Loading...
HomeMy WebLinkAbout20202004RESOLUTION RE: APPROVE PETITION FOR ABATEMENT OR REFUND OF TAXES FOR ACCOUNT NUMBER R3914405 - NAPOCTR, 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, the Board of County Commissioners of Weld County, State of Colorado, at a duly and lawfully called regular meeting held on the 8th day of July, 2020, at which meeting there were present the following members: Chair Mike Freeman, and Commissioners Steve Moreno and Barbara Kirkmeyer, with Commissioners Scott K. James and Kevin D. Ross not being present, 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, Brenda Dones, being present, and taxpayer, Napoctr, LLC, being represented by DYCO Diversified, Inc., not being present, and WHEREAS, the Board of County Commissioners has carefully considered the attached petition, and is 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, approved, and an abatement or refund be allowed as follows: CORRECTION TO ASSESSED VALUATION ABATEMENT OR REFUND TAX YEAR $194,300.00 $19,645.93 2019 cc: Gt5RCO/Jtll/ OK(LL), CCICtKm),O.PPLIckPPL REP O8 -f P-7 / ao 2020-2004 AS0105 TAX ABATEMENT PETITION — NAPOCTR, LLC PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 8th day of July, A.D., 2020. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO ATTEST: didelL x :4 Weld County Clerk to the Board Date of signature: 01101V90 TclAik Mike Freeman, Chair Steve Moreno, Pro -Tern ara Kirkmeye Kevin D. Ross 2020-2004 AS0105 - .( to - ( ), ( ) -� GG PETITION FOR ABATEMENT OR REFUND OF TAXES County. Weld Date Received Section I: Petitioner, please complete Section I only. Date 03/20/2020 Month Day Y=-:;- Petitioner s Name Napoctr Lic Petitioner's Mailing Address 1625 Pelican Lakes Point (Use Assessors or Commists MAR 2 0 2020 WELD COUNTY ASSESSOR G4; LLLY, COLORAJO t roft# Windsor co RECEIVED City or Town Sate Zip Code SCHEDULE OR PARCEL NUMBER(S1 PROPERTY ADDRESS OR LEGAL DESCRIPTION OF PROPERTY R3914405 1353 Water Valley Parkway Windsor. CO JUN26 2020 WELD COUNTY COMMISSIONERS Petitioner requests an abatement or refund of the appropriate taxes and states that the assessed against the, above property for the property tax year 2019 are incorrect for the followin• asons: (Briefly describe the taxes have been levied erroneously or illegally whether due to erroneous v- •ation, irregularity in levying. clerical error or overvaluation. Attach additional sheets if necessary.) , See attached broker opinion of value (BOV) Petitioner's estimate of value: 5670.000 2019 Value Year I declare, under penalty of perjury in the second degree, that this petition, togeth . .th any accom ng or statements. has been prepared -or examined by me, and to the best of my knowledge, :rma f. is true, correct, and, cornplejo= r • 4es Signature Daytime Phone Number I Letter ?f agency with BOV By Daytime Phone Number ( 3038196805 Agent's Signature' 'Letter of agency must be attached when petition is submitted by an agent. It the Board of County Commissoners pursuant to § 39-10-1 l4(1 ) C.R S.. or the Properly Tax Administrator pursuant to § 39-2-118. G.R.S.. 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 § 39-2-125 C R S.. within thirty days of the entry of any such decision. § 39-10-114.5(1) C R S. Section II: Original Corrected Abate/Refund Actual $1,200,000 $670,000 Tax Year Assessor's Recommendation (For Assessor's Use Only) 2019 Assessed Tax $348,000 $44,481.36 $194,300 $24,835.43 rn $530,000 C') 27.1 a O If the request for abatement is based :ipon the grounds of overvaluation no abatement or refund of taxes snail be made if an objection Opoirotest to such valuation has been filed and a Notice of Determination has been mailed to the taxpayer. § 39.10-114(1)(a)(I)(D). C R S. �7 O Tax year; 2019 Protest? ® No ❑ Yes (If a protest was filed, please attach a copy of the NOD.) $153,700 $19,645.93 Assessor recommends approval as outlined above. Assessor recommends denial for the following reason(s): • IS -DPI -AR No 9211.88/11 FOR ASSESSORS AND COUNTY COMMISSIONERS USE ONLY (Section III pj Section IV must be completed) Every petition for abatement or refund filed pursuant to § 39-10-114 C.R.S. snail be acted upon pursuant to the provisions of this section by the Board of County Commissioners or the Assessor as apprepiate 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 $10,000) The Commissioners of County authorize the Assessor by Resolution No to review petitions for abatement or refund and to settle by written mutual agreement any such petition for abatement or refund in an amount of S10 000 or less per tract parcel. or lot of land or per schedule of personal property. in accordance with § 39-1-113(1.5), C.R.S. The Assessor and Petitioner mutually agree to the values and tax abatement/refund of: Tax Year Actud( Original Corrected Abste&Refund Assessed Tax Note The total tax amount noes not include accrued interest penalties and tees associated with late and:or delinquent tax payments if applicable Please contact the County Treasurer for full payment information Petitioner's Signature Date Assessor's or Deputy Assessor's Signature Date Section IV: Decision of the County Commissioners' (Must be completed If Section Ill does not apply) WHEREAS. the County Commissioners of Cohn . State of Colorado. at a duly and lawfully called regular meeting held on I ! . at which meet) there were present the following members. Month Day Year with notice of such meeting and an opportunity to be pre : nt having been given to the Petitioner and the Assessor of said County and Assessor / (being present —not present) and ame Petitioner (being present-notpresent). and