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HomeMy WebLinkAboutWWP2700509(4) WAP-27-0509 SSA HEI= SEIUF S LID #335 - Appraisal. For Benefit Just. 1 BEGINNING OF FILE FILE ,I.LE W W P-a j-05o9 � I eRPINk lit IGNrs '30W ER.S U *D #335 APPRMSK L FoR BE1�lE�IT SusTt ��U+TtoN J a��► i r i 1 1 1 , t 1 North wtst Valuation 1 Services 1 .�jpYLMli•Feasibility- Corctulra7ion ` V G . Northwest John "lark"Omniene MA/ Valuation Real£tale Appraiser Services f �.. 15817 25th Drnr S.E., Mdl Creek N6shingion 98012 206-743-6522 6 January 28, 1994 S <.' Letter of Transmittal City of Renton Planning/Building/Public Works Dept. 200 Mill Ave. S. Renton,WA 98055 I _ ATTN: Arlene Haight, Property Services .4 yRE: Appraisals for 4 Single Family residential properties in Plat of Sierra Heights, Division #2, and Rose Haven Addition, City of Renton. Renton Project#WO45099 - LID 1335. Ms. Haight: As requested, I have accomplished a With and Without Sewer AvailabilityfMarket Value Appraisal on 4 home!:in the Sierra Heights neighborhood of North Renton,WA. As requested. I did not personally inspect each property,but I obtained enough data on each to identify these properties. 1 did view the exterior from adjacent roadways Further, I undertook a market investigation in the subject's neighborhood and in nearby similar '1 neit'hborhoods for sales of properties with overall similarities, with and without sewer. The attached appraisal report includes all of that data which is most pertinent, as well as my value conclusions and reasonings as to value w Market Value Conclusions t. Market Value Market Value With Sewer Without Sewer Availability Availability Difference Property I 3924 N.E. 21st St. $100,000 S 92,500 S 7,500 Property 2 2112 Redmond Ave. N.E. $107,300 $100,500 S 7,000 Property _ 3715 N.F.. 22nd PI. $ 99,500 $ 92,000 S 7,500 Property 4 1922 Redmond Ave. N.E. $144,000 $132,000 S 12,000 A Professional Real Estate Valuation& Consultation Company City of Renton January 28, 1994 i` Page 2 The reader shoud be aware the With Sewer Availability Value is for a property with sewer -+ availability, but not yet connected to sewer The propertv would be worth more if connected to sewer. 1 J This appraisal is subject to the included Assumptions and Limiting Conditions, Definition of R Market Value,and Certification. Thank you for allowing me to accomplish this appraisal. Sincerely. J k Dinnicrw. MAI S to Certified General Appraiser 10-11 DI-NN-IJ-D59SM8 i e i 1 i i i w• 7 TABLE On CONTENTS Ti.te r r Letts of Transmittal Table of Contents Assumptions and Limiting Conditions Location Maps i. Property Identification . . . . . T• ' Ostensible Owner and Legal Descriptions . .••-• .••-• 1 ,.. Appraisal A,,thori Ation ....... . '..'...'.......•.. 1-2 M. . . . . .. . .. . ............. .................Rights Appra.scd . . . . . . ................ 2 . . ....................Purpose of the Appraisal . 2 lk . ........1...........................Function of the Appraisal . .. ... •••••-•, .-.•. 3 Scope of the Appraisal ...........•..•••....•••.• ........................... .... . 4 Date of Inspection . . . . . . . ................ . . Date of Appraisal "•'•••••••••••••... 4 PWwte . . . . . .. . ........................ Harardous Westc "'•'-'••••.• 4 _ . . . . .. ........ 5 Flood Harerd . . . . . . . . . . .... 5 Sales in the Past 5 Years . .. .... '""" Assessments and Restrictions ...... 5 Authorship 5 ... .................................... . 5 Competency . . . . .. ........... . .....................Assumptions and Limiting s;onditio.as ,,,-,,,, Arcs Analysis . ...•..•.•..•.... . 6 Neighborhood Analysis . . . . . ................................ . 6 . . . . . . . . .......I........ General Background ..•............. 6-8 General Description of Subject Property# 8-10. ....... •....•..••....... Assessed Valuation& Real Estate Taxes .........•• •• •••• 11.13 13 • . . . . . . . .... .... ........................... 14 Hoehn and Best Use . . ... ............................... Property Valuation . . . .. ... . ••••- IS Maker Value with Sewer A .. .. ....•..... 16 Pmpenias . MI and M3 ......................... . . . 17.21 Property N2 . . . . . . .. .. . . . ....... . 22.25 Property k4 . .............. . . 26-28 Market Value Without Sewor Availability ........ J Property 29-38 Property NI and f3 . . . . . . . . . ............ . ..... . .. . 31-33 d4 . . . . . . . . . . . . . . .. ... ... ...... ......... . . . 34-37 Recapitulation of J Property Final Conclusions ...•••....""' '' . 38 . Marketing Timp . . . . . Cost To Cum . . . . . . • " "� ' " ' ' 39 CERTIFICATION 10 ADDENDA: i +� Plot Plan Comparable Data Maps s Appraisal Amborizetim, Qualifications of Appraiser i a � F 41 . �����.- ��` � @..■L�ii�ela1'�■ �_ � ,�l�� �i .�� _mac � 1.� I �i�' w � � . '`' ,' _ Ratlaws �' =4ye.--�: -- � r .ems'•-�,�y�=Sj�l� �a�.i , t •7: .L:Ca'. - tiSIM ..� ASSUMPTIONS AND LIMITING CONDITIONS 1 1 d This appraisal report has been made with the following Assumptions and I iminng Conditions. P. 1. No responsibility is assumed for the legal description or for matters legal. Title to the pioperty is assumed to be good and marketable unless otherwise stated. t 2. The property is appraised free and clear of any liens or encumbrances unless otherwise stated. ' 3. Respoasible ownership and competent property management are assumed. 4. The information fumished by others is believed reliable, no warranty is given for its _ accuracy. The legal description included herein is assumed correct. 5. All engineering is assumed correct. Illustrations are included to assist the reader in visualizing the property. 6. It is assumed there are t a hidden or unapparent conditions of the property, subsoil. structures which would render it more or less valuable. 7. It is assumed there is full compliance with all applicable Federal, State and I oval i Environmental Regulations, Laws, and Zoning and Use Regulations, unless noncompliance is stated, defined, and considered in this report. S It is assumed the utilization of the land and improvements is within the property lines as described and there is no encroachment or trespass, unless noted. 9. The distribution,if any,of the total valuation in this report applies only under the stated program of utilization, and must not be used outside this appraisal. 10. This appraisal is subject to the copyright laws of the United States. Tliese laws govern ' reproduction,distribution, and public display. Possession of this report does not carry with it the right of publication. It may not be used by any person other than the part} to whom it is addressed without the written consent of the appraiser. Further, the ' appraiser is not required to give further consultation,testimony,or court testimony with reference to this appraisal wiles arrangements have been previously made. I i, Neither all, nor any contents,of this report shall be disseminated to the public without - - " a the prior written consent of the appraiser. l e 12. In this appraisal assignment,the existence of potentially hazardous material used in the construction or maintenance of the building,such as the presence of urea formaldehyde foam insulation, and/or existence of toxic waste, or gasses which may or may not be present on the property,has not been considered. The appraiser is not qualified to detect such substances. 1 urge the client to retain an expert in this field, if desired. J i tAPPRAISAL REPORT ' PROPERTY IDENTIFICATION The subject of this appraisal is 4 single family residences all I story, wood framed and built in ,. 1958.1959, They are all in the Sierra Heights neighborhood of the City of Renton. 'ibis assignment involves the appraisal of these 4 properties with two different assumptions. y. Assumption#1 is that they do not have public sewer available, and Assumption 42 is that public a sewer is available and constructed but not yet connected to these residences. The residences me. yJ Property #I - 3924 N.E. 21 st St. This is a 5 room, 3 bedroom. I bath residence,940 SF in area,on an 8,400 SF lot with an attached 310 SF garage } y� troperty 42 - 2112 Redmond Ave. N.E. This is a 6 room, 3 bedroom, I bath residence, s 1,250 SF in area, on a 10,1002 SF lot which had its former gsage p converted into a living rwm. Property 0 - 3715 N.E. 22nd Place. This is a 5 room, 3 bedroom, I bath residence,940 SF in area with a 310 SF garage and being located on a 10,000 SF lot. Property 004 - 1922 Redmond Ave. N.E. This is a 7 room, 5 bedroom, 1-3/4 bath home on a 12,6672 SF lot, 1,560 SF in area with a 2 car garage. 3 All of these homes are within 21.blocks of one another. OSTENSIBLE OWNERS AND LEGAL DESCRIPTIONS. No title reports were furnished. The assumed owners,-re identified from King Counq A...cer;or's information �1 JI i OSTENSIBLE OWNERS AND LEGAL DESCRIPTIONS: (Continued) Property #1 I Owner, Susane Broderia Legal: Lot 48, Sierra Heights #2 of the official records of King County, WA. Assessors Tax #: 779900-0240 Prpperty 02 Owner Laurel A. Brewer _ i Legal: Lot 33, Sierra Heights 42 of the official records of King County,WA. iAssessors Tax #: 779900-0165-03 Property 93 Owner. Steve G. and Leslie Knadler Legal: Lot 6, Sierra Heights 42 r r die official records of King County,WA. Assessors Tax #: 778900-0030-06 Properly #4 iOwner Jerome N. and Elaine Jemberg Legal: Lot 3, Plat of Rosehaven of the official records of King County,WA, Assessors Tax 0: 741940-0030-06 i t� APPRAISAL AJJTHORIZATION: Arlene Haight of the Property Services Section of the City of Renton. RIGHTS APPRAISED_ Full Fee Simple with and without public sewer availability. 