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HomeMy WebLinkAbout20182250.tiffAugust 2, 2018 Agent (if applicable): Petitioner STERLING PROPERTY TAX SPECIALISTS INC 950 S CHERRY ST SUITE 320 DENVER, CO 80246 CLERK TO THE BOARD PHONE (970) 400-4226 FAX (970) 336-7233 WEBSITE: www.co.weld.co.us 1150 O STREET P.O. BOX 758 GREELEY CO 80632 BANK MIDWEST NA 1111 MAIN ST STE 2800 KANSAS CITY, MO 64105-2154 RE: THE BOARD OF EQUALIZATION 2018, WELD COUNTY, COLORADO NOTICE OF DECISION Docket #: 2018-2250 Appeal #: 2008217941 Hearing Date: 8/2/2018 8:30 AM Dear Petitioner: On the day indicated above, the Board of County Commissioners of Weld County Colorado convened and acting as the Board of Equalization, pursuant to C.R.S. Section 39-8-101 et seq., considered petition for appeal of the Weld County Assessor's valuation of your property described above, for the year 2018. Account # Decision The Assessment and valuation is set as follows: Actual Value as Actual Value as Set by Determined by Assessor Board R7455298 Deny - Denied in Full $1,085,000 $1,085,000 A denial of a petition, in whole or in part, by the Board of Equalization must be appealed within thirty (30) days of the date the denial is mailed to you. You must select only one of the following three (3) options for appeal: 1. Appeal to Board of Assessment Appeals: You have the right to appeal the County Board of Equalization's decision to the Colorado Board of Assessment Appeals. A hearing before that Board will be the last time you may present testimony or exhibits or other evidence, or call witnesses in support of your valuation. If the decision of the Board of Assessment Appeals is further appealed to the Court of Appeals pursuant to C.R.S. Section 39-8-108(2), only the record of proceedings from your hearing before the Board of Assessment Appeals and your legal brief are filed with the appellate court. All appeals to the Board of Assessment Appeals filed after August 10, 2016, MUST comply with the following provisions of C.R.S. Section 39-8-107(5): (5)(a)(I) On and after August 10, 2011, in addition to any other requirements under law, any petitioner appealing either a valuation of rent -producing commercial real property to the board of assessment appeals pursuant to section 39-8-108(1) or a denial of an abatement of taxes pursuant to section 39-10-114 shall provide to the county board of equalization or to the board of county commissioners of the county in the case of an abatement, and not to the board of assessment appeals, the following information, if applicable: (A) Actual annual rental income for two full years including the base year for the relevant property tax year; (B) Tenant reimbursements for two full years including the base year for the relevant property tax year; (C) Itemized expenses for two full years including the base year for the relevant property tax year; and (D) Rent roll data, including the name of any tenants, the address, unit, or suite number of the subject property, lease start and end dates, option terms, base rent, square footage leased, and vacant space for two full years including the base year for the relevant property tax year. (II) The petitioner shall provide the information required by subparagraph (I) of this paragraph (a) within ninety days after the appeal has been filed with the board of assessment appeals. (b)(I) The assessor, the county board of equalization, or the board of county commissioners of the county, as applicable, shall, upon request made by the petitioner, provide to a petitioner who has filed an appeal with the board of assessment appeals not more than ninety days after receipt of the petitioner's request, the following information: (A) All of the underlying data used by the county in calculating the value of the subject property that is being appealed, including the capitalization rate for such property; and (B) The names of any commercially available and copyrighted publications used in calculating the value of the subject property. (II) The party providing the information to the petitioner pursuant to subparagraph (I) of this paragraph (b) shall redact all confidential information contained therein. (c) If a petitioner fails to provide the information required by subparagraph (I) of paragraph (a) of this subsection (5) by the deadline specified in subparagraph (II) of said paragraph (a), the county may move the board of assessment appeals to compel disclosure and to issue appropriate sanctions for noncompliance with such order. The motion may be made directly by the county attorney and shall be accompanied by a certification that the county assessor or the county board of equalization has in good faith conferred or attempted to confer with such petitioner in an effort to obtain the information without action by the board of assessment appeals. If an order compelling disclosure is issued under this paragraph (c) and the petitioner fails to comply with such order, the board of assessment appeals may make such orders in regard to the noncompliance as are just and reasonable under the circumstances, including an order dismissing the action or the entry of a judgment by default against the petitioner. Interest due the taxpayer shall cease to accrue as of the date the order compelling disclosure is issued, and the accrual of interest shall resume as of the date the contested information has been provided by the taxpayer. Appeals to the Board of Assessment Appeals must be made on forms furnished by that Board, and must be mailed or delivered within thirty (30) days of the date the denial by the Board of Equalization is mailed to you. The address and telephone number of the Board of Assessment Appeals are: Board of Assessment Appeals 1313 Sherman Street, Room 315 Denver, Colorado 80203 Telephone Number: 303-864-7710 Email: baa@state.co.us Fees for Appeal to the Board of Assessment Appeals: A taxpayer representing himself is not charged for the first two (2) appeals to the Board of Assessment Appeals. A taxpayer represented by an attorney or agent must pay a fee of $101.25 per appeal. OR 2. Appeal to District Court: You have the right to appeal the decision of the Board of Equalization to the District Court of the /county wherein your property is located: in this case that is Weld County District Court. A hearing before The District Court will be the last time you may present testimony or exhibits or other evidence, or call witnesses in support of your valuation. If the decision of the District Court is further appealed to the Court of Appeals pursuant to C.R.S. Section 39-8-108(1), the rules of Colorado appellate review and C.R.S. Section 24-4-106(9), govern the process. OR 3. Binding Arbitration: You have the right to submit your case to binding arbitration. If you choose this option, the arbitrator's decision is final and you have no further right to appeal your current valuation. C.R.S. Section 39-8-108.5 governs this process. The arbitration process involves the following: a. Select an Arbitrator: You must notify the Board of Equalization that you will pursue arbitration. You and the Board of Equalization will 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 (i.e., Weld) will select the arbitrator. b. Arbitration Hearing Procedure: Arbitration hearings are held within sixty (60) days from the date the arbitrator is selected, and are set by the arbitrator. Both you and the Board of Equalization are entitled to participate in the hearing. The hearing is informal. The arbitrator has the authority to issue subpoenas for witnesses, books, records documents and other evidence pertaining to the value of the property. The arbitrator also has the authority to administer oaths, and determine all questions of law and fact presented to him. The arbitration hearing may be confidential and closed to the public if you and the Board of Equalization agree. The arbitrator's decision must be delivered personally or by registered mail within ten (10) days of the arbitration hearing. c. Fees and Expenses: The arbitrator's fees and expenses are agreed upon by you and the Board of Equalization. In the case of residential real property, the fess may not exceed $150.00 per case. For cases other than residential real property, the arbitrator's total fees and expenses are agreed to by you and Board of Equalization, but are paid by the parties as ordered by the arbitrator. If you have questions concerning the above information, please call me at (970) 400-4226. Very truly yours, Esther E. Gesick, Clerk to the Board Weld County Board of County Commissioners and Board of Equalization Cc: Christopher Woodruff, Weld County Assessor August 2, 2018 Petitioner: BANK MIDWEST NA 1111 MAIN ST STE 2800 KANSAS CITY, MO 64105-2154 CLERK TO THE BOARD PHONE (970) 400-4226 FAX (970) 336-7233 WEBSITE: www.co.weld.co.us 1150 O STREET P.O. BOX 758 GREELEY CO 80632 Agent (if applicable): STERLING PROPERTY TAX SPECIALISTS INC 950 S CHERRY ST SUITE 320 DENVER, CO 80246 RE: THE BOARD OF EQUALIZATION 2018, WELD COUNTY, COLORADO NOTICE OF DECISION Docket #: 2018-2250 Appeal #: 2008217941 Hearing Date: 8/2/2018 8:30 AM Dear Petitioner: On the day indicated above, the Board of County Commissioners of Weld County Colorado convened and acting as the Board of Equalization, pursuant to C.R.S. Section 39-8-101 et seq., considered petition for appeal of the Weld County Assessor's valuation of your property described above, for the year 2018. Account # Decision The Assessment and valuation is set as follows: Actual Value as Actual Value as Set by Determined by Assessor Board R7455298 Deny - Denied in Full $1,085,000 $1,085,000 A denial of a petition, in whole or in part, by the Board of Equalization must be appealed within thirty (30) days of the date the denial is mailed to you. You must select only one of the following three (3) options for appeal: 1. Appeal to Board of Assessment Appeals: You have the right to appeal the County Board of Equalization's decision to the Colorado Board of Assessment Appeals. A hearing before that Board will be the last time you may present testimony or exhibits or other evidence, or call witnesses in support of your valuation. If the decision of the Board of Assessment Appeals is further appealed to the Court of Appeals pursuant to C.R.S. Section 39-8-108(2), only the record of proceedings from your hearing before the Board of Assessment Appeals and your legal brief are filed with the appellate court. All appeals to the Board of Assessment Appeals filed after August 10, 2016, MUST comply with the following provisions of C.R.S. Section 39-8-107(5): (5)(a)(I) On and after August 10, 2011, in addition to any other requirements under law, any petitioner appealing either a valuation of rent -producing commercial real property to the board of assessment appeals pursuant to section 39-8-108(1) or a denial of an abatement of taxes pursuant to section 39-10-114 shall provide to the county board of equalization or to the board of county commissioners of the county in the case of an abatement, and not to the board of assessment appeals, the following information, if applicable: (A) Actual annual rental income for two full years including the base year for the relevant property tax year; (B) Tenant reimbursements for two full years including the base year for the relevant property tax year; (C) Itemized expenses for two full years including the base year for the relevant property tax year; and (D) Rent roll data, including the