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HomeMy WebLinkAbout9A - Reports Re: Appeals to the Board of Appeals and Equalization MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: ISSUES: 4646 Dakota Street S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT CONSIDER APPROVAL OF RTS FROM THE SCOTT COUNTY ASSESSORS OFFICE REGARDING APPEALS TO THE BOARD OF APPEALS AND EQUALIZATION. Introduction The City Council will receive reports from the Scott County Assessor's Office regarding each appeal made at the May 5, 2008 meeting. The Council, sitting as the local Board of Appeals and Equalization, should affirm or modify the Assessor/s recommendation and state a rationale for its action if the council's action is different than the Assessor's recommendation. History Annually, the Prior Lake City Council assumes the role of the local Board of Appeals and Equalization. On Monday, May 5, 2008, the Board and Scott County Assessor's Office received numerous appeals from owners of commercial and residential property. Current Circumstances Following receipt of the oral and written appeals, the Board closed the public hearing. The Scott County Assessor's Office was asked to meet with each of the property owners and prepare a report affirming or recommending modifications to the proposed valuation. Given the volume of reports to be completed by the County Assessor's office, and the time required to meet with each property owner, the reports will be provided to the City Council with the Update on Friday. Conclusion By submitting an oral or written statement of appeal to the local Board of Appeals and Equalization, each of the property owners has preserved his/her ability to appeal to the County Board and ultimately to the District Court (if they appear before the County Board). The Council should consider each report and decide whether to affirm the Assessor's recommended value or amend it. If the Council elects to adopt a value other than the Assessor's recommendation, it should articulate its rationale as part of the agenda item. Sitting as the Board of Appeals and Equalization, the City Council is expected to treat all properties utilizing the same criteria. www.cityofpriorlake.com Phone 952.447.9800 / Fax 952.447.4245 FINANCIAL IMPACT: The cost of the reports prepared for the Board of Appeals and Equalization is included in the contract between the City and Scott County Assessor's Office. The impact of the valuation adjustments which the Council will consider is unknown because other factors are involved which are unrelated to the Board of Appeals and Equalization. ALTERNATIVES: 1. Adopt the Assessor's values as recommended. 2. Adopt values other than recommended by the Assessor and articulate the reasons therefore. RECOMMENDED As determined by the City Council sitting as the local Board of Appeals and MOTION: Equalization. Follow up report for the 2008 Prior Lake Board of Equalization Appeal 1 : Thomas Merchant................................. INCOMPLETE.2 Appeal 2: Jeff White.............................................................. ...4 Appeal 3: Wesley Mader...... ... ... ........................... ... ... ...... ... ... ...6 Appeal 4: Robert Peterson................................... .............. ..... ..... 7 Appeal 5: David Salonen... ......... ...... ......... ...... ...... ............ .........9 Appeal 6: Brian Burkart..... ................................................... ...11 Appeal 7: Janine Haas............ ..... ...... ......... ...... ...... ... ... ... ... ......13 Appeal 8: Mary Smith...... ......... ...... .................. ... ... .......... .......13 Appeal 9: Dave Roszak....................... .................................... ...14 Appeal 10: Robert Tansey.................................... .............. ...... ..15 Appeal 11 : Janet Franta........................ .................................. ..16 Appeal 12: Jeffrey Wiltz........................................................ ...18 Appeal 13: Daniel O'Keefe............... ......... ......... INCOMPLETE...20 Appeal 14: Bluff Heights Apartments.................SEE COMMERCIAL Appeal 15: Parker Chandler.......................................... ............. .20 Appeal 16: Michael Jasan........................................................ ...20 Appeal 17: Wreck-A-Mended Auto Body LLC...... SEE COMMERCIAL Appeal 18: Beryle Jones............ ............ ... ... ... ............ ... ...........21 Appeal 19: Debbie McGahey... ...... ...... ...... ...... ............... ....... .....23 Appeal 20: H & M Commercial Properties............ SEE COMMERCIAL Appeal 21: S & M Development LLC....................SEE COMMERCIAL Appeal 22: Earl Drangstveit.. ............................... ............... ..... ...25 Appeal 23: Elizabeth Coddington............. ................................ ...25 Appeal 24: Village Commerce Building LLC..........SEE COMMERCIAL Appeal 25: Vaughn Lemke................................. INCOMPLETE...25 Appeal 26: Lisa Franz.............. ............... ................................. ..25 Appeal 27: Monte Giles.......................... ....................... ............ .26 Appeal 28: Mike Leech....................................... ............... ..... ....28 Appeal 29: Ken Orum........................................................... ....30 Appeal 30: Janece Quade.................................. INCOMPLETE...32 Appeal 31: Lee Woodruff......... ............... ............... ................. ..33 Appeal 32: David Yajko.................................... INCOMPLETE...34 Appeal 33: James Zimmer.................................. INCOMPLETE...36 Appeal 34: Chris Hesh....................................... INCOMPLETE...38 Appeal 35: Rock Creek Plaza LLC..................... SEE COMMERCIAL Appeal 36: Premier Equity Investments Inc.......... SEE COMMERCIAL Appeal 37: River Bluffs Of Prior Lake................. SEE COMMERCIAL Appeal 38: Gary Revak..................................... SEE COMMERCIAL Appeal 39: JCT I Limited Partnership................. SEE COMMERCIAL Appeal 40: Dmitry Ginzburg... ................. ......... ...... ............... .....40 Appeal 1: Thomas Merchant, 25-046-0160, No assigned address Lot Information: Lake Access - 0.32 Acres Building Information: NA 2 Background information: 2007 EMV: $50,000 2008 EMV: $50,000 2008 TMV: $27,400 2009 TMV: $38,700 Findings: The lot has been inspected and we are gathering information regarding any possible building eligibilities and dock access for this lot. Recommendation: A recommendation will be made on Monday. 3 Appeal 2: Jeff White, 25-026-0010, No assigned address Lot Information: 50 Ft of Lakeshore - 0.10 Acres Building information: NA 4 Background information: 2007 EMV: $235,000 2008 EMV: $304,000 2008 TMV: $173,100 2009 TMV: $238,600 Findings: The valuation of the property is consistent with lots of similar size and frontage located to the north of the subject. In exchanging emails with the City of Prior Lake's planning department the lot does not appear to conform to the lot area and width requirements to be considered a buildable lot at this time. However, with variances it appears that this lot could be approved to have a dwelling built on it in the future. The city suggests that if the owners would like to identify this as non-buildable that some type of legal notice be made for the property perhaps in the deed, so that it remains non-buildable in the future. The lot value does fall in line with similar lots in the neighborhood and can be supported by the market as of the assessment date. Recommendation: I recommend that the board affirm the valuation of $304,000. 5 Appeal 3: Wesley Mader, 25-195-0011, No assigned address Lot Information: 25 Ft of Lakeshore - 0.07 Acres Background Information: 2007 EMV: $50,000 2008 EMV: $40,000 2008 TMV: $24,200 2009 TMV: $32,100 Findings: As stated at the meeting we value this parcel based on what it would add to a sale involving Mr. Mader's main parcel with his home. We do this so that property under one parcel number will have the same value as similar property under multiple parcel numbers. However, because of the lot dimensions provided by Mr. Mader during the first meeting I contacted the County Surveyor's and GIS offices as there appeared to be a difference in information. After reviewing the legal description it appears that our information was overstating the land area of this parcel. The indicated value of this parcel based on the current information would be $20,000. Recommendation: I recommend that the board reduce the value of this parcel to $20,000. 6 Appeal 4: Robert Peterson, 25-047-0100, 14956 Pixie Point Cir SE Lot Information: 112 ft of Prior Lake lakeshore - 0.50 Acres Building Information: The home is a rambler built in 1956. Above grade living area is 1,642 sq. ft. Below grade finished area is 1,500 sq ft. 7 Background information: 2007 EMV: $704,500 2008 EMV: $718,800 2008 TMV: $638,600 2009 TMV: $718,800 Findings: An inspection of the property was conducted May 14,2008. Some changes were made to the building information. The resulting changes reduced the value of the structure from $218,800 to $202,100. A comparable sale analysis did support a valuation of $740,000. Although a higher valuation is supported, in the interest of equality I recommend decreasing the building value to reflect the changes made during the property inspection. Recommendation: I recommend that the board reduce the total valuation from $718,800 to $702,100 8 Appeal 5: Dave Salonen, 25-141-0060, 16553 Northwood Rd NW Lot Information: 50 Ft of Lakeshore - 0.38 Acres ,.,'rY f E. .r , I i'I/ \j \.'. ..... .; i" ~~,,}', ' ,;.