2 r , ME ' PURPOSE OF APPRAISAL. The purpose of this appraisal is to estimate the Market Value of this property. i A. Market Value - Means the most probable price which a property should bnny in a competitive and open market under all conditions rquisrte to a fair sale,the buyer and seller each acting prudently and knowledgeably,and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby. (1) Buyer and seller are typically motivated; "t (2) Both parties are well informed or well advised,and acting in what they consider their Il '' own Sest interests; k , 1 f I (3) A reasonable time is allowed for exposure in the open market; (4) Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and (5) The price represents the normal consideration for the properly sold unaffected by Special or creative financing or sales concessions granted by anyone associated with the sale Sou-ce- Rules and Regulations,Federal Register,Vol. 55,No. 165,Page 34696 and Office of the Controller of the Currency under CFR, Part 34. Sub-part C - Appraisals, 34.42 Definitions(F)_ FUNCTION OF Ti1F APPRAISAL .. - The City of Renton commissioned this appraisal in order to estimate the increase in value,if any, _ of the subject properties as a result of the construction of public sewer and the resultant availability of sewers to the subject properties j 3 ' a i a� r, t x. J SCOPF. OF THE APPRAISAL: ..� The scope of an appraisal is the extent of the appraisal process relating to the collection, confirmation and reporting of data. t This was a Limited Assignment only to the extent that this appraiser was not allowed a physical inspection of any of the properties. 7Tr, could result in an erroneous building size or of interior t 6. or backyard details. The property owners also were not interviewed. Aside from this, this F. assignment was in no other way Limited The appraiser researched sales as far north as May Creek, as far south as N.E. 4th St., as far west as 1-405, and as far east as 142nd 1ve. S.E. Within these boundaries, subdivisions were chosen for a sales run by their overall similarity with the Sierra Heights area. S',bdivisions built from 1950 to 1965 were targeted, especially where the home size.. t styles were similar. I viewed sales is and outside the city and with and without public sewers. Sales were personalty viewed in the field and,where possible, were personally verified. r This appraisal is intended to comply with the Standards of Appraisal Practice of both the S Appraisal Institute, of which I am a member, and of the Appraisal Standards Board of the `g Appraisal Foundation. Further,it is intended to comply with the Uniform Standards for Federal J Land Acquisitiom. DATES OF INSPECTION: ti 12-10-93, 12-27-93, and 12-30-Q3 r DATE OF APPRAISAL• 12-30-93 i 4 Mow r HAZARDOUS WASTE, The City of Renton's Sensitive Area maps show the subjects location generally as being in a low risk coal mine hazard area There is no Physical evidence of coal mines in the area. 1 am aware of no hazardous waste on the subject properties keep in mind, 1 did not make a physical inspxtion and I am not an expert in the matter of hazardous waste. There may be lead based '- paints, urea formaldehyde insulation, or other types of hazardous materials on these properties r of which I am unaware. If this information is needed,I suggest an expert be consulted. City and t County health officials have found fecal coliform bacteria in this area in recent years. Also,due to failing on site sewage disposal systems,the State Health Department has declared this area a health hazard. FLOOD HAZARD, The subject's location is not in a federally defined flood area. Public officials have reported occasional seasonal ponding in the area due to a high water table with an impervious layer ofr clay beneath. SALES IN THE LAST 5 YEAP • �c Property#3 sold in December of 1992 for ',675. This sale is one of the ales I use towards this estimate and is included in the Property Valuation se ion of this report. None of the other properties which are the subject of this report sold in the last 5 years. ASSESSMENTS AND RESTRICTIONS: Title reports were not provided for this assignment. A review of old plat documents failed to reveal any unusual assessments or restrictions on these properties. Property 43 has a 5' utility .v easement on its east boundary. Other than that, I found no other assessments or restrictions. . . 3 AUTHORSHIP: I am the sole author of this report. J5 IMF COMPETEN Y I" i Refer to my appraisal qualifications in the addenda to this report. I have extensive experience in Before and After appraising, and I was generally familiar with the geographic area in which the appraisals were conducted before beginning this assignment. This assignment is well within _ my competency limits. ASSUMPTIONS AND LIMITING CONDITIONS: A list of Standard Assumptions and Limiting Conditions is included in this report after the S Transmittal Letter. A special Assumption is required. Special Assumntion: This appraisal assumes the residences arc as described in this report. This appraiser did not physically inspect these properties. AREA ANALYSIS'. A complete Area Analysis is not needed for this report as all likely readers and users are familiar with the area. W NEIGHBORHOOD ANALYSIS: A complete Neighborhood Analysis is also not necessary as the client is the City of Renton. However,for other potential readers, a brief description will be provided. The subject neighborhood is located at the northeasterly area of the City of Renton. Renton is as located at the South end of Lake Washington and at the North end of th Green River Valley i which is a major distribution and jobs center for the Puget Sound Area. Renton, with 45,600 ■ people in 16 square miles, is the fourth largest city of King County,which in turn is by far the largest county in the state. Renton is a jobs center with 45,000 people working in the city each day. 60,000 people live in the unincorporated area around the city which city is obviously distinctly urban. Of the residences in the city,about 50%are single residential and 500/a multi- J residential. Renton has grown substantially over the years growing by+6 3/e from 1980 to 1990. It is the state's tenth largest city. Much of this growth has come by annexations i 6 1 t ! NEIGHBORHOOD ANALYSIS. (Continued) a s: The two major manufacturing employers in the city are Boeing and Paccar. Boeing has 97,0010 employees in the Puget Sound area and Paccar 3,000,many of which are in Rnton. Boeing is I- undergoing a downsizing at this writing which is well known locally This will have an adverse economic impact on Renton and the rest of the Puget Sound area,especially in the office building t. market. Luckily, Paccar is in an expansion mode. L iK The subject's immediate neighborhood is strictly single family residential. It,and most of North -- Renton,was constructed in the 1950's. Most of that construction was in formal subdivisions on ,I small lots, many of which were constructed with on site sewage disposal systems. The entire subject's area was constructed in this manner. Generally,homes in this area are modest is price and construction, generally oeio, small and meeting basic staitdards- There are no sidewalks, curbs or gutters, and electrical and telephone wiring is overhead on poles. Streets are narrow, but paved, and have graveled shoulders. Most homes are 1 story and landscaping and fencing is moderate. The a•ea is generally level to a bit undulating. The average value of a single family residence in King County (lesr Seattle) in 7-93 was $179,597. The subject's census tract has averaged from$125 000 to 5156,000 from 5-92 to 7-93. The rubject's area homes generally have sold much tower than average as a result of their age, condition and size. A typical house in Sierra Heights N2 is I story,940 SF of wood framed construction,and has 3 bedrooms and I bath, and a small 1 car garage or carport. They have hip style composition shingle covered roofs and wood shingle siding. A few have converted the garages to a den or bedrooms,and have no garage Lari&caping is generally low to moderate in quantity and quality. i Until recently,the area between the G`v of Bellewe(7t miles north)and the City of Renton was in unincorporated King County. A few months ago the City of Newport Hills was formed fi,:ng in most of this area. A check with one of the people active in this new city's formation shows that the Sierra Heights Neighborhocd has not been part of this incorporation. It is now a small island of King County between two cities. .x 7 t sari- ... .,kF3'Rl•'7�.z.K.�ear.��p•. �......... a NEIGHBORHOOD ANALYSIS. (Continued) I Generally, the neighborhood is stable, 900% owner occupied, and should remain so into the J immedict: future. GENERAL BACKGROUN•r In order for a reader to understand the background data under which this appraisal is being conducted, 1 present the following: All of the houses in the immediate subject's area are on small lots and were constructed with on site s• vage disposal systems. The systems are now 35t years old and many are failing or are near failure. To make mattes worse,the soils in much of the area have hardpan below causing high water tables and, in some cases, seasonal ponding. This is not good for on site systems. Further,most tanks and drainfields are under-sized by today's standards and most of the sites are " too small on which to construct a new system. Studies conducted in the pest show a historical trend towards system failures. A 1976 survey showed failures and prefailures in Cm area. In the summer of 1986,the King County Health Department surveyed 97 residences with the following t results. 4 had sewer related odors. 