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Home My WebLink About20100195.tiff RESOLUTION RE: ACTION OF THE BOARD CONCERNING PETITION FOR ABATEMENT OR REFUND OF TAXES-J. ARTHUR LEASING, LLC WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS,a hearing before the Board was held on the 13th day of January,2010, at which time the Board deemed it advisable to continue said matter to January 25, 2010, to allow the petitioner adequate time to submit additional paperwork, and WHEREAS, the Board of County Commissioners of Weld County, State of Colorado, at a duly and lawfully called regular meeting held on the 25th day of January, 2010, at which meeting there were present the following members: Chair Douglas Rademacher, and Commissioners William F. Garcia, and Barbara Kirkmeyer,with Commissioners Sean P. Conway and David E. Long being excused, and WHEREAS, notice of such meeting and an opportunity to be present has been given to the taxpayer and the Assessor of said County,with said Assessor, Christopher Woodruff, being present, and taxpayer J. Arthur Leasing, LLC, being represented by Jeffrey Perryman, and WHEREAS, the Board of County Commissioners have carefully considered the attached petition, and are fully advised in relation thereto. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado,that the Board concurs with the recommendation of the Assessor and the petition be and hereby is, denied, and an abatement or refund not be allowed as follows: CORRECTION TO ASSESSED ABATEMENT TAX SCHEDULE VALUATION OR REFUND YEAR NUMBER $0.00 $0.00 2007/2008 R3310605 $0.00 $0.00 2007/2008 R2531903 $0.00 $0.00 2007/2008 R3310705 $0.00 $0.00 2007/2008 R4909107 2010-0195 AS0075 c �/ii /, 6 TAX ABATEMENT PETITION - J. ARTHUR LEASING, LLC PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 25th day of January, A.D., 2010. BOARD OF COUNTY COMMISSIONERS WELD COUNTY • RADO ft ATTEST: 7-...›;,.........7- `� IE`,,,,A J tie �ougla Rademac er, hair Weld County Clerk to the :i§E t0 Q:! iiter24_ JA t F � arbara Kirkmeyer, Pro-Tem BY: Y. O r ,it= 1� Deputy Clerk to the Boar. ' :�,�r'.11„:1`\,\ EXCUSED Sean VAP. Conway APPK D AS T / • W F. Garcia ounty A ey EXCUSED David E. Long Date of signature: 02/54,9 2010-0195 AS0075 PETITION FOR ABATEMENT OR REFUND OF TAXES �^//�.}�/1� /��jO County'. Ike%d Date Received V1"`D / `"3 (Use Assessor's or Commissioners'RECEIVED ate Stamp) Section I: Petitioner,please complete Section I only. Date —13- 09 !JUL 16 2009 Month Day Year Arita( Lk {�L•C• WELD COUNTY ASSESSOR Petitioners came" net 1-�,►� ", GREELEY, COLORADO Petitioner's Mailing Address: it `'3 tor"- - �vG •�' I�Cityty or Town `•State Zip Code CowKdel' /JI SCHE 1p E R P CEL NUMBER n ( t pePERTY ADORERS OP LECALn SCRIPTION OF PROPERTY Oc5gQg3a)5ObI a15 nth Ave S B33/646s C•n-telly , to g6 4. - � • Petitioner states that the taxes assessed against the above property for property tax year(s)o - and OA art incorrect additional for athe followings i reasons: (Briefly describe the circumstances va surroundingl• the incorrect4 value es V- Attach additional sheets if necessary 3►Ue (�J1S7rC•••�JU.4JJ .µ-i ,fOs' "fIVL SLAV- 15 1`3 (plata than -l$s tart-eat man.VuA YaLuiz - Petitioner's estimate of value: S3C1-4,0009 GQ01' )and a AVI ot$la'9R C Value Year Vale Year Petitioner requests an abatement or refund of the appropriate taxes. l declare,under penalty of perjury in the second degree, that this petition,together with any accompanying exhibits or statements, has been repared or examined by me, and to the best of my knowledge,information and belief,is true,- ec d corn G Signature Daytime Phone Number(COO �--{,3435 Pe Toner s' By Daytime Phone Number( 1 Agent's Signature` 'Latter of agency must be attached when petition Is submitted by an agent. If the board of county commissioners,pursuant to section 39.10-114(1),or the property tax administrator, pursuant to section 39.2-116,denies the petition for refund or abatement of taxes in whole or in part,the petitioner may appeal to the beard of assessment appeals pursuant to the provisions of section 39-2.125 within thirty days of the entry of any such decision,§39.10.114.5(1),C.R.S. Section II: Assessor's Recommendation {For Assessor's Use Only) Q Tax year Q Tax Year ZOOS Sal Assessed Tao gctual Assessed Tax• Original Y5^/7 54/S (32y&90 4110,4981.12- S'r/0 O8l./2- 4'57,545 /32-49'o 4/Con 32-' • i. Corrected 1157n 3,.6 90 `, o �/ a3- Abate/Refund 0 0 0 0 O 0 O Assessor recommends approval as outlined above. Iirreltest was filed for the year(s): or Of a protest was filed.please attach a copy of the NOD.) ssessor recommends denial for the following reason(s): P'IC r CLLti^"el ✓alit 9nVV//,✓✓�// l • ... Assessor r Deputy Assessor ignature `�,a7Jt ,,a_DpT.q,R No 92043/06 2010-0195 .A f FOR ASSESSORS AND COUNTY COMMISSIONERS USE ONLY (Section III gr Section IV must be completed) Every petition for abatement or refund filed pursuant to section 39-10-114 shall be acted upon pursuant to the provisions of this section by the board of county commissioners or the assessor,as appropriate,within six months of the date of filing such petition,§39-1-113(1.7),C R.S. Section III: Written Mutual Agreement of Assessor and Petitioner (Only for abatements up to$1,000) The commissioners of County authorize the assessor by Resolution No. to review petitions for abatement or refund and to settle by written mutual agreement any such petition for abatement or refund in an amount of one thousand dollars or less per tract,parcel,or lot of land or per schedule of personal property,in accordance with§39-1-113(1.5),C.R.S. The assessor and petitioner mutually agree to the values and tax abatement/refund of: Tax Year Tax Year Actual Assessed Tax Actual Assessed Tax Original Corrected Abate/Refund Note:The total tax amount does not include accrued interest,penalties,and fees associated with late and/or delinquent tax payments,if applicable. Please contact the county treasurer for full payment information. Petitioner's Signature Date Assessor's or Deputy Assessor's Signature Date Section IV: Decision of the County Commissioners (Must be completed if Section III does not apply) WHEREAS,The County Commissioners of County, State of Colorado,at a duly and lawfully called regular meeting held on I I ,at which meeting there were present the following members: Month Day Year with notice of such meeting and an opportunity to be present having been given to the taxpayer and the Assessor of said County and Assessor (being present--not present)and Name petitioner (being present--not present),and WHEREAS,The said Name County Commissioners have carefully considered the within petition,and are fully advised in relation thereto, NOW BE IT RESOLVED,That the Board(agrees--does not agree)with the recommendation of the assessor and the petition be(approved--approved in part--denied)with an abatement/refund as follows. Year Assessed Value Taxes Abate/Refund Year Assessed Value Taxes Abate/Refund Chairperson of the Board of County Commissioners'Signature County Clerk and Ex-officio Clerk of the Board of County Commissioners in and for the aforementioned county,do hereby certify that the above and foregoing order is truly copied from the record of the proceedings of the Board of County Commissioners. IN WITNESS WHEREOF,I have hereunto set my hand and affixed the seal of said County this day of Month Year County Clerk's or Deputy County Clerk's Signature Note. Abatements greater than$1,000 per schedule,per year,must be submitted in duplicate to the Property Tax Administrator for review. Section V: Action of the Property Tax Administrator (For all abatements greater than$1,000) The action of the Board of County Commissioners,relative to the within petition,is hereby ❑Approved 0 Approved in part$ 0 Denied for the following reason(s). Secretary's Signature Property Tax Administrator's Signature Date 15-DPT-AR No.920-66/06 • 1 PETITION FOR ABATEMENT OR REFUND OF TAXES County: ti/e'lp Date Received aooq 03A (Use Assessors or Commissioners'Date Stamp) Section I: Petitioner,please complete Section I only. RECEIVED Date: T -i3-o a Month (D'ay !1_Yearr_ l.j�-, 1 IJUL 16 2009 • Petitioner's Name„(. fr4_Ir1tAt 1 Dirlin ,;. l.1�` WELD COUNTY ASSESSOR Petitioner's Mailing Address: %t22 106't YG, 0'— GREELEY, COLORADO catw.4 coSi City or Town Slate Zip Code SCH "'FOR PARCEL NUMBER(51 PROPERTY ADDRESS OP AI.nESCRIPTION OF PROPERTY 054093al061 J z to *' ve #1: Ra519 o a ( rr ft Sblo3N Petitioner states that the taxes assessed against the above property for property tax year(s) 01- and 0 U are incorrect for the following reasons: (Briefly describe the circumstances surrounding t e incorrect value or tax. �C Attach additional sheets if necessary,) -' ��S YQl T1�,,•LL• 15 M611 Than � tMx►uw retan.YUA v&WJ1- Petitioner's estimate of value: S? L331a'PO( ®r" )and $ al 1aa• ,. 41.d9 . Glue Year Vale Year Petitioner requests an abatement or refund of the appropriate taxes. I declare,under penalty of perjury in the second degree,that this petition,together with any accompanying exhibits or statements, has been repared or examined by me,and to the best of my knowledge, information and belief,is true, a d co e. Daytime Phone Number j coo be:mai -dt385 Pe tione s Signature By Daytime Phone Number j I Agent's Signature` 'Letter of agency must be attached when petition is submitted by an agent, If the board of county commissioners,pursuant to section 39.10.114(1),or the property tax administrator, pursuant to section 30.2-115,denies the petition for refund or abatement of taxes in whole or in part,the petitioner may appeal to the board of assessment appeals pursuant to the provisions of section 39.2.125 within thirty days of the entry of any such decision,§30.10-114.5(1),C.R.S. Section II: Assessor's Recommendation (For Assessor's use Only) Tax Year 2007 Tax Year 2 0 OS i Actual Assessed Tax Actual Assessed In original 213 I/015" SI,q90 Sterlg Z8 ,.S l.20 o1,O $/ kno 94,/66.7 Corrected O/ cu 4'90$€t 191.30 g1,_015" Ili.,19O 4C16losn,• li • AbatelRefund O O O 0 O O • 0 Assessor recommends approval as outlined above. • N rotest was filed for the year(s): or (If a protest was filed,please attach a copy of the NOD.) • Assessor recommends denial for the folio ing reason(s): Pal ei.6L tAki& 1„4/442e lad, Assessor's or puty Assessor's cignatu I6-OPT-AR No.920-66/06 , a FOR ASSESSORS AND COUNTY COMMISSIONERS USE ONLY (Section III or Section IV must be completed) Every petition for abatement or refund filed pursuant to section 39-10-114 shall be acted upon pursuant to the provisions of this section by the board of county commissioners or the assessor,as appropriate,within six months of the date of filing such petition,§39-1-113(1.7),C.R.S. Section III: Written Mutual Agreement of Assessor and Petitioner (Only for abatements up to$1,000) The commissioners of County authorize the assessor by Resolution No. to review petitions for abatement or refund and to settle by written mutual agreement any such petition for abatement or refund in an amount of one thousand dollars or less per tract,parcel,or lot of land or per schedule of personal property,in accordance with§39-1-113(1.5),C.R.S, The assessor and petitioner mutually agree to the values and tax abatement/refund of: Tax Year Tax Year Actual Assessed Tax Actual Assessed Tax Original Corrected Abate/Refund Note:The total tax amount does not include accrued interest,penalties,and fees associated with late and/or delinquent tax payments,if applicable. Please contact the county treasurer for full payment information. Petitioner's Signature Date Assessor's or Deputy Assessor's Signature Date Section IV: Decision of the County Commissioners (Must be completed if Section III does not apply) WHEREAS,The County Commissioners of County,State of Colorado,at a duly and lawfully called regular meeting held on / / ,at which meeting there were present the following members: Month Day Year with notice of such meeting and an opportunity to be present having been given to the taxpayer and the Assessor of said County and Assessor (being present--not present)and Name petitioner (being present--not present),and WHEREAS,The said Name County Commissioners have carefully considered the within petition,and are fully advised in relation thereto, NOW BE IT RESOLVED,That the Board(agrees--does not agree)with the recommendation of the assessor and the petition be(approved--approved in part—denied)with an abatement/refund as follows: Year Assessed Value Taxes Abate/Refund Year Assessed Value Taxes Abate/Refund Chairperson of the Board of County Commissioners'Signature County Clerk and Ex-officio Clerk of the Board of County Commissioners in and for the aforementioned county,do hereby certify that the above and foregoing order is truly copied from the record of the proceedings of the Board of County Commissioners. IN WITNESS WHEREOF,I have hereunto set my hand and affixed the seal of said County this day of Month Year County Clerk's or Deputy County Clerk's Signature Note: Abatements greater than$1,000 per schedule,per year,must be submitted in duplicate to the Property Tax Administrator far review. Section V: Action of the Property Tax Administrator (For all abatements greater than$1,000) The action of the Board of County Commissioners, relative to the within petition,is hereby ❑Approved ❑Approved in part$ ❑Denied for the following reason(s): Secretary's Signature Property Tax Administrator's Signature Date 15-DPT-AR No.920-66/06 V. . ,,PETITION FOR ABATEMENT OR REFUND OF TAXES �� County: ``W Date Received (Use Assessor's or Commissioners Date Stamp) amp) Section I: Petitioner,please complete Section I only. RECEIVED Date: * -►3-09 !JUL 16 2009 Month Day Year Petitioner's Name41 Anhui t Lerter LL.C'• WELD COUNTY Y COLORADO SSC)F� Petitioner's Mailing Address: ( t 3 .6k ^ VGG,a'.