~;~ ,~'~ ! "')'i.,'l .r-,'" 'j<^ "f I' ." ~. /" ,~/ ~. h-Z::--" I et ~ .. Building Information: The structure is a 1968 built rambler totaling 1,440 sq. ft. of above grade living area, below grade finished area is 1,300 sq ft. 9 Background information: 2007 EMV: $434,000 2008 EMV: $614,000 2008 TMV: $434,000 2009 TMV: $524,000 Findings: An Appraisal for refinance purposes dated January 11, 2008 at $546,000 was submitted to us by Mr. Salonen. We have concerns about the appraisal including no adjustments at all for lot lake feet or size and the use of one sale on Spring Lake as well as some others. After completing a comparable sale analysis we believe the value of $614,000 is supported. Recommendation: Affirm the valuation of $614,000 10 Appeal 6: Brian Burkart, 25-041-0050,15759 West Ave SE Lot information: 0.14 Acres Building information: The structure is a One-Story style home built in 2000 with 1,008 sq. ft. of above grade finished living area and 1,134 finished sq. ft. of lower level finish. 11 Background information: 2007 EMV: $452,900 2008 EMV: $509,500 2008 TMV: $440,200 2009 TMV: $506,200 Findings: An inspection of the home was conducted on May 8, 2008. This property is unique in that the property line does not extend to the lake. Also, both lower are considered below grade square footage. After completing a comparable sale analysis a value of $460,000 is supported. This is also in line with Mr. Burkarts analysis conducted using a sq. ft. valuation method. Recommendation: Reduce value to $460,000 12 Appeal 7: Janine Haas, 25-430-0190, 2652 Wilds Lane NW Findings: J anine was signed in but did not speak at the meeting. Recommendation: I recommend that the board affirm the value of$337,300. Appeal 8: Mary Smith, 25-140-0030, 6606 Rustic Rd SE Appeared at the May 5, 2008 Board of Appeal and Equalization, but withdrew her appeal on May 12, 2008, based on her review of sales in the neighborhood. 13 Appeal #9: David Roszak, 25-327-0390, 4334 Priorwood Street SE #39 ~ ~ U ~'7' .1 . ^ :u.. ~ ~ ... '" . "" ~. "it - -iii -.l \, .... Ii!;- "'" 10 " Lot Information: 0.08 acre '-; -""~-- J Building Information: The structure is a 1996 twin home with 1,388 square feet of above grade living area and 1,000 sq. ft. of basement finish. 14 Background information: 2007 / Pay 2008 EMV: $258,400 2008/ Pay 2009 EMV: $247,600 Mr. Rozak is appealing the EMV for 2009 in light of the falling values of twin and town home properties; and is questioning the equality of the assessments for all of the Priorwood twin home properties. Mr. Rozak purchased the property in 2003 for $274,900.00. Findings: The property was inspected on May 9, 2008. A sales comparison grid has been completed, using 2007 qualified sales from the neighborhood. This included the only qualified sale from the Priorwood neighborhood, which was the sale of the unit attached to Mr. Rozak's unit. This property sold for $258,000.00. The remaining sales were from Prior Lake neighborhoods with similar homes. The sales grid result does support the 2009 estimated market value. The Priorwood neighborhood will be included in the 20% quintile review this summer, at which time the assessor assigned to Prior Lake will, at a minimum, inspect each home from the exterior. We will inspect the interior of as many homes as possible, based on property owner response to visits and tags left on the properties. Mr. Rozak has been informed of our recommendation to make no change in value at this time. Recommendation: After inspecting the property it is recommended that the Estimated Market Value for 2009 be supported and should not be adjusted. Appeal 10: Robert Tansey, 25-141-0320, 3198 Linden Cir NW Mr. Tansey was signed in for the meeting but did not speak before the board to appeal his value. The assessor's office has received a tax court filing on this property. We recommend no value change. 15 Appeal #11: Janet Franta & Floyd Nagler, 25-172-0830, 3275 Spruce Trail SW Lot Information: 0.28 acre, Rises to Rear of Lot ~- - - Building Information: The original structure was a 2,066 sq. ft. earth-covered one story home constructed in 1979 on a concrete slab. 16 Background information: 2006 / Pay 2007 EMV: $240,700 2007 / Pay 2008 EMV: $175,800 (Reduced value due to failing roof structure) 2008 / Pay 2009 EMV: $240,600 Ms. Franta and Mr. Nagler are appealing the EMV for 2009, stating that the style of the home with no basement and past history of extensive water damage make the property less valuable. Findings: Ms. Franta purchased this home in 2005 for $240,000.00. The home subsequently suffered extensive damage due to the failing roof structure. In 2007, the earth was removed from the roof and reduced on the sides of the home, and a new wood truss roof with asphalt shingles was constructed. Roof replacement and exterior repairs were completed in 2007. This property was physically reviewed May 7, 2008. A comparison grid was put together comparing the subject property to sales of homes with either no basements or partial basements. The sales comparison grid indicates an adjusted value of $219,000.00; however, there is remaining repair work to be completed on the interior of the home. Ms. Franta and Mr. Nagler presented two comparable property sales in support of their request to reduce the estimated market value to $190,000.00. 