Item 3: Ordinance Vacating Portion of West 4th Alley

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This is an email I got from the applicant in for the CB Simons alley vacation. The rep asked me if they could submit these examples, I told her they could and that I would forward them on but had no idea if they were relevant or helpful or change anything. Anyway, let me know your thoughts and have a great weekend! Steve 0. From: Cheryl Monson [mailto:cheryl @cbsimons.com] Sent: Friday, December 07, 2012 10:57 AM To: OCHS Steve P Subject: Re: Alley Vacation - Basis of Value Report Hey Steve, I spoke to CB yesterday, his email to me below is as follows: You can provide this to the City. It is what �, as sold in great detail. 1 refer to it as the RR lot. It was a cash. deal. It was similarly zoned laud. The only difference in the R.R. lot and the alleyway is that the RR lot is not encumbered by so many easements and is not paved. It provides access from the Charnelton end of 4th Ave. to the Lincoln access, and therefore has the same functionality.. The alleyway is a sirtaller parcel, but the economies of scale are negligible between 4,676 s.£, and 41,800, and the small sire and. conCgtuation of the alleyway does not lend itself to development to its highest and best use, so there seems to be no extra value per sq. ft. to the alleyway due to the smaller parcel size, and one could reasonably make a case that the alley configuration is a negative. The hard surface of the alleyway is a shambles and needs to be replaced.. The sub - grade on the RR lot is equivalent to that of the alleyway, and the the cost of removing the sub- standard paving sections in order to �oo :ror��ard rrom the sub -grade Fill is a further negative to the alleyway. Making no other comparison, the only two comparable property purchases fro the list are the ones with the same zoning. They are 42 and #4. $ 12.04 & $6.03/ s.f., respectively. Presuming all else to be equal between those two lots, the average value /sf of these two is $9.03. The RR lot sold for $335,000 ±, or $8.01. The date of sale is not specified for the listed comps., but the RR lot salt was 37 months ago, and real estate prices have not been on a dramatically upward trend since then. If the RR lot is added to the data set, it appears that the value for the alleyway unjust go down. Please have the appraiser make any appropriate adjustments in light of this additional data. and we will deposit the funds as instructed. Thank yOU for Your assistance in this matter. Also, I have attached the documentation on the Rail Road lot. Thank you for all your help! Cheryl Monson On Dec 6, 2012, at 2:22 PM, OCHS Steve P wrote: Hi Cheryl, Attached is the report stating how much the City will be asking for the alley and the basis of that valuation. You will receive an "official" notification of the amount in a few weeks but wanted to give you a heads up. Feel free to call if you have any questions. Thanks, Steve O. 7