16 had unusually lush veget,cive gro.vth. 12 had winter problems with their systems - 30 had past problems on file. , y 62 out of 86 showed problems(72%) during a particularly dry summer. 1 The neighbors became concerned with this fact as did die City of Renton. On 6-12-87,a portion i of this area was annexed into the City of Renton. This was the portion with the most problems, and one of the main reasons for annexation was to get city sewer. City sewer had been brought to thi.location in the mid-1970's to serve the Sierra Heights Elementary School to the north. It rl went thmug;i 2 streets north of the annexation, so a few homes in this area had sewer available for some time, but most still did not. 8 1 ' GENERAL RACKCROUND: (Continued) t. The City of Renton is unique in the Puget Sound area in that it has tapped into an acquifier " ben"LN itself for its water supply. Faulty on site sewege disposal systems pose a risk to this . aquifier. The city is thusly motivated to annex and provide sewer where these problems exist. 'o Apparently due to lack of communication,the process of bringing in sewer did not begin till 12- t' 19-88 when local residents petitioned for its extension. Preliminary design began 3-8-99, In y , January of 1990,the city took some ground water samples and found many properties were in violation of state standards for fecal cohform. On 7-27-90,the city requested the King County >� Health Department accomplish an operational check on the properties in the area. On 1-6-91, the Health Department had completed these surveys. They surveyed 181 sites in the city and county in this locale. They concluded the vast majority of sites which were failing were in the area annexed by the city in 1987. They recommended the state declare this area a public health hazard. a The area in the city includes 61 residences and one church,and is essentially the Sierra Heights J 42 and Rose Haven subdivisions. Sierra Heights subdivision is just north of Sierra Heights k2 and number's 4 and 5 are to the west; R3 is quite a bit south. 39%of those systems in the city were at failure This was 88%of the failures in the whole sample. I In August of 1991, the state declared this area of Sierra Heights in the City of Renton to be a Public Health Hazard. On 7-27-92, a resolution was passed by the city to form LID#335 to provide sanitary sewers to this area. Construction began 1 I-16-92 and was completed 7-1-93. At the date of this appraisal, the sewers have been constructed and many homes have been connected. The LID is not yet final. When it becomes final, all properties within it will be required to connect to public sewer within 60-90 days. .J 9 .FNF.kAL BACKGROUND: (Continued) I I At the present time, the cit} is also setting up a special assessment district to allow certain properties which are proximate to the new sewers, but not in the LID, to connect to it. Such connection would require a finding of failure or pre%.ilure of an on site sewage disposal system and for the City Council to approve a connection. Generally, a is city pilicy not to allow connections without annexation. ■ i e r � t 10 GENERAL DESCRIPTION OF SUBJECT PROPERTIES: i As was previously mentioned,this appraiser did not make a personal inspection of the properties. 1 The following descriptions are based on a view from adjacent roadways, from data provided by the Assessor's Office, and on data from State .Archives which is essentially old assessors data. Obviously,this data is subject to error. An assumption of this report is that these descriptions are essentially correct. 4 Property NI Site: Lcit 48, Sierra Heights M2 - 3924 N.E 21st St. eThis is a level site, 70.40' x 119 40'. or 8,4001 SF in area Improvements: This is improved with a I story,wood framed residence,built in 1958,with 5 rooms,3 bedrooms and I bath. It is 940 SF in area and has an attached 310 SF I car garage. It has a hip style composition shingle roof and wood shingle siding. The floor of the interior is a concrete stab with vinyl tile and carpeting over. The garage has a small partial tarpon in front -•� of it Heating is gas forced air. The garage is unheated and=finished The assessor shows this building was upgraded at some time,suggesting the kitchen and baths may have been remodeled. Windows have shutters and this home has a fireplace. The site has a few trees in front and the backyard is fenced. Landscaping is moderate. The Health Department test showed the on site sewage disposal system on this property to be at prefailure and noted wetland plants on the property. This pa•cel has not yet connected to sewer.. This home is quite typical for this area and shows little exterior upgrading Roof muss was visible on the front of the home. Property #2 Site: Lot 33,Sierra Heights 42, 2112 Redmond Ave. N.E. This is a level, slightly above grade site which is quite irregularly shaped. It is on a curbed comer and the let is 10,1003 SF in, area J II i Property 02 (Continued) I i Improvements: This is essentially the same house as with Property #i. The main difference is that the gunge has i n converted to living :rea. It is assumed it was convened ' into a fam'ty room or den. This It ie has no fireplace and is 1,250 SF in area. 1 P.,e landscaping consists of ample lawn and the rear yard is fenced. No trees are on site. A ' gravel Driveway leads to the back yard. This home was connected to sewer 10-7.93. The Health L. Department's report shows this parcel's on site system to be in failure. iOverall,this is an average quality and sized improvement for this area and seems to be in average � condition. .� Property #3 Site: Lot 6,Sierra Heights 42 - 3715 N.E. 22nd Pl. This is an 80'x 125' site,or 10.000 SF in area It is level and at grade with its frontage. _ I ° y � � Improvements: This is essentially the same house as Property #1. It has no fireplace. The assessor indicates it is in very good condition. This house has not been upgraded. "I There is a gravel driveway from N E 22nd PI. to both sides of the house. The rear yard is not fenced. A few trees are in front and one in back. Landscaping is low average. During two of :1 t my roadside views of this property, several trucks and trailers were perked in the rear yard, detracting from the overall residential appeal of this property. This property owner has since - connected to sewer. The on site survey by the Health Department listed this property's system as O.K. A 1986 survey showed sewage odor and past problems in the file. , _Property #6 Site: I or 3, Rose Haven - 1922 Redmond Ave. N.E. This is a lc\, at grade, 95' x 133.321.or 12,667 SF lot. 12 4t , IN r F Property #3 (Continued) R Improvements: This home is ouite different from the other 3 properties Most of the homes in Rose Haven, which is a division of 5 lots, are larger and of a higher quality than other Sierra Heights properties and are different from one another. This is a 1 story, wood framed home, built in 1959. It is 1,560 SF in area and has 7 rooms, 5 }. bedrooms and 1.3/4 baths. It also has a wood stove. It has a detached, 660 SF, 2 car garage It also contains a gable style wood shingled roof and wood siding. It has a concrete perimeter foundation and is heated by a gas fired forced air furnace. Assessors records suggest it has been upgraded. 3 skylights are visible from the road. Overall, the home has a very good exterior .� appearance. .J This site is very nicely landscaped with many trees and bushes on site. It backs up to a church on acreage. A long paved driveway leads to the garage. Redmond N.E.,on which this property fronts,is a narrow,asphalt paved road on only a 30'Right of Way. This property was connected to public sewer 10.13-93. The King County on site sewage disposal survey showed this system as limited and never having been pumped. They added that fill had been placed over the ,4ainfield on this property. tAssessed Value and Real Estate Taxes: -fhe properties under appraisal were assessed by King County for 1993 as follows Land Building Total 1993 Taxes 91 $29,800 $62.500 $ 92300 $1.207,35 92 $29,800 $62,900 S 92,700 $1,212.59 43 f29,800 $62,300 $ 92,100 51,204.74 ' #4 $30,800 $79,500 $109,300 $1,514.75 It is noted the assessor valued Property #'s 1-3 essentially the same, even though one had convened the garage to Irving area This does not correspond to market data. 13 • ! ! in : The subject properties are zoned single residential by the Citv of Renton. This zoning was ! instituted in July of 1943. Prior to this, it was R-1 also single g e residential by Renton. The goal ! of the single residential zone is F dwelling units per acre. It essentially allows detached single family residences and modular homes. Minimum lot area is 4.500 SF, minimal lot width is 50- 60', and depth 65'. Setbacks are 15..20' for the front yard. 25' for the rear yard, and 5'for side yards. Maximum lot coverage is 35%of the site. The subject properties essentially conform with the existm,zoning except under present zoning ordinances a minimum site size of 12,500 SF is required to allow an on site sewage disposal '•' system. ! ! i ! 1 1 ! ! ! ! 1♦ Fn ' AL a r IIIGHE.ST. AND BEST USE.: i Highest and Best Use is defined in the Dictionary of Real Estate Appraisal by the Appraisal f- Institute as follows. t1. The reasonable and probable use that supports the highest present dalue of vacant land t or improved property, as defined, at the date of appraisal. i 2. The reasonably probable and legal use of land or sites as though vacant, found to be 'c physically possible, appropriately suppnrted, financially feasible, and that results in the highest present land value. .3. the most profitable use yJ ,! All four parcels are improved with single family residences. The area is all single residential, it is coned for single rasidenual, and there is little vacancy or homes which we deteriorating. !.