COMMERCIAL APPRAISERS OF IOWA, INC.

Transcription

1 Patrick J. Schulte, MAI Russ G. Manternach, MAI COMMERCIAL APPRAISERS OF IOWA, INC. Real Estate Valuation & Consulting Levi H. Freedman Karen C. Olson David J. Fuglsang Luke J. Wanninger June 10, 2015 Michael Harmon City Administrator City of Fairfield P.O. Box S. Main Street Fairfield, IA Dear Mr. Harmon: Re: Request for Proposal - Appraisal Services Sewer Projects. This letter is in response to your request for appraisal services related to the above identified project. A significant percentage of the work completed by our firm is for eminent domain purposes. This proposal is for either completing the appraisals or review of appraisals completed by a different firm. Our appraisals will be prepared in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 as amended, in accordance with Part 24 of Title 49 of the Code of Federal Regulations, and the IDOT Appraisal Operations Manual. They will also conform to the guidelines of the Uniform Standards of Professional Appraisal Practice (USPAP) and the Appraisal Institute s Code of Ethics. All appraisals will be in accordance with State and Federal land acquisition requirements. The appraisals will be completed in accordance with all applicable codes and ordinances of the City of Fairfield. Our manager of any appraisal project would be Russ G. Manternach, MAI, or Patrick J. Schulte, MAI. Our contact information is as follows: Commercial Appraisers of Iowa, Inc Woodland Avenue, Suite 320 West Des Moines, IA Phone Fax Website: russm@caiowa.com patschulte@caiowa.com 3737 Woodland Avenue Suite 320 West Des Moines, Iowa Phone 515/ Fax 515/

2 - COMMERCIAL APPRAISERS OF IOWA, INC. - Page 2 PROFILE OF CONSULTANT Commercial Appraisers of Iowa, Inc. is a full service commercial real estate appraisal and consulting firm. Our staff of employees is highly educated and experienced in all facets of appraising real estate. Our clients include state and local government agencies, lending institutions, assessors, law firms, engineering firms, accountants, insurance companies, and private property owners. Appraisals completed by our firm are used for financing, litigation, eminent domain, insurance, assessment appeal and other purposes. Commercial Appraisers of Iowa has become one of the largest commercial real estate appraisal firms in Iowa due to our experience, reliable service, education and strong relationship with our clients. Our firm includes six professional real estate appraisers specializing in commercial, industrial, eminent domain, development land, and investment real estate. Our principals, Russ G. Manternach, MAI and Patrick J. Schulte, MAI, have over 50 years of experience, covering mortgage, litigation, and eminent domain appraisal practices. We have successfully performed eminent domain appraisal throughout Iowa for the IDOT, engineering firms and municipalities. A summary of our experience and qualifications is included in a later section of this proposal. SCOPE OF SERVICES Our first step to complete an eminent domain appraisal would be to review the project plans. We would discuss the project with representatives of the city or project engineer. We would prioritize the appraisals with the assistance of the city and its representatives. Most of the duties required for an assignment are specified in the IDOT Appraisal Operations Manual. We have extensive experience and skill at following these guidelines, and proper appraisal practices specified in the Uniform Standards of Professional Appraisal Practices (USPAP). The scope of work for an assignment typically includes an inspection of the subject property, reviewing public record information concerning the subject and other properties in its immediate neighborhood, reviewing construction plans associated with this project, and searching for sales of properties similar to the subject. The property owner or representative will be contacted and offered an opportunity to inspect the property with the appraiser. For a value-finding appraisal, a sales comparison approach will be completed to estimate the market value of the land, as if vacant. If a before and after appraisal is completed, a cost, sales comparison and income approach may also be completed. All comparable sales used in the appraisal will be inspected by the appraiser. The sales will be verified by interviewing the grantor, grantee, and/or through public records. Any comparable sales applied in the analyses will be described in detail with data sheets included in the addendum to this reports. The estimate of just compensation is the diminution in value as a result of the proposed acquisition. The scope of assignment would typically include estimating separate market values for landlord/tenant interests, when applicable and as required by the IDOT Appraisal Operation Manual.

3 - COMMERCIAL APPRAISERS OF IOWA, INC. - Page 3 We will correct and/or revise the appraisals upon review, if necessary. We will attend potential pre-trial/pre-condemnation hearings, and testify as an expert witness in eminent domain proceedings. Our compensation for these items will be based upon an hourly fee. If we were hired to review another firms appraisal reports, we would inspect the property from public right-of-way, inspect the comparable sales, and review the appraisals for compliance with applicable standards. We would provide a written appraisal review. CONSULTANT QUALIFICATIONS AND EXPERIENCE The following is a brief summary of the qualification and experience for the principals in our firm, Russ Manternach, MAI, and Patrick J. Schulte, MAI. We also have four other appraisers, which include Levi Freedman, Karen Olson, David Fuglsang and Luke Wanninger. Qualifications for the appraisers are included on our web site One of the principals in the firm would complete the work for this project. Russ G. Manternach, MAI Education: Master of Business Administration, Creighton University, Omaha, Nebraska, December, Bachelor of Business Administration, Iowa State University, Ames, Iowa, December, Experience: Professional experience includes over 20 years as a commercial real estate appraiser. Russ co-founded Commercial Appraisers of Iowa, Inc. in 2001 after eight years with Iowa Appraisal and Research Corporation. Experience includes eminent domain appraisals and expert witness testimony. Professional Affiliations: Designated MAI - Appraisal Institute, Appraisal Institute - Iowa Chapter Former Board of Director, International Right of Way Association. State Certification: Certified General Real Property Appraiser, State of Iowa. Patrick J. Schulte, MAI, SRPA Education: Bachelor of Business Administration, University of Wisconsin, Madison, Real Estate and Urban Land Economics. Experience : Professional experience covers 38 years in appraising all types of commercial, industrial and investment property, with specialized knowledge for analysis of complex property issues for special use properties. A co-founder of Commercial Appraisers of Iowa, Inc. during Experience includes unique skills in golf course appraisal and extensive past practice in eminent domain and assessment fields. Prior experience included the position of Vice President and Appraiser with Iowa Appraisal and Research from 1987 to 2001 appraising commercial and investment properties. Served as Chief Deputy Assessor of Madison, Wisconsin from 1979 to 1987 with responsibility for assessment of all commercial and apartment properties and all business FF&E.

