HomeMy WebLinkAbout940734 RESOLUTION
RE: THE BOARD OF EQUALIZATION, 1994, WELD COUNTY, COLORADO
PETITION OF:
GREAT AMERICAN LIFE INS CO
% CIRCLE K CORP #3160
P 0 BOX 52085
PHOENIX, AZ 85072 - 2085
DESCRIPTION OF PROPERTY: PIN: R 3241986 PARCEL: 096108208003 - GR 5433
S90' W125' L3 BLK95 %1025 13 ST%
WHEREAS, the Board of County Commissioners of Weld County, Colorado,
organized as the Board of Equalization for the purpose of adjusting, equalizing,
raising or lowering the assessment and valuation of real and personal property
within Weld County, fixed and made by the County Assessor for the year 1994, and
WHEREAS, said petition has been heard before the County Assessor and due
Notice of Determination thereon has been given to the taxpayer(s) , and
WHEREAS, the taxpayer(s) presented a petition of appeal of the County
Assessor's valuation for the year 1994, claiming that the property described in
such petition was assessed too high, as more specifically stated in said
petition, and
WHEREAS, said petitioner not being present, and
WHEREAS, the Board has made its findings on the evidence, testimony and
remonstrances and is now fully informed.
NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld
County, acting as the Board of Equalization, that the evidence presented at the
hearing clearly supported the value placed upon the Petitioner's property by the
Weld County Assessor. Such evidence indicated the value was reasonable,
equitable, and derived according to the methodologies, percentages, figures and
formulas dictated to the Weld County Assessor by law. The assessment and
valuation of the Weld County Assessor shall be, and hereby is, affirmed as
follows:
940734
rX33 PL Pd
Page 2
RE: BOE - GREAT AMERICAN LIFE INS CO
ORIGINAL
Land $ 22,500
Improvements OR
Personal Property 227,500
TOTAL ACTUAL VALUE $ 250, 000
BE IT FURTHER RESOLVED that a denial of a petition, in whole or in part, by
the Board of Equalization may be appealed by selecting one of the following three
options:
1. Board of Assessment Appeals: You have the right to appeal the
County Board of Equalization's (CBOE's) decision to the Board of
Assessment Appeals (BAA) . Such hearing is the final hearing at
which testimony, exhibits, or any other evidence may be
introduced. If the decision of the BAA is further appealed to
the Court of Appeals, only the record created at the BAA hearing
shall be the basis for the Court's decision. No new evidence can
be introduced at the Court of Appeals. (Section 39-8-108(10) ,
CRS)
Appeals to the BAA must be made on forms furnished by the
BAA, and should be mailed or delivered within thirty (30)
days of denial by the CBOE to:
Board of Assessment Appeals
1313 Sherman Street, Room 523
Denver, CO 80203
Phone: 866-5880
OR
2. District Court: You have the right to appeal the CBOE' s decision
to the District Court of the county wherein your property is
located. New testimony, exhibits or any other evidence may be
introduced at the District Court hearing. For filing
requirements, please contact your attorney or the Clerk of the
District Court. Further appeal of the District Court's decision
is made to the Court of Appeals for a review of the record.
(Section 39-8-108(1) , CRS)
OR
940734
Page 3
RE: BOE - GREAT AMERICAN LIFE INS CO
3. Binding Arbitration: You have the right to submit your case to
arbitration. If you choose this option the arbitrator' s decision
is final and your right to appeal your current valuation ends.
(Section 39-8-108.5, CRS)
Selecting the Arbitrator: In order to pursue arbitration, you
must notify the CBOE of your intent. You and the CBOE select an
arbitrator from the official list of qualified people. If you
cannot agree on an arbitrator, the District Court of the county
in which the property is located will make the selection.
Arbitration Hearing Procedure: Arbitration hearings are held
within sixty days from the date the arbitrator is selected. Both
you and the CBOE are entitled to participate. The hearings are
informal. The arbitrator has the authority to issue subpoenas
for witnesses, books, records, documents and other evidence. He
also has the power to administer oaths, and all questions of law
and fact shall be determined by him.
