HomeMy WebLinkAbout971565.tiffRESOLUTION
RE: THE BOARD OF EQUALIZATION, 1997, WELD COUNTY, COLORADO - DENY
PETITIONER'S APPEAL AND AFFIRM ASSESSOR'S VALUE
PETITION OF:
MAJORS DALE CORP
2911 GRANDVIEW DR
GREELEY, CO 80631
DESCRIPTION OF PROPERTY: PIN: R0289795 PARCEL: 095914401010 - GR 3GWP1-5
L5 THRU 8 BLK1 GATEWAY PARK FILING #3 - 1ST REPLAT
WHEREAS, the Board of County Commissioners of Weld County, Colorado, convened 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 1997, 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 1997, claiming that the property described in such petition was assessed too
high, as more specifically stated in said petition, and
WHEREAS, said petitioner 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 Weld County Board of Equalization, that the evidence presented at the
hearing clearly supported the value placed upon the Petitioner's property, after review 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:
ACTUAL VALUE
AS DETERMINED
BY ASSESSOR
Land $ 289,663
Improvements OR
Personal Property 1,010,337
TOTAL ACTUAL VALUE $ 1.300,000
971565
AS0038
RE: BOE - MAJORS DALE CORP
Page 2
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; however, said appeal
must be filed within 30 days of the denial:
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
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.
971565
AS0038
RE: BOE - MAJORS DALE CORP
Page 3
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.
The above and foregoing Resolution was, on motion duly made and seconded, adopted by
the following vote on the 31st day of July, A.D., 1997.
APPROVED AS TO FORM:
ty Attorney
BOARD OF COUNTY COMMISSIONERS
WELD OUNTY, COD/
George'E. Baxter, Chair
�6onstance L. Harbert_ rP o -'T em
D K
EXCUSED
Barbara J. Kirkmeyer
W. H. Webster
9;))A;
971565
AS0038
#atel
WliDc.
COLORADO
MAJORS DALE CORP
2911 GRANDVIEW DR
GREELEY, CO 80631
NOTICE OF ADJUSTMENT
GR 3GWP1-5 L5 THRU 8 BLK1 GATEWAY
PARK FILING #3 - 1ST REPLAT
OWNER: MAJORS DALE CORP
06/27/1997
LOG 3390
PARCEL 095914401010
ACCOUNT R0289795
YEAR 1997
OFFICE OF COUNTY ASSESSOR
1400 NORTH 17th AVE.
GREELEY, CO 80631
PHONE (970) 353-3845, EXT. 3650
The appraisal value of property is based on the appropriate consideration of the approaches to value required by law. The Assessor has determined that
your property should be included in the following category(ies):
If your concern is the amount of your property tax, local taxing authorities (county, city, fire protection, and other special districts) hold budget
hearings in the fall. Please refer to your tax bill or ask your Assessor for a listing of these districts, and plan to attend these budget hearings.
The Assessor has carefully studied all available information, giving particular attention to the specifics included on your protest and has determined the
valuation(s) assigned to your property. The reasons for this defemination of value are:
THE ACTUAL VALUATION OF YOUR PROPERTY HAS BEEN ADJUSTED BASED UPON THE
ADDITIONAL INFORMATION YOU HAVE PROVIDED.
PROPERTY CLASSIFICATION
PETITIONER'S
ESTIMATE
OF VALUE
ASSESSOR'S VALUATION
ACTUAL VALUE
PRIOR TO REVIEW
ACTUAL VALUE
AFTER REVIEW
LAND
IMPS
289663
1285337
289663
X37-.
i tit)).5,47
�k�llfl /:y"�fl.
TOTALS $ $ 1575000 $ 3iSi,.Sltae'
If you disagree with the Assessor's decision, you have the right to appeal to the County Board of Equalization for further consideration, 39-8-
106(1)(a), C.R.S. Please see the back of this form for detailed information on filing your appeal.