WHEREAS, the said Name County Commissioners have carefully cons sered the within petition. and are fully advised in relation thereto NOW BE IT RESOLVED that the Board (agrees --does not agree) with the recommendation of the Assessor. and that the petition be (approved--a$roved in part --denied) with an abatementirefund as follows Year Assessed Value /Taxes Abate'Refurd Chairperson of the Board of County Commissioners' Signature 1, County Clerk and Ex -Officio Clerk of the Board of County Commissioners in and for the afor entioned county. do hereby certify that the above and foregoing order is truly copied from the record of the pr eedings of the Board of County Commissioners. IN WITNE 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 S10.000 per schedue. per year. must be submitted in duplicate to the Properly Tax Administrator for review. Section V: Action of the Property Tax Administrator (For all abatements greater than $10,000) The aplion of the Board of County Comml sioners, r- ative • this petition, is hereby pproved ❑ Approved in part $ IS -DPI -AR No. 920-66/11 De ni e e j the folio n • reason(s). —?eis r Abatement of 2019 Real Estate Taxes and Appeal of 2020 Ad Valorem Value For Hoser Carwash at 1353 Water Valley Parkway Windsor, CO Assessor ID: R3914405 Owner: Napoctr Llc Prepared for Weld County Board of Board of County Commissioners and Assessor Prepared by DYCO Diversified Inc. 795 McIntyre Street, Suite 205 Golden, CO 80401 Diversified, Inc 795 McIntyre Street, Suite 205 Golden, CO 80401 303-810-6805 Weld County Board of County Commissioners c/o County Assessor 1400 N. 17th Avenue Greeley, CO 80631 March 19, 2020 RE: Abatement of 2019 Real Estate Taxes and Appeal of 2020 Ad Valorem Valuation for Hoser Carwash at 1353 Water Valley Parkway Windsor, CO R3914405 Owned by Napoctr LIc Dear Board Members: This report is a Broker Opinion of Value as defined by the Colorado Division of Real Estate. I am not acting as an appraiser. I do not and have not undertaken any appraisal assignments since 2007. I am acting as a tax consultant relying upon skills and knowledge developed during a long and varied real estate career including, but not limited to real estate sales and leasing brokerage, and real estate redevelopment and repositioning. Much of the formal education relied upon for this assignment will include, but not be limited to, that required to become a CCIM and real estate broker. This report contains my broker's price opinion and is not intended to comply with any USPAP requirements. The term "Value" is used throughout this report to mean Actual Value for Ad Valorem tax purposes. It is used to be synonymous with price. The subject property is a self -serve carwash in the Water Valley Village neighborhood shopping center in Windsor, CO. As this report will show, I believe the market value on the statutory valuation date of June 30, 2018, for the 2019 and 2020 ad valorem valuation was $670,000. Indication of Value "As Is" Six Hundred Seventy Thousand Dollars $670,000 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 3 OF 14 Property Overview Physical Description As descnbed earlier and shown in the following picture, the property is in the Water Valley Village retail center at the southeast corner of Eastman Park Dnve and US Highway 257, aka CR 19 The subject site is in the rear or at the south end of the center It fronts Highway 257, but the center and the subject property have no direct access to/from US 257 Traffic counts in 2018 for Eastman Drive were 9,011 and for US 257 south of Eastman were similar There is no suburban density type residential development east of US 287 and to the southwest much of the land is a golf course and related lakes Population within a one mile radius was only 4,915 people or 1,814 households Multiplying households by two automobiles per household results in potentially only 3,628 vehicles for washes Assuming only one vehicle is washed very week the math for revenue is not good A.. Woy Wash and Windsor Valley wash are competitors on the primary commuting thoroughfare to major employment and neighborhood shopping centers r Jjs r-71"--:'` �qc ����arF'�❑ s.'r�.it��'�; �.a� Few wash consumers 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 4 OF 14 The subject piroperty (below) is a 5,011 -square foot (per assessor records), six bay, self-service car wash built in 2006 and categorized as good quality and condition Transaction History Below is a chart of the ownership transfers during the past decade The property was originally developed by Water Bucket LLC on leased land owned by Trollco, an entity of the Water Valley development group The sale in 2008 is reportedly the leasehold improvement owners buying the land's fee simple interest Thereafter the property reportedly sold as a total fee simple interest The 2012 transfer from Water Bucket LLC to MC Investments is some sort of a deed -in -lieu of foreclosure to MC Investments The reported first arm's length sale of the complete asset's fee simple interest occurs in 2013 when MC Investments sold to Water Works Investments at $400,000 Water Works Investments is not a car -wash operating entity and saw an opportunity for a quick profit Terms of the sale are unknown but based on the amount of leverage given for the first lien I would suspect there is "more to this story", particularly since the deed was a Grant deed and not Special or General Warranty deed The second arm's length sale to Rowleys in 2013 was at $500,000 It too shows 100% financing and so must have some unusual deal terms What is relevant to know is that Kevin Rowley's six years of operating history did not result in sufficient profit to continue operatings Even offenng detail services plus carwashes he could not make the property provide a reasonable return to him Consequently, Mr Rowley transferred it back to the prior owner who took title as NAPOCTR This must have effectively been a deed -in -lieu of foreclosure Of all the transfers, the two arm's length transactions potentially have atypical deals terms impacting their reliability None are indication of market value for the entire property, land and improvements - t.. -. * -'=•err_ ��.