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This valuation aligns with the agreed sale price of $190,000, as established through the <br />Appraisal. The Appraisal confirmed that the Property’s value under its current use and <br />conditions is appropriate and reflective of the market conditions as of the date of the <br />Appraisal. <br />The final estimated reuse value underscores the impact of the existing Parking Lease <br />Agreement, which significantly influences the Property's marketability and development <br />potential. The planned transfer of the property at this value ensures compliance with the <br />legal and financial obligations tied to the Property while facilitating its continued use for <br />public benefit. <br />V. CONSIDERATION RECEIVED AND COMPARISON WITH THE ESTABLISHED <br />VALUE <br />HSC Section 33433 requires the Successor Agency to disclose the value of the Property <br />and ensure that it receives fair market value. This includes comparing the sale price with <br />the highest use value allowed under current zoning and considering any conditions that <br />affect the Property’s use after the sale. <br />Purchase Price <br />The purchase price of the Property is $190,000, as determined by the conducted by <br />CBRE, Inc. on September 11, 2023. This price reflects the fair market value of the <br />Property in its current use as a parking lot. <br />Appraised Value <br />The highest and best use analysis conducted by CBRE, Inc. considered the legal, <br />physical, financial, and maximum productivity aspects of the Property. They concluded <br />that the fair market value of the Property, under its current zoning (Specific Development <br />– SD-84) and considering the Parking Lease Agreement dated May 18, 1993, which <br />mandates 60 parking spaces for the Builders Exchange Building, is $190,000. This <br />valuation is based on the assumption that the Property is vacant and available for <br />immediate development without considering any extraordinary use restrictions. <br />Reuse Value <br />The estimated reuse value of the Property takes into account specific requirements, <br />conditions, and covenants governing its use post-conveyance. The primary covenant <br />affecting the reuse value is the Parking Lease Agreement, which requires the provision <br />of 60 parking spaces for the Builders Exchange Building. Despite this condition, the reuse <br />value aligns with the appraised value, establishing the Property’s worth at $190,000. <br /> <br /> <br />EXHIBIT 5