16784 Lyons Avenue SE in Prior Lake is a one story home on a cement slab. 14085 Rutgers Street NE is a one story home with a walk out basement, with water damage reportedly similar to the subject property. Both sales, however, were unqualified. The Lyons Avenue property was a foreclosure or pre-foreclosure sale, and the Rutgers property was bank-owned. We spoke with Mr. Nagler on May 15,2008 and informed him that we would be recommending an adjustment be made to the 2009 EMV. Recommendation: After inspecting the property and due to the remaining repair work needed on the interior of the home, it is recommended that the Estimated Market Value for 2009 be reduced to $215,000.00. 17 Appeal #12: Jeff Wiltz, 25-073-0070, 5952 Hidden Oaks Circle SE Lot Information: 0.67 acre, lightly wooded , , ...... . t ,~_, "1' ^; \, ~~~~~.; Wv/..? ~~'~i'-' \ "\ .;:,....., '. -~ -- ,~ ~l\"'~ft ~ , ( \ ", I . . s ,.' '\\'" ~. " It ;- ~J-,,~<tt "'~\"'\\~" . I j,r, {IV, )'f~ _",,- <' . ''.;;t;1' ' -, f';:-(,' /(', ,\, '. ~'YI'~ ') I \. '_~W\ - l\ ~:" '1 [r- - .~ yo:(!:. k ",./ ~~}4~ . \> .~W , ~J.\- J h/-'< -/Yi.-.:._ ~ ~ '~ ~:- .:~~ . -" ,...., ":":~: ." --.;Ill., -_I Building Information: The structure is a 1987 four level split style home with 1,722 square feet of above grade living area and 750 sq. ft. of basement finish on the walk out level. 18 Background information: 2007/ Pay 2008 EMV: $321,100 2008/ Pay 2009 EMV: $321,600 Mr. Wiltz is appealing the EMV for 2009, stating the age and condition of his home as compared to properties selling in the area support a lower value. Mr. Wiltz purchased the property in 2002 for $315,000.00. Findings: The property was inspected on May 7, 2008. It was noted that there are what appear to be structural cracks on the west wall of the home, including cracks in the masonry of the two fireplaces. The fireplaces are not used by the current owners. A sales comparison grid has been completed, using qualified sales from the neighborhood. The result supports a value of $311 ,000.00. Recommendation: After inspecting the property it is recommended that the Estimated Market Value for 2009 be reduced to $311,000.00 based on the sales comparison grid. 19 Appeal 13: Dan O'Keefe, 25-102-0210 Findings: After speaking with the City Planning Department May 16, 2008 it appears that this lot is a buildable lot of record. More time is needed to determine the a proper value for this lot but it is likely we will be recommending a significant increase to the valuation as it is currently valued as an access lot at $120,000 Recommendation: Will be made Monday. Appeal 15: Parker Chandler, 25-072-0110, 4870 Martindale St NE Findings: Mr. Chandler was signed in at the meeting but had his questions answered there. He was not aware that state law requires us to value at 100% of market value. He agrees that our current valuation is close to what he could sell his home for. Recommendation: I recommend that the board affirm the value of $445,400. Appeal 16: Charlene Jasan, 25-071-0050, 15320 Edgewater Cir NE Signed in at the May 5, 2008 Board of Appeal and Equalization. She requested Cynthia Dressen call her. Cynthia left two voice mail messages for Ms. Jasan. There have been no return calls as of noon on Friday, May 16,2008. 20 Appeal #18: Beryle J. Jones, Et AI, 25-032-0100, 4131 Grainwood Cir NE Lot Information: 80 Ft of Lakeshore - 0.50 Acre, Slight Slope &. " rr" ~~'4 "" ~ ,~. .." . "t,' ,.~ .ix. "'" '" d' :If, ----~,- ~ , Ii! '~i' Building Information: The structure is a 1,056 sq. ft. one story former cabin constructed in 1946. There is no basement finish. It is now a year-round home, and there is a detached garage of 440 sq. ft 21 Background information: 2007 / Pay 2008 EMV: $406,600 2008/ Pay 2009 EMV: $473,600 TMV: $406,700 TMV: $467,700 Ms. Nancy Loesch is appealing on behalf of her mother, Beryle Jones. She is concerned that the EMV for 2009 is higher than the property is worth. Findings: This property was physically reviewed May 9, 2008. The change in estimated market value from 2008 to 2009 reflects a decrease in the building value, and a substantial increase in the lakeshore lot value. A review of sales of lakeshore properties in Prior Lake during 2007 indicates the property is not over valued. There was just one sale of an improved lakeshore lot for less than $475,000; this was the sale of an 838 square foot cabin on a .15 acre lot with an easement. Recommendation: After inspecting the property and reviewing sales of lakeshore property the 2009 EMV is supported and should not be adjusted. ;t&- Appeal #19: Debra McGahey, 25-049-0050, 14961 Pixie Point Cir SE Lot Information: 0.28 acre existing lot, access to lake and dock by Easement 23 Background information: 2007 I Pay 2008 EMV: $60,000 2008 I Pay 2009 EMV: $110,000 TMV: $58,400 TMV: $84,200 Ms. McGahey is appealing her EMV for 2009, stating