The arbitration hearing may be confidential and closed to the
public, upon mutual agreement . The arbitrator's written decision
must be delivered to both parties personally or by registered
mail within ten (10) days of the hearing. Such decision is final
and not subject to review.
Fees and Expenses: The arbitrator's fees and expenses are agreed
upon by you and the CBOE. In the case of residential real
property, such fees and expenses cannot exceed $150.00 per case.
The arbitrator's fees and expenses, not including counsel fees,
are to be paid as provided in the decision.
940734
Page 4
RE: BOE - GREAT AMERICAN LIFE INS CO
The above and foregoing Resolution was, on motion duly made and seconded,
adopted by the following�I/^ vote on the 28th day of July, A.D. , 1994.
�1� V� BOARD OF COUNTY COMMISSIONERS
ATTEST: WELD COUNTY, COLORADO
f � A
Weld County Clerk to the Board 1� � 11. ♦ ��. 4M
f.. W. H. • .� ,� raiman, /
BY: ,4 -/�7`��1ti.e -/� '.
eputy Clerk to the Bca Dale . Hall, Prem
APPROVED AS TO FORM: - L- < < y/ t
�Geo � Baxter y/(//�`' /
fu ty a orney Con tance L. Harbert
A1:1 L/L _1 L /;-,7
Barbara J. Kirkmey0r
940734
CH -3j sz"
BOE DECISION SHEET
PIN U: R 3241986 PARCEL U: 096108208003
GREAT AMERICAN LIFE INS CO
Z CIRCLE K CORP #3160
P 0 BOX 52085
PHOENIX, AZ 85072 - 2085
HEARING DATE: July 28, 1994 TIME: 11:00 A.M.
HEARING ATTENDED? (Yiii1P NAME:
AGENT NAME:
APPRAISER NAME: J )(L_.1, "
DECISION:
DECREASE IN VALUATION
INCREASE IN VALUATION
NO CHANGE IN VALUATION
ASSESSMENT RATIO
ACTUAL VALUATION
ORIGINAL - SET BY BOARD
Land $ 22,500 $
Improvements OR
Personal Property 227,500
Total Actual Value $ 250,000 $
COMMENTS:MOTION BY 1-1 TO p i2�- f� tY#�
`�7 9 O O
SECONDED BY _(41/3 Baxter -- )
Hall -- Y N)
-Failed to prove appropriate value Harbert -- N)
No comparables given Kirkmeyer - N)
Other: Webster -- N)
RESOLUTION NO.
940734
D Cry
July 15, 1994 ti " 9 '! 9: 51
i[[ 3ai
TO -ILE
Weld County Board of Equalization
915 10th Street
PO Box 758
Greeley, CO 80632
RE: Parcel # 096108208003
.3y Iig(�
Gentlemen:
Please accept this as our protest of the 1994 valuation on the above-referenced
property. This property is currently valued at $22,500 for the land and $222,750
for the improvements,for a total value of$250,000.
The improvements on this property are a 2442 square foot convenience store that
was built in 1981. This property has two 10,000 gallon gas tanks and two 2
product pumps, it has no gasoline canopy only a small island. According the the
cost less depreciation model the assessor's office is using the value should be$137,600.
On my recent visit I spoke to Stan Jantz who informed me that the Weld County
Assessor's Office uses market sales and tries to equalize the property values. While
this is commendable, the fact of the matter is that there are very few sales of
convenience store properties where the business is not a part of the sale. Also the
sales approach needs to be applied to comparable properties in similar situations not
to convenience stores in general.
Using a predetermined value on all convenience stores without taking into
consideration the location and the physical improvements is not a valid method of
appraisal. For instance, the Southland site at 2540 W 10th Street is valued at $
225,000, land for $157,500 and improvements for 67,500. The improvements on
this site consist of a 2,624 square foot convenience store that was built in 1984.
