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A. Market Conditions
The parties stipulated that the market for properties such
as the Victorville property and the Jess Ranch property declined
from 1990 until 1996, and that values bottomed out in 1996. Mr.
Perdue adjusted comparable sales made prior to the valuation
date, including the Jess Ranch sale, downward to reflect the
decreased market conditions in 1996. Mr. Thompson adjusted each
comparable sale that was made prior to January 1995 downward to
reflect this market decline. The parties did not show that there
was a decline in market conditions between February 1996, the
date of the Jess Ranch sale, and June 1996, the valuation date.
In addition, the record does not show a specific point during
1996 at which values bottomed out. We decline to make any
adjustment to the Jess Ranch sale price for market conditions
given the proximity of the Jess Ranch sale to the valuation date.
B. Location/Exposure
The Victorville property is adjacent to Interstate 15, a
major north-south freeway, and Bear Valley Road, a major east-
west road. The Jess Ranch property is located about 5 miles west
of Interstate 15, also on Bear Valley Road. Mr. Thompson applied
a positive 20-percent adjustment to the Jess Ranch sale price,
and Mr. Perdue applied a positive 30-percent adjustment, to
reflect Jess Ranch’s distance from the freeway relative to the
Victorville property. Mr. Perdue attributed his 30-percent
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