Estate of Charles a. Boratello, Deceased, C. Norman Borgatello and Josephine E. Donnelly, Co-Executors, and C. Norman Borgatello, Successor Trustee to the Charles A. Borgatello Living Trust - Page 18




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            from Mr. Holden's comparables in Huntington Beach and Los                                  
            Angeles, and more than 30 miles away from Oxnard.                                          
                  Mr. Holden acknowledges that MVN and MVS are "situated in                            
            Santa Barbara's most desirable neighborhood".  He also notes that                          
            MVN and MVS "make up the majority of the commercial property in                            
            Montecito.  They almost set their own rental market." The                                  
            Montecito-Santa Barbara community is unique in that there is very                          
            limited vacant land.  It is a small community, and there are not                           
            many shopping centers for sale at any given time, in contrast to                           
            Los Angeles and Orange counties where many shopping centers are                            
            for sale at any particular moment in time.  Moreover, during                               
            1989, Santa Barbara voters passed "Measure E", which restricts                             
            the building of commercial and industrial properties in the city                           
            limits of Santa Barbara.  Mr. Holden states that, although it is                           
            too early to tell how Measure E would affect the real estate                               
            market in Santa Barbara, "more than likely, it will cause a                                
            shortage of commercial rental facilities and create high rents".                           
            Accordingly, the unique character of the Montecito-Santa Barbara                           
            real estate market will be maintained well after the alternate                             
            valuation date.                                                                            
                  Mr. Holden attempted to demonstrate the rising                                       
            capitalization rates of commercial shopping center sales in                                







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Last modified: May 25, 2011