name of any tenants, the address, unit, or suite number of the subject property, lease start and end dates, option terms, base rent, square footage leased, and vacant space for two full years including the base year for the relevant property tax year. (II) The petitioner shall provide the information required by subparagraph (I) of this paragraph (a) within ninety days after the appeal has been filed with the board of assessment appeals. (b)(I) The assessor, the county board of equalization, or the board of county commissioners of the county, as applicable, shall, upon request made by the petitioner, provide to a petitioner who has filed an appeal with the board of assessment appeals not more than ninety days after receipt of the petitioner's request, the following information: (A) All of the underlying data used by the county in calculating the value of the subject property that is being appealed, including the capitalization rate for such property; and (B) The names of any commercially available and copyrighted publications used in calculating the value of the subject property. (II) The party providing the information to the petitioner pursuant to subparagraph (I) of this paragraph (b) shall redact all confidential information contained therein. (c) If a petitioner fails to provide the information required by subparagraph (I) of paragraph (a) of this subsection (5) by the deadline specified in subparagraph (II) of said paragraph (a), the county may move the board of assessment appeals to compel disclosure and to issue appropriate sanctions for noncompliance with such order. The motion may be made directly by the county attorney and shall be accompanied by a certification that the county assessor or the county board of equalization has in good faith conferred or attempted to confer with such petitioner in an effort to obtain the information without action by the board of assessment appeals. If an order compelling disclosure is issued under this paragraph (c) and the petitioner fails to comply with such order, the board of assessment appeals may make such orders in regard to the noncompliance as are just and reasonable under the circumstances, including an order dismissing the action or the entry of a judgment by default against the petitioner. Interest due the taxpayer shall cease to accrue as of the date the order compelling disclosure is issued, and the accrual of interest shall resume as of the date the contested information has been provided by the taxpayer. Appeals to the Board of Assessment Appeals must be made on forms furnished by that Board, and must be mailed or delivered within thirty (30) days of the date the denial by the Board of Equalization is mailed to you. The address and telephone number of the Board of Assessment Appeals are: Board of Assessment Appeals 1313 Sherman Street, Room 315 Denver, Colorado 80203 Telephone Number: 303-864-7710 Email: baa@state.co.us Fees for Appeal to the Board of Assessment Appeals: A taxpayer representing himself is not charged for the first two (2) appeals to the Board of Assessment Appeals. A taxpayer represented by an attorney or agent must pay a fee of $101.25 per appeal. OR 2. Appeal to District Court: You have the right to appeal the decision of the Board of Equalization to the District Court of the /county wherein your property is located: in this case that is Weld County District Court. A hearing before The District Court will be the last time you may present testimony or exhibits or other evidence, or call witnesses in support of your valuation. If the decision of the District Court is further appealed to the Court of Appeals pursuant to C.R.S. Section 39-8-108(1), the rules of Colorado appellate review and C.R.S. Section 24-4-106(9), govern the process. OR 3. Binding Arbitration: You have the right to submit your case to binding arbitration. If you choose this option, the arbitrator's decision is final and you have no further right to appeal your current valuation. C.R.S. Section 39-8-108.5 governs this process. The arbitration process involves the following: a. Select an Arbitrator: You must notify the Board of Equalization that you will pursue arbitration. You and the Board of Equalization will 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 (i.e., Weld) will select the arbitrator. b. Arbitration Hearing Procedure: Arbitration hearings are held within sixty (60) days from the date the arbitrator is selected, and are set by the arbitrator. Both you and the Board of Equalization are entitled to participate in the hearing. The hearing is informal. The arbitrator has the authority to issue subpoenas for witnesses, books, records documents and other evidence pertaining to the value of the property. The arbitrator also has the authority to administer oaths, and determine all questions of law and fact presented to him. The arbitration hearing may be confidential and closed to the public if you and the Board of Equalization agree. The arbitrator's decision must be delivered personally or by registered mail within ten (10) days of the arbitration hearing. c. Fees and Expenses: The arbitrator's fees and expenses are agreed upon by you and the Board of Equalization. In the case of residential real property, the fess may not exceed $150.00 per case. For cases other than residential real property, the arbitrator's total fees and expenses are agreed to by you and Board of Equalization, but are paid by the parties as ordered by the arbitrator. If you have questions concerning the above information, please call me at (970) 400-4226. Very truly yours, Esther E. Gesick, Clerk to the Board Weld County Board of County Commissioners and Board of Equalization Cc: Christopher Woodruff, Weld County Assessor Valuation Report of Commercial Property For County Board of Equalization BANK MIDWEST NA F etitioner vs. Weld County Assessor's Office Respondent Docket Number: Parcel Number: Schedule Number: Appeal Number: Date: Time: Board: 2018-2250 095924401015 R7455298 2008217490 8/2/2018 8:30 am 1 Prepared By Susan Gundry Assessor's Office Staff Appraiser Assessor's Indicated Value TOTAL: $1,085,000 Page 1 of 16 Salient Facts andConclusions Purpose of Appraisal To determine Market Value as of 1/1/18 based on an appraisal date of 6/30/16. Property Rights Appraised Unencumbered fee simple interest. Location 3635 23rd Ave Evans Land Area 55,225 sf Property Type Commercial Occupancy Description Bank Number of stories 1 Year Built 1999 Class Wood Frame Quality Average Improvement sq+Ft. 5,425 Garden Level Sq Ft 5,425 Value Indications: Land Cost Approach Market Approach Income Approach N/A N/A $1,057,875 $1,229,684 Final Value $1,085,000 Page 2 of 16 Subject Photo Sketch 52' Canopy 1560.0 :sf Bane. Bit 1999. Class D HVAC 10- 18' WH Office Ffn sh in Bsmt First Floor 5425,0 Sf Finished 542.5,0 sr Page 3 of 16 7 r-, Location Maps er'ov rp ,/ E 7 4...i. 4' yy 1 `� ..ry.RF . rio k CIO • tt fi•clllE'I�•• e ^ i" rfYr ,l. yt:IllbGi,a dIr • IMF IC J X: Num • i 1.r ' i.,+. Ear • - I I. 1.:: Gi acts +m Vie(. ■J' mt.-14 snLti t . •-..CIS }ac_�aa8''"'y z T N �iei sit nil r te. -ft; 'r% ..I' T .P1 rt e`• - , I -. S of qr. r -i Os y] r e n ; a .-• 6I —ill- T. 7 kW Ali 7 c7 —'7: ' r +u LJF" -" � _n k^. 1e• Wry:w .6t a Anchor CS 4...1 ii - I Lit �y .- d. f"� rll ti a f.'9 A 4 4 '� ler bid , 4i —'1 ! 1 f"' A a � 11 ` n t °'1 '.'�(r •' J t ,,,, I mat n /Y atm r 1 t — - .. ref M'• `C� s.l � f 7y,�e F% !1' , . i r r - iit't lam; F,■ 'f". ,� s.k�lFr _�' 'a y Alit . •, g u w 4'lu•.p. afirs rsa i i t m_ a• SIG. SS. emu `1.`C+S iekkit" sal„ 11 , �ZI rte: ;I SU. ail 47 K "Writ Tariff' - YG `rf Z 'd • iz +! ;'• Page 4 of 16 The Subject The subject is located in Evans on the northwest corner of 23rd Ave and 37th St. The subject is a 5,425 square foot bank which was built in 1999. It is of average condition and built of wood frame construction. It also contains a 5,425 square foot garden level basement finished in the same quality as the main floor. The subject improvement has a 1,560 square foot wood canopy and sits on a 55,225 square foot parcel. The land has approximately 25,70O square feet of asphalt and approximately 1,560 square feet of concrete. Cost Approach Summary The Assessor is currently using Marshall and Swift cost tables for the cost approach of commercial properties in Weld, which has been approved by the Division of Property Taxation to be utilized by Colorado Assessors. The structure has been classified properly utilizing the Marshall and Swift Valuation service and an appropriate value assigned. A land value has likewise been established through the utilization of vacant land sales of comparable properties. The Cost Approach was considered but not used. For commercial buildings more than 10 years old it is difficult to accurately estimate the amount of physical depreciation to apply. For this reason, a cost analysis was not developed. Total Value by Cost Approach FinalValue N/A Page 5 of 16 Market Approach Summary Real Property for the tax year 2018 must be valued utilizing data for the period one and one-half years immediately prior to June 30, 2016. If comparable valuation data is not available from such one and one- half year period to adequately determine the level of value for a class of property, the period of five years immediately prior to June 30, 2016 shall be utilized to determine the level of value. The Assessor has appropriately considered the Market Approach to value for the property on appeal. The Sales Comparison Approach was considered in developing a market value for the Subject. Sales used to establish a market value for the tax year 2018 are from January 1, 2015 through June 30, 2016. Pursuant to 39-1-104 (10.2)(c) C. R. S., the Assessor may utilize sales five years prior to June 30, 2016 to establish the proper value. All sales have been confirmed and verified through transfer declarations as well as interviews with buyers, sellers or their representatives to the sale. All sales used are arm's length transactions, and considered to be the most comparable properties sold in relationship to the Subject property. Based upon investigation and analysis, it is the opinion of the appraisers that a market value of $1,057,875 or $195.00 per square foot accurately reflects the market value of the subject property on June 30, 2016. Market Comparables Comp 1: 2700 47th Ave, Greeley. Sold March 6, 2015 for $290.00 per sq. ft. This bank is 9,124 sf and sits on a 92,217 sf site. Seller contacted tenant about purchasing building, tenant accepted asking price. This comparable is located in a superior location which warranted a location adjustment. Comp 2: 3690 W 10th St, Greeley. Sold September 4, 2014 for $216.00 per sq. ft. This bank is 11,094 sf with a 5,547 sf finished basement and sits on a 85,740 sf site. This sale was an investor purchase. US Bank was tenant in building at sale. Comp 3 55 S Elm Ave, Eaton. Sold on May 1, 2013 for $198.00 per sq. sf. This bank is 10,179 sf with a 1,593 sf basement and sits on a 43,560 sf site. This sale was the purchase of New West Bank by Bank of Colorado. This sale price is for real estate only. Bank of Colorado was a tenant in the building at the time of purchase. Comp 4 2425 35th Ave, Greeley. Sold on August 1, 2012 for $179.00 per sq. ft. This bank is 14,134 sf with a 7,126 finished basement and sits on a 91,476 sf site. This is a bank to bank sale between Liberty Savings Bank, the seller and FMS Bank, the buyer. After making adjustments for differences including size, quality, location and basements, the median sale price of the bank comparable sales is $210.00 per sf, the mean is $211.00 per sf. The appraiser has the determined Comp 2 and 3 are most similar to the subject due to having the least amount of adjustment and has determined the indicated value by the Market Approach is $1,057,875 or $195.00 per sq. ft. Page 6 of 16 Comparative Sales Grid PROPERTY Subject Comp I Comp 2 Comp 3 Comp 4 Bank Comments, Parcel # Address. City Grantor Grantee Sale Price Sale Price PSF VALUE ADJUSTMENTS Sale Date Location Land Size Bldg SF e,sement SF Age Quality Bank r G95924401015 Bank Bank Bank r 1395914000071 r 095911116023 r 080 306213002 r 09591 02001 3635 23rd Ave Evans 2700 47th Ave 3690 W 10th St ES IN Elm Ave 2425 35th Ave Greeley Greeley Eaton Greeley Stagecoach Stop LLC Gregory S Kissinger Cc - Trustee; James H Turner Cc Trustee 11 e% Ai; Vtiest Bank Liberty Savings Bank FSB Guaranty Bank and:rust Co Marcentrr LLC. Bank of Colorado FMS Bank S^ ,5E0.000 S2460,000 S1,957,00'0 $2,525ING 5290.4.2. $216.33 193.00 5179.00 1._'L !1 DESCRIPTION 23rd Ave ` th 5t .55, .5 5,425 5,425 1999 Average DESCRIPTION Adjustment DE.SCRIPTIO N Adjustment DESCRIPTION Adjustment DESCRIPTION Adjustment .31612015 :914/20:14 EI 1 `2 01 3. 