that it is higher than the amount for which she could actually sell the property. Findings: This property was physically reviewed July 7, 2007. Please note that this property does have access to Prior Lake itself via an easement for use by a neighborhood group to swim, fish, and maintain one dock with up to 6 slips. There are currently five dock slips available, four of which are currently being used by other property owners. Ms. McGahey did provide sales of several vacant lots, however one was not a buildable lot, two were vacant lots that backed up to County Road 42 and had no lake access, and one was a bank-owned property with no lake access. She also commented on the sale of a vacant lot on Candy Cove Trail for $71,900.00. This property has superior lake access via Lakeside Manor; however, it has steep topography that would require extensive grading prior to the construction of a home. While sales of lots with lake access are extremely limited, we did review sales of vacant residential lots in Prior Lake. The value of this property is in line with the land values of other properties in the immediate neighborhood, and is considerably lower than the selling prices of residential lots in newer subdivisions, which start at $120,000.00. We spoke with Debra on May 15,2008 and informed her that we would be recommending no adjustment be made to her 2009 EMV. She still has concerns that she could not sell her property at that value and does plan to attend the meeting. Recommendation: After inspecting the property and reviewing sales of vacant residential lots, the 2008 EMV is supported and should not be adjusted. i3.L..\ Appeal 22: Earl Drangstveit, 3443 Twin Island Cir NW ,25-100-0030 I was never able to connect with Mr. Drangstveit for an interior appointment. I spoke with Mr. Drangstveit on May 16, 2008 and answered some of his questions regarding property valuation and classification. He informed me that he really does not have an issue with the valuation of the property and is withdrawing his appeal. Appeal 23: Ms. Elizabeth Coddington, 3301 Sycamore Trail SW, 25- 106-0100 Signed in at the May 5, 2008 Board of Appeal and Equalization. She requested Cynthia Dressen contact her husband, Dean, to schedule an inspection. Cynthia did speak with Mr. Coddington, who stated he would call back if he wished to continue the appeal. Cynthia left two subsequent messages for Mr. Coddington, reminding him of the May 19 meeting. There have been no return calls as of noon on Friday, May 16, 2008. Appeal 25: Vaughn Lemke Inspection set for May 19, 2008 at 9:00am, recommendation to follow. Appeal 26: Lisa Franz 4201 Quaker Trail NE, 25-036-0360 Ms. Lisa Franz had previously indicated she wanted to appeal her 2009 estimated market value. She withdrew her appeal. r J\? Appeal #27: Monte Wayne Giles, 25-178-0010, 14020 Shady Beach Trail NE .f, ~ 1 '.',1. ',> r. "'; ',..".ll~,.',", ;j,;,,~"":'~'",. ~~ :~J,~ .~' -+,. ~ ~,~.~' ~i Lot Information: 0.41 acre Building Information: This is a 1981 split entry style home of 762 square feet with approximately 550 square feet of basement finish. i)& Background information: 2007 / Pay 2008 EMV: $210,900 2008 / Pay 2009 EMV: $186,200 TMV: $205,700 TMV: N/A Mr. Giles is appealing the EMV for 2009, stating that the continuing intrusion of water into the basement of his home makes the property less valuable. Findings: This property was physically reviewed May 9, 2008. The lot rises steeply to the west and north, with a moderate rise to the east. The home is in fair condition, some with evidence of past water intrusion in the basement and on the exterior of the home. Some changes were made to the building information. The result was a reduction in value of the structure, from $90,300.00 to $85,700.00. Recommendation: After inspecting the property it is recommended that the Estimated Market Value for 2009 be reduced to a total of $180,700.00. d.'(j \ Appeal #28: Michael Leech, 25-361-0040, 15259 Nautica Circle NE r.... --~ -~- , , It ~ ~~ t '. Jt, .. 152~( ~~, Lot Information: 0.82 acre ~ .- I L ' --J Building Information: The structure is a 2000 built two story home with 3,633 square feet of above grade living area. There is currently no basement finish. ,"7l d--O Background information: 2007/ Pay 2008 EMV: $551,400 2008/ Pay 2009 EMV: $598,500 Mr. Leech is appealing the EMV for 2009, stating that sales of property in the area support a lower value. He presented 10 sales of property he felt were similar in size, with sale prices ranging from $408,000.00 to $484,000.00. Findings: Mr. Leech's property is located in the Windsong subdivision, with access to Prior Lake. None of his comparable property sales had lake access. The property was inspected on May 5, 2008, and changes were made to the building information. A sales comparison grid has been completed; however, due to a lack of comparable properties it was necessary to make very large individual adjustments, which renders the result