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75B - PH - CONDEMNATION 1501 N BRISTOL
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01/20/2015
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75B - PH - CONDEMNATION 1501 N BRISTOL
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Last modified
1/15/2015 4:39:29 PM
Creation date
1/15/2015 4:33:35 PM
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City Clerk
Doc Type
Agenda Packet
Agency
Public Works
Item #
75B
Date
1/20/2015
Destruction Year
2020
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SUMMARY OF THE BASIS FOR JUST COMPENSATION (Continued) <br />Value of Remainder, Before Taking: <br />The value of the remaining portion of the subject parent property, after acquisition, before <br />consideration of severance damages and project benefits, is estimated as follows: <br />Value of parent property, before taking: $2,750,000 <br />Less value of part taken (land, improvements): - 374,118 <br />Value of remainder, after acquisition, <br />before consideration of damages and benefits: $2,375,882 <br />Value of Remainder, After Taking: <br />In the "after" condition, the underlying land parcel will contain 35,951 square feet of land area, <br />net of Bristol Street. Other land features such as topography, drainage, effectively land shape, <br />and highest and best use remain unchanged. The site will have continued reasonable <br />vehicular /pedestrian access along Bristol Street. <br />As discussed, the main fast food restaurant building and a significant portion of on -site <br />improvements will be demolished and removed from the site as a result of the street widening <br />project. While certain on -site improvements such as paving, landscaping, concrete curbing, <br />etc., will remain within the remnant parcel, the value of same is judged relatively nominal in a <br />highest and best use context. The subject remainder parcel has been considered and appraised <br />herein as if vacant and readily available for development. <br />The value of the remaining portion of the subject parent property, after acquisition, before <br />consideration of severance damages and project benefits, is estimated by way of the Sales <br />Comparison Approach. The fee simple land value was estimated in the previous portion of this <br />section at $45.00 per square foot of land area. Said rate remains unchanged in the "after" <br />condition. The value of the remainder parcel is as follows: <br />35,951 SF @ $45.00 = $1,617,795 <br />Permanent Severance Damages: <br />Severance damages are defined in Real Estate Valuation in Litigation, published by The <br />Appraisal Institute, Page 289, as "the diminution of the market value of the remainder area, in <br />the case of a partial taking, which arises (a) by reason of the taking (severance) and /or (b) the <br />construction of the improvement in the manner proposed. <br />Considering the foregoing with respect to (1) before condition, (2) analysis of the part taken, <br />and (3) conditions after the taking, severance damages will incur to the remainder as a result of <br />the proposed taking. Specifically, value diminution results from the permanent elimination of <br />the main fast food restaurant building and resultant loss of future rental income. <br />75B -20 <br />
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