811/2012 H wwy:34 a 47th Ave -10 10th St lat 37th Ave Collins St i : E Imo '=;.,4.a. 35th Ave it 24th St 92,217 0% SF.7LC 0% C. E _ s_ 0 9 91,476 0% 9,124 5%11.0 9 _ 1 0.179 E° 14.12L 5% 0 5% Ew541.7 i 1!5:9.2, �. ; 7. /`- -E94 1996 0% 1981 0% 2005 0% 19 5 9 0% Good -10% Average 0% Good -10% Good -10% 5% -10% 0% -10% NET Adjusted Adjusted ADJUSTMENTS Sale Price Price PSF $2,385,000 $2,520,300 $1,967,000 $2,272,500 $261.40 $227.15 $193.00 $161.10 Corn p arabl'es Price t SF Range Corn parables Price 1 SF Median Comparables Price ! SF Average 5152.0'0-5232.0►'0 5210.00 $211.00 $19.5,00 $1,0571875,00 Total Value by Market Approach $1,057,875 or $195.0o per square foot. Page 7 of 16 Income Approach toValue The basic steps in the Income Approach to value for commercial properties in mass appraisal are based on a landlord -tenant situation and not on the income of the actual business. In using this approach, it eliminates the possibility of valuing management as opposed to the potential income of the structure. This is the proper method Assessor's must utilize through the Directives of the Division of Property Taxation. Research has been done by the Assessor to determine the market rent bylocation, type of structure and the property use. The Assessor has gathered income information from local commercial properties for the time frame of Januaryi, 2015 through June 30, 2016 or when necessary going back 5 years or until June 3O, 2O11. This information, combined with statewide and industry -wide data, is used to determine typical income and expenses for various property types. In conclusion of the Income Approach, the Assessor has considered both groups of data and has put more emphasis on the local factors and data than the state and national data. This information was then applied to the subject property to arrive at an appropriate Income Approach Value. Page 8 of 16 Income Approach Continued: To accurately value this subject, the Income Approach will value the main level of the subject separately from the garden level. The main level will be valued at its highest and best use which is its current use as a bank. The garden level will be valued as an office since its primary use during the base period was as a support area to the upper level bank. Main Level: For the 2O17 tax year, the market rent comparables found reflect the lease rates of banks ranging between $16.67 per sf and $21.00 per sf. The average of all leases was $19.05 per sf and the median was $19.50 per sf. Three comparable bank leases were found to develop an income analysis for the bank: New West Bank 3459 W 20th Greeley 6,140 sf $19.50 NNN per sf Dated 9/2011 Compass Bank 35O1 W 12th St. Greeley 6,120 sf $16.67 NNN per sf Dated 7/2O15 Great Western Bank 2O15 Clubhouse Dr. Greeley 3,112 sf $21.00 NNN per sf Dated 10/2O14 Additional retail rent comparables within a 1/2 mile radius of the subject show 7 units with rents between $17.38 and $21.20 per square foot during the base period. These are office/retail sites that do not have the corner lot visibility. CoStar estimated vacancy for banks and offices in the base period to be 10 to 15 percent. Burbach and Associates show cap rates for retail ranging between 5.25% and 8% with the average being 7%. The cap rate range for office was between 6.5% and 9% with the average being 7.5%. It was determined that a cap rate of 7.5% appropriate for the subject. The appraiser determined the rent comparable located at 3501 W 12th St was most similar to the subject due to it being a free standing bank on a corner with similar traffic flow along with the lease being the most recent, so by using a market rent of $17.00 (rounded) multiplied by the main floor square feet, using a 10% allowance for vacancy, and deducting 8% for management and reserve expenses, the resulting NOT is $76,362.00. Applying a capitalization rate of 7.50% produces a value of the main level of the subject property at $1,018,164. Main Level Rate Size Annual Rent $17.00 5,425 $92,225 Potential Gross Income $92,225 Vacancy 10% $9,223 Effective Gross Income $83,003 Expenses 8% Net Operating Income Capp Rate 7.50 Indicated Value Page 9 of 16 $6,640 76,352 1,O1S., 1 Garden Level For the 2O17 tax year, the market rent comparables for the garden level reflect the lease rates of offices ranging between $10.15 per sf and $14.51 per sf. The average of all leases was $12.05 per sf and the median was $11.5 0 per sf. Three comparable lower level office leases were found to develop an income analysis for the bank: Garden Level 2525 W 16th St Greeley 1,250sf $11.50 NNN per sf Dated 7/2O14 Lower Level 115 E Harmony Rd. Fort Collins 3,722 sf $14.51 NNN per sf Dated 7/2O15 Basement 131 E Lincoln Ave. Loveland 1,181 sf $10.15 NNN per sf Dated 1/2O14 Costar estimated vacancy for banks and offices in the base period to be 10 to 15 percent. Burbach and Associates show cap rates for retail ranging between 5.25% and 8% with the average being 7%. The cap rate range for office was between 6.5% and 9 ✓ with the average being 7.5%. It was determined that a cap rate of 9.0% appropriate for the garden level due to the higher risk of leasing lower level spaces. The appraiser determined rent of $9.00 per square foot appropriate after size and location adjustments. By using the lower level office market rent of $9.0O multiplied by the 3,600 square foot of net rentable area in the garden level, using a 15% allowance for vacancy, and deducting 8% for management and reserve expenses, the resulting NOI is $25,337.00. Applying a capitalization rate of 9.0% produces a value on the garden level of $281,520. Garden Level Rate $4.0U Size Annual Rent 31600 $32,400 Potential Gross Income Vacancy1. Effective Gross Income Expenses 8% Net Operating Income Cap Rate 9.00% Indicated Value $32,400 $4,860 $27,540 $2,203 $251337 $281,520 By adding the potential income value of the main level valued as a bank along with the potential income value of the garden level valued as an office, this creates a total income value of $1,229,684 or $239.57 per square foot for the subject. Page 10 of 16 Conclusion Real property for tax year 2018 must be valued utilizing the level of value for the period of one and one- half years immediately prior to July 1, 2016. Except that, if comparable valuation data is not available from such one -and one -half -year period to adequately determine the level of value of a class of property. The period of five years immediately prior to June 30, 2016 shall be utilized to determine the level of value. Changes occurring between base years are not to be accounted for until the following level of value is implemented, other than additions, change in use, detrimental acts of nature, damage due to fire, etc., or creation of a condominium, or any new regulations restricting or increasing the use of the land, or a combination thereof. {39-1-104(11)(b)(1) C. R.S.} The subject property has been classified as Commercial Property for assessment purposes. Commercial property value shall be determined by appropriate consideration of the Cost Approach, Market Approach, and Income Approach to value. {39-1-103(5)(a) C. R. S.} TheAssessor has considered all three approaches to value for the subject parcel on appeal. Final Reconciliation After consideration of the market and income approaches, it is the Weld CountyAssessor's opinion that the market approach will receive the most consideration and the value of $1,085,000.00 or $200.00 per square foot, most accurately reflects the actual value of the subject property in Weld County for the 2018 tax year. CostApproach Market Approach IncomeApproach N/A $1,057,875 $1,229,684 Or $195.00 piste Or $239.57 p/sf Assessor's Indicated Value TOTAL: $1,085,000 or$Z0000p/sf Page 11 of 16 Comparable Sales Map It Severance '4 72 Eaton 35 25 45 19 IL 72 70 70 10 70 21 157 33 71 Weld County Lucerne Rd ( szi County Rd e8 Pisi2. WWeld 31 37 23 41 45 &si 66 66 66 IC .5 64 Greeley-Welr 62 Island Grove County Regional Park Airport CD 0 l so r Esir, 3 It 0E? It Garden City ; 35 * 54 Subject 54 Auburn 52 52 Address City Property Info Sale Info 1 2700 47th Ave Greeley 9,124 SF General Retail/Bank Sold: $2,650,000 ($292.44/SF) 2 3690 W 10th St Greeley 11,094 SF Class B Office Sold: $2,400,000 ($216.33/SF) 3 55 Elm Ave Eaton 10,179 SF Class B Office Sold: $1,967,000 ($193.00/SF) 4 2425 35th Ave Greeley 14,134 SF Class B Office Sold: $2.525.000 ($179.00/SF) Copyrighted report licensed to Weld County Assessor's Office - 773079. Page 12 of 16 Comp 1 2 700 Centerplace Greeley, Bank (Power $2,650,000 47th Ave of Greeley CO 80634 Center) Building - Research Complete of 9,075 SF Sold on 3/6/2015 for •_ _ A'i `- buyer Guaranty Bancorp 12644 W. Indore PI Littleton CO 80127 303 I 675- - G I. gl y w -I — _ - seller - _ __ , �_ William Farr 6463 Engh PI Timnath, CO 80547 (970) 689-3570 _ vital data Escrow/Contract: Sale Days on Market: Exchange: Conditions: Land Area $/SF Land Year Built, Parking Spaces: Parking Lot Dimensions: Frontage: Tenancy: Comp Date: Acres: Gross: Ratio: 21 3/6/2015 1 No Purchase SF: 92,347 2.12 $28.70 Age: 1996 35 3.86/1000 FAR 0.10 - 532 Single ID: 3262224 days day Building By Tenant Pro Forma Actual Down Age: 19 SF No feet on 47th Ave 408 feet ... Percent Property Sale Price/SF: Cap Cap Pct Doc Trans Tenants: Improved: Submarket: Map Parcel Price: Status: Rate: Rate: Pmnt: Down: Tax: Corner: Zoning: Page: Type: SF: No: No: $2,650,000 Confirmed 9,124 SF $292.44 - - $2,650,000 100.0% 4088658 - No - 1 61.9% Greeley Ret - 095914000071 Retail income expense data Listing Broker Expenses - Operating - Expenses Total Expenses Taxes $32,007 No Listing Broker on Deal $32,007 Buyer Broker No Buyer Broker on Deal financing Copyrighted report licensed to Weld County Assessor's Office - 773079. Wage 13 of 16 Comp 2 3690 W 10th St Greeley, CO 80634 Class B Office Building of 15,246 $2,400,000 - Research Complete SF Sold on 9/11/2014 for k a a' _ ;..,..441_. -- e A - -un� ,1 ' , :,:i?