4 - COMMERCIAL APPRAISERS OF IOWA, INC. - Page 4 Prior experience included six years as appraiser of industrial properties for the Wisconsin Department of Revenue. Additional experience includes teaching assessment law, cash equivalency analysis, and appraisal procedures at several vocational and technical schools. State Certification: Certified General Real Property Appraiser, State of Iowa.

5 - COMMERCIAL APPRAISERS OF IOWA, INC. - Page 5 LIST OF APPRAISALS AND REVIEWS The following is a partial list of recent eminent domain appraisals, along with appraisal review projects, completed by our firm. Project Type Client Parcels Year Property Types/Comments No. of APPRAISAL Waterloo Street Project IDOT Commercial/Residential Highway 20 Project IDOT Ag/Commercial Fox Creek Sewer Project City of West Des Moines Residential, Development Land 156th Street Project City of Urbandale Residential, Development Land NE 22nd Street Project IDOT Industrial Storm Sewer Improvement City of Fort Dodge Commercial/Industrial 19th Ave North Street Project City of Clinton Development, Residential Rails to Trails U.S. Dept. of Justice Commercial/Agricultural/Other Interstate Project, Council Bluffs IDOT /2013 Commercial/Industrial/Other Interstate Project, Sioux City IDOT /2013 Commercial/Industrial/Other Sanitary Sewer Mitgation Project City of Storm Lake Various Hwy 75 City of Merrill IDOT Various 76th Ave SW Street Project City of Cedar Rapids Street Project, Land/Industrial New Sewer Trunk Line Wastewater Reclamation Agcy Ag/Development/Residential HWY 69/Ankeny Blvd Widening IDOT Commercial/Development New Sewer Trunk Line City of Ankeny/Snyder & Assoc Various Indianola Ave Road Widening City Des Moines Retail, school, church University Blvd Road Widening City Clive Retail and office properties S Omaha Bridge Rd,Council Bluffs IDOT Commercial/Development NE Delaware Road Widening City Ankeny/Snyder Eng Commercial/Development Jordan Creek Road Widening West Des Moines Residential & Development APPRAISAL REVIEW First Avenue Grade Separation City of Iowa City /2015 Commercial County Road Project Harrison County /2015 Agricultural Highway 92 Improvement Project City of Fort Dodge /2015 Commercial/Other Highway 92 Improvement Project IDOT Various First Avenue Grade Separation City of Iowa City Commercial SW 9th Street Improvement Project City of Des Moines Commercial Southeast Connector Street Project City of Des Moines Commercial West Side Levee Project City of Iowa City Commercial/Industrial Shaulis Road/Ansborough Ave City of Waterloo Industrial/Agricultural

6 - COMMERCIAL APPRAISERS OF IOWA, INC. - Page 6 The above list includes the majority of the larger projects completed for various acquisition agencies over the last several years. We were also retained by the IDOT, City of Des Moines, City of Council Bluffs, Sioux City and various other communities for complex acquisition problems. The IDOT has selected our firm for difficult acquisition problems relating to large convenience store/truck stop properties and other complex issues that were not part of large road projects. Sioux City retained us for acquisition of a golf course property for alternate industrial park use. The items shown above for South Omaha Bridge Road in Council Bluffs involved appraisal of many full takings and severe partial takings relating to medium and large commercial and industrial properties along major highways. The City of Des Moines uses our consultant services on a regular basis to provide both acquisition services and to provide consultation services for addressing difficult appraisal acquisition issues. CERTIFICATE OF INSURANCE Our company is able to meet the City s insurance requirements for professional services. REFERENCES Mike Jackson Phil Wageman Appraisal Supervisor Real Estate Division Manger Right-of-Way Division City of Des Moines Iowa Dept. of Transportation 400 E. 1 st Street 800 Lincoln Way Des Moines, IA Ames, IA Mary Ann Carnock Richard Scieszinski Right-of-Way Agent City Attorney Snyder & Associates City of West Des Moines 2727 SW Snyder Boulevard 4200 Mills Civic Parkway P.O. Box 1159 P.O. Box Ankeny, IA West Des Moines, IA COST OF SERVICES Appraisal Report Format Cost/Parcel Value Finding $2,600. Detailed Narrative Total Acquisition or Before & After $4,000. Appraisal Review $1,300. It is anticipated that value finding appraisals would be appropriate for the majority, if not all, of the parcels. However, this would need to be determined after acquisition plats have been obtained.

7 - COMMERCIAL APPRAISERS OF IOWA, INC. - Page 7 Our hourly fee for additional services, including expert testimony, is $250 per hour. We could complete the appraisals within 8 to 10 weeks of authorization to proceed. We could complete the appraisal reviews within 3 weeks of receiving the appraisals. Please call us if you have any further questions. Thank you for the opportunity to provide appraisal services. Respectfully submitted, Russ Manternach, MAI President