Estate of F. Wallace Langer, Deceased, Clarence D. Langer, Jr., Executor - Page 14

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          development; and (3) the purported oversupply of commercial                 
          property in Sherwood.                                                       
               The uncertain offsite costs to which Mr. Kelley refers are             
          the costs of traffic mitigation requirements imposed on                     
          commercial developers by Metro.  However, these requirements were           
          not peculiar to Phase 5--all commercial developers in Sherwood              
          (or at least those developing larger tracts of land) were subject           
          to the requirements of Metro, including the developers of                   
          comparables 1 and 2.  Any impact the uncertain traffic mitigation           
          costs had on the market should be reflected in the sales prices             
          of comparables 1 and 2, and are thus taken into account by using            
          those comparables in the comparable sale method.  A further                 
          discount is not necessary.                                                  
               The estate also argues that Phase 5 was subject to other               
          extraordinary offsite costs.  In valuing Phase 5, we generally              
          take into consideration only those costs that are reasonably                
          foreseeable by a hypothetical buyer and a hypothetical seller on            
          the valuation date.  See Estate of Spruill v. Commissioner, 88              
          T.C. 1197, 1228 (1987).  The estate has not established that                
          extraordinary offsite costs were reasonably foreseeable on the              
          date of death.  Instead, it appears that the estate is focusing             
          on the costs associated with the reconfiguration of Phase 5 in              
          2002.  However, the reconfiguration was not contemplated by LFLLC           
          on or before the date of death, nor was it reasonably foreseeable           






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