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real properties and, if so, the amount of such a discount, we
shall consider the opinions of the parties' respective real
estate valuation experts to see if they are of any assistance to
us. Prior to the trial in this case, the parties informed those
experts that they had agreed that the aggregate value of the
remaining unimproved real properties without taking into account
an absorption discount was $20,366,470. The parties instructed
those experts to use that stipulated value in determining the
aggregate fair market value of those properties.
We note initially that the parties' respective real estate
valuation experts agree that the value of the remaining unim-
proved real properties was negatively affected by the economic
conditions prevailing as of the valuation date in the market in
New Orleans, Louisiana, in which those properties were located.10
It is the opinion of Mr. Egan, the estate's real estate valuation
expert, that the stipulated value of the remaining unimproved
real properties, which was determined pursuant to the comparable
sales method under which sales of comparable real properties are
used to determine value, is only the first step in the valuation
analysis for determining the aggregate fair market value of the
properties in question. That is because Mr. Egan believes
10In fact, Mr. Guice, respondent's real estate valuation
expert, stated in his expert report that he expected those
adverse economic conditions to continue until the mid-1990's.
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