Charles H. Browning, Jr., and Patricia L. Browning - Page 11

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          opinion as to the fair market value of the easement as of                   
          December 1, 1990.  Mr. Lipman believes that, as of that date, the           
          highest and best use of the land was for development into single            
          family residential lots.  As was true for Mr. Sapperstein,                  
          Mr. Lipman believes that the highest and best use of the land               
          after conveyance of the easement is as a farm (subject to the               
          restrictions of the easement).                                              
               Montgomery County is adjacent to Howard County.  Mr. Lipman            
          was aware that, in Montgomery County, sales of development                  
          rights, known as “Transferable Development Rights” (TDRs), occur            
          with some frequency.  Mr. Lipman testified that a Montgomery                
          County landowner who conveys a TDR gives up the right to                    
          residential development and is left with land available only for            
          agricultural or similar use.  He believes that sales of TDRs in             
          Montgomery County are at prices that represent “a true indication           
          of arms length negotiations for the totality of the development             
          rights”.  Mr. Lipman believes that Montgomery County sales of               
          TDRs present “dependable comparable sale[s] in the context of               
          development rights valuation and can be used as direct sales                
          comparisons.”  Mr. Lipman notes that Howard County's instructions           
          to their appraisers state:  “By law, Howard County may not pay              
          more for the easement than fifty (50) percent of the appraised              
          fair market value of the property.”  (Fn. ref. omitted.)                    

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