� There are no known plans for a zoning change and 1 can foresee no changes in the overall character of this neighborhood. Highest and Best Use As Vacant and Improved is single rr, residential,both with and without public sewers. f 15 FQPUTV VALUATION The methodology used in this valuation is the Market Data Approach. The Income Approach is not valid since none of the subject propert,cs are primarily income producing properties pnd traditional appraisal methodology does not use an Income Approach in single residential .A appraisals. The Cost Approach is traditionally used in this type of valuation but will not be used s in this appraisal for the following reasons. I) Land sales are not readily available in this area since it is developed with older subdivisions and little recent subdivision activity has taken place. Also, if sales were available from other areas,one cannot put an on site system on a lot with less than 12,500 SF in area in Renton. Before value comps would not be available. '? 2) The homes are 35 years old and,in many respects,are functionally obsolete. One would not reproduce today the subject homes in the manner and style they were constructed. Thev have considerable accrued appreciation. It would be an unneeded exercise to estimate a replacement cost new for the subjects and a depreciated value in place for comparables. Such an exercise would add little to this appraisal. 3) The primary purpose of this appraisal is to estimate the increvse in value if only to the properties as a result of sewer availability The Cost Approach does not lend itself to this type of estimate. I considered accomplishing a statistical analysis using the many sales I researched for this assignment to try to illustrate the general higher level of value in areas with sewers. Home siess, ages and quality were so different,one to the other, that this type of analysis would not be useful to this assignment. ]ti MARKET VAIJIF. WITH SEWER AVAILABILITI' Properties NI and 93 yry These two properties are valued together since they are so similar At the end of this estimate + `I I will make an individua! value determination based on the relative merits of each. The following recapped data is most pertinent to this estimate. More complete data is retained in this appraiser's files for fature reference. v Market Sale NI - Subiect Pronerh 03 Location. Lot 6, Sierra Heights N2 Size of Site. 10,000 SF Sale Date: 12-4-92 ., Sale Price. $94,675 Confirmed. Buyer, 1-13-94,Mrs. Knadlor Description. 940 SF, ? rooms, 3 bedrooms. 1 bath, no fireplace and an attached, 310 SF, 1 car garage. See Property Description of Parcel 43 Analysis This is Property N3, one of the two subject properties under appraisal. The buyer reports the interior was and is in below averay- ^ondition and .t has not been upgraded. The buyer inicn&to upgrade avid repair this pro•4rty. At sale,this w rs on a septic system which ehad been pumped just before sale The buyer wa aware she would have to connect to public y sewer and pater did at a cost of f2 000. She reports the septic system did work. King County reported it did also The buyer further reports this was a rental prior to their purchase. The buyer Nvw aware public sewer would be constructed. It was not available as of the date of purchase, but was 1 year later. 17 Market Sale 42 Location: 3925 N.E. 22nd St.,Renton Legal: Lot 26. Sierra Heights 92 Size of Site: 8,400 SF Sale Date: 12-9-01 Sale Price'. $93,000 Confirmed- Public records, the seller was not listed and the buyer had an unpublished tel,phone number. Description: This is a I story,wood framed,950 SF,single family residence,built in 1958, with 5 rooms,3 bedrooms and 1 bath. It has an attached 1 car carport. The site is above grade with a cyc ''need rear yard,a large tree in front and average overall landscaping. The home has a hip -.yie composition shingle roof and wood shingle siding. It appears overall to be in average condition. Analysis: This home is very similar to the subject properties NI and tt3,except it has no garage and no fireplace. At sale, the property is on a septic system with there being a high likelihood sewer would be available in the near future. This owner has not yet connected to public sewer. The King County 1991 report showed the system to be in prof tilure. Market Sale 93 Location 2108 128th Ave S.E., Renton legal: lAt 36, Sierra Heights k2 ■ Size of Site 10,200 SF ■ Sale Date: 6.36-92 Sale Price: $100.000 Confirmed Buyer, Julie Booker, 1-13-94 Descrip4on. This is a I story, wood Gamed residence, built in 1958 and 940 SF in area and b ng 3, bedrooms, 1 bath, as well as an attached I car garage. The house was partly upgraded, baths and kitchen,and was in above average condition for their age. This home has no fireplace. It has a gable composition shingle roof, wood siding and a fenced yard l8 N i r t:. r Market Sale 43 (Continued) r' i Analysis. This house is remarkably similar to properties#1 and 43. At sale,it was on r� a septic system which the buyer reports worked, but shortly after sale, the buyer connected to public sewer which was under construction at sale. The buyer reported she knew she would have to connect to public sewer. The 1991 King County report shows the T,stem to be in prefailure. +. Market Sale 44 `. Location: 1709 Shelton Ave. N.E. Legal: Lot 25, Siena Terrace Division #I Size of Site: 7,440 SF Sale Date: 2-20-91 Sale Price: $111,500 Confirmed: Public records; repeated attempts to verify this sale were not successful. Description. This is a 1 story,wood framed,single family residence,built in 1979,960 SF in area, with an attached 260 SF I car garage. It has 3 bedrooms, 1-It2 baths, and a brick fireplace. It has an elec.ric feed forced air heating system. The gable style roof is composition 9i shingle covered and it has a fenced yard with slightly above average landscaping. This site Ss on public sewer, has sidewalks, curbs and gutters and underground utilities. Analysis: Though this home is of the same style and size of the subjects, it is far superior. It is newer, has an extra 112 bath, is of a slightly higher quality construction, and has _ t sidewalks,curbs, gutters mid underground utilities, and it has a sewer connection. S_ORRELATION AND N LeVS1ON OF NIARKF VALUE.OF PROPERTIES#1 AND #3 WITH SERER AV11LAB1 E• _. What is being appraised in this sertion is Properties 01 and 03 with sewer availability,not with sewer connection. Of die 4 sales,only 04,which is quite superior to the subjects otherwise,has a sewer connxtion. Sewer connections were not yet available to Sales#1-3 upon purchase,but . it could reasonably be expected in the short term. 19 K CORRELATION AND CONCLUSION OF MARKET VALUE OF PROPF,RTIFS 001 AND t r 43 WIT" SEWER AVAILABLE: (Continued) A time adjustment is necessary to bring the sales data up to the present date. Towards this,my 1: I`. survev revealed the following facts. r Of 52 sales reviewed in the subject's vicinity,the following were the years they sold. s I ' 1990 - 15 1991 - 12 ' 1992 - 15 1993 - 10 (two months data not accounted for) The selloff has been quite even and consistent There was one slow selling period from April, 1991 through February, 1992 when only 3 sales took place. I surveyed the Seattle-Everett Real Estate Research Report which is a bi-annual statistical report on sales prices with census tracts, cities acid areas. From January, 1990 to September, 1993 in the area of King County less Seattle, average sales prices of single family residences have risen ■ only 4.8% total. In the subj"t's census tract, the total rise was +13.5%, This is partly due to the third quarter of 1993 showing$156,300 per home. This was by far the highest average over 4 years and probab!y reflects some new homes being sold in the census tract, throwing off the average Due to the much larger sample,i believe the King County Ies,Seattle average is:pore realistic or a little better than 1%per year. The overall Puget Sound market turned down in Apri, (� of 1990 and had been fairly stagnant until 1993 when more homes began to sell and with prices rising a bit. This was largely r.- to lower interest rates. In the subject's area, home sales have not jumped that much, partly due to the Boeing layoffs. I estimate 1.5'/,Jyem is a reasonable inflation factor for his area. Sale#I is an actual sale of subject Property #3 at$94,675, Upped for time,it suggests s%,100 to the subjects. 20 RRELATION AND CONCLUSION OP MARKET VALUE OF PROPERTIES 41 AND #3 WITH SEWER AVAILABLE: (Continued) I Sale 42 updated to $95,800. This sale also requires a garage adjustment also. R Sale #3 adjusted upwards to 5102,250 for time. It was slightly upgraded, suggesting it was slightly superi,-to the two subjects. - Sale" adjusts upwards to$116,500 for time.. It was connected to sewer,is newer and lager, has at extra 12 bath, ad it has sidewalks, curbs,gutters and underground utilities. It is quite superior overall. J Property #1 has a smaller lot than #3, but has been partly remodeled and has a fireplace. Property 43 has a larger lot but less landscaping. Overall, 92 is slightly superior. Based on the data recapped, I conclude 91's value at $100,000 and 03 at $99,500. :i 1 i 21 r a ., a MARKET VALUE WITH SEWER AVAILABILITY: Property #2 This is essentially the same house as numbers I and 3, but its garage was converted to living area. It has no fireplace and a slightly larger than average sized lot It has more living area but no garage. The following sales are most perime, ' Market Sale 015 Lo^afion: 3818 N.E. 22nd Si Legal: Lot 14. Sierra Heights#2 Size of Site: 8,400 SF Sale Date: 2-14-92 Sale Price: $89,500 Confirmed Public records; I could not contact the buyer or seller. a Description: This is a I story,wood framed,single family residence 1,250 SF in area built in 1959 with a converted I car garage to living area. Assessors recoils suggest the garage was converted into a bedroom. It has a hip style composition shingle roof and wood shingle siding. Its landscaping is average. Its front and rear yards are cyclone fenced and this home has no fireplace. Analysis: This home is very similar to the subject overall. Like the subject, it was on a septic system with public sewer construction likely in the near future The 1991 King County repnrt shows the sewage system as failing with sewage surfacing. The 1986 •epos shows past problems in the file and problems in winter. It is not yet connected to public sewer. Market Sale#6 Location- 12834 S.E. 102nd St. Leg I: Lot 1,Block 4, Sierra Heights Size of Site: 10,200 SF Sale Date: 3-26-91 Sale Price $98,000 Confirmed. Public records; I was unable to contact buyer or seller. 