Following is a comparison of the property records cards for this site and our site:
Southland Site Circle K Site
14000 sgft Asphalt .85 11,900 7121 sgft Asphalt 1.13 8,149
3995 sgft Concrete 1.65 6,592 2167 se Concrete 2.31 5,016
1008 se Brick Ext 9.00 9,072
1600 sgft Canopy 8.75 14,000
2 tanks 8,600 2 tanks 13,600
THE CIRCLE K CORPORATION
P.O. Box 52082 • Phoenix, AZ 85072-2082 • (602)952-9510
PC O72 0734
Page 2
July 15, 1994
Southland Site Circle K Site
2 pump island (3 pump) 8,400 2 dispensers 7,400
4 remote control 3,400
2 sub pumps 1,300
1 island 999
1 light 1,685
Gas Site Total 58,564 41,549
Base Square Foot Cost 33.02 38.62
Heat/Cooling 1.60 1.80
34.62 40.42
Wall Factor 1.085 1.00
Area Factor 1.0985 1.1295
41.25 45.65
Bldg Sq Ft 2,624 2,442
Indicated Bldg Value 108,240 111,477
Improvements 58,564 41,549
Total Improvements 166,804 153,026
Current 1.02 1.03
Local
.97
Improvements with adjs 170,139 152,888
Depr 15,588
Depreciated Values 137,600
In view of the foregoing why then aren't our improvements valued at the $137,600
rather than the $222,750 and why are the Southland improvements valued at
$67,500 rather than the indicated$161,632 ($170,139. 5%for depreciation). I was
940734
Page 3
July 15, 1994
told by Mr. Jantz that since the land values were higher for the Southland site
("Some sales over $10.00 per square foot") in order to have comparable values the
assessor's office had to reduce the improvement values. While we applaude the issue
of equity, we want equity with similuar situated properties and not a set price for
all convenience stores without regard to locational factors or improvement quality.
Please be advised that we are the tenants under a sale/leaseback agreements dated
December 31, 1982 which is effective through December 31, 1982. This is a triple
net lease to our landlord, Great American Life and we have the right to protest
values of the real estate under the terms of the lease. This is a sale/leaseback package
consisting of 33 stores in 8 states and there is not a monthly rent amount assigned
to each property, just a total due for all of the properties.
Based on the foregoing, it is our opinion that the value of this property is $ 160,100.
Thank your for your consideration of this issue.
Sincerely,
THE CIRCLE K CORPORATION
Ro lY n I oh4sto>"
Property Tax Department Manager
(602) 470-7935
LEASE
THIS LEASE, made as of the 31st day of December, 1982,
by and between GREAT AMERICAN LIFE INSURANCE COMPANY ( "Lessor" ) ,
an Ohio corporation, having an office at 6330 San Vicente
Boulevard, Los Angeles, California 90048 and U-tote 'M of Colorado,
Inc. ( "Lessee" ) , a Colorado corporation, having an office at 5200
West Loop South, Bellaire, Texas 77401.
WITNESSETH
ARTICLE 1
Premises
LESSOR HEREBY LETS AND DEMISES UNTO LESSEE AND LESSEE
HEREBY RENTS AND HIRES FROM LESSOR, all of Lessor' s right, title
and interest in the premises, including all improvements now or
hereafter located on the premises, more particularly described in
Schedule A attached hereto (the premises or the demised premises) .
The premises are leased subject to such liens, encum-
brances, covenants, restrictions, easements, agreements, reserva-
tions, and survey facts, if any, as affected the premises immedi-
ately prior to the conveyance of the premises by Lessee to Lessor
under Agreement dated December 23, 1982, and further subject to
zoning rules and governmental restrictions, regulations,
resolutions, ordinances and building restrictions now in effect or
hereafter adopted by any governmental authority having
jurisdiction. Lessor makes, and has made, no representation or
warranty with respect to the condition of, or title to, the
premises.