06/27/1997
By:
15-DPT-AR
Form PR -207-87/94
WARREN L. LASELL
WELD COUNTY ASSESSOR
DATE
ADDITIONAL INFORMATION ON REVERSE SIDE
YOU HAVE THE RIGHT TO APPEAL THE ASSESSOR'S DECISION
The County Board of Equalization will sit to hear appeals beginning July 1 and continuing through August 5 for real
property (land and buildings) and personal property (furnishings, machinery, and equipment) 39-8-104 and 39-8-
107(2), C.R.S.
APPEAL PROCEDURES:
If you choose to appeal the Assessor's decision you must appeal to the County Board of Equalization. To preserve
your right to appeal, your appeal must be POSTMARKED OR DELIVERED ON OR BEFORE JULY 15 FOR
REAL PROPERTY, AND JULY 21 FOR PERSONAL PROPERTY.
WELD COUNTY BOARD OF EQUALIZATION
915 10th Street, P.O. Box 758
Greeley, Colorado 80632
Telephone (970)356-4000 Ext. 4225
NOTIFICATION OF HEARING:
You will be notified of the time and place set for the hearing of your appeal.
COUNTY BOARD OF EOUALIZATION'S DETERMINATION:
The County Board of Equalization must make a decision on your appeal and mail you a determination within five
business days. The County Board must conclude their hearings by August 5.
TAXPAYER RIGHTS FOR FURTHER APPEALS:
If you are not satisfied with the County Board of Equalization's decision you must file within thirty days of the
County Board of Equalization's written decision with ONE of the following:
Board of Assessment Appeals (BAA):
Contact the BAA at 1313 Sherman, Room 315, Denver, Colorado 80203, (303)866-5880.
District Court:
9th Avenue and 9th Street, P.O. Box C
Greeley, Colorado 80632
Telephone (970) 356-4000, Ext. 4520
Arbitration:
WELD COUNTY BOARD OF EQUALIZATION
915 10th Street, P.O. Box 758
Greeley, Colorado 80632
Telephone (970) 356-4000, Ext. 4225
If you do not receive a determination from the County Board of Equalization, you must file an appeal with the
Board of Assessment Appeals by September 11.
TO PRESERVE YOUR APPEAL RIGHTS, YOU MUST PROVE YOU HAVE FILED A TIMELY
APPEAL; THEREFORE, WE RECOMMEND ALL CORRESPONDENCE BE MAILED WITH PROOF
OF MAILING.
PETITION TO THE COUNTY BOARD OF EQUALIZATION
In the space below, please explain why you disagree with the Assessor's valuation. IN ACCORDANCE WITH 39-
8-106(1.5), C.R.S., YOU MUST STATE YOUR OPINION OF VALUE IN TERMS OF A SPECIFIC DOLLAR
AMOUNT. Attach additional documents as necessary.
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C.B.O.E. HEARING
DATE:
TIME:
SUBJECT:
ADDRESS:
PIN:
PARCEL#:
M:\WPFILES\COMMERCL\PROTESTS\GATEWAY.97
July 31, 1997
8:30
GATEWAY SELF STORAGE
2600 36TH AVENUE, GREELEY
R0289795
0959-14-4-01-010
SUBJECT PHOTOGRAPHS
Residence/Office
Storage Units
�u ulitilluurJu ,_o.:,,_„ .....
1
GATEWAY SELF -STORAGE
SUMMARY OF FACTS
NAME: GATEWAY SELF -STORAGE
ADDRESS: 2600 36TH AVE. GREELEY, CO
LAND SIZE: 289,663 SQUARE FEET
LAND PURCHASED: 06/16/95 FOR $75,000
TAX LIENS OF SALE DATE: $311,904.87 (PAID BY BUYER)
LAND/BUILDING RATIO: 5.06 (TYPICAL 2.5 OR 142,900 SQ FT)
EXCESS LAND: 146,763 SQUARE FEET
EXCESS LAND VALUE: $146,763
GROSS BUILDING SQUARE FEET: 55,575 STORAGE UNITS
1,585 RESIDENCE/OFFICE
57,160 TOTAL
NUMBER OF STORAGE UNITS: 431
BUILT: 1995
1997 ASSESSOR'S VALUE: $1,300,000
PRICE PER SQUARE FOOT: $20.18
2
COMPARABLE LAND SALES
1
SUBJECT:
2600 36th
Ave.
