Estate of Juanita F. Sirmans, Deceased Dan L. Sirmans, Executor - Page 20

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             conclusion, the BAAS appraisal relied principally on                     
             comparable #1, the August 1989 sale of between 101.137 and               
             120.379 acres to Hillsborough County for $1,446,783.  The                
             operative passage of the BAAS appraisal states as follows:               

                  The sale by [sic] Hillsborough County [comparable                   
                  #1] is of great significance, due to the date the                   
                  sale took place, the similarity of the size, and                    
                  the parcel's proximate location.                                    
                  The Hillsborough County purchase of a parcel to                     
                  buffer its sewer plant reflects a price of                          
                  between $12,056 and $14,325 per acre.  Centex,                      
                  the seller, obviously placed a value on the land                    
                  based on its residential potential.  The county                     
                  typically pays somewhat of a premium, like most                     
                  governmental and quasi governmental agencies.                       
                  This occurs due to disadvantages in negotiations                    
                  and a desire to avoid confrontation or legal                        
                  action.  Consequently, we have adjusted the sale                    
                  price that we split between the $14,325 high and                    
                  $12,056 low indicator.  We also adjusted this                       
                  comparable up for its inferior location.  We have                   
                  concluded a value indicator of $14,000/AC from                      
                  this sale.                                                          
                                                                                     
                  The other comparables are at least 18 months old.                   
                  The unadjusted sale price, on a per acre basis,                     
                  varies from $13,464 [comparable #2] to $18,285                      
                  [comparable #5].  Interestingly, the oldest                         
                  comparable [comparable #6] is for a 90 AC                           
                  defunct orange grove which sold in December,                        
                  1986 for an unadjusted price of $14,525/AC.                         
                  This parcel encompasses a 5 AC lake and has                         
                  no environmentally sensitive land.  Hence, our                      
                  sales do not indicate an upward trend in value.                     
                  We believe that the major fall in construction                      
                  activity in Hillsborough County accounts for                        
                  the stable prices of large, raw acreage tracts.                     
                  Few developers can afford to tie up major funds                     
                  in warehousing future development sites.                            







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Last modified: May 25, 2011