�/J � « w 6 wbl4 mo " ' City or town State Zip Code SOH Di p OR PARCEL NUMBER(St PRInpER?Y ADDRESS OP LEGAL nESCRIPTION OF PROPERTY 5a09:3aA�oa t905+r Mt * a4- 33/o7oS _ , erSto Petitioner states that the taxes assessed against the above property for property tax year(3) O I- and ffl9 are incorrect for the following reasons: (Briefly describe the circumstances surrounding the incorrect value or tax. Attach additional sheets if necessary.) i - 5 tt uoas twirl Far &Io na l rnon- VIS, arid it asseased vaiva- IS iratev Tan- Ta euwcnk Man.V k 'talus - ,, IQ Petitioner's estimate of value: fi_21S,A�4O.U4 ®'4' )and ff d11A(�-IaU' eal,3 Value Year Va a Year Petitioner requests an abatement or refund of the appropriate taxes. I declare, under penalty of perjury'n the second degree, that this petition,together with any accompanying exhibits or statements, has been repared or examined by me, and to the best of my knowledge,information and belief,is true ec d c m e. A� /.p nature .- Daytime Phone Number(� 5O 1 — w P loners Signature By Daytime Phone Number( ) Agent's Signature` 'Latter of agency must be attached when petition is submitted by an agent. If the board of county commissioners,pursuant to section 39.10.114(1),or the property tax administrator, pursuant to section 39.2-116,denies the petition for refund or abatement of taxes in whole or in part,the petitioner may appeal to the board of assessment appeals pursuant to the provisions of section 39.2.125 within thirty days of the entry of any such decision,§39.10.114.5(1),C.R.S. Section II: Assessor's Recommendation (For Assessor's Use Only) Tax Yaar 200 7 Tax Ysar�OO' • Actual Assessed Tax Actual Assessed Tax Original 9/. 300 II?57D $9,0w.3? yi2�3oo /19,570 4 9o�' ' : Corrected i1121_10 119 57_Q_119OSN.33 K1k,a(70_ 19,10 =$9,0Y$.Yb',• AbatelRefuntl 0 0 0 0 O O Q Assessor recommends approval as outlined above. _720-protest was filed for the year(s): or (If a protest was filed,please attach a'dopy of the NOD.) Assessor recommends denial for the following reason(s): / • OZVM4,1/2", Assessor's or Deputy Assessor's ignature I 5-OPT-AR No.920-66/06 • FOR ASSESSORS AND COUNTY COMMISSIONERS USE ONLY (Section III or Section IV must be completed) Every petition for abatement or refund fled pursuant to section 39-10-114 shall be acted upon pursuant to the provisions of this section by the board of county commissioners or the assessor,as appropriate,within six months of the date of fling such petition,§39-1-113(1.7),C.R.S. Section is: Written Mutual Agreement of Assessor and Petitioner (Only for abatements up to$1,000) The commissioners of County authorize the assessor by Resolution No. to review petitions for abatement or refund and to settle by written mutual agreement any such petition for abatement or refund in an amount of one thousand dollars or less per tract,parcel,or lot of land or per schedule of personal property,in accordance with§39-1-113(1.5),C.R.S. The assessor and petitioner mutually agree to the values and tax abatement/refund of: Tax Year Tax Year Actual Ass_ essed Tax Actual Assessed Tax Original Corrected _ --- -' Abate/Refund Note:The total lax amount does not include accrued interest,penalties,and fees associated with late and/or delinquent tax payments,if applicable. Please contact the county treasurer for full payment information. Petitioner's Signature Date Assessor's or Deputy Assessor's$Signature Date li Section IV: Decision of the County Commissioners (Must be completed if Section III does not apply) WHEREAS,The County Commissioners of County,State of Colorado,at a duly and lawfully called regular meeting held on / I ,at which meeting there were present the following members: Month Day Year with notice of such meeting and an opportunity to be present having been given to the taxpayer and the Assessor of said County and Assessor (being present--not present)and Name petitioner (being present--not present),and WHEREAS,The said Name ' County Commissioners have carefully considered the within petition,and are fully advised in relation thereto, NOW BE IT RESOLVED,That the Board(agrees--does not agree)with the recommendation of the assessor and the petition be(approved--approved in part--denied)with an abatement/refund as follows: I — Year Assessed Value Taxes Abate/Refund Year Assessed Value Taxes Abate/Refund Chairperson of the Board of County Commissioners'Signature County Clerk and Ex-officio Clerk of the Board of County Commissioners in and for the aforementioned county,do hereby certify that the above and foregoing order is truly copied from the record of the proceedings of the Board of County Commissioners. IN WITNESS WHEREOF,I have hereunto set my hand and affixed the seal of said County this day of Month Year County Clerk's or Deputy County Clerk's Signature Note'. Abatements greater than$1,000 per schedule,per year,must be submitted in duplicate to the Property Tax Administrator for review. ) Section V: Action of the Property err Tax Administrator (For all abatements greater than$1,000) The action of the Board of County Commissioners,relative to the within petition,is hereby ❑Approved 0 Approved in part$ 0 Denied for the following reason(s): Secretary's Signature Property Tax Administrator's Signature Date 15-DPT-AR No.920-66/06 , /��1�'a PETITION FOR ABATEMENT OR REFUND OF TAXES rvT,�� O�I County: (AWE' Date Received c ®?�l (Use Assessors or CommiEt E I 14Y ... Section I: Pe^Petitioner,please complete Section I only. Date. T -13-09 'JUL 16 2009 Month Day Year WELD COUNTY A Petitioner's Name. HvTtiwi ' o ni`St;i'f. �`�' GREELEY, COL Petitioner's Mailing Address: All �' bY`City or own State Zip Code �h � I SCHED'l'F OR PARCEL NUMBER(S1 PRmPERTV ADORES OP LEGAL.fESCRIPTION OF PROPERTY a gqe�eA61 .14336 2 �4i suit irr1 Avr �- 899o9/o7 [� O -3 Petitioner states that the taxes assessed against the above property for property tax yearns; and are cc for shfollowings i reasons (Briefly describe the circumstancesnv surrounding the incorrect vt�Aaue Rdx. ' Attach additional sheets if necessary.) 1►�J� sung hat ban ucut++ T % hap ban Veywi9 fay- 5 Petitioner's estimate of value: S i Il43W Olt )and l i a 1(/ ' —t Value Year V lug �.�A-y+r-Year Petitioner requests an abatement or refund of the approprate taxes. I declare under penalty of perjury in the second degree that this petition,together with any accompanying exhibits or statements, has been repared or examined by me. and to the hest of my knowledge, information and belief,is tru a dam e. .flu --c1356 Daytime'hone Numoer j CVO 3� P loner Signature 3y Daytime Phone Number( ) Agent's Signature' 'Latter of agency must be attached when petition is submitted by an agent. If the board of county commissioners,pursuant to section 39.10.114(1),or the property tax administrator, pursuant to section 39.2.116,denies the petition for refund or abatement of taxes in whole or in part,the petitioner may appeal to the board of assessment appeals pursuant to the provisions of section 39-2.125 within thirty days of the entry of any such decision,§39.10.114.5(1),C.R.S. Section II: Assessor's Recommendation (For For Assessor's Use Only) ^ p Tax Year 200/ Tax Year 200S Actual Assessed Tar Actual Accessed Tar Original /53y 430 53, 2.7c044Jab.37 1931 V8053,,27O tit D-ig,.Q8',, Corrected /33j 53 4i4,r,/f to ��3 " 4=�-�/ _l7!'( LUr csiii AbateiRefund O 0 ' O 0 0 Assessor recommends approval as outlined above. No rotest was filed for the year(s): or fif a protest was filed,please attach a copy of the Y00 i Assessor recommends denial for the following reason(s): Gip v� / 1.../ jc �3a' ii Assessor's o Ai Gc , eputy Assessor's Si na ure 15-OPT-AR No 920-66/06 • FOR ASSESSORS AND COUNTY COMMISSIONERS USE ONLY (Section III or Section IV must be completed) Every petition for abatement or refund fled pursuant to section 39-10-114 shall be acted upon pursuant to the provisions of this section by the board of county commissioners or the assessor,as appropriate,within six months of the dale of filing such petition,§39-1-113(1.7),C.R.S. Section lilt Written Mutual Agreement of Assessor and Petitioner (Only for abatements up to$1,000) The commissioners of County authorize the assessor by Resolution No. to review petitions for abatement or refund and to settle by written mutual agreement any such petition for abatement or refund in an amount of one thousand dollars or less per tract,parcel,or lot of land or per schedule of personal property, in accordance with§39-1-113(1.5), C.R.S. The assessor and petitioner mutually agree to the values and tax abatement/refund of: Tax Year Tax Year Actual Assessed Tax Actual Assessed Tax Original Corrected Abate/Refund Note.The total tax amount does not include accrued interest,penalties,and fees associated with late and/or delinquent tax payments,if applicable. Please contact the county treasurer for full payment information. Petitioner's Signature Date Assessor's or Deputy Assessor's Signature Date Section IV: Decision of the County Commissioners (Must be completed if Section III does not apply) WHEREAS,The County Commissioners of County, State of Colorado,at a duly and lawfully • called regular meeting held on / / ,at which meeting there were present the following members: Month Day Year with notice of such meeting and an opportunity to be present having been given to the taxpayer and the Assessor of said County and Assessor (being present--not present)and Name petitioner (being present--not present),and WHEREAS,The said Name County Commissioners have carefully considered the within petition,and are fully advised in relation thereto, NOW BE IT RESOLVED,That the Board(agrees--does not agree)with the recommendation of the assessor and the petition be(approved--approved in part--denied)with an abatement/refund as follows: Year Assessed Value Taxes Abate/Refund Year Assessed Value Taxes Abate/Refund Chairperson of the Board of County Commissioners'Signature County Clerk and Ex-officio Clerk of the Board of County Commissioners in and for the aforementioned county,do hereby certify that the above and foregoing order is truly copied from the record of the proceedings of the Board of County Commissioners. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of said County this day of Month Year County Clerk's or Deputy County Clerk's Signature Note Aoatements greater than$1,000 per schedule,per year,must be submitted in duplicate to the Property Tax Administrator for review Section V: Action of the Property Tax Administrator (For all abatements greater than$1,000) The action of the Board of County Commissioners,relative to the within petition, is hereby ❑Approved ❑Approved in part$ ❑Denied for the following reason(s): • Secretary's Signature Property Tax Administrator's Signature Date 15-OPT-AR No.920-66/06 IItA E10.5i-CLA' 1•4144i ER GW it l's` i fi )� a ( o J< k tl N cQ ii t, i 0, 311C co r8 _ IISA iiiil b!0. ` l ©_ 1 b ,,.y '• '^ :7 ow W _. V• L& ._: -fro'It • 3 t. . •"(Sk ' 0 its s'i iii 5 — Co 4Y-) y z 3 9 • u � L t �. AtiTINT USTIN Ifil 1 ® ® e m to 918 13th Street•Greeley,CO 80631•(970)353-0790 Appraisal Services Kegtan A.Sick Bruce W. Willard;CCIA fRB,CRS Ca • `t ,.�. tf) O v CO APPRAISAL REPORT The J. Arthur Holdings, LLC Office Condominium 1823 65th Avenue Unit 1 Greeley, Colorado Austin & Austin Appraisal Services 918 13th Street Greeley, Colorado Prepared by Bruce W. Willard, Broker, CCIM, CRB, CRS Certified General Appraiser November 5 , 2009 e e : 4ske, I .s AUSTIN US TIN ■ ® ala NM Iiil 918 13th Street•Greeley,CO 80631 •(970)353-0790 Appraisal Services Kenton A.Sick Bruce W.Willard,CCIM,CRB,CRS Ms. Anne Drake November 10, 2009 Loan Assistant Bank of Choice 7251 W. 20`h Street Suite A Greeley, Colorado 80634 Dear Anne: In fulfillment of our agreement as per the attached letter dated September 21, 2009, I am pleased to transmit herewith my Appraisal, in a Summary Report format, for the estimated market value of the Fee Simple estate in the referenced parcel of real estate, as of November 5, 2009 . The report sets forth my value conclusions, along with supporting data and the reasoning that forms the basis of my opinion. The value opinion reported is qualified by certain definitions, limiting conditions, and certifications which are set forth on pages 38 through 42 of this report. This appraisal has been prepared in accordance with the Uniform Standards of Professional Appraisal Practice as set out by the Appraisal Standards Board of the Appraisal Foundation. The report has been prepared for the exclusive benefit of Bank of Choice; it may not be used or relied upon by any other party. Any party who uses or relies upon any information in this report, without my written consent, does so at their own risk. The property was inspected, and the report prepared by, Bruce W. Willard. I hope that you will find the details of this limited appraisal relevant to your decisions, and I would be happy to answer any questions you might have . Sincerely, `em u 'AY 14716-7"/ Bruce W. Willard enclosure ii TABLE OF CONTENTS Page LIST OF EXHIBITS iv Section I . PROBLEM ASSIGNMENT 2 A. The Appraisal Issue B . Identification of Real Estate C. Legal Interest to be Appraised D. Value Definition E. Date of Value II . PROPERTY ANALYSIS 4 A. Regional and City Data B. Neighborhood C. Physical Attributes D. Legal Constraints E. Market Trends III . VALUE ANALYSIS 19 A. Highest and Best Use B. Most Probable Buyer C. Alternative Uses D. Cost Approach E. Sales Comparison Approach F. Income Approach IV. APPRAISAL CONCLUSIONS AND LIMITING CONDITIONS 36 A. Correlation B. Exposure Time and Marketing Time C. Value Conclusion D . Certification of Independent Appraisal Judgment E. Statement of Assumptions and Limiting Conditions F. Resume of Appraiser V. ADDENDA 44 ' iii LIST OF EXHIBITS No. Page 1 . Facts, Assumptions and Conclusions 1 2 . Aerial Photograph 8 3 . Site Plat 9 4 . Subject Photographs 12-15 5 . Subject Floor Plans 16 6 . Comparable Improved Sales 22 7 . Comparable Sales Analysis 24 8 . Comparable Sales Location 25 9 . Comparable Sales Photographs 26-27 10 . Comparable Indications Grid 28 11 . Rental Comparables 30 iv EXHIBIT 1 FACTS, ASSUMPTIONS, AND CONCLUSIONS Property: The Jeff Perryman office condominium unit in west Greeley, Colorado. Type of Estate: Fee Simple estate. Present Owner: J. Arthur Holdings, LLC. Proposed Owner: TBD. City Description: Greeley, Weld County, Colorado, the county seat, population is approximately 90, 000 . Neighborhood: West Greeley in the commercial district near the intersection of 20th Street and 65th Avenue; Census Tract 14 . 01 . Improvements : An 1, 813 square foot office condominium unit in a singe-story, multi-tenant office building. Legal Constraints: Zoning, building codes, and covenants, conditions and restrictions . Most Probable Use: Office . Alternative Use: None. Most Probable Buyer: An owner occupant . Probable Terms of Sale : Cash, new loan. Current Contract: None known to the appraiser. Estimated Market Value : $210, 000 . 00 Conditions of the Appraisal : None . Current Assessor' s Values : Land $ 0 Improvements 299, 145 Total $299, 145 1 I . PROBLEM ASSIGNMENT A. The Appraisal Issue 1 . Purpose The purpose of this appraisal is to arrive at an estimate of current market value of the property to assist the client, Bank of Choice, in a loan assets decision. 2 . Scope In the development of this complete appraisal the following process was undertaken: I, Bruce W. Willard, CCIM, CRB, CRS, inspected the subject property and related recorded documents, conducted interviews with the tenant and local agents and owners. I analyzed the property in relation to current and future economic conditions. I estimated the Highest and Best Use of the property, as it currently exists . I gathered and analyzed information pertaining to sales of comparable buildings and rents and expenses in competing properties in the area. I estimated a value for subject based on the Sales and the Income Approaches using the data analyzed. In the current market and considering the subject property, the Cost Approach was felt to be unreliable and was not investigated. B. Identification of Real Estate The subject property is legally described as : Unit 1, J. Arthur Building Condominium, Lot 4 , Block 1, University Acres Subdivision, Greeley, Weld County, Colorado. 2 C. Legal Interest to be Appraised The property is being appraised as a Fee Simple estate, subject to easements and rights of way, building codes, bylaws, covenants and restrictions and real estate taxes, which were $6, 166 . 76 in 2008, not including $431 . 67 in interest and penalties . D. Value Definition The term "market value" as used in this report is defined as : "The most probable price which a property should bring in a competitive and open market under all conditions requisite to fair sale, the Buyer and Seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus" . Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from Seller to Buyer under conditions whereby: 1 . Buyer and Seller are typically motivated. 2 . Both parties are well informed or well advised, and each acting in what he considers his own best interest. 3 . A reasonable time is allowed for exposure in the open market. 4 . Payment is made in terms of cash in U. S . dollars or in terms of financial arrangements comparable thereto; and 5 . The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale . E. Date of Value The date of this value estimate is Thursday, November 5 , 2009; the last day I personally inspected the property. 3 , II. PROPERTY ANALYSIS A. Regional and City Data The property is located in Greeley, Colorado. Greeley, located 50 miles north of Denver, is the county seat of Weld County and is the County' s largest and principal community, with a population of about 90, 000 . Weld County is one of the larger counties in Colorado, with over 2, 500, 000 acres of land, and stretches from Brighton to the Wyoming border. Most of the remaining population of Weld County, estimated to be over 237, 000, resides within a 20 to 30 mile radius of Greeley. Year Ft. Collins Loveland Greeley 1970 65, 092 NA 38, 902 1980 /6, 649 30, 215 53, 006 1990 87, 511 37, 357 60, 536 2000 118, 652 50, 608 76, 930 2007 est. 134 , 169 64, 166 92, 224 Source: U.S. Bureau of the Census The major economic base in both Weld County and Greeley is agriculture and related products, although there has been a focus to attract more diverse companies, especially high technology. The opening of Vestas Wind Systems in Windsor indicates some success. The following are the area' s largest employers: Name Function •er o Employees UBS Switt & Company Corporate headquarters - Meat packing 3650 North Colorado Regional hospital Medical Center 2700 Greeley/Evans Education District 6 2307 Weld County County Government 1490 U.S. Government Federal Government 1400 State Farm insurance Regional Office Companies 1322 City ot Greeley Local Government 1306 State ot Colorado includes Univ. ot Northern Colorado 1159 StarTek, Inc. integrated value added outsourcing service provider 906 Wal-Mart Supercenter Retail merchandise, food 856 #980 Source: Greeley Chamber of Commerce AA. 4 Greeley, like the region and State, has seen a couple of noted swings in its economy in the recent past . In 1990, the Greeley population was 60, 500; employment was just starting to increase from the very significant state and local recession of the 1980' s . There were 118 single-family building permits issued that year, in total . By 2000 the population of Greeley had risen to just under 80, 000, employment was growing briskly at over 4 . 0 percent per year and there were over 600 single-family building permits issued. Then starting in 2002, or maybe even 2001, the regional economy began to significantly weaken. The rate of growth of employment fell to less than 1 . 0 percent, as many sectors experienced significant layoffs, and the number and value of construction permits in Greeley began to decline from a peak of over 700 in 2002 . This employment contraction, for lack of a better description, had another effect; wages, while not declining, became "flat" in the region. According to Martin Shields, an economist and professor at Colorado State University, in 2007 "Wage stagnation has been the state of affairs for Northern Colorado for the past five years . " Year a Colorado County 1997 $20, 038 $27, 015 1998 $21, 803 $29, 994 1999 $22, 852 $31, 533 2000 $22, 539 $33 , 364 2001 $25, 672 $34 , 455 - 2002 S24, 254 $33 , 991 - 2003 $23 , 620 $34 , 041 - 2004 $24, 140 $35, 594 2005 $25, 061 S37, 611 - 2006 $25, 668 $39, 612 2007 $26, 314 $41, 192 Source: U.S. Department of Commerce Bureau of Economic Analysis SF Permits Permits Commercial 2004 /06 /2 $34 . 0M 2005 $65 100 $42 . 0M 2006 3152 / $40 . 3M 2007 152 15 $29 . 2M 2008 60 3 $18 . 1M Source: City of Greeley Inspection Department ASA 5 UMWYear Growth ailliana Ira naitalananialaliallnaa � • ��[�7sxx� � Source: Colorado Department of Labor and Employment Employment rates showed mild increases around 2004 . In 2006 Weld County added 3 , 185 jobs, representing a 4 . 5 percent increase, and in 2007 the State had a 2 . 4 percent job increase. 2008 started with moderate growth in both jobs and Gross Domestic Product (GDP) , but in the third quarter unemployment jumped back up over 5 . 7 percent in concert with the federal financial meltdown. December continued more layoffs and business failures, the State' s unemployment rate rose to 6 . 1 percent, the highest since 2003 . Ernie Goss, chief executive of the Denver-based Goss Institute, an economics research firm that publishes the Mountain States Business Conditions index, stated in the Denver Post in December 2008, "Colorado, in my view, just moved into recession. For my money, that means negative job growth has arrived. " Construction activity continued to decline; single-family permits in Greeley fell to 152 in 2007 and then plummeted to a dismal 60 in 2008 . Through the first six months of 2009, permits fell yet again, to only six, or one per month, the lowest level in perhaps 50 years . John W. Green, Ph.D. , a regional economist, stated in the Northern Colorado Business Report : "Recent perceptions were that the Northern Colorado economy bottomed out in the first quarter of the year (2008) ; however, the statistics indicate that probably did not happen. The positive effect of new employment at Vestas Wind Systems in Windsor and announcements of new jobs elsewhere in our economy have not been enough to overcome job losses in construction and financial services . " The ongoing national credit and financial crisis seems to have further reverberated through Colorado, even though many had thought that the region has already weathered the worst; the Colorado jobless rate hit 7 . 5 percent in March of 2009, the highest since 1987, and edged up even from that, to 7 . 6 percent in June . It has dropped somewhat since then, down to 7 . 0 percent in September, but most feel that was not due to job growth but the cessation of job searches by many. Patricia Silverstein, an economist with Development Research Partners in Littleton, AA. 6 predicts little recovery until some time in 2010 or beyond. While this sounds bad, it looks like Colorado could be better off than most of the nation, where unemployment is now over 10 percent on average, and the Mountain States Business Conditions Index for July showed a neutral business condition, as opposed to the contractions posted in preceding months . In the long term, Weld County' s population is expected to triple by the year 2030 and its employment rates are forecasted to be higher than State and National averages . For the short term, the economy will depend on local and regional employment and the consumer' s confidence in the federal system, plus banks ability to loan money. The one consensus seems to be that the next year will not see a boom in real estate values in the region. B. Neighborhood The subject neighborhood is located in west Greeley, Census Tract 14 . 01 . It is a mixed-use area defined basically as : west of 35" Avenue, south of 10" Street, north of the Highway 34 Bypass, and east of 75" Avenue . Both 59" Avenue and W. 20" Street are four lane arterial streets, and carry a significant and growing amount of traffic. The neighborhood is primarily residential in nature, and has been the focus of the City' s growth for almost 25 years . Along the arterial streets are commercial districts and some multi-family or townhome areas buffering the single-family homes, but the majority of the properties are nice, more expensive, detached houses . The commercial corridors along W. 10" Street W. 20" Street have become, along with the Highway 34 Bypass corridor, major office and retail shopping districts that service the west Greeley residential subdivisions . As Greeley has moved west these corridors have seen their commercial market share grow and the older central business district ' s share diminish. There are no foreseeable reasons for this shift not to continue . Adjoining subject to the north and south are similar office or medical office units in attached buildings . Further north are the University and Frontier Academy school buildings . East of subject are the Greeley youth baseball fields, then the small commercial retail district near the intersection of 59th Avenue and 20th Street . West of subject is higher intensity residential, than a bank, convenience store and medical buildings . In general, the neighborhood has been one with much appeal to both office building owners and tenants . The high residential density of the area means a short commute for a large number of people . As the City continues to grow west the area should continue to support its office use . 