Greeley, CO
Crowley/Majors
...............................
...............................
...............................
DATE Off`
6-16-95
$386,905
289,663
$1.34
2
2400 W. 29th
St.
Greeley, CO
Dayton Hudson/Iowa
Land
1-20-94
$723,366
480,473
$1.51
3
7251 W. 4th
St.
Greeley, CO
Tech. Center/EFTC
3-11-94
$250,000
222,958
$1.12
4
7251 W. 4th
St.
Greeley, CO
Tech. Center/EFTC
5-3-94
$250,000
241,665
$1.03
5
2623 35th Ave.
Greeley, CO
Greeley Gateway/
James Thomas
12-8-92
$249,800
102,993
$2.43
6
2625 35th Ave.
Greeley, CO
Greeley Gateway & D&R
Land Co./William Moreland
6-17-91
$392,000
174,031
$2.25
NOTE: SUBJECT LAND IS PRESENTLY VALUED AT $1.00 PER SQUAREFOOT
3
Subject
MINI STORAGE SALES
GROSS
≥UARE
FEET s
57,160
PRIG
SQUARE FOOT
20.18
#1
1540 Altura Blvd
Aurora, CO
11/93
990,000
30,045
32.95
#2
7700 Washington St.
Adams County, CO
12/93
1,400,000
59,300
23.61
#3
101 E. Main St.
Windsor, Co.
09/96
470,000
19,440
24.18
#4
15413 E. 18th Ave.
Aurora, CO
11/93
1,990,000
63,989
31.10
#5
6200 W. 10th St.
Greeley, CO
01/95
713,265
29,939
23.83
#6
2331 Wedgewood Ave.
Longmont, CO
03/95
2,000,000
53,409
37.45
#7
5929 S. College Ave.
Ft. Collins, CO
03/95
2,075,000
59,000
35.17
The average for all seven comparable sales is $29.75 per square foot.
4
MARKET APPROACH SUMMARY
Subject gross square feet
57,160 at $29.75 per square foot $1,700,510
Plus excess land value 146,763
Market approach value $1,847,273
Rounded To $1,847,000
SUBJECT VALUE BY THE MARKET APPROACH: $1,847,000
5
COMPARABLE SALE 1
PHOTO
PIN: PARCEL #:
PRIMARY OCCUPANCY: MINI STORAGE
OFFICE SPACE % :
2nd OCCUPANCY:
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR BLT:
EFFECTIVE AGE:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL:
WALL HEIGHT:
STORIES:
BSMT SIZE:
LAND SIZE:
LAND VALUE:
REMARKS:
1540 ALTURA BLVD. AURORA
SELF -STORAGE
11/23/93
$990,000
BOOK #:
RECEPTION #:
ALTURA STORAGE EQUITIES, LTD.
LESLIE N. JOHNSON, ETAL
1978
30,045
C
AVG
90,429
LAND/BLDG RATIO:
IMPS PRICE/PSF
SALE PRICE/PSF:
CASH DOWN:
LOAN:
INTEREST RATE:
LOAN TERM (YRS):
POINTS PAID:
MINI -STORAGE 29,295 SF; APARTMENT 750 SF.
309 UNITS.
6
3.01
$32.95
COMPARABLE SALE 2
PHOTO
PIN: PARCEL #:
PRIMARY OCCUPANCY:
OFFICE SPACE % :
2nd OCCUPANCY:
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR BLT:
EFFECTIVE AGE:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL:
WALL HEIGHT:
STORIES:
BSMT SIZE:
LAND SIZE:
LAND VALUE:
REMARKS:
MINI STORAGE
7700 WASHINGTON ST. ADAMS CO.
KANGAROO SELF -STORE -IT
12/21/93 BOOK #:
$1,400,000 RECEPTION #:
ENGLEWOOD EXCHANGE SERVICES, LTD.