- %.'.' •— ' Date -'• `,Buyer's- , , , ,.✓..4-4.-..k Y. r,:4.; -L .a•.,:,..4• .. .-. —..—::. ,_ .,.•Y.--` "' •Seller' •,;••-• ,•, K;rs' ;;._:.. v't--r--• •'price, -- -- „Deed 1 02/11/08 Water Bucket LLC Trollco Inc $250,000 Warranty 2 5/22/12 MC Invstmnts Water Bucket LLC $0 PTD 3 01/02/13 Water Wks' MC Invstmnt $400,000 Grant 4 9/27/13 Rowleys Auto Detailing Water Wks* $500,000 SWD 5 5/09/19 NAPOCTR* Rowleys $442,000 Grant 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 5 OF 14 Economic History The number of ownership changes show the property has never been financially feasible. The most recent owner -operator, Kevin Rowley, changed some equipment including the point of sale devices to allow credit card purchases. He was able to improve sales but not enough to make a reasonable return. The following table shows the revenue remained poor. The fact that three owner operators have been unable to make the property work shows it is not operator specific but poorly sited real estate. Hoser s Category Carwash - Profit and 2018 Loss Summary 2017 2016 Gross Profit/Sales $195,459 $135,500 $94,450 Expense * (Exl depreciation and "rent expense") $119,020 $113,129 $93,385 Net Ordinary Income (EBITDAR) $76,439 $22,371 $1,065 * Expense detail may be found in attached P&L statements Valuation Sales Comparison Approach This valuation method is the least useful of the two provided because physical and economic differences between properties cannot realistically be adjusted. EBITDAR amounts ultimately shows the impacts of competition, household density and incomes, daytime employment, access, visibility, and traffic count but to compare EBITDAR makes this approach dependent on the Income Approach. This value method does show a market for self-service car wash property and at what price points. It supports the Income Approach conclusion. The Unit Method of Comparison, specifically price per wash bay is best suited for carwash valuation. This is the income generating unit of measure is therefore also the best method of comparison. The following table is a summary of eight self -serve carwash property sales. They show a wide array of prices per bay that are neither tied to age nor number of automatic bays. This goes to my earlier comment that comparison is particularly difficult and knowing which physical elements matter most is impossible. If it were the summary of sales would not include three OREO sales of mid -2000s constructed facilities in an expanding economy. Apparently even carwash owner -operators cannot easily determine the critical location characteristics for maximum feasibility. The sales show investors will pay between $50,000 and $525,000 per bay, making total investments as little as $240,000 to as much as $2,626,000. Interestingly enough, the three OREO sales were design and age similar properties to the subject and show ad valorem actual values from $675,000 ($112k per bay) to $870,000 ($145k per bay) supporting the following subject value estimate of $670,000 ($112k per bay) from the following Income Approach. The subject property seems to be in this category of mid -2000, five to six bay, northern Colorado, self -serve carwashes that did not work. Consequently their worth is far less than their original cost and subsequent sales based on their economic value (EBITDAR multiplier). Their resulting prices are from $675,000 to $870,000. 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 6 Of 14 Address 140 Bunyan Ave, Berthoud, CO Descrip. 2,498 SF 4 wand bays; 1 automatic bay Sale Date 5/2017 Sale Price $238,500 Price Per Bay $47,700 Comments Listed for 1.2 yrs at $399,900 YOC 1985 505 S Taft Hill Rd, Ft. Collins, CO 1,936 SF 4 wand bays 2/2017 $390,000 $97,500 YOC 1960 1003 E. Eisenhower Blvd, Loveland, CO 3,200 SF 3 wand bays; 2 automatic bays 11/2018 $850,000 $170,000 Listed at $1.1M. YOC 2008 Sold for $905K 12/2014 4221 JFK Pkwy, Ft. Collins, CO 3,584 SF 4 wand bays; 2 automatic bays 11/2017 $1,400,000 $234,000 OREO sale YOC 2002 Assessor Actual Value $750,000 ($125k/bay) 3614 Manhattan Ave, Ft. Collins, CO 4,148 SF 4 wand bays; 2 automatic bays 11/2017 $600,000 $100,000 OREO sale YOC 2005 Assessor Actual Value $870,000 ($145k/bay) 2102 Midpoint Or, Ft. Collins, CO 3,887 SF 4 wand bays; 2 automatic bays 8/2016 $675,000 $112,500 OREO sale YOC 2004 Assessor Actual Value $675,000 ($112k/bay) 6620 W 10th St, Greeley, CO 3,876 SF 4 wand bays; 2 automatic bays 01/2017 $1,275,000 $212,500 $191,850 EBITDAR Compared to subject property EBITDAR it is 2.4X more valuable 18690 E Iliff Ave, Aurora, CO 3,324 SF 3 wand bays; 2 automatic bays 11/2018 $2,626,000 $525,200 $320,897 EBITDAR Compared to subject property EBITDAR it is 4X more valuable Income Approach Capitalization of potential income is a reflection of the how owner -operators value carwash property. With a history of struggling to be feasible, gross sales projections using location demographics and/or drive -by traffic capture rate analyses seems to have failed for all prior owner operators. They obviously had projections of much better numbers than were achieved. Frequently operators are not particularly savvy and rely on projections from equipment and supplies sellers, or simply cannot identify the key location criteria. 