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• SAFE RATE is the Passbook Savings rate ... 3%/year
• RISK RATE for land under a School ........ 3%/year
• INFLATION RATE averages ................. 3%/year
• LAND TAXES ............................... 1%/YEAR
• HOLDING PERIOD for Land--20 years ........ 5%/year
BUILT-UP RATE ........... 15%/year
PRESENT LAND VALUE @$ 35,000 @ 15% /year = $ 5,250/
year OR $ 437.50/month Projected GROUND LEASE RENT
* * * * * * *
RECONCILIATION of the Various Approaches to Value
• COST OPINION... $ 1,025,000
• PUBLIC RECORD VALUES... $ 275,000
• SALES COMPARISON and INCOME OPINIONS CONSIDERED
but NOT USED [ see page two and page five ]
We SELECTED as the BEST OPINION of VALUE the COST
APPROACH OPINION in the sum of $ 1,025,000
**************************************************
The HIGHEST and BEST USE of the Subject is its PRESENT
USE
**************************************************
•PROJECTED GROUND LEASE RENT OPINION $ 5,250 YEAR /
$ 437.50 MONTH [Reproduced literally.]
Mr. Mumford’s December 17, 1999 letter made no reference to
the notice of Federal interest that on May 15, 1998, was filed
with respect to the improved property on Maple Street with the
Sandusky County recorder’s office and did not contain the actual
or expected date of a charitable contribution of all or a portion
of the improved property on Maple Street that was the subject of
that letter. Nor did Mr. Mumford’s December 17, 1999 letter
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