7 Weld County, Colorado Page 1 of EXHIBIT 2 Weld County, Colorado I. ` t I It ,, L CD 0 IID. ®CD - -., I K i' 1, l 1 55��--------'--�� s I Legend . i ; I ;� , , I Seleaed_F•awns I ! ',1•'' Street/ ad Name wMR, • I, ' r Parcels II � •i•� l i , I i `f � 1 1 Section Odd ..J 1 — ^ _. n (— r , ' I Q4.Sednn Oei ti Tornenip • ; I r ; Photography(high Res.) wmxsr� ! Photography(bwRes.) • T t" 095909321001 J ARTHUR HOLDINGS LLC 1815 65 AVE UNIT A otal Taxes: • mount Due: 'GREELEY, CO 80634 8 ittp://maps2.mctrick.com/Merrick1MS/ims?ServiceName=weldovr&Form=True&Encode=True 11/3/09 a hJ I II i It ' ll ill ,+ i S f lj[iiiiiilF Ill i ftii �1 � { d;f' dn1 i hod III 1 , 1 IHihi1i jjt3 I� + + 11 j � 6i RD i3i !hil s(i fi1 �,1! � i °� iv oh +i1 I i f lei iti t i q t.ii ll! ii r is II it, h Ito.i ji toil ! ��i�rit4 3 ii 1 i=f;i j 1,• a lyi I 111 1111 .1,1;i! fl i i t1Ruih'i a 'e, ii MIiMHF? _ litt 1'! Fp i t gii li i s, c V ;i 2 i i9 ai� C,l 'i p6 : A 5 141 � l 1 al Z 9ti 41 ii gp € 1'�3Q I6 k kV- o • a o e tt * i M k h }'dr ..i !. A 1 IV g 21 P:1 1 d7 6 ig J l FH-I i .... Y f 6 i Cr H i ih Iii a� I i14 i i d 3 i & d Gtr77 ! !4i ;ii I. i!i . • # i3 fie - in Yi Fe yr urr — Y^ ! C � c 2_= 1 }PI 1 O 4 y I 7� eep ![ 9j)� i 13�! S 2 2 h7.1^9:9:4 Om� I � �I.Zoo jgt�i LL �.r! I 51e3 au Rg • gRt RAA,r^•`�X "O 'i y9 a 5 r %7i399,z 5-0 Del CO >7 Mr 1-I i.. 6I / 8 tl¢ C',(W €ti I Aq . n ow2occ it 7 nf„ ~�O 'r �0LL EP QFO EP• B aao-nxma a.x•. aao-nux,e a.eor C. Physical Attributes 1 . Site According to the recorded plat, subject ' s site is rectangular in shape, approximately 170 feet wide facing 65th Avenue by approximately 225 feet deep. The plat has the site area as approximately 38 , 376 square feet, or . 881 acres. On this is 7, 361 square feet of building improvements, which represent a 5 .21 : 1 land to building ratio. Thus subject' s allocated site area is 9, 452 square feet . It is an interior site and is fully developed with the current building improvements . Electricity, natural gas, sewer and water are available to the site. Electric utilities are below ground in the area and to the building. The street (65th Avenue) is asphalt paved and publicly maintained; the interior access and parking areas are privately maintained. There is concrete curb, gutter and sidewalk in the rights-of-way. The site is very modestly downward sloping to the northeast; surface drainage appears to be adequate around the building. According to FEMA Flood Insurance Rate Map 080266 0617 C, dated September 28, 1982, subject is in Zone C and does not lie in a flood plain. According to a plat of the subdivision, there is a 20-foot wide sanitary sewer easement running west to east and practically bisecting the site. The building improvements are situated on the far north to not straddle this easement, and the higher land to building ratio is probably due to the easement as well, as there is no room for a larger footprint. Other easements are more typical, along the site perimeter. No obvious storage of hazardous materials on the site was noted. Site improvements, other than the building, consist of concrete aprons, pans, curb and striped asphalt parking. There are nicely landscaped areas around the building and in the right-of-way, that include shrubs, flowers, rock, mulch, trees and a sprinkler irrigation system, plus building monumentation and City water and sewer taps . The site is reasonably well exposed to 65th Avenue, but this street ends at 20th and 13th Streets so it is not a primary arterial . Available parking is adequate for office uses, approximately one for each 240 square feet of building area. 2 . Improvements The improvements consist of one unit in a single-story, Class D (wood or steel stud bearing wall construction) building with approximately 1, 813 square feet of building area on the west end that are the subject of this appraisal, according to the plans . The building measured somewhat larger than this, but the measurements included wall area that is common to the condominiums and the limited common area. The following are some specific design features : Foundation - Poured concrete walls on concrete spread footers . E0 Structural Frame and Walls - Wood or steel stud framing with a brick veneer. The wall height is approximately 10 feet to the eaves . Basement - None . Roof - It appears to be a 4 : 12 pitched hip roof of 25-year asphalt composition shingles over wood framing and decking. There are gable roofs over the porticos and for decoration at the back of the building. Floor - Concrete slab on grade. Interior Walls - Taped and painted drywall. Ceilings - Upgraded acoustical tiles in a suspended grid. Windows - Double-glazed windows in commercial aluminum frames . Doors - Interior doors are very attractive stained, two- panel cherry; exterior doors are commercial glass in aluminum frames . Trim - Interior trim is very nicely done, stained cherry, including wainscots and crown molding. Floor coverings - Upgraded commercial carpet or slate tiles . HVAC - Gas fired forced air furnace with air conditioning. Lighting - Generally incandescent lights in recessed cans . Baths - One, nicely upgraded, two-fixture bath with tile floors and wainscot . It appears fully handicapped accessible . Electrical/Gas - Each condominium unit had individual electric service and gas meter. Amenities - There is a door off of the largest office to a patio. This office also has an assistant' s office, with no direct access from the hall . There is a fully appointed kitchenette, with refrigerator, dishwasher, microwave oven and granite tile countertop. The conference room is nicely upgraded. The unit is one of three, in a 2003-built, single-story building. The exterior has an all-brick veneer and vinyl soffit, with a hip roof and decorative gables . The interior has been nicely upgraded, with cherry trim and doors, nice floor coverings and paint, a kitchenette area and very attractive decorating.ASA 11 . EXHIBIT 4 Pale#6 PHOTOGRAPH ADDENDUM BanuwerAxdd J.Arthur Holdings, LLC Nowt,Address 1823 65th Avenue#1 City Greeley County Weld State CO Zip Code 80634 Lender Bank of Choice Subject Front-Looking North r . i.t : •Lt.' ! .5, .. `n fi.. -1 t, �., . , Nil: Subject Rear-Looking SE r.- .. I ,,, i • . , 4. ,, ---1 .. 1 �_.......,4, s, ♦ ..1... : 1•„t...:1-4..,. :,>..,:i., •t4......;,:},v,,...i.....-_,:r„...:::.,..,.. ......;,,. •:i..I.L5,,, v.„s...s.,.....;:•.,,,:i:1 12 Fonn LPIC3X5—'TOTAL for Windows'appraisal software by a la mode,inc.—1-800-ALAM0DE EXHIBIT 4 (CONT. ) Pa.e#7 PHOTOGRAPH ADDENDUM Borrower/Client J.Arthur Holdings,LLC PrtgertyAddress 1823 65th Avenue#1 City Greeley County Weld State CO Tio Code 80634 Lender Bank of Choice Subject Interior-Reception Area I � - fl,� I ......it: Ill 4 I. f. .,, 7. __ _ _ r .._ _ _ __ . , _ _ __... . ,__ _ ______ .. __ _ __ Subject Interior-Office r r I ! i ,s-, Its; - h tr.,: ' r w i 13 Form LPIC3X5—'TOTAL for Windows"appraisal software by a la mode,inc.—1-800-ALAM0DE EXHIBIT 4 (CONT. ) Pa.e#8 PHOTOGRAPH ADDENDUM Barower/Client J.Arthur Holdings, LLC Ptupuily Address 1823 65th Avenue#1 City Greeley County Weld State CO lip Code 80634 Lender Bank of Choice w Subject Interior-Conference Room • III it Subject Interior-Bath 4.7711 - 14 Form LPIC3X5—'TOTAL for Windows'appraisal software by a la mode,inc.—1-800-ALAMODE EXHIBIT 4 (CONT. ) Pae#9 PHOTOGRAPH ADDENDUM Brower/Cleat J.Arthur Holdings, LLC Property Address 1823 65th Avenue#1 City Greeley County Weld State CO Zip Code 80634 Lender Bank of Choice Subject Interior-Kitchenette Area X11 ► ` � 11 +.ir \r • T. o 65th Avenue-Looking North I :[ Y I •Y, 1 z ilea, 15 Pone LPIC3X5—'TOTAL for Windows'appraisal software by a la mode,inc.—1-800-ALAMODE EXHIBIT 4 (CONT. ) SKE I CH/AREA TABLE ADDENL,UM Property Address 1823 65th Avenue#1 City Greeley County Weld State CO Zip 80634 Borrower J.Arthur Real Estate Lender/Client Bank of Choice Appraiser Name Bruce W.Willard I? 37.5' Utility Ofd Bath Asst Office Kitchenette 2 vo7 Adjoining Unit Conference to Office I- 2 w 2 w > Reception& e OfficeWalling Copy N Portico 16.0' Comments: Scale: 1•20 AREA CALCULATIONS SUMMARY BUILDING AREA BREAKDOWN Area Name of Area Size Totals Breakdown Subtotals GEA1 First Floor 1831.12 1831.12 First Floor P/P Entry 80.00 80.00 37.5 x 48.8 1831.12 • Z J U J Q U Q w TOTAL BUILDING (rounded) 1831 1 Area Total (rounded) 1831 Awl,n&Aunn ApceYl Semen APEX SOFTWARE S03156 SSS Ap,e1 .,ApeNl 16 The building itself is an average quality Class D general office structure . The interior finish makes subject' s unit above average. The overall economic life of buildings of this type is typically 45 to 50 years, according to market data and Marshall & Swift cost services . This means that the useful productivity of the improvements, if no updating or repairs were made, would be done at the end of this time period. The building was built in 2003, according to the Assessor, so it is six years old. The building exterior and site improvements appear well cared for, and the interior is tidy and shows very little wear. Overall, subject appears to be have an effective age of no more than two or three years. Functionally there are no areas of concern. Subject' s layout is completely acceptable . The Americans With Disability Act (ADA) became effective in 1992, and it requires the owners of buildings that house businesses for the general public to build without or remove any architectural barriers to all disabled people. It is a far reaching and still-to-be further defined act . For new construction of buildings that will house businesses open to the general public, they must be designed and built without any architectural barriers. From the inspection it appears the building meets ADA criteria. There are no steps to enter, the doors and hallway appear wide enough and there are marked parking spaces and the bath appears to be properly equipped for wheel chair access . However, these facts do not mean that the property does or does not meet all the ADA criteria, and the total of those criteria may not apply to this building considering its use and value, anyway. In any case, the appraiser is not an expert on the ADA, and this appraisal is not to be construed as a warrant that the property complies or does not comply with the ADA. 3 . Personal Property No personal property was included in this valuation. 4 . Assessed Value The Weld County Assessor gives the property the following actual values for real estate tax purposes : Land $ 0 Improvements 299, 145 TOTAL $299, 145 AA. 17 D. Legal Constraints 1 . Zoning The parcel is currently zoned C-L, Low Intensity Commercial, in the City of Greeley. The City of Greeley Development Code defines the C-L District as : ...intended to provide areas containing or planned for trade and service activities and commercial uses... The Commercial Low Intensity District serves as a transition zone between nearby residential uses and high-intensity commercial areas . aximum o S0g Coverage Parking 1 space per 300st Requirements or 2 per 3 employees Minimum Lot Size None Front Setback 25' tor all sides adjacent to streets Rear Setback Side Setback Maximum Height 30' City o. Greeley Development Code The present use does not appear to violate the current zoning. 2 . Building Codes The analysis made for the appraisal is not designed to reveal any violations of building codes; the appraiser is not a building inspector and nothing in the report shall be construed as a warrant on the property meeting code. E. Market Trends The present commercial market, and office market in particular, is in a state of very noted uncertainty. The combinations of the national and regional recession together with the significant tightening of credit have battered values as demand has evaporated and supply has ballooned. Lease rates have dropped significantly, and sales have nearly stopped. Brokers have noted little or no activity, and palpable anxiety among Sellers/Landlords while Buyers/Tenants are sitting tight, concerned about risk or unable to obtain financing. Most brokers are expecting declines in commercial values in the next 12 months . See the summary of national business articles from "Business , " The Week, Nov. 13 , 2009, pp 50, in the Addenda. 