1990. Types of Properties Appraised Mr. Shaeffer has appraised various types of properties which include the following: single-family dwellings, multi-family residences, industrial/residential condominiums, business parks, industrial parks, recreational properties, restaurants, mobile home parks, manufacturing facilities, nursing homes, shopping centers, office complexes, warehouses and vacant land. Certificates Certified Appraiser - State of Oregon Certified Appraiser - State of Washington Professional Organizations Appraisal Institute (MAI Member) Washington County Board of Realtors (Realtor Member) REAL ESTATE ANALYSIS NORTHWEST +w