- 36 - the life of the property. The office space has already been restored, except for the Fourth Floor where tenant finish is needed, some minor deferred maintenance yet to complete. This office space is in very good to excellent condition having been renovated to the extent of refinishing most surfaces and installing new restrooms. In consideration of these facts and experience in appraising commercial properties it is concluded that the effective age is 18 years, resulting in a depreciation estimate of 15 percent. * * * Ingram/Ewing estimated depreciation for the retail/office space to be $238,650. Ingram/Ewing estimated a value of $3,773,123 under the replacement cost approach for the theater space, computed as follows:23 Cost Approach Analysis for Theater Use Space Estimated Replacement Cost, $5,497,240 As completed with 1,130 seats, for 24,358 square feet at $226 per square foot Less Provision for Depreciation at 19%1 1,044,475 (Utilizing Marshall Valuation Service and computed after restoration) Net Depreciated Value of Improvements 4,452,765 Add Land Value Estimate 542,403 Total Estimated Value by the Cost Approach4,995,168 After Provision for Depreciation As Completed with Planned Restoration Less Estimated Cost of Restoration and 1,222,045 Maintenance 23 In the various tables produced by the experts and reproduced in our opinion, several of the experts' dollar totals do not appear to be correct. However, the dollar figures appearing in the experts' tables and reproduced in our opinion were rounded by the experts to what they considered the nearest dollar amount. We note that the dollar totals presented are in fact correct when the unrounded figures are considered.Page: Previous 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 Next
Last modified: May 25, 2011