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 7 OF 14 Were the property to be sold on the statutory valuation date, a prospective purchaser would consider the historic operating information summarized in the Economic History section and attached to the end of this report. Using that information I provide the following projection. Category Projection Rationale Gross Profit/Sales $200,000 Use highest amount generated and round up Expense (Excl depreciation) $120,000 Use highest amount and round up. Operating costs have risen each year, but stabilizing for the past two years. Net Ordinary Income (EBITDAR) $80,000 Consistent with the 2018 actual NOI of $76,439 Capitalization rate data that follows shows an 11% rate is reasonable for the subject property. I note that the data below is a combination of information from a 2014 carwash appraisal, several more recent sales, and EBITDAR multiples from a recent carwash appraisal. Below is a sale from a 2014 appraisal of the carwash at 2941 Garfield Avenue, Loveland, CO. It is dated, but carwash capitalization rates have not changed dramatically since then. Although self -serve wand and automatic bays wash rates should have declined as the economic expansion matured, they are becoming less desirable as express washes replace them for convenience and price. Consequently, wand wash capitalization rates are not declining. The buyer pool is shrinking. Address 1050 S. Cherry St., Glendale, CO Sale Date 12/2013 Size Capitalization Comments Rate 2,600 SF 6 wand bays 13.6% Built 1978 in densely populated apartment neigh. List price $699,000 Self -serve car -wash sales with capitalization rates and within or near the base period are below. Address 6620 W 10th St, Greeley, CO Sale Date 01/2017 Size 3,876 SF 4 wand bays; 2 automatic bays Capitalization Rate 15.3% Comments Built 2007 in neigh shop ctr. List price reduction $2.2M to $1.5M-12.79% cap on $191,850 EBITDAR 389 E. Wolfensberger Rd, Castle Rock, CO 5/2018 3,360 SF 8 wand bays 10.6% Built 1984 adj. to neigh commercial $116,160 EBITDAR 18690 E Iliff Ave, Aurora, CO 11/2018 3,324 SF 3 wand bays; 2 automatic bays 12.22% Built 2006 in neigh ctr., adj to apts $320,897 EBITDAR Listed May 2018; In contract 8/2018 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 8 OF 14 A recent carwash appraisal by Hopkins Appraisal Services, a national carwash and C-store/gas station appraisal company shows the following chart of EBITDAR Multiples. Inverting an EBITDAR multiplier converts it to a capitalization rate. The EBITDAR range of 6.85 to 15.74 is equivalent to capitalization rates of 6.4 to 14.6%. The median multiplier is 9.94 or equivalent to a 10.1 capitalization rate. The subject property is inferior to an average property and so a capitalization rate greater than 10.1% would be expected. Comp Comp No. ID # Improved Comparables - EBITDAR Multiples Year Year Sale Built Reno. Date EBITDAR Sale Price EBITDAR Mutt. Sub. 103199 2020 N/A N/A $769,600 N/A N/A 1 12411.1 2010 N/A Dec -19 $300,047 $2,600,000 8.67 2 4563.2 2010 N/A Dec -16 $377,563 $3,950,000 10,46 3 11773.1 2013 N/A Oct -19 $576,393 $5,300,000 9.20 4 5322.1 2007 Sep -18 $293,150 $2,600,000 8.87 5 7270.1 2006 N/A Nov -18 $205,853 $2,100,000 10.20 6 4566.2 2007 N/A Jan -18 $462,694 $4,600,000 9.94 7 10860.1 2016 Unknown Jul -19 $649,467 $5,800,000 8.93 8 10230.1 2013 N/A Jul -19 $421,698 $4,400,000 10.43 9 4489.2 2008 N/A Nov -18 $518,099 $3,550,000 6.85 10 11831.1 2018 N/A Oct -19 $325,987 $3,500,000 10.74 11 12393.1 2003 2019 Dec -19 $264,380 $3,000,000 11.35 12 7021.1 2013 Unknown Dec -18 $764,422 $6,750,000 8.83 13 4596.2 2005 Unknown Aug -16 $443,669 $4,350,000 9.80 14 4558.2 1985 2009 Oct -17 $398,817 $4,000,000 10.03 15 12413.1 2017 N/A Dec -19 $203,258 $3,200,000 15.74 Historic and base period carwash sales previously shown, as well as the investor comments combined with the subject property's evidence of operating challenges indicates a capitalization rate of 12% is reasonable. Using a 12% capitalization rate the property value is $666,667 ($80,000 EBITDAR or NOI + 12% cap); rounded to $670,000. Highest and best use is not yet to demolish the property, but the improvements clearly have significant external and likely functional obsolescence. The improvements are not well located and on the date of value many consumers were switching to express washes. 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 9 OF 14 In my opinion, the value of the subject property, as indicated by the Sales and Income, as of June 30, 2018, was $670,000. Indication of Value 'As Is" Six Hundred Seventy Thousand Dollars $670,000 Sincerely, DYCO Diversified Inc. A. Mark Dyson, CCIM Licensed real estate broker 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 10 OF 14 LETTER OF AGENCY Date 08/22/19 Name of Party with Standing: Napoctr Lic Address of Property Owner: 1625 Pelican Lakes Point, Windsor, CO Telephone Number of Owner: 970.686.5828 Email Address of Owner: CLind@watervallev.com Name of agent authorized to pursue property tax valuations for Owner:_ Mark Dyson Address of Agent: 795 McIntyre Street, Suite 205, Golden, CO 80401 Telephone Number of Agent 303-810-6805 Email Address of Agent: mark.dvsone,comcast.net Party with Standing hereby gives authority to person or entity listed above to pursue property tax abatements. If Party with Standing is an entity, the person whose signature appears below hereby verif that he/she has the authority to act on behalf of the entity. This agency is for the specific tax year(s): 2019 & 2020 This agency is for the specific property: Property at 1353 Water Valley Parkway, Windsor, CO Signature of Party. wrrilF�tanding 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 11 OF 14 A. Mark Dyson, CCIM, MAI, AI-GRS, AI-RRS Experience 2007 -Present DYCO Diversified, Inc., Denver, CO; President, responsible for real estate appraisal review and commercial real estate tax abatement and appeal services. 