22 jl Markel Sale #6 (Continued) Description. This is a I story,wood fumed,single family residenee,1,240 SF,built in 1957 with its former garage convened into living area. It has a hip style composition shingle roof and ` wood shingle siding. It has a fenced back yard and average quality landscaping. It is a 3 ■s bedroom, 1 bath residence with fireplace. Analysis: This sale was on a septic system win ublic sewer construction likely in the s near future. The 1991 King County report shows it being O.K. with no previous problems. r t' ' - Market Sale 07 Location: 2908 N.E. 4th St., Renton '. 4 W Legal: Lot 7, Renton's Ridge Crest #3 Size of Site. 7,500 SF Sale Date: 11-27-91 Sale Price. $105,000 Confirmed: Mrs. Lopez, buyer, 1-21 94 Descriptions This is a I story, wood framed, single family residence, built in 1964, and ' being 1,590 SF in are::. It has 6 rooms, 3 bedrooms and 2 baths, as well as a brick fireplace. It has a hip style composition, shingle roof, average landscaping, and a fenced backyard. The �y tti'yy9 "rt . former garage was converted to a recreation family room. 1 Analysis: This is a newerlarger home on sewer with an additional bath. Like the subject, it has no garage. It is superior to the subject. the buyer reports little remodeling. It has some exposure to a busy street, though it is set back from it. ' ! Market Sale#8 ■ Location: 4008 N.E. 21 st St. Imgal: Lot 50, Sierra Heights#2 Size of Site: 8,400 SF ' Sale Date: 5-13-92 Sale Price: $120,000 i Confirmed Public records 23 a Market Sale 98 (Continued) s f� Description: This is a 1 story,wood framed,single family residence,built in 1959,being 1.250 SF in area with no garage It has hip style composition shingle covered roof It has 7 +,. a• r. rooms, 4 bedrooms and 1 bath and a wood stave The garage in this house was converted •o 1wing area, adding a bedroom. Landscaping is below average. , q � r h i< Analysis: This is quite similar overall to the subject This home is on a septic system with sewer likely to be constructed soon. The 1991 King County repon shows this parcel's septic system to be in failure. It connected October 1993 to sewer. k` Market Sale.49 ( Location 10102 130th Ave. S.E. Legal: Lot 1, Block 2, Sierra Heights I _ t Size of Site: 9,450 SF P Sale Date: 5-19-93 t Sale Price 5110,000 Confirmed: Public records Description: This is a 1 story,wood framed,single family residence,1,190 SF in area,bill' in 1957 with a hip style composition shingle roof and wood siding. It has a.-=.,ge landscaping and a wood stove. This is a 6 room, 2 bedroom, 1 bath residence with a garage converted to living area. A small shed is attached to the rear of the home. Its rear yard is fenced and includes a hot tub. t Analysis: This home is smaller than the subject with less bedrooms. Otherwise, it is fairly similar. This property connected to public sewer in December of 1993, The 1991 report shows the on site system to be of limited capacity with the drainfield possibly being under the 0 hot tub. e, L 24 i 1 '1 CORRELATION AND CONCLUSION OF MARKETVALUF:FOR PROPERTY42 WITH SEWER AVAILABILITY: As with Properties 41 and 43,a 1.5%tyear time adjustment is used in this analysis Market Sale 45, which adjusts to $92,185 by time, is quite similar overall to the subject. It does,however,appear to be a below market sale based on overall sales data. This could be due -, to its septic system being in failure with over I year !o go before sewer arrives. Market Sale 46 which adjusts to$102,400 by time, is very similar overall to the subject. 1 { Market Sale 47 is the least re]0,le of the 3 sales in that it is from another neighborhood and is J connected to sewer. It adjusts to $108,000 by time. It is quite a bit larger and Las an additional �„•,, 7 bath. Overall,it is quite superior to the subject. : J Market Sale 48 adjusts to$122,500 by time. Overall, it is similar to the subject. This appears ^ to be an above market sale, particularly since its septic system is failing. Market Sale 49 requires no time adjustment. It is smaller than the subject but has a fireplace and has a shed at its rear. This sale adjusts to $112,000, It has a hot tub, adding somewhat to its A. value. Sale 45 appears to be a low purchase and Sale 48 a high purchase. These are vagrancies of the real market as buyers and sellers do not possess perfect knowledge of that market. Overall,the data tends to suggest a value mid range. I conclude a market value of 5107,500 is appropriate to Property 42 with sewer available i 25 MARKET VALUE WITN SEWER As'Alt ABILITI 1 Property k4 This is a 1,560 SF, 5 bedroom, 1-3/4 bath home with a 660 SF detached 2 car garage. It is of a higher quality than pioperlies 91-3.and requires a completely different set of comparable sales. The following sales are most comparable. M Markel Sale 410 Location: 1916 Redmond Ave. N.E. ' Legal: Lot 4, Rosehaven Addition Size of Site. 12,635 SF Sale Date: 6-19-92 Sale Price: $134.990 i Confirmed: Donna Alley,, buyer, 1-13-94 ' Description: This is a I story,wood framed,single family residence,built in 1959, 1,470 SF in area, with an attached carport on both sides of the hime. It has a hip style composition shingle roof,new wood siding and a brick fireplace. It has 6 rooms,3 bedrooms and 1-1/2 baths. w At sale, the kitchen had some minor upgrading. Otherwise, the house was As originally jconstructed. The landscaping is far above average with a big back yard patio and barbecue pit. This sale was on septic at sale, but construction of public sewer was close Analysis: The buyer was a knowledgeable realtor who was arracted by the privacy of the location and site. The buyer felt she may have paid SI0,000 too much,i ut she wanted the house. Since sale, the owners have enclosed one carport to a garage Arid has engaged in substantial remodeling. She has also since connected to public sewer. She felt such a connection li added to the property's market value And she had intended to make this connection at the sale f.. date. The 199! King County sun.,ey showed the septic system to be limited. Fill was placed over the drainfield. e} j a a 26 p g i a is i, I r < i f I, M,rket Snit 411 ILLLL Location 409 Index Place N.E. Legal: Lot 5,Renton's Ridge Crest 43 } Size of Site. 7,500 SF ? Sale Date: I1-1-91 Y ;a Sale Price' E140,000 Confirmed: Public records. 1 was unable to contact buyer or seller. Description: This is a 1 story, wood framed, single family residence, umll in 1966 and being 1,560 SF in area. it has 7 rooms,3 bcdroowr and 1-3/4 baths. It r.lso has 2 fireplaces and a partial view. There is a 440 SF attached 2 car garage. It has gas forced air heat,a wood shake - roof and wood siding. The assessor's records show it has been partly upgraded. The landscaping { is above average. This property is connected to sewer. This home also has brick siding. +r+ Sidewalks, curbs and gutters are along this parcel's frontage and overhead wiring. Analysis: This sale does not have the relative privacy of the subject and is on a smaller lot On the other hand,it is connected to sewer and has a partial view in many other respects, it is similar. The subject's garage is larger, but thi^ sale is newer and has two fireplaces. Im: Market Sale 412 Location'. 1300 Queen Ave. Legal: Lot 4,Block I,Bomarc Size of Site 9,742 SF Sale Date: 4.27-92 Sale Prier. 5124,990 Confirmed: Public records. Repeated efforts to contact buyer and seller were unsuccessful. Description. This is a 1 story,wood framed,single family residence,built in 1959 with a hip style composition shingle roof and wood shingle siding. it is 1,490 SF in area and has an attached 310 SF 1 car garage. It is a 6 room, 3 bedroom, 1 bath residence with average landscaping and a fenced backyard. The assessor's records show its condition as being ^,,ry good. Ai 27 i Market Sale #12 (Continued) Analysis. This is smaller and of much inferior construction to the subject. It lacks the ' subject's privacy, its landscaping and its large 2 car garage. It is far inferior overall This property sold 9-91 for $122,750, suggesting a 2.7% increase per year. This may be a bit distorted by upgrading,however,I was unable to verity it. CORRELATION AND CONCLUSION OF MARKET VALUE WITH SEWERS OF PARCEL#4: The subject is of a somewhat unique character by construction size and site amenities in its neighborhoov. This has made it fairly difficult to find nearly similar comparables as were presented for Properties#1-3. The presented sales do,however,present a value range which is suggestive of the subject's value. We 610,which adjusts to$139,000 by time,is inferior overall to the subject by size,its smaller number of bedrooms, its lack of a garage, and its slightly inferior quality construction. It is, however,next door to the subject and shares its location and relative solitude. The buyer of this parcel is a knowledgeable real estate sales person who suggests sne may have overpaid($10,000) for this property. Market data suggests she may be correct. Sale #I1, which adjusts to $144,000 for time to the subject, is fairly similar overall. It has a smaller garage and less bedrooms,but does have a partial view and two fireplaces to offset this. Overall,this sale is considered comparable to the subject. Sale #12 is far inferior overall to the subject at a time adjusted$129,000. Based on the data presented, I conclude the subject's value with sewer available,as $144,000. 