LESLIE N. AND ANN S. JOHNSON
1989
59,300
C
AVG
1
145,490
LAND/BLDG RATIO:
IMPS PRICE/PSF
SALE PRICE/PSF:
CASH DOWN:
LOAN:
INTEREST RATE:
LOAN TERM (YRS):
POINTS PAID:
MINI -STORAGE 58,100 SF; OFFICE/APARTMENT 1,200 SF.
324 UNITS,
7
2.45
$23.61
$470,000
COMPARABLE SALE 3
PIN#,
1498186
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR BLT:
EFFECTIVE AGE:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL: AVG
WALL HEIGHT: 8.5
STORIES: 1
BSMT SIZE:
LAND SIZE:
LAND VALUE:
PRIMARY OCCUPANCY:
OFFICE:
2ND OCCUPANCY:
101 E. MAIN ST
09/20/96
$470,000
$467,500
W.S.S., INC.,
RUFF, CHRISTOPHER D. & CYDNEY J.
1992
1992
19,440
S
PARCEL #:
MINI WHSE
1 1/2 STORY RES.
REMARKS:
67,300
67,518
WINDSOR
BOOK #:
RECEPTION #:
LAND/BLDG RATIO:
IMPS PRICE/PSF:
SALE PRICE/PSF:
CASH DOWN:
LOAN:
INTEREST RATE:
LOAN TERM (YRS):
POINTS PAID:
80721102001
1569
2513590
3.46
$20.58
$24.05
$1,000
NEW
10.0%
20
NONE
MINI WHSE, 4-BLDGS, 124 UNITS, WITH A TOTAL GROSS SQ.
FT OF 17800; 1 1/2 STORY HOUSE BUILT IN 1920 WITH 1,640
SQ.FT. PLUS 1,080 SQ.FT. BSMT., TWO OLD FRAME SHEDS
11' X 19' & 14' X 30' HAVE LITTLE OR NO VALUE.
8
COMPARABLE SALE 4
PHOTO
PIN: PARCEL #:
PRIMARY OCCUPANCY:
OFFICE SPACE % :
2nd OCCUPANCY:
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR BLT:
EFFECTIVE AGE:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL:
WALL HEIGHT:
STORIES:
BSMT SIZE:
LAND SIZE:
LAND VALUE:
15413 E. 18 AVE.
SELF -STORAGE
11/23/93
$1,990,000
MINI STORAGE
AURORA
BOOK #:
RECEPTION #:
LESLIE N. JOHNSON ETAL
BULGROUP PROPERTIES, L. P.
1984 LAND/BLDG RATIO:
IMPS PRICE/PSF
63,989 SALE PRICE/PSF:
C CASH DOWN:
AVG LOAN:
INTEREST RATE:
1 LOAN TERM (YRS):
POINTS PAID:
203,817
REMARKS: MINI -STORAGE 62,389 SF; APARTMENT 1,600 SF.
542 UNITS.
9
3.19
$31.10
COMPARABLE SALE 5
PIN: 1984786 PARCEL U:
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR BLT:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL:
WALL HEIGHT:
STORIES:
BSMT SIZE:
LAND SIZE:
LAND VALUE:
REMARKS:
OCCUPANCY:
6200 W 10 ST
0
01/04/95
$722,800
$713,265
CURTIS W KOEHN
CECIL FARMS
1980
29,939
D
AVG
9
1
0
87,120
152,460
95909100018
WHSE MINI
GREELEY
BOOK #: 1474
RECEPTION U: 2421751
LAND/BLDG RATIO:
IMPS PRICE/PSF:
SALE PRICE/PSF:
CASH DOWN:
LOAN:
INTEREST RATE:
LOAN TERM (YRS):
POINTS PAID:
2.91
$18.73
$23.82
$472,800.
NEW
10.3%
5
1
PROPERTY WAS ACQUIRED IN EXCHANGE FOR LIKE --
KIND PROPERTY PURSUANT TO SECTION 1031 OF
THE INTERNAL REVENUE CODE. ADJUSTED PURCHASE
PRICE FOR PP. MINI WHSE 28,191 SF, OFFICE 824 SF,
APARTMENT 924 SF. 185 UNITS.