1991-2007 DYCO Real Estate, Inc., Denver, CO; President, Until company sale in 2007, responsible for overseeing all appraisal and feasibility assignments, and real estate investment consultation. 1990-1991 Equitable Real Estate Investment Management, Denver, CO; Assistant Director responsible for equity and mortgage portfolio valuation. 1987-1990 Van Court and Company, Denver, CO; Associate appraiser involved in the appraisal and/or consulting of existing or proposed properties. Memberships, Designations and Awards Member, Appraisal Institute-MAI since 1992; Al-GRS (general appraisal review) since 2014 Member, Colorado Chapter 22, Appraisal Institute (since 1990) Member, Commercial Investment Real Estate Institute (CCIM since 1998) Certified General Appraiser, State of Arizona 32019 Certified General Appraiser, State of Colorado 1313324 Independent Broker, State of Colorado 1328371 Real Estate Courses Completed All necessary for obtaining CCIM, MAI and broker and appraiser licenses Expert Witness Work Testified or deposed in over 40 cases (trial and deposition log available upon request) Education Masters of Finance, University of Colorado, 1990 Bachelors of Business Administration, University of Oklahoma, 1984 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 12 OF 14 10:49 AM 07128,19 Accrual Basis Hoser's CarWash Profit & Loss January through December 2018 Page 1 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 13 OF 14 9:24 AM 011/23/19 Accrual Basle Hosmr's CarWash Profit & Loss January through December 2017 P.9.1 1353 WATER VALLEY PARKWAY, WINDSOR, CO 2019 TAX ABATEMENT AND 2020 TAX APPEAL PAGE 14 OF 14 9:24 AM 05123Ma Accrual Basis Hoses CarWash Profit 8 Loss January through Dscambar 2016 6/17/2020 Attn: Brenda Dones RE: 2019 Abatement received 3/20/2020 R3914405 Napoctr LLC 1353 Water Valley Pkwy Windsor, CO 2019 Assessors Value $1,200,000.00 or $200,000 per bay SUBJECT: The subject property is located near the intersection of Highway 257 and Eastman Parkway with visibility from 257 in Windsor. The property contains 32,843 square feet or .754 acres of land. The subject is improved with a 5,011 square foot car wash. The improvements were built in 2006, 4 self-service and 1 automatic car bay, 1 detail bay, a waiting room and heated equipment room. There is approximately 16,000 square feet of asphalt drive and parking. This property was valued as a 6 bay car wash, but after discussions with the tax agent, it has come to our attention that the subject has one non-functioning automatic bay and the building needs a commercial water tap to replace the existing residential tap currently in place. The Assessor's office was told the cost to cure the water tap would be $135,000. Cost Approach: The subject's land has 32,854 sq. ft. and is valued at $3.75 per sq. ft. for a total of $123,308. Marshall & Swifts estimate of reconstruction costs as follows: RCN $654,748 Depr 26% -$170,235 RCNLD $484,513 LAND $123,308 TOTAL $607,821 or $101,303 per bay (built as 6 bays) Market Approach: Comp 1— 2101 Midpoint Dr., Fort Collins, 4,125 sq. ft., 6 bay car wash that sold 8/22/2016 for $659,800 or $109,967 per bay. Less cost to cure of $135,000 creates an adjusted sale price of $524,800 or $87,467 per bay. Comp 2 -1005 39th Ave., Greeley, 4,125 sq. ft., 8 bay car wash that sold 9/25/2017 for $1,640,000 or $205,000 per bay. Less cost to cure of $135,000 creates an adjusted sale price of $1,505,000 or $188,125 per bay. Comp 3 —1003 E Eisenhower Blvd, Loveland. 3,136 sq. ft., 5 bay car wash that sold 2/11/2018 for $850,000 or $170,000 per bay. Less cost to cure of $135,000 creates an adjusted sale price of $715,000 or $143,000 per bay. By adjusting the sales price with the cost to cure, the median price per bay is $143,000, the mean is $139,530. Income Approach: The Assessor's office was supplied with 3 years of actual income. The average of the three years revenue was $141,803.00 and the average of 3 years of expenses was 45%, along with 3% percent for management and 5% for reserves this creates a NOI of $66,647.41. By using and effective cap rate of 0.137 this creates an income value of $486,237 or $97,247 per 5 functional bays. Reconciliation and Summary: After considering all three approaches and discussions with the owners Tax Appeal representative, an agreed reduction in valuation to $670,000 or $134,000 per bay (based on 5 functioning bays) was considered reasonable with the current functional obsolescence. Photos & Sketch Front view Sketch EJ.