TO HAVE AND TO HOLD the premises upon the terms and con-
ditions herein set forth.
ARTICLE 2
Term
(a) Original Term. The original term of this Lease shall
commence on December 31, 1982 and shall end at midnight on December
31, 1997.
(b) Renewals. Lessee may, at Lessee' s option, provided
that Lessee is not in default under this Lease, at any time when it
may elect to exercise said right, extend the term hereof for two (2 )
successive renewal terms of five (5 ) years each, upon all the terms
940734
Unless such liens are the subject of a bona fide contest
as provided in paragraph (g) of this Article 3, Lessee shall pay as
additional rent all mechanics' liens levied or filed or to be filed
on or against the premises ( including, without limitation, the land
and any improvements now or hereafter erected thereon) .
( g) Contests . Subject to the conditions and provisions
hereinafter stated, Lessee may, in its own name or in the name of
Lessor, or both, but at the sole cost and expense of Lessee, con-
test in good faith and by appropriate legal proceedings any such
taxes, assesments , special assessments , water rents or rates, sewer
rents, mechanics' liens, public dues or other charges whether of a
like or different nature (charges) or the validity thereof, provided
that Lessee shall give to Lessor prompt notice in writing of such
contest at least 10 days before any delinquency occurs, and that
said legal proceedings shall operate to prevent the collection of
the charges so contested and/or the sale of the premises, or any
part thereof, to satisfy the same, and may defer the payment of such
of them as may be so contested until such contest is finally
determined; but Lessee agrees in any and all such proceedings to
protect and save harmless Lessor from all attorneys ' fees, costs
and damages resulting from any such proceeding or from failure of
Lessee to make any such payments , and Lessee shall immediately upon
the termination of such proceedings pay all such charges and any
and all damages, interest, penalties, costs and expenses arising
therefrom that may be adjudged to be a charge against the premises .
During the time that any such charges are being so contested in
good faith by Lessee, Lessor shall have no right, except as herein-
after stated, to pay the same; provided, however, that if Lessor
shall so request, Lessee shall either (1) pay such charges under
protest or in such manner as shall cause the same to be cancelled
as a lien against the premises without waiving the right herein
granted to Lessee to contest the legality of the imposition thereof,
or ( 2) furnish to Lessor at the expense of Lessee a surety company
bond or bonds in amount, form and substance, and issued by a surety
company, satisfactory to Lessor, securing the payment of such
charges and all costs, attorneys ' fees and other expenses or
damages which may be incurred in connection therewith; and in the
event Lessee fails to make such payment or to furnish such bond
upon request of Lessor, Lessor may pay any such charges, including
interest and penalties, and without any duty or obligation on the
part of Lessor to inquire into the validity or legality of any such
charges . In the event of any such payment by Lessor, Lessee shall
reimburse Lessor, forthwith upon demand, for the amount so paid,
together with interest on the amount so paid at the rate of 13%
per annum.
(h) Certificate of Payment of Charges . Lessee shall
during the original and any renewal term of this Lease within 30
days following the 31st day of December each year deliver to Lessor
an Officer' s Certificate to the effect that Lessee has paid all
-4-
940734
i •
(f) Consents and Approvals. In any instance where this
Lease shall require or refer to the consent or approval of one of
the parties hereto, such party agrees that it will not unreasonably
withhold or delay such consent or approval.
( g) Quiet Enjoyment. Lessor covenants that Lessee, upon
payment of the fixed rent and additional rent above reserved and upon
the due performance of the covenants and agreements herein contained,
shall and may at all times during the term hereby granted, peaceably
and quietly have, hold and enjoy the premises for the term of this
Lease free from the claims of Lessor or any persons claiming under
Lessor.
(h) Governing Law. This Lease shall be construed under
and governed by the laws of the State of Ohio.
(i) Intention. Lessor and Lessee intend to be legally
bound by the terms, conditions and provisions of this Lease.
