- 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.
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