Estate of Duilio Costanza - Page 13




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          Estate Appraiser”.  The qualification sheet attached to his                 
          reports indicates that he has passed examinations of various                
          subjects relating to appraisal and that he has extensive                    
          experience in valuing real estate.                                          
               Mr. Schmidt and Mr. Bollinger used similar methods to value            
          the restaurant property.  Each appraised the property on the                
          basis of sales of comparable properties, on the basis of                    
          capitalized earnings, and on the basis of the cost needed to                
          replace the properties, less depreciation.                                  
               Mr. Schmidt determined that an appropriate value for the               
          building, based upon comparable sales of similar properties, is             
          $42.50 per square foot.  Mr. Schmidt’s report multiplied the                
          $42.50 figure by the 6,474 total square feet of the building’s              
          floor space to arrive at a value of $275,145 for the building.              
          He also determined that the value of the property without                   
          improvements was $55,000.  The total figure, rounded off, was               
          $330,000.                                                                   
               In preparing his valuation of the restaurant property for              
          respondent, Mr. Bollinger consulted Mr. Schmidt’s 1991 valuation            
          report and township assessment cards.  He also performed a visual           
          inspection of the exterior of the building in January 2000.  He             
          was not asked to perform interior inspections.  Because the                 
          property was being leased to its owners, he did not inquire into            
          what the leasing arrangements for the building located on the               






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Last modified: May 25, 2011