28 i t j MARKET VALUE WITHOUT SEWER AVAILARILITV: 1 ] : I The methodology for accomplishing t'.r estimate is the same as for the With Sewer Valuation. j Only the Market Data Approach will be used. Other approaches are not used for the reasons .J previously stated. A few additional items require discussion before proceeding into this valuation. Aside from obtaining public sewer, the subject lots were also annexed into the city. This might e be construed m a benefit and might inflate city sales which would distort on the high side the benefits due to availability of sewer only. Annexation to the city might bring quicker and superior fire and police response and quicker administrative action on land use and other issues. k' e A check reveals the tax assessment rate is close for the city and the county,and most of the sales included in this report are within the same elementary school boundaries. I conclude,based on looking at in and out of city sales,that there probably is a difference due to the city factor alone, but that is relatively small. The subjects without sewer are on under sized on site sewage disposal systems which are in various states of repair,from being limited to prefailure to actual failure as reported by the Health R Department's tests. Further,they are in a declared Public Health Hazard arrn. This is unusual ■■ in my experience for a Health Department to go to these lengths officially L indicates a serious situation. Any permit requests wal.'n this hazard area would be reviewed with the health hazard in mind,and permits could be denied by the city as a resdt of the health hazard. Further, it is inconvenient,no mind potentially hazardous to one's health,to have on site systems overflow or flood. In the past it has been reported some residents limited showers and washing to avoid overflow problems. Some took their clothes to a laundromat during wet weather, and a few iY reportedly even connected to the storm sewer system to avoid overloading their on site systems. j n It should be rememhcred,my sales run is for the period January, 1990 to the present. During this { ? period the subjects were in the city and it was known in the LID area and adjacent to it that public sewer was coming. It may not have been known as to exactly what the cost would be, - but it was known it was to be constructed That is what the annexation was originally about Also,the LID area was declared a Public Health Hazard during most of this period and adjacent areas were declared areas of health concern. 29 r' ' :, �' ? ', MARKET VALUE WITHOUT SEWER AVAILABILITY: (Continued) k yj Finaily,the city has instituted an Acquifer Protccuor,Ordinance which discourages any activity '' 7t which could adversely affect the city's acquifer. This could act in the same way as the Public Health Hazard declaration. ! 1 ! 1 1 ! 1 ! ! 1 1 ! 1 30 1 J MARKET VALUE WITHOUT SEWER AVAILABILITN: Properties 91 and 03 Market Sale#13 - '� Location. 10303 128th Ave. S.F.. Legal: Lot 17, Block 1, Albert Balch's Sierra Heights#4 Size of Site. 8,385 SF r. Sale Date: 3-8-91 Sale Price: $89,950 Confirmed. Frank Peterson, buyer, 1.13.94 is j Description. This is a I story,wood framed,single family residence,960 SF in z-ea,built in 1959 with 3 bedrooms and I bath It has a hip style composition shingle roof, wood siding, W j and a wood stove. The bathroom was upgraded, but none of the rest of the interior- It has average landscaping and a sr,all shed at the rear. The backyard is fenced and an oil pipeline Jeasement runs at the rev of the rear yard. This home is on a septic system, but is not in the subject's LID. This sale has no garage Public sewer is now constructed adjacent to this -I property. -" Analysis: The buyer reports the septic works well mid he has no intention of connecting to public sewer. At sale, the buyer was aware the sewer may be constructed, but it was not 3i reflected in the price paid since he had a functioning on site system. The 1991 King County ' report shows this on site system to be O.K. Markel Sale ft14 Location 10235 126th Ave. S E. Y t Legal: Lot 5, Block 5, Albert Balch's Sierra Heights 44 Size of Site 8,160 SF - Sale Date: 4-24-93 i Sale Price: $89,950 -see analysis below. - Confirmed. John Packard, buyer, 1-14-94 ;. .i 31 Markel Sale 814 (Continued) Dreeription. This ss a I story, wood Gamed,single family residence,990 SF in area,built i'. in 1961 with an attached 1 car, 310 SF garage. It has 3 bedrooms, 1 bath, and has a hip style composition shingle roof, new wood siding, a fenced yard and average landscaping. It has a brick fireplace and was very slightly upgraded. The bath was redone,but according to the buyer it was not done well. Analysis: This site is on a septic system with no public sewer available. The buyer areports the septic tank was pumped at sale and works fine. The seller rebated $3,500 to the +' buyer at sale, making the effective price peid $86,450. This was$1,500 for a carpet allowance and the rest to help with the down payment. The 1991 King County report shows this system to be limited. Market Sale 415 Location 10219 126th Ave. S.E. Legac Lot 3,Block 5, Albert Balch's Sierra Heights Ito Size of Site, 8,160 SF Sale Date: 6.30-92 Sale Price. $105,000 "1 Confirmed Public records Description'. This is a 1 story, wood framed,single family residence, built in 1961,being 1,000 Sf in area and having an attached 1 car, 290 SF garage. It has 5 rooms, 3 bedrooms and I bath, a brick fireplace, a hip style composition shingle roof and wood shingle siding. It has average quality landscaping. This site is on a septic system with no chance of sewer connection in the near term. Analysis: This is slightly newer and larger than the subject,but is similar in most other respects. ]lie 1991 King County eport showed this sytem to be O.K. t 1 1 f � 32 ai CORRELATION AND CONCLUSION OF MARKET" VALUE r WITHOUT SEWER AVAILABILITY FOR PROPERTY kl AND 03 The reader is reminded the subjects have various de.rees of on site sewage disposal problems }: and are' declared Public Health Hazard area where the comparables are not. The comparables are, however, in an area of conoem. The sales are superior to the subject for this reason. _ Sale 013 adjusts for time to$92,500. It is similar overall to the subject,but has no garage. The septic is working well, not requiring a sewer connection, though sewer was to be brought in adjacent to this property, If his system fails,this buyer can connect to public sewer. 1 Sale 414 adjusts to $97,500 for time when the sales cot cessions are considered. Overall, this sale is similar to the subject. Its septic system is limited. td Sale 415 adjusts to $I M,000 for time. It is,however, large,than the subject by 60 SF,ana is i slightly newer. Its septic system is O.K t" Sales k 13 and k14 suggest a property without sewer is worth quita a bit less than one with sewer. Sale k15 suggests otherwise. Sale k15 was included since there were a few sales in its price category of this size and age without sewer. 1 believe,however,that before sales data suggests 915 is a high sale. Placing most weight on Sales 413 and 914,1 conclude the value of properties kl and 03 without sewer availability are. y� Property kl $92,500 ■ Property k3 $92 000 33 r 5 ti MARKET VALUE WITHOUT SEWER AVAILABIt,IT11: Property #4: 1 have decided to leave Property#2 for last due to lack of market data. The following sales are most pertinent to this estimate. M=rket S—alumI6 Location: 9914 126th Ave. S.E. Legal: Lot 36, Western Hills Size of Site: 14,418 SF Sale Date: 10-2I-92 ' Sale Price: $127,950 Confirmed: Public records, could not contact seller or buyer. Description: This is a I story, wood framed, single family residence, built in 1976 and being 1.440 SF in area. It has an attached 480 SF, 2 car garage and is a 6 room, 3 bedroom, 2 bath residence with a fireplace. It has a hip style composition shingle roof and above average qe idscaping. Its rear yard is beneath a Power line partially. It is in good condition. It t- system,and no public sewer is available. This sale has a fenced rear yard,a raised deck, at ,-.e -ear, and a shed in the rear yard. Analysis: This sale is in a similar neighborhood. It is much newer, but is smaller than the subject. Overall,this sale is very slightly inferior to the subject. Market Sale 417 Location. 4621 N.E. 24th St, Legal: Lot 17, Briers Terrace Size of Site r. 10,086 SF Sale Date: 7.19.91 r Sale Price. $134,900 Confirmed. Mr. Larson,buyer, 1.13-94 J 34 r Market Sale q17 (Continued) � I Description: This is a 1 story, wood framed, single family residcnce, built in 1967, and being 1,750 SF in area. It has 7 rooms, 3 bedrooms, 2 full baths. Also attached is a 570 SF 2 car garage. It has a nreplace and a lightly pitched tar and gravel covered roof. It has very good quality landscaping. This home was not upgraded and is on an on site sewage disposal system which works well. No public sewer is or will be available. The interior was in below average condition at sale. The tear ya•d is fenced and the home has some brick siding. 