( j) Separability. If any term or provision of this Lease
or the application thereof to any person or circumstances shall to
any extent be invalid and unenforceable, the remainder of this Lease,
or the application of such term or provision to persons or circum-
stances other than those to whom or to which it is invalid or un-
enforceable, shall not be affected thereby, and each term and pro-
vision of this Lease shall be valid and shall be enforced to the
extent permitted by law.
IN WITNESS WHEREOF, Lessor and Lessee have caused this
instrument to be executed by their respective officers thereunto
dulylauthorized, and their corporate seals to be hereunto affixed,
as of the date first above written.
GR LIFE INSURANCE COMPANY
(Corporate Seal) g
ATTEST: Title: ACGi.. SMyrp.rn
U-tote'M OF COLORADO, INC.
(Corporate Seal) By L o_e4,
ATTEST: Tit . lfce Etesdent
Secretary
—28—
940734
y CLERK TO THE BOARD
P.O. BOX 758
IB
GREELEY,COLORADO 80632
(303)358-4000 EXT.4225
III C.
COLORADO
July 19, 1994
Parcel No. : 096108208003 PIN No. : R 3241986
CIRCLE K CORPORATION
ATTN: ROSALYN JOHNSTON
PROPERTY TAX DEPARTMENT MANAGER
P.O. BOX 52082
PHOENIX, AZ 85072-2082
Dear Petitioner(s) :
The Weld County Board of Equalization has set a date of Thursday,
July 28, 1994, at or about the hour of 11:00 A.M. , to hold a hearing on
your valuation for assessment. This hearing will be held at the Weld
County Centennial. Center, 915 10th Street, Greeley, Colorado, in the First
Floor Hearing Room.
You have a right to attend this hearing and present evidence in support of
your petition. The Weld County Assessor will be present before the Board.
The Board will make their decision on the basis of the record made at the
aforementioned hearing, as well as your petition, so it would be in your
interest to have a representative present. If you plan to be represented
by an agent or an attorney at your hearing, prior to the hearing you shall
provide, in writing to the Clerk to the Board' s Office, an authorization
for the agent or attorney to represent you. If you do not choose to
attend this hearing, a decision will still be made by the Board by the
close of business on August 5, 1994, and mailed to you on or before
August 10, 1994.
Because of the volume of cases before the Board of Equalization, all cases
shall be limited to 15 minutes. Also due to voLume, cases cannot be
rescheduled. It is imperative that you provide evidence to support your
position. This may include evidence that similar homes in your area are
valued less than yours or you are being assessed on improvements you do
not have. Please note: The fact that your valuation has increased cannot
be your sole basis of appeal. Without documented evidence as indicated
above, the Board will have no choice but to deny your appeal.
940734
CIRCLE K CORPORATION - R 3241986
Page 2 l At least two (2) working days prior to your hearing
the Assessor
l your
e
n
available, at your request, the data supporting his valuation
property.
Please advise me if you decide not to keep your appointment as scheduled.
If you need any additional information, please call me at your
convenience.
Very truly yours,
WaLi
ALITION
Donald D. Warden,
Clerk to the Board / r
BY: /2
Y: 2 4- -
Carol A. Harding, Deputy
cc: Warren Lasell , Assessor
940734
C 13 - O _ E _ HEART NC
DATE: JULY 28, 1994
TIME : 11 : 00 A.M.