18 III. VALUE ANALYSIS After determining the best use of the site as though vacant, the appraiser has three methods of estimating value: The Cost, Market Data, and Income Approaches . The Cost Approach estimates value by adding the unimproved value of the land to the depreciated replacement cost of the improvements, resulting in a total indication. The Market Data or Sales Comparison Approach provides an estimate of value by comparing the subject with similar properties that have recently sold. The Income Approach is an investment analysis of the property, capitalizing the net income from the rental of the property into a value indication. A. Highest and Best Use The idea of Highest and Best Use is inherently necessary in the analysis and valuation of any real property. For purposes of this appraisal report, it is defined as : That reasonable and probable use that supports the highest present value, as defined, as of the date of the appraisal . Alternatively, highest and Best Use is defined as : The use, from among reasonably probable and legal alternative uses, found to be physically possible, appropriately supported, financially feasible, and that results in the highest present land value. The estimation of the Highest and Best, or Most Probable, Use is premised upon, among other things, the site being vacant and ready for development, as well as its compatibility with the environment. The Highest and Best Use is the use that, to the fullest extent, develops the land' s potential . ASA 19 The standards for estimating Highest and Best Use are: that the use must be physically possible, legally permissible, financially feasible, and maximally productive; and these criteria should generally be considered sequentially. The Highest and Best Use is first considered as if the site were vacant; then any present buildings are considered in estimating the Highest and Best Use as it is currently improved, if so improved. A cursory Highest and Best Use analysis will be addressed considering the improved property. Highest and Best Use as vacant shall not be considered. Highest and Best Use as improved presumes an integrated parcel of land with the existing improvements . C-L zoning permits by right: Office; mortuaries; personal service shops; clinics and medical and dental offices; studios and galleries; restaurants; parks; schools and churches; and buildings for retail sales under 3 , 000 square feet in size; there is an hours of operation limitation in C-L zoning. Uses by review include: two and multi-family dwellings; child care centers; banks; bed and breakfasts; community recreation buildings; and mixed use with residential . The current zoning allows for the present use, and it is a typical use in the immediate neighborhood. Removing the present improvements would be expensive, and in any case they are contributory and not a burden to the site . Considering subject, the Highest and Best Use is opined to be its current general office use. B. Most Probable Buyer The most probable buyer is one that realizes that highest and best use of the property, the one that will pay the most for it because his use of the property will result in the highest return. It is opined that the most probable buyer for this real estate would be an owner occupant looking for a place of business . C. Alternative Uses Alternative uses are other possible uses that most likely would not result in the highest sales price because that use would require some modification of the current improvements or site. An alternative buyer for this property would most likely be a user in another office capacity, like medical office, that would need to alter the interior layout . Another possible buyer would be an investor. AA. 20 D. Cost Approach The cost approach attempts to estimate the value of the property by use of the Principal of Substitution; that is, a prudent buyer will pay no more for a property than what a substitute of equal utility would cost that buyer to build if available without undue delay. The approach loses reliability in direct proportion to the age and obsolescence of the improvements . In the current market it is almost a foregone conclusion that the cost to replace subject, without accounting for economic obsolescence, would be notably higher than the current market value. As economic obsolescence would need to be gleaned from market sales or market rents, the Cost Approach was not thought to be a supportable approach under the current conditions . E. Sales Comparison Approach The Sales Comparison or Market Data Approach is predicated on the principle of substitution, which implies that a prudent purchaser would not pay more for a property than it would cost to purchase a reasonably similar substitute. The application of this approach yields an estimate of value for the property being appraised by comparing it with similar properties that have recently sold, or are currently offered for sale in the same or competing area. 1 . Previous Sale and Marketing of Subject According to the Weld County Assessor, subject last transferred, as a vacant site, via a Warranty Deed dated July 1, 2002, Reception #2965542, from Palisade Mountain Investments, LLC, with a $151, 000 consideration noted. There is no current contract on the property known to the appraiser; however, it has previously been offered for lease. 2 . Comparable Sales A search was conducted throughout the Greeley area for sales of similar properties . Sales are listed on Exhibit 6 . 21 \ . O \D Ln in v]H o o co N Pa P H 4 o N N N m in Pd a H rHl r H i Ha � 4.1} HN OH lnH NH a• H a to a0 a -ko -1D -N C N Ul r'1 H V, H W H H Ul • 0 N CO M Es O H as N Pra In H U) Ul H en N N a • 0) 0 0 0 0 0 0 0 0 O N 0 0 W 'PN•'] U 0 ri In In CO via an- v {I> t} A b _ 0 Ha H a CO CO PO Z m o o N H H 0 0 0 N X W XPIW N N N Na 1 H r Cil c4 a02 O en () W Pa 04 ria O h m i O U _ x ro N 01 Q3 it Z 0 KC a) a) 0 0 a' 4 4 4 a 5 In >, In s. in >, in >, N a) ri a) N a) to a) H H H H 0 () O) (1) H a) M (1) in (1) 0 a) 0 a) N a) N )-1 H ?-1 W }.1 co 5.1 HO el0 HO HO CO Cr) • .1 0 H N M d' co Sale #1 was a second floor, remodeled office suite (actually two adjoining suites, being utilized as one) located in central Greeley. The square footage of this unit included its apportioned common area, and this unit was substantially and nicely updated in 2007 . There was not elevator, so the stairs would be an issue for some . Sale #2 was also two, adjoining units sold together, to the adjoining owner. These were in a more similar style building, single-story with individual entries, and the building was modestly inferior in quality and location, but had good exposure to 35`h Avenue. Sale #3 was of a single-tenant, freestanding medical office building about a block from Sale #1. This older building was pretty similar in quality but had a medical finish. It was modestly inferior in condition. The corner site was well exposed, and its proximity to the North Colorado Medical Center (NCMC) was a plus for location. Sale #is the unit right next door to subject, which is vacant and offered for sale and for lease. This unit had been earlier offered for just about two weeks at $295, 000 . This nicely finished unit is similar to subject in almost all respects, but is very modeslty larger. Exhibit 7 is an analysis of this sales data: 23 EXHIBIT 7 Comparable Sales Analysis r;,t t14 . 4. Yl S314 .i4 i -A' 1 • ..: Element • Subject Sde#t -'-w , SaoA2 s»Ns w„",.• , -Se(e IP4 Prop.Rts.Conveyed Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Comparison Similar Similar Similar Similar Adjustment None None None None Financing Concessions Cash to Seller Cash to Seller Cash to Seller Cash to Seller Cash to Seller Comparison Similar Similar Similar Similar Adjustment None None None None Conditions of Sale Market Market Adjoining Owner Market Market Comparison ` >, Similar Similar Similar Similar Adjustment _ None None None None Net Adjustment None None None None Comparable Sales. Analysis, Continued Element Subject Salon Sale#2 ' c Sr4 i Selelf4 Date of sale Nov.5,2009 June 3,2009 Sep. 16,2009 June 27,2008 OFFERED Comparison Similar Superior Superior Similar Adjustment - None - - None Location University Acres Cottonwood S.35th Avenue Cottonwood University Acres Comparison Similar Inferior Similar Similar Adjustment None + None None Basement None None None 450/0% None Comparison Similar Similar Superior Similar Adjustment None None - None Age/Condition 6Nery Good 30/Good I2/Good 39/Average 6Nery Good Comparison Inferior Inferior Inferior Similar Adjustment + + ++ None 5.2.I/Interior Site 3.9:1/Interior Site 4.6:1/Arterial Street 6.6:1/Arterial Corner 5.2:1/hfterior Site Site Contribution Good Site Improvements Good Site Impvmnts Good Site Imprvmnts Good Site Imprvmnts Average Site bnprvmnts Comparison Similar Superior Superior Similar Adjustment None - - None Above Avg.Class D Above Avg.Class D Average Class D Above Avg.Class D 1-Story Attached Unit 2-Story Attached Unit I-Story Attached Unit Average etas D I-Story Attached Unit Quality of Construction ry 1-Story Detached Bldg. ry Direct Access Upgraded Stair Access Direct Access Direct Access Upgraded Medical Office Interior Above Average Interior Average Interior Interior Comparison Inferior Inferior Superior Similar Adjustment + + - None Size 1,813 sq.ft. 1,500 sq.ft. 3,112 sq.ft. 2,588 sq.ft. 2,533 sq.ft. Comparison - Similar Similar Similar Similar Adjustment None None None None Net Adjustment ++ + — None 24 J. ArthL ioldings Comparable Sale Location 4, s"7.4 ! r '� fi >; w ddb a x --V s' h'i' '1•'# `-4:',11.14 1 q}- ate d 7 �K ° {t,,, r,,,-.`3 _ t.. 7 'e lSi-4:,. ..:r.4,4„ ti .c ' s yr� c," n4,-,2 fjia .s.aw`.- lY' ' ,,,ED © b, r'."e*�n,".+-}.j ) '4�xtiY�t was 4 � r + 3', o y-�'9{�y'O f. ' 1. `4 1 y,' ..! t N -1 4 J Q 3cif. - 1 r 3 '`� Sid l r T� 15 r g x , ,, r, ��,,++pp�kk�� IIIIIIIII .LLB .�a.r. _ j gi 4 ii.'lai. ,t%. �`A% S1'tctpin; i `'7 % minwesim .rod lImi��e ��i� tfiv R+W rar�� din ill =milt asaim �� srgjja a�.,aggiWOW:11:4741 illibq lir *SI� Sale Kt had m VIII �� ii �.3iit? ti/ >>7 i e_ �o,r i la .1,361 irtg, aro a „ ,,,IJ -�illtailara A 1 d m( mirds7 1!nil r -mr ei.t.‘-`," Illt&_ fircia,11`"J -e# ..„ . rap Aar gailb_ - - eftt55.V., b Mill IllIta- ' alie a ‘ t seratilli I:. h wit --el re*5 <<ta ��1 .th ��ti - T 3 LIP‘ �.". c ar n_�, ' ` sale#2 ..ICffies__ ri h b• nit ` 0, y- � q ,_ '4 'S '—izin, 1 e Pow �� rrs* u I. t hl v W z: tr aµ rililappaftwallS .' /ate(/— �S3'#,�}r> s 2 r o '�..- ,, �' r pr� I v _ _ t CC -t`— �1/r - ® t r` �� _ 1� ens Scale ®. ® Ill� 4/4 ogirlereAti la 50 S�2000 hre.a `� .w c...„,..., �. ,s..a m 404°42'03', 40°20'36' .. N:XHIHIT 9 Pa a#10 PHOTOGRAPH ADDENDUM Borrower/Client .1.Arthur Holdings, LLC Property Address 1823 65th Avenue#1 City Greeley County Weld State CO La Code 80634 Lender Bank of Choice SALE#1 ,.>+'+: _i 1750 25th Avenue#G&#H , T a Greeley T+. .. }1`b ,v.:- 111. y.. • i r ..?ri - SALE#2 3109 35th Avenue#A&#B Greeley 3: ^3 ,� �. O1 114 - ... 26 Form LPIC3X5—'TOTAL for Windows'appraisal software by a la mode,inc.—1-800-ALAM0DE ' EXHIBIT 9 (CONT. ) Page#11 PHOTOGRAPH ADDENDUM Borrower/Clent J.Arthur Holdings,LLC Pteperty Address 1823 65th Avenue#1 City Greeley County Weld State CO LP Code 80634 Lender Bank of Choice SALE#3 1601 25th Avenue Greeley SALE#4 1823 65th Avenue#2 Greeley _ 27 Form LPIC3X5—'TOTAL for Windows'appraisal software by a la mode,inc.—1-800-ALAM0DE 3 . Analysis of Sales Data No adjustments were made for Sale #2 being bought by the adjoining owner. In this case an argument could be made that the conditions of sale are different than market, the Buyer could have a strong motivation to obtain the adjoining unit for expansion. Sales #1, #2 and #3 were not as attractive or as well cared for as subject, but Sale #2 had been recently and nicely updated, though it was an older building. Sales #2 and #4 were most like subject in design, but Sale #2 fronted an arterial street in a generally inferior location. Sale #4 was in nearly every way identical to subject but, of course, is unsold and thus may represent what the maximum value for subject should be. Sale #1 was the most recent sale, and really the only office sale in Greeley in 2009, a rather sobering fact. Sale #3 was an older building and well cared for but dated; it had medical finish and was free standing. The following are the sales and the net adjustments relative to subject, as opined above : EXHIBIT 10 COMPARABLE INDICATIONS 1750 25" Ave. G & H $120.00/sf or 1 $100.00 »$181,000 ++ Greeley $217,560 3109 35`" Ave. A & B $155.00/sf or 2 Greeley $152.06 >$275,000 + $281,015 1601 25`" Avenue 3 $117.85 <$213,600 $110.00/sf or Greeley $199,430 1823 65" Avenue $125.00/sf or 4 Greeley $132.25 <$239,800 = $226,625 28 4 . Summary None of the comparables are ideal . Sale #2 was most like subject in design but, being bought by the adjoining owner and taking place prior to the national lending crisis, which certainly was a superior market to today, this sale' s indications are open to conjecture. The indication from Sale #2 also seems to go against those from the other three sales . Sale #4 is offered only, and unless it sells for full price its indication would represent the ceiling only. It most likely will sell for less than full price and was, for a short time, offered for less than the current price . Sale #1 was an inferior unit. It was nicely decorated and most similar in size, but was on the second floor of a building and it shared a common bath. Sale #3 was divergent in being a freestanding building and having medical finish. Considering the limited sales, weight is given to Sales #1 and #3 , which seem the most reliable and are somewhat in agreement in range; $115 . 00 per square foot is opined to be subject' s value based on physical comparison. The calculations are as follows : $115 . 00/sq. ft. x 1, 813 sq. ft . = $208 , 495 Rounding, the estimated value of subject by the Sales Comparison Approach: TWO HUNDRED TEN THOUSAND DOLLARS ($210, 000 . 00) F. Income Approach This method of valuation entails converting the anticipated future benefits from ownership of the subject property, i .e . , net income, into an indication of value . This requires estimating the economic or market rent of the structure, deducting vacancy losses and expenses, and arriving at a value that an investor would pay to benefit from that income stream. 1 . Potential Gross Income Subject is currently owner occupied. Further, current expense data for subject was not provided. For the general area, the following comparables were investigated: 29 EXHIBIT 11 RENTAL COMPARABLES No Location Rentable Rent/Sqft Style Owner Sq. Ft. Exp. 91U 5411. Ave. 1 . Greeley 2, 500 $10 . 00 Office None 1711 61"` Ave. 2 . Greeley 1, 204 $11 . 