4 Analysis: This home is bigger and newer and has slightly superior landscaping to the subject. Its garage is nearly as large as is its lot It has less bedrooms,bowever,and its interior was in worse condition tha:i the subject. Overall,it is slightly superior to the subject The ssie price may be a bit below market. Market Sale#18 Location: 9837 124th Ave. S.E 'r Legal: Lot 2,Western Hills Size of Site: 9,600 SF Sale Date: 10-6-93 Sale Price. 5154,000 Confirmed. Public records, repeated attempts to confirm were unsuccessful. F Description: This is a I story, wood framed, single family residence, built in 1967, and being 1,740 SF in area. It has ar. attached 2 car, 580 SF garage, a wood shingle roof, wood siding, and very good quality landscaping. This is a 7 room, 4 bedroom, 2 full bath residence with two fireplaces. It is on a functioning septic systems with no sewer nearby. Analysis: The sales neighborhood is superior to the subjects, it is larger and newer. It has a slightly smaller garage. 35 a .J Market Sale 419 1 Location 14010 S.F.. I00th Place, King Countv I Legal: Lot 34,Newcastle Terrace r Sim of Site 9,648 SF Sale Date: 3-17-92 �. Sale Price $138,000 +y Confirmed. Public records. F Descrip6en: This is a I story, wood framed, single family residence, built in 1968 and being 1,560 SF in area It has an attached,400 SF,2 car garage. This is a 7 room house with 4 bedrooms, I bath,and I fireplace. The plat has underground utilities,but no sewer. This We is on a functioning on site septic system. Its landscaping is average. Analysis: This sale is essentially the same sin as fire subject,but it is 10 years newer. It has a smaller site,smaller garage and I less bedroom than the subject. Overall,it is somewhat similar This neighborhood is slightly superior to the subject's. CORRELATION AND CONCLUSION OF MARKET VALUE OF PROPERTY #4 WITHOUT SEWER: All four of the sales seem to have well functioning on site sewage disposal systems. The subject's system has been called limited by the Bing County Health Department,and its location has been declared a health hazard. '.Done of the sales are in a declared Health Hazard area. These „1 factors would diminish its value. Also,an assumption of this estimate is that public sewer is not j now available and is not likely in the future. Without consideration of this factor. ° r' Sale#16,at a time adjusted $130,000, is very slightly inferior overall to the subject. i , Sale#17, at an adjusted f138,00b is slightly superior. Sale#IS, at an adjusted $154,000 is quite superior overall. i Sale 419,at an adjusted $142,000 is similar. a Considering the data presented and that the subject's septic system is of limited capability and it is in a Health Hazard area, 1 conclude its value wM,out sewer is 5132,000. 3i. W i Ji y}�� i t . MARKET VALUE WITHOUT SEWER AVAlLABILIT\ : . ProQe� N2 I have left this for last since this is the one property type(convened garage, 1,240 SF)for which I could locate no sales without sewer availability I can present no after analysis since there is no market iata Phis leaves only a reasoning process available to this report. Property #1 and ,t_, -• 'm#3 went up 57,500,and 04 went up $12,000 as a result of of sewer availability. Logically, it can '� be assumed Property 42 would also go up with sewer availability or,conversely,down without n. it. I believe this estimate needs to be conservative since data was not available by which to prove this logic. I conclude a drop of at least $7,000 wouid result. Market Value of Property #2 }.... Without Sewer Availability wil s0o fJ }7 k" I ' FINAL CONCLUSIONS: The following is a recap of my conclusions. J With Sewer i Availabilily Without Difference E' Property NI S 100,000 S 2,500 S 7,500 Property 42 $ 107,500 S 100,500 S 7000 Property 43 S 99,500 $ 92,000 S 7,500 Property k4 S 144,000 S 112,000 S 12,000 i'. y n MARKETING-'r'IMF: t J Sales data an ,, listings suggest a 2-3 month mark,: .Posure is often needed to sell a property in the...'y=..,s neighb.,. aod. Not enough data was available to measure what it would be without public sewer and with Public Health Hazard in effect as well as failing and prefailing on site sewage disposal systems. Logic would indicate it would take longer than typical to sell a a home with these problems. Also, it seems most of the homes sold in the Sierra Heights area are sold through a local real estate company. •� COST TO CURE: Another method of upgrading the subjects from non-functioning on si a sewage disposal systems to functional systems is by either repairing or replacing the on site systems. My past exposure to replacement systems suggest they cost from$10,000 up. They require individual engineering. V , Market data suggests in all cases but Subject @4, it is not worth accomplishing this work ' Further,the sites are in all probability too small to engineer a new system on to them, and soils conditions suggest something like an expensive moond system would be required if the site were - large enough. 38 i CERTIFICATION 1 do hereby certify: �' - -- The statements of facts contained in this repon are true and correct. 'i • -- The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, unbiased professional t analyses, opinions, and conclusions. 1 I have no direct,indirect,present,or contemplated future interest in the property that is the subject of this report,and I have no personal interest or bias with respect to the t' parties involved. -- My compensation is iot contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client,the amount of the value estimate, _ the attainment of a stipulated result,or the occurrence of a subsequent event. Y -- My analyses, opinions, and conclusions were developed, and this report has been F. prepared,in conformity with the Uniform Standards of Professional Appraisal Practice. I. Further, they were developed in compliance with the contract, state and federal regulations including the Uniform Appraisal Standards for Federal Land Acquisitions. I have concluded that the value estimate is adequately supported and that a reasonable person would reach a similar conclusion based on the inform,' n,discussions, and ' data contained in the report. �'- ,.'>• -- The use of this report is subject to the requirements of the Appraisal Institute relating 4 to review b,, its duly authorized representatives. Y . o-v •• As of the date of this report, I have completed the requirements of the continuing education program of the Appraisal Institute. -- 1 have not phvsically inspected the subject properties. I reviewed as!^ssor's data and viewed these properties from the adjacent roadway. A complete examination was ' conducted of the data and a roadside inspection of the comparable :ales, as well as verification of the details and facts submitted. `r's -- No one provided significant professional assistance to the per:on signing this rF report. •- The appraisal assignment was not based on a requested minimum value, valuation, a specific valuation, or the approval of the loan." Ja Dinniene, MAI �Se Certified General Appraiser 0-I1 DI-NN-IJ-D59SM8 Wit y: Rl F Q ' +f: K 1 j Plot Plan M / N.l9AC. / t r /C.eef" Sehoo' Dut_ 403 ct Iez 0.817 C. T t. _- —lK 10 3M M,JS M D Chambers tj James I. Me!calt 1 xn a a a 4e4 i'�`'1 I 1t Z93 I t; S.E, 1015z � R sra IlkkaaNVVp : '• R b19 B DARY UU 9.0e a<. S.E. IO/ST ST. 3 2 I l 4 2 1 3 4 ,.I 5 8 t l VVV = i U• _J e99 'LO•" O „ ' ,T m •''tW�1 �Io�k] ,'.$��] A r.te> II� `ifBsf� S. k ai J12 Les I V 1 d ne. °aee• en e." -- ea. „ 102ND ST ° .:Y 1 arooi3lJ' 1 „ 4.^.1 ^6 a �` e � II 7 I _ I_ 14 G I7 18� �0 21 9rj1n B 1 a � � � � l� 1 Je% b p. o .0 1 j0s NE. 22N0 Sr e II LJ L' �It• U -30 29y/(1 27 26 25 24 23 1 ' '4A36 �"37 a a � II 1. I I r.N 1 ^ eJ 30 //I9 _ -Sr s Pr�P s RR KJ:, r :o u �i� aoow �s + 2 1 111 lPl l31 Isa ao ,, Z a sele4osP Ml prop 1 j LLJ 1 o sB At n]: n n 3 MIND LID lPl I 't �'' oor�DA stsrma MY iG to ' 4 OseAc. 1 a tnAc. ii bf R Terhune ai ' an 'Construction Go 1 !a 081� At 1 ate: -r, MAY 1 — cR C parable.;Data.Map .1 .1 \ • 6++ � R x c 4c wAL 6 9 6 - - 7 1 QW .1 S-17 —19 F{ �' M M'+WK V4 x Y y 95W Cy cml M I DI E O (b II L n w,,, €� LOCI K K " „ _ {s pK a10 r w 1 f o IT It • x . 4 wK loo o ,1 r • u y 1 _ Y Y u 102 I m 2 al • f 1 p 3 a b b tt 6 ! I 1 4 • to 1040 n 9 19 _ 1 1 y ae 105 al y >t eI T ea S-12 E �L NeI'o w l x x b NSET_ s �, �! 11 �NE� s 12 s T 'Nq`"bw wilz of 11zn1 b z�s ,Im 'y ! n3 1 If GI III at x OLL1 O 9 I a 114 9, �s DIM O € e .116 tt 'LLf - s 9 q fi m x �) w117 l 110 1 Q lle • Ix N K 9 tl n9 al � f- 6 9R itl I w .1PIK • tt� j 8 f01/1 1 c ' 0`I a •1 a w t Y 0"� n e 1 •p 1 a p 0 ., �l do �_ A f 1 , 1 b 1 a = a. n x I21 s N b € w 125.1 b Sol 0 1416 T m '� elea NE 4 ST - i °FEE01000 1 y N y � 3 •:� OEµ � I31 rp y b a � o — ne rry3y, 5-11 C-7 b m y • „ y 3>• •0� 1/'1�� wl � 1 1 n i15a1 MyQlef . 0 L 11 O N —u 136 1 VV (74p LLL`777 \�0 Viso a VI ` \ems �Tt F•• = M Comparable Data Map }�t irte G.SNro S-18 St r1 `?$;, �`\ / ieme.kim ddrrI.:�o w•alv�. <s I• 419ss i 1 S-16 • e Ty"' J— Lro.aan $'6 vniO Ye!ciH, t ^ F 1 Ir t •. t. �'"a _ i S. ' . • i• of '� \ •n • s a ' t• 11',' �a4., �. S . IOIST ST. �? { •pc • C i ,� 5-13 �• ° Y1 s� s 22NO Sr i F T/„ n s 'Q w ss s: n en •i :s ze zs i S_ it i5_E. / t •! �S�iI �^,s `° •ia � , 1 - / S'10 j S-a -'fines i. esN•m t'+0 •i{LY' (' i 0 rEJ 74' d� ipi. .. .:1 1, • s .u`�. n.n....'