unreliable. In the interest of equity we recommend decreasing the building value to reflect the changes made during the property inspection. Recommendation: After inspecting the property it is recommended that the Estimated Market Value for 2009 be reduced to $554,000.00. ;2:8\ Appeal #29: Ken Orum, 25-342-0220, 14939 Highland Court NE Lot Information: 1.33 acres, rises steeply to rear Building Information: The structure is a 2002 built two story home with 3,160 square feet of above grade living area and 1,200 sq. ft. of basement finish. ~9' Background information: 2007 / Pay 2008 EMV: $373,300 2008 / Pay 2009 EMV: $462,500 TMV: $429,300 Mr. Orum is appealing the EMV for 2009, stating the interior quality of his home is less than typical for this age and size of home, and that his land is overvalued due to the steep topography. He further states that sales of properties in the area support a lower value. Mr. Orum purchased the property in 2006 for $500,000.00. Findings: The property was inspected on May 5, 2008, and changes were made to the building information. The interior finish is lower quality than what is typical for a newer home of this size. We did note that there is bonus room over the garage that was not included in our building information. The lot does rise quite steeply at the rear of the home. The changes to the building information result in a net reduction of just $1,600.00. The land value does appear to be overstated. Recommendation: After inspecting the property it is recommended that the Estimated Market Value for 2009 be reduced to $440,500.00 based on the changes to the building information and a reduction in the land value. 3~ Appeal #30: Janece Quade, 25-404-0230, 2801 Cougar Path NW -..1,",,,,,,,,,.,_,.:.,,< ~ cOuGARPATK NW .. ::Jl *ii<;' ""\t."~ 'v' r"",~ ",'." ~ '~~ >I""~ .,,' ""..... -- " ~ . , (i0l \; ~ f% iF, .....,.. * ..~~ tj' "" . ,', ..-~ ~ ....'" l'1iow".~ _ ~..",.. '1 1iiIlIl~ ~",,;_1IlIII Lot Information: 0.31 acre .. Building Information: The structure is a 2005 one story home with 2,106 square feet of above ground living area, and 1,632 sq. ft. of basement finish. :k1- Background information: 2007 / Pay 2008 EMV: $684,500 2008/ Pay 2009 EMV: $674,500 Ms. Quade is appealing the EMV for 2009. An appointment has been set to inspect her home on Monday, May 19,2008. Findings: Recommendation: A recommendation will be presented Monday, May 19,2008. Appeal 31: Lee Woodruff 15258 Jeffers Pass NW, 25-388-0020 Mr. Lee Woodruff had previously indicated he wanted to appeal his 2009 estimated market value. He withdrew his appeal May 8, 2008. y Appeal #32: David Yajko, 25-299-0080, 14991 Storms Circle SE Lot Information: 0.34 acre i;';. t.'i..:~~'~'iUM"._~"<(~,,,,>>,.w.{. ---~,">, i ~~- ' .----~~~ !@Iii' ~~~-" "dJJJi"i1H_l\ll1;W l:L ----=-~ Building Information: The structure is a 1985 four level split style home with 1,384 square feet of above ground living area, and 1,000 sq. ft. of basement finish. 3~ Background information: 2007 I Pay 2008 EMV: $264,400 2008 I Pay 2009 EMV: $295,900 Mr. Yajko is appealing the EMV for 2009. An appointment has been set to inspect his home on Friday, May 16, 2008. Findings: Recommendation: A recommendation will be presented Monday, May 19, 2008. ~ Appeal #33: James & Luann Zimmer, 25-297-0080, 2844 Fox Run NW Lot Information: 0.31 acre lot on golf course . -, I Building Information: The structure is a 2002 two story with 3,070 square feet of above grade living area and 1,450 sq. ft. of basement finish. 3~ Background information: 2007 / Pay 2008 EMV: $630,800 2008/ Pay 2009 EMV: $575,200 Mr. Zimmer is appealing the EMV for 2009 due to water damage to his home. Mr. and Mrs. Zimmer purchased the property in 2006 for $635,000.00. Findings: The property was inspected on April 30, 2008, at which time it was undergoing repairs to the stucco exterior and the deck structure. In 2007, a mushroom was discovered growing in the carpeting of the great room, prompting inspection of the home. It was discovered that due to the exterior stucco surface, water was entering the exterior walls of the home. At the time of our inspection, there was little evidence of damage due to the water, other than the small area against an exterior wall under a window in the great room. Recommendation: A recommendation will be presented Monday, May 19, 2008. 3~ Appeal #34: Christopher Hesch, 25-299-0090, 14975 Storms Circle SE Lot Information: 0.46 acre Building Information: The structure is a 1985 one and two story home with 1,968 square feet of above ground living area, and 383 sq. ft. of basement finish. 371 Background information: 2007 / Pay 2008 EMV: $283,300 2008/ Pay 2009 EMV: $308,300 Mr. Hesch presented a letter at the May 5, 2008, Board of Appeal and Equalization. He is appealing the EMV for 2009. An appointment has been set to inspect his home on Friday, May 16, 2008. Findings: Recommendation: A recommendation will be presented Monday, May 19,2008. 