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Three of the buildings were substantially larger than the
Reflections both in the number of units and in square
footage, and the appraisers chose not to use those sales
because the size differences "would require a large upward
adjustment to bring them comparable to the subject." The
fourth comparable, the one on which they based their
appraisal, involved the sale of an apartment with 36 units
that "was purchased for conversion to condominiums" and as
of "December 1994, 12 of the 36 units [had] been
converted."
The sale price of the apartment building, $1,650,000,
divided by the number of apartments, 36, works out to a
price per unit of approximately $45,800. Respondent's
appraisers note that the Reflections has a more desirable
setting, with a view of a lake, than the comparable and
has approximately three-fourths of an acre more land.
Accordingly, the appraisers increased the price per unit
to $52,500, an increase of $6,700 per unit, to account
for these differences. Their report, however, does not
explain how this adjustment was determined. Respondent's
appraisers made no adjustment for the fact that the
comparable was approximately 3 years old at the time of
the time of the sale, whereas the Reflections had just
been built.
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