- y buyer West Bay Captial 11755 Wilshire Blvd Los Angeles, CA (310) 231 1270 90025 y '- - _ seller Bank of the West 180 Montgomery St San Francisco, CA 94104 (415) 765-4800 vital data Escrow/Contract: Sale Days on Exchange: Conditions: Land Area $/SF Land Year Built, Parking Spaces: Parking Lot Dimensions: Frontage: Tenancy: Comp Date: Market: Acres: Gross: Ratio: Age: FAR - 9/11/2014 220 No - SF: 85,739 1.97 $27.99 1981 70 4.59/1000 0.18 - - ID: 3120530 Multi days Building Pro Forma Actual Down Age: 33 SF No Percent Property Sale Price/SF: Cap Cap Pct Doc Trans Tenants: Improved: Submarket: Map Parcel Price: Status: Rate: Rate: Pmnt: Down: Tax: Corner: Zoning: Page: Type: $2,400,000 Confirmed SF: 11,094 SF $216.33 - - $600,000 25.0% No: 4045172 - No - 2 71.7% Weld County - No: 095911116023 Office income expense data Listing Broker Colliers International 4643 5 Ulster Denver, (303) 745-5800 Jason Kinsey, St CO 80237 T.J. Smith Buyer Broker No Buyer Broker on Deal financing prior sale 1st Bellco Credit Bal/Pmt: Union $1,800,000 Date/Doc No: Sale Price: ComplD: 7/27/2012 - 2535877 Copyrighted report licensed to Weld County Assessor's Office - 773079. Page 14 of 16 Comp 55 Elm Ave New West Bank Bldg Eaton, CO 80615 Class B Office Building $1,967,000 - Research of 8,948 Complete SF Sold on 51112013 for - s buyer Bank of Colorado 533 Big Thompson Estes Park, 970 586-8185 CO Ave 805171 *` 4_ , .r, . - .1S1111.1 { ;e yip - .. a.. N{ seller a • tarsi: rL � i r d+�'"it _, r, . _ :..7.- �_ I New West Bank 55 E l m Ave Eaton, CO 80615 (970) 454-1800 _•_._ r - R. .=�.�. • - - f - -- vital data Escrow/Contract: Sale Days on Market: Exchange: Conditions: Land Area $/SF Land Year Built, Parking Spaces: Parking Lot Dimensions: Frontage: Tenancy: Comp Date: Acres: Gross: Ratio: Age: FAR - 5/1/2013 - No - SF: 43,560 1 $45.16 2005 - - 0.21 - - Multi ID: 2746603 Building Pro Forma Actual Down Age: 7 No Percent Property Sale Price/SF: Cap Cap Pct Doc Trans Tenants: Improved: Submarket: Map Parcel Price: Status: Rate: Rate: Pmnt: Down: Tax: Corner: Zoning: Page: Type: $1,967,000 Confirmed SF: 8,948 $219.83 - - - - No: 3929205 - No - 2 77.8% Weld - No: 080306213002 Office SF County income expense data Listing Broker Expenses - Operating - Expenses Taxes $28,242 Total Expenses $28,242 Buyer Broker financing Copyrighted report licensed to Weld County Assessor's Office - 773079. Page 15 of 16 Comp 2425 35th Ave Greeley, CO 80634 Class B Office Building of 21,339 $2,525,000 - Research Complete SF Sold on 8/2/2012 for buyerg kitill I ill FMS Bank 520 Sherman St Fort Morgan, CO 80701 (970) 867-3319 ��11 ti +tilt r ;ilia ,;•,.��u �a Ii:; _ '`"• �:� Lp';twe FLIT�:,- .aT . 'J fi r. seller -"I _:il - _ Liberty Savings 120 W 2nd St Dayton, OH 45402 (800) 436-6300 Bank FSB - - - --- :. vital data Escrow/Contract: Sale Days on Market: Exchange: Conditions: Land Area $/SF Land Year Built, Parking Spaces: Parking Lot Dimensions: Frontage: Tenancy: Comp Date: Acres: Gross: Ratio: Age: FAR 60 812/2012 749 No - SF: 91,476 2.1 $27.60 1999 74 3/1000 0.23 - - ID: 2540835 Multi days days Building Pro Forma Actual Down Age: 13 SF No Percent Property Sale Price/SF: Cap Cap Pct Doc Trans Tenants: Improved: Submarket: Map Parcel Price: Status: Rate: Rate: Pmnt: Down: Tax: Corner: Zoning: Page: Type: $2,525,000 Confirmed SF: 21,339 $118.33 - - $2,525,000 100.0% No: 3864872 $252.50 No C 1 74.1% Weld - No: 095914402001 Office SF County income expense data Listing Broker Expenses - Operating - Expenses Taxes $55,132 SVN I Denver Commercial 2032 Lowe St Fort Collins, CO 80525 Total Expenses $55,132 (970) 207-0700 Dan Leuschen, Steve Kawulok Buyer Broker Colorado Land Co LLC 902 Main St Fort Morgan, CO 80701 (970) 370-2660 Kent Lindell financing Copyrighted report licensed to Weld County Assessor's Office - 773079. Page 16of16 '4 NOTICE OF DETERMINATION RECEIVED Christopher M. Woodruff Weld County Assessor 1400 N 17th Ave Greeley, CO 80631 JUL 1 2 2018 WELD COUNTY COMMISSIONERS Date of Notice: 6/27/2018 Telephone: (970) 400-3650 Fax: (970) 304-6433 Office Hours: 8:00AM - 5:00PM ACCOUNT NO. TAX YEAR TAX AREA LEGAL DESCRIPTION/ PHYSICAL LOCATION R7455298 2018 0663 EVS LDGS TR 8 THE 3635 23RD AVE EVANS , CO LANDINGS ... ... BANK 1111 KANSAS MIDWEST MAIN ST STE CITY, MO NA 2800 64105-2154 PROPERTY CLASSIFICATION ASSESSOR'S VALUATION ACTUAL VALUE REVIEW PRIOR TO ACTUAL VALUE REVIEW AFTER COMMERCIAL 1,085,000 1,085,000 TOTAL 1,085,000 1,085,000 The Assessor has carefully studied all available information, giving particular attention to the specifics included on your protest. The Assessor's determination of value after review is based on the following: CM05 - The law requires that data from Jan 2015 to June 2016 be used to establish current values. We have considered all three approaches to value and we have denied your appeal based upon this data. 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. The deadline for filing real property appeals is July 15. The Assessor establishes property values. The local taxing authorities (county, school district, city, fire protection, and other special districts) set mill levies. The mill levy requested by each taxing authority is based on a projected budget and the property tax revenue required to adequately fund the services it provides to its taxpayers. The local taxing authorities hold budget hearings in the fall. If you are concerned about mill levies, we recommend that you attend these budget hearings. Please refer to last year's tax bill or ask your Assessor for a listing of the local taxing authorities. Please refer to the reverse side of this notice for additional information. Agent (If Applicable): LS JUL a 5 201P 15-DPT-AR PR 207-08/13 R7455298 2018-2250 7 APPEAL PROCEDURES County Board of Equalization Hearings will be held from July 30th through August 3th at 1150 O Street. To appeal the Assessor's decision, complete the Petition to the County Board of Equalization shown below, and mail, file online, or deliver a copy of both sides of this form to: Weld County Board of Equalization 1150 O Street, P.O. Box 758 Greeley, CO 80631 Telephone: (970) 356-4000 ext, 4225 Online: www.co.weld.co.us/appsl/cboe/ To preserve your appeal rights, your Petition to the County Board of Equalization must be postmarked or delivered on or before July 15 for real property — after such date, your right to appeal is lost. You may be required to prove that you filed a timely appeal; therefore, we recommend that all correspondence be mailed with proof of mailing. You will be notified of the date and time scheduled for your hearing. The County Board of Equalization must mail a written decision to you within five business days following the date of the decision. The County Board of Equalization must conclude hearings and render decisions by August 5, § 39-8-107(2), C.R.S. If you do not receive a decision from the County Board of Equalization and you wish to continue your appeal, you must file an appeal with the Board of Assessment Appeals by September 10, § 39-2-125(1)(e), C.R.S. If you are dissatisfied with the County Board of Equalization's decision and you wish to continue your appeal, you must appeal within 30 days of the date of the County Board's written decision to ONE of the following: Board of Assessment Appeals 1313 Sherman Street, Room 315 Denver, CO 80203 (303) 866-5880 www.dola.coiorado.gov/baa Binding Arbitration For a list of arbitrators, contact the County Commissioners at the address listed for the County Board of Equalization. If the date for filing any report, schedule, claim, tax return, statement, remittance, or other document falls upon a Saturday, Sunday, or legal holiday, it shall be deemed to have been timely filed if filed on the next business day, § 39-1-120(3), C.R.S. District Court Contact the District Court in the County where the property is located. See your local telephone book for the address and telephone number. PETITION TO COUNTY BOARD OF EQUALIZATION What is your estimate of the property's value as of June 30, 2016? (Your opinion of value in terms of a specific dollar amount is required for real property pursuant to § 39-8-106(1.5), C.R.S.) 3 q, oc)C What is the basis for your estimate of value or your reason for requesting a review? (Please attach additional sheets as necessary and any supporting documentation, i.e., comparable sales, rent roll, original installed cost, appraisal, etc.) 601(c.4M ATTESTATION er or agent 1 of the property identified above, affirm that the statements contained herein are true and complete. ) Ev;-1S-1-Ynar Signature Telephone Number Date otait{te,_ spf-gw t; rhs. Email Address 'Attach letter of authorization signed by property owner. 15-DPT-AR PR 207-08/13 R7455298 July 6, 2018 Weld County Board of Equalization 1150 O Street, P.O. Box 758 Greeley, CO 80631 PkOPERIY IAX SPECIALIS'IS. INC. 950 S. Cherry Street Suite 320 Denver, CO 80246 303.757.8865 fax 303.757.7691 www.sterlingpts.com RECEIVED JUL 1 2 2018 WELD COUNTY COMMISSIONERS Re: 2018 Board of Equalization Appeals Dear Board, Enclosed please find our appeals for calendar year 2018 to be filed to the Board of Equalization for schedule numbers R2569303 and R7455298. Our requested hearing dates by phone are below: Tuesday, July 31 - Morning Wednesday, August 1 —After noon Friday, August 3 — After noon If you should have any questions, please contact our office. Thank you, yob Melissa Preston Administrative Assistant PROPERTY TAX SPECIALISTS. INC. May 8, 2018 Weld County Board of County Commissioners c/o Mr. Christopher Woodruff Weld County Assessor 1400 N. 17th Avenue Greeley, CO 80631 Attn: Susan Gundry RE: 3635 23`d Avenue (Schedule No. R7455298) (the "Property') Dear Commissioners: 95o S. Cherry Street Suite 320 Denver, CO 80246 303.757.8865 fax 303.757.7691 www.sterlingpts.com The undersigned, Sterling Property Tax Specialists, Inc., represents the owner of the Property for the purpose of protesting the 2018 Valuation. A copy of the Letter of Authorization is attached hereto and made an integral part hereof. Only the schedule number referenced hereinabove is protested hereunder. The Property consists of an owner -occupied bank with 5,425 square feet above grade and 5,425 square feet basement area. For tax year 2018, the Assessor has valued the Property at $1,085,000. The marketplace has seen a shift in the desirability of branch banks over the last several years, which has been documented by the escalation of branch closures which exceeds the number of branch openings. Attached hereto as Exhibit A and made an integral part hereof are articles relating to the change in desirability and reduced consumer need of the branch bank. Due to this change in consumer needs, the banking industry has altered their business model, and as a result, their real estate needs have changed. Bank branches are smaller in size and fewer in number, while some are transferring from free-standing brick and mortar buildings to kiosk locations within discount retail stores, grocery stores, and fast food restaurants. In valuing the Property, Petitioner has conducted an income approach utilizing market rental information available. Attached hereto as Exhibit B and made an integral part hereof is a compilation of market lease information relating to banks or properties similar in size and nature to that of the subject Property. The majority of this information contains starting and asking lease rents as gathered by CoStar. Also included is an excerpt from an appraisal conducted during the base period for a free-standing bank building, which concluded to a lease rate of $15.50 triple net. Additionally, Petitioner was confidentially supplied with an executed lease at a rental rate of $13.50 per square foot in the base period for a former bank facility located within the metro area. Upon review and consideration of the market rents as set forth in Exhibit B. and the location of the Property, Petitioner contends the appropriate market rental rate for the Property is $12.50 per square foot NNN for the above grade square footage. 