„n uP1 i .j. q RILL X 6 99 ro " �L - y- 19TH Si i N.E. a Nn ` •• : n • � �� S � I e • • ri i. -� , ,,yal. • £ 1 < rt lhc. 17TH• ST lk hi 4 i; F j .a •�1= CITY OF RENTON � .It Planning/Building/Public Works Department Earl Clymer,Mayor _ Lyon Gyumnnn,Adminis"tw December 13,1993 7 Mr.Jack Dinniene Northwest Valuation Services ill _ l s,317 25th Drive SE Mill Cmck,WA 98012 �j SUBJECT: AFPRAISAiS FOR FOUR SINGLE FAMILY PESIDFh'i]AI PROPERTRiS IN PIA7$OF SIERRA HEIGH73 DIVISION M2 AND ROSE HAVEN ADU177ON,CITY OF RENEON,WA. '." RE: CAG 93-044:ADDENDUM 1-93 -'•..'}: . x ..-.. Dear Air.Dinniene: Please accept this letter as confirmation that you were awarded the job of appraising four(4) .a Properties to provide background data to justify LID#1'35 and to estimate the increase in value if any,to homes in the area of the LID as a result of the availability of sewer. �•r Y, proposed fee for the appraisal work is acceptable and is not to exceed $3.840.00. We ha%v budgeted an additional$480.00 for your presence at public hearings ''• proves necessarv. p b or other mee 'tmgs,if it _.. .- a Enclosed please find Task Authorization No. 1 for the above described work to be completed ` under Consultant Contract Agreement(CAG 93-044)for R/W and Appraisal Services with your >:. f mh. s r If you concur in the Task Order Authorization and agree to the items as stated within, please sign in the appropriate places,as marked,and return to this office for final action. J you have any questions pertaining to the sanitary sewer LID, please direct them to the Wastewater Engineer,Mike Benoit,at(206)277-6206. If you have a question regarding the Task Authorization,please call me at(206)2776209. ' Sincerely, kt rr s+�" Arlene Haight r Property Services \ ,1 <r. MikcarnWl �/ Iwb MacOnk I9358.1.nOC/AM11/oh 200 Mill Avenue South-Renton,Washington 98055 tn¢rum cwrnivs ww agrnm wntFaw-,as raa�mwsarutn r W R ORDER AUTHORl7.A770N City of Renton Project No. WO#45099 Name of Project LID No. 335 Property Appraisals Master Agreement No. CAG 93-044 Task Order Authorization No. 1 The City desires to authorize engineering services pursuant to the Master Agreement entered into with [ Northwest Valuation Services Qack Dinnienc)and executed on May 10, 1993 and identified as Master Agreement No.CAG 93-044. All provisions in the Master Agreement remain in effect except as expressly modified by this work Authorization and are incorporated herein by referent. SCOPE OF TASK ORDER L DESCREPTION OF PROPOSED WORK 5 Purpme: Perform appraisals of four separate single family parcels providing background information on the value of the parcels as they existed on private on-site septic systems within a state declared health hazard area and after the completion of City of Renton Local improvement District(LID) No.335 providing sanitary sewers for the area. 1Le purpose of these appmsals is to provide background d.ua to justify the LID,and to estimate the increase in value,if any,to homes in the area of the LID as a result of the availability Of sewer. Task 1: Objective: Appraisals Approach: Perform an appraisal Of the following parcels providing background information on their value as the),currently exist with private on-site septic systems within a State declared health hazard area and after the completion of the sanitary sewers for the area as proposed by the City of Renton Local Improvement District Q.ID)335. PID Legal Description Address 778900-024q _ Lot 48 Sicrn Sleights Division#2 3924 NE 21st Street 778900 lot 33 Siem Heights Division#2 2112 Redmond Av NE 778900-0030 Lot 6 Sicm heights Division#2 3715 NE 22nd Place 741940-0030 Lot 3 Rose Haven Addition 1922 Redmond Ave NE See the attached map. Task 2: Objective: Meetings or testimony if required. Approach: Attendimce at meetings or testimony at public hearings or in court. Need for these additional services is not currently anticipated. D. ESTIMATE OF HOURS AM1D COST Task I S/flour Hours Cost Appraisal SGl.00 64 $3,840.00 Task 2 Testimony $60.00 8 180.00 J u ' Y A rTASK ORDER AUrHORIZAIION(cons.) K City of RentonMRALL Project No. WO N 45099 Name of Project LID No.335 Property Appnisals - Master Agreement No. CAG 93,044 Task Order Authorization No. 1 ' L — �< M. SCHEDULE OF COMPLETION Oly AIMIORI7.ED WORK t Project to be completed in thirty(30)days from notification to star:. IV. ADDMONAI.ITEMS TO BE FURNISHED BY T11F.CONSULTANT " None. .. ... y_ SUMMARY OF FEE FOR APPRAISAL.SERVICES Direct Salary Cost(fuk No.1) $3 840.00 { Budgeted Salary Ca (Cask No.2) 480.00 d� s, ?e; TOTAL $4,320.00 -+ The maximum amount payable under sus work authorization inclusive of all fees and other costs is$4 320.00. All work under this work authomatnn shall be prrformcd pursuart to the terms, conditions, specifications, and limitations conuined in the M2 .cr Agreement. If you concur in this Task Order . uthorlzation and agree to the items as stated above, please sign in the t+i appropriate space below and return to this office for final action. SUMMARY OP PAl'MENI'11NDi:R WORK A1J7710RIZATIONS Prior Task Order Task Order Authorizations Authorizatic,No. I Total ,1 ea Direct Salary Cost Overhead(including Payroll additives) $3.840.00 $3,840.00 Budgeted Salar-Costs _ __$480.00 $490.00 Total $4,320.00 $4,320.00 CONSULTANT CITY OF RENTON S' Ditc Signature Date N. nh aValuation Services Lynn A.Guttman n,Adminlsttor Jon ek)Dinnicuc MAI Plann4ig/Bullding/Public Works Dept. Date of Authorization: %485AW4AMH1bh _ l G t s 4 QUALIFICATIONS OF - JOHN 'VACS" DINNIENE,MAI - REAL PROPERTY APPRAISER APPRAISAL EXPERIENCE HISTORY Jan. 1984 to Present Owner Northwest Valuation Services, a Fee Appraisal company. Appraisers of and consultants on real property. ! T Jan. 1978 -Dec. 1983 Fee Appraiser, Eastman & Allen Co., in Seattle, WA; commercial Appraising of a wide variety of properties. July 1974 - Dec 1977 Fee Appraiser, Wm. R. Coffin Company, Redmond. WA; appraisals of a vride variety of properties, specializing in commercial properties. Sept. 1973 - May 1974 Independent Fee Appraiser, Grants Pass. OR; wide variety of appraisals. July 1992 - July 1993 Fee Appraiser, Nichols Appraisal Co., Anchorage, AK, specializing in condemnation appraisals. July 1971 - June 1972 Right of Way Agent,Department of Highways, State of AK,full and partial eking appraisals in Anchorage. June 1965 - June 1971 Right of Way Agent, Division of Highways. State of CA in San Francisco. Three years in real estate appraisal doing condemnation appimsing;one year p� fD1'CATION of property management;two years sales. • American Institute of Real Estate Appraisers Courses: Appraisal Principles,Capitalization Theory and Techniques, Condemnation Appraising, Industrial Valuation, and Professional Standards. • Society of Real Estate Appraisers Courses: Income Property Appraisal. • International Right of W,y Association Course: Easement Valuation. ' • Various seminars and mini-cou<es; several FIRREA Act Seminars. 3 Growth Management Act seminars, Historic Preservation, Computer Decision Making, Apartment Valuation, Subdivision Analysis,Highest and Besi Use,Tax Considerations,Marshall& Swift Computerized Cost Seminar �. • B.A. Degree in Business Administration, San Francisco State University. • Other Appraisal Courses: Intermediate Real Estate Appraising, Real Estate Law, Investment Property Analysis, Taxation of Real Estate, Building Construction and Estimating - Computer courses,Windows 1 & 11. PROFESSIONAL ASSOCIATIONS • Member Appraisal Institute(MAI)designatiop with the Appraisal Institute(1^come Property Designation) y • State Certified Genaral Appraiser, State of Washington 0`.70-11 DI-NN-IJ-D595M-8 ■ • Member, Planning Commission, City of Mill Creek, 1990 to Present • Member, International Right of Way Association • Member, American Planning Association , �J k Y `+ JHN "JACK" . INNIENE,MAI (Continued) ---- LIST OF NOTEWORTHY ASSIGNMENTS. • Complicated full and partial taking including easement appraisals for govemiuMt agencies and individuals for condemnation including regulatory taking cases kt ' • 1.I13 Studies, and Appraisals of Railroad Rights of Way t • A proposed ice skating rink including Ate selection and feasibility analysis • A hospital - Airplane Hangars - Car Washes • Two Alaskan .tafood processing plants • Banks - Mini-lubes - Mini-storage facilities ■ • Historc properties - an Antique Mall `' Ip • Cold storage warehouses and many industrial properties a • Several fire stations for reuse, surplus schools f{.,. • A large convalescent hospital • Large and small hotels- motels • Community and neighborhood sized shopping centers and strip centers a • A horse stable and thoroughbred training center, and several vetetinary clinics • A wide variety of apartment buimmgs • Medical office buildings • Industrial Parks • Residential subdivisions and unimproved land appraisals • Several large and many small restaurants • Camper parks e • Mobile home parks • Service stations • A resort condominium hotel .,. • Various projects io FNMA - FHLRB and FIRREA standards • A day care center • A nursing and boarding home • A marina • A Bed& Breakfast Inn • Appraisals for tax appeals and estates • FNMA & Freddie Mac small and medium sized income property form appraisals • Timberlands - wetlands - street vacations - rental studies • Appraisal of unique parcels o.land for acquisition as parks and wildlife preserves EXPF,RT TESTIMONY • I have testified in Superior Court cases including condemnation in Alaska and Washington, and at Ma,ters Hearings and Bankruptcy proceedings. GEOr'RAPHIC REGIONS WHERE APPRAISED • Specializing in State of Washington, mostly in the Puget Sound Area-- King, Snohomish, KAMP, Pierce, Skagit, Whatcom,Jefferson and Clallam Counties. • Also have appraised Central and Northern California; Southern Oregon;Idaho Panhandle;the �[I Anchorage, Kodiak and Alaskan Peninsula areas of Alaska.