3'~ Appeal #40: Dmitry Ginzburg, 25-382-0250, 15347 Bobcat Circle NW o Lot Information: 0.64 acre ~ > . "'.c.._.,.... .~ - Nl_~_ Building Information: The structure is a 2002 built two story home with 3,020 square feet of above grade living area. There is currently no basement finish. l..W Background information: 2007 / Pay 2008 EMV: $463,100 2008/ Pay 2009 EMV: $442,300 Mr. Ginzburg is appealing the EMV for 2009, stating that sales of property in the area support a lower value. Findings: The property sales presented by Mr. Ginzburg were 15347 Wild Turkey Court NW, 15239 Wilds Parkway NW, and 3288 Wild Horse Pass NW. All sold for less than $400,000.00, however, all of these sales were foreclosure or pre-foreclosure sales and are not eligible comparable property sales. The property was inspected May 14, 2008, and changes were made to the building information. The result was a reduction in value of the structure, from $302,300.00 to $288,000.00. A sales comparison grid has been completed, using qualified sales from the neighborhood. The grid does support the 2009 Estimated Market Value. Although the value of $442,300 is supported, in the interest of equity we recommend decreasing the building value to reflect the changes made during the property inspection. Recommendation: After inspecting the property it is recommended that the Estimated Market Value for 2009 be reduced to $428,000.00. ~~ Follow up report for the 2008 Prior Lake Board of Equalization for Commercial, Industrial, and Multifamily Properties Appeal 14: Bluff Heights Apartments ................................................. I ncom plete Appeal 17: Wreck-A-Mended Auto Body LLC.................................. Completed Appeal 20: H & M Commercial Properties ........................................ Com pleted Appeal 21: S & M Development LLC ................................................. Completed Appeal 24: Village Commerce Building LLC..................................... Completed Appeal 35: Rock Creek Plaza LLC ..................................................... Incomplete Appeal 36: Premier Equity Investments Inc....................................... Completed Appeal 37: River Bluff of Prior Lake .................................................. Incomplete A p pea I 38: Ga ry Revak.........................................................................1 n co m pie te Appeal 39: JCT I Limited Partnership ............................................... Incom plete Appeal 14: Bluff Heights Apartments 25-414-001-0 16638 Franklin Trail ;~~--.-.." '"' -"l!t'~'{( ~' " " --~'7'- '~"~.- ~, . ..~- -, , -,-::::.;..,..... ,...ft ,r~~'~ ~.__.,. ",...-,,+07,\,,;:, ,~ ~i:' .~<i I,,,:, r",. I in,~nriP~t ~; ~ ;ir-~~\ 1lI~. 1:1 It^tl!~" , .. -" I . lL ,.' · fc ,'; . i~ . tl~}~ '".L:i "iii I I. 1I1Il.t ,J}t~ I I ~L.. ~'" ..~t:". \i;~ .' ~~:_ ~t~t - -~ f ' . ' .... ,";, "~ ~4i-"'--~ _<;t-~-.--:--(~~ _::::~~:~~ ~ 2 Appeal 17: Wreck-A-Mended Auto Body LLC 25-443-001-0 17178 Adelmann Street SE I f, ~:" " .. ~'l ~ f( t,,' r"'~ " ""'1 l; "'-loll'.Jj. iliIll ~ ,'~~" ~ '.<," ,- '\ L t~ ~ ., '1l' " _ '!l.'~ -~ -'i~kM'm:~ _ _...IiI,...oiE~ .~~.iIf!:~Wt4:~ -- ~ - - ... ~ Property Information: This is an industrial condo unit that was constructed in 2005 and has 6,192 square feet of gross building area (GBA). This property is located in the Deerfield Industrial Park. Background information: 2007 EMV: $421,600 2008 EMV: $500,000 Jim McMahon wanted to know why the estimated market value (EMV) increased :l:18% from 2007 to 2008, and also, if industrial condos are valued differently from other industrial properties. The current owner purchased this property on 09/29/2005 for $505,000 ($81 per sf). It should be noted that another industrial condo in this development (25-443-003-0) recently sold on 12/03/2007 for $630,000 ($102 per sf). This industrial condo had previously sold on 09/28/2005 for $553,000 ($89 per sf). Although both of these industrial condos have the same GBA (6,192 sf), 25-443-003-0 has additional site area for outside storage; therefore, warranting a higher sale pnce. Considering the initial sale price and stagnant market conditions in the Deerfield Industrial Park, the 2008 EMV was increased to $500,000. In response to the second question, the owner was told that the valuation conclusion for any industrial or commercial property considers all three approaches to value, with more weight usually given to the sales comparison and income approaches. Recommendation: Based on the above discussion, the 2008 EMV of $500,000 should be affirmed. 4 Appeal 20: H & M Commercial Properties 25-443-003-0 17182 Adelmann Street SE ;ii ,II II ~l:' !;,.l':l~ j~(l~~n. ,.L~~ 11 ~ \\\\\\\\' -Ji" ;.. 11>111 iii' hJ . ;~ll 'lfF!!!'1 Ii l!,\ " ; U \W.LJl1u.lJll1i 11\'1'" i '; Ld , \ ,. "i~ ,Iii I..., . Il,,"'l\' lu..il \\\\\\\1 " ,L,H;L ,. - ....- ~,"" -- ""!