__Vacuum Island 31.7 !D 172 Automatic Bay Radian 1711 Detail Bay I Heat Weilbsreite 2252 sr EGu -cra Spec* H e:4 b i3 Vacuum Island u 632 Troth Faxlcome 343 Ia lien 103 N41wna Ares 152 167 Self Service Bays 160 Herd FAAAC 6.7 `J 172 633 Car Wash First FloorEOl1 1 SF Built 2005 4.7' 6/29/2020 Property Report wno Weld County PROPERTY PORTAL Property Information (970) 400-3650 Technical Support (970) 400-4357 Account: R3914405 June 29, 2020 Account Information Account Parcel Space Type Account Tax Year Buildings � Actual Value Assessed Value R3914405 080728152003 Commercial 2020 1 670.000 194.300 Legal WIN 13WV L3 WATER VALLEY 13TH FG Subdivision Block Lot r Land Economic Area WATER FG VALLEY SUB 13TH WATER FILING VALLEY SUB 13TH Property Address Property City Zip Section Township Range 1353 VALLEY WATER PKWY WINDSOR 28 06 67 Owner(s) Account Owner Name Address R3914405 NAPOCTR LLC 1625 805506236 PELICAN LAKES PT WINDSOR. CO Document History https://propertyreport.co.weld.co.us/?account=R3914405 1/6 6/29/2020 Property Report Reception Rec Date Type Grantor Grantee Doc Fee Sale Date Sale Price 3316426 SUB SUBDIVISION WAT VALLEY FG E R 13TH 0.00 0 3332264 10-17-2005 QCN SIGNATURE BANK & TROLLCO INC I 0.00 09-12-2005 0 3534395 02-11-2008 SWD TROLLCO INC WATER BUCKET LLC 25.00 02-07-2008 250.000 3847537 05-22-2012 PTD THE BUCKET WATER LLC INVESTMENTS MC LLC 0.00 05-21-2012 0 3899923 01-02-2013 WD INVESTMENTS M LLC C INVESTMENTS WATER WORKS LLC 40.00 12-31-2012 400,000 3966782 09-27-2013 SWD INVESTMENTS WATER WORKS LLC ROWLEYS AUTO DETAILING LLC 50.00 09-25-2013 500,000 4488085 05-09-2019 WD ROWLEYS AUTO DETAILING LLC NAPOCTR LLC 44.20 05-08-2019 442.000 Building Information Building 1 AccountNo Building ID Occupancy R3914405 1 Car Wash ID Type yp NBHD Occupancy p y 0/0 Bedrooms I Baths Rooms Complete 1 Commercial 2905 Car Wash 100 0 0 0 ID Exterior Roof Cover Interior HVAC Perimeter Units Type Unit Make 1 Hip Radiant 375 2 https://propertyreport.co.weld.co.us/?account=R3914405 2/6 6/29/2020 Property Report ID Square Ft Condo SF Total Basement SF Finished Basement SF Garage SF Carport SF Balcony SF Porch SF 1 5,011 0 0 0 0 0 0 0 Built As Details for Building 1 ID Built As Square Ft Year Built Stories Length Width 1.00 Car Self Wash Service - 1.689 2006 1 0 0 1.00 Car Automatic Wash - 3.322 2006 1 0 0 Additional Details for Buildin ID Detail Type Description Units 1 Add On Asphalt Average 16,000 1 Add On Concrete Slab Average 1,496 1 Add On Wood Balcony Good 225 Valuation Information Type Code Description Actual Value I Assessed Value Acres Land SqFt Improvement 2230 IMPROVEMENTS SPECIAL PURPOSE- 546.692 158.540 0.000 0 Land 2130 SPECIAL PURPOSE -LAND 123.308 35.760 0.754 32.843 Totals - - 670,000 194,300 0.754 32,843 Comparable sales for your Residential property may be found using our SALES SEARCH TOOL https://propertyreport.co.weld.co.us/?account=R3914405 3/6 6/29/2020 Property Report Tax Authorities Tax Area District ID District Name Current Mill Levy 0451 0700 AIMS JUNIOR COLLEGE 6 354 0451 1051 CLEARVIEW LIBRARY 3 546 0451 0301 ANC NORTHERN COLORADO WATER 1 000 0451 0204 SCHOOL DIST RE4-WINDSOR 39 434 0451 1303 WATER VALLEY METRO 1 41 943 0451 0100 WELD COUNTY 15 038 0451 1200 WEST GREELEY CONSERVATION 0 414 0451 0428 WINDSOR TOWN 12 030 0451 0521 WINDSOR -SEVERANCE FIRE 7 750 0451 0533 WINDSOR -SEVERANCE FIRE (BOND 2023) 0 311 Total - - 127 82 1 Photo https //propertyreport co weld co us/account=R3914405 4/6 6/29/2020 Property Report Sketch Vacuum Island 0 co 17.3' Automatic Bay Radizs 17 Cr Detail Bay ,t at Mezzanine o Storage "2 225.3 SF Equipment Space Heat G M N Vacuum Island 63.3' I . _t En:-.i,_Lure ,A! H .c,... i'., m, Bath 1 '/' i yltli ICl u. rea Heat FA/AC 8.0' 15.3' 16'.0 Self Se 16.0' rvice Bays 16'.0 17.3' Computer Room Building 1 Page 1 63.3 Car Wash First Floor,011.1 SF Built 2006 https://propertyreport.co.weld.co.us/?account=R3914405 https://propertyreport.co.weld.co.us/?account=R3914405 5/6 v Frill WELD iiiiiirt. ONLINE COUNTY MAPPING _ Tax Abatement Petition . - _� 14. ' 11 w i , _ • r.�. .l �'�' •.ice alt t • . I- �,.., 225;235245255 ' . •,• :y• •,. _ d ce n - .. , '�'"''� 1 �.. �� 1201 _� . _ -WOO o _ _ _ hi; ......_ - r_ ........ O ic z , i , _ ___ .. . II . N; �.' , :• _ o• x a 1 '9293 , jj 4 w - 9235 ..�.�,,. I— s_,, ` p -y ,�i;� ti�' ,. Z f�• -�f _ . ��►� 5 1261 Legend - ye�. .. . • Q -• ._.r..�.�_ _ . ►�•: i� ,. 929• i O - _ 1,2.7p - - Parcels •- _... . 55 J SL% Highway ` J ,��..a.`' .a f ♦ ilk -.- �iw. r ~"� • it w r t a ''' �' �_J County Boundary r . _.• nil-. r C A CT -RA A A I n- n I A > :,. �, e-' :.._ �' _ -._ a • a { 1 ' " .� M_ _-.� -w' . . ` 1f1 ` y ri • L.r' ISI��,�AJx, _ s �' - �tw` ill IIII 2'25 ` ' 2637-7---..,----LN I r; '� -w ,P._ a• P-_ f .355 t �, je # r 0' 1 • c japp,..4110.4tt it 1 • - I 3*. 00 t- —1 --4.- 14••• Ma• Alb 355 eIgn, it ..- -11401144-le 1(14 .'"� 'I/:10G►sir ,� ' ci0 /' 10 #7H ! 1341134 w 71, 13 45 . t 1349 ., A • 1355 s•.. ,.. .�A 'i .. . Saha1353''., • _ • p/'/Y//.4tr 1,395 ii.1 . " n`�...- .13 5 7 ,, • 1403 e 1425 lc:- ♦ op.,� / 1.399 399 1 . .=r � � � {` 1400 - --; -= , #400 �� 1393 t 1381 . 1365 ' ', 1357 .: 1361 #500 ; ./ , ,•1389 -- .- •385 g - 1369 r . ., ,. re.351 • ;` F T 44 , �.j Notes _. 558.6 0 279.28 558.6 Feet This map is a user generated static output from an Internet mapping site and is foc R3914405 reference only. Data layers that appear on this map may or may not be accurate, WGS_1984_Web_Mercator_Auxiliary_Sphere current, or otherwise reliable. c) Weld County Colorado THIS MAP IS NOT TO BE USED FOR NAVIGATION CLERK TO THE BOARD PHONE: (970) 400-4225 FAX: (970) 336-7233 1150 O STREET P.O. BOX 758 GREELEY, COLORADO 80632 www.weldgov.com June 30, 2020 NAPOCTR, LLC 1625 PELICAN LAKES POINT WINDSOR, CO 80550-6236 RE: SCHEDULE NUMBER R3914405 Dear Property Owner: This is to advise you that the Weld County Board of Commissioners will hear your petition for abatement or refund of taxes on the property described as: 1353 Water Valley Parkway, Windsor, Colorado 80550. The meeting is scheduled for Wednesday, July 8, 2020, at 9:00 a.m., in the Chambers of the Board of County Commissioners of Weld County, Colorado, Weld County Administration Building, 1150 O