00 Office T, I,R 910 54`x. Ave. 3 . #210/Greeley 2, 599 $12 .48 Office None 5586 19`h St . 4 . Greeley 1, 754 $6 . 50 Office None 1711 61"` Ave . 5 . Greeley 1, 400 $12 . 00 Office T, I,R 1823 65" Ave . $8 . 50 6 . Greeley 2 , 533 Asking Office None 7 . 562819th St 3 , 700 $6 . 00 Office None Greeley Asking 8 4689 20`" St . 1 1, 164 Office #11C/Greeley $ 0 . 00 None 1 T = Taxes; I = Insurance; M = Maintenance; U = Utilities; J = Janitorial; R = Ruobish; W = Water & Sewer 30 Office rents in Greeley have, for lack of better word, plummeted in the past three years . West Greeley general office space used to command lease rates from $12 . 00 per square foot to $16 . 00 per square foot . The few leases that have been recently executed have been at much lower rates . Rental #4 ' s rate was for less than half the rate the same building was commanding in 2007 . This particular lease has healthy escalators, to $8 . 50 per square foot and $10 . 50 per square foot in years two and three, but the overall, net rate for the three years is less than $8 . 50 per square foot when inflation is accounted for. The lease next door to subject is an offering only, and the broker felt confident that he could get it . He stated that it would escalate similarly to Rental #4, for a net, effective rate of $9 . 50 per square foot. A few of the other lease comparables are noteworthy. Rentals #2 and #5 are contemporary, and both had the owner paying taxes, insurance and some other costs, which amounted to about $4 . 00 per square foot, according to the broker. Rental #1 is a recent lease of a suite in a nice building just north of W. 10th Street at 54th Avenue . The landlord had to additionally provide a $10, 000 tenant finish allowance and six months free rent, so the $10 . 00 noted is really high compared to the actual net rent for the first year. The lease was for five years and did have escalators of $ . 50 per square foot per year. The offerings, like Rental #6 and #7, are pretty indicative of the current market . Despite the large escalators, the current rental rates are notably low. Neither trends in lease rates nor building sales point to a market in balance at the present time. Subject is modestly smaller than the adjoining unit, so it could bring a little more per square foot . However, that offering must still be given weight . $9 . 00 per square foot, net lease, is opined to be subject' s current market rental amount. 2 . Pro Forma Income Statement Potential Gross Income - Based on the comparable data, the market rent of the property is estimated at $1, 359 . 75 per month, net lease . Vacancy and Collection Loss - Based data from inspection, property owners and property managers, including Ron Randel of Wheeler Management Group and Blaine Herdman of ReMax Alliance, plus the existing vacancies and data in the area, a stabilized vacancy loss of 10 percent for subject is deemed appropriate . Realtec has the overall Greeley office vacancy rate at 17 . 52 percent, but that includes the downtown area and the vacant Hewlett-Packard and State Farm buildings, which are significant . Considering the market and frictional vacancies, ten percent is deemed more appropriate . 31 Operating Expenses - Operating expenses can be subdivided into fixed and variable costs . In forecasting expenses for the subject property, no expense statements were available for review. Fixed Expenses - These are operating expenses that do not vary with occupancy, they must be paid whether or not the property is leased. Real Estate Taxes - $6, 167, or $3 . 40 per square foot . This is a tenant expense within the market rent scenario. Insurance - Estimated to be $ . 50 per square foot, or $907 per year. This again would be a tenant expense within the scenario above . Variable Expenses - These are operating expenses that usually vary with the level of occupancy or use . Management - Typically five to eight percent of rent received in Greeley. Subject is a single-tenant building, so no management expenses are deducted. Utilities - Gas, water, sewer and electricity are estimated to be tenant expenses within the net lease scenario, either via direct billing to the tenants or within the Common Area Maintenance (CAM) fee. Maintenance - This includes the expenses to maintain and repair the mechanical systems or other interior portions of the unit . No maintenance costs for 2008 were provided, but for a building of subject' s size it should take in the range of $500 to $1, 000 as the owner' s portion of maintenance. $750 will be used as the owner' s maintenance obligation. Services and Supplies - This includes common area services like snow removal, lawn care, common area janitorial, trash etc . , and supplies for operation. These are passed on to the tenants in the CAM fee . According to the building manager, the CAM fee for subject is $282 per month, or $1 . 87 per square foot, and includes the water and sewer. Reserves, Tenant Finish - This allows for the periodic replacement of components that have a shorter useful life than the building, such as heating systems, roofing, painting or other such items, and it is what helps extend the economic life of the building over and above repairs, and this is often a reoccurring cost for the landlord for even frictional vacancies . According 32 to the building manager, no reserves are included in the CAM fee . Considering the amount of short lived items in the building that are deemed to be the owner' s responsibility to replace, a $1, 000 per year replacement and tenant finish reserve is deemed appropriate, enough to pay for roofing, heating, and other structural items on a scheduled basis . 3 . Summary - Pro Forma Income Statement, Market Rent Potential Gross Income $16, 317 Less Vacancy and Collection Losses (10$) $1, 632 Effective Gross Income $14 , 685 Less Operating Expenses Fixed 0 Variable 750 Reserves/Tenant Finish 1, 000 Tota: Estimated Operating Expenses (12°%) $1, 750 Net Operating Income $12, 935 The operating expense ratio by this estimate is 12 percent of effective income . Expense ratios of buildings where the leases are full service usually run from 35 to 50 percent, and in buildings with net leases run from five to 15 percent, so this is high when compared to market data. 4 . Direct Capitalization Direct capitalization is the method used to covert a single year' s estimate of net income into a value indication by the Income Approach. The estimated stabilized Net Operating Income (NOI) of the subject property is divided by the Capitalization Rate, a rate of return demanded by the market, derived from data on sales of leased properties and investment alternatives . 33 The comparables in the Sales Comparison approach often offer insight, but often, annual expense data of the comparables is difficult to verify, and Seller and Buyers often will not or could not reveal all of the operating costs, nor is the data a public record. In this case owner occupants bought all of the properties. The following are some indicated rates based on data from inspection, the agents or parties : INDICATED CAPITALIZATION RATES: LOCAL TENANTS Property Rate 1610 29th Ave. Pl . 6 . 1% 5401 W. 10th Street 6 . 0% 5754 W. 11`h Street 8 . 8% 805 16`h Street 8 . 4% 4627 W. 20th St. Rd. 7 . 1% 1011 ;.1`h Avenue 8 . 9% 2415 W. 10th St. 8 . 5% 4224 CenterPlace Dr. 7 . 3% 1926 SW Frontage Rd. 8 . 5% 2701 S. 8th Ave . 7 . 6% 7263 W. 4th Street 7 . 8% 1450 N. 12th Avenue 10 . 0% 5202 Granite Street 9 . 0% The rates run from 6 . 0 percent to 10 percent . Some of the national credit rates were for larger properties, which would demand a higher rate because of the size of the property and thus the size of the purchase . Most notable above is 5202 Granite Street in Loveland, an offering of a property that generates a 9 . 0 percent return at the full asking price . A lower sale price would indicate a higher rate, but also the lease is only for one year, so somewhat riskier. Apart from the market indicated rate, the rate must also reflect the competitive rate of return in relation to non-real estate alternatives : 34 CURRENT MONEY RATES Type of Rate Interest Rate Prime Rate 3 . 25 1-year T-Bill . 29 U. S . 10-year Bonds 3 .48 U. S . 30-year Bonds 4 .41 Source : UBS Financial, November 2009 The above rates are for almost risk-free alternatives, in relation to the maintenance, possible vacancies, and poor liquidity of real estate. While there are some tax advantages to owning real estate, the Tax Reform Act of 1986 and the extension of the depreciable life of commercial property in the 1993 Tax Bill have negated many of the previous benefits. For those reasons, a prudent investor would typically demand a higher return for real estate than even the highest of the above rates. Normally, the rate indicated by the sales comparables would be given weight; however, in this particular case the comparables yielded no indications . When considering the rates indicated from other sales, plus the fact that subject is modest in size and price, which would attract a larger potential buying field, and the fact that the current low rental rates may be temporary and reserves were accounted for, an 8 . 0 percent capitalization rate for subject represents a market return. This rate would offset some of the risk of the investment by being higher than non-real estate or residential real estate investments, and should be high enough to entice an investor to assume that risk. 5 . Market Rent Value Indication Net Operating Income Value Capitalization Rate $12 , 935 = $161, 188 8 . 0% Rounding, the estimated value of the property by the Income Approach is : ONE HUNDRED SIXTY THOUSAND DOLLARS ($160, 000 . 00) 35 IV. APPRAISAL CONCLUSIONS AND LIMITING CONDITIONS A. Correlation The last step in the appraisal process is to conclude a final estimate of value for the subject property. This is done after analyzing the quantity, quality, and reliability of the data utilized, strengths and weaknesses of the different methods of valuation, and applicability of each approach to the type of property being appraised. The final estimate of value approximates that which an informed, rational investor would pay for the subject property if it were available for sale on the open market at the date of the appraisal, given the data used in this report. A review of the value indications is as follows : COST APPROACH n/a SALES COMPARISON APPROACH $210, 000 INCOME APPROACH $160, 000 The data for the leases, in general, is probably better than the sales data; more leases have been executed in the past 12 months than properties have sold. However, in many cases in today' s market, landlords are willing to accept lease rates that do no more than "stop the bleeding" , i .e . just cover some ownership expenses, in anticipation that they can quickly escalate when the market returns to stability. Whether these low rates are temporary or will, in fact, become the "new" market for the foreseeable future remains to be seen. The one thing for certain is that the current lease rates are less than one-half of those needed to justify new construction, an indication that the rental market is way out of balance. That, and the fact that subject is really a one-tenant unit and will most likely sell to an owner occupant anyway, are the reasons that weight is given to the Sales Comparison Approach. The Cost Approach was not considered, as discussed. The correlation yields : TWO HUNDRED TEN THOUSAND DOLLARS ($210, 000 . 00) 36 B. Exposure Time and Marketing Time Exposure time exists before the date of the appraisal, while marketing time is after the effective date of the appraisal . An estimate of exposure time is required by USPAP for market value appraisal assignments . The opinions of this report are based upon a reasonable exposure time for the property. In today' s market that is opined to be from six to 12 months . Some of the sales herein, and some throughout the market in general, may have taken longer or much longer than 12 months to sell, but one of the most important factors is pricing, and those properties may have not been competitively priced. In discussions with Ron Randel of Wheeler Management Group, and Mike Ehler of Realtec Commercial Services, both experienced agents in managing and marketing commercial properties, they felt that even in the current market, if a property was properly priced and marketed, the exposure and marketing times would be from six to 12 months . C. Value Conclusion By definition, no discounting of the final value is required with an estimated marketing time of one year or less . Therefore, the market value of the subject property as of November 5, 2009, is estimated to be : TWO HUNDRED TEN THOUSAND DOLLARS ($210, 000 . 00) 37 D. Certification of Independent Appraisal Judgment The Appraiser certifies and agrees that : The statements of fact contained in this report are true and correct to the best of the appraiser' s knowledge. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are the personal, impartial, and unbiased professional analyses, opinions, and conclusions of the appraiser. The Appraiser has no present or contemplated future interest in the property that is the subject of this report, and has no personal interest with respect to the parties involved. The Appraiser has no bias with respect to the subject matter of the appraisal report or the parties involved with this assignment . The engagement of the appraiser in this assignment was not contingent upon developing or reporting predetermined results . The appraiser' s compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal . The "Estimate of Market Value" in the appraisal report is not based in whole or in part upon the race, color, or national origin of the prospective owners or occupants of the property appraised, or upon the race, color or national origin of the present owners or occupants of the properties in the vicinity of the property appraised. The Appraiser has personally inspected the property, both inside and out, and has made an ex:erioi inspection of all comparable sales listed in the report . This appraisal report has been made in conformity with and is subject to the requirements of the Uniform Standards of Professional Appraisal Practice (USPAP) adopted by the Appraisal Standards Board of the Appraisal Foundation. 38 All conclusions and opinions concerning the real estate that are set forth in the appraisal report were prepared by the Appraiser whose signature appears on the appraisal report, unless indicated as "Review Appraiser" . No change of any item in the appraisal report shall be made by anyone other than the Appraiser, and the Appraiser shall have no responsibility for any such unauthorized change . Based upon the information contained in this report and upon my general experience as an appraiser, it is my opinion that the Market Value, as defined herein, of the subject property as of November 5, 2009 is : TWO HUNDRED TEN THOUSAND DOLLARS ($210, 000. 00) November 10, 2009 Bruce W. Willard, CCIM, CRB, CRS Certified General Appraiser License No. CGO1315403 39 E. Statement of Assumptions and Limiting Conditions This appraisal report, the letter of transmittal, and the Certification of value are made expressly subject to the following assumptions and limiting conditions, and any special limiting conditions contained in the report, which are incorporated herein by reference : (1) The legal description furnished is assumed to be correct. I assume no responsibility for matter legal in character, nor do I render any opinion to the title, which is assumed to be good. All existing liens and encumbrances, if any, have been disregarded, and the property is appraised as though free and clear, under responsible ownership and competent management. (2) The sketches contained in this report are included to help the reader visualize the property. I have no formal boundary survey of the property and assume no responsibility in connection with such matters . (3) I believe to be reliable the information which was furnished by others, but I assume no responsibility in connection with such matters . (4) Possession of this report, or a copy thereof, does not carry with it the right of publication, nor may it be used for any purpose by anyone but the applicant without the previous written consent of the appraiser or the applicant and then only with proper qualification. (5) I am not required to give testimony or to appear in court by reason of this appraisal, with reference to the property in question, unless arrangements have been previously made therefore. (6) The distribution of the total valuation in this report between the land and the improvements applies only under the existing program of utilization. The separate valuations for land and buildings must not be used in conjunction with any other appraisals and are invalid if so used. (7) It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more of less valuable . No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. 40 (8) It is assumed that there is full compliance with all applicable federal, state, and local environmental regulations and laws unless noncompliance is stated, defined, and considered in the appraisal report . (9) It is assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state, or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimated contained in this report is based. (10) It is assumed that the utilization of the land and improvements is within the boundaries or property lines of the property described and that there is no encroachment or trespass unless noted in the report . (11) Subsurface rights (mineral and oil) were not considered in making this appraisal, nor were any costs for notifying mineral rights owners, as per HB 01-1088, included. (12) Damage, if any, by termites, dry rot, wet rot, or other infestations, was reported as a matter of information, and I do not guarantee the amount or degree of damage, if any. (13) All furnishings and equipment, except those specifically indicated and typically considered as a part of the real estate, have been disregarded by this appraiser in considering the value of the real property. (14) The appraiser has inspected, as far as possible, by observation, the land and the improvements thereon; however, it was not possible to personally observe conditions beneath the soil or hidden structural components within the improvements . Therefore, no representations are made herein as to these matters, and unless specifically considered in this report, the value estimate is subject to any such conditions that could cause a loss in value. Condition of heating, cooling, ventilating, electrical, and plumbing equipment is considered to be commensurate with the conditions of the balance of the improvements unless otherwise stated. 41 (15) Unless otherwise stated in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakages, or agricultural chemicals, which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser' s inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test substances or conditions . If the presence of such substances, such as asbestos, urea formaldehyde foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property, the value estimated is predicated on the assumption that there is no such condition on or in the property or in such proximity thereto that it would cause a loss in value . No responsibility is assumed for any such conditions, not for any expertise or engineering knowledge required to discover them. (16) Neither all nor part of the contents of this report shall be conveyed to the public through advertising, public relations, news, sales or other media, without the written consent and approval of the author, particularly as to the value conclusions, the identity of the appraiser, or firm with which he is connected or any reference to his professional associations . (17) No legal description or survey was furnished so the appraiser utilized the county tax information to ascertain the physical dimensions and acreage of the property. Should a survey prove these characteristics inaccurate, it may be necessary for this appraisal to be adjusted. (18) This report has been made under the guidelines set forth by the Uniform Standards of Professional Appraisal Practice . 42 F. Resume of Appraiser Bruce Willard is the chief appraiser for Austin & Austin Appraisal Services and works full time in real estate marketing, appraisal, and analysis . He is a licensed Real Estate Broker and a licensed Certified General Appraiser in the State of Colorado. Bruce is a Colorado native, an ex-Air Force pilot, with over 2, 000 hours of high performance aircraft time, and he holds a B.S. in Electrical Engineering from the U.S. Air Force Academy. Bruce is a member of the National Association of REALTORS, Colorado Association of REALTORS, and the Greeley Board of REALTORS. He holds the designation of GRI from the Graduate REALTORS Institute, Certified Real Estate Brokerage Manager (CRB) , Certified Residential Specialist (CRS) and the prestigious Certified Commercial Investment Member (CCIM) from the National Association of REALTORS . He is one of less than 4, 500 individuals nationwide to have earned the CCIM designation, and one of less than 100 to hold each of the CCIM, CRB and CRS designations. Bruce is a recognized authority on Northern Colorado real estate. He has been the guest speaker at numerous local and statewide clubs and organizations, including Rotary clubs, the Northern Colorado Builder' s Association, the Northern Colorado Commercial Association of REALTORS, Weld County Planning and Zoning and the Colorado Chapter of the Society of Industrial and Office REALTORS in Denver. Bruce has assisted both the State Attorney General and the Weld County District Attorney in valuation matters, and assists the Colorado Board of Real Estate Appraisers in analyzing the qualifications of appraiser applicants in the State. Bruce has been appraising since 1987, and currently appraises for The State Land Board, The City of Greeley, Guaranty Bank and Trust, Bank of the West, Community First Bank, let National Bank, Colorado East Bank and Trust, 1St Farm Bank, Advantage Bank, Bank of Choice, Morgan County Savings Bank, Signature Bank, LSI Relocation Services, First Colorado Savings Bank and numerous other parties and institutions in the Northern Colorado region, including: Greeley, Loveland, Fort Collins, LaSalle, Evans, Windsor, Eaton, Ault, Pierce, Kersey, Firestone, Frederick, Longmont, Berthoud, Johnstown, Milliken, Fort Morgan, Sterling and Gilcrest . Bruce has appraised properties from single-family residences and vacant sites to subdivisions, apartment complexes, industrial buildings and shopping centers . 43 V. ADDENDA 44 3" � I t ; 1 , !,''''{1- Ti n, t¢d (i yvc .. �p _ ,l , A,�,t - r ' ‘ �:1 y71T ZI :tT Ate so_B s SS Best .columns 14'''':;xh `' r ' ,fill i w r-r” rte` it :."-r-774-` 1 n,4' :.. t�.�slFi4`r � 4,...:::: 1 � ��''.�' .�. 'ftw. �,yl t � Y 1,1;a i 1 rY;# 1t %N F E I'wi ,t.-.. :5:14261). `'lli lf: si y A k t11.-5Y;#::':'1 . ?, s uetof tt.4.4^.:440,1'+e eek: e ext Ireate me •�pA` ) '' I::: i fP )'xt '''''?''f.,::,[ [C'44, ..'+v ."am Sak^S 181 .07 r ��iS "'i t J lr M 6�.1�`` oµthol t a dentta1rea`l r:� Ts " �� "4". lesta�e� 'd','fvait unnl your _ rem iT',{�" •d�obn't`� .{see, a oreeior commercial. .. ."" «also `3an s ' � e- ti C.$ `li>t"-Ban In Fortune lotmilm g ��:Z t ei e l ti 's¢ i .ctim -t, m amen big and small f billionaire "":{+ ilbur R ,o , . Jaia�9vq.p{f�q rs and abandon known for bu 'rah utility•assets•'.i ing,exp si3a,plans,ei enners are «,M i -- Eon the cheap Tie at,east$1,5 •.t faarrg p x ofldefaula on coin zi xiblllion available to uy'commeicial s't m ort ages and construction '" r i „,:real estate loans °d other debt: lodns,made� en nas were much . u l? i 1 i l r Om US,.ba ii because he higbet�and d remand for space much �- oresces a"Idle "'hin comtneraal atcongee fammeraal real estate z - lzea te," be ' theFPS yefallenp stunrihtg 41 Peria c e fo ' •unN gun TK ant` mae'O&opet'2Q07,according f arise• pan tes and rents f,yt, sto!Tvlop'dLI- }ts�n tgfs$en?cetwlvleti alongiii oth ofrecoveryf .i ,, z office vaanaesrose Y7 percent m the . ... All the coin f real estate third quarter tan five-year high.The Empty malls make for dud roars •' value are gouig , 0 of diSec- deteriotano}t olrshc comiercial Teal real estate loan,sard.Damel lndiviglio in •;',.' don simultaneo p dross says.' estate market spells big trouble for many TheAtiantic corn Most loans are strut '•,_i "s . . U.S.banlrry which hold about half of tared so that borrowers make only inter Federal banking off cials:are scrambling the:$35 tril ion iq loans secured by U.S. est payments,for the life of their to contain the damage,said Zeriohed commercia,reap estate Yet many banks' then,repay the principal in a single"bat- .comb a financial websrte tµt•they'rgee z • bayen'tfac ctt*to their looming losses. loon"payment when the loan Conies due. unlikely to prop up'the''conimercial real Oiie reseaMlifun'esamates that sins,the Business must be really bad if they can't estate market ihe'ways hey've supported '�Y4 _downtumrbegan,banks have lost about even make their ipte est payments.And . residential' real estat +e.,n teail,the fells $110 billion odicommercial real estate what happens whenithose balloon pay- are"telling'banks m Ive problems and tonstmction loans.But so far they ments come due?Icy$'stronger economy, on their own, by ne citing with their hive tepireed losseq'amoimting to only a borrowers wail be able to easilyrefi- borrowers.'Regulatot44ttbmise to look third ofthat;irm. ".Deferring that reckon- nance.But it's nifferent story in today's kindly on such efforts.In other words', • ing can create a.bigger problem later". hypercautious lending environment.An don't expect a federal bailout for corn estimated$500 billion in commercial mercial real estate.Theconsequencesfor What makes the high default rate"really, real estate loans is coming due in each the economy as a whole:wi l be"stagger- " ,t�,l worrying'" is that it shouldn't be all of the next three years,and they won't all ing," but"the biggest Toser in all of this rd to stay current on a commercial ;•be refinanced. will be banks." .Y .. _ _SrtIU iu11 4 • 4.,r LUe 14:dl '4/113395848 BANK Cr'CHOICE PAGE Bank of Choice ENE CIIICE YIN CAN IANN ON. September 21, 2009 Bruce Willard Austin&Austin Appraisal Services 918 13th Street Greeley,CO 80631 Re: J. Arthur Real Estate- 1823 65th Avenue#1, Greeley, CO 80634 Contact person: Jeff Perryman at (970)3964693 Dear Mr. Willard, Bank of Choice hereby engages the services of Austin &Austin Appraisal Services to prepare a real estate appraisal with a Summary Report (the"Appraisal")of the property listed above. The terms and conditions of this engagement are described below: 1. Client. Bank of Choice, 7251 West 20th Street, Greeley, CO 80624. Attention: Larry Hoffner 2. Appraiser. The appraisal is to be prepared by Bruce Willard(the "Appraiser"). 