~ ~ ~ .:,it--- "... .Ai ~~~ Property information: This is an industrial condo unit that was constructed in 2005 and has 6,192 square feet of gross building area (GBA), with additional site area for outside storage. This property is located in the Deerfield Industrial Park. 5 Background Information: 2007 EMV: $443,000 2008 EMV: $550,000 Duane Hoffman wanted to know why the estimated market value (EMV) increased :l:240ill from 2007 to 2008, and also, what could be done about property tax rates in relation to small business owners. The current owner purchased this property on 12/03/2007 for $630,000 ($102 per sf), which seems to be high considering current market conditions. This industrial condo had previously sold on 09/28/2005 for $553,000 ($89 per sf). Considering the initial sale price and stagnant market conditions in the Deerfield Industrial Park, the 2008 EMV was increased to $550,000. In response to the second question, the owner was told to contact the local representative and/or contact the Department of Revenue. Recommendation: Based on the above discussion, the 2008 EMV of $550,000 should be affirmed. 6 Appeal 21: S & M Development LLC 25-001-026-0 16189 Main Ave SE rr.~ ---,::;;,,.,j'" :J ~,-:;...~ . "!'~ ." .~ .~ .\ Ll l!I"",~ 11 ... . '1,) · ... ..t - ~..~ Building Information: This is a mixed-use development that was originally constructed in 1950. This property consists of 9,093 square feet of retail/office space and a two-bedroom apartment. 7 Background information: 2007 EMV: $275,800 2008 EMV: $500,000 The property owners, Jim Speiker and Mike & Debbie McGahey, felt the 2008 EMV was too high for the age/condition of the building. The property owners did not disagree with the methodology in determining the 2008 EMV. However, they indicated that the age/condition of the building was an issue, with the primary concern being the roof and heating system. Written bids were submitted for review indicating an estimated cost of $55,000 for roof repair/replacement and $10,000 for updating the heating system. As a result, the total estimated immediate deferred maintenance was approximately $65,000. If the building were to be sold, these maintenance issues would need to be completed, or accounted for in the sale price. Therefore, a deduction of $65,000 is warranted. Recommendation: Based on the above discussion, the 2008 EMV should be reduced to $435,000. 8 Appeal 24: Village Commerce Building LLC 25-456-001-0 4719 Park Nicollet Avenue SE ~ -.. .~. ;r! "lJ,- ~ .. );'~f _~,,~' ~~,'.,~~~-~r*;1"""-"~:_' _'-';" ~lOfi;'~~:::;;.:' ...,. ...,..... " I' It'" 4~ ~~~ Property Information: Village Commerce consists of a 2-story office building that was constructed in 2006. The gross building area (GBA) is 22,364 square feet. The net rentable area (NRA) is::!: 18,000 square feet. 9 Background information: 2007 EMV: S844,800 2008 EMV: S2,700,000 On behalf of Village Commerce Bldg LLC per a contractual agreement, Leroy Arnoldi wanted to reserve the right to appear before the County Board of Appeal & Equalization in case there were any inequalities in estimated market value of similar office properties in Scott County. Recommendation: Acknowledge the above statement and affirm the 2008 EMV of $2,700,000. 10 Appeal 35: Rock Creek Plaza LLC 25-001-021-0 & -021-1 16180 Hastings Avenue SE , .~ 4\.1 EAGLE EAGLS ~/o; "Iv s€ - ~/o;4v ',:.. SE '. \ 11 Appeal 36: Premier Equity Investments Inc 25-902-022-0 16829 Toronto Avenue SE "tz:."''''' l--! I .:ti'J) .:ti:l):.vI1 :.}')l ~~) I I' 4}.j) ~:H)-.:.;.)) :.ovil.:.:t):J ""})1~~:>l)~ ;iu.... J'..1) I ~u . :or}.,) ;""t.. :rAt 'In)~.:.r~)O~~)_ - -J --' .-.-.->_, '.,_ >rP~Y~'-:'" "~ , ~l , ... ! .;;. . Building information: Brookville Apartments is a 3-story building that was constructed in 1971. There are a total of 35 units, including 25 one-bedroom and 10 two-bedroom apartments. 12 Background information: 2007 EMV: 51,944,200 (555,549 per unit) 2008 EMV: $1,950,000 ($55,714 per unit) Art Bannerman felt the 2008 EMV was too high and that there was immediate deferred maintenance issues affecting the property. Mr. Bannennan said he would provide financial statements for 2006 and 2007 and a current rent roll in order to continue with the appeals process. However, this information has not been forwarded and he has failed to reply to phone messages. Recommendation: The 2008 EMV of $1 ,950,000 should be affirmed. 13 Appeal 37: River Bluffs of Prior Lake 25-194-006-0 14033 Commerce Avenue NE J ",.EGA~~ .~' I "Il h IU!' .. . . l' " 'u '~kti~ifiii )~ n .I:J~II I ,~I \ * I Jf ~ ~" I Ul. ~ " ~ . I . "f .' IJ r "'.0;; :1 Ii { "1l ,.. .j' 1 .. ~ .- ---.. 14 Appeal 38: Gary Revak 25-936-004-0 -: M- .. -. Jt. ,.!"'b .. i iii. , I l,ft(( t,_,~~~,,;tv' .....;:...,- ~;il' ',.tiili1 ~;;1t~_~~l~' L,~ ,~ //.,.. /f.. il"il // ''Ii ,~ ~ .~ . -.... ~~ 6 -- ~'" ~l~" W--~J. '~ ~~~\';~,i01 ~liiI 15 Appeal 39: JCT I Limited Partnership 25-001-032-0 16228 Main Avenue SE "" t~ .f:t' .. . ,~:,' l!J ~~~ ~ ~....~ -.'to oJ' . if). "'", f " "'" .1~~~ ~ ~--,~, "'", ,-- ~. -~ '. '; .... .... .. - -... ,. ---, I U I 1 ! I L_ 16