Street, Assembly Room, Greeley, Colorado 80631. The Assessor is recommending that the Board approve your petition. You are not required to be present at this hearing; however, this is your opportunity to have your position heard, particularly 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 me at (970) 400-4213. Sincerely, &t129<,a Chloe A. Rempel Deputy Clerk to the Board Supervisor crempel@weldgov.com cc: Weld County Assessor DYCO Diversified, Inc. Chloe Rempel From: Sent: To: Subject: Attachments: Good afternoon, Chloe Rempel Tuesday, June 30, 2020 3:20 PM clind@watervalley.com; mark.dyson@comcast.net NOTICE OF HEARING - Tax Abatement Petition - R3914405 Notice of Hearing - R3914405.pdf This is to advise you that the Weld County Board of Commissioners will hear your petition for abatement or refund of taxes on the property described as: 1353 Water Valley Parkway, Windsor, Colorado 80550. The meeting is scheduled for Wednesday, July 8, 2020, at 9:00 a.m. Please see the attached letter and copy of the petition form for further information (hard -copies to follow). Sincere regards, Chloe A. Rempel Deputy Clerk to the Board Supervisor Clerk to the Board's Office Weld County 1150 O Street Greeley, CO 80631 Tel: (970) 400-4213 Email: crempel@weldgov.com Confidentiality Notice: This electronic transmission and any attached documents or other writings are intended only for the person or entity to which it is addressed and may contain information that is privileged, confidential or otherwise protected from disclosure. If you have received this communication in error, please immediately notify sender by return e-mail and destroy the communication. Any disclosure, copying, distribution or the taking of any action concerning the contents of this communication or any attachments by anyone other than the named recipient is strictly prohibited. 1 WELD COUNTY PETITION FOR ABATEMENT OR REFUND OF TAXES CERTIFICATE OF MAILING COMPANY FIRST NAME LAST NAME ADDRESS 1 CITY STATEPOSTAL CODE '1625 LAKES PELICAN POINT WINDSOR CO 80550 - 6236 NAPOCTR. LLC clind@watervalley.com MARK DYSON INC. DYCO DIVERSIFIED, 795 STREET, I ICINTYRE SUITE 205 GOLDEN CO 80401 mark.dyson@comcast.net I hereby certify that I have sent a notification of hearing date letter in accordance with the notification requirements of Weld County in the United States Mail, postage prepaid First Class Mail by letter as addressed on the attached list this 30th day of June, 2020. a a 0 0 Chloe A. Rempel Deputy Clerk to the Board Supervisor U.S. Postal ServiceTM CERTIFIED MAIL° RECEIPT Domestic Mail Only For delivery information, visit our website at www.usps.com``). Certified Mail Fee MicAtg Extra Services & Fees (check box, add fee as appropriate) ❑ Return Receipt (hardcopy) $ ❑ Return Receipt (electronic) ❑ Certified Mail Restricted Delivery ❑ Adult Signature Required O Adult Signature Restricted Delivery $ $ $ Postage Total Postage and Fees N SptTo r-1GL Postmark Here (3O( ;Q2 Octr. ........ �.. , and pt. No., or PO Box No. C`- _ _Pt Uico.p L-04€43 Po In f City, State, ZIP+4 ® !r • i• PS Form 3800, April 2015 PSN 7530-02-000-9047 . See Reverse for Instructions a ri?,,,,(L a 0 a a r-1 U.S. Postal ServiceTM CERTIFIED MAIL° RECEIPT Domestic Mail Only For delivery information, visit our website at www.usps.com 9 ci Certified Mail Fee Extra Services & Fees (check box, add fee as appropriate) ❑ Return Receipt (hardcopy) $ ❑ Return Receipt (electronic) ❑ Certified Mail Restricted Delivery • Adult Signature Required $ Adult Signature Restricted Delivery $ Postage Total Postage and Fees N Sent To, free a Postmark Here Cs0130i31/4.0 ic Ose .y i_e_ _1 td nd Apt. No., or PO Box N_ o. N - 715--- Mcra-n•+&-e S+•, 5 ♦e • a05 Ci , State, Z1P+4 6 s .. 5 • 1 Ztd. O PS Form 3800, April 2015 PSN 7530-02-000-9047 See Reverse for Instructions .4; .f SENDER: COMPLETE THIS SECTION • Complete items 1, 2, and 3. • Print your name and address on the reverse so that we can return the card to you. • Attach this card to the back of the mailpiece, or on the front if space permits. 1. Article Addressed to: flcto 1 Co a5 Peticon L rNis Pon* w indsor, co 80650-c0a3C0 i u i i u 11 II i 9590 9402 4445 8248 1210 32 i COMPLETE THIS SECTION ON DELIVERY X ❑ Agent O Addressee B. Received b Printed Name) C. Date of Delivery ci\\AVI I noeff-- i/o2/(9O D. Is delivery address different from item 1? 0 Yes If YES, enter delivery address below: O No 2. Article Number ()Transfer from service label) 7017 1450 0000 9675 4051 PS Form 3811, July 2015 PSN 7530-02-000-9053 SENDER: COMPLETI . HIS SECTION • Complete jtatI 1, 2, and 3. ■ Print your flame and address on the reverse so that we can return the card to you. ■ Attach this card to the back of the mailpiece, or on the front if space permits. 1. Article Addressed to: £X++n : mar. c QcA40n OLCO O;vQcs;fle& tre. M c z n -t-j re S A-c'e e, t - Suite 905 CccdenCO "WHO is i II i iu 9590 9402 4445 8248 1210 25 i 3. Service Type ❑ Adult Signature ❑ Adult Signature Restricted Delivery gCertified Mail® ❑ Certified Mail Restricted Delivery ❑ Collect on Delivery ❑ Collect on Delivery Restricted Delivery 'Rail /fail Restricted Delivery ,10) ❑ Priority Mail Express® ❑ Registered MaiITM ❑ Registered Mail Restricted Delivery O Return Receipt for Merchandise ❑ Signature ConfirmationTM ❑ Signature Confirmation Restricted Delivery Domestic Return Receipt COMPLETE THIS SECTION ON DELIVERY A. Signature ova, X, B. AL Rece' ed by (Printed Name) yket\5 0,ith, D. Is delivery address different from item 1? £ 0 ''es If YES, enter delivery address below: to gent 0 Addressee C. Date of elivery 2. Article Number (Transfer