3635 23rd Avenue Page 2 To the market rental rate of $12.50 per square foot for the above grade area, Petitioner has applied a 10% vacancy allowance, and to the Effective Gross Income, Petitioner has utilized an 8% expense ratio. Our income approach is as follows: Use Sf Rate Main level PGI V&C 10% EGI Exp. 8% NOI 5,425 $12.50 $67,813 $6,781 $61,031 $4,883 $56,149 Petitioner, in valuing the basement area of the Property, has relied on market rental rates applicable to basement area office space. Based upon data collected internally by Petitioner's agent, Sterling Property Tax Specialists, Inc., most basement area office space in bank buildings lease for approximately $5 per square foot NNN. Rentable basement area is typically reduced by 5% to 7% of the gross area for stairway and mechanical areas. Petitioner utilized rentable square footage of 95% of the gross square feet. To this Potential Gross Income, we have applied a market vacancy allowance of 20%, and an expense allowance of 8%. Our income approach for the second floor office space is as follows: Use Sf Rate Basement Area PGI V&C 20% EGI Exp. 8% NOI 5,154 $5.00 $25,770 $5,154 $20,616 $1,649 $18,967 In determining the appropriate capitalization rate, Petitioner has taken into consideration the average capitalization rate as reported in the Summer 2016 Burbach and Associates Real Estate Survey for low rise office of 7.6% as branch banks are most similar to office properties in regard to function, finish and design. Petitioner additionally gave consideration to the concluded capitalization rate of 7.8% as determined in the base period appraisal of a bank property contained in Exhibit B. Accordingly, given the Property's location outside of the metro area, Petitioner has applied an 8% capitalization rate in its analysis. The combined Net Operating Income for the Property is $75,116. Applying an 8% capitalization rate yields a total actual value of $939,000 (rounded) as shown below. 3635 23`d Avenue Page 3 Combined NOI Capitalization Rate Capitalized Value $75,116 0.080 $939,000 (rounded) Based upon the foregoing, Petitioner hereby requests the Board adjust the value of the Property for calendar year 2018 to $939,000. All information contained herein should be considered confidential and not available to any third parties. Sincerely, STERLING PROPERTY TAX SPECIALISTS, INC. By: iCJfrg44.44 Darla K. Jaramillo, Property Tax Consultant LETTER OF AUTHORIZATION November 2, 2016 Sterling Property Tax Specialists, Inc. 950 South Cheny Street, Suite 320 Denver, Colorado 80246 RE: 2017 and 2018 Property Tax Assessment Matters Gentlemen: The undersigned, as owner(s) of property located in Weld County, Colorado, at SEE ATTACHED, and more particularly described on Assessor's Notice of Valuation, Schedule No(s). SEE ATTACHED hereby authorizes Sterling Property Tax Specialists, Inc. and Goldstein Law Firm, LLC, to act as agent on my behalf regarding all 2017 and 2018 property tax assessment matters, and obtain any and all documents relating thereto and file any protests necessary. This Authorization shall be effective as of the date set forth above. - BANK MIDWEST, N.A. By: Community Banks of Colorado, A Division of NBH Bank WELD COUNTY BANK By: Community Banks of Colorado, A Division of NBH Bank Joseph C. Schwecke, Joseph C. Schwecke, Director of Facilities and Security Director of Facilities and Security Telephone: 720-529-3320 NBH Banks 2017 / 2018 County WELD Bank Midwest, N.A. Weld County Bank Address Parcel Number 3635 23`d Avenue R7455298 2395 37th Street R3388705 365 Justin Avenue R3575405 7251 W. 20th St. Bldg. A R1358002 1270 Automation Dr. R0840701 3766 W. 10th Street R2941304 Bankra fe • MORTGAGES BANKING CREDIT CARDS AUTO LOANS INVESTING TAXES 1 1 Free creditreport 5 tech trends driving the future of banking DEMISE TROWBRIDGE j; =. r _; What will become of the branch bank? You might soon have to bid a teary farewell to your neighborhood bank branch. As more people bank online and via srnartphone, banks are evaluating the future of the old-fashioned branch. 'e r i•-��r wrt-yam -c : ..._;.., L : • r ! 1 y n •-. •.. II .. ..• !. •1 •t �� •ir.�• J •. ..i C..3`iJ..L says Brett King, author of "Bank 10" and "Branch Today, Gone Tomorrow." Customers don't visit branches as often, cc because people do so much more of their day-to-day banking without them." From 2006 to 2010, the number of most types of common transactions performed inside bank branches declined, from opening bank accounts to making deposits and resolving problems, a study by industry research group Novantas LLC says. I. S _:.'...:?c. the lwC - oFba.:.k. C a:ap?C liar? c: tirs . . - • • .- .'. a • _ • — AiSI • pC ct: J:G, tttt.2gvt. likely Del . :r.:-*; :cil3iy ' c z t 1:e4. j. 1' .. .. . -,... . •, • a n snz'.:r :cads says Maria Q Coyne, executive vice rnroctrdc ₹' "F rung me r an ` . P.. �. -1 ctYt Il_�rtc,e-9cc fin.. Cleveland -based KeyBank. Self-service and technology are quickly becoming the name of the game. "There's still a place for the branch, but what happens inside is changing," she says. Here are some of the trends driving the future of banking. Related Articles swamia :444 7 surprising benefits of higher interest rates from the Federal Reserve 8 ways to save money on a budget 4 coilege savings plans to consider Build a 52 -week savings pan America's IC biggest banks vetmoner-s Exhibit A ! Do-it-yourself banking The branch of the future "will look more like an airport cheek -in than a traditional bank branch." Coyne says. Fewer tellers will manage a handful of self -serve computer screens, much like airline ticket agents at major airports do, A handful of banks; including JP1'/Dorgan Chase & Co., PNC Bank, Bank of America and KeyBank, are testing self-service r kiosks, self-service drl\'e-thru lanes and 24 -hour video -teller machines — ATMs with a two-way video feed to a live person. Ryan McInerney, Chase CEO of consumer banking; told investors that bank customers can perform 90 percent of traditional banking transactions at self-service kiosks, and Chase plans to test the technology at up to 1,000 hank branches. -Ranks are alrPar4�, rim lnyin0 ATMs that- lei customers �, .. �. p! / •Q ATMs a s 111u let deposit cash and checks, "then print p . i a picture of iron the ne receipt," says Richard Hunt, president of the Consumer Bankers Association. Self -serve centers give customers convenient, sometimes 24 -hour options for conducting banking business. For pinched banks, it's a potential pot of gold. Automation lowers the bank's cost per transaction, making banks overall more profitable," Hunt says. Talk to experts by teleconference Need to meet with a mortgage loan officer or personal banker? Pull up �-, to a computer. You'll soon be meeting him or har via e z_--conferenlc` Z. the branch rather than in person. "As the technology becomes more mainstream, eventually you'll be able to teleconference with bankers from home," King says. Banks, including KeyBank and Citizen Financial Group, an: - testing video teleconferencing in several markets. TAKE ADVANTK& OF TODAYS r LOW , we �TFAGE RATES ofiniers Md Bari -tre Get vas £u SC tj Free Crr:Sc Seers The benefit is you can meet with all kinds of experts in far- flung locations, while in the past you'd have to wait until they came through your area," KeyBank's Coyne says. "(It's more) flexible schedule -wise and ensures customers can meet with an expert who speaks their native language." Customers generally will Cal out forms via computer in advance, then head to their local branch for the meeting. The conference screens are very high -definition, and you really feel like the person is in the room," Coyne says. "There's no speech delay. It feels like an in -person experience. Goodbye paper and snail mail iii Banks are pushing paperless transactions in a I(r(� bid to reduce costs. Wells • ter,.+-� Fargo customers can have \.•-' receipts sent to personal email addresses. In a bid to reduce the nearly I billion paper slips its customers generate each year, Chase is testing paperiess teller touch screens that can initiate routine banking. V transactions, such as deposits to bank accounts and check cashing, without the need to fill out a paper slip. aim :. a. ar 'ft saves customers the trouble of filling out a form and saves the bank money," King says. Even the making of new bank debit cards is going high-tech. To reduce paper and mailing costs, some banks are testing "instant" card issuing, where a special machine inside the branch can make new or replacement cards instantly so customers don't have to wait for them to be sent by mail. It eliminates the sometimes two-week wait for a new debit card. Chase has made about 85,000 of these cards in. 58 test locations since 2008. Still, eliminating paper and snail mail completely is a long way off, as banks will have to make a huge front-end (tech -,no og—n investment in the next five years to completely get rid of it," King says. More new, mobile, types of accounts Customers will soon be gadiling more mobile - banking payment. and account options. "We're going to see a lot more and different products, and a richer (banking) experience," says King. For instance, plastic debit cards might soon be replaced by a contactless sticker — a thin adhesive that can be placed anywhere and used for purchases in place of a card — or smartphone payment app that not only lets you pay but generates reports on your spending habits, King says. Banks already are rolling out banking software for iPads and tablets and thinking of new ways to structure bank accounts "that are more purpose-built," with more options for tracking money and ways to make payments, King says. Hunt says there will be more options, not fewer, and banks will still "offer bread-and-butter checking and saving accounts," just with more modern twists. "All the banking products available in 1900 are still here today — like checking and savings. As technology evolves, banks aren't taking instruments away. They're just adding more options," he says. The strate Coyne says. / U. all about r eeti11 rljentS where they am " • Future of the branch Ai! of the self-service kiosks. vto er machines, attd Internet tainge•and industryus oft c c:1 :~ 1, 1 restfiy tri:s t .C .vto G:.1 ST ;En:: r ✓a.i.t u'al..''i "Weise predicts e 5 ,= EKen . to c1 Cr It! US frwt: yet' b• • •• ad 3 " King sem Hunt says newly built locations and those remaining likely will be smaller. "We're estimating they'll be about 3,000 square feet, but some will be as small as a kiosk or a hotel room," down from the current average of 10,000 square feet, he says. "There won't be a one -size -fits -all branch anymore," Hunt says. King says the branches will be less focused on simple transactions arm more focused on sales, such as opening V 1 new bank accounts and steering customers to more profitable services and products such as retirement planning, brokerage accounts and loans. Bank branches won't disappear entirely. "As silly as it sounds, people still like to be able to walk into a branch and see the people who are watching over their money;" Coyne says. More From Bankrate rite Wiwi bill ever printed by the tioo.xoa note bears So likeness or VRl�nw Fven W vein hew thful Ma • 1~. Sponsored Stories How to write a check SVIWINrs So 0 Pictures of big bills - $500, $1,000, $5,000, $10,000 9t !'