10
COMPARABLE SALE 6
PHOTO
PIN: PARCEL #:
PRIMARY OCCUPANCY: MINI STORAGE
OFFICE SPACE % :
2nd OCCUPANCY:
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR BLT:
EFFECTIVE AGE:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL:
WALL HEIGHT:
STORIES:
BSMT SIZE:
.LAND SIZE:
LAND VALUE:
REMARKS:
2331 WEDGEWOOD AVE. LONGMONT
A STORAGE DEPOT
03/16/95
$2,000,000
BOOK #:
RECEPTION #:
LONGMONT STORAGE, LTD.
STORAGE TRUST PROPERTIES, L. P.
1984 LAND/BLDG RATIO: 2.10
IMPS PRICE/PSF
53,409 SALE PRICE/PSF: $37.45
C CASH DOWN: $1,000,000
AVG LOAN:
INTEREST RATE:
1 LOAN TERM (YRS):
POINTS PAID:
111,949
MINI -STORAGE 50,595 SF; OFFICE/APARTMENT
2,814 SF. 430 UNITS.
11
COMPARABLE SALE 7
PHOTO
PIN: PARCEL #:
PRIMARY OCCUPANCY: MINI STORAGE
OFFICE SPACE % :
2nd OCCUPANCY:
ADDRESS:
PROJECT:
SALE DATE:
SALE PRICE:
ADJ SALE PRICE:
GRANTOR:
GRANTEE:
YEAR ALT:
EFFECTIVE AGE:
BLDG SIZE:
CLASS:
CONSTRUCTION-QUAL:
WALL HEIGHT:
STORIES:
BSMT SIZE:
LAND SIZE:
LAND VALUE:
REMARKS:
5929 S. COLLEGE AVENUE FORT COLLINS
KANGAROO SELF -STORE -IT
03/20/95
$2,075,000
BOOK #:
RECEPTION #:
KANGAROO, LTD.
STORAGE TRUST PROPERTIES, L. P.
1980 LAND/BLDG RATIO: 2.34
IMPS PRICE/PSF
59,000 SALE PRICE/PSF: $35.17
C CASH DOWN: $2,075,000
AVG LOAN:
INTEREST RATE:
1 LOAN TERM (YRS):
POINTS PAID:
138,283
MINI -STORAGE, 58,000 SF; OFFICE/APARTMENT, 1,000
S.F. 571 UNITS.
12
GATEWAY SELF STORAGE
Potential Gross Income
UNIT
SIZE
5x5
NUMBER
O T9
49
RENT PER
NO!
$25
—7::nrcOtagr
$14,700
5x6
6
28
2,016
5x10
80
39
37,440
10x10
117
59
82,836
10x10
Heated - 8
75
7,200
10x15
31
69
25,668
10x20
103
79
97,644
10x20
Heated - 8
110
10,560
10x25
2
105
2,520
12x25
8
130
12,480
12x30
Heated - 7
185
15,540
15x30
Heated - 12
225
32,400
Total Units 431
Gross Income $341,004
13
INCOME CAPITALIZATION AND SUMMARY
Potential Gross
Less 20% Vac. & Coll. Loss (5% Typical)
Effective Gross
Less Estimated Expenses 25% (W/O Taxes)
Net. Operating Income
Capitalization Rate 11% Plus Tax Rate 2.8%
Income Value
Plus Excess Land (146,763 S.F.)
Income Approach Value
Rounded To
341,004
- 68,201
272,803
- 68,201
204,602
13.8%
1,482,623
146,763
1,629,386
1,629,000
SUBJECT VALUE ESTIMATED BY THE INCOME APPROACH: $1,629,000
14
VALUE INDICATIONS
SALE COMPARISON APPROACH:
INCOME APPROACH:
ASSESSOR'S 1997 VALUE:
15
$1,847,000
$1,629,000
$1,300,000
CERTIFIED PUBLIC
July 30, 1997
PARTNERS
John C. Dollarhide
Michael J. Frick
Susan A. Gapter
Nicholas G. Kosmicki
Marcia L. Siebring
To the Board of Commissioners
Weld County Colorado
Dear Ladies and Gentlemen:
We have been asked by Dale Majors to comment on the appraisal of Gateway Self Storage by the
assessors office.
Generally there are three methods to use when appraising a property. They are the income method,
the cost method and the comparable value method. The income method discounts the cash flow
generated by the property. The cost method uses actual cost, if recently built, or replacement cost,
if the property is older. The comparable value method uses recent sales of similar properties to
estimate the value.
It has been our experience that for property tax valuation purposes, the county assessor used the
lowest of the three if all three produce a reasonable value.
Since this facility is new, there are no comparable units because any other units sold would have
been at or near full occupancy. To use this method would be unreasonable since a facility at or near
capacity would not be comparable to a start-up business at 30% to 50% capacity.
The cash flow method would produce an extremely low valuation since the units are only 30% to
50% occupied. Here we have a situation that is the other extreme, a valuation that would not
represent the current value.
The only reasonable basis to value the property would be cost. In this case, the cost is $1,160,000
which includes $527,000 for land and land improvements and $633,000 for the storage units.
Any valuation above the $1,160,000 would be inconsistent with other business valuations and
counter productive to assist new businesses to get started in Weld County.
If you have any questions, we are available to answer them.
Sincerely,
John C. Dollarhide, C.P.A.
1901 56th Avenue / Greeley, CO 80634-2946 / 970-330-8860 / Denver 303-825-1752 / Fax 970-330-6680
REASONS FOR REQUESTING REVIEW
FOR 2600 36TH AVENUE
JULY 31, 1997
1. For 1996 the assessor chose to use the income method to assess this property
even though the construction was not totally finished on January 1, 1996. At
that time we had $71,797 in the residence and $621,712 in the storage buildings.
The assessors method showed a gross income in 1996 of $341,004, a net operating
income of $207,330 with an income approach value of $1,474,000. The actual
gross income for 1996 was $109,718 with a net operating loss of $6,412. This
of course does not include any interest or depreciation which the assessor
does not count as an expense.
2. For 1997 the assessor again uses the income potential as the method of evaluation.
This time he shows a potential gross income of $341,004 with a net operating
income of $217,390 and with an income approach value of $1,575,000. As of
June 30, 1997 our gross income is $88,986. We estimate a 1997 gross of
$184,986 and a net operating income of $41,298. Again this does not
include interest or depreciation but it does include $34,237 for 1996
property taxes. As you can see our property tax was almost as much as
our so called net operating income.
3. I paid $75,000 for this land in 1995. Right now approximately 1/2 of it
is vacant and undeveloped. Total cost of the residence completed in 1997
was $79,197 and total cost of the storage buildings including all other
improvements was $704,050.
THIS PROPERTY SHOULD NOT BE ASSESSED FOR MORE THAN
$858,000.
I feel that part of the problem here is that the assessor does not understand
that storage buildings are not the same as warehouses. They cost much less
than warehouse steel buildings because they are normally lower in height,
they are not equipped with electricity, no plumbing, normally no heating
or insulation so they cost much less to build. They should not be treated
as warehouses.
Current building
are as follows:
EZ Self Storage
American
King
Stor Mor
Westmoor
evaluations for other storage facilities in the Greeley area
14,452 sf $241,382
60,327 sf $1,009,450
35,910 sf $457,409
26,340 sf $373,905
52,268 sf $1,055,918
equates to $16.70 sf
equates to $16.73 sf
equates to $12.73 sf
equates to $14.19 sf
equates to $20.20 sf
(This building is constructed of more expensive block and stone)
Stuff -It
Secure
Rite Place
16,479 sf $248,503 equates to $15.07 sf
32,300 sf $408,829 equates to $12.65 sf
40,519 sf $508,726 equates to $12.55 sf
Average evaluation for buildings are: $15.10 sf
WHY SHOULD OUR EVALUATION BE $23.72 PER SQ. FT?
AT THE END OF 1996 OUR OCCUPANCY WAS ONLY 42%.
WE DON'T EXPECT TO BE ANYWHERE NEAR CAPACITY THIS
YEAR.
