Agenda - Council - 04/11/2017 - Laserfiche WebLink

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fuel tanks are still present on the site. It is also our understanding that a Phase I environmental assessment report has been completed, the results of which have indicated the need for a Phase 11 assessment. We have not been provided with a copy of the Phase I report, or any other summary of the potential issues it uncovered. Our analysis is subject to the Extraordinary Assumption that there is no environmental contamination or impact of any kind. Should there turn out to be any environmental or contamination-related issues, our value conclusions could change substantially. Specifically, the costs of remediating any environmental contamination would most likely be subtracted from the value conclusion. • Our 'as-complete' and 'as-stabilized' values are subject to the assumption that the required renovations would be completed to the specifications and within the timeline we have outlined in our appraisal. Furthermore, we also assume that market conditions will remain as anticipated during the construction and lease up period. Should anything turn out to be different than what we have outlined in this report, then our value conclusions could change substantially. Hypothetical Conditions A hypothetical condition is defined by the USPAP as "that which is contrary to what exists but is supposed for the purpose of analysis. Hypothetical conditions assume conditions contrary to known facts about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in an analysis." • While the purchase negotiations between the City of Ramsey and the current property owner are not part of condemnation proceedings, we believe that the acquisition does appear to qualify for the 'Scope of the Project Rule' as part of the Uniform Appraisal Standards for Federal Land Acquisitions. Specifically, there is a public purpose requiring the acquisition of the land,the particular lands required for the public purpose have been clearly identified,and the acquisition of the particular lands is evident to the public. Based on our market research and market participant interviews, the market is well aware of the US Highway 10 transportation system improvement plans, and we have observed specific market evidence measuring the impact. For the purposes of this appraisal, we have employed the 'Scope of the Project Rule' and our analysis is therefore subject to the Hypothetical Condition that the looming highway improvement project has not impacted market values for the particular properties affected. Should it be determined that the 51