+�<)'4Ci --• • Routing number on check: How it works why engaged couples should sign a prenup cm AP T ?,!')NE I .«. 'SiENCI:l) a A-5 r r ••.H 6 a Retai��bank branch is doomed, and banks don't know it 7 2 n.arr nnf of rni( onf i ie Goldman Sachs report • •r Tuesday. 2 Jun 2015 ! 2:13 PM ET CSf *kept' lAinn'f J e.4 • • , ... • . . V . ,os {. r1pa x, e4 :1 :e: fl p 1 1 •e \. .... C. %A • 'Is .4I „ C Big banks are roiling out futuristic branches to keep up with the technology cutting -edge, but according to financial technology experts, it's a major waste of time and money. Within a decade the retail bank branch model will be dead. 0 Q SUBSCRIBE : PRO \j\/ AT = i ' ri_�ST arc• "Finance will be the most disrupted t' ►1r1 1 �r in �• next 10 disrupted industry the years," said Peter Diamandis, executive chairman and co-founder of Singularity University, at the Exponential Finance conference in New York City on Tuesday. • •%._ . t.4 t.. .. • CUP..... .. - _••• .. . .. . '• .. • .,• I. • 34.1•1•12 . - a. . • • . 1- • c r'e.s. "Bank branches will most be gone ... this decade," Diamandis ^: #ta•ar+.a Source: O et�o`d A prototype of a Diebold bank branch of the future Brett King, founder of mobile banking app Moven, said the banking industry will experience more disruption in the next 10 years than in the previous 300 years. r t' girl Ea L.J ray BLUE MILLIONAIRES Iante r a I r• -• _ ..: r• =•z°tKf ._A!?.' .;: 863 SHARES FROG THE WEB The kitty Fcol Cher!roil sir ?M: C.cor va,tir.Las• S. - • Sponsored Unks by Taboola 1 1.. I.• • by Taboola "Bank I eit ers t.a•iU be the telegraph operators of 21st century when ilc took bat' in 100 years the most -impacted lob," King said. "This wilt hurt rt retie .1 • atg Wirt . 7 p 1 e :St f 'i, rho "cin?Cis ,ay1 =f harp{ a+► *.►riy►;:o Fn« aI The nvr be-. etc "aer,'a f1 •w y ,• across take 5'i Yob ,r.Ion •-;rte at: I. s in.pr,r !• ti - 40 l� r17 Vei' ^;f . ea M ! - i n tha ,.;las ;j itf irez • I . a 'er Ve c:sr'rni&" about the By 2020 at least 66 percent of the global population Will be online. according to a conservative estimate from PHD Ventures. That would mean an additional 3 billion global consumers. Diamandis thinks that number will come in even higher —as many as 5 billion new consumers —backed by Internet -expansion projects'like 's Internet.org and Google's Project Loon. "That's 3 to 5 billion new customers not accounted for in the global economy today entering it. I don't know why financial services companies don't get it," Diamandis said. The biggest banks 1� r: e technology CO:fir, through br jii`,c : ..� y .--- L a fi, I.4ri4.4; ttr $ 1 (111..--t arc 90s th3t grk- ve b`r ohv' s' 71; P3, r res n "+e 1!i Iii hR\ C..4 r . -Brett King. founder of Moven r •ti '14 H. Jay Sidhu, chairman and CEO of Customers Bancorp, which owns the BankMobile app, said in the U.S alone there are 68 million individuals who are unbanked or uncierbanked. Forty percent of mil!ennials would consider banking without a branch, according to Accenture. Meanwhile, 70 percent of the unbanked in Africa would have to spend their entire life savings to get to a branch. t . . . i :. • • • Banks' biggest mistake is still thinking of communities as geographic markets, Sidhu said. "I was walking today, and there were 20 bank branches in six blocks on Madison Avenue. That's $30 million in rent," Sidhu said. "Putting screens in branches ... Why, when we all have screens in our pockets? . :• - • . in Union Square ... It was built in [20 10] and looks like a bank of the '60s to me," he said, adding, "Bank branches are mausoleums." T= • c••• a. •. • at.... • .'r ''. rr 9. . Y . .: ' • . b • 'I.. ♦ : ..• •• .... • 1• still be as many as 75,000 bank branches because "the banks don't get ft. Banks are like Kodak," he said. MOST POPULAR S + l 0 .dam .,., -- • : a • N•4 , ri .:�..•t .• 4. rr. ..._ �.•t: sorl •44 .44 ••t;t•_' II • • -. • • I . a • . . • Oft • A stampede: of firdtech unicorns A big reason for the bold predictions about the divergent fortunes of banking apps and branches: There are 8,000 fintech start-ups in the U.S. today, more than the number of savings and loans with charters. There is also more venture capital investment in fintech than traditional banking industry investment in bank transformation. A total of 36 fintech unicorns now exist globally, by King's count, and another 32 fintech start-ups are on their way to a unicorn valuation soon. • ! • ) ;-•• _ ,i. Z• _es. -I-:k.;•'•; . • • "The biggest banks in the world in 2025 will be technology companies, and banks that grew through branch acquisitions in the '80s and '90s, that grew by physical bank presence, will have a real problem." King said. "They may have to give away the retail business." Yet he said right now the big -bank thinking is the opposite: Many banks continue to make the mistake of spending significant sums on bank branches that look more like Apple stores thinking the consumers will return. bit's not a design issue. It's not branches not being pretty enough. it's a behavior problem." King said, adding, "People just don't need branches, and this decline will speed up." He added: "In 2020 more people will be banking on their mobile phones than have ever banked before, and that's just five years away." Editor, CNBC.co,-n MORE FROM CNBC •,• • - ♦ , ♦ • •_- , • i t - .• • ♦. • • • '•• ♦ • — • ♦ —• — FROM THE WEB fle r • • cif 00 gem ♦ • ✓ • • - 1.1 _ ♦ :3• -- - I ♦ 1 • _, •• ti .. - r - 4 n t e ' r i .-' • % , t T. - a. - V '174 • • • 1=, by Tabcol; } ;pc^5::rad L-rks Cy rSbQo,a • a../ ~h kal s' 1 fi• i Ley r-4 . 's g Best for Savings Rates and MMAs. View our comparison char`. • -I • ._ ••_,. • -a 7h floNey Fool Services Industries United States / News News release CHICAGO S.=.at ch Research L ocations Properties News About F 1 om B d 1 c. s to C i 'd.� , �s Branch ""ra:r sfor►r ato a 24 April, 2017 = 7n_` ech 1 ' gag Bank ILL outlines the key real estate trends defining the future of retail banks Lik'' I Shiro TVIL2 CHICAGO, April 25, 2017 — Consumers are more mobile than ever, and the banking industry shows just how quickly innovations alter consumer behaviors. It took decades for simple cash -dispensing ATMs to be accepted, but now mobile apps and FinTech define the entire future of banking real estate. While the recession forced banks to tighten operating costs and halt branch growth, mobile banking picked up momentum. As a result, banks are consolidating and optimizing locations. . _ - re S ♦ •1 tar; rn g7 h3we tC f ... �� • 7 • ? �as • es" • ♦ n a r.• ,a t • U S 1:177 ba ..s Size 2.1..4 according to the FDIC. At the same time, new branches are still being built to fulfill market needs, indicating a robust and evolving industry. "The branch strategy of relying on sheer numbers to win market share is a thing of the past, and now banks need to locus on a customer -centric real estate approach," said Geno Coradini, Executive Vice President and Lead of JLL's Retail group "Mobile apps and FinTech have transformed how we bank, but branch banks don't need to compete with these tech advances. Instead, they should leverage them to maximize real estate cost savings and the customer experience moving forward. Technology brings a sea of change to retail banking, but the industry isn't drowning; it's evolving." With a massive real estate shift underway, „LL's new report lays out the must -know trends for retail banks: ,1 The number of branch locations will continue to shrink, and we won't miss them. With banks adapting to consumer needs, tt.-_te cou:i be a 2G percent reddct!c)n in branch locations as leases expire over Lite next five years 1+"vrriie customer access to branches remains important, the necessity of a branch network is being uaia'nceo with advances in mobile platforms and FinTech, and fewer locations could lead to 53.2 billion in annual cost savings. 3 Mobile apps and broader FinTech applications will streamline personal and business banking. Mobile technology allowed early adopters to complete simple banking transactions without ever entering a branch or even using a computer. Now, customers expect to do more than transfer funds from their smanphones, and innovations will further expand mobile capabilities. a Bank branch size will shrink, saving billions in real estate costs annually. Consumer trends na.e led W less s�... ce in 1•: al.rmr.e:.l.1ss f y cioaisisie;na ratrnia.n.n.; C! 3rctic by NCI cqt: fa la≥ ; eus a r �2 .J � ,,. u _ .Lt an�_ t �.�K cat 5at,:e.;,f'l•.1 S'ui plUS it ne sS(h t, b:m ican i over Sc. •. t. S S��tr t- over ... 4 bitting anntl3tt Y rv=5nn,c People 1/4., ?r0. art. Contacts Mike Romor =1 312 228 3958 Cont-tci its • Net ail branches will be created equal. As banks tailor branches to meet customer needs and regional demographics, full-scale operations and "convenience" locations for basic transactions will be peppered in their real estate portfolio. Automated branches are coming. Consumers today are more accepting of banking innovations than in years past. Moving forward, expect to see greater use of remote tellers assisting with basic transactions. 'The introduction of automated tellers is pivotal for banks to limit real estate costs, however it will take time for customers to fully embrace a technology that introduces a whole new customer service experience," said Coradini. `Optimizing market coverage is neither quick nor easy, but the long-term cost savings from this shift can be significant as banks also eliminate and shrink existing locations." • For more insights on the outlook for the retail banking industry in 2017 and beyond, download About JLL JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. A Fortune 500 company, JLL helps real estate owners, occupiers and investors achieve (heir business ambitions. In 7n e n !I I :._Pa -: _t •C n , .,t-.. • \I ::: <.. ... •JC. a. VV.V ul,..�• ..tea f -I ♦C t.: 1 . _ 'ii,y • C.L. .L:. C, tut W n 1' .. P•� .a_, . .: . .... _.• .w .4 / / 1.4:11:.••••• z,, V v.C. _:,•. �.,, CJ•..,,I, V.1 VC..•,4•t C.• �... C•...i, I..t.•141 L.'v T.'7 Ltlq v•, square feet, or 409 million square meters, and completed sales acquisitions and finance transactions of approximately $ 136 billion. At year-end 2016, JLL had nearly 300 corporate offices, operations in over 80 countries and a global workforce of more than 77,000. As of December 31, 2016, LaSalle Investment Management has $60.1 billion of real estate under asset management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit .: Irtlortdwide 'few giobat site !n.,estor Re'•at ens Information for Investors Tenarts and Ccr.^tora!es Learn more about Awards aril recognition Cc;pora:e resoonsit!I-ty Diversity end Inclusion Susiainability 'isiorkplaacs Safety Research & insights Ir.dustnai and Logistics !nduSt:'.es Office Real Vieirs t e Investor Contact us Follow us Al 3nCiui4 Pf, a_y rpr..K or Lit, SPA' 113c Ccoyncht 2017 Jones Lang LaSalle IP. Inc 3 a I Bo nkrate4, .1e441.r; • 1;4.4 s., , 1'11e t:, w r • �. 