SUBJECT: CIRCLE K CONVENIENCE STORE
ADDRESS : 1025 13TH STREET, GREELEY
PIN# : 3241986
PARCEL# : 0961-08-2-08-003
940734
•
SUBJECT PHOTOGRAPHS
L g`i pT C S 4d,
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411
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I'MISS
a I
View of southeast elevation of
Circle K Convenience Store
;23 ;
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s
V.. Fv) ihe°f�'�Yyv
View of 2 twin pump dispensers
940734
Parcel Number : 0961-08-2-08-003
Property Owner : GREAT AMERICAN LIFE INS CO
Address : 1025 13 ST
City, State, ZIP: GREELEY, CO 80631
Surveyed by : D SCHILDMEIER
Date of Survey : 6/23/94
Occupancy: Convenience Market
Floor Area: 2,442 square feet Number of stories: 1.0
Class: Masonry Average story height: 12.0 feet
Cost rank: Average Effective age: 9 years
Cost as of: 6/92
Heating and Cooling:
Package Unit 100%
Units Cost Total
Base Cost 2,442 46.02 112,381
Heating & Cooling 2,442 7.31 17,851
Basic structure cost 2,442 53.33 130,232
Extras:
ELEC REMOTE CONTROL 4 @ 850 3,400
SUBMERGED PUMP 2 @ 800 1,600
ELEC TWIN PUMP 2 @ 5000 10,000
CONC ISLAND 36LF@ 27.75 999
TANK UNDGRD 10,000 2@ 9800 19,600
LIGHTS 2@ 840 1,685
ASPHALT 7212 SF @ 1.13 8,150
CONC 2162 SF @ 2.32 5,016
Subtotal - 50,450
Replacement Cost New 180,682
Less Depreciation:
Physical and Functional <10.0%> <18,068>
Depreciated Cost 162,613
Miscellaneous:
Land •
22,500
Total 185,113
Rounded to nearest $100 185,100
Cost data by MARSHALL and SWIFT
1
940734
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940714 '
PIN: 3241986
PROPERTY OWNER: GREAT AMERICAN LIFE INS. CO
ADDRESS: 1025 13TH STREET, GREELEY
OCCUPANCY: CONVENIENCE STORE
QUALITY OF CONSTRUCTION: AVERAGE
CONDITION: GOOD
YEAR OF CONSTRUCTION: 1981
STORE
AREA LEASABLE 2,442
RENT PER S.F. $11.00
POTENTIAL GROSS INCOME
LESS VACANCY
EFFECTIVE GROSS INCOME
LESS EXPENSES
NET OPERATING INCOME 26,862
OVERALL CAP RATE .105
ESTIMATE OF VALUE 255,828
TOTAL ESTIMATE OF VALUE 256,000
5 940734
CORRELATION AND FINAL ESTIMATE OF VALUE
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 appraisal , given the data used in this report .
A review of the value indication derived from the three approaches
employed is as follows :
COST APPROACH 185 , 100
SALES COMPARISON APPROACH 314 ,000
INCOME APPROACH 256 ,000
The Cost Approach is particularly valuable when used as an analysis
technique to recognize the effect of depreciation on a property.
Since cost is not necessarily equal to market value, the resulting
figure has been referred to as depreciated cost. The application
of the indirect methods of estimating accrued depreciation is not
necessarily equal to market value . A rate of depreciation from
all causes may be extracted from market sales when adequate data is
available to support a reasonably definitive conclusion; however
the typical convenience store amenities precluded using this
method.
Given sufficient market data, the Sales Comparison Approach tends
to be a good reflection of the marketplace . In this report,
however, it is weakened by lack of highly comparable sales and
differences between complexes .
The Income Approach was estimated using direct capitalization
rental and expense data were used, and the direct capitalization
rate were derived from sale properties sharing similar investment
characteristics . The greatest uncertainty relating to this
approach pertains to the capitalization rate selected. Since the
building is in a good location and maintained in a good condition
it would carry a lower rate of risk based to a large degree on
judgement. This weakens the Income Approach to some degree.
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Nevertheless, purchasers and sellers of investment properties place
a great deal of emphasis on the analysis of the net operating
income that an investment property is expected to generate . The
techniques used emulate the actions of the market participants and
are, thus, regarded as appropriate in the valuation of the subject
property.
In conclusion, consideration is being given to both the Sales
Comparison Approach and the Income Approach, resulting in a final
estimate of Market Value, as of June 30, 1990 as follows : THREE
HUNDRED AND FIFTEEN THOUSAND.
( $285,000)
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