- 21 - To that amount, Mr. Wilkins adds the present value of the payments due under the initial user leases, $4,331,327, to arrive at the aggregate present value of the equipment, $5,267,715, an amount slightly in excess of the alleged acquisition cost of the equipment, $5,170,392. Thus, the premise of the Appraisal is that the fair market value of the equipment sold to the Roscrea Trust is equal to the present value of the payments due under the initial user leases, $4,331,327, plus the aggregate present value of the residual values of the equipment upon the expiration of the initial user leases, $936,388. However, upon expiration of each of the initial user leases, the computer equipment covered by that lease remained subject to one of the two master leases, and the unitholders could do nothing with that equipment until expiration of the master leases in 1990, other than to share with Equilease, the lessee under the master leases, any contingent rents realized. Thus, in view of the fact that all of the equipment is subject to one of the two master leases, the Appraisal is wrong in valuing the equipment at the expiration of the initial user leases. Significantly, there is no evidence in the record that petitioners, the Trustee, or any of the other unitholders raised an issue with the seller of the equipment, thePage: Previous 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Next
Last modified: May 25, 2011