4 ways advertisement ! G vvJ 'i change yourban By David, McMllin • Bankrate.com » 4 Ways Tech Will Change Your Bank Branch Technology will change your bank branch E c branch crom simplifying payments with person -to -person transfers to eliminating tne need for passwords with voice recognition software, technology is revolutionizing how account holders manage theft money. The result Is that bank Dranches are tacking Tess cro\ ice ec. iMnile customers can perform many transactions from wherever they are, technology will not force every branch to snut its doors. "Bank branches aren't going away,` says Greg ,McBride, CFA, senior financial analyst at Bankrate.com. "The oranch of the future is just going to look and feel a lot different than the branch of the past." As you enter the new age of consumer banking, here are four ways technology will change your bank branch. , ri�-=. t�-v r ^�•` ��',^:`t n.� --.. .` -. ^� Ti. L I v L^ J l I �. L+� \ I I �/ L. I.� r l L •�.. .♦ I a n j .1 .) ••1 ^ C I I SHARE Tf- iS STORY - •\ � f �1:... ,� re' ./ • - . • • • ♦- I to see what your friends like. Your teller may be many miles away .\ • - .. i• y . v . • - --K D.- -.• -As - 4 Account holders are growing increasingly comfortable with making deposits and transfers remotely, aria some banks hope they will enjoy talking to tellers from a distance, too. To reduce staffing, McBride says that banks and credit unions are beginning to embrace remote video tellers. These I -T1 transactions elsewhere," McBride says. Still, don't expect all face-to-face tellers to be relocated outside the walls of a physical bank branch. "The majority of customers still want those personal interactions, particularly when it comes to bigger decisions," �cn s, says Todd Barnhart, executive vice president of branch banking for PNC Bank. "Consumers still want access to someone if they have an issue or a. need that falls out of that routine cat egory, goty, such as wealth management advice or small-business banking services," McBride says. .,054321 P,Inkau » 4 Ways Tech Will Change Your Bank Branch You can do your banking later Communicating with a teller through a screen may seem strange to some account holders, but banks are using remote tellers to offer a new benefit: 4 longer hours, More account holders expect on -demand access to money management, and the traditional 9 a.rn. to 5 p.m. business model of the 06 bank branch is going away, "Some of the busiest times at video -assisted tellers are evenings and weekends," McBride says, "These are times when branches weren't open in the past Customers now have more available hours to take care of their banking needs." Sorne banks are extending hours for remote tellers to as late as 10 p.m. on weekdays and 5 p.m. on Saturdays and Sundays. Although call center tatters are not widespread throughout the industry yet, more banks are beginning to test the offering to see how customers react, Ia representatives can offer assistance via video confere,kiltg on ATM screens_ "Banks can't afford to pay tellers to stand around and be ready to post deposits and process withdrawals if technology is facilitating those �1y ��/ 5 44 2 1 B nrt ng , 4 Ways Tech Will Change Your Bank Branch &3432 You may feel a bit cramped As fewer account holders make trips to physical branches, some members of the banking industry are experimenting with new branch models that are a fraction of the size of traditional locations, "These express banking centers are a way of still having a physical presence for consumers but with smaller real estate overhead costs," cBride says. In. addition to opening spialllerbrsnchtes, B rnfhart tayi that customs tan expect to see more CimitecPsarvitebanNing loo'it1ons pop up in supermarkets subway 4€ 40§,11s4 fnd ,gther new,jo & frats la "The one -size -fits -all branch model is going away," Barnhart says. "For a long time, every bank built the same kind of branch everywhere. Now, customer preferences are evolving due to the convenience and accessibility of new technologies, and branches will follow suit. "Customers don't need a 5,000 -square -foot branch every time they go to the bank,'" Barnhart says, 63432 11; LDS ;(5,,..i ti 4 Ways Tech Will Change Your Bank Branch You may drive farther to reach a branch s Technology is creating new opportunities for 41, �, pig more customer convenience, which is also allowing banks to close some less -trafficked branchs. tato According to ditto from the Federal Deposit Insurance Corp. the number of p branches and bank offices in the U S has declined by more than 3 since its peak in 2009 Evlare account holders are embracing technology. end 'vat n.. rn co. ;r will continue tofan INReducmg. braric;11 ousts is a necessity because branch traffic is aeclin.ing," McBride says Despite the decline, statistics indicate many consumers are still committed to going to branches. A 2013 surve y from the American Bankers Association shows that branches are the second most popular way to conduct banking business behind online banking via laptop or PC. In the future, there may not be a branch on every corner, but consumers will still be able to conduct their bankin g business in person, "As a whaler the banking industry will most likely see a decline in the number of branches!' Barnhart says. "However, owever, I don't think it's as dire as some of the headlines might say. The bank branch is not dead.'' 6 » 4 Ways Tech Wll Change Your Sank Branch 85432 See what's next £244L Posted: Feb, 2412014 Fotbes aohlt AtronContributor I write about small business tending and growth. Q*' tt twins by Pvibn Coctibutv1 ye IFi t won F.'ptlR artt Fc:'.':C 12 zizoi5 it 12:15PM 1,214 Views Branch Banking System Changes Will Continue In 2016 A new survey released by ha ritir;t co rti found that nearly 40 percent of Americans have. not visited a bank or credit union branch in at least six months. Some 45 percent reported visiting a bank or credit union in the past so days (ATMs were not included in these figures). The propensity to have visited a branch ranged from 41% for Millennials to 4& for those ages 50 to 64. While that tells us that 6-in-io people still are visiting branches, the need to go into them is declining. Small businesses increasingly are turning to online bill pay, and traffic to small business lending platforms is growing by leaps and bounds. Typically, loan applications are completed during evenings and weekends when small business owners have more time to focus on aspects other than operations. Having the ability to make financial transactions such as paying bills or transferring funds electronically has saved entrepreneurs valuable time. Increasingly, these transactions are being conducted by tablets and smart phones, particularly among younger, tech savvy individuals, An important reason for this evolution in finance is that online banking is more secure and user-friendly than ever before. With just a few clicks, users can pay their monthly bills or transfer thousands of dollars in funds between accounts while avoiding a trip to the bank. f 1 e apps such as liiz2 redit's Difzkitatkaertm allow borrowers to easily access and manage their credit scores on, - the -go. Further, the tool offers advice to help improve their financial portfolios and thus increase the odds of securing a loan. Big banks continue to work diligently to integrate technologr on their platforms to streamline the loan approval process. Advanced algorithms enable financial institutions to grant loan requests with a higher rate of success while placing even heavier weight on past credit history. Meanwhile, small banks and credit unions that have limited online accessibility — or none at al! -- find themselves falling behind i n an increasingly competitive marketplace. BE A MARKETER �c}n iia:rnsty!cCycIe and 660,000 other3mM ! bLS '.,cs to trust Coro aCo! .t K" sm I i‘ Marketplace lending platforms and the emergence of institutional investors in the industry have drastically changed the small business finance landscape. Far nor l hk y - p * y - �' � � ' ' "..,.-. ~'..�1��' �= �� '+���� �4�.;i1.3 `ail ��:.L � ��_ ti� ! � ( � � tl . �� a: r Room i H - P-. h° f i+ �3,,"i Va' �* "aid r I qS• F p�� •. � I� �� F i Ro -'Ut yt ■, r M i r i w 3 � ErcIJc ti- a sad r'er�i. d(fii' irs Ameig �r bal�ia.l�rr A tt Iws" 4` tisimittt fewer britneb:r 4.mm:d kiss ptirpple woriinx in, them dawn No mitt I expect other banks are likely to follow, Ultimately. this will translate to the closings of more bank branches nationwide in large part because of the efficiencies oftechnology, but also because of high real estate costs in cities and an increased propensity in entrepreneurs utilizing online barring opportunities. While people still are in the habit of visiting bank branches, there is no doubt that the banking system is evolving. Just as holiday shoppers flock, to the Internet instead of crowded malls for the speed and convenience of consumer transactions, Americans are embracing use or tecanoiagy for their financial needs. Not everyone has or will give up the experience of visiting a brick -a ad; mortar store or bank branch as the bankrate survey found, however the trend of using technology for financing needs is apt to continue in 2016 and beyond. RECOMMENDED BY FORBES i y 't� 1� :' ct l '� p I +j .. .• _'1 , -� a '4 r,.. .:: �� 4 Y i I I i ro & o c y) o 1� ��f`.. 3'lrfp:�} �ie�"ice F a�0 .F +-„� . 1.__:- r y6i�4 �e i1' _r�! L��/LLIV§ This article is available online at •.. ; 1d • 201T Farbea,Gortt LLGN AI! Rights Ras wed 5127/2017 C °tar Proper tyit 4695 Quebec - Colorado Business Ban D n,er. CO 80215 - NIortrhea,it Het Submarkel Full./ Loned Building 6,350 SF Bait;•< 6uilctn.y FRenova'-qd in 2003 Built in'9?5 Saki G_7Lr' Tr Kira 1 =t5 rr °1 4 Hit CD tiLs 550o,C00 t� i•1 .3� 5r1 Apr 200 In'+"e3Irreri: °'own Payry t of 5'CJLGCI1 (1.1;7,7.,„) 63n5SF 1 1,. turd f+la3opr} Fedor red35 Surface Spstxi are avaF,31:c of 645/1,000 SF Frontida 4'or:47t Ave Ave 340' on 47th Aid Cr -Sins --- 1.3''•' H-.-1 54T on Q+untec St ra v45 53 51 /SF (201'5) •.•Valk 5Cord Tf3n3et Scctat Land Land Ac ; gig Ea g r•3icei Tenants Car.tlptnde,nl (39: Som.;r6� tlsil (3v j 1n1 2t:03 ti -3 None None 070 AC 0 .2 I -I , Dr:t'f'r 1 ?�] 1-2 1 -035 l �"r 30,513 SF Na rE CQiCrada E',tsfreas Ban; Amen Iii°3 Frea:'i'}j S;'•_:'JDsus, 5219 SF Building Notes -11 P'y!o n 5 in - 1•,C 3, a''ti,• �t LL C, iepa ese t j t } S ngr'e s-t.14kr. 5; Really, ,�+ +11•r� ti . 'i&. dr •- f +r°Ir` t.a.'!�', �'�.Ift,f`A7f�••�' r:l� (r4 ,t'...g- FValc.t' and CorpIha sells, 55-75 auea. FiFarance Corps t 0110.344337-044L320 tar more Thii guniv:r nrysurrarft bu;:d:r.; Olen a burr b`alion,„ alt./ ainry consr.-'.rct on and lull argrilic6a Ir:r an operator cc iet•es`.f la op -en shirr b•uskim. Sr;t tc9rys_rrents and FF►I,E afr Inck.CsI In price, Adiarant tc 1N'v'plcn it ft wrch ce°&Vr!C1 Wes 'hila Iw hoist. Traffic Counts: Qt,b ec -4,14100 can/day 1 i 9gSi 1-70 - i 17,557 carJfl f (2001) t -27Q . 712,-: Cnis'r_'ig (20'61) Public Transportation Den -rat Inlarra`L;ar°rat Aseuerl 25 rr..'n 15.5 ?ri Leasing Aztiv'ity - •- Le n . .4 !Aar 2013 l,ai ?CO3 Petitioners Exhibit II 5 L, a n 6,313 SF 5 3.3? Sr Market Conditions - VSe 4.al 4111 C ir! r.. SL.l'-:,!;i1 n SS,, tel.'s:v - t 2 4 2—I 5:1! . L1c 1IeI •./ • Mf31I ,&.`tAir'a.1 t ?.J S'-' 12 Mo. 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Tr Tt rb e 11 , . -•-'I % ' �� !• _q NEAR FLATIRON CROSSING 1591 F Coalton Rd., superior, CO 80027 •.r _1 �'zr �r ry,�. • ° a_ i_ it at•.; •.yr Jr e1 P •r r etar'ab.? 9 r I ti r 'Lair: —ti - . a>,.ar Is ' icier -r ere �.�j7►' �'t�]��i,.nr' r 4� •'yam$ -sin 4' 1• 4 a et-rJ• f�•-e S r y i I. .+ 'a• ,.-yam—�y -' • �. .-. I'A4:1;427-0l -•••:"°•2-.5 -- 1" •rM'.,� r' •y M a df• ! MiYl1f-"'6+�iRii J•.' i twit..