3. Other Consultants. If the Appraiser requires professional assistance from others, those individuals shall be satisfactory to the Bank and their fees and expenses shall be included in the fees and expenses paid to the Appraiser by the Client. 4. Subject Property. The real property described as above referenced. 5. Effective Date. The effective date of the Appraisal shall be the date on which the Appraiser personally inspects the Subject Property. 6. Purpose of the Appraisal. The purpose of the appraisal is to estimate the market value of the Subject Property as the Effective Date of the Appraisal. The estimate of market value must be made of the Subject Property in an "As Is" condition. The Appraisal must address and explain his/her opinion concerning the difference between market value and fair value, if any. 3635 23rd Avenue,Even Colorado 80620—(970)506-1000 11044 West Drake,Fat Corinth Colorado 80526—(9701224-5100 7251 West 20th Street,Gimlet,Colorado 80634—(470)339.5600 3780 West 10th Street,Greeley,Colorado 80634—(9701352-6400 370 Justin Avenue,Fl tterilla,Colorado 80651—(970)785.2000)1270 Automation Drive,Weultor.Colorado 80550—1970)674-3434 rr 4 • 14;Js BAM< CHOICE PAGE 7. Function or Use of the Appraisal. The function or use of the appraisal shall be to aid in or support decisions related to encumbering the Subject Property for the benefit of the Bank. 8. Due Date of the Appraisal. Two original copies of the Appraisal shall be delivered to Client on or before October 6, 2009. The Due Date may be extended by Client in its sole and absolute discretion upon reasonable request from Appraiser. 9. Fees and Expenses. The Appraiser's fees and expenses for the Appraisal shall not, unless otherwise agreed to by Client in writing, exceed STBD. No other fees or expenses shall be payable unless agreed to by Client in writing in advance of incurring those fees or expenses. If the Appraisal is not completed in conformance with the standards as required by FIRREA and the Federal Register 12CFR Part 34 and Client requirements as listed below, and acceptable appraisal standards and practices, Client shall have the right to withhold payment of the Fees and Expenses until such deficiencies are corrected within a reasonable time period, as specified by Client. If such deficiencies are due to the negligence of the Appraiser, they shall be remedied without further cost to Client. 10.Penalty Clause. For every day after the Due Date that the Appraisal is late, so long as Client has provided information available to it in a timely manner to Appraiser, the fee due the Appraiser shall be reduced by$N/A per day. 11.Standards of the Appraisal. The Appraisal, at a minimum, shall summarize the following information: a. Conform to the standards as required by FIRREA and the Federal Register 12CFR Part 34 (Docket#90-16). b. Conform to the Uniform Standards of Professional Appraisal Practice ("USPAP") adopted by the Appraisal Standards Board of the Appraisal Foundation, except that the Departure Provision of the USPAP shall apply; c. Disclose any steps taken that were necessary or appropriate to comply with the competency Provision of the USPAP; d. Be based on the definition of market value; e. Be written and presented in a narrative format that satisfies all the requirements of this engagement letter; f. Be sufficiently descriptive to enable the reader to ascertain the estimated market value, and the rationale for the estimates of value; g. Provide a summary of the analysis that reflects the complexity of the real estate appraised; h. Indicate the current ownership of the Subject Property. Analyze and report in summary any prior sales of the property being appraised that occurred within three years preceding the date when the Appraisal was prepared; 2 ' tJ / ZS/2Udy 14:31 .9703395848 BA m'NCHOICE PAGE • i. Analyze and report data on current revenues, expenses, and vacancies for the subject property if it is and will continue to be income-producing, and identify the source of the information; j. Analyze and report a reasonable marketing period for the Subject Pi.perty; k. Analyze and report on current market conditions and trends that will affect projected income or the absorption period, to the extent they affect the value of the Subject Property; 1. Include in the certification required by the USPAP an additional statement that the appraisal assignment was not based on a requested minimum valuation, a specific valuation, or the approval of a loan; m. Contain sufficient supporting documentation with all pertinent information reported so that the Appraiser's logic, reasoning,judgment, and analysis in arriving at a conclusion indicate to the reader the reasonableness of the market value reported; n. Include a legal description of the real estate being appraised, in addition to the description required by the USPAP; o. Identify and separately value any personal property, fixtures, or intangible items that are not real property but are included in the Appraisal, and discuss the impact of their inclusion or exclusion on the estimate of market value; p. Follow a reasonable valuation method that addresses the direct sales comparison, income, and cost approaches to market value, reconciles those approaches, and summarizes, justifies and provides market support for the elimination of each approach not used; q. Disclose and explain if information required or deemed pertinent to the completion of the appraisal is unavailable; r. Be internally consistent within and among all sections; s. Include a copy of this letter as an exhibit to the Appraisal; t. Provide a summary of the highest and best use analysis for the Subject Property, including a market or feasibility analysis,if applicable; u. Disclose listing dates for all comparable properties in the direct sales comparison approach; v. Analyze financing terms for all comparables utilized in the direct sales comparison approach, include the name of the person with whom the sale was verified and show the calculations for any adjustments made for cash equivalency, w. Provide an adjustment grid (of dollars, percentages, qualitative comparisons) for any adjustments made in the direct sales comparison approach; x. Verify any physical characteristics of the Subject Property that are supplied to the Appraiser from any source, disclose those sources, and reconcile any differences in summary; y. Provide in one section a summary of the salient descriptive items of the subject property and conclusions reached, including your opinion of the relative strengths and weaknesses of the Subject Property when compared to competitive properties. 3 -- Y. .�ieLi *ti 4tl BAN< pc--.GF{GICE PAGE aa. Provide market support in summary only; i. that the definitions of values used in the report are reasonable as of the Effective Date, or state that after due and reasonable inquiry, there is no market support that the definitions of value are reasonable under current market conditions, and prominently disclose the assumptions under which those definitions would be reasonable; ii. for a reasonable marketing period for the Subject Property; iii. for any adjustments made to comparable properties in the direct sales comparison approach; iv. for current and projected revenues, expenses, vacancies, costs, capitalization rates and discount rates for the Subject Property in income approach; v. for current market conditions,market rents (sales prices of developed lots/ completed units) and trends that will affect projected income of the absorption period to the extent that they affect the value of the Subject Property; vi. for deductions or discounts for any proposed construction,or any completed properties that are partially leased or leased at other than market rents as of the Effective Date,or any tract developments with unsold units; vii. for the impact of the inclusion or exclusion of personal property, fixtures or intangible items that are not real property on the estimates of value. ab. Reflect the general assumptions and limiting conditions of the appraisal and include all material specific assumptions and limiting conditions that affect the analysis, opinions, and conclusions in the report,subject to: i. Clearly and accurately disclosing any assumption or limiting condition that directly affects the appraisal and indicating its impact on valuer ii. Providing a summary of all such assumptions and limiting conditions in one separate section within the Appraisal; ac. Include the Appraiser's certification of value; 12.Representations and Warranties. Appraiser represents and warrants that: a. She/he has never been publicly censured, suspended or expelled by any appraisal organization; b. She/he has a copy of the current USPAP,FIRREA and Federal Reserve Regulations, has read those documents and understands their requirements; c. She/he is competent to prepare the Appraisal, and if required by law, is properly licensed or certified to prepare the Appraisal; and d. She/he is disinterested and unbiased with respect to the Subject Property. 13. Confidentiality. This letter, the Appraisal and any information provided by Client to Appraiser is confidential and may not be disclosed to any other party or referred to in any other assignment given the Appraiser without Client's express written permission. 4 4 BANK CF-CHOICE PAGE 14. Information and Documentation. A list of information and documents provided to you by Client is included in Exhibit C (if applicable). If you obtain other information or documentation from borrower, or its representatives or agent, that information shall also be provided to Client by Appraiser. If Appraiser obtains information or documentation from other sources, the names of those sources shall be disclosed to Client unless prior confidentiality agreements prohibit such disclosure. If Appraiser refers to other documents in the Appraisal, Appraiser shall disclose the name and source of those documents and shall exercise his/her best efforts to provide client with copies of those documents, if Client does not already have a copy, so long as no copyright or other agreements are violated. If you accept the above instructions,please sign this letter in the space provided below and return a signed original of this letter to me on or before Septebmer 25, 2009. Sincerely, NALL Anne Drake Loan Assistant Bank of Choice Acknowledged and Accepted this day of , 20 By: 5 retsa CLERK TO THE BOARD PHONE (970) BOX E 4225 AX F : (970) 352-0242 P.O. BOX 758 IGREELEY, COLORADO 80632 C. COLORADO January 6, 2009 J. Arthur Leasing, LLC 1823 65th Avenue, #1 Greeley, CO 80634 RE: SCHEDULE NUMBERS: R3310605, R4909107, R2531903 and R3310705 Dear Property Owner: This is to advise you that the Weld County Board of Commissioners will hear your petitions for abatement or refund of taxes on the properties described as: 1815 65th Avenue, #1, 1823 65th Avenue#1, and 1815 65th Avenue,#2, Greeley, Colorado; and 241 South Elm Avenue,#2, Eaton, Colorado. The meeting is scheduled for January 13, 2009, at 9:00 a.m., in the First Floor Meeting Room, Weld County Centennial Center, 915 10th Street, Greeley, Colorado. The Assessor is recommending that the Board deny your petitions. You are not required to be present at this hearing, however, this is your opportunity to have your position heard, especially if your position is opposed to the Assessor's recommendation. If you intend to submit any documentation in support of your position for this hearing, all such documentation must be submitted to the Office of the Clerk to the Board and to the Weld County Assessor's Office at least seven calendar days prior to the meeting date in order for it to be considered at the scheduled hearing. If you have any questions concerning this matter, please do not hesitate to contact Esther Gesick at (970) 336-7215, extension 4226. Siiinccerreel�y,Li �,�.�J/- �/�r I ZIio - Hs(ti WI �� -ru.Vyyfnu..�.> whW y'.tiL.ti U_ c,,\-tA.:u,,c.ni�JLJ , 1 75( I J Esther E. Gesick Deputy Clerk to the Board G ( �' ' ' �� L lit?)ic I-lt nit (CHO--3((0 4, cc: Assessor CLERK TO THE BOARD ' PHONE (970) 336-7215, Ext. 4225 FAX: (970) 352-0242 P. O. BOX 758 O GREELEY, COLORADO 80632 COLORADO February 12, 2010 J. Arthur Leasing, LLC 1823 65th Avenue, #1 Greeley, CO 80634 RE: SCHEDULE NUMBER R3310605 , C2.A53 R03, a- 33IC11°C1 CPI 1°9107 Dear Property Owner: On January 25, 2010, the Board of Weld County Commissioners considered your petition for abatement or refund of taxes and denied same. Pursuant to Section 39-2-125(f), C.R.S., you have the right to appeal this decision to the State Board of Assessment Appeals within thirty days. You may obtain the appropriate forms and instructions from the Board of Assessment Appeals, Department of Local Affairs, 1313 Sherman Street, Room 420, Denver, Colorado 80203. Very truly yours, Esther Gesick Deputy Clerk to the Board cc: Assessor EG/sk Hello