REASONS FOR REQUESTING REVIEW
FOR 2600 36TH AVENUE
JULY 31, 1997
1. For 1996 the assessor chose to use the income method to assess this property
even though the construction was not totally finished on January 1, 1996. At
that time we had $71,797 in the residence and $621,712 in the storage buildings.
The assessors method showed a gross income in 1996 of $341,004, a net operating
income of $207,330 with an income approach value of $1,474,000. The actual
gross income for 1996 was $109,718 with a net operating loss of $6,412. This
of course does not include any interest or depreciation which the assessor
does not count as an expense.
2. For 1997 the assessor again uses the income potential as the method of evaluation.
This time he shows a potential gross income of $341,004 with a net operating
income of $217,390 and with an income approach value of $1,575,000. As of
June 30, 1997 our gross income is $88,986. We estimate a 1997 gross of
$184,986 and a net operating income of $41,298. Again this does not
include interest or depreciation but it does include $34,237 for 1996
property taxes. As you can see our property tax was almost as much as
our so called net operating income.
3. I paid $75,000 for this land in 1995. Right now approximately 1/2 of it
is vacant and undeveloped. Total cost of the residence completed in 1997
was $79,197 and total cost of the storage buildings including all other
improvements was $704,050.
THIS PROPERTY SHOULD NOT BE ASSESSED FOR MORE THAN
$858,000.
4. I feel that part of the problem here is that the assessor does not understand
that storage buildings are not the same as warehouses. They cost much less
than warehouse steel buildings because they are normally lower in height,
they are not equipped with electricity, no plumbing, normally no heating
or insulation so they cost much less to build. They should not be treated
as warehouses.
5. Current building evaluations for other storage facilities in the Greeley area
are as follows:
EZ Self Storage 14,452 sf $241,382 equates to $16.70 sf
American 60,327 sf $1,009,450 equates to $16.73 sf
King 35,910 sf $457,409 equates to $12.73 sf
Stor Mor 26,340 sf $373,905 equates to $14.19 sf
Westmoor 52,268 sf $1,055,918 equates to $20.20 sf
(This building is constructed of more expensive block and stone)
Stuff -It
Secure
Rite Place
16,479 sf $248,503 equates to $15.07 sf
32,300 sf $408,829 equates to $12.65 sf
40,519 sf $508,726 equates to $12.55 sf
Average evaluation for buildings are: $15.10 sf
WHY SHOULD OUR EVALUATION BE $23.72 PER SQ. FT?
AT THE END OF 1996 OUR OCCUPANCY WAS ONLY 42%.
WE DON'T EXPECT TO BE ANYWHERE NEAR CAPACITY THIS
YEAR
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COLORADO
July 16, 1997
MAJORS DALE CORP
2911 GRANDVIEW DR
GREELEY, CO 80631
Dear Petitioner(s):
CLERK TO THE BOARD
PHONE (970) 356-4000 EXT.4225
FAX: (970) 352-0242
915 10TH STREET
P.O. BOX 758
GREELEY, COLORADO 80632
Parcel No.: 095914401010 PIN No.: R0289795
The Weld County Board of Equalization has set a date of Thursday, July 31, 1997, at or about the
hour of 8:30 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. A number of hearings have been scheduled at this time; peitioners will be asked to sign in
with the Clerk upon arrival, and cases will be heard on a first come / first heard basis.
You have a right to attend this hearing and present evidence to the Board in support of your
petition. The Weld County Assessor or his representative will be present. The Board will make its
decision on the basis of the record made at said 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, 1997,
and mailed to you on or before August 10, 1997.
Because of the volume of cases before the Board of Equalization, all cases shall be limited to 15
minutes, of which you will be allowed 10 minutes for your presentation. 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.
MAJORS DALE CORP - R0289795
Page 2
At least two (2) working days prior to your hearing the Assessor will have available, at your request,
the data supporting his valuation of your 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,
BOARD OF EQUALIZATION
Donald D. Warden,
Clerk to the Board
BY:
Carol A. Harding
Deputy Clerk to the Board
cc: Warren Lasell, Assessor
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