`� y�� _ ,.,.•pry, (]� fir,} ,� �- 3.'•'�~,� �t�r 9!1 . �' y„-rr�re�,1�, • �•■ }-'• ���yr.f- ',} •4 ti 1 .1' a+!!I{' •+'�.,.aL*.#I�ItJ�•- �.rl. t'�z.fi+�1—" w+�4ii ui'14�#: e a. •.. a ■ Suite A: 11779 SF 1514.00 Per SF $9.85 Est. Suite B: 1.557 SF [LEASED T DentUst] Sup to C: 3',05E cF (516,00 Per SF + $9,85 Est. INN) -rot? tS ••i •._S- wan. t... a: — - •-• 1 1r'• C ._ - SALE [EUILDI 1G1 .r 41_1 in e m -I. . ••-_-•• . •a•••.• • SALE (CONDOS). 4 r1, z. $1.450.000 guile A. 1,7 79 SF S400,275 ($225/SF) Suite 6:1,567 SF S363,245 (S235/SF) Suite C• 3,050 SF 0732,000 (S245'SF) ■ t • CDSE5. V;ESS • • 4. - • r- S•. ■-.. _ - . • _ : f !lc - ' ` I _ 'Y - 11 :'r - • ^ :• - :. , ' r5 Jti • :I 'I • 1 _ -•a1t-- r,- C�''� ti• - r',a. r.( 00—'—I --,;. Lei r� -.eh gig i sr!i , 4 • - ! , - air 4 rr n Arts; e•'a8 r • ES a • • d - a Pit ,fw• a,`•VI PO Ili K�,R i a %--,11417314 •„ • err ' r ,■ -TENANCY EE i I IVESTM ENT OPPORTUNITIES • •M• . Ljk+ FaL�J 'a!`,e=Jt.:t tarrrirrnis4. 1 d i.. •i ;�ir t • �'4L ''a!r�+t 1 r 1i G i eo,•ii,ryV. •. Er 14.••;1,41 `LeL. .fie 'isla .-. R -tL 'k'e f •^1.11;1:rb{a •I -•-••,4 t S �p,r,h4•t,il,a•r•�y- �r►�al n 13a.•f+l�i f r i ■• ate.. _: t ■ iktaltat L -- I • J — !1 ■1 .1. �1 p - f.. �r t•�r�4 • -Attractive and modern space for Retail or Office use in a busy retail center -Building is located within a fuLiy-leased Safeway neighborhood center (Great Clips, Subway, Pizza Hut, John`s Cleaners, Flatirons Family Dental Orthodontics, Daucf s Derr Diner, Recd, Creek Wine & Sp���rits, T2.C Nails, Delvickio's I t? flan Restau rant) �f� i}� -t r � � : b,�^,-,� ' '�, Sher n; Mi, eniary t: e -1 rile from Regional Shopping Center - Flatiron Crossing -Total building size 61395 square feet - Lot size 1.33 acres - Excellent multi -tenant irivestment property. Potential S100,000 t ICI and 7.0% cap rate • ra at • • r Y r , RI IETVSTR3N • q 1. •- rt t �. i •I r -1 . I.6 ■• .. • ' ra y'a•;-t ai. •'� ■r 7r .re1"ct3n' tia .r '7 era �ti trii„i. *. ■ „l• • ■ .■ .. ., -1. a ., t• W.", 50. • •'Ie °.,r .. 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We I • • r Y i • ^ar r L 1 -1. 1• ■ !rah aaj� + 4 .� 1 I ' is ■■■ I �.Y �r"'Y ■f•!1 Yn I L•."al ig1s.IT .Yc11i1 k' '• 1. r.� a 1..ar- .r a- « a -L • a •Y Y. • 1 W•• 1 r• :11 i a. ^a • la J' • + r is at • °L1 4 • •l, "d,'- •or 1 - 11y 1' �.'•.Lici' IL .- r.l' •' I •'P I 1 la :1 117 4'0;1! t:tli sinasar •. ■ a dill I i f i. r,a 11 •�i !II `„_�. a " - •'9 tai ^ a(._ �1LI- • 1 :V • •1.1 -ill.• I r 14 R �:4 •�Ja 14- • � 1' r - 4 {. 0 R-! 1— 'l" F 1 el 'I r �. �i • Ii 1 I - 1 L r1 I.) , (rt:, l . 1 14, r'•"t if I a Uro. • E r• 4.2�_..f- •r.. 'tapiya. rlf f • orP s 6 • j r 1. ls aiti: o• lias jig Id di c b •�r a at 1t� r R • 1Nil r. /' - 11 p E a• y. ice_ a i III I�� RLAH T L 84, OFF . a • -a �''1 '1 L 1 1•'11 Bqufo &&NfothftBrij•Park Ld •r-f�Y•■•4 ✓ • • r :rote; • f ..a { LL• •- iIP.-.. • 4.1.•i• Jt .�.✓9_ tit Ne �•-'1 a •) i L ea A 11 t . • id. ?... . w Ia is 164. a. 7 r galar: t:_;d -• . 1 ' ' sierr a a I a 1 I Yt • a r • POPULATION TOTAL POPU! ATI::1‘I ti�dIr`•''' is` 5 iL•IInJ .� - Y' 1 DIA;k1 F Gr = y j5 ' 931 C-c`i1%I- 1 1_ /'k. Ij i. HOUSEHOLDS & li ICOME TOTAL HOUSEHOLDS OF PERSONS PER HR r1 . • 11 t- I i`..1''L Si VALUE. 'Y'1 1 1.; Lai 3 a- 4.- 1 1!• +t11 4 CaLi- St tcVI .1 • I S. a.7 1. ./ it t r. -i.— ^1 � r � 11:41 . ••[ , • •• _.' • 1•:1 r .. I -1 Y. N: ' . 4:1� t' •• ' al 1 I 7•P:: l . ! 'n T • 1 I O : I'. • . I ,1 P • I. A,. .. r 9 •1 • �r • 41 i ,a a • L_ 1 .i 1 t 4 s• ..r 1. i • CE AT ROCK CREEK VILLAGE 1697 F anon Rd1, Superior, Co 80027 1 •Lafayette ..Ly • • LoIAisuille t om-• aNinL. 1 1 I d •a Fr L !l 1 uperor- 11 to a ✓r d ■ • °{ •'* r• 7 a •'• '•. • I • . • 1 ' • - ' I . : -• 1 281 - ♦ /ram .cra• • • t •' i •• I if I�It'".r " r. • 'S• YI _ yW• • • • I I' J • 1' . .°.,1 • 1 . a • aiL a ,�� Y• - -t• • i s •+1 1. .� a ;Jr. J It 6 - r �•. sm, _ b �.IJ I■II - r . • • • 1• ..e, . . w•., ar, 1 MILE 35.3 36.0 1 MILE C4J=Ytt° 'A ti SS i ±1'_4•a • • .J. _LI, • I i_•}t •.• ti Bf nm field I (tali .I . II _f. a 3 MILES 24,05' ea ,.+.1 • 1t.J -,vs- te a 1 .� 35,6 NILES (i 1 i L51 F IEl ER 4-1_1•- r• • I • i L I r• I • ..' j' •i 1II _'IL • ''yy l. • . , -a• -n 1122. a Nor thijleri n Federal e Mar data 4D2,015 II e a i 1 Thofnton d. ' • 5 MILES C'4 7 C.• , :J I el) 35.6 3 6.4 37,0 5 MILES 9r55C.1 C er :ark 'F S1ROM a'. IIIIY. [a .1a a .. 4-441 ••_._ • I L_ a )' • a I •1 ' 1 1 . 3L ,02-.) 2.5 $g5 9) 03.3177 C Tai • 1 e` .'' ,. att :-, I i - =. YI-, I. I . mei •- • a I era 4 Lr 1 'r1 a1 ■t. II a.I. ' 1 ..„,s4.•13 . b. 'risk.' 6 ll fillet • l a Y M. ,r�? Y 1 • •-'w.r •, • ' Y, •Is''. . I.4. t.•r r 4 . I. . • Y _ea a•I - 11 •' • •• I • ■� I I.. .41 1 '64 l a ^l • Ip'a1 r • •.r• a.'Y.] 4 rlti la eJ a•-� •.I te}1191.1.kelialj'Irmat..1,4! tit ; 5/27/2017 7275 Havana St Ergleemod. COaii 1' ' - So utDeasi R3! Subrnt,ket Fully LeD5,ptJ raiid'rt+g '.679 SF Ra1a4t earth Building Bull! in 1998 Building rr•-e GIS T'(..Lau r.,j nne:k a Cctr;,'-.rL ? kri- rIfnia �a 3 S'3r Re; 3:l EanIc 2.8n SF 1 2,279 Alloonrt 22 /ma So fasts S2.:es aa ago I, b% p�;, �:a, cr 7.1:4? i >0 1 i3 on Gealas Al� 103 On!'Hd°12113at 'fa res 35 61.91 Steve ' TS3 1 aiJ Sri'r i Land � •'l `� A:ta. s St:;s'. FAR t�� r�•�1 Tenants Car.CC-.p,str'aanI '2't} Safr9 TransJ t4 ) 84 AC 4,s AMU 2075.274-13-002 et4isa' E.1 R cral lr' fir.. • SF Costar Procrtn: Lin a SF l;93 SIrl;la 35,7-1, SF 311 _Q Cred t'Uruan ArT1erlfiieS Drive Try n.1 Location Stftrr ',s'1 Su nI'+3';.a: %1i -':..t S:ad'a ice S. C6%441 c.u112 So f.he.a s Rs S'3'1711-1435; Rai Drrar Ara paha', Co oradD Cen i,v / u-•tor7•L 9+4`ho N CO Ore 4 a r. CO ' t,t+ ' w - re -I SF• 2,-r31 SF Leasing Activity .7";s1- t a'i A4 y 3O1, t *it �• 1 i 5 I 2,41)0 Sr Market Conditions t r `" - '�`� 4 ZifaiVies, 72 S .fir ',7 ';s c 2-4 S:3: i.'7r<AI .19,311 1= 2-4 S' o ra'stl r'ira.r't?JL° 1.n n; i- ��+('� . Lea sac! C ' v IIM 3'>:'� "- t0.`I 12M4; Pits Ps! EF Pie! I Property Contacts Re —de. 0':.:74r Ss'.tco F;rl Fedagal Credrt Un Demographics P:7;0 1•e+a HellithAIS a.it' r43Ds teils %(. 4.2 Pi t..I lab. 1.?t.,{i•. Y.r. •-r���w •; I• '3 ErctLr=es . .. Traftfic. Ci':'3" •, r. £:.2 S I"!13i•a." 9 S; E. Easter An) trill mess Or N E Dry {. n s Rd S L ;!Cri SE Assessmant dir S i 5i,‘,.`11.1? u I Si93) $1893 429.3; 112 5 t I I 3: tag:- Si?.3 3277 't;sal 't7 Land i ; k u % +r+a (•a _r. $t&: E roue N S Sr, V !r vemas.. Or'S S irrtren Der V'ti+7 S Ful.on S: t1'tr 33144'500 5.67,4'01 srTy2.{J1;4 i 337§3 a ,^- Y'.Y .l 'g.85 33.631' 9,183 2,.122 2_,017 Y _ T • Y3;• 2015 20;5 2012 21215 2015 14.1 49 637 2$.$7.3 3.3 4J 159,22,E I t I ri Jyl �.w� 024ri 0.31 al 0 3? as 0,3D rri 54,332 dv Trarc:':S;;rXF Pro11,Ae3 S10927;S 313 13C,SF Ile 5;1SP r tit IQ:i Iicror)ar Iv? i eRL C CeN1'+jf fr k -N -)r PI o n -N d -d rf'l -‘1 %sal r� . nor( — In s str'ti ry .it 40•. % r.. 51271201r Burling I,'la es .R I i . MIL ' �,Y iAo-.` Y .'i+'St�+''T' fr ' a:. %I■. r` r„ye, n� Met -vita A�..''A, ..7 oil 144 j 49. I` L.Illt���w�-.'+c-1 as t'•.�in�r�Sti 1 : .. - -.u....0...1 • rj, t't .6414.4rrr_! a Id 1 it I ' Primary Photo • P ' • IL?' N r�h+-r sa• I 4_ IF me • '. • * a.-,ry ; ' - 1 2. .a Snail >.r t jiai1 Septi m pl` t� i. —..i.. —r•-.are. • Southeast Retail Submarket Map r i 1 a. 33p i• 1 • a C oS C.�r Pr opert f v: n h a J • 444.- ■., I .s I 1, 1, r 14;Lla., /.+l '4.--,11.7.---7" 1 .s �. •. 1LM � :';.s, } Building Photo t r .■ -v r n F, t 1 'l . C ;" . a sot 0 S p l ra °a ' ■ . L 4.1± _ ..• a 1)-.4 'wit I la a.ae A. •s e .,� �- llt. 1 • r v • A .r' a ■x..47. I. {. R', ', 3 4' t1 ;i C.! +1 r : -'.� 1 , I ! ril w raa��.�_ 1 _9 pTs'.1,-�a 'e tic. - . ct M1 ■ 1 -ar_c. _ 1. { '-7t �. ,� • . ■ . :: a .._t +3. Ile r a e r • rrann • Ifile Scat t`la- .1 G"PAlroitrt p C_5 Denver Retail Submarket 0veNiew Map Ito lint cirse i hi? relc:LI'. r en /rlr Nos-tirPY Cla AV le ' - B P3/4 04 LIC-iPST°0- En :Wail Air, a8r + INCOME APPROACH SUMMARY OIR ECT CAPITALIZATION METHOD "AS STABILIZED" & "AS IS" POTENTIAL GROSS INCOME Tenants MARKET RENT — 1ST LEVEL (NRA) MARKET RENT .- BASEMENT (USEABLE SF) GROSS POTENTIAL BASE INCOME Building SF 6,757 SF 5,335 SF 12,092 SF TENANT REiMBURSEMENTS GROSS POTENTIAL RENT (ONCL REIMBURSEMENTS) VACANCY ALLOWANCE EFFECTIVE GROSS INCOME OPERATING EXPENSES Fixed - Real Estate Taxes Insurance Other Variable - Utilities Cleaning / Snow Removal Site ( Common ,Areas Maintenance /Security/ Trash Management Fee /Administrative Non -Reimbursable • Tenant Finish Replacement Reserves Leasing Commissions TOTAL EXPENSES NET OPERATING INCOME $135,514 /Year Capitalized @ INDICATED VALUE RENTABLE AREA (SF) GROSS BUCLBING AREA(SF: Rent/SF $15.50 /SF $10.85 (SF $13.45 !SF S22,586 IMo 10% $2'0,328 Milo % cal' EG I S/SF ($57,456) -23.55% ($3.023) •1.24% SO 0-00% ($,I 7,783) ($5,400) ($15,000) 0$9,757) • 7.29% -2,21% -6.15% • 4.OO% (54,04) (50.21) $0.00 ($1.25) ($0.38) x,51,05) ($0.69) so a.aot so.a° So 100% $0.00 0,0op'o $3.00 (5108,4191 •44.4.5% ('$7.52) $11.21 /SF 7.50% "AS STAB ILIZIED" EXLUDING ANY DEFERRED MAINTENANCE LOST RENT DURING LEASE UP (12 MONTH) LESS VACANCY FACTOR OF 10% TENANT FINISH RESERVE ($5.00/SF) LOST EXPENSE RE,?MBURSEMENTS DURING LEASE UP (12 MONTHS) (70% OF OPERATING COSTS) TOTAL LOST REVENUES COST OF CAPITAL (10%) TOTAL COST TO RE -TENANT BUILDING "AS IS" -. EXLUDING ANY DEFERRED MAINTENANCE 12,092 14,226 Total Rent $104,734 $57,885 $162,519 $108,419 5271,038 (27,104) $243,934 $135,514 $1, 7371 X54 $143.68 $1,737,354 S1,737,364 ($74,49g) c$60,480) 03 7,947) ($172,9061 (S1 71291) (S190,1961 1, 547,158 Rounded To; $1,550,000 PSF $108,96 July 18, 2018 Agent: Petitioner: STERLING PROPERTY TAX SPECIALISTS INC 950 S CHERRY ST SUITE 320 DENVER, CO 80246 CLERK TO THE BOARD PHONE (970) 400-4226 FAX (970) 336-7233 WEBSITE: www.co.weld.co.us 1150 O STREET P.O. BOX 758 GREELEY CO 80632 BANK MIDWEST NA 1111 MAIN ST STE 2800 KANSAS CITY, MO 64105-2154 RE: THE BOARD OF EQUALIZATION 2018, WELD COUNTY, COLORADO NOTIFICATION OF HEARING SCHEDULED Docket #: 2018-2250, AS0097 Appeal #: 2008217941 Hearing Date: 8/2/2018 8:30 AM Account(s) Appealed: R7455298 Dear Petitioner(s): The Weld County Board of Equalization has set a date of August 2, 2018, at or about the hour of 8:30 AM, to hold a hearing on your valuation for assessment. This hearing will be held at the Weld County Administration Building, Assembly Room, 1150 O Street, Greeley, Colorado. You have a right to attend this hearing and present evidence in support of your petition. The Weld County Assessor or his designee will be present. The Board will make its 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, 2018, and mailed to you within five (5) business days. Because of the volume of cases before the Board of Equalization, most cases shall be limited to 10 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. If you wish to obtain the data supporting the Assessor's valuation of your property, please submit a written request directly to the Assessor's Office by fax (970) 304-6433, or if you have questions, call (970) 353-3845. Upon receipt of your written request, the Assessor will notify you of the estimated cost of providing such information. Payment must be made prior to the Assessor providing such information, at which time the Assessor will make the data available within three (3) working days, subject to any confidentiality requirements. 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 Esther E. Gesick Clerk to the Board Weld County Board of County Commissioners cc: Christopher Woodruff, Assessor Hello