from service label) 7017 1450 0000 9675 4044 3. Service Type ❑ Adult Signature ❑ Adult Signature Restricted Delivery %Certified Mail® O Certified Mail Restricted Delivery ❑ Collect on Delivery O Collect on Delivery Restricted Delivery in Inn,, -e -1 Mail Aail Restricted Delivery '0) O Priority Man Express® O Registered MailTM ❑ Registered Mail Restricted Delivery ❑ Return Receipt for Merchandise O Signature Confirmation"' ❑ Signature Confirmation Restricted Delivery PS Form 3811, July 2015 PSN 7530-02-000-9053 Domestic Return Receipt CLERK TO THE BOARD PHONE: (970) 400-4225 FAX: (970) 336-7233 1150 O STREET P.O. BOX 758 GREELEY, COLORADO 80632 www.weldgov.com August 18, 2020 STATE OF COLORADO DIVISION OF PROPERTY TAXATION 1313 SHERMAN STREET, ROOM 419 DENVER, CO 80203 RE: PETITION FOR ABATEMENT OR REFUND OF TAXES — R3914405 To Whom It May Concern: Please review the attached documents, which include the original petition, a copy of the petition, two (2) copies of the resolution approved by the Weld County Board of Commissioners, and a copy of the back-up documentation supporting the petition. Tax Year(s): 2019 Parcel Number: 080728152003 Account Number: R3914405 If you have any questions concerning this matter, please do not hesitate to contact me at (970) 400-4213. Sincerely, r Chloe A. Rempel Deputy Clerk to the Board Supervisor crempel@weldgov.com 8/18/2020 FedEx Ship Manager - Print Your Label(s) 0 N 3 CA m C) O y M oo 0 O M " / w 0819 1118 Z L 11 IHOINN3/1O A1I JOINd d0£=OI. onv 6i - O3M Ertezt L � m J202020071481uv • L'42 O w 'S Cl) m Z Cl) m m Cn - 4 m O C) O O O 5EBJ2/7709E76G After printing this label: 1. Use the 'Print' button on this page to print your label to your laser or inkjet printer. 2. Fold the printed page along the horizontal line. 3. Place label in shipping pouch and affix it to your shipment so that the barcode portion of the label can be read and scanned. CO „mix mm .7,6O wn o m 0 m z (n..< Omo >0 mzK mooco m-+� cm a> ti a) 0 O U3UN3S 1118 ODW >02 › m M o w Z (70C - o A CO O Warning: Use only the printed original label for shipping. Using a photocopy of this label for shipping purposes is fraudulent and could result in additional billing charges, along with the cancellation of your FedEx account number. Use of this system constitutes your agreement to the service conditions in the current FedEx Service Guide, available on fedex.com.FedEx will not be responsible for any claim in excess of $100 per package, whether the result of loss, damage, delay, non-delivery,misdelivery,or misinformation, unless you declare a higher value, pay an additional charge, document your actual loss and file a timely claim.Limitations found in the current FedEx Service Guide apply. Your right to recover from FedEx for any loss, including intrinsic value of the package, loss of sales, income interest, profit, attorney's fees, costs, and other forms of damage whether direct, incidental,consequential, or special is limited to the greater of $100 or the authorized declared value. Recovery cannot exceed actual documented loss.Maximum for items of extraordinary value is $1,000, e.g. jewelry, precious metals, negotiable instruments and other items listed in our ServiceGuide. Written claims must be filed within strict time limits, see current FedEx Service Guide. https://www.fedex.com/shipping/shipmentConfirmationAction.handle?method=doContinue 1/2 8/18/2020 FedEx Ship Manager - Print Your Label(s) Shipment Receipt Address Information Ship to: DIVISION OF PROPERTY TAXATION STATE OF COLORADO 1313 SHERMAN STREET ROOM 419 DENVER, CO 80203 US 3038647777 Ship from: CHLOE REMPEL WELD COUNTY 1150 O STREET RM 166 GREELEY, CO 80631 US 9704004225 Shipment Information: Tracking no.: 771287776780 Ship date: 08/18/2020 Estimated shipping charges: 7.12 USD Package Information Pricing option: FedEx Standard Rate Service type: Priority Overnight Package type: FedEx Envelope Number of packages: 1 Total weight: 1 LBS Declared Value: 0.00 USD Special Services: Pickup/Drop-off: Drop off package at FedEx location Billing Information: Bill transportation to: COUNTYOFWELD-483 DEPARTMENT NAME: CLERK TO THE BOARD SENDER NAME: CHLOE A. REMPEL ADDITIONAL INFO: CTB DEPARTMENT ORGANIZATION CODE: 10400 Thank you for shipping online with FedEx ShipManager at fedex.com. Please Note FedEx will not be responsible for any claim in excess of $100 per package, whether the result of loss, damage, delay, non -delivery, misdelivery, or misinformation, unless you declare a higher value, pay an additional charge, document your actual loss and file a timely claim. Limitations found in the current FedEx Service Guide apply. Your right to recover from FedEx for any loss, including intrinsic value of the package, loss of sales, income interest, profit, attorney's fees, costs, and other forms of damage whether direct, Incidental, consequential, or special is limited to the greater of $100 or the authorized declared value. Recovery cannot exceed actual documented loss. Maximum for items of extraordinary value is $1000, e.g., jewelry, precious metals, negotiable instruments and other items listed in our Service Guide. Written claims must be filed within strict time limits; Consult the applicable FedEx Service Guide for details. The estimated shipping charge may be different than the actual charges for your shipment. Differences may occur based on actual weight, dimensions, and other factors. Consult the applicable FedEx Service Guide or the FedEx Rate Sheets for details on how shipping charges are calculated. https://www.fedex.com/shipping/shipmentConfirmationAction.handle?method=doContinue 2/2 Hello