MANASOTA & PEACE RIVER BBDs Meeting Notebook 10-21-09.docx

Summary Agenda
Joint Meeting and Workshop October 21, 2009
Manasota and Peace River Basin Boards Page 7 of 29
preservation of this parcel will complement the District’s resource protection efforts
for the Myakka River and the associated Myakka Prairie.
Utilities and/or Improvements – Electric and telephone service are available but not
extended to the property. The FRPP easement does not encumber a five-acre
farmstead which is surrounded by encumbered property. This property is not
improved with any residential structures, equipment or storage sheds. It is fenced
and cross fenced, and has a reasonable system of interior dirt roads suitable for
machinery access and cattle movement between pastures.
Zoning – The property is zoned A – Agriculture and the Future Land Use is AG/R –
Agriculture Rural. Both allow one residence per five acres with the future land use
allowing a potential density of one per five acres. The potential uses are agriculture,
rural residential, farm worker housing, small retail and office, low intensity
recreational, rural recreational, public or semi-public uses, schools, mining, agroindustrial,
commercial uses related to agriculture, and convenience retail.
Summary of Appraisals and Value Comparisons
In accordance with District policy, two appraisals were obtained for the parcel from
Edwin Jones, ARA, with Angus Investments, Inc, and Tod Marr, MAI, with Marr and
Associates Appraisal Company, Inc. The appraisals were reviewed by Andrew Hupp,
MAI, with Hupp Realty Advisors. The appraisal reports were prepared on May 5 and
May 13, 2009. The reports have an effective valuation date of May 1, 2009, and
meet the necessary legal or District requirements and contain the appraisers’ factual
data leading to the value conclusion.
Highest and Best Use – The highest and best use as determined by the appraisers,
based on the physically possible, legally permissible and financially feasible uses for
this property, would be for agriculture.
The appraisers applied the Sales Comparison Approach (Market Approach) to
determine the value of this property. The appraisers relied on recent sales of
comparable property in Manatee, Hardee, Polk, DeSoto, and Volusia counties. The
sales were adjusted for differences that included date of sale, location/access
easement restrictions, and physical characteristics including size and topography.
The following is a comparison of the total proposed purchase price to the appraised
values:
Negotiated
Amount
Appraised Value
Jones
Appraised Value
Marr
Total Cost $487,500 $ 635,200 $685,000
Per Acre Cost $ 2,629 $ 3,425 $ 3,694
The transaction includes the property owner making a 25 percent contribution of the
cost/value for the easement. The negotiated amount, less the owner contribution, is
23.3 percent and 28.8 percent below the Jones and Marr appraisals, respectively.
The allocation of the total transaction is shown as follows: