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HomeMy WebLinkAboutCRA-R-24-0034 Exhibit BCBRE VALUATION & ADVISORY SERVICES Exhibit "B" IP' APPRAISAL REPORT 457 NW 8TH STREET 457 NW 8TH STREET MIAMI, FLORIDA 33136 CBRE FILE NO. CB24US015955-1 CLIENT: FLEET FINANCE & MORTGAGE, INC., A FLORIDA CORPORATION, C/O HOLLAND & KNIGHT LLP CBRE VALUATION & ADVISORY SERVICES CBRE 777 Brickell Ave. Ste. 1 100 Miami, FL 33131 T (305) 381-6480 www.cbre.com Date of Report: March 15, 2024 Ms. Suzette Perez Partner FLEET FINANCE & MORTGAGE, INC., A FLORIDA CORPORATION, C/O HOLLAND & KNIGHT LLP 701 Brickell Ave, Suite 3300 Miami, Florida 33131 RE: Appraisal of: 457 NW 8th Street 457 NW 8th Street Miami, Miami -Dade County, Florida CBRE, Inc. File No. CB24US015955-1 Dear Ms. Perez: At your request and authorization, CBRE, Inc. has prepared an appraisal of the market value of the referenced property. Our analysis is presented in the following Appraisal Report. The subject property is a 49,500 SF or 1.14-acre parcel of vacant land located on the SEC of 5th Avenue and NW 96 Street in Overtown, City of Miami, Miami -Dade County Florida. The street address is 457 NW 8th Street. The property is zoned T5-R, which generally promotes multi -family development. Based on the analysis contained in the following report, the market value of the subject is concluded as follows: MARKET VALUE CONCLUSION Appraisal Premise Interest Appraised Date of Value Value Conclusion As Is - Land Fee Simple Estate March 12, 2024 $3,900,000 Compiled by CBRE We previously appraised this property for the same client (CBRE File #CB23US038495-6). That included a value date of May 10, 2023 and our concluded value at that time was $3,700,000. The report, in its entirety, including all assumptions and limiting conditions, is an integral part of, and inseparable from, this letter. The following appraisal sets forth the most pertinent data gathered, the techniques employed, and the reasoning leading to the opinion of value. The analyses, opinions and conclusions were © 2023 CBRE, Inc. 2024 CBRE, Inc March 15, 2024 Page 2 developed based on, and this report has been prepared in conformance with, the guidelines and recommendations set forth in the Uniform Standards of Professional Appraisal Practice (USPAP), and the requirements of the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. The intended use and user of our report are specifically identified in our report as agreed upon in our contract for services and/or reliance language found in the report. As a condition to being granted the status of an intended user, any intended user who has not entered into a written agreement with CBRE in connection with its use of our report agrees to be bound by the terms and conditions of the agreement between CBRE and the client who ordered the report. No other use or user of the report is permitted by any other party for any other purpose. Dissemination of this report by any party to any non -intended users does not extend reliance to any such party, and CBRE will not be responsible for any unauthorized use of or reliance upon the report, its conclusions or contents (or any portion thereof). It has been a pleasure to assist you in this assignment. If you have any questions concerning the analysis, or if CBRE can be of further service, please contact us. Respectfully submitted, CBRE - VALUATION & ADVISORY SERVICES Michael R. Eschmann, MAI First Vice President Cert Gen RZ 2499 www.cbre.com/michael.eschmann Phone: (305) 381-6433 Email: michael.eschmann@cbre.com James E. Agner, MAI, AI-GRS, SGA, MRICS EVP-Business Development — Florida/Caribbean Cert Gen RZ382 www.cbre.com/james.agner Phone: (305) 381-6480 Email: james.agner@cbre.com © 2023 CBRE, Inc. 2024 CBRE, Inc. CBRE Certification Certification We certify to the best of our knowledge and belief: 1 The statements of fact contained in this report are true and correct. 2. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions and are our personal, impartial, and unbiased professional analyses, opinions, and conclusions. 3. We have no present or prospective interest in the property that is the subject of this report and no personal interest with respect to the parties involved. 4. Michael Eschmann, MAI and James E. Agner, MAI have provided services, as an appraiser, regarding the property that is the subject of this report within the three-year period immediately preceding the agreement to perform this assignment. 5. We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. 6. Our engagement in this assignment was not contingent upon developing or reporting predetermined results. 7. Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. 8. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Uniform Standards of Professional Appraisal Practice. 9. Michael Eschmann, MAI has and James E. Agner, MAI has not made a personal inspection of the property that is the subject of this report. 10. No one or Michael Eschmann, MAI provided significant real property appraisal assistance to the persons signing this certification. 11. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. 12. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. 13.As of the date of this report, Michael Eschmann, MAI and James E. Agner, MAI have completed the continuing education program for Designated Members of the Appraisal Institute. 14. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the State of Florida. 4:,„t Michael R. Eschmann, MAI James E. Agner, MAI, Al-GRS, MRICS, SGA Cert Gen RZ2499 Cert Gen RZ382 © 2023 CBRE, Inc. CBRE Subject Photographs Subject Photographs !Aerial View © 2023 CBRE, Inc. © 2024 CBRE, Inc. ii CBRE Subject Photographs Subject Site Facing East Along NW 8'h Street © 2024 CBRE, Inc. © 2023 CBRE, Inc. CBRE Executive Summary Executive Summary Property Name Location 457 NW 8th Street 457 NW 8th Street Miami, Miami -Dade County, FL 33136 Parcel Number(s) 01-0103-030-1030 Client Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Highest and Best Use As If Vacant Property Rights Appraised Date of Inspection Estimated Exposure Time Estimated Marketing Time Primary Land Area Zoning Buyer Profile VALUATION Land Value Multi -Family Fee Simple Estate March 12, 2024 3 - 6 Months 3 - 6 Months 1.14 AC T5-R Investor -Local Total 49,500 SF Per SF $3,900,000 $78.79 CONCLUDED MARKET VALUE Appraisal Premise Interest Appraised Date of Value Value As Is - Land Fee Simple Estate March 12, 2024 $3,900,000 Compiled by CBRE STRENGTHS, WEAKNESSES, OPPORTUNITIES AND THREATS (SWOT) Strengths/ Opportunities • The subject in in proximity to Downtown Miami. • The subject is in Overtown, which has been targeted by developers and speculators. • Major new multi -family development under construction one block west of the subject (Culmer Apartments). • Corner location with frontage on three streets. Weaknesses/ Threats • Increasing construction and insurance costs. • Location in a lower -income neighborhood. • Commercial real estate market conditions have deteriorated at the macro level. The significant recent increase in the cost of capital and reduced volume of transaction activity is impacting price discovery and creating an increase in uncertainty. Increasing interest rates and subdued economic growth will continue to weigh on commercial real estate fundamentals and investment transaction volumes. This creates a higher degree of uncertainty in general, though the impacts may vary by market and asset class/type. © 2023 CBRE, Inc. © 2024 CBRE, Inc. iv CBRE Executive Summary MARKET VOLATILITY We draw your attention to a combination of inflationary pressures (leading to higher interest rates) and recent failures/stress in banking systems which have significantly increased the potential for constrained credit markets, negative capital value movements and enhanced volatility in property markets over the short -to -medium term. Experience has shown that consumer and investor behavior can quickly change during periods of such heightened volatility. Lending or investment decisions should reflect this heightened level of volatility and the potential for deteriorating market conditions. It is important to note that the conclusions set out in this report are valid as at the valuation date only. Where appropriate, we recommend that the valuation is closely monitored, as we continue to track how markets respond to evolving events. CURRENT ECONOMIC CONDITIONS At its January 2024 meeting, the Federal Reserve held the federal funds rate at a range of 5.25% to 5.50% and indicated it will continue reducing its balance sheet by $95 billion per month. The Fed removed language from its policy statement about further tightening but stated it needs more confidence inflation "is moving sustainably toward 2.00%" before considering cuts. Rising real interest rates will be a headwind for the economy in coming quarters; however, CBRE expects the U.S. economy will remain resilient with growth averaging 1.6% for the year. While opinions vary on future economic issues, the general market consensus at the time of this appraisal is the anticipation of moderating inflation as higher interest rates cool demand. Tighter lending conditions and a weakening economy will keep capital markets activity subdued and reduce leasing demand in the short to medium term. Amid this uncertain and dynamic environment, investment market performance will be uneven across property types. EXTRAORDINARY ASSUMPTIONS An extraordinary assumption is defined as "an assignment -specific assumption as of the effective date regarding uncertain information used in an analysis which, if found to be false, could alter the appraiser's opinions or conclusions." • None noted HYPOTHETICAL CONDITIONS A hypothetical condition is defined as "a condition, directly related to a specific assignment, which is contrary to what is known by the appraiser to exist on the effective date of the assignment results but is used for the purposes of analysis." 2 1 The Appraisal Foundation, USPAP, 2024 Edition (Effective January 1, 2024) © 2023 CBRE, Inc. v CBRE Executive Summary • None noted OWNERSHIP AND PROPERTY HISTORY OWNERSHIP SUMMARY Item Current Current Ownership Owner: Frontier Fuels, Inc. as Trustee for a Wyoming Corp. Purchase Price: $0 Transaction Date: February 15, 2011 Sale in Last 3 Years?: No Legal Reference: Deed County/Locality Name: Miami -Dade Pending Sale Under Contract: No Current Listing Currently Listed For Sale: No Compiled by CBRE CBRE is unaware of any arm's length ownership transfers of the property within three years of the date of appraisal. Further, the property is not reportedly being offered for sale as of the current date. EXPOSURE/MARKETING TIME Current appraisal guidelines require an estimate of a reasonable time period in which the subject could be brought to market and sold. This reasonable time frame can either be examined historically or prospectively. In a historical analysis, this is referred to as exposure time. Exposure time always precedes the date of value, with the underlying premise being the time a property would have been on the market prior to the date of value, such that it would sell at its appraised value as of the date of value. On a prospective basis, the term marketing time is most often used. The exposure/marketing time is a function of price, time, and use. It is not an isolated estimate of time alone. In consideration of these factors, we have analyzed the following: • exposure periods for comparable sales used in this appraisal; • the opinions of market participants. The following table presents the information derived from these sources. 2 The Appraisal Foundation, USPAP, 2024 Edition (Effective January 1, 2024) vi © 2023 CBRE, Inc. CBRE Executive Summary EXPOSURE/MARKETING TIME DATA Investment Type Exposure/Mktg. (Months) Range Average Local Market Professionals CBRE Exposure Time Estimate CBRE Marketing Period Estimate 3.0 - 9.0 6.0 3 - 6 Months 3 - 6 Months Various Sources Compiled by CBRE © 2023 CBRE, Inc. 2 2024 C342 nc. vii CBRE Table of Contents Table of Contents Certification Subject Photographs ii Executive Summary iv Table of Contents viii Scope of Work 1 Area Analysis 6 Neighborhood Analysis 9 Site Analysis 16 Zoning 19 Tax and Assessment Data 20 Highest and Best Use 21 Land Value 22 Reconciliation of Value 27 Assumptions and Limiting Conditions 28 ADDENDA Land Sale Data Sheets B Legal Description C Client Contract Information D Qualifications © 2023 CBRE, Inc. © 2024 CBRE, Inc. VIII CBRE Scope of Work Scope of Work This Appraisal Report is intended to comply with the real property appraisal development and reporting requirements set forth under Standards Rule 1 and 2 of USPAP. The scope of the assignment relates to the extent and manner in which research is conducted, data is gathered, and analysis is applied. INTENDED USE OF REPORT The appraisal is to be used for Acquisition/Disposition/Exchange Due Diligence and no other purpose is permitted. CLIENT The client is Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP. INTENDED USER OF REPORT This appraisal is to be used by Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP. No other user(s) may rely on our report unless as specifically indicated in this report. Intended users are those who an appraiser intends will use the appraisal or review report. In other words, appraisers acknowledge at the outset of the assignment that they are developing their expert opinions for the use of the intended users they identify. Although the client provides information about the parties who may be intended users, ultimately it is the appraiser who decides who they are. This is an important point to be clear about: The client does not tell the appraiser who the intended users will be. Rather, the client tells the appraiser who the client needs the report to be speaking to, and given that information, the appraiser identifies the intended user or users. It is important to identify intended users because an appraiser's primary responsibility regarding the use of the report's opinions and conclusions is to those users. Intended users are those parties to whom an appraiser is responsible for communicating the findings in a clear and understandable manner. They are the audience. 3 RELIANCE LANGUAGE Reliance on any reports produced by CBRE under this Agreement is extended solely to parties and entities expressly acknowledged in a signed writing by CBRE as Intended Users of the respective reports, provided that any conditions to such acknowledgement required by CBRE or hereunder have been satisfied. Parties or entities other than Intended Users who obtain a copy of the report or any portion thereof (including Client if it is not named as an Intended User), whether as a result of its direct dissemination or by any other means, may not rely upon any opinions or conclusions contained in the report or such portions thereof, and CBRE will not be responsible for 3 Appraisal Institute, The Appraisal of Real Estate, 15th ed. (Chicago: Appraisal Institute, 2020), 40. © 2023 CBRE, Inc. CBRE Scope of Work any unpermitted use of the report, its conclusions or contents or have any liability in connection therewith. PURPOSE OF THE APPRAISAL The purpose of this appraisal is to develop an opinion of the market value of the subject property. DEFINITION OF VALUE The current economic definition of market value agreed upon by agencies that regulate federal financial institutions in the U.S. (and used herein) is as follows: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: 1. buyer and seller are typically motivated; 2. both parties are well informed or well advised, and acting in what they consider their own best interests; 3. a reasonable time is allowed for exposure in the open market; 4. payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and 5. the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. 4 INTEREST APPRAISED The value estimated represents Fee Simple Estate as defined below: Fee Simple Estate - Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power and escheat.' Leased Fee Interest - The ownership interest held by the lessor, which includes the right to receive the contract rent specified in the lease plus the reversionary right when the lease expires. 6 Leasehold Estate - The right held by the lessee to use and occupy real estate for a stated term and under the conditions specified in the lease.' Going Concern — An established and operating business having an indefinite future life. 8 4 12 CFR, Part 34, Subpart C-Appraisals, 34.42(h). 5 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed. (Chicago: Appraisal Institute, 2022), 73. 6 Dictionary of Real Estate Appraisal, 105. 7 Dictionary of Real Estate Appraisal, 105. 2 © 2023 CBRE, Inc. CBRE Scope of Work Extent to Which the Property is Identified The property is identified through the following sources: postal address assessor's records legal description Extent to Which the Property is Inspected Michael Eschmann, MAI inspected the subject property and the surrounding environs on the effective date of appraisal. This inspection was considered adequate and is the basis for our findings. Type and Extent of the Data Researched CBRE reviewed the following: applicable tax data zoning requirements flood zone status demographics comparable data Type and Extent of Analysis Applied CBRE, Inc. analyzed the data gathered through the use of appropriate and accepted appraisal methodology to arrive at a probable value indication via each applicable approach to value. For vacant land, the sales comparison approach has been employed for this assignment. Data Resources Utilized in the Analysis DATA SOURCES Item: Source(s): Site Data Size Public records Compiled by CBRE APPRAISAL METHODOLOGY In appraisal practice, an approach to value is included or omitted based on its applicability to the property type being valued and the quality and quantity of information available. Depending on a specific appraisal assignment, any of the following four methods may be used to determine the market value of the fee simple interest of land: • Sales Comparison Approach; • Income Capitalization Procedures; • Allocation; and • Extraction. 8 Dictionary of Real Estate Appraisal, 83. © 2023 CBRE, Inc. © 2024 CBRE, Inc. 3 CBRE Scope of Work The following summaries of each method are paraphrased from the text. The first is the sales comparison approach. This is a process of analyzing sales of similar, recently sold parcels in order to derive an indication of the most probable sales price (or value) of the property being appraised. The reliability of this approach is dependent upon (a) the availability of comparable sales data, (b) the verification of the sales data regarding size, price, terms of sale, etc., (c) the degree of comparability or extent of adjustment necessary for differences between the subject and the comparables, and (d) the absence of nontypical conditions affecting the sales price. This is the primary and most reliable method used to value land (if adequate data exists). The income capitalization procedures include three methods: land residual technique, ground rent capitalization, and Subdivision Development Analysis. A discussion of each of these three techniques is presented in the following paragraphs. The land residual method may be used to estimate land value when sales data on similar parcels of vacant land are lacking. This technique is based on the principle of balance and the related concept of contribution, which are concerned with equilibrium among the agents of production--i.e. labor, capital, coordination, and land. The land residual technique can be used to estimate land value when: 1) building value is known or can be accurately estimated, 2) stabilized, annual net operating income to the property is known or estimable, and 3) both building and land capitalization rates can be extracted from the market. Building value can be estimated for new or proposed buildings that represent the highest and best use of the property and have not yet incurred physical deterioration or functional obsolescence. The subdivision development method is used to value land when subdivision and development represent the highest and best use of the appraised parcel. In this method, an appraiser determines the number and size of lots that can be created from the appraised land physically, legally, and economically. The value of the underlying land is then estimated through a discounted cash flow analysis with revenues based on the achievable sale price of the finished product and expenses based on all costs required to complete and sell the finished product. The ground rent capitalization procedure is predicated upon the assumption that ground rents can be capitalized at an appropriate rate to indicate the market value of a site. Ground rent is paid for the right to use and occupy the land according to the terms of the ground lease; it corresponds to the value of the landowner's interest in the land. Market -derived capitalization rates are used to convert ground rent into market value. This procedure is useful when an analysis of comparable sales of leased land indicates a range of rents and reasonable support for capitalization rates can be obtained. The allocation method is typically used when sales are so rare that the value cannot be estimated by direct comparison. This method is based on the principle of balance and the related concept of contribution, which affirm that there is a normal or typical ratio of land value to property value for specific categories of real estate in specific locations. This ratio is generally more reliable when the subject property includes relatively new improvements. The allocation method does not 4 © 2023 CBRE, Inc. CBRE Scope of Work produce conclusive value indications, but it can be used to establish land value when the number of vacant land sales is inadequate. The extraction method is a variant of the allocation method in which land value is extracted from the sale price of an improved property by deducting the contribution of the improvements, which is estimated from their depreciated costs. The remaining value represents the value of the land. Value indications derived in this way are generally unpersuasive because the assessment ratios may be unreliable and the extraction method does not reflect market considerations. For the purposes of this analysis, we have utilized the sales comparison approach since comparable sales are available. The other methodologies are used primarily when comparable land sales data is non-existent. Therefore, these approaches have not been used. 5 © 2023 CBRE, Inc. CBRE Area Analysis Area Analysis rergiades id Francis 3. Taylor 'ildlife... Area. 'gyp ri. Plantation Fort; Lauderdale Miami Gardens M. Hialeah Dora. The [874 Hammocks Kendall Palmetto Bay Cutler Bay Princeton 0 Dania Beach ;fit c- Yi Hollywood Hallandale Beach Aventura Miami Beach Miami Beach Miami Key Biscayne act m Go gle © 2023 CBRE, Inc. © 2024 CBRE, Inc. 6 CBRE Area Analysis The subject is located in Miami -Dade County. Key information about the area is provided in the following tables. POPULATION The area has a population of 2,733,765 and a median age of 40, with the largest population group in the 30-39 age range and the smallest population in 80+ age range. Population has increased by 237,330 since 2010, reflecting an annual increase of 0.7%. Population is projected to increase by 38,725 between 2023 and 2028, reflecting a 0.3% annual population growth. Source: ESRI, downloaded on Feb, 6 2024 500,000 400,000 300,000 200,000 100,000 0 Source: Esr 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 Source: Esri 0 AREA POPULATION BY AGE 0-9 10-19 20-29 30-39 40-49 50-59 60-69 70-79 80+ POPULATION BY YEAR 2,496,435 2010 2,733,765 2023 2,772,490 2028 7 © 2023 CBRE, Inc. CBRE Area Analysis INCOME The area features an average household income of $95,752 and a median household income of $60,992. Over the next five years, median household income is expected to increase by 19.6%, or $2,389 per annum. EDUCATION A total of 34.9% of individuals over the age of 24 have a college degree, with 21.9% holding a bachelor's degree and 13.0% holding a graduate degree. EMPLOYMENT Health Care/Social Assistance Retail Trade Transportation/Warehousing Prof/Scientific/Tech Services Construction Accommodation/Food Services Educational Services Admin/Support/Waste Mgmt Srvcs Other Services (excl Publ Adm) Finance/Insurance Source: Esri $80,000 $60,000 $40,000 $20,000 $0 Source: Esri MEDIAN INCOME BY YEAR $60,992 2023 $72,938 POPULATION BY DEGREE ■ Bachelor's Degree ■ Graduate Degree ■ Other Source, Esri 2028 0% 2% 4% 6% 8% 10% 12% 14% The area includes a total of 1,376,756 employees. The top three industries within the area are Health Care/Social Assistance, Retail Trade and Transportation/Warehousing, which represent a combined total of 32% of the workforce. Source: ESRI, downloaded on Feb 6, 2024; BLS.goe dated Jan 0, 1900 In summary, the area is forecasted to experience an increase in population and an increase in household income. © 2023 CBRE, Inc. © 2024 CBRE, Inc. 8 CBRE Neighborhood Analysis Neighborhood Analysis MEDLEY DORAL AIRPORT WEST FOUNTAIN BLE AU HIALEAH MIAMI SPRINGS VIRGINIA GARDENS MIA BLUE LAGOON FLAGAMI 7SW ITST WEST LITTLE RIVER BROWNSVILLE PALMER LAKE GRAPELANO HEIGHTS „A__ WEST FLAG LER WEST MIAMI kw In, WESTCHESTER CORAL TERRACE OLYMPIA HEIGHTS SUNSET LUDLAM SOUTH MIAMI SW2151 CORAL GABLES MIRACLE MILE SWFS ALLAPATTAH Overtown CORAL GATE SHENANLTOAH CORAL WAY SILVER BLUFF COCONUT GROVE COCOPLUM LIT ILE HAVANA CITY OF MIAMI NEIGHBORHOODS AIFImAtrwNi--.,9 NORTH BAY VILLAGE KEY BISCAYNE © 2023 CBRE, Inc. O 2024 CBRE, Inc. 9 CBRE Neighborhood Analysis CD C II WYNWOOD Wynvviaod WaIIs9 FunDirnension' 1 � Jackson Memorial Hospital 0 of Park z., .. ,.w... .,..�,.... �, S 3 (Q. ~cam BayfrontPark, }r EAST LITTLE The Wharf Miami ' L.. -i, HAVANA _ DOWNTOWN II t'' 0 MIAMI Margaret Pace Park NE15t o Phillip & ,Museurr I I LOCATION The subject is in the city of Miami and in a neighborhood known as Overtown. It is considered an urban location. Overtown is situated in the central -eastern part of Miami -Dade County and is located just northwest of Downtown Miami. BOUNDARIES The neighborhood boundaries are detailed as follows: North: NW 20th Street South: Miami River East: NW 1st Avenue West: NW 12th Avenue Interstate 95, which is elevated in this vicinity cuts through the Overtown neighborhood. © 2023 CBRE, Inc. © 2024 CBRE, Inc. 10 CBRE Neighborhood Analysis LAND USE Overtown is considered to be over 90% built-up with development dating back to the 1920's. The residential uses are mid -density reflecting single-family and multi -family developments and are primarily situated along secondary streets, with commercial land uses located along the primary commercial arteries. The area demographic tends to be lower to middle -income. Given the area demographic many of the structures are in need of repair/upgrade. Many poorly maintained structures have been demolished leaving vacant lots scattered throughout the neighborhood. With on -going growth in the Miami CBD, development trends have impacted Overtown and there has been significant speculation and some new development in the past decade. The speculation and new development has caused property values to increase significantly in the past few years as the area is viewed favorably for new development. Overtown is home to several historic churches and landmarks listed in the National Register of Historic Places, including: • Dana Albert Dorsey House (250 NW 9th Street): built in 1913, was home to Dana Albert Dorsey, one of Miami's most prominent black businessmen and philanthropists, • Greater Bethel African Methodist Episcopal Church (245 NW 8th Street): built from 1927 to 1943, was the home of one of Miami's oldest black congregations, • Lyric Theater (819 NW 2nd Ave): built in 1914, was a focal point of social life of the black community, • Mt. Zion Baptist Church (301 NW 9th Street): built from 1928 to 1941, was the church of one of Miami's oldest congregations, • St. John's Baptist Church (1328 NW 3rd Avenue): built in 1940, is an example of Art Deco style religious buildings in Miami -Dade County. Other improvements include schools and other community facilities catering to the area residents. The construction of two major freeways in the 1960s displaced thousands of Historic Overtown's residents and demolished swaths of the community. But today, the neighborhood is experiencing a renaissance, one in which Miami's Black history is honored and celebrated at museums such as the Black Police Precinct and Courthouse Museum, the Ward Rooming House and the Black Archives History & Research Foundation, which is housed inside the restored Lyric Theater. Historic Overtown also nurtured Miami's original street artist, Purvis Young, whose evocative murals span from the 1970s to 2010 and can still be seen today. Current Initiatives Most recent development news in Overtown is focusing on the proposed/current (2021 - 2026) construction of a new bridge in Miami and planned park in Overtown. Called the Signature Bridge and Underdeck Park, this $818 million Florida DoT project will replace the original spatially -restrictive 1-395 highway bridge crossing Overtown with a higher, thinner bridge span 11 © 2023 CBRE, Inc. CBRE Neighborhood Analysis (left). It is hoped that this span replacement will both open up the underutilized and inaccessible space under the current 1-395 bridge for a neighborhood park and create a more direct connection with the waterfront and Biscayne Bay district. Significant revitalization efforts are also underway in Overtown to preserve affordable housing. With a focus on 'replenishment and not replacement', new businesses are opening in the neighborhood that are catering to the local community and ensuring the preservation of the neighborhood's rich heritage. One example is celebrity chef Marcus Samuelsson who has added to the neighborhood's appeal with an outpost of Red Rooster, his revered Harlem, New York restaurant. Make -A -Wish Building In one of the more prominent developments to occur in Overtown, particularly in the western part of Overtown (west of 1-95), is the development of the new Make -A -Wish Foundation headquarters located at 343 NW 6th Street at the service road to 1-95. Named the Finker-Frenkel Wish House, the 30,000 SF structure will rise 5 stories and approximately 85-feet tall, serving as the permanent headquarters for the non-profit organization. Miami -based world- renowned Arquitectonica is behind the design of the leaning glass structure pictured in the renderings, which will yield 15,000 SF of event and office space. The development site is located just west of the south -bound 1-95 elevated highway, bordering the Downtown area and bound by NW 6th Ct. to the east; NW 7th Street to the north; NW 4th Avenue to the west and NW 6th Street on the south. The MiamiCentral transit hub is the nearest form of major transportation as it is a few blocks east, and the Lummus Park Historic District is several blocks south. It was finished late 2023. © 2023 CBRE, Inc. C. 2024 CBRE, !RE 12 CBRE Neighborhood Analysis Culmer Apartments Phase I One block west of the subject on the north side of NW 8th Street just west of NW 5th Avenue is a new major multi -family development that is under construction. The address is 800 NW 5th Avenue. It is to include 239 multi -family units in mid -rise structures. That is to include 119 Rental Assistance Demonstration (RAD) and Section 18 units. Completion is anticipated for Feb., 2025. Construction will be performed in the following phases: 1. Phase l A — New 7-story residential building with 120 units 2. Phase 1 B — New 7-story residential building with 119 units and a 3-story parking garage building with 192 spaces. 3. Phase 1 C — New 1-story amenity building , a swimming pool, a pool deck and paved drive path with 15 parallel parking spaces. Culmer Place hopes to alleviate the demand for affording housing in South Florida - an increasing problem ACCESS Regional access to the overall subject area is provided via Interstate 95 (1-95), NW 12' Avenue and NW 7th Avenue. There is also access to the area via the Dolphin Expressway (State Road No. 836) leading into State Road No. 395, the Julia Tuttle Causeway (State Road No. 195). North/south access in the immediate subject area is provided by NW 7th Avenue (US-441 S) and NW 12th Avenue; while additional east/west access provided by NW 10th Street and NW 11th Street. Overall, regional and local access to and throughout the neighborhood is considered to be good. DEMOGRAPHICS Selected neighborhood demographics in 1-, 3- and 5-mile radius from the subject are shown in the following table: 13 © 2023 CBRE, Inc. CBRE Neighborhood Analysis SELECTED NEIGHBORHOOD DEMOGRAPHICS 457 NW 8th Street Miami, FL 33136 Miami -Fort Lauderdale -West 1 Mile Radius 3 Mile Radius 5 Mile Radius Palm Beach, FL Metropolitan Statistical Area Population 2028 Total Population 82,053 332,881 575,887 6,337,522 2023 Total Population 65,646 302,423 542,726 6,240,482 2010 Total Population 43,278 250,893 482,541 5,564,635 2000 Total Population 36,398 220,372 442,950 5,007,564 Annual Growth 2023 - 2028 4.56% 1.94% 1.19% 0.31% Annual Growth 2010 - 2023 3.26% 1.45% 0.91% 0.89% Annual Growth 2000 - 2010 1.75% 1.31% 0.86% 1.06% Households 2028 Total Households 39,187 152,961 258,396 2,447,169 2023 Total Households 30,312 134,875 238,035 2,386,600 2010 Total Households 17,828 100,957 197,928 2,097,626 2000 Total Households 14,091 81,254 173,314 1,905,394 Annual Growth 2023 - 2028 5.27% 2.55% 1.66% 0.50% Annual Growth 2010 - 2023 4.17% 2.25% 1.43% 1.00% Annual Growth 2000 - 2010 2.38% 2.19% 1.34% 0.97% Income 2023 Median Household Income $48,329 $55,452 $54,207 $66,616 2023 Average Household Income $76,385 $94,013 $93,453 $102,650 2023 Per Capita Income $35,535 $41,966 $41,003 $39,316 2023 Pop 25+ College Graduates 16,244 87,880 158,710 1,688,669 Age 25+ Percent College Graduates - 2023 33.5% 39.1 % 39.4% 37.3% Source: ESRI CONCLUSION As shown above, population growth within the subject's neighborhood has been increasing steadily over the past 13 years and that growth is anticipated to continue over the next decade. The neighborhood currently has a lower to middle -income demographic profile with a 2023 average household income of $76,385 in a one -mile radius. The average household income in a smaller radius is likely lower as the one -mile radius includes some higher income buildings located in Downtown Miami. Many of the residents and housing in the immediate vicinity is considered low-income. The outlook for the neighborhood is for growth as new multi -family housing initiatives are realized. Given the proximity to Downtown Miami, the area has been targeted by developers and this should improve the quality of buildings and the overall quality of living conditions moving forward. 14 © 2023 CBRE, Inc. CBRE Site Analysis FLOOD PLAIN MAP It AREA OI �' MINIMAL FLOOD , HAZARD N. .4'Zon -X fAA�fi © 2023 CBRE, Inc. © 2024 CBRE, Inc. 15 CBRE Site Analysis Site Analysis The following chart summarizes the salient characteristics of the subject site. SITE SUMMARY AND ANALYSIS Physical Description Net Site Area 1.14 Acres 49,500 Sq. Ft. Primary Road Frontage NW 8th Street Secondary Road Frontage NW 9th Street n/a Additional Road Frontage NW 5th Avenue n/a Excess Land Area None n/a Surplus Land Area None n/a Shape Irregular Topography Generally Level Parcel Number(s) 01-0103-030-1030 Zoning District T5-R Flood Map Panel No. & Date 12086C0312L 1 1-Sep-09 Flood Zone Zone X (Unshaded) Adjacent Land Uses Resiential and Community Service Comparative Analysis Rating Visibility Average Functional Utility Average Traffic Volume Average Adequacy of Utilities Adequate Landscaping N/A Drainage Assumed Adequate Utilities Availability Comments Water Yes Miami -Dade County Sewer Yes Miami -Dade County Natural Gas Yes TECO Electricity Yes Florida Power & Light (FP&L) Telephone Yes AT&T and other private providers Mass Transit Yes Miami -Dade Transit Other Detrimental Easements Encroachments Deed Restrictions Reciprocal Parking Rights Yes No X X X X Unknown Various sources compiled by CBRE LOCATION The subject is a corner site on the SEC of NW 5th Avenue and NW 9th Street. The site also has mid -block frontage along NW 8th Street. © 2023 CBRE, Inc. © 2024 CBRE, Inc. 16 CBRE Site Analysis TOPOGRAPHY AND DRAINAGE The site is generally level and at street grade. The topography of the site is not seen as an impediment to the development of the property. During our inspection of the site, we observed no drainage problems and assume that none exist. EASEMENTS AND ENCROACHMENTS There are no known easements or encroachments impacting the site that are considered to affect the marketability or highest and best use. It is recommended that the client/reader obtain a current title policy outlining all easements and encroachments on the property, if any, prior to making a business decision. COVENANTS, CONDITIONS AND RESTRICTIONS There are no known covenants, conditions or restrictions impacting the site that are considered to affect the marketability or highest and best use. It is recommended that the client/reader obtain a copy of the current covenants, conditions and restrictions, if any, prior to making a business decision. CONCLUSION The site is reasonably well -located and afforded good access and visibility as a corner site. The size of the site is typical for the area and represents a desirable development site. There are no known detrimental uses in the immediate vicinity. The site is slightly irregular in shape, but given the relatively large size it has no adverse impact on the site. Overall, there are no known factors that are considered to prevent the site from development to its highest and best use, as if vacant. © 2023 CBRE, Inc. © 2024 CBRE, Inc. 17 CBRE Zoning ZONING MAP n n T5 1 R-3 D1 111111 T5 R R-3 IIIII.I� 1 Subject T6-8 0 C -'I iame 50 R-3 z a T6-8 R-3 rr 1 r -(1 urn7 cTu L6' ' © 2023 CBRE, Inc. © 2024 CBRE, Inc. 18 CBRE Zoning Zoning The following chart summarizes the subject's zoning requirements. ZONING SUMMARY Current Zoning Legally Conforming Uses Permitted Zoning Change T5-R N/A - Land Single-family, two-family, multi -family, community residences, home -office Not likely Category Zoning Requirement Minimum Lot Size 1,200 Sq. Ft. Minimum Lot Width 16 Feet Maximum Height 5 stories Minimum Setbacks Front Yard 10 Feet Street Side Yard 0 Feet Interior Side Yard 0 Feet Rear Yard 0 Feet Maximum Bldg. Coverage 80% Minimum Open Space 10% Maximum DUs/Acre 65 Maximum FAR/Density None Source: Planning & Zoning Dept. ANALYSIS AND CONCLUSION T-5 Zoning is the Urban Center Zone and it consists of higher density mixed -use building types that accommodate retail and office uses, rowhouses and apartments. A network of small blocks has thoroughfares with wide sidewalks, steady street tree planting and buildings set close to the frontages with frequent doors and windows. The T5-R district promotes multi -family development, but also allows for single-family development. The district has no maximum floor lot ratio, but development is limited by other restrictions such as maximum height (5 stories), maximum lot coverage (80%), green open space (10% of lot area) and front setback (10 feet). The district allows for a maximum development of 65 dwelling units per acre. For the subject that equates to a maximum of 73. Additional information may be obtained from the appropriate governmental authority. For purposes of this appraisal, CBRE has assumed the information obtained is correct. © 2023 CBRE, Inc. © 2024 CBRE, Inc. 19 CBRE Tax and Assessment Data Tax and Assessment Data Real estate in Miami -Dade County is assessed at 100% of the assessor's estimated "Just Value". Just Value has been equated to market value less closing costs. The assessment for real estate purposes is made as of January 1 of each year. The county commission sets the millage rate to be used in calculating the tax bill in September or October of each year. The Miami -Dade County tax collector issues the tax bills providing for a 4% discount if the bill is paid in November, 3% for bills paid in December, 2% for bills paid in January, and a 1% discount for February payment. All tax bills are delinquent after March 31 of each year. Prudent management normally pays taxes in November in order to save 4% on the tax bill. In our income projections, we have assumed the owner will take advantage of the early payment discount. The subject's market value, assessed value, and taxes are summarized below, and do not include any furniture, fixtures and equipment. AD VALOREM TAX INFORMATION Pro Forma Parcel Assessor's Parcel No. Parcel Description 2022 2023 1 01-0103-030-1030 Entire Property $871,200 $958,320 $3,900,000 % of Assessed Value Final Assessed Value General Tax Rate (per $1,000 A.V.) General Tax: Effective Tax Rate (per $1,000 A.V.) Total Taxes Tax Reduction for Early Payment Total Taxes Taxes per SF 100% 100% 75% 958,320 958,320 $2,925,000 21.514000 27.768000 $20,617 20.868580 $26,61 1 26.934960 (1) 27.768000 $81,221 26.934960 $20,617 $26,611 $81,221 ($619) ($798) ($2,437) $19,999 $25,812 $ 78,785 Source: Assessor's Office 1. If proposed budget is adopted. CONCLUSION For purposes of this analysis, CBRE, Inc. assumes that all taxes are current. If the subject sold for the value estimate in this report, a reassessment at that value would most likely occur. 20 © 2023 CBRE, Inc. CBRE Highest and Best Use Highest and Best Use In appraisal practice, the concept of highest and best use represents the premise upon which value is based. The four criteria the highest and best use must meet are: legally permissible; physically possible; financially feasible; and maximally productive. The highest and best use analysis of the subject is discussed below. AS VACANT The property is zoned for residential and community facility use and is of sufficient size to accommodate various types of development. The immediate area includes various multi -family land uses. Considering the surrounding land uses, location attributes, legal restrictions and other factors, it is our opinion that a multi -family use would be reasonable and appropriate. Therefore, it is our opinion that the highest and best use would be for multi -family -related use, time and circumstances warranting. The most likely buyer for the subject property is a local investor or developer. 21 © 2023 CBRE, Inc. CBRE Land Value Land Value The following map and table summarize the comparable data used in the valuation of the subject site. A detailed description of each transaction is included in the addenda, Exhibit A. SUMMARY OF COMPARABLE LAND SALES No. Property Location Transaction Interest Type Date Transferred Actual Sale Price Size Size (Acres) (SF) Price Price Per Per SF Bldg Unit 1 Overtown Land 460 NW 10th Street Miami, FL 33136 Sale Feb-22 Fee $450,000 Simple/Freehold 0.17 7,500 $60.00 $40,909 2 Overtown Site Sale Mar-22 Fee $5,150,000 0.76 33,139 $155.41 $45,1 75 530 NW 3rd Court & Multiple Simple/Freehold Miami, FL 33136 3 Overtown Land Sale Jun-22 Fee $1,250,000 0.29 12,500 $100.00 $65,789 749 NW 5th Ave. & 462 NW 8th Street Simple/Freehold Miami, FL 33136 4 Overtown Land Sale Oct-22 Fee $1,250,000 0.13 5,629 $222.06 $65,789 342 NW 7th Street Simple/Freehold Miami, FL 33136 5 361 NW 7th Street Sale Apr-23 Fee $1,380,000 0.17 7,500 $184.00 $53,077 361 NW 7th Street Simple/Freehold Miami, FL 33136 6 Vacant Land Sale Dec-23 Fee $2,230,000 0.72 31,250 $71.36 $48,478 440 NW 10th Street Simple/Freehold Miami, FL 33126 Subject 457 NW 8th Street Miami, FL 33136 1.14 49,500 Adjusted sale price for cash equivalency and/or development costs (where applicable) Compiled by CBRE © 2023 CBRE, Inc. © 2024 CBRE, Inc. 22 CBRE Land Value The sales utilized represent the best data available for comparison with the subject and were selected from the immediate vicinity of the subject in Overtown, west of Interstate 95. All of the comparables are located within a few blocks of the subject and all are good candidates for similar quality multi -family development. DISCUSSION/ANALYSIS OF LAND SALES Land Sale One This is the sale of a mid -block site on NW 7th Street between 4th & 5th Avenues in a neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. This 7,500 SF vacant site transferred Feb. 23, 2022 for $450,000 or $60.00 PSF land area. The property is zoned T5-R, which is suitable for multi -family with a maximum height of 5-stories. With an allowable density of 65 units per acre, this site could be developed with 11 units. The sale price equates to $40,909/DU. Land Sale Two This is the sale of multiple adjacent lots that are situated on the SWC of NW 6th Street and NW 3rd Ct. It is located in the neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. NW 3rd Ct. at this location is a heavily travelled service road entrance to 1-95. The site has very good frontage along this road. All parcels combined total 33,139 SF. The site transferred March 9, 2022 for $5,150,000 or $155.41 PSF land area. The property is zoned T6-8L, which is suitable for multi -family with a maximum height of 8-stories. With an allowable density of 150 units per acre, this site could be developed with 19 units. The sale price equates to $45,175/DU. This property was part of a larger 1.60-acre purchase by the Make -A -Wish Foundation. That Foundation built their new HQ building across NW 6th Street from this property and sold of the remainder, which is this sale. Land Sale Three This is the sale of a good, corner site on the SEC of NW 5th Avenue and NW 8th Street in the neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. This 12,500 SF vacant site transferred June 3, 2022 for $1,250,000 or $100.00 PSF land area. The property is zoned T5-O, which is suitable for multi -family with a maximum height of 5-stories. With an allowable density of 65 units per acre, this site could be developed with 11 units. The sale price equates to $65,789/DU. Land Sale Four This is the sale of a vacant site located at the SWC of NW 3rd Court and NW 7th Street, in the neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. NW 3rd Ct. at this location is a heavily travelled service road entrance to 1-95. The site has very good frontage along this road. This 5,629 SF vacant site transferred Oct. 26, 2022 for $1,250,000 or $222.00 PSF land area. The property is zoned T6-8L, which is suitable for 23 © 2023 CBRE, Inc. CBRE Land Value multi -family with a maximum height of 8-stories. With an allowable density of 150 units per acre, this site could be developed with 19 units. The sale price equates to $65,789/DU. Land Sale Five This is the sale of a mid -block site on NW 3rd Court, which is the service road to 1-95 at this location. It is in a neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. This 7,500 SF vacant site transferred April 10, 2023 for $1,380,000 or $184.00 PSF land area. The property is zoned T6-8-O, which is suitable for multi -family with a maximum height of 8-stories. With an allowable density of 150 units per acre, this site could be developed with 26 units. The sale price equates to $53,076/DU. The property previously sold Nov. 2019 for $640,000 or $85.33 PSF land area. The large increase in value may be at least in part to the new Make -A -Wish office building that started construction after the 2019 sale and is nearing completion as of Q2 2023. That building is located 1/2-block from this property. Additionally, an AUA School location was constructed and opened in 2022 on the site directly adjacent to the west of the property. Land Sale Six This is the sale of three vacant parcels in Overtown. Two tax parcels are contiguous (01-0102- 080-1012 & 1049). They are 440 NW 10th Street and 939 NW 5th Avenue. Together they total 28,250 SF. The sale also includes an additional 3,000 SF site a few blocks away at 720 NW 4th Avenue (01-3137-028-0030. The total land area is 31,250 SF. The property was purchased by the Community Redevelopment Agency on Dec. 29, 2023 for $2,230,000 or $71.36 PSF land area and $48,478/DU. EXPLANATION OF ADJUSTMENTS • Market Conditions — Each of the comparables were adjusted upward at the rate of 1 % per month (12% per year) through mid-2022 and 6% per year subsequent to that time. Rising interest rates and a cooling off in the Miami development market has resulted in investors looking more conservatively at urban development sites, but with new construction and a healthy pipeline, Overtown remains an area targeted by developers and speculators. • Size — Comparables #1, #3, #4 and #5 were adjusted downward for size as they are smaller sites. Smaller sites often sell for more on a PSF land area basis as there are more prospective buyers willing and able to close as long as the site is large enough to capture construction cost savings from economies of scale. • Corner — Comparables #1, #5 and #6 were adjusted upward as they are mid -block sites whereas the subject is a corner site with frontage on three roadways. • Location - Comparables #2, #4, and #5 were adjusted downward for location as they are located further east in Overtown where there has been some new development making these properties superior. 24 © 2023 CBRE, Inc. CBRE Land Value • Zoning/Density - Comparables #2, #4 and #5 were adjusted downward for zoning/density as they have zoning that allows for a higher density development, 150 DUs/acre vs. 65 DUs/acre for the subject. • Highest and Best Use - Comparable #6 was adjusted upward as the sale includes two non-contiguous sites, with one being particularly small. SUMMARY OF ADJUSTMENTS Based on our comparative analysis, the following chart summarizes the adjustments warranted to each comparable. LAND SALES ADJUSTMENT GRID Comparable Number 1 2 3 4 5 6 Transaction Type Sale Sale Sale Sale Sale Sale Transaction Date Feb-22 Mar-22 Jun-22 Oct-22 Apr-23 Dec-23 Interest Transferred Fee Fee Fee Fee Fee Fee Simple/Freehold Simple/Freehold Simple/Freehold Simple/Freehold Simple/Freehold Simple/Freehold Actual Sale Price $450,000 $5,150,000 $1,250,000 $1,250,000 $1,380,000 $2,230,000 Size (Acres) 0.17 0.76 0.29 0.13 0.17 0.72 Size (SF) 7,500 33,139 12,500 5,629 7,500 31,250 Density (UPA) 63.88 149.84 66.20 147.06 150.99 64.12 Price ($ PSF) $60.00 $155.41 $100.00 $222.06 $184.00 $71.36 Property Rights Conveyed 0% 0% 0% 0% 0% 0% Financing Terms r 0% 0% 0% 0% 0% 0% Conditions of Sale 0% 0% 0% 0% 0% 0% Market Conditions (Time) 14.0% 14.0% 11.0% 9.0% 6.0% 1.5% Subtotal (PSF Land) $68.40 $177.17 $111.00 $242.05 $195.04 $72.43 Subtotal (Per DU) $46,636 $51,500 $73,026 $71,711 $56,262 $49,205 Size -5% 0% -5% -5% -5% 0% Shape 0% 0% 0% 0% 0% 0% Corner 5% 0% 0% 0% 5% 5% Frontage 0% 0% 0% 0% 0% 0% Topography 0% 0% 0% 0% 0% 0% Location 0% -10% 0% -10% -10% 0% Zoning/Density 0% -10% 0% -10% -10% 0% Utilities 0% 0% 0% 0% 0% 0% Highest & Best Use 0% 0% 0% 0% 0% 5% Total Other Adjustments 0% -20% -5% -25% -20% 10% Value Indication for Subject (PSF Land) $68.40 $141.73 $105.45 $181.53 $156.03 $79.67 Value Indication for Subject (Per DU) $46,636 $41,200 $69,375 $53,783 $45,009 $54,126 Absolute Adjustment 24% 34% 16% 34% 36% 12% Subject 1.14 49,500 64.24 Adjusted sale price for cash equivalency and/or development costs (where applicable) Compiled by CBRE CONCLUSION After adjustment, the comparables formed a wide range from $68.40 PSF to $181.53 PSF and averaged $122.14 PSF land area. The comparables also indicated a tighter range of $41,200 Per Allowable Dwelling Unit to $69,375/DU and averaged $51,688/DU. Comparable #6 was weighed heavily as it has the lowest absolute adjustments and is the most recent sale. The following chart presents the valuation conclusion: 25 © 2023 CBRE, Inc. CBRE Land Value CONCLUDED LAND VALUE $ PSF Subject SF Total $70.00 x 49,500 = $3,465,000 $80.00 x 49,500 = $3,960,000 Indicated Value: $3,900,000 (Rounded $ PSF) $78.79 (Rounded Per DU) $53,425 Compiled by CBRE © 2023 CBRE, Inc. © 2024 CBRE, Inc. 26 CBRE Reconciliation of Value Reconciliation of Value In the sales comparison approach, the subject is compared to similar properties that have been sold recently or for which listing prices or offers are known. The sales used in this analysis are considered highly comparable to the subject, and the required adjustments were based on reasonable and well -supported rationale. In addition, market participants are currently analyzing purchase prices on similar properties as they relate to available substitutes in the market. Therefore, the sales comparison approach is considered to provide a reliable value indication. Based on the foregoing, the market value of the subject has been concluded as follows: MARKET VALUE CONCLUSION Appraisal Premise Interest Appraised Date of Value Value Conclusion As Is - Land Fee Simple Estate March 12, 2024 $3,900,000 Compiled by CBRE © 2023 CBRE, Inc. © 2024 CBRE, Inc. 27 CBRE Assumptions and Limiting Conditions Assumptions and Limiting Conditions 1. CBRE, Inc. through its appraiser (collectively, "CBRE") has inspected through reasonable observation the subject property. However, it is not possible or reasonably practicable to personally inspect conditions beneath the soil and the entire interior and exterior of the improvements on the subject property. Therefore, no representation is made as to such matters. 2. The report, including its conclusions and any portion of such report (the "Report"), is as of the date set forth in the letter of transmittal and based upon the information, market, economic, and property conditions and projected levels of operation existing as of such date. The dollar amount of any conclusion as to value in the Report is based upon the purchasing power of the U.S. Dollar on such date. The Report is subject to change as a result of fluctuations in any of the foregoing. CBRE has no obligation to revise the Report to reflect any such fluctuations or other events or conditions which occur subsequent to such date. 3. Unless otherwise expressly noted in the Report, CBRE has assumed that: (i) Title to the subject property is clear and marketable and that there are no recorded or unrecorded matters or exceptions to title that would adversely affect marketability or value. CBRE has not examined title records (including without limitation liens, encumbrances, easements, deed restrictions, and other conditions that may affect the title or use of the subject property) and makes no representations regarding title or its limitations on the use of the subject property. Insurance against financial loss that may arise out of defects in title should be sought from a qualified title insurance company. (ii) Existing improvements on the subject property conform to applicable local, state, and federal building codes and ordinances, are structurally sound and seismically safe, and have been built and repaired in a workmanlike manner according to standard practices; all building systems (mechanical/electrical, HVAC, elevator, plumbing, etc.) are in good working order with no major deferred maintenance or repair required; and the roof and exterior are in good condition and free from intrusion by the elements. CBRE has not retained independent structural, mechanical, electrical, or civil engineers in connection with this appraisal and, therefore, makes no representations relative to the condition of improvements. CBRE appraisers are not engineers and are not qualified to judge matters of an engineering nature, and furthermore structural problems or building system problems may not be visible. It is expressly assumed that any purchaser would, as a precondition to closing a sale, obtain a satisfactory engineering report relative to the structural integrity of the property and the integrity of building systems. (iii) Any proposed improvements, on or off -site, as well as any alterations or repairs considered will be completed in a workmanlike manner according to standard practices. (iv) Hazardous materials are not present on the subject property. CBRE is not qualified to detect such substances. The presence of substances such as asbestos, urea formaldehyde foam insulation, contaminated groundwater, mold, or other potentially hazardous materials may affect the value of the property. (v) No mineral deposit or subsurface rights of value exist with respect to the subject property, whether gas, liquid, or solid, and no air or development rights of value may be transferred. CBRE has not considered any rights associated with extraction or exploration of any resources, unless otherwise expressly noted in the Report. (vi) There are no contemplated public initiatives, governmental development controls, rent controls, or changes in the present zoning ordinances or regulations governing use, density, or shape that would significantly affect the value of the subject property. (vii) All required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state, or national government or private entity or organization have been or can be readily obtained or renewed for any use on which the Report is based. (viii) The subject property is managed and operated in a prudent and competent manner, neither inefficiently, nor super -efficiently. (ix) The subject property and its use, management, and operation are in full compliance with all applicable federal, state, and local regulations, laws, and restrictions, including without limitation environmental laws, seismic hazards, flight patterns, decibel levels/noise envelopes, fire hazards, hillside ordinances, density, allowable uses, building codes, permits, and licenses. (x) The subject property is in full compliance with the Americans with Disabilities Act (ADA). CBRE is not qualified to assess the subject property's compliance with the ADA, notwithstanding any discussion of possible readily achievable barrier removal construction items in the Report. 28 © 2023 CBRE, Inc. CBRE Assumptions and Limiting Conditions (xi) All information regarding the areas and dimensions of the subject property furnished to CBRE are correct, and no encroachments exist. CBRE has neither undertaken any survey of the boundaries of the subject property, nor reviewed or confirmed the accuracy of any legal description of the subject property. Unless otherwise expressly noted in the Report, no issues regarding the foregoing were brought to CBRE's attention, and CBRE has no knowledge of any such facts affecting the subject property. If any information inconsistent with any of the foregoing assumptions is discovered, such information could have a substantial negative impact on the Report and any conclusions stated therein. Accordingly, if any such information is subsequently made known to CBRE, CBRE reserves the right to amend the Report, which may include the conclusions of the Report. CBRE assumes no responsibility for any conditions regarding the foregoing, or for any expertise or knowledge required to discover them. Any user of the Report is urged to retain an expert in the applicable field(s) for information regarding such conditions. 4. CBRE has assumed that all documents, data and information furnished by or on behalf of the client, property owner or owner's representative are accurate and correct, unless otherwise expressly noted in the Report. Such data and information include, without limitation, numerical street addresses, lot and block numbers, Assessor's Parcel Numbers, land dimensions, square footage area of the land, dimensions of the improvements, gross building areas, net rentable areas, usable areas, unit count, room count, rent schedules, income data, historical operating expenses, budgets, and related data. Any error in any of the above could have a substantial impact on the Report and any conclusions stated therein. Accordingly, if any such errors are subsequently made known to CBRE, CBRE reserves the right to amend the Report, which may include the conclusions of the Report. The client and intended user should carefully review all assumptions, data, relevant calculations, and conclusions of the Report and should immediately notify CBRE of any questions or errors within 30 days after the date of delivery of the Report. 5. CBRE assumes no responsibility (including any obligation to procure the same) for any documents, data or information not provided to CBRE, including, without limitation, any termite inspection, survey or occupancy permit. 6. All furnishings, equipment and business operations have been disregarded with only real property being considered in the Report, except as otherwise expressly stated and typically considered part of real property. 7. Any cash flows included in the analysis are forecasts of estimated future operating characteristics based upon the information and assumptions contained within the Report. Any projections of income, expenses and economic conditions utilized in the Report, including such cash flows, should be considered as only estimates of the expectations of future income and expenses as of the date of the Report and not predictions of the future. This Report has been prepared in good faith, based on CBRE's current anecdotal and evidence -based views of the commercial real estate market. Although CBRE believes its views reflect market conditions on the date of this Report, they are subject to significant uncertainties and contingencies, many of which are beyond CBRE's control. In addition, many of CBRE's views are opinion and/or projections based on CBRE's subjective analyses of current market circumstances. Actual results are affected by a number of factors outside the control of CBRE, including without limitation fluctuating economic, market, and property conditions. Actual results may ultimately differ from these projections, and CBRE does not warrant any such projections. Further, other firms may have different opinions, projections and analyses, and actual market conditions in the future may cause CBRE's current views to later change or be incorrect. CBRE has no obligation to update its views herein if its opinions, projections, analyses or market circumstances later change. 8. The Report contains professional opinions and is expressly not intended to serve as any warranty, assurance or guarantee of any particular value of the subject property. Other appraisers may reach different conclusions as to the value of the subject property. Furthermore, market value is highly related to exposure time, promotion effort, terms, motivation, and conclusions surrounding the offering of the subject property. The Report is for the sole purpose of providing the intended user with CBRE's independent professional opinion of the value of the subject property as of the date of the Report. Accordingly, CBRE shall not be liable for any losses that arise from any investment or lending decisions based upon the Report that the client, intended user, or any buyer, seller, investor, or lending institution may undertake related to the subject property, and CBRE has not been compensated to assume any of these risks. Nothing contained in the Report shall be construed as any direct or indirect recommendation of CBRE to buy, sell, hold, or finance the subject property. 9. No opinion is expressed on matters which may require legal expertise or specialized investigation or knowledge including, but not limited to, environmental, social, and governance principles ("ESG"), beyond that customarily employed by real estate appraisers. Any user of the Report is advised to retain experts in areas that fall outside the scope of the real estate appraisal profession for such matters. 29 © 2023 CBRE, Inc. CBRE Assumptions and Limiting Conditions 10. CBRE assumes no responsibility for any costs or consequences arising due to the need, or the lack of need, for flood hazard insurance. An agent for the Federal Flood Insurance Program should be contacted to determine the actual need for Flood Hazard Insurance. 1 1 . Acceptance or use of the Report constitutes full acceptance of these Assumptions and Limiting Conditions and any special assumptions set forth in the Report. It is the responsibility of the user of the Report to read in full, comprehend and thus become aware of all such assumptions and limiting conditions. CBRE assumes no responsibility for any situation arising out of the user's failure to become familiar with and understand the same. 12. The Report applies to the property as a whole only, and any pro ration or division of the title into fractional interests will invalidate such conclusions, unless the Report expressly assumes such pro ration or division of interests. 13. The allocations of the total value estimate in the Report between land and improvements apply only to the existing use of the subject property. The allocations of values for each of the land and improvements are not intended to be used with any other property or appraisal and are not valid for any such use. 14. The maps, plats, sketches, graphs, photographs, and exhibits included in this Report are for illustration purposes only and shall be utilized only to assist in visualizing matters discussed in the Report. No such items shall be removed, reproduced, or used apart from the Report. 15. The Report shall not be duplicated or provided to any unintended users in whole or in part without the written consent of CBRE, which consent CBRE may withhold in its sole discretion. Exempt from this restriction is duplication for the internal use of the intended user and its attorneys, accountants, or advisors for the sole benefit of the intended user. Also exempt from this restriction is transmission of the Report pursuant to any requirement of any court, governmental authority, or regulatory agency having jurisdiction over the intended user, provided that the Report and its contents shall not be published, in whole or in part, in any public document without the written consent of CBRE, which consent CBRE may withhold in its sole discretion. Finally, the Report shall not be made available to the public or otherwise used in any offering of the property or any security, as defined by applicable law. Any unintended user who may possess the Report is advised that it shall not rely upon the Report or its conclusions and that it should rely on its own appraisers, advisors and other consultants for any decision in connection with the subject property. CBRE shall have no liability or responsibility to any such unintended user. 30 © 2023 CBRE, Inc. CBRE Addenda ADDENDA © 2023 CBRE, Inc. © 2024 CBRE, Inc. Addenda Addendum A LAND SALE DATA SHEETS © 2023 CBRE, Inc. © 2024 CBRE, Inc. Sale Land - Multi Unit Residential No. 1 Property Name Address County Govt./Tax ID Land Area Net Land Area Gross Site Development Status Utilities Maximum FAR Min Land Bldg Ratio Shape Topography Flood Zone Class Flood Panel No./ Date Zoning Entitlement Status Overtown Land 460 NW 10th Street Miami, FL 33136 Miami -Dade 01-0102-080-1020 0.172 ac/ 7,500 sf N/A/ N/A Finished All Available N/A N/A Rectangular Generally Level Zone X (Unshaded) 12086C0312L/ Sep 2009 T5-R Final Tract Lansaction Details Type Interest Transferred Condition of Sale Recorded Buyer Buyer Type Recorded Seller Marketing Time Listing Broker Doc # Sale Fee Simple Arms Length N/A N/A Patrick & Willy Perry N/A N/A 33064-4230 Primary Verification Deed Transaction Date 02/23/2022 Recording Date 03/14/2022 Sale Price $450,000 Financing All Cash Cash Equivalent $450,000 Capital Adjustment $0 Adjusted Price $450,000 Adjusted Price / ac and $2,613,240 / $60.00 / sf Adjusted Price/ FAR N/A Adjusted Price/ Unit $40,909 Commen This is the sale of a mid -block site on NW 7th Street between 4th & 5th Avenues in a neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. This 7,500 SF vacant site transferred Feb. 23, 2022 for $450,000 or $60.00 PSF land area. The property is zoned T5-R, which is suitable for multi -family with a maximum height of 5-stories. With an allowable density of 65 units per acre, this site could be developed with 11 units. The sale price equates to $40,909/DU. © 2024 CBRE, I,c. CBRE Sale Land - Office No. 2 Property Name Address Overtown Site 530 NW 3rd Court & Multiple Miami, FL 33136 County Miami -Dade Govt./Tax ID Multiple Land Area Net 0.761 ac/ 33,139 sf Land Area Gross N/A/ N/A Site Development Status Finished Utilities All Available Maximum FAR 5.00 Min Land Bldg Ratio 0.20:1 Shape Rectangular Topography Generally Level Flood Zone Class Zone X (Unshaded) Flood Panel No./ Date 12086C0314L/ Sep 2009 Zoning T6-8L Entitlement Status Final Tract Lansaction Details Type Sale Primary Verification Deed Interest Transferred Fee Simple Transaction Date 03/09/2022 Condition of Sale Arms -Length Recording Date N/A Recorded Buyer SFCLT 350, LLC Sale Price $5,150,000 Buyer Type Other Financing All Cash Recorded Seller Make A Wish Foundation of Southern Cash Equivalent $5,150,000 Florida, Inc. Marketing Time N/A Capital Adjustment $0 Listing Broker N/A Adjusted Price $5,150,000 Doc # 33072-3132 Adjusted Price / ac and $6,769,190 / $155.41 / sf Adjusted Price/ FAR $31.08 Adjusted Price/ Unit $45,175 Comments This is the sale of multiple adjacent lots that are situated on the SWC of NW 6th Street and NW 3rd Ct. It is located in the neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. NW 3rd Ct. at this location is a heavily travelled service road entrance to 1-95. The site has very good frontage along this road. All parcels combined total 33,139 SF. The site transferred March 9, 2022 for $5,150,000 or $155.41 PSF land area. The property is zoned T6-8L, which is suitable for multi -family with a maximum height of 8-stories. With an allowable density of 150 units per acre, this site could be developed with 19 units. The sale price equates to $45,175/DU. This property was part of a larger 1.60-acre purchase by the Make -A -Wish Foundation. That Foundation built their new HQ building across NW 6th Street from this property and sold of the remainder, which is this sale. © 2024 CBRE, Inc. CBRE Sale Land - Multi Unit Residential No. 3 Property Name Address Overtown Land 749 NW 5th Ave. & 462 NW 8th Street Miami, FL 33136 County Miami -Dade Govt./Tax ID Multiple Land Area Net 0.287 ac/ 12,500 sf Land Area Gross N/A/ N/A Site Development Status Finished Utilities All Available Maximum FAR N/A Min Land Bldg Ratio N/A Shape Rectangular Topography Generally Level Flood Zone Class Zone X (Unshaded) Flood Panel No./ Date 12086C0312L/ Sep 2009 Zoning T5-O Entitlement Status Final Tract Lansaction Details Type Sale Primary Verification Deed Interest Transferred Fee Simple Transaction Date 06/03/2022 Condition of Sale Arms -Length Recording Date 06/15/2022 Recorded Buyer 749 NW 5th Avenue, LLC Buyer Type N/A Recorded Seller N/A Marketing Time N/A Listing Broker N/A Doc # 33243-3950 Sale Price $1,250,000 Financing N/A Cash Equivalent $1,250,000 Capital Adjustment $0 Adjusted Price $1,250,000 Adjusted Price / ac and $4,355,401 / $100.00 / sf Adjusted Price/ FAR N/A Adjusted Price/ Unit $65,789 Commen This is the sale of a good, corner site on the SEC of NW 5th Avenue and NW 8th Street in the neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. This 12,500 SF vacant site transferred June 3, 2022 for $1,250,000 or $100.00 PSF land area. The property is zoned T5-O, which is suitable for multi -family with a maximum height of 5-stories. With an allowable density of 65 units per acre, this site could be developed with 11 units. The sale price equates to $65,789/DU. © 2024 CBRE, Inc. CBRE Sale Land - Multi Unit Residential No. 4 Property Name Address County Govt./Tax ID Land Area Net Land Area Gross Site Development Status Utilities Maximum FAR Min Land Bldg Ratio Shape Topography Flood Zone Class Flood Panel No./ Date Zoning Entitlement Status Overtown Land 342 NW 7th Street Miami, FL 33136 Miami -Dade Multiple 0.129 ac/ 5,629 sf N/A/ N/A Finished All Available 5.00 0.20:1 Rectangular Generally Level Zone X (Unshaded) 12086C0314L/ Sep 2009 T6-8L Final Tract Lansaction Details Type Interest Transferred Condition of Sale Recorded Buyer Buyer Type Recorded Seller Marketing Time Listing Broker Doc # Sale Primary Verification Fee Simple Transaction Date Arms -Length Downtown West 33, LLC N/A Premium Development, Inc. N/A N/A 33463-0111 Recording Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Adjusted Price / ac and / sf Adjusted Price/ FAR Adjusted Price/ Unit Deed 10/26/2022 11/10/2022 $1,250,000 All Cash $1,250,000 $0 $1,250,000 $9,674,923 / $222.06 $44.41 $65,789 Commen This is the sale of a vacant site located at the SWC of NW 3rd Court and NW 7th Street, in the neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. NW 3rd Ct. at this location is a heavily travelled service road entrance to 1-95. The site has very good frontage along this road. This 5,629 SF vacant site transferred Oct. 26, 2022 for $1,250,000 or $222.00 PSF land area. The property is zoned T6-8L, which is suitable for multi -family with a maximum height of 8-stories. With an allowable density of 150 units per acre, this site could be developed with 19 units. The sale price equates to $65,789/DU. © 2024 CBRE, Inc. CBRE Sale Land - Mixed -Use No. 5 Property Name Address County Govt./Tax ID Land Area Net Land Area Gross Site Development Status Utilities Maximum FAR Min Land Bldg Ratio Shape Topography Flood Zone Class Flood Panel No./ Date Zoning Entitlement Status 361 NW 7th Street 361 NW 7th Street Miami, FL 33136 Miami -Dade 01-0104-070-1150 0.172 ac/ 7,500 sf N/A/ N/A Finished Available to site 5.00 0.20:1 Rectangular Level, At Street Grade Zone X (Unshaded) 12086C0314L/ Sep 2009 T6-8 0 Final Tract Lansaction Details Type Interest Transferred Condition of Sale Recorded Buyer Buyer Type Recorded Seller Marketing Time Listing Broker Doc # Sale Fee Simple Arm's length Inca Investments, Inc. N/A 361 NW 7th Street, LLC N/A N/A 33662-1864 Primary Verification Transaction Date Recording Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Adjusted Price / ac and / sf Adjusted Price/ FAR Adjusted Price/ Unit Third Party, Public Records 04/10/2023 04/12/2023 $1,380,000 All Cash $1,380,000 $0 $1,380,000 $8,013,937 / $184.00 $36.80 $53,077 Commen This is the sale of a mid -block site on NW 3rd Court, which is the service road to I-95 at this location. It is in a neighborhood known as Overtown and to the west of 1-95 in the City of Miami, Miami -Dade County, FL. This 7,500 SF vacant site transferred April 10, 2023 for $1 ,380,000 or $184.00 PSF land area. The property is zoned T6-8-O, which is suitable for multi -family with a maximum height of 8-stories. With an allowable density of 150 units per acre, this site could be developed with 26 units. The sale price equates to $53,076/DU. The property previously sold Nov. 2019 for $640,000 or $85.33 PSF land area. The large increase in value may be at least in part to the new Make -A -Wish office building that started construction after the 2019 sale and is nearing completion as of Q2 2023. That building is located 1/2-block from this property. Additionally, an AUA School location was constructed and opened in 2022 on the site directly adjacent to the west of the propery. © 2024 CBRE, Inc. CBRE Addenda Addendum B LEGAL DESCRIPTION FULL LEGAL DESCRIPTION 1 ■ MIAMI NORTH PB B-41 LOTS 7-8-9-10-13-14 & N45FT LOTS 11 & 12 BLK 33 LOT SIZE 49500 SQ FT OR 14018-3349 0389 5 & OR 21244-1699 0403 3 & OR 23708-0807 & 0808 0805 6 © 2024 CBRE, Inc. © 2023 CBRE, Inc. Addenda Addendum C CLIENT CONTRACT INFORMATION © 2023 CBRE, Inc. © 2024 CBRE, Inc. VALUATION & ADVISORY SERVICES Proposal and Contract for Services CBRE February 29, 2024 CBRE, Inc. 777 Brickell Ave, Ste 1100 Miami, FL 33131 www.cbre.us/valuation Michael Eschmann, MAI First Vice President Suzette Perez Paralegal Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP 701 Brickell Ave, Suite 3300 Miami, FL 33131 Phone: 305-329-2403 Email: suzette.perez@hklaw.com RE: Assignment Agreement I CB24US015955 Land 457 NW 8th Street, Miami, FL 33136 Dear Ms. Perez: We are pleased to submit this proposal and our Terms and Conditions for this assignment. PROPOSAL SPECIFICATIONS Purpose: To estimate the Market Value of the referenced real estate Premise: As Is Rights Appraised: Fee Simple Intended Use: Mortgage Lending Intended User: The intended user is Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP ("Client"), and such other parties and entities (if any) expressly recognized by CBRE as intended users (each an "Intended Users" and collectively the "Intended Users") provided that any Intended User's use of, and reliance upon, any report produced by CBRE under this Agreement shall be subject to the Terms and Conditions attached hereto and incorporated herein (including, without limitation, any limitations of liability set forth in the attached Terms and Conditions). Reliance: Reliance on any reports produced by CBRE under this Agreement is extended solely to parties and entities expressly acknowledged in a signed writing by CBRE as Intended Users of the respective reports, provided that any conditions to such acknowledgement required by CBRE or hereunder have been satisfied. Parties or entities other than Intended Users who obtain a copy of the report or any portion thereof (including Client if it is not named as an Intended User), whether as a result of its direct dissemination or by any other means, may not use or rely upon any opinions or conclusions © 2024 CBRE, Inc. VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 2 of 8 February 29, 2024 Scope of Inspection: Valuation Approaches: Report Type: Appraisal Standards: Appraisal Fee: Expenses: Retainer: Payment Terms: Delivery Instructions: contained in the report or such portions thereof, and CBRE will not be responsible for any unpermitted use of the report, its conclusions or contents or have any liability in connection therewith. Unless otherwise expressly identified in this Agreement, there are no third -party beneficiaries of this Agreement pertaining to this appraisal assignment or any reports produced by CBRE under this Agreement, and no other person or entity shall have any right, benefit or interest under this Agreement or with respect to any reports produced by CBRE under this Agreement. A full inspection of the property will be conducted and arranged with the property contact and performed by CBRE Valuations. If this expected property inspection is not possible due to unforeseen issues (such as lack of on -site personnel cooperation, physical obstructions, or appraiser/property contact health and safety concerns), the client will be promptly advised. The client may continue this assignment based on other inspection options agreed upon by CBRE and client or provide CBRE with a written notice to cancel. If CBRE determines that a credible appraisal result cannot be achieved due to inspection limitations, it will promptly provide the client with a written cancellation of this assignment. All three traditional approaches to value will be considered. Appraisal Report USPAP $2,500.00. If cancelled by either party before a completion, the fee will be based on CBRE's hourly rates for the time expended; plus actual expenses. Fee includes all associated expenses except to the extent otherwise provided in the attached Terms and Conditions. A retainer is not required for this assignment. Final payment is due upon delivery of the final report or within thirty (30) days of your receipt of the draft report, whichever is sooner. The full appraisal fee is considered earned upon delivery of the draft report. We will invoice you for the assignment in its entirety at the completion of the assignment. CBRE encourages our clients to join in our environmental sustainability efforts by accepting an electronic copy of the report. An Adobe PDF file via email will be delivered to suzette.perez@hklaw.com. The client has requested 0 bound final copy (ies). www.cbre.us/valuation © 2024 CBRE, Inc. CBRE VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 3 of 8 February 29, 2024 Delivery Schedule: Preliminary Value: Draft Report: Final Report: Start Date: Acceptance Date: Not Required Not Required 15 business days after the Start Date The appraisal process will start upon receipt of your signed agreement and the property specific data. These specifications are subject to modification or withdrawal if this proposal is not accepted within 5 business days from the date of this letter. When executed and delivered by all parties, this letter, together with the Terms and Conditions and the Specific Property Data Request attached hereto and incorporated herein, will serve as the Agreement for appraisal services by and between CBRE and Client. Each person signing below represents that it is authorized to enter into this Agreement and to bind the respective parties, including all intended users, hereto. We appreciate this opportunity to be of service to you on this assignment. If you have additional questions, please contact us. Sincerely, CBRE, Inc. Valuation & Advisory Services Michael R. Eschmann, MAI First Vice President As Agent for CBRE, Inc. T +1 305 381 6433 michael.eschmann@cbre.com www.cbre.us/valuation © 2024 CBRE, Inc. CBRE VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 4 of 8 February 29, 2024 AGREED AND ACCEPTED FOR FLEET FINANCE & MORTGAGE, INC., A FLORIDA CORPORATION, C/O HOLLAND & KNIGHT LLP ("CLIENT"): 3 /1).2Ag Sig ture 3/7/2024 Date Suzette Perez Paralegal Name Title 305-329-2403 suzette.perez@hklaw.com Phone Number E-Mail Address ADDITIONAL OPTIONAL SERVICES Assessment & Consulting Services: CBRE's Assessment & Consulting Services group has the capability of providing a wide array of solution -oriented due diligence services in the form of property condition and environmental site assessment reports, ALTA Surveys, and other necessary due diligence service (seismic risk analysis, zoning compliance service, construction risk management, annual inspections, etc.). Initial below if you desire CBRE to contact you to discuss a proposal for any part or the full complement of consulting services, or you may reach out to us at Pit.bProposaisQL.vebre.corh. We will route your request to the appropriate manager. For more information, please visit , w.z,eare.coiry sse rnuni. www.cbre.us/valuation © 2024 CBRE, Inc. CBRE VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 5 of 8 February 29, 2024 TERMS AND CONDITIONS 1. The Terms and Conditions herein are part of an assignment agreement (the "Agreement") for appraisal services ("Services") between CBRE, Inc. ("CBRE") and the client signing this Agreement and for whom the Services will be performed (the "Client") for the property identified herein (the "Property") and shall be deemed a part of such Agreement as though fully set forth therein. In addition, with respect to any appraisal report prepared by CBRE pursuant to the Agreement (the "Report"), any use of, or reliance on, the Report by any Intended User constitutes acceptance of these Terms and Conditions as well as acceptance of all qualifying statements, limiting conditions, and assumptions stated in the Report. The Agreement shall be governed and construed by the laws of the state where the CBRE office executing this Agreement is located without regard to conflicts of laws principles. 2. Client shall be responsible for the payment of all fees stipulated in this Agreement. Payment of the fees and preparation of the Report are not contingent upon any predetermined value or on any action or event resulting from the analyses, opinions, conclusions, or use of the Report. Final payment is due as provided in the Proposal Specifications Section of this Agreement. If a draft Report is requested, the fee is considered earned upon delivery of the draft Report. It is understood that the Client may cancel this assignment in writing at any time prior to delivery of the completed Report. In such event, the Client is obligated to pay CBRE for the time and expenses incurred (including, but not limited to, travel expenses to and from the job site) prior to the effective date of cancellation, with a minimum charge of $500. Hard copies of the Reports are available at a cost of $250 per original color copy and $100 per photocopy (black and white), plus shipping fees of $30 per Report. 3. If CBRE is subpoenaed or ordered to give testimony, produce documents or information, or otherwise required or requested by Client or a third party to participate in meetings, phone calls and conferences (except routine meetings, phone calls and conferences with the Client for the sole purpose of preparing the Report), litigation, or other legal proceedings (including preparation for such proceedings) because of, connected with or in any way pertaining to this assignment, the Report, CBRE's expertise, or the Property, Client shall pay CBRE's additional out-of-pocket costs and expenses, including but not limited to CBRE's reasonable attorneys' fees, and additional time incurred by CBRE based on CBRE's then -prevailing hourly rates and related fees. Such charges include and pertain to, but are not limited to, time spent in preparing for and providing court room testimony, depositions, travel time, mileage and related travel expenses, waiting time, document review and production, and preparation time (excluding preparation of the Report), meeting participation, and CBRE's other related commitment of time and expertise. Hourly charges and other fees for such participation will be provided upon request. In the event Client requests additional Services beyond the scope and purpose stated in the Agreement, Client agrees to pay additional fees for such services and to reimburse related expenses, whether or not the completed Report has been delivered to Client at the time of such request. 4. CBRE shall have the right to terminate this Agreement at any time for cause effective immediately upon written notice to Client on the occurrence of fraud or the willful misconduct of Client, its employees or agents, or without cause upon 5 days written notice. 5. In the event Client fails to make payments when due then, from the date due until paid, the amount due and payable shall bear interest at the maximum rate permitted in the state where the CBRE office executing this Agreement is located. EACH PARTY, AFTER HAVING THE OPPORTUNITY TO CONSULT WITH COUNSEL OF ITS CHOICE, KNOWINGLY AND VOLUNTARILY, WAIVES ANY RIGHT TO TRIAL BY JURY IN THE EVENT OF LITIGATION IN ANY WAY RELATED TO THIS AGREEMENT. 6. CBRE assumes there are no major or significant items or issues affecting the Property that would require the expertise of a professional building contractor, engineer, or environmental consultant for CBRE to prepare a valid Report hereunder. Client acknowledges that such additional expertise is not covered in the fee and agrees that, if such additional expertise is required, it shall be provided by others at the discretion and direction of the Client, and solely at Client's additional cost and expense. 7. Client acknowledges that CBRE is being retained hereunder as an independent contractor to perform the Services described herein and nothing in this Agreement shall be deemed to create any other relationship between Client and CBRE. Unless otherwise stated in this Agreement, Client shall not designate or disclose CBRE or any of its agents or employees as an expert or opinion witness in any court, arbitration, or other legal proceedings without the prior written consent of CBRE. www.cbre.us/valuation © 2024 CBRE, Inc. CBRE VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 6 of 8 February 29, 2024 8. This assignment shall be deemed concluded and the Services hereunder completed upon delivery to Client of the Report discussed herein. 9. All statements of fact in the Report which are used as the basis of CBRE's analyses, opinions, and conclusions will be true and correct to CBRE's actual knowledge and belief. CBRE does not make any representation or warranty, express or implied, as to the accuracy or completeness of the information or the condition of the Property furnished to CBRE by Client or others. TO THE FULLEST EXTENT PERMITTED BY LAW, CBRE DISCLAIMS ANY GUARANTEE OR WARRANTY AS TO THE OPINIONS AND CONCLUSIONS PRESENTED ORALLY OR IN ANY REPORT, INCLUDING WITHOUT LIMITATION ANY WARRANTY OF FITNESS FOR ANY PARTICULAR PURPOSE EVEN IF KNOWN TO CBRE. Furthermore, the conclusions and any permitted reliance on and use of the Report shall be subject to the assumptions, limitations, and qualifying statements contained in the Report. 10. CBRE shall have no responsibility for legal matters, including zoning, or questions of survey or title, soil or subsoil conditions, engineering, or other similar technical matters. The Report will not constitute a survey of the Property analyzed. 11. Client shall provide CBRE with such materials with respect to the assignment as are requested by CBRE and in the possession or under the control of Client. Client shall provide CBRE with sufficient access to the Property to be analyzed, and hereby grants permission for entry unless discussed in advance to the contrary. 12. The data gathered in the course of the assignment (except data furnished by Client, "Client Information") and the Report prepared pursuant to the Agreement are, and will remain, the property of CBRE. With respect to Client Information provided by Client, CBRE shall not violate the confidential nature of the appraiser -client relationship by improperly disclosing any confidential and proprietary Client Information furnished to CBRE. Notwithstanding the foregoing to the contrary, CBRE is authorized by Client to disclose all or any portion of the Report and related data as may be required by applicable law, statute, government regulation, legal process, or judicial decree, including to appropriate representatives of the Appraisal Institute if such disclosure is required to enable CBRE or its employees and agents to comply with the Bylaws and Regulations of the Appraisal Institute as now or hereafter in effect. 13. Unless specifically noted, in preparing the Report CBRE will not be considering the possible existence of asbestos, PCB transformers, or other toxic, hazardous, or contaminated substances and/or underground storage tanks (collectively, "Hazardous Materials") on or affecting the Property, or the cost of encapsulation or removal thereof. Further, Client represents that there are no major or significant repairs, improvements or deferred maintenance of the Property that would require the expertise of a professional cost estimator, engineer, architect or contractor. If any such repairs, improvements or maintenance are needed, the estimates for such repairs, improvements or maintenance are to be prepared by other parties pursuant to a separate written agreement in Client's sole discretion and direction, and are not deemed part of the Services or otherwise covered as part of the fee hereunder. 14. In the event Client intends to use the Report in connection with a tax matter, Client acknowledges that CBRE provides no warranty, representation or prediction as to the outcome of such tax matter. Client understands and acknowledges that any relevant taxing authority (whether the Internal Revenue Service or any other federal, state or local taxing authority) may disagree with or reject the Report or otherwise disagree with Client's tax position, and further understands and acknowledges that the taxing authority may seek to collect additional taxes, interest, penalties or fees from Client beyond what may be suggested by the Report. Client agrees that CBRE shall have no responsibility or liability to Client or any other party for any such taxes, interest, penalties or fees and that Client will not seek damages or other compensation from CBRE relating to any such taxes, interest, penalties or fees imposed on Client, or for any attorneys' fees, costs or other expenses relating to Client's tax matters. 15. LIMITATION OF LIABILITY. NOTWITHSTANDING ANY PROVISION OF THIS AGREEMENT TO THE CONTRARY: (A) EXCEPT TO THE EXTENT ARISING FROM SECTION 16, OR SECTION 17 IF APPLICABLE, IN NO EVENT SHALL EITHER PARTY OR ANY OF ITS AFFILIATES, OFFICERS, DIRECTORS, EMPLOYEES, AGENTS, OR CONTRACTORS BE LIABLE TO THE OTHER PARTY, FOR ANY LOST OR PROSPECTIVE PROFITS OR ANY OTHER INDIRECT, CONSEQUENTIAL, SPECIAL, INCIDENTAL, PUNITIVE, INDIRECT OR OTHER EXEMPLARY LOSSES OR DAMAGES, WHETHER BASED IN CONTRACT, WARRANTY, INDEMNITY, NEGLIGENCE, STRICT LIABILITY OR OTHER TORT OR OTHERWISE, REGARDLESS OF THE FORESEEABILITY OR THE CAUSE THEREOF. (B) EXCEPT TO THE EXTENT ARISING FROM SECTION 16, OR SECTION 17 IF APPLICABLE, AGGREGATE DAMAGES IN CONNECTION WITH THIS AGREEMENT FOR EITHER PARTY (EXCLUDING THE OBLIGATION TO PAY THE FEES AND COSTS REQUIRED HEREUNDER) SHALL NOT EXCEED THE GREATER OF THE TOTAL FEES PAYABLE TO CBRE UNDER THIS AGREEMENT OR TEN THOUSAND DOLLARS ($10,000). www.cbre.us/valuation © 2024 CBRE, Inc. CBRE VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 7 of 8 February 29, 2024 (C) CBRE SHALL HAVE NO LIABILITY WITH RESPECT TO ANY LOSS, DAMAGE, CLAIM OR EXPENSE INCURRED BY OR ASSERTED AGAINST CLIENT ARISING OUT OF, BASED UPON OR RESULTING FROM CLIENT'S OR ANY INTENDED USER'S FAILURE TO PROVIDE ACCURATE OR COMPLETE INFORMATION OR DOCUMENTATION PERTAINING TO ANY SERVICES OR REPORT ORDERED UNDER OR IN CONNECTION WITH THIS AGREEMENT, INCLUDING CLIENT'S OR ANY INTENDED USER'S FAILURE, OR THE FAILURE OF ANY OF CLIENT'S OR ANY INTENDER USER'S RESPECTIVE OFFICERS, DIRECTORS, MEMBERS, PRINCIPALS, AGENTS OR EMPLOYEES, TO PROVIDE A COMPLETE AND ACCURATE COPY OF THE REPORT TO ANY THIRD PARTY. CBRE SHALL HAVE NO LIABILITY WHATSOEVER FOR REPORTS OR DELIVERABLES THAT ARE SUBMITTED IN DRAFT FORM. (D) THE LIMITATIONS OF LIABILITY IN SUBSECTIONS 15(A) AND 15(B) ABOVE SHALL NOT APPLY IN THE EVENT OF A FINAL FINDING BY A COURT OF COMPETENT JURISDICTION THAT SUCH LIABILITY IS THE RESULT OF A PARTY'S FRAUD OR WILLFUL MISCONDUCT. 16. (a) Client shall not disseminate, distribute, make available or otherwise provide any Report prepared hereunder to any third party (including without limitation, incorporating or referencing the Report, in whole or in part, in any offering, including, but not limited to any offering of the Property or any securities offering as defined by applicable law, or other material intended for review by other third parties) except (i) to any third party (a) identified in the Agreement as an Intended User subject to the terms and conditions of this Agreement or (b) otherwise expressly acknowledged in a separate writing executed by CBRE, such third party and Client, setting forth that such third party is an "Intended User" of the Report and providing CBRE with an acceptable release from such third party with respect to such Report or wherein Client provides acceptable indemnity protections to CBRE against any claims resulting directly from the distribution of the Report to such third party; (ii) to any third party service provider (including accountants, attorneys, rating agencies and auditors) using the Report in the course of providing Services for the sole benefit of an Intended User and limited to the Intended Use of the Report as defined in this Agreement, or (iii) to the extent required by applicable law, statute, government regulation, legal process, or judicial decree. (b) In the event CBRE consents, in writing, to Client incorporating or referencing the Report in any offering or other materials intended for review by other parties, Client shall not distribute, file, or otherwise make such other materials available to any such parties unless and until Client has provided CBRE with complete copies of such offering or other materials and CBRE has approved the inclusion of the Report, or reference to the Report and/or CBRE, in such offering and other materials in writing. Further, CBRE's consent to such inclusion of the Report, or reference to the Report and/or CBRE, in any securities offering is subject to (i) CBRE's and CBRE's securities counsel's review and approval, in writing, of any inclusion of the Report, or reference to the Report and/or CBRE, in such securities offering; (ii) Client shall not modify the Report, any such inclusion of or reference to the Report and/or CBRE in such securities offering once approved by CBRE and its securities counsel in writing; and (iii) Client shall reimburse CBRE for its out-of-pocket costs and expenses, including attorneys' fees, arising from legal review of such securities offering and related materials on CBRE's behalf. (c) In the absence of satisfying the conditions of this Section 16 with respect to any party who is not designated as an Intended User, in no event shall the receipt of a Report by such party extend any right to the party to use and rely on such Report, and CBRE shall have no liability for such unauthorized use and reliance on any Report. (d) In the event Client breaches the provisions of this Section 16, Client shall indemnify, defend and hold CBRE and its affiliates and their officers, directors, employees, contractors, agents and other representatives (CBRE and each of the foregoing an "Indemnified Party" and collectively the "Indemnified Parties"), fully harmless from and against all losses, liabilities, damages and expenses (collectively, "Damages") claimed against, sustained or incurred by any Indemnified Party arising out of or in connection with such breach, regardless of any negligence on the part of any Indemnified Party in preparing the Report. 17. In the event Client incorporates or references the Report, in whole or in part, in any offering, including, but not limited to any offering of the Property or any securities offering as defined by applicable law, or other material intended for review by other parties, Client shall indemnify, defend and hold each of the Indemnified Parties harmless from and against any Damages in connection with (i) any transaction contemplated by this Agreement or in connection with the Report or the engagement of or performance of Services by any Indemnified Party hereunder, (ii) any Damages claimed by any user or recipient of the Report, whether or not an Intended User, (iii) any actual or alleged untrue statement of a material fact, or the actual or alleged failure to state a material fact necessary to make a statement not misleading in light of the circumstances under which it was made with respect to all information furnished to any Indemnified Party or made available to a prospective party to a transaction, or (iv) an actual or alleged violation of applicable law by an Intended www.cbre.us/valuation © 2024 CBRE, Inc. CBRE VALUATION & ADVISORY SERVICES Fleet Finance & Mortgage, Inc., a Florida corporation, c/o Holland & Knight LLP Assignment Agreement I CB24US015955 Page 8 of 8 February 29, 2024 User (including, without limitation, securities laws) or the negligent or intentional acts or omissions of an Intended User (including the failure to perform any duty imposed by law); and will reimburse each Indemnified Party for all reasonable fees and expenses (including fees and expenses of counsel) (collectively, "Expenses") as incurred in connection with investigating, preparing, pursuing or defending any threatened or pending claim, action, proceeding or investigation (collectively, "Proceedings") arising therefrom, and regardless of whether such Indemnified Party is a formal party to such Proceeding. Client agrees not to enter into any waiver, release or settlement of any Proceeding (whether or not any Indemnified Party is a formal party to such Proceeding) without the prior written consent of CBRE (which consent will not be unreasonably withheld or delayed) unless such waiver, release or settlement includes an unconditional release of each Indemnified Party from all liability arising out of such Proceeding. 18. Time Period for Legal Action. Unless the time period is shorter under applicable law, except in connection with Section] 6 and Section 1 7, CBRE and Client agree that any legal action or lawsuit by one party against the other party or its affiliates, officers, directors, employees, contractors, agents, or other representatives, whether based in contract, warranty, indemnity, negligence, strict liability or other tort or otherwise, relating to (a) this Agreement, (b) any Services or Reports under this Agreement or (c) any acts or conduct relating to such Services or Reports, shall be filed within two (2) years from the date of delivery to Client of the Report to which the claims or causes of action in the legal action or lawsuit relate. The time period stated in this section shall not be extended by any incapacity of a party or any delay in the discovery or accrual of the underlying claims, causes of action or damages. 19. Miscellaneous. (a) This Agreement contains the entire agreement and understanding of the parties with respect to the subject matter hereof. This Agreement may not be amended, modified or discharged, nor may any of its terms be waived except by written agreement of both parties. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. A signed copy of this Agreement transmitted by facsimile, email, or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original executed copy of this Agreement for all purposes. (b) Neither party shall assign this Agreement in whole or in part (other than by operation of law) to any person or entity without the prior written consent of the other party. Subject to the foregoing, this Agreement and all of its provisions shall be binding upon and shall inure to the benefit of the parties and their respective successors and permitted assigns. (c) No consent or waiver, either expressed or implied, by a party to or of any breach or default, shall be construed to be a consent or waiver to or of any other breach or default in the performance of any obligations hereunder. Failure of a party to complain or declare the other party in default shall not constitute a waiver by such party of rights and remedies hereunder. (d) Except as hereinafter provided, no delay or failure in performance by a party shall constitute a default hereunder to the extent caused by Force Majeure. Unless the Force Majeure substantially frustrates performance of the Services, Force Majeure shall not operate to excuse, but only to delay, performance of the Services. If Services are delayed by reason of Force Majeure, CBRE promptly shall notify Client. Once the Force Majeure event ceases, CBRE shall resume performance of the Services as soon as possible. As used herein, "Force Majeure" means any event beyond the control of the Party claiming inability to perform its obligations and which such Party is unable to prevent by the exercise of reasonable diligence, including, without limitation, the combined action of workers, fire, acts of terrorism, catastrophes, changes in laws, condemnation of property, governmental actions or delays, national emergency, war, civil disturbance, floods, unusually severe weather conditions, endemic or pandemic, or other acts of God. Inability to pay or financial hardship shall not constitute Force Majeure regardless of the cause thereof and whether the reason is outside a party's control. (e) Any provision of this Agreement that, by its language, contemplates performance or observation subsequent to any termination or expiration of this Agreement shall survive such termination or expiration and shall continue in full force and effect. If any provision of this Agreement, or application thereof to any person or circumstance, shall to any extent be invalid, then such provision shall be modified, if possible, to fulfill the intent of the parties reflected in the original provision. The remainder of this Agreement, or the application of such provision to person or circumstance other than those as to which it is held invalid, shall not be affected thereby, and each provision of this Agreement shall be valid and enforced to the fullest extent permitted by law. (f) www.cbre.us/valuation ©2024 CBRE, Inc. CBRE Addenda Addendum D QUALIFICATIONS © 2023 CBRE, Inc. © 2024 CBRE, Inc. Michael R. Eschmann, MAI First Vice President, Miami, Florida CBRE T + 1 305 381 6433 Michael.eschmann@cbre.com www.cbre.com/Michael.Eschm ann 777 Brickell Ave., Suite 1100 Miami, FL 33131 Clients Represented • PNC Bank • Mercantil • Miami -Dade College • Vakifbank • Swire Properties • CEMEX • Iberia Bank • Santander Bank • Regions Bank • TD Bank • Bank United • BB&T Bank • Popular • First Horizon Experience Michael Eschmann is a First Vice President working in the Valuation & Advisory Services Group. Located in the CBRE Miami office since 2003, Mr. Eschmann has over thirty years of real estate appraisal and consulting experience throughout the State of Florida, with primary experience in South Florida. Mr. Eschmann is a designated member of the Appraisal Institute (MAI), and is licensed as a Certified General Real Estate Appraiser in the State of Florida. He also has provided expert witness testimony in the Circuit and Bankruptcy Courts in the State of Florida, New York and North Carolina. As First Vice President, Mr. Eschmann participates in the completion of commercial appraisal assignments on a wide variety of valuation projects with a concentration on institutional grade office buildings. Mr. Eschmann has also supervised commercial appraisal trainees, participates in new business development, client relations and appraisal quality control production. Professional Affiliations / Accreditations • Appraisal Institute — Designated Member (MAI) • Certified General Real Estate Appraiser, State of Florida, #RZ2499 Education • BBA Finance — Baruch College, New York, NY 1 985 • MS Real Estate - New York University, New York, NY 1995 © 2024 CBRE, Inc. Ron DeSantis, Governor ���'�?�� , Iii�V ..,. am,y >Y t STATE OF fry _, ic` DEPARTMENT OF BUSINESS AND FLORIDA REAL ESTATE THE CERTIFIED GENERAL APPRAISER PROVISIONS OF CHAPTER Melanie S. Griffin, Secretary FLORIDA PROFESSIONAL REGULATION APPRAISAL BD HEREIN IS CERTIFIED UNDER THE 475, FLORIDA STATUTES Florida if.- R a y ' tiel * mid* • .e3. r• al �� 44 . This is your license. fLICENSE EXPIRATION Always It is ESCH 777 *% 4.1+��a"ii� �y* verify Do not unlawful licenses MAN BRICKELL MIAMI,. alter for DATE: online this anyone NUMBER: N, document AVE j p NOVEMBER at other M FL +d MyFloridaLicense.com ICHAEL SUITE 33131�'" 4• RZ2499 in than i'�Fi any 910 yy 30, form. the licensee *, 2024 R 4. , s to 11 use this document. James E Agner, MAI, AI-GRS, MRICS EVP-Business Development, Florida -Caribbean Southeast Region CBRE T + 1 305 381 6480 james.agner@cbre.com www.cbre.com/James.Agner 777 Brickell Ave., Suite 1 100 Miami, FL 33131 Clients Represented • LNR Partners • PNC Bank • Amerant Bank • Popular Bank • First Horizon Bank • Santander Bank • Brightstar CU • TD Bank • Bank United • US Century • CitiBank • Ocean Bank • Centennial Bank • Bank OZK First Bank Florida • RMWC • Capital Impact • Grove Bank & Trust • Pacific National Bank • Seacoast National Bank • Comerica Bank Experience James Agner is the EVP-Business Development of the Valuation & Advisory Services for the Florida - Caribbean Southeast Region. Located in the CBRE Miami office since 1995, Mr. Agner has over thirty-five years of real estate appraisal and consulting experience throughout the State of Florida, with primary experience in South Florida and in the Caribbean. Mr. Agner is a designated member of the Appraisal Institute (MAI) and General Review Specialist (AI-GRS), member of the Society of Golf Appraisers (SGA), and Royal Institution of Chartered Surveyors (MRICS) and is licensed as a Certified General Real Estate Appraiser in the State of Florida. He also has provided expert witness testimony in the Circuit Courts — State of Florida and United States Bankruptcy Courts. As EVP-Business Development, Mr. Agner is responsible for business development opportunities and leads a valuation and advisory staff in Miami and Palm Beach Counties that provides exceptional quality appraisal work and client service in South Florida, Treasure Coast and the Florida Keys. He also coordinates activities for Florida and in the Caribbean, including overseeing new business development, client relations and appraisal quality control production. Mr. Agner is also the Co - National Director of the Golf Valuation Group for CBRE. Professional Affiliations / Accreditations • Appraisal Institute — Designated Member (MAI), Certificate No. 7791 • Appraisal Institute — General Review Specialist (Al-GRS), Certificate No. 69150 • Society of Golf Appraisers (SGA), Certificate No. 25 • Royal Institution of Chartered Surveyors — Member (MRICS), Certificate No. 7505662 • Certified General Real Estate Appraiser, State of Florida, #RZ382 • Licensed Real Estate Broker, State of Florida, BK402088 Education • Florida State University, Tallahassee, FL Bachelors of Science in Business Administration, Marketing - 1981 © 2024 CBRE, Inc. Ron DeSantis, Governor t�-��'� Melanie S. Griffin, Secretary A ,, III IV .. j,. .i,am,y >Y t STATE OF FLORIDA �` DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION FLORIDA REAL ESTATE APPRAISAL BD THE CERTIFIED GENERAL APPRAISER HEREIN IS CERTIFIED UNDER THE PROVISIONS OF CHAPTER 475, FLORIDA STATUTES ( '-- \--1101 lilt III Florida t !' • ` `ems rtR.Sz kg.P. rig: idegl 41 NOV : Ii AGNER, 777 BRICKELL MIAMI �I JAMES AVE , FL SUITE fg fairoS54 1100 33131 E --=' kW f •1, Aitlil • in • . This is your license. 044, = LICENSE NUMBER: RZ382 11 EXPIRATION DATE: NOVEMBER 30, 2024 Always verify licenses online at MyFloridaLicense.com Do not alter this document in any form. It is unlawful for anyone other than the licensee to use this document. APPRAISAL REPORT A 4,500 SQUARE FOOT LAND PARCEL LOCATED AT: 813 N. W. 5TH AVENUE MIAMI, FLORIDA PREPARED FOR: CITY OF MIAMI COMMUNITY REDEVELOPMENT AGENCY 819 N. W. SECOND AVENUE, THIRD FLOOR MIAMI, FLORIDA 33136 As OF: JANUARY 10, 2024 PREPARED BY: QUINLIVAN APPRAISAL, P.A. 7300 NORTH KENDALL DRIVE - SUITE 530 MIAMI, FLORIDA 33156 QUINLIVAN APPRAISAL A PROFESSIONAL ASSOCIATION 7300 NORTH KENDALL DRIVE, SUITE 530 MIAMI, FLORIDA 33156 Thomas F. Magenheimer, MAI State Certified General Appraiser RZ 553 January 17, 2024 Brian Zeltsman, RA Director of Architecture & Development City of Miami Southeast Overtown Park West Community Redevelopment Agency 819 N.W. Second Avenue Miami, Florida 33136 Dear Mr. Zeltsman: Telephone (305) 663-6611 Fax (305) 670-4330 tmagmaigaol.com In accordance with your request and authorization, I have prepared this Appraisal Report covering the following described property: A 4,500 square foot land parcel, located at 813 N. W. 5th Avenue, Miami, Florida The purpose of this Appraisal is to estimate the Market Value of the described property as of January 10, 2024, being one of the dates of personal inspection. This report was prepared in accordance with the requirements of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA) relating to appraisal standards as enumerated in Title 12, Code of Federal Regulation, Part 34 (12CFR34) and in compliance with the most current Uniform Standards of Professional Appraisal Practice (USPAP) as adopted by the Appraisal Standards Board of the Appraisal Foundation. The narrative Appraisal Report that follows sets forth the identification of the property, the assumptions and limiting conditions, pertinent facts about the area and the subject property, comparable data, the results of the investigations and analyses, and the reasoning leading to the conclusions set forth. Mr. Brian Zeltsman January 17, 2024 Page 2 Based on the inspection of the property and the investigation and analyses undertaken, I have formed the opinion that, as of January 10, 2024, the subject property had a Market Value as follows: FOUR HUNDRED NINETY-FIVE THOUSAND DOLLARS $495,000 Respectfully submitted, -xoikil -,/,1414;., Thomas F. Magenheimer, MAI State -Certified General Appraiser Certification Number: RZ 553 TFM/dm (24-001 B) TABLE OF CONTENTS COVER PAGE TRANSMITTAL LETTR TABLE OF CONTENTS PAGE CERTIFICATION OF VALUE 1 SUMMARY OF SALIENT FACTS AND CONCLUSIONS 3 INTRODUCTION 6 INTRODUCTION 7 IDENTIFICATION OF THE PROPERTY 7 ADDRESS 7 PURPOSE AND DATE OF APPRAISAL 7 INTENDED USE AND USER OF APPRAISAL 7 LEGAL DESCRIPTION 7 PROPERTY RIGHTS APPRAISED 7 DEFINITION OF MARKET VALUE 8 ASSESSMENT AND TAXES - 2023 9 OWNER OF RECORDS AND ADDRESS 9 THREE-YEAR HISTORY OF TITLE 9 SCOPE OF THE APPRAISAL 10 LOCATION ANALYSIS 13 NEIGHBORHOOD DATA 14 SITE DATA 18 ZONING 21 HIGHEST AND BEST USE 24 THE APPRAISAL PROCESS 27 LAND VALUE ANALYSIS 29 ADDENDA 45 ASSUMPTIONS AND LIMITING CONDITIONS QUALIFICATIONS CLIENT LIST CERTIFICATION OF VALUE The undersigned hereby certify that, to the best of my knowledge and belief: (A) The statements of fact contained in the report are true and correct. (B) The reported analyses, opinions and conclusions are limited only by the assumptions and limiting conditions set forth, and are my personal, unbiased professional analyses, opinions and conclusions. (c) I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. (D) I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. (E) My engagement in this assignment was not contingent upon developing or reporting predetermined results. (F) The appraisers' compensation for completing this assignment is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. Furthermore, the appraisal assignment was not based on a requested minimum valuation, a specific valuation or the approval of a loan. (G) The appraisers' analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice, and the requirements of the State of Florida for state -certified appraisers. (x) Use of this report is subject to the requirements of the State of Florida relating to review by the Real Estate Appraisal Subcommittee of the Florida Real Estate Commission. (1) Thomas F. Magenheimer has made a personal inspection of the property that is the subject of this report. (J) No one has provided professional assistance to the persons signing this report. QUINLIVANAPPRAISAL 1 (K) The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. (L) The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. (M) The undersigned has not performed appraisal services concerning the property during the past three years immediately preceding the acceptance of this assignment. As of the date of this report, Thomas F. Magenheimer has completed the requirements under the continuing education program for The Appraisal Institute. THOMAS F. MAGENHEIMER, MAI STATE -CERTIFIED GENERAL APPRAISER CERTIFICATION NUMBER: RZ553 QUINLIVANAPPRAISAL 2 SUMMARY OF SALIENT FACTS AND CONCLUSIONS Purpose of Appraisal Market Value Property Rights Appraised Fee Simple Address 813 N. W 5th Avenue, Miami, Florida Legal Description Land Size Zoning The South 45 feet of the North 90 feet of Lots 11 & 12, Block 33 North, CITY OF MIAMI NORTH, according to the Plat thereof, as recorded in Plat Book "B", Page 41, of the Public Records of Miami -Dade County, Florida. 4,500 square feet T5-O, Urban Center Zone, Open City of Miami Highest and Best Use Residential or commercial use Estimated Market Value $495,000 Date of Value Estimate January 10, 2024 Date of Inspection January 10, 2024 Date of Report January 17, 2024 QUINLIVANAPPRAISAL 3 LOOKING SOUTHEASTERLY AT SUBJECT FROM N. W. 51n AVENUE LOOKING NORTHEASTERLY AT SUBJECT FROM N. W. 51H AVENUE QUINLIVANAPPRAISAL 4 LOOKING SOUTHERLY ON N. W. 5 AVENUE - SUBJECT TO LEFT 1IIIII!IllhiJ+f,���� LOOKING NORTHERLY ON N. W. 5TH STREET - SUBJECT TO RIGHT QUINLIVANAPPRAISAL 5 INTRODUCTION QUINLIVANAPPRAISAL 6 INTRODUCTION IDENTIFICATION OF THE PROPERTY A 4,500 square foot vacant land parcel. ADDRESS 813 N. W. 5th Avenue, Miami, Florida PURPOSE AND DATE OF APPRAISAL The purpose of this Appraisal is to estimate the Market Value of the subject property as of January 10, 2024, being one of the dates of personal inspection. INTENDED USE AND USER OF APPRAISAL The intended use of this appraisal is to estimate the market value of the described property for a potential purchase of the property. The intended user is the Southeast Overtown/Park West Community Redevelopment Agency of the City of Miami. LEGAL DESCRIPTION The South 45 feet of the North 90 feet of Lots 11 and 12, Block 33 North, CITY OF MIAMI, according to the Plat thereof, as recorded in Plat Book "B", Page 41, of the Public Records of Miami -Dade County, Florida PROPERTY RIGHTS APPRAISED The property is appraised in fee simple: a fee without limitations to any particular class of heirs or restrictions, but subject to the limitations of eminent domain, escheat, police power and taxation, as well as utility easements of record. QUINLIVANAPPRAISAL 7 DEFINITION OF MARKET VALUE Market Value means the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised and acting in what they consider their own best interest; (3) a reasonable time is allowed for exposure to the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents a normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. Source: Interagency Appraisal and Evaluation Guidelines, December 10, 2010, Federal, Volume 75, No. 237, Page 77472 QUINLIVANAPPRAISAL 8 ASSESSMENT AND TAXES - 2023 The subject property is assessed under the jurisdiction of the City of Miami, Florida. The assessment for the property is established each year as of January 1st by the Miami -Dade County Property Appraiser's Office at 100% of "Just Value." Just Value has been equated to Market Value less closing costs. While the State of Florida requires real estate to be assessed at 100% of Just Value, in reality the ratio of the assessed value to sales price is generally below 100%. Folio Number: 01-0103-030-1050 County Market Value: Land $ 360,000 Improvements $ 903 Total $ 360,903 Assessed Value: $161,141 Millage Rate: $20.5564 per $1,000 Tax Amount: $4,650.69 OWNER OF RECORDS AND ADDRESS Ciprico Holding, LLC P. O. Box 414353 Miami, FL 33141 THREE-YEAR HISTORY OF TITLE According to the Public Records of Miami -Dade County, there have been no sale transfers of the subject property during the past three years. QUINLIVANAPPRAISAL 9 SCOPE OF THE APPRAISAL QUINLIVANAPPRAISAL 10 SCOPE OF THE APPRAISAL The scope of the assignment relates to the extent and manner in which research is conducted, data is gathered and analysis is applied, all based upon the following problem -identifying factors stated elsewhere in this report. This appraisal of the subject has been presented in the form of a Summary Appraisal Report, which is intended to comply with the reporting requirements set forth under Standards Rule 2-2 (b) of the USPAP. Data related to the subject property was derived from various sources including but not limited to the Miami -Dade County Property Appraiser's Office, Miami -Dade County plats, FEMA flood zone maps, Land Development Regulations of the City of Miami, and tax roll information provided by the Miami -Dade County Property Appraiser's Office. Comparable sale sources include the Miami -Dade County Property Appraiser's Office, the Miami -Dade County Clerk of the Courts Office, Board of Realtors' Multiple Listing Services, CoStar, and LoopNet. Sales prices are typically confirmed with a party to the transaction, i.e., buyer, seller, real estate agent or attorney to the transaction. A search for land sales was conducted in the area of the subject. The initial sales period researched was from January of 2022 through the date of valuation. Several other sales were considered, but were not included because there was too wide a difference in physical factors, location and time. QUINLIVANAPPRAISAL 11 ESTIMATED EXPOSURE TIME Exposure time is defined as the estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; a retrospective estimate based upon an analysis of past events assuming a competitive and open market. The overall concept of reasonable exposure encompasses not only adequate, sufficient and reasonable time but also adequate, sufficient and reasonable effort. In estimating a reasonable exposure time for the subject property, the appraisers have taken the following steps: Discussion with buyers, sellers, brokers and/or review of multiple listings of vacant land in the area related to historic marketing periods. Based on the above sources, exposure time is estimated to have been twelve months for the subject property. ESTIMATED MARKETING PERIOD The estimated value of the subject is predicated upon a normal marketing period. A normal marketing period is generally defined as the most probable amount of time necessary to expose and actively market a property on the open market to achieve a sale. Implicit in this definition are the following assumptions: (A) The property will be actively exposed and aggressively marketed to potential purchasers through marketing channels commonly used by sellers and buyers of similar type properties. (B) The property will be offered at a price reflecting the most probable markup over market value used by sellers of similar type properties. (C) A sale will be consummated under the terms and conditions of the definition of Market Value required by the regulation. In order to estimate the marketability of this property, the sales activity in this market area was reviewed over the past three years, multiple listings were reviewed and real estate brokers who operate in this area were interviewed. Based on the above sources, the subject property could be sold within a twelve month time period. QUINLIVANAPPRAISAL 12 LOCATION ANALYSIS QUINLIVANAPPRAISAL 13 NEIGHBORHOOD DATA The subject property is located in the northern periphery of the Central Business District of Miami in an area known as Park West. The site is located on the east side of N. W. 5th Avenue, between, N. W. 8th Street and N. W. 9th Street, two blocks west of Interstate 95, Biscayne Boulevard (U.S. Highway #1) is a north/south traffic artery in the City of Miami. Biscayne Boulevard extends northerly from Brickell Avenue to the Broward County line. The majority of commercial properties in the subject neighborhood front on Biscayne Boulevard. These commercial properties include motels, retail stores, restaurants, and multiple story office buildings. The Overtown area located west of Interstate 95 and north of the Miami River is a mixed use area comprised of low rise apartment buildings and industrial properties. A bridge spanning the Miami River is located at N.W. 7th Avenue, there block southwest of the subject property. Several of the properties located in the area are maritime industrial uses related to the Miami River. The Overtown area, west of N.W. 1st Avenue and north of N.W. 5th Street to N.W. 20th Street, is characterized by a large number of small apaittnent buildings. These buildings were constructed primarily in the late 1940s and 1950s. These buildings generally are in poor to fair condition, with virtually no new private construction in recent years. There are two 30-story high-rise apartment buildings located just north of the former Miami Arena site at N.W. 8th Street and N.W. 1st Avenue. These buildings were constructed on City of Miami land by private developers. The south building, Bayview Towers, was constructed in 1989 and contains 356 units. The north building, Park Place by the Bay, was constructed in 1990 and contains 463 units. The rental rates area relatively reasonable in these buildings. There has been little redevelopment in this area. The stimulus to speculation has been the Performing Arts Center on Biscayne Boulevard at N.E. 13th Street. The construction was completed in 2007. In addition to the speculation related to the Performing Arts Center, the establishment of the Park West Entertainment District by the City in April of 2000 had a positive affect on the property values. The intent of the Ordinance was to eliminate the distance requirements between nightclubs and to actually encourage establishment of clubs in close proximity to one another. It also provides for 24-hour liquor licenses within the district. The Park West Entertainment District is bounded by S.R. 836/I-395 to the north, Biscayne Boulevard to the east, N.E. 7th Street to the south, and North Miami Avenue to the west. Motivated by the liberal provisions of the Park West Entertainment District, in conjunction with greater restrictions being placed on nightclub operators on South Beach, club owners have acquired a number of older industrial buildings and vacant sites in the area - primarily along N.E. 11t Street and N.E. loth Streets. The older buildings have been totally renovated and opened as nightclubs, reportedly with tremendous success. Although no new buildings have been built on vacant sites, several are reportedly planned. QUINLIVANAPPRAISAL 14 The Central Business District of Miami is located just southeast of the Overtown area. The Central Business District is defined with Biscayne Boulevard at the east boundary, N.W./S.W. 1st Avenue to the west, N.E. 5th Street to the north and the Miami River to the south. The Central Business District is comprised of offices, hotels and retail stores. The older buildings were constructed primarily in the period between 1920 and 1940. The newer buildings were constructed primarily in the 1960s and 1970s. Flagler Street is the primarily retail/office street in the Central Business District of Miami. There are a variety of retail stores, department stores and offices fronting along Flagler Street in the Central Business District. Major office buildings in this area of Flagler Street and in the Central Business District include Israel Discount Bank Building, Alfred I. DuPont Building, Bank of Miami, Biscayne Building, City National Bank, Roberts Building, Courthouse Tower, Museum Tower, One Biscayne Tower, Bank of America Tower, SunTrust International Center, Wachovia Financial Center and Miami Center. The Government Center is bordered on the east by the Metrorail Guideway (N.W. 1st Avenue), on the west by Interstate 95, on the south by Flagler Street and on the north by N.W. 5th Street. This is an area zoned for Government/Institutional uses. There are two seven -story State of Florida Office buildings located on the east side of N.W. 2nd Avenue between N.W. 4th Street and N.W. 5th Street. The five -story City of Miami Police Station is located on the west side of N.W. 2nd Avenue, across from the State of Florida Office building. The 29-story Metro -Dade County Government Center is located approximately one mile south of the subject sites on the east side of N.W. 2nd Avenue between N.W. 1st Street and N.W. 3rd Street. This 500,000 square foot office building houses most of the Miami -Dade Government Offices. The former City of Miami Administrative Building (Hickman Building) is located on the northeast corner of N.W. 2nd Street and N.W. 3rd Avenue. The City of Miami moved their administrative office to a larger building in 1992 at S.W. 2nd Avenue and S.W. 4th Street. The Hickman Building now houses Miami -Dade County Parks Depail,uient and the Juvenile Assessment Center. Miami -Dade County has two multi -level parking garages on the north and south sides of N.W. 1st Street, just east of N.W. 3rd Avenue. The Miami -Dade County Cultural Center which contains the Art Museum of Miami -Dade County, the Historical Museum of Southern Florida and Main Branch of the Miami Public Library, is located adjacent to the south of the Miami -Dade County Government Center. The Miami -Dade County Courthouse is located on West Flagler Street at N.W. 1st Avenue. Due to proximity to the courthouse, most offices along Flagler Street are occupied by attorneys and their support services. The Overtown Station of Miami -Dade County's Rapid Transit System, known as Metrorail, is located at N.W. 8th Street and N.W. 1st Avenue. The Metrorail is an elevated track train system QUINLIVANAPPRAISAL 15 which extends north and west through the City of Hialeah to the Palmetto Expressway at N.W. 74th Street, and south to the Dadeland area. The Downtown Metromover emanates from the Government Center Station. The Metromover is an elevated track, remote controlled vehicle system which provides local transportation in the Central Business District. The Metromover track extends southerly to S.E. and S.W. 4th Street, easterly to Biscayne Boulevard, northerly to N.E. and N.W. 5th Street and westerly to N.E. and N.W. 2nd Avenue. The Metromover has nine stations throughout the Central Business District of Miami. Extensions of the Downtown Metromover have been constructed that run to the Omni and Brickell Avenue areas. The Federal Law Enforcement Building, known as the General Services Administration (GSA) Building, is located along the west side of N.E. 1st Avenue, between N.E. 4th and 5th Streets. This 308,000 square foot, 12-story building was recently constructed by the City of Miami in two phases and is leased to the Federal Government. There is one floor of partially sub -level parking, with the top three floors utilized as courtrooms to handle the overflow from the main courthouse. Various governmental offices occupy 100 percent of this building, with the U.S. Attorney's Office and the U.S. Marshall's Service as primary tenants. The U.S. Bureau of Prisons Metropolitan Federal Detention Center was recently built immediately west of the GSA Building. This 22-story facility houses a total of 946 inmates for all four security wards - minimum, low, medium, and maximum. In summary, the subject property is located north of the Central Business District of Miami, in an older multi-family/commercial area known as Overtown, a short distance from the Florida State Office Buildings and the Metro -Dade County Government Center. QUINLIVANAPPRAISAL 16 NEIGHBORHOOD MAP 41. ienderson,I Park NW2rrdSt r ° IF ri Dull-Culmer Station SUBJECT PROPERTY 813 N,W,5th Avenue Theodore R Gibson I i3" e+ Park ii Er] Lummus Park rrd St 7111\9. ail-0 QUINLIVANAPPRAISAL 17 SITE DATA QUINLIVANAPPRAISAL 18 SITE DATA Dimensions and Shape: The site is rectangular. The west property line of the site fronts for 45 feet on the east right-of-way line of N. W. 5th Avenue and has a depth easterly of 100 feet. Note: A survey of the site was not provided. The shapes and dimensions of the site are from recorded plats and the Hopkins Plat Book. Area: 4,500 square feet or 0.10 acres (Source: Miami -Dade County Property Appraiser's Office) Topography and Drainage: The site is level and approximately at street grade. Flood Zone: Map No. 12086C0312 L (Effective September 11, 2009) IIXII Soil and Subsoil: Areas determined to be outside 0.2% annual chance floodplain The immediate area of the subject site appears to have no unusual soil or subsoil conditions. Unusual conditions would be brought out by test borings. Utilities: Water: Miami -Dade Water and Sewer Department Sewer: Miami -Dade Water and Sewer Depaitinent Electricity: Florida Power & Light Company Telephone: AT & T Street Improvements: N. W. 5rh Avenue is asphalt paved with a dedicated width of 50 feet. N. W. 5th Avenue contains one northbound lane and one southbound lane. QUINLIVANAPPRAISAL 19 SITE SKETCH QUINLIVANAPPRAISAL 20 ZONING QUINLIVANAPPRAISAL 21 ZONING Under Ordinance of the City of Miami, Florida. Classification: T5-O URBAN CENTER ZONE - OPEN The urban center zone consists of higher density mixed -use building types that accommodates retail and office uses, rowhouses, and apartments. A network of small blocks has thoroughfares with wide sidewalks, steady street tree planting and buildings set close to the frontages with frequent doors and windows. Permitted Principal Uses allowed by right include single family residences, duplexes, multifamily housing, dormitory, community residences, home offices, bed & breakfasts, inns, hotels, entertainment establishments, food service establishments, general commercial, offices, recreational facilities, religious facilities, learning center, pre-school, and research facilities. Uses permitted by warrant (administrative process) include auto related facilities, marine related facilities, open air retail, community facilities, infrastructure and utilities, community support facilities, marinas, public parking, transit facilities, childcare, universities, schools, and vocational training. Uses permitted by exception include alcohol beverage service establishments. Development Regulations Minimum Lot Size: 1,200 square feet Maximum Lot Size: 40,000 square feet Minimum Lot Width: 16 feet Maximum Lot Coverage: 60% Floor Lot Ratio: None Minimum Green Space: 10% Maximum Density: 65 dwelling units per acre Setbacks: Front 10 feet Side 0 feet Back 0 feet Maximum Building Height: Five stories Minimum Building Height: Two stories QUINLIVANAPPRAISAL 22 Minimum Offstreet Parking: Principal Dwelling Community Residence Lodging Office Commercial Civic Educational 1.5 spaces per unit 1 space per staff member in addition to required parking 1 space per 5 lodging units 3 spaces per 1,000 square feet 3 spaces per 1,000 square feet 3 spaces per 1,000 square feet of exhibition area 2 spaces per 1,000 square feet QUINLIVANAPPRAISAL 23 HIGHEST AND BEST USE QUINLIVANAPPRAISAL 24 HIGHEST AND BEST USE Fundamental to the concept of value is the theory of highest and best use. Land is valued as if vacant and available for its highest and best use. The Appraisal Institute in The Dictionary of Real Estate Appraisal, Sixth Edition, defines highest and best use as follows: The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and results in the highest value. Land has limited value unless there is a present or anticipated use for it; the amount of value depends on the nature of the land's anticipated use, according to the concept of surplus productivity. Among all reasonable, alternative uses, the use that yields the highest present land value, after payments are made for labor, capital, and coordination, is generally regarded as the highest and best use of the land as though vacant. The highest and best use of a property as improved refers to the optimal use that could be made of the property including all existing structures. The implication is that the existing improvement should be renovated or retained as so long as it continues to contribute to the total market value of the property, or until the return from a new improvement would more than offset the cost of demolishing the existing building and constructing a new one. Estimating the highest and best use of a property comprises four stages of analysis: 1. Possible Use. What uses of the site being appraised are physically possible? 2. Permissible Use (Legal) What uses are permitted by Zoning and Deed Restriction, if any? 3. Feasible Use. Which possible and permissible uses will produce a net return to the owner of the site? 4. Maximally Productive. Among feasible uses, which use will produce the highest net return to the owner of the site? The following four point test must be met in estimating the Highest and Best Use. The use must be legal. The use must be probable, not speculative or conjectural. There must be a profitable demand for such use and it must return to the land the highest net return for the longest period of time. These tests have been applied to the subject property. In arriving at the estimate of Highest and Best Use, the subject site was analyzed as vacant and available for development. QUINLIVANAPPRAISAL 25 Possible Use The site has 45 feet of frontage on N. W. 5th Avenue, a secondary street. The site is middle block location. The road access and exposure of the site is adequate. The site is 4,500 square feet in size which equates to 0.10 of an acre. The size and street frontage of the subject site would limit its use to a single use. The site is rectangular, with street frontage on one side. The site has sufficient street frontage and width to have good functional utility. The size, shape, width and street frontage of the site would indicate small scale use Permissible Use Permissible or legal uses are those uses which are permitted by zoning or deed restrictions. There are presently no known private deed restrictions of record. The site is zoned for mixed commercial and residential uses. The zoning of the site permits most commercial uses, hotels, houses, duplexes, townhouses and apartments. The maximum residential density is 65 dwelling units per acre. The maximum building footprint is 60% of the net lot area. The maximum building height is five stories. Feasible Use/Maximally Productive Use The physical characteristics and zoning of the subject property permit a wide range of potential uses. The possible and permissible uses of the subject site include banks, hotels, office buildings, retail stories and residential uses. The physical characteristics and zoning of the subject property would indicate a small scale use, such as an office building, mixed use office and residential use, hotel, or government building. The site is a middle block location that has street frontage on one side. The site has adequate road access and exposure. The site is located a few blocks from a Metro Rail station. Metro Rail is the mass transit elevated train system of Miami -Dade County. The permissible uses of the subject site include offices, banks, stores, hotels, restaurants, religious facilities, schools, residential uses, and most commercial uses. Conclusion — As Vacant Based on the zoning, physical characteristics, and surrounding uses, the highest and best use of the site is estimated to be for a single building with multiple family and commercial uses or a government use. QUINLIVANAPPRAISAL 26 THE APPRAISAL PROCESS QUINLIVANAPPRAISAL 27 APPRAISAL PROCESS The value of a site can be estimated by various methods which include Direct Sales Comparison, Allocation, Extraction, Development Approach, Land Residual or Ground Rent Capitalization. However, the Direct Sales Comparison Approach is the most preferred and utilized technique when sales of comparable sites are available. The other methodologies are indirect techniques which are generally used when an area is primarily built-up and sales of comparable sites are scarce. The Direct Sales Comparison Method of valuing the subject site was relied on due to the availability of recent land sales. In the Direct Sales Comparison Method, sales of similar recently sold sites with a similar highest and best use as the subject site are analyzed, compared and adjusted by time, property characteristics and location to indicate the Market Value of the subject site as though unimproved. The reliability of this approach is dependent upon the availability of comparable sales data, the verification of the sales data, the degree of comparability and the absence of non -typical conditions affecting the sale. Data related to the subject property is derived from various sources including but not limited to the Miami -Dade County Property Appraiser's Office, the Miami -Dade County Clerk's Office, Miami -Dade County plats, FEMA flood zone maps, Land Development Regulations of the City of Miami and tax roll information provided by the Miami -Dade County Property Appraiser's Office. Comparable sale sources include the Miami -Dade County Property Appraiser's Office, Board of Realtors' Multiple Listing Service, Costar, and Loopnet. Sale prices are typically confirmed with a party to the transaction, i.e. buyer, seller, real estate agent or attorney to the transaction. QUINLIVANAPPRAISAL 28 LAND VALUE ANALYSIS QUINLIVANAPPRAISAL 29 LAND VALUE A value estimate is concluded by comparing the subject site to comparable land sales. Generally, the comparable land sales are adjusted by time, property, and location to indicate the Market Value of the subject site as though unimproved. This process is known as the Direct Sales Comparison Method. The Direct Sales Comparison Method is a process of analyzing sales of similar recently sold land parcels in order to derive an indication of the most probable sales price of the site being appraised. The reliability of this approach is dependent upon the availability of comparable sales data, the verification of the sales data, the degree of comparability and the absence of non -typical conditions affecting the sale. The following pages contain sales of similar land sites which have recently sold. Several other sales were considered, but were not included because there was too wide a difference in physical factors, location and time. Various analytical techniques may be used to identify and measure adjustments. The techniques of comparative analysis can be grouped into two categories: quantitative and qualitative. When quantitative analytical techniques are applied, mathematical processes are used to identify which elements of comparison require adjustment and to measure the amount of these adjustments. The primary quantitative techniques, Paired Data Analysis, is a process in which two or more market sales are compared to derive an indication of the size of the adjustment for a single characteristic. Ideally, the sales being compared will be identical in all respects except for the element being measured. Although paired data analysis is a theoretically sound method, it is sometimes impractical because only a narrow sampling of sufficiently similar properties may be available and it is difficult to quantify the adjustments attributable to all the variables. The primary qualitative techniques, Relative Comparison Analysis, is the study of the relationship indicated by market data without recourse to quantification. This technique is utilized because it reflects the imperfect nature of real estate markets. To apply the technique, the appraisers analyze comparable sales to determine whether the comparables' characteristics are inferior, superior, or equal to those of the subject property. A search is made of real estate market for all sales within the subject or competitive locations. While many sales were reviewed, the sales contained herein are considered most comparable to the subject properties as to all major factors of comparison. A photograph of each sale, a summary of the sales, a sales map and a value conclusion follows herein. QUINLIVANAPPRAISAL 30 DATE: PRICE: TYPE INSTRUMENT: RECORDATION: FOLIO NUMBER: GRANTOR: GRANTEE: LEGAL: LOCATION: SITE DESCRIPTION: Dimensions: Size: Zoning: Use at Sale: UNIT PRICE: FINANCING: REMARKS: LAND SALE 1 February 10, 2022 $1,000,000 Special Warranty Deed O. R. Book 33019, Page 2562 01-3124-013-0030 178 NW 54 Street, LLC Upper 54, LLC Lots 3 & 4, less the North 10 feet, Block 1, SECOND AMENDED PLAT OF RAILWAY SHOPS ADDITION, Plat Book 3, Page 183 of the Public Records of Miami -Dade County, Florida. 178 N.W. 54th Street Miami, Florida 100 feet x 134 feet 13,400 Square Feet 0.31 Acres T5-0, Urban Center Zone, Open Vacant $74.63 per square foot of land Conventional first mortgage from Professional Bank of $500,000 at 3.56% interest for 360 months. This property sold previously in April of 2021 for $607,500. QUINLIVANAPPRAISAL 31 SALE 1 QUINLIVANAPPRAISAL 32 LAND SALE 2 DATE: June 3, 2022 PRICE: $1,250,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33243, Page 3950 FOLIO NUMBER: 01-0104-080-2050 GRANTOR: Tricorp, LLC GRANTEE: 749 NW 5th Ave, LLC LEGAL: Lot 8 and the North 50 feet of Lots 9 & 10, Block 48 North, CITY OF MIAMI, Plat Book "B", Page 41 of the Public Records of Miami -Dade County, Florida. LOCATION: 462 N.W. 8th Street Miami, Florida SITE DESCRIPTION: Dimensions: Irregular Size: 12,500 Square Feet 0.29 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Vacant UNIT PRICE: $100.00 per square foot of land FINANCING: Cash REMARKS: This property was on the market for 343 days. QUINLIVANAPPRAISAL 33 SALE 2 QUINLIVANAPPRAISAL 34 LAND SALE 3 DATE: January 6, 2023 PRICE: $500,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33536, Page 1697 FOLIO NUMBER: 01-3112-012-0240 GRANTOR: 8263 NE 1st Ave, LLC GRANTEE: Emprendimientos Rua USA, LLC LEGAL: Lot 2, Block 14, AMENDED PLAT OF BLOCKS 10 TO 17 LITTLE RIVER GARDENS, Plat Book 6, Page 51 of the Public Records of Miami -Dade County, Florida. LOCATION: 8263 N.E. 1st Avenue Miami, Florida SITE DESCRIPTION: Dimensions: 50 feet x 145 feet Size: 7,263 Square Feet 0.17 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Vacant UNIT PRICE: $68.84 per square foot of land FINANCING: Cash REMARKS: There were no sales of this property in the previously five years. QUINLIVANAPPRAISAL 35 SALE 3 QUINLIVANAPPRAISAL 36 LAND SALE 4 DATE: November 29, 2023 PRICE: $860,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33998, Page 1248 FOLIO NUMBER: 01-3218-012-0280 01-3218-012-0290 GRANTOR: Bonna Bella 33-34, LLC GRANTEE: 5453, LLC LEGAL: Lots 33 & 34, less the South 15 feet, BONNA BELLA PLACE, Plat Book 6, Page 175 of the Public Records of Miami -Dade County, Florida. LOCATION: 309 N. E. 54th Street Miami, Florida SITE DESCRIPTION: Dimensions: 81 feet x 50.06 feet Size: 8,110 Square Feet 0.18 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Vacant UNIT PRICE: $106.04 per square foot of land FINANCING: Cash REMARKS: There were no sales of this property in the previously five years. QUINLIVANAPPRAISAL 37 SALE 4 QUINLIVANAPPRAISAL 38 LAND SALE 5 DATE: December 14, 2023 PRICE: $2,250,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 34019, Page 3194 FOLIO NUMBER: 01-3113-000-0600 01-3113-059-0010 01-3113-073-0020 GRANTOR: Arsene Omega GRANTEE: Zig Miami 54, LLC LEGAL: A portion of the SE 1/4 of Section 13, Township 53 South, Range 41 East in Miami -Dade County; Tract "B", GONDAS SUBDIVISION, Plat Book 64, Page 107 of the Public Records of Miami -Dade County, Florida; the South 75 feet of Lot 1 and the South 75 feet of Lot 2, less the West 20 feet, RAILWAY SHOPS FIRST ADDITION, Plat Book 3, Page 200 of the Public Records of Miami -Dade County, Florida. LOCATION: 173 N. W. 54th Street Miami, Florida SITE DESCRIPTION: Dimensions: Irregular Size: 18,811 Square Feet 0.43 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Old store building UNIT PRICE: $119.61 per square foot of land FINANCING: Cash REMARKS: The site is improved with a store building built in 1926. The building is in fair condition. The property was purchased for redevelopment. QUINLIVANAPPRAISAL 39 SALE 5 QUINLIVANAPPRAISAL 40 LAND SALE MAP s ew t Liberty quare aAV _LA PATTA H t Vey SPRING GARDE F'?ortal e er1 s I. V� z W m. 0 LITTLE RIVER 0 LITTLE HAITI rD 11'; cis rn rfl l� WYNWGOD rD NW 45th St z m > Co tip UPPER EAST SIDE Morningsicle Park 15,4 aCAr CD i m i", T h f'4 Fl h Y y ram Keyboard shortcuts NO.: IP D'{ ♦ 02 O D4 qP 05 J DSub. QUINLIVANAPPRAISAL 41 SUMMARY OF LAND SALES CHARACTERISTICS SUBJECT SALE 1 SALE 2 SALE 3 SALE 4 SALE 5 DATE OF SALE 2/10/22 6/3/22 1/6/23 11/29/23 12/14/23 SALE PRICE $1,000,000 $1,250,000 $500,000 $860,000 $2,250,000 O.R. BOOK/PAGE 33019/2562 33243/3950 33536/1697 33998/1248 34019/3194 ADDRESS 813 N.W. 5 Ave 178 N.W. 54 St. 462 N.W. 8 St. 8263 N.E. 1 Ave 309 N.E. 54 St. 173 N.W. 54 St. LOCATION 3 Miles NE '/2 Block South 4% Miles NE 3'/8 Miles NE 3 Miles NE LAND SIZE (SF) 4,500 13,400 12,500 7,263 8,110 18,811 LAND SIZE (ACRES) 0.10 0.31 0.29 0.17 0.18 0.43 ZONING T5-O T5-O T5-O T5-O T5-O T5-O USE Vacant Vacant Vacant Vacant Vacant Old store bldg. PRICE PAID/SF $74.63 $100.00 $68.84 $106.04 $119.61 ANALYSIS OF SALES The land sales range in unit price from $68.84 to $119.61 per square foot of land area. The sales range in time from February of 2022 to December of 2023. Property Rights The fee simple interest is the property right of the subject property being valued. The comparable sales involved the same type of property rights. Conditions of Sale The sales were arm's-length transactions. An arm's-length transaction is defined as a transaction freely arrived at in the open market unaffected by abnormal pressure or by the absence of normal competitive negotiation as might be true in the case between related parties. Market Conditions The sales range in time from February of 2022 to December of 2023. A slight upward trend in prices is evident for this type of property in this market area over this time period. The unit prices of Sales 1, 2, and 3 require upward adjustments for increasing market conditions. Location The sale sites are all located in the city of Miami. The sale sites are located within a 43/4 mile radius of the subject site. The Sale 4 site is located within one block of the subject site. The locations of the sale sites are considered similar to the location of the subject. The Sale 3 site fronts on a secondary back street in the northeast region of the city of Miami. The location of the Sale 3 site is considered inferior to the location of the subject site. The unit price of Sale 3 requires upward adjustment for an inferior location. Zoning The subject site is zoned in a T5-O zone within the City of Miami zoning ordinance. The sale sites are similarly zoned in T5-O zones. The zonings of the sale sites are similar to the zoning of the subject site. Site Size The sales range in site size from 7,263 to 18,811 square feet. The size of the subject site, at 4,500 square feet, is slightly below the range of sizes of the sales. The sales do not indicate a difference in unit price based on site size. Conclusion The sales range in unit price from $68.84 to $119.61 per square foot of land area. QUINLIVAN APPRAISAL 43 Sale No. 1 2 3 4 5 Price/S. F. $74.63 $100.00 $68.84 $106.04 $119.61 Adjustments Property Rights Conditions of Sale Financing Market Conditions + + + Location = _ + Zoning Site Size Access Total Adjustments + + ++ = = Based on careful analysis of the sales, the subject site is estimated to have a value of $110.00 per square foot of land area. 4,500 Square Feet x $110.00 per Square Foot = $495,000 Land Value Indication (Rounded) $495,000 QUINLIVAN APPRAISAL 44 ADDENDA QUINLIVAN APPRAISAL 45 ASSUMPTIONS AND LIMITING CONDITIONS This Appraisal Report has been made with the following general assumptions: 1. No responsibility is assumed for the legal description or for matters including legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated. 2. The property is appraised free and clear of any or all liens or encumbrances unless otherwise stated. 3. Responsible ownership and competent property management are assumed. 4. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 5. All engineering is assumed to be correct. The plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. 6. If no survey has been furnished to the appraiser, all measurements have been confirmed either in the field, in the plat book or by other reliable sources and are presumed to be accurate. 7 It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. 8. It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and laws unless noncompliance is stated, defined and considered in the Appraisal Report. 9. It is assumed, unless a study has been provided otherwise, that no hazardous material such as asbestos, urea formaldehyde or other toxic waste exists in the property. The existence of a potentially hazardous material could have a significant effect on the value of the property. QUINLIVAN APPRAISAL 46 10. In reference to proposed construction, the real estate taxes and other expenses are Estimated. These amounts are not guaranteed. 11. It is assumed in the valuation of the subject land site, unless a compliance letter has been furnished to us, that the State of Florida Growth Management Act does not prevent the issuance of a building permit. 12. It is assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. 13. It is assumed that the utilization of the land and improvements is within the boundaries of property lines of the property described and that there is no encroachment or trespass unless noted in the report. This Appraisal Report has been made with the following general limiting conditions: 1. The distribution, if any, of the total valuation of this report between land and improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. 2. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualification and only in its entirety. 3. The appraiser herein by reason of this appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. 4. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser, or the firm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval of the appraiser. QUINLIVAN APPRAISAL 47 QUALIFICATIONS OF THE APPRAISER THOMAS F. MAGENHEIMER Experience: 11/84 - Present QUINLIVAN APPRAISAL, P.A. 7300 N. Kendall Drive, Suite 530 Miami, Florida Currently president of Quinlivan Appraisal, P.A., a Real Estate Appraising and Consulting Firm, Established in 1964. Education: University of Richmond, Richmond, Virginia BA - Bachelor of Arts in History (1982) Professional Affiliations: Member of the Appraisal Institute (MAI No. 09166) Real Estate Salesman - State of Florida - Certificate No. 0344882 Certified General Appraiser, State of Florida, License No. RZ 553 Member Sigma Alpha Epsilon Fraternity Qualified as an Expert Witness in the Following Courts: Miami -Dade and Broward County Circuit Courts United States Bankruptcy Court Other Activities: Admissions Committee - South Florida -Caribbean Chapter of the Appraisal Institute - (1992) Newsletter Editor - South Florida -Caribbean Chapter of the Appraisal Institute - (1991 - 1995) President - South Florida -Caribbean Chapter of the Appraisal Institute - (1996) Board of Trustees - Palmer -Trinity School (1989 - 1993) QUINLIVAN APPRAISAL 48 Quinlivan Appraisal has prepared Appraisal Reports for the following: Institutions and Corporations: AT&T Alpha Realty Advisors Archdiocese of Miami Apollo Bank The Bank of America Bank United Barry University Bessemer Trust Company California Bank and Trust Chevron Oil Company Chase Manhattan Bank Chemical Bank Citibank City National Bank of Miami Coamerica Bank Coconut Grove Bank Commerce Bank Commercial Bank of Florida Eastern National Bank Espirito Santo Bank First American Bank First Bank Florida Farm Credit of South Florida First International Bank First National Bank of South Miami Florida International University First Nationwide Bank Florida Memorial College Florida Power and Light Company Florida Rock Industries Greyhound Lines HSBC Hemisphere National Bank Iberia Bank Intercontinental Bank International Bank of Miami, N.A. Jackson Health System Jetstream Financial Credit Union LaSalle National Bank Marine Midland Bank McDonalds Corp. Mellon United National Bank Miami -Dade County Community College Northern Trust Bank of Florida QUINLIVAN APPRAISAL 49 Ocean Bank Pacific National Bank Shell Oil Company Silver Hill Funding South Trust Bank SunTrust Bank TotalBank Trust for Public Lands University of Miami U. S. Century Bank Wachovia Wal-Mart YMCA Governmental Agencies: City of Aventura City of Coral Gables City of Doral City of Florida City City of Hialeah City of Homestead City of Miami City of Miami Parking Authority City of Miami Beach City of Miramar City of North Bay Village City of North Miami City of North Miami Beach City of South Miami City of Sunny Isles Beach Miami -Dade County Aviation Department Miami -Dade County Department of Development & Facilities Management Miami -Dade County HUD Miami -Dade County Property Appraisal Adjustment Board Miami -Dade County Public Schools Miami -Dade County Public Works Department Miami -Dade County Transportation Administration Miami -Dade Water & Sewer Depailinent South Florida Water Management District State of Florida, Attorney General's Office State of Florida, Department of Community Affairs State of Florida, Department of Corrections State of Florida, Department of Environmental Protection State of Florida, Department of Insurance State of Florida, Department of Rehabilitation and Liquidation State of Florida, Department of Transportation Town of Golden Beach QUINLIVAN APPRAISAL 50 Town of Bay Harbor Islands Town of Miami Lakes United States Army Corps of Engineers United States Department of Justice United States Department of Commerce United States Department of the Interior United States General Services Administration Village of Islamorada Village of Key Biscayne Village of Pinecrest Village of Palmetto Bay Law Firms: Akerman Senterfitt Greenberg, Traurig Daniels, Kashton, Downs and Robertson Holland and Knight, LLP Shutts & Bowen Ruden McClosky, LLP Steel, Hector & Davis, LLP Weiss, Serota, Helfman, Pastoriza, Guedes, Cole and Boniske, P.A. Types of Properties Appraised: Single Family Residences Apait,inent Buildings Office Buildings Retail Stores Shopping Centers Condominium Apartment Buildings Golf Courses Residential Subdivisions Automobile Dealerships Vacant Land Hotel/Motels Warehouses Nursing Homes Mobile Home Parks Schools Service Stations Marinas Wetlands QUINLIVAN APPRAISAL 51 APPRAISAL REPORT A 10,000 SQUARE FOOT LAND PARCEL LOCATED AT: 729 N. W. 6TH AVENUE MIAMI, FLORIDA PREPARED FOR: CITY OF MIAMI COMMUNITY REDEVELOPMENT AGENCY 819 N. W. SECOND AVENUE, THIRD FLOOR MIAMI, FLORIDA 33136 As OF: JANUARY 10, 2024 PREPARED BY: QUINLIVAN APPRAISAL, P.A. 7300 NORTH KENDALL DRIVE - SUITE 530 MIAMI, FLORIDA 33156 QUINLIVAN APPRAISAL A PROFESSIONAL ASSOCIATION 7300 NORTH KENDALL DRIVE, SUITE 530 MIAMI, FLORIDA 33156 Thomas F. Magenheimer, MAI State Certified General Appraiser RZ 553 January 17, 2024 Brian Zeltsman, RA Director of Architecture & Development City of Miami Southeast Overtown Park West Community Redevelopment Agency 819 N.W. Second Avenue Miami, Florida 33136 Dear Mr. Zeltsman: Telephone (305) 663-6611 Fax (305) 670-4330 tmagmaigaol.com In accordance with your request and authorization, I have prepared this Appraisal Report covering the following described property: A 10,000 square foot land parcel, located at 729 N. W. 6th Avenue, Miami, Florida The purpose of this Appraisal is to estimate the Market Value of the described property as of January 10, 2024, being one of the dates of personal inspection. This report was prepared in accordance with the requirements of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA) relating to appraisal standards as enumerated in Title 12, Code of Federal Regulation, Part 34 (12CFR34) and in compliance with the most current Uniform Standards of Professional Appraisal Practice (USPAP) as adopted by the Appraisal Standards Board of the Appraisal Foundation. The narrative Appraisal Report that follows sets forth the identification of the property, the assumptions and limiting conditions, pertinent facts about the area and the subject property, comparable data, the results of the investigations and analyses, and the reasoning leading to the conclusions set forth. Mr. Brian Zeltsman January 17, 2024 Page 2 Based on the inspection of the property and the investigation and analyses undertaken, I have formed the opinion that, as of January 10, 2024, the subject property had a Market Value as follows: ONE MILLION ONE HUNDRED THOUSAND DOLLARS $1,100,000 Respectfully submitted, Thomas F. Magenheimer, MAI State -Certified General Appraiser Certification Number: RZ 553 TFM/dm (24-001_C) TABLE OF CONTENTS COVER PAGE TRANSMITTAL LETTR TABLE OF CONTENTS PAGE CERTIFICATION OF VALUE 1 SUMMARY OF SALIENT FACTS AND CONCLUSIONS 3 INTRODUCTION 6 INTRODUCTION 7 IDENTIFICATION OF THE PROPERTY 7 ADDRESS 7 PURPOSE AND DATE OF APPRAISAL 7 INTENDED USE AND USER OF APPRAISAL 7 LEGAL DESCRIPTION 7 PROPERTY RIGHTS APPRAISED 7 DEFINITION OF MARKET VALUE 8 ASSESSMENT AND TAXES 9 OWNER OF RECORDS AND ADDRESS 9 THREE-YEAR HISTORY OF TITLE 9 SCOPE OF THE APPRAISAL 10 LOCATION ANALYSIS 13 NEIGHBORHOOD DATA 14 SITE DATA 18 ZONING 21 HIGHEST AND BEST USE 24 THE APPRAISAL PROCESS 27 LAND VALUE ANALYSIS 29 ADDENDA 45 ASSUMPTIONS AND LIMITING CONDITIONS QUALIFICATIONS CLIENT LIST CERTIFICATION OF VALUE The undersigned hereby certify that, to the best of my knowledge and belief: (A) The statements of fact contained in the report are true and correct. (B) The reported analyses, opinions and conclusions are limited only by the assumptions and limiting conditions set forth, and are my personal, unbiased professional analyses, opinions and conclusions. (c) I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. (D) I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. (E) My engagement in this assignment was not contingent upon developing or reporting predetermined results. (F) The appraisers' compensation for completing this assignment is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. Furthermore, the appraisal assignment was not based on a requested minimum valuation, a specific valuation or the approval of a loan. (G) The appraisers' analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice, and the requirements of the State of Florida for state -certified appraisers. (x) Use of this report is subject to the requirements of the State of Florida relating to review by the Real Estate Appraisal Subcommittee of the Florida Real Estate Commission. (1) Thomas F. Magenheimer has made a personal inspection of the property that is the subject of this report. (J) No one has provided professional assistance to the persons signing this report. QUINLIVANAPPRAISAL 1 (K) The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. (L) The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. (M) The undersigned performed market value appraisals regarding the subject property dated July 27, 2022 and January 13, 2023. As of the date of this report, Thomas F. Magenheimer has completed the requirements under the continuing education program for The Appraisal Institute. -,400€0, 7 41;4,, THOMAS F. MAGENHEIMER, MAI STATE -CERTIFIED GENERAL APPRAISER CERTIFICATION NUMBER: RZ553 QUINLIVANAPPRAISAL 2 SUMMARY OF SALIENT FACTS AND CONCLUSIONS Purpose of Appraisal Market Value Property Rights Appraised Fee Simple Address 729 N. W 6th Avenue, Miami, Florida Legal Description Land Size Zoning The South 50 feet of Lots 9 & 10 and the North 50 feet of Lots 11 & 12, Block 49 North, CITY OF MIAMI NORTH, according to the Plat thereof, as recorded in Plat Book "B", Page 41, of the Public Records of Miami -Dade County, Florida. 10,000 square feet T5-O, Urban Center Zone, Open City of Miami Highest and Best Use Residential or commercial use Estimated Market Value $1,100,000 Date of Value Estimate January 10, 2024 Date of Inspection January 10, 2024 Date of Report January 17, 2024 QUINLIVANAPPRAISAL 3 LOOKING SOUTHEASTERLY AT SUBJECT FROM N. W. 6T11 AVENUE LOOKING NORTHEASTERLY AT SUBJECT FROM N. W. 61H AVENUE QUINLIVANAPPRAISAL 4 LOOKING SOUTHERLY ON N. W. 61n AVENUE — SUBJECT TO LEFT LOOKING NORTHERLY ON N. W. 6TH AVENUE — SUBJECT TO RIGHT QUINLIVANAPPRAISAL 5 INTRODUCTION QUINLIVANAPPRAISAL 6 INTRODUCTION IDENTIFICATION OF THE PROPERTY A 10,000 square foot vacant land parcel. ADDRESS 729 N. W. 6th Avenue, Miami, Florida PURPOSE AND DATE OF APPRAISAL The purpose of this Appraisal is to estimate the Market Value of the subject property as of January 10, 2024, being one of the dates of personal inspection. INTENDED USE AND USER OF APPRAISAL The intended use of this appraisal is to estimate the market value of the described property for a potential purchase of the property. The intended user is the Southeast Overtown/Park West Community Redevelopment Agency of the City of Miami. LEGAL DESCRIPTION The South 50 feet of Lots 9 & 10, and the North 50 feet of Lots 11 & 12, Block 49 North, CITY OF MIAMI, according to the Plat thereof, as recorded in Plat Book "B", Page 41, of the Public Records of Miami -Dade County, Florida PROPERTY RIGHTS APPRAISED The property is appraised in fee simple: a fee without limitations to any particular class of heirs or restrictions, but subject to the limitations of eminent domain, escheat, police power and taxation, as well as utility easements of record. QUINLIVANAPPRAISAL 7 DEFINITION OF MARKET VALUE Market Value means the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised and acting in what they consider their own best interest; (3) a reasonable time is allowed for exposure to the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents a normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. Source: Interagency Appraisal and Evaluation Guidelines, December 10, 2010, Federal, Volume 75, No. 237, Page 77472 QUINLIVANAPPRAISAL 8 ASSESSMENT AND TAXES -2023 The subject property is assessed under the jurisdiction of the City of Miami, Florida. The assessment for the property is established each year as of January 1st by the Miami -Dade County Property Appraiser's Office at 100% of "Just Value." Just Value has been equated to Market Value less closing costs. While the State of Florida requires real estate to be assessed at 100% of Just Value, in reality the ratio of the assessed value to sales price is generally below 100%. Folio Number: 01-0104-090-1120 01-0104-090-1150 County Market Value: Land $ 800,000 Improvements $ 0 Total $ 800,000 Assessed Value: $306,528 Millage Rate: $20.5564 per $1,000 Tax Amount: $9,606.86 OWNER OF RECORDS AND ADDRESS Frontier Fuels Inc., Trustee P. O. Box 6 Georgetown, TX 33136 THREE-YEAR HISTORY OF TITLE According to the Public Records of Miami -Dade County, there have been no sale transfers of the subject property during the past three years. QUINLIVANAPPRAISAL 9 SCOPE OF THE APPRAISAL QUINLIVANAPPRAISAL 10 SCOPE OF THE APPRAISAL The scope of the assignment relates to the extent and manner in which research is conducted, data is gathered and analysis is applied, all based upon the following problem -identifying factors stated elsewhere in this report. This appraisal of the subject has been presented in the form of a Summary Appraisal Report, which is intended to comply with the reporting requirements set forth under Standards Rule 2-2 (b) of the USPAP. Data related to the subject property was derived from various sources including but not limited to the Miami -Dade County Property Appraiser's Office, Miami -Dade County plats, FEMA flood zone maps, Land Development Regulations of the City of Miami, and tax roll information provided by the Miami -Dade County Property Appraiser's Office. Comparable sale sources include the Miami -Dade County Property Appraiser's Office, the Miami -Dade County Clerk of the Courts Office, Board of Realtors' Multiple Listing Services, CoStar, and LoopNet. Sales prices are typically confirmed with a party to the transaction, i.e., buyer, seller, real estate agent or attorney to the transaction. A search for land sales was conducted in the area of the subject. The initial sales period researched was from January of 2022 through the date of valuation. Several other sales were considered, but were not included because there was too wide a difference in physical factors, location and time. QUINLIVANAPPRAISAL 11 ESTIMATED EXPOSURE TIME Exposure time is defined as the estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; a retrospective estimate based upon an analysis of past events assuming a competitive and open market. The overall concept of reasonable exposure encompasses not only adequate, sufficient and reasonable time but also adequate, sufficient and reasonable effort. In estimating a reasonable exposure time for the subject property, the appraisers have taken the following steps: Discussion with buyers, sellers, brokers and/or review of multiple listings of vacant land in the area related to historic marketing periods. Based on the above sources, exposure time is estimated to have been twelve months for the subject property. ESTIMATED MARKETING PERIOD The estimated value of the subject is predicated upon a normal marketing period. A normal marketing period is generally defined as the most probable amount of time necessary to expose and actively market a property on the open market to achieve a sale. Implicit in this definition are the following assumptions: (A) The property will be actively exposed and aggressively marketed to potential purchasers through marketing channels commonly used by sellers and buyers of similar type properties. (B) The property will be offered at a price reflecting the most probable markup over market value used by sellers of similar type properties. (C) A sale will be consummated under the terms and conditions of the definition of Market Value required by the regulation. In order to estimate the marketability of this property, the sales activity in this market area was reviewed over the past three years, multiple listings were reviewed and real estate brokers who operate in this area were interviewed. Based on the above sources, the subject property could be sold within a twelve month time period. QUINLIVANAPPRAISAL 12 LOCATION ANALYSIS QUINLIVANAPPRAISAL 13 NEIGHBORHOOD DATA The subject property is located in the northern periphery of the Central Business District of Miami in an area known as Park West. The site is located on the east side of N. W. 6th Avenue, between, N. W. 7th Street and N. W. 8th Street, three blocks west of Interstate 95, Biscayne Boulevard (U.S. Highway #1) is a north/south traffic artery in the City of Miami. Biscayne Boulevard extends northerly from Brickell Avenue to the Broward County line. The majority of commercial properties in the subject neighborhood front on Biscayne Boulevard. These commercial properties include motels, retail stores, restaurants, and multiple story office buildings. The Overtown area located west of Interstate 95 and north of the Miami River is a mixed use area comprised of low rise apartment buildings and industrial properties. A bridge spanning the Miami River is located at N.W. 7th Avenue, there block southwest of the subject property. Several of the properties located in the area are maritime industrial uses related to the Miami River. The Overtown area, west of N.W. 1st Avenue and north of N.W. 5th Street to N.W. 20th Street, is characterized by a large number of small apaittnent buildings. These buildings were constructed primarily in the late 1940s and 1950s. These buildings generally are in poor to fair condition, with virtually no new private construction in recent years. There are two 30-story high-rise apartment buildings located just north of the former Miami Arena site at N.W. 8th Street and N.W. 1st Avenue. These buildings were constructed on City of Miami land by private developers. The south building, Bayview Towers, was constructed in 1989 and contains 356 units. The north building, Park Place by the Bay, was constructed in 1990 and contains 463 units. The rental rates area relatively reasonable in these buildings. There has been little redevelopment in this area. The stimulus to speculation has been the Performing Arts Center on Biscayne Boulevard at N.E. 13th Street. The construction was completed in 2007. In addition to the speculation related to the Performing Arts Center, the establishment of the Park West Entertainment District by the City in April of 2000 had a positive affect on the property values. The intent of the Ordinance was to eliminate the distance requirements between nightclubs and to actually encourage establishment of clubs in close proximity to one another. It also provides for 24-hour liquor licenses within the district. The Park West Entertainment District is bounded by S.R. 836/I-395 to the north, Biscayne Boulevard to the east, N.E. 7th Street to the south, and North Miami Avenue to the west. Motivated by the liberal provisions of the Park West Entertainment District, in conjunction with greater restrictions being placed on nightclub operators on South Beach, club owners have acquired a number of older industrial buildings and vacant sites in the area - primarily along N.E. 11t Street and N.E. loth Streets. The older buildings have been totally renovated and opened as nightclubs, reportedly with tremendous success. Although no new buildings have been built on vacant sites, several are reportedly planned. QUINLIVANAPPRAISAL 14 The Central Business District of Miami is located just southeast of the Overtown area. The Central Business District is defined with Biscayne Boulevard at the east boundary, N.W./S.W. 1st Avenue to the west, N.E. 5th Street to the north and the Miami River to the south. The Central Business District is comprised of offices, hotels and retail stores. The older buildings were constructed primarily in the period between 1920 and 1940. The newer buildings were constructed primarily in the 1960s and 1970s. Flagler Street is the primarily retail/office street in the Central Business District of Miami. There are a variety of retail stores, department stores and offices fronting along Flagler Street in the Central Business District. Major office buildings in this area of Flagler Street and in the Central Business District include Israel Discount Bank Building, Alfred I. DuPont Building, Bank of Miami, Biscayne Building, City National Bank, Roberts Building, Courthouse Tower, Museum Tower, One Biscayne Tower, Bank of America Tower, SunTrust International Center, Wachovia Financial Center and Miami Center. The Government Center is bordered on the east by the Metrorail Guideway (N.W. 1st Avenue), on the west by Interstate 95, on the south by Flagler Street and on the north by N.W. 5th Street. This is an area zoned for Government/Institutional uses. There are two seven -story State of Florida Office buildings located on the east side of N.W. 2nd Avenue between N.W. 4th Street and N.W. 5th Street. The five -story City of Miami Police Station is located on the west side of N.W. 2nd Avenue, across from the State of Florida Office building. The 29-story Metro -Dade County Government Center is located approximately one mile south of the subject sites on the east side of N.W. 2nd Avenue between N.W. 1st Street and N.W. 3rd Street. This 500,000 square foot office building houses most of the Miami -Dade Government Offices. The former City of Miami Administrative Building (Hickman Building) is located on the northeast corner of N.W. 2nd Street and N.W. 3rd Avenue. The City of Miami moved their administrative office to a larger building in 1992 at S.W. 2nd Avenue and S.W. 4th Street. The Hickman Building now houses Miami -Dade County Parks Depail,uient and the Juvenile Assessment Center. Miami -Dade County has two multi -level parking garages on the north and south sides of N.W. 1st Street, just east of N.W. 3rd Avenue. The Miami -Dade County Cultural Center which contains the Art Museum of Miami -Dade County, the Historical Museum of Southern Florida and Main Branch of the Miami Public Library, is located adjacent to the south of the Miami -Dade County Government Center. The Miami -Dade County Courthouse is located on West Flagler Street at N.W. 1st Avenue. Due to proximity to the courthouse, most offices along Flagler Street are occupied by attorneys and their support services. The Overtown Station of Miami -Dade County's Rapid Transit System, known as Metrorail, is located at N.W. 8th Street and N.W. 1st Avenue. The Metrorail is an elevated track train system QUINLIVANAPPRAISAL 15 which extends north and west through the City of Hialeah to the Palmetto Expressway at N.W. 74th Street, and south to the Dadeland area. The Downtown Metromover emanates from the Government Center Station. The Metromover is an elevated track, remote controlled vehicle system which provides local transportation in the Central Business District. The Metromover track extends southerly to S.E. and S.W. 4th Street, easterly to Biscayne Boulevard, northerly to N.E. and N.W. 5th Street and westerly to N.E. and N.W. 2nd Avenue. The Metromover has nine stations throughout the Central Business District of Miami. Extensions of the Downtown Metromover have been constructed that run to the Omni and Brickell Avenue areas. The Federal Law Enforcement Building, known as the General Services Administration (GSA) Building, is located along the west side of N.E. 1st Avenue, between N.E. 4th and 5th Streets. This 308,000 square foot, 12-story building was recently constructed by the City of Miami in two phases and is leased to the Federal Government. There is one floor of partially sub -level parking, with the top three floors utilized as courtrooms to handle the overflow from the main courthouse. Various governmental offices occupy 100 percent of this building, with the U.S. Attorney's Office and the U.S. Marshall's Service as primary tenants. The U.S. Bureau of Prisons Metropolitan Federal Detention Center was recently built immediately west of the GSA Building. This 22-story facility houses a total of 946 inmates for all four security wards - minimum, low, medium, and maximum. In summary, the subject property is located north of the Central Business District of Miami, in an older multi-family/commercial area known as Overtown, a short distance from the Florida State Office Buildings and the Metro -Dade County Government Center. QUINLIVANAPPRAISAL 16 NEIGHBORHOOD MAP ITiT■Nlii. @J i r .1111 �f 8 Henry �I Reeves Park VI' tb Rt —1111. _� SUBJECT PROPERTY 729 N. W. 6th Avenue 11 Mir iM mai 41 MTh ik Theodore RNW 1311i Gibson Park J NW 12th S11 .* wunuipf...: a A 11 Ll17uL11i1faY nlml7foii. I .1 ■ kik . SAT CAI p 1 e ro ve own 1iiN1 Metro C e me ove Sta trot me QUINLIVANAPPRAISAL 17 SITE DATA QUINLIVANAPPRAISAL 18 SITE DATA Dimensions and Shape: The site is rectangular. The west property line of the site fronts for 100 feet on the east right-of-way line of N. W. 6th Avenue and has a depth easterly of 100 feet. Note: A survey of the site was not provided. The shapes and dimensions of the site are from recorded plats and the Hopkins Plat Book. Area: 10,000 square feet or 0.23 acres (Source: Miami -Dade County Property Appraiser's Office) Topography and Drainage: The site is level and approximately at street grade. Flood Zone: Map No. 12086C0314L (Effective September 11, 2009) IIXII Soil and Subsoil: Areas determined to be outside 0.2% annual chance floodplain The immediate area of the subject site appears to have no unusual soil or subsoil conditions. Unusual conditions would be brought out by test borings. Utilities: Water: Miami -Dade Water and Sewer Department Sewer: Miami -Dade Water and Sewer Depaitinent Electricity: Florida Power & Light Company Telephone: AT & T Street Improvements: N. W. 6rh Avenue is asphalt paved with a dedicated width of 50 feet. N. W. 6th Avenue contains one northbound lane and one southbound lane. QUINLIVANAPPRAISAL 19 SITE SKETCH 63 b1 (1 jl 601 QUINLIVANAPPRAISAL 20 ZONING QUINLIVANAPPRAISAL 21 ZONING Under Ordinance of the City of Miami, Florida. Classification: T5-O URBAN CENTER ZONE - OPEN The urban center zone consists of higher density mixed -use building types that accommodates retail and office uses, row houses, and apartments. A network of small blocks has thoroughfares with wide sidewalks, steady street tree planting and buildings set close to the frontages with frequent doors and windows. Permitted Principal Uses allowed by right include single family residences, duplexes, multifamily housing, dormitory, community residences, home offices, bed & breakfasts, inns, hotels, entertainment establishments, food service establishments, general commercial, offices, recreational facilities, religious facilities, learning center, pre-school, and research facilities. Uses permitted by warrant (administrative process) include auto related facilities, marine related facilities, open air retail, community facilities, infrastructure and utilities, community support facilities, marinas, public parking, transit facilities, childcare, universities, schools, and vocational training. Uses permitted by exception include alcohol beverage service establishments. Development Regulations Minimum Lot Size: 1,200 square feet Maximum Lot Size: 40,000 square feet Minimum Lot Width: 16 feet Maximum Lot Coverage: 60% Floor Lot Ratio: None Minimum Green Space: 10% Maximum Density: 65 dwelling units per acre Setbacks: Front 10 feet Side 0 feet Back 0 feet Maximum Building Height: Five stories Minimum Building Height: Two stories QUINLIVANAPPRAISAL 22 Minimum Offstreet Parking: Principal Dwelling Community Residence Lodging Office Commercial Civic Educational 1.5 spaces per unit 1 space per staff member in addition to required parking 1 space per 5 lodging units 3 spaces per 1,000 square feet 3 spaces per 1,000 square feet 3 spaces per 1,000 square feet of exhibition area 2 spaces per 1,000 square feet QUINLIVANAPPRAISAL 23 HIGHEST AND BEST USE QUINLIVANAPPRAISAL 24 HIGHEST AND BEST USE Fundamental to the concept of value is the theory of highest and best use. Land is valued as if vacant and available for its highest and best use. The Appraisal Institute in The Dictionary of Real Estate Appraisal, Sixth Edition, defines highest and best use as follows: The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and results in the highest value. Land has limited value unless there is a present or anticipated use for it; the amount of value depends on the nature of the land's anticipated use, according to the concept of surplus productivity. Among all reasonable, alternative uses, the use that yields the highest present land value, after payments are made for labor, capital, and coordination, is generally regarded as the highest and best use of the land as though vacant. The highest and best use of a property as improved refers to the optimal use that could be made of the property including all existing structures. The implication is that the existing improvement should be renovated or retained as so long as it continues to contribute to the total market value of the property, or until the return from a new improvement would more than offset the cost of demolishing the existing building and constructing a new one. Estimating the highest and best use of a property comprises four stages of analysis: 1. Possible Use. What uses of the site being appraised are physically possible? 2. Permissible Use (Legal) What uses are permitted by Zoning and Deed Restriction, if any? 3. Feasible Use. Which possible and permissible uses will produce a net return to the owner of the site? 4. Maximally Productive. Among feasible uses, which use will produce the highest net return to the owner of the site? The following four point test must be met in estimating the Highest and Best Use. The use must be legal. The use must be probable, not speculative or conjectural. There must be a profitable demand for such use and it must return to the land the highest net return for the longest period of time. These tests have been applied to the subject property. In arriving at the estimate of Highest and Best Use, the subject site was analyzed as vacant and available for development. QUINLIVANAPPRAISAL 25 Possible Use The site has 100 feet of frontage on N. W. 6th Avenue, a secondary street. The road access and exposure of the site is adequate. The site is 10,000 square feet in size which equates to 0.23 of an acre. The size and street frontage of the subject site would limit its use to a small scale use. The site is rectangular, with street frontage on one side. The site has sufficient street frontage and width to have good functional utility. The size, shape, width and street frontage of the site would indicate small scale use Permissible Use Permissible or legal uses are those uses which are permitted by zoning or deed restrictions. There are presently no known private deed restrictions of record. The site is zoned for mixed commercial and residential uses. The zoning of the site permits most commercial uses, hotels, houses, duplexes, townhouses and apartments. The maximum residential density is 65 dwelling units per acre. The maximum building footprint is 60% of the net lot area. The maximum building height is five stories. Feasible Use/Maximally Productive Use The physical characteristics and zoning of the subject property permit a wide range of potential uses. The possible and permissible uses of the subject site include banks, hotels, office buildings, retail stories and residential uses. The physical characteristics and zoning of the subject property would indicate a small scale use, such as an office building, mixed use office and residential use, hotel, or government building. The site is a middle block location that has street frontage on one side. The site has adequate road access and exposure. The site is located a few blocks from a Metro Rail station. Metro Rail is the mass transit elevated train system of Miami -Dade County. The permissible uses of the subject site include offices, banks, stores, hotels, restaurants, religious facilities, schools, residential uses, and most commercial uses. Conclusion — As Vacant Based on the zoning, physical characteristics, and surrounding uses, the highest and best use of the site is estimated to be for a multiple family and commercial uses. QUINLIVANAPPRAISAL 26 THE APPRAISAL PROCESS QUINLIVANAPPRAISAL 27 APPRAISAL PROCESS The value of a site can be estimated by various methods which include Direct Sales Comparison, Allocation, Extraction, Development Approach, Land Residual or Ground Rent Capitalization. However, the Direct Sales Comparison Approach is the most preferred and utilized technique when sales of comparable sites are available. The other methodologies are indirect techniques which are generally used when an area is primarily built-up and sales of comparable sites are scarce. The Direct Sales Comparison Method of valuing the subject site was relied on due to the availability of recent land sales. In the Direct Sales Comparison Method, sales of similar recently sold sites with a similar highest and best use as the subject site are analyzed, compared and adjusted by time, property characteristics and location to indicate the Market Value of the subject site as though unimproved. The reliability of this approach is dependent upon the availability of comparable sales data, the verification of the sales data, the degree of comparability and the absence of non -typical conditions affecting the sale. Data related to the subject property is derived from various sources including but not limited to the Miami -Dade County Property Appraiser's Office, the Miami -Dade County Clerk's Office, Miami -Dade County plats, FEMA flood zone maps, Land Development Regulations of the City of Miami and tax roll information provided by the Miami -Dade County Property Appraiser's Office. Comparable sale sources include the Miami -Dade County Property Appraiser's Office, Board of Realtors' Multiple Listing Service, Costar, and Loopnet. Sale prices are typically confirmed with a party to the transaction, i.e. buyer, seller, real estate agent or attorney to the transaction. QUINLIVANAPPRAISAL 28 LAND VALUE ANALYSIS QUINLIVANAPPRAISAL 29 LAND VALUE A value estimate is concluded by comparing the subject site to comparable land sales. Generally, the comparable land sales are adjusted by time, property, and location to indicate the Market Value of the subject site as though unimproved. This process is known as the Direct Sales Comparison Method. The Direct Sales Comparison Method is a process of analyzing sales of similar recently sold land parcels in order to derive an indication of the most probable sales price of the site being appraised. The reliability of this approach is dependent upon the availability of comparable sales data, the verification of the sales data, the degree of comparability and the absence of non -typical conditions affecting the sale. The following pages contain sales of similar land sites which have recently sold. Several other sales were considered, but were not included because there was too wide a difference in physical factors, location and time. Various analytical techniques may be used to identify and measure adjustments. The techniques of comparative analysis can be grouped into two categories: quantitative and qualitative. When quantitative analytical techniques are applied, mathematical processes are used to identify which elements of comparison require adjustment and to measure the amount of these adjustments. The primary quantitative techniques, Paired Data Analysis, is a process in which two or more market sales are compared to derive an indication of the size of the adjustment for a single characteristic. Ideally, the sales being compared will be identical in all respects except for the element being measured. Although paired data analysis is a theoretically sound method, it is sometimes impractical because only a narrow sampling of sufficiently similar properties may be available and it is difficult to quantify the adjustments attributable to all the variables. The primary qualitative techniques, Relative Comparison Analysis, is the study of the relationship indicated by market data without recourse to quantification. This technique is utilized because it reflects the imperfect nature of real estate markets. To apply the technique, the appraisers analyze comparable sales to determine whether the comparables' characteristics are inferior, superior, or equal to those of the subject property. A search is made of real estate market for all sales within the subject or competitive locations. While many sales were reviewed, the sales contained herein are considered most comparable to the subject properties as to all major factors of comparison. A photograph of each sale, a summary of the sales, a sales map and a value conclusion follows herein. QUINLIVANAPPRAISAL 30 DATE: PRICE: TYPE INSTRUMENT: RECORDATION: FOLIO NUMBER: GRANTOR: GRANTEE: LEGAL: LOCATION: SITE DESCRIPTION: Dimensions: Size: Zoning: Use at Sale: UNIT PRICE: FINANCING: REMARKS: LAND SALE 1 February 10, 2022 $1,000,000 Special Warranty Deed O. R. Book 33019, Page 2562 01-3124-013-0030 178 NW 54 Street, LLC Upper 54, LLC Lots 3 & 4, less the North 10 feet, Block 1, SECOND AMENDED PLAT OF RAILWAY SHOPS ADDITION, Plat Book 3, Page 183 of the Public Records of Miami -Dade County, Florida. 178 N.W. 54th Street Miami, Florida 100 feet x 134 feet 13,400 Square Feet 0.31 Acres T5-0, Urban Center Zone, Open Vacant $74.63 per square foot of land Conventional first mortgage from Professional Bank of $500,000 at 3.56% interest for 360 months. This property sold previously in April of 2021 for $607,500. QUINLIVANAPPRAISAL 31 SALE 1 QUINLIVANAPPRAISAL 32 LAND SALE 2 DATE: June 3, 2022 PRICE: $1,250,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33243, Page 3950 FOLIO NUMBER: 01-0104-080-2050 GRANTOR: Tricorp, LLC GRANTEE: 749 NW 5th Ave, LLC LEGAL: Lot 8 and the North 50 feet of Lots 9 & 10, Block 48 North, CITY OF MIAMI, Plat Book "B", Page 41 of the Public Records of Miami -Dade County, Florida. LOCATION: 462 N.W. 8th Street Miami, Florida SITE DESCRIPTION: Dimensions: Irregular Size: 12,500 Square Feet 0.29 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Vacant UNIT PRICE: $100.00 per square foot of land FINANCING: Cash REMARKS: This property was on the market for 343 days. QUINLIVANAPPRAISAL 33 SALE 2 QUINLIVANAPPRAISAL 34 LAND SALE 3 DATE: January 6, 2023 PRICE: $500,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33536, Page 1697 FOLIO NUMBER: 01-3112-012-0240 GRANTOR: 8263 NE 1st Ave, LLC GRANTEE: Emprendimientos Rua USA, LLC LEGAL: Lot 2, Block 14, AMENDED PLAT OF BLOCKS 10 TO 17 LITTLE RIVER GARDENS, Plat Book 6, Page 51 of the Public Records of Miami -Dade County, Florida. LOCATION: 8263 N.E. 1st Avenue Miami, Florida SITE DESCRIPTION: Dimensions: 50 feet x 145 feet Size: 7,263 Square Feet 0.17 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Vacant UNIT PRICE: $68.84 per square foot of land FINANCING: Cash REMARKS: There were no sales of this property in the previously five years. QUINLIVANAPPRAISAL 35 SALE 3 QUINLIVANAPPRAISAL 36 LAND SALE 4 DATE: November 29, 2023 PRICE: $860,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33998, Page 1248 FOLIO NUMBER: 01-3218-012-0280 01-3218-012-0290 GRANTOR: Bonna Bella 33-34, LLC GRANTEE: 5453, LLC LEGAL: Lots 33 & 34, less the South 15 feet, BONNA BELLA PLACE, Plat Book 6, Page 175 of the Public Records of Miami -Dade County, Florida. LOCATION: 309 N. E. 54th Street Miami, Florida SITE DESCRIPTION: Dimensions: 81 feet x 50.06 feet Size: 8,110 Square Feet 0.18 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Vacant UNIT PRICE: $106.04 per square foot of land FINANCING: Cash REMARKS: There were no sales of this property in the previously five years. QUINLIVANAPPRAISAL 37 SALE 4 QUINLIVANAPPRAISAL 38 LAND SALE 5 DATE: December 14, 2023 PRICE: $2,250,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 34019, Page 3194 FOLIO NUMBER: 01-3113-000-0600 01-3113-059-0010 01-3113-073-0020 GRANTOR: Arsene Omega GRANTEE: Zig Miami 54, LLC LEGAL: A portion of the SE 1/4 of Section 13, Township 53 South, Range 41 East in Miami -Dade County; Tract "B", GONDAS SUBDIVISION, Plat Book 64, Page 107 of the Public Records of Miami -Dade County, Florida; the South 75 feet of Lot 1 and the South 75 feet of Lot 2, less the West 20 feet, RAILWAY SHOPS FIRST ADDITION, Plat Book 3, Page 200 of the Public Records of Miami -Dade County, Florida. LOCATION: 173 N. W. 54th Street Miami, Florida SITE DESCRIPTION: Dimensions: Irregular Size: 18,811 Square Feet 0.43 Acres Zoning: T5-0, Urban Center Zone, Open Use at Sale: Old store building UNIT PRICE: $119.61 per square foot of land FINANCING: Cash REMARKS: The site is improved with a store building built in 1926. The building is in fair condition. The property was purchased for redevelopment. QUINLIVANAPPRAISAL 39 '1Y111j1i0Ij�l li'Il�i�f�����i,1�i%11� �- I :�IIIY+ III IIILI]lld lfrPit -"� +1•1F' F Id111111 "'flllll 1111.• SALE 5 QUINLIVANAPPRAISAL 40 .d LibertySquare m St _LAPATTAH �t LAND SALE MAP F`'3ortaI 3; LITTLE RIVER 2 11 n45tht Mid I 4\41.r4, fir fir_ SPRING GARDE. Ci NO.: 1IP ea 2 UPPER EAST SIDE Morningside Park 2 3. ai ivl a cA riv,� e". T h fl C-i h Y (6.7 , Keyboard shortcuts = � 4 ri 5 " rda )Sub. QUINLIVANAPPRAISAL 41 SUMMARY OF LAND SALES CHARACTERISTICS SUBJECT SALE 1 SALE 2 SALE 3 SALE 4 SALE 5 DATE OF SALE 2/10/22 6/3/22 1/6/23 11/29/23 12/14/23 SALE PRICE $1,000,000 $1,250,000 $500,000 $860,000 $2,250,000 O.R. BOOK/PAGE 33019/2562 33243/3950 33536/1697 33998/1248 34019/3194 ADDRESS 729 N.W. 6 Ave 178 N.W. 54 St. 462 N.W. 8 St. 8263 N.E. 1 Ave 309 N.E. 54 St. 173 N.W. 54 St. LOCATION 3 Miles NE '/2 Block South 43/4 Miles NE 31/8 Miles NE 3 Miles NE LAND SIZE (SF) 10,000 13,400 12,500 7,263 8,110 18,811 LAND SIZE (ACRES) 0.23 0.31 0.29 0.17 0.18 0.43 ZONING T5-O TS-O T5-O T5-O T5-O T5-O USE Vacant Vacant Vacant Vacant Vacant Old store bldg. PRICE PAID/SF $74.63 $100.00 $68.84 $106.04 $119.61 ANALYSIS OF SALES The land sales range in unit price from $68.84 to $119.61 per square foot of land area. The sales range in time from February of 2022 to December of 2023. Property Rights The fee simple interest is the property right of the subject property being valued. The comparable sales involved the same type of property rights. Conditions of Sale The sales were arm's-length transactions. An arm's-length transaction is defined as a transaction freely arrived at in the open market unaffected by abnormal pressure or by the absence of normal competitive negotiation as might be true in the case between related parties. Market Conditions The sales range in time from February of 2022 to December of 2023. A slight upward trend in prices is evident for this type of property in this market area over this time period. The unit prices of Sales 1, 2, and 3 require upward adjustments for increasing market conditions. Location The sale sites are all located in the city of Miami. The sale sites are located within a 43/4 mile radius of the subject site. The Sale 4 site is located within one block of the subject site. The locations of the sale sites are considered similar to the location of the subject. The Sale 3 site fronts on a secondary back street in the northeast region of the city of Miami. The location of the Sale 3 site is considered inferior to the location of the subject site. The unit price of Sale 3 requires upward adjustment for an inferior location. Zoning The subject site is zoned in a T5-O zone within the City of Miami zoning ordinance. The sale sites are similarly zoned in T5-O zones. The zonings of the sale sites are similar to the zoning of the subject site. Site Size The sales range in site size from 7,263 to 18,811 square feet. The size of the subject site, at 10,000 square feet, is within the range of sizes of the sales. The sales do not indicate a difference in unit price based on site size. QUINLIVAN APPRAISAL 43 Conclusion The sales range in unit price from $68.84 to $119.61 per square foot of land area. Sale No. 1 2 3 4 5 Price/S. F. $74.63 $100.00 $68.84 $106.04 $119.61 Adjustments Property Rights Conditions of Sale Financing Market Conditions + + + Location = _ + Zoning Site Size Access Total Adjustments + + ++ = = Based on careful analysis of the sales, the subject site is estimated to have a value of $110.00 per square foot of land area. 10,000 Square Feet x $110.00 per Square Foot = $1,100,000 Land Value Indication (Rounded) $1,100,000 QUINLIVAN APPRAISAL 44 ADDENDA QUINLIVAN APPRAISAL 45 ASSUMPTIONS AND LIMITING CONDITIONS This Appraisal Report has been made with the following general assumptions: 1. No responsibility is assumed for the legal description or for matters including legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated. 2. The property is appraised free and clear of any or all liens or encumbrances unless otherwise stated. 3. Responsible ownership and competent property management are assumed. 4. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 5. All engineering is assumed to be correct. The plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. 6. If no survey has been furnished to the appraiser, all measurements have been confirmed either in the field, in the plat book or by other reliable sources and are presumed to be accurate. 7 It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. 8. It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and laws unless noncompliance is stated, defined and considered in the Appraisal Report. 9. It is assumed, unless a study has been provided otherwise, that no hazardous material such as asbestos, urea formaldehyde or other toxic waste exists in the property. The existence of a potentially hazardous material could have a significant effect on the value of the property. QUINLIVAN APPRAISAL 46 10. In reference to proposed construction, the real estate taxes and other expenses are Estimated. These amounts are not guaranteed. 11. It is assumed in the valuation of the subject land site, unless a compliance letter has been furnished to us, that the State of Florida Growth Management Act does not prevent the issuance of a building permit. 12. It is assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. 13. It is assumed that the utilization of the land and improvements is within the boundaries of property lines of the property described and that there is no encroachment or trespass unless noted in the report. This Appraisal Report has been made with the following general limiting conditions: 1. The distribution, if any, of the total valuation of this report between land and improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. 2. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualification and only in its entirety. 3. The appraiser herein by reason of this appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. 4. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser, or the firm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval of the appraiser. QUINLIVAN APPRAISAL 47 QUALIFICATIONS OF THE APPRAISER THOMAS F. MAGENHEIMER Experience: 11/84 - Present QUINLIVAN APPRAISAL, P.A. 7300 N. Kendall Drive, Suite 530 Miami, Florida Currently president of Quinlivan Appraisal, P.A., a Real Estate Appraising and Consulting Firm, Established in 1964. Education: University of Richmond, Richmond, Virginia BA - Bachelor of Arts in History (1982) Professional Affiliations: Member of the Appraisal Institute (MAI No. 09166) Real Estate Salesman - State of Florida - Certificate No. 0344882 Certified General Appraiser, State of Florida, License No. RZ 553 Member Sigma Alpha Epsilon Fraternity Qualified as an Expert Witness in the Following Courts: Miami -Dade and Broward County Circuit Courts United States Bankruptcy Court Other Activities: Admissions Committee - South Florida -Caribbean Chapter of the Appraisal Institute - (1992) Newsletter Editor - South Florida -Caribbean Chapter of the Appraisal Institute - (1991 - 1995) President - South Florida -Caribbean Chapter of the Appraisal Institute - (1996) Board of Trustees - Palmer -Trinity School (1989 - 1993) QUINLIVAN APPRAISAL 48 Quinlivan Appraisal has prepared Appraisal Reports for the following: Institutions and Corporations: AT&T Alpha Realty Advisors Archdiocese of Miami Apollo Bank The Bank of America Bank United Barry University Bessemer Trust Company California Bank and Trust Chevron Oil Company Chase Manhattan Bank Chemical Bank Citibank City National Bank of Miami Coamerica Bank Coconut Grove Bank Commerce Bank Commercial Bank of Florida Eastern National Bank Espirito Santo Bank First American Bank First Bank Florida Farm Credit of South Florida First International Bank First National Bank of South Miami Florida International University First Nationwide Bank Florida Memorial College Florida Power and Light Company Florida Rock Industries Greyhound Lines HSBC Hemisphere National Bank Iberia Bank Intercontinental Bank International Bank of Miami, N.A. Jackson Health System Jetstream Financial Credit Union LaSalle National Bank Marine Midland Bank McDonalds Corp. Mellon United National Bank Miami -Dade County Community College Northern Trust Bank of Florida QUINLIVAN APPRAISAL 49 Ocean Bank Pacific National Bank Shell Oil Company Silver Hill Funding South Trust Bank SunTrust Bank TotalBank Trust for Public Lands University of Miami U. S. Century Bank Wachovia Wal-Mart YMCA Governmental Agencies: City of Aventura City of Coral Gables City of Doral City of Florida City City of Hialeah City of Homestead City of Miami City of Miami Parking Authority City of Miami Beach City of Miramar City of North Bay Village City of North Miami City of North Miami Beach City of South Miami City of Sunny Isles Beach Miami -Dade County Aviation Department Miami -Dade County Department of Development & Facilities Management Miami -Dade County HUD Miami -Dade County Property Appraisal Adjustment Board Miami -Dade County Public Schools Miami -Dade County Public Works Department Miami -Dade County Transportation Administration Miami -Dade Water & Sewer Depailiuent South Florida Water Management District State of Florida, Attorney General's Office State of Florida, Department of Community Affairs State of Florida, Department of Corrections State of Florida, Department of Environmental Protection State of Florida, Department of Insurance State of Florida, Department of Rehabilitation and Liquidation State of Florida, Department of Transportation Town of Golden Beach QUINLIVAN APPRAISAL 50 Town of Bay Harbor Islands Town of Miami Lakes United States Army Corps of Engineers United States Department of Justice United States Department of Commerce United States Department of the Interior United States General Services Administration Village of Islamorada Village of Key Biscayne Village of Pinecrest Village of Palmetto Bay Law Firms: Akerman Senterfitt Greenberg, Traurig Daniels, Kashton, Downs and Robertson Holland and Knight, LLP Shutts & Bowen Ruden McClosky, LLP Steel, Hector & Davis, LLP Weiss, Serota, Helfman, Pastoriza, Guedes, Cole and Boniske, P.A. Types of Properties Appraised: Single Family Residences Apait,inent Buildings Office Buildings Retail Stores Shopping Centers Condominium Apartment Buildings Golf Courses Residential Subdivisions Automobile Dealerships Vacant Land Hotel/Motels Warehouses Nursing Homes Mobile Home Parks Schools Service Stations Marinas Wetlands QUINLIVAN APPRAISAL 51 APPRAISAL REPORT A 15,000 SQUARE FOOT LAND PARCEL LOCATED AT: 444 N. W. 7TH STREET MIAMI, FLORIDA PREPARED FOR: CITY OF MIAMI COMMUNITY REDEVELOPMENT AGENCY 819 N. W. SECOND AVENUE, THIRD FLOOR MIAMI, FLORIDA 33136 As OF: JANUARY 10, 2024 PREPARED BY: QUINLIVAN APPRAISAL, P.A. 7300 NORTH KENDALL DRIVE - SUITE 530 MIAMI, FLORIDA 33156 QUINLIVAN APPRAISAL A PROFESSIONAL ASSOCIATION 7300 NORTH KENDALL DRIVE, SUITE 530 MIAMI, FLORIDA 33156 Thomas F. Magenheimer, MAI State Certified General Appraiser RZ 553 January 17, 2024 Brian Zeltsman, RA Director of Architecture & Development City of Miami Southeast Overtown Park West Community Redevelopment Agency 819 N.W. Second Avenue Miami, Florida 33136 Dear Mr. Zeltsman: Telephone (305) 663-6611 Fax (305) 670-4330 tmagmaigaol.com In accordance with your request and authorization, I have prepared this Appraisal Report covering the following described property: A 15,000 square foot land parcel, located at 444 N. W. 7th Street, Miami, Florida The purpose of this Appraisal is to estimate the Market Value of the described property as of January 10, 2024, being one of the dates of personal inspection. This report was prepared in accordance with the requirements of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA) relating to appraisal standards as enumerated in Title 12, Code of Federal Regulation, Part 34 (12CFR34) and in compliance with the most current Uniform Standards of Professional Appraisal Practice (USPAP) as adopted by the Appraisal Standards Board of the Appraisal Foundation. The narrative Appraisal Report that follows sets forth the identification of the property, the assumptions and limiting conditions, pertinent facts about the area and the subject property, comparable data, the results of the investigations and analyses, and the reasoning leading to the conclusions set forth. Mr. Brian Zeltsman January 17, 2024 Page 2 Based on the inspection of the property and the investigation and analyses undertaken, I have formed the opinion that, as of January 10, 2024, the subject property had a Market Value as follows: ONE MILLION TWENTY THOUSAND DOLLARS $1,020,000 Respectfully submitted, Thomas F. Magenheimer, MAI State -Certified General Appraiser Certification Number: RZ 553 TFM/dm (24-001_D) TABLE OF CONTENTS PAGE COVER PAGE TRANSMITTAL LETTR TABLE OF CONTENTS CERTIFICATION OF VALUE 1 SUMMARY OF SALIENT FACTS AND CONCLUSIONS 3 INTRODUCTION 6 INTRODUCTION 7 IDENTIFICATION OF THE PROPERTY 7 ADDRESS 7 PURPOSE AND DATE OF APPRAISAL 7 INTENDED USE AND USER OF APPRAISAL 7 LEGAL DESCRIPTION 7 PROPERTY RIGHTS APPRAISED 7 DEFINITION OF MARKET VALUE 8 ASSESSMENT AND TAXES -2023 9 OWNER OF RECORDS AND ADDRESS 9 THREE-YEAR HISTORY OF TITLE 9 SCOPE OF THE APPRAISAL 10 LOCATION ANALYSIS 13 NEIGHBORHOOD DATA 14 SITE DATA 18 ZONING 21 HIGHEST AND BEST USE 24 THE APPRAISAL PROCESS 27 LAND VALUE ANALYSIS 29 ADDENDA 45 ASSUMPTIONS AND LIMITING CONDITIONS QUALIFICATIONS CLIENT LIST CERTIFICATION OF VALUE The undersigned hereby certify that, to the best of my knowledge and belief: (A) The statements of fact contained in the report are true and correct. (B) The reported analyses, opinions and conclusions are limited only by the assumptions and limiting conditions set forth, and are my personal, unbiased professional analyses, opinions and conclusions. (c) I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. (D) I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. (E) My engagement in this assignment was not contingent upon developing or reporting predetermined results. (F) The appraisers' compensation for completing this assignment is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. Furthermore, the appraisal assignment was not based on a requested minimum valuation, a specific valuation or the approval of a loan. (G) The appraisers' analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice, and the requirements of the State of Florida for state -certified appraisers. (x) Use of this report is subject to the requirements of the State of Florida relating to review by the Real Estate Appraisal Subcommittee of the Florida Real Estate Commission. (1) Thomas F. Magenheimer has made a personal inspection of the property that is the subject of this report. (J) No one has provided professional assistance to the persons signing this report. QUINLIVANAPPRAISAL 1 (K) The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute. (L) The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. (M) The undersigned performed market value appraisals regarding the subject property dated July 27, 2022 and January 13, 2023. As of the date of this report, Thomas F. Magenheimer has completed the requirements under the continuing education program for The Appraisal Institute. 7 41;4, THOMAS F. MAGENHEIMER, MAI STATE -CERTIFIED GENERAL APPRAISER CERTIFICATION NUMBER: RZ553 QUINLIVANAPPRAISAL 2 SUMMARY OF SALIENT FACTS AND CONCLUSIONS Purpose of Appraisal Market Value Property Rights Appraised Fee Simple Address 444 N. W 7th Street, Miami, Florida Legal Description Land Size Zoning Lots 5 & 6, Block 53 North, CITY OF MIAMI NORTH, according to the Plat thereof, as recorded in Plat Book "B", Page 41, of the Public Records of Miami -Dade County, Florida. 15,000 square feet T5-L, Urban Center Zone, Limited City of Miami Highest and Best Use Residential use Estimated Market Value $1,020,000 Date of Value Estimate January 10, 2024 Date of Inspection January 10, 2024 Date of Report January 17, 2024 QUINLIVANAPPRAISAL 3 LOOKING SOUTHEASTERLY AT SUBJECT FROM N. W. 7'n STREET LOOKING SOUTHWESTERLY AT SUBJECT FROM N. W. 71 STREET QUINLIVANAPPRAISAL 4 LOOKING WESTERLY ON N. W.71n STREET — SUBJECT TO LEFT LOOKING EASTERLY ON N. W. 7TH STREET — SUBJECT TO RIGHT QUINLIVANAPPRAISAL 5 INTRODUCTION QUINLIVANAPPRAISAL 6 INTRODUCTION IDENTIFICATION OF THE PROPERTY A 15,000 square foot vacant land parcel. ADDRESS 444 N. W. 7th Street, Miami, Florida PURPOSE AND DATE OF APPRAISAL The purpose of this Appraisal is to estimate the Market Value of the subject property as of January 10, 2024, being one of the dates of personal inspection. INTENDED USE AND USER OF APPRAISAL The intended use of this appraisal is to estimate the market value of the described property for a potential purchase of the property. The intended user is the Southeast Overtown/Park West Community Redevelopment Agency of the City of Miami. LEGAL DESCRIPTION Lots 5 & 6, Block 53 North, CITY OF MIAMI, according to the Plat thereof, as recorded in Plat Book "B", Page 41, of the Public Records of Miami -Dade County, Florida PROPERTY RIGHTS APPRAISED The property is appraised in fee simple: a fee without limitations to any particular class of heirs or restrictions, but subject to the limitations of eminent domain, escheat, police power and taxation, as well as utility easements of record. QUINLIVANAPPRAISAL 7 DEFINITION OF MARKET VALUE Market Value means the most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: (1) buyer and seller are typically motivated; (2) both parties are well informed or well advised and acting in what they consider their own best interest; (3) a reasonable time is allowed for exposure to the open market; (4) payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and (5) the price represents a normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. Source: Interagency Appraisal and Evaluation Guidelines, December 10, 2010, Federal, Volume 75, No. 237, Page 77472 QUINLIVANAPPRAISAL 8 ASSESSMENT AND TAXES -2023 The subject property is assessed under the jurisdiction of the City of Miami, Florida. The assessment for the property is established each year as of January 1st by the Miami -Dade County Property Appraiser's Office at 100% of "Just Value." Just Value has been equated to Market Value less closing costs. While the State of Florida requires real estate to be assessed at 100% of Just Value, in reality the ratio of the assessed value to sales price is generally below 100%. Folio Numbers: 01-0105-030-1020 01-0105-030-1030 County Market Value: Land $ 525,000 Improvements $ 0 Total $ 525,000 Assessed Value: $311,244 Millage Rate: $20.5564 per $1,000 Tax Amount: $7,830.00 OWNER OF RECORDS AND ADDRESS Frontier Fuels Inc., Trustee P. O. Box 6 Georgetown, TX 33136 THREE-YEAR HISTORY OF TITLE According to the Public Records of Miami -Dade County, there have been no sale transfers of the subject property during the past three years. QUINLIVANAPPRAISAL 9 SCOPE OF THE APPRAISAL QUINLIVANAPPRAISAL 10 SCOPE OF THE APPRAISAL The scope of the assignment relates to the extent and manner in which research is conducted, data is gathered and analysis is applied, all based upon the following problem -identifying factors stated elsewhere in this report. This appraisal of the subject has been presented in the form of a Summary Appraisal Report, which is intended to comply with the reporting requirements set forth under Standards Rule 2-2 (b) of the USPAP. Data related to the subject property was derived from various sources including but not limited to the Miami -Dade County Property Appraiser's Office, Miami -Dade County plats, FEMA flood zone maps, Land Development Regulations of the City of Miami, and tax roll information provided by the Miami -Dade County Property Appraiser's Office. Comparable sale sources include the Miami -Dade County Property Appraiser's Office, the Miami -Dade County Clerk of the Courts Office, Board of Realtors' Multiple Listing Services, CoStar, and LoopNet. Sales prices are typically confirmed with a party to the transaction, i.e., buyer, seller, real estate agent or attorney to the transaction. A search for land sales was conducted in the area of the subject. The initial sales period researched was from January of 2022 through the date of valuation. Several other sales were considered, but were not included because there was too wide a difference in physical factors, location and time. QUINLIVANAPPRAISAL 11 ESTIMATED EXPOSURE TIME Exposure time is defined as the estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; a retrospective estimate based upon an analysis of past events assuming a competitive and open market. The overall concept of reasonable exposure encompasses not only adequate, sufficient and reasonable time but also adequate, sufficient and reasonable effort. In estimating a reasonable exposure time for the subject property, the appraisers have taken the following steps: Discussion with buyers, sellers, brokers and/or review of multiple listings of vacant land in the area related to historic marketing periods. Based on the above sources, exposure time is estimated to have been twelve months for the subject property. ESTIMATED MARKETING PERIOD The estimated value of the subject is predicated upon a normal marketing period. A normal marketing period is generally defined as the most probable amount of time necessary to expose and actively market a property on the open market to achieve a sale. Implicit in this definition are the following assumptions: (A) The property will be actively exposed and aggressively marketed to potential purchasers through marketing channels commonly used by sellers and buyers of similar type properties. (B) The property will be offered at a price reflecting the most probable markup over market value used by sellers of similar type properties. (C) A sale will be consummated under the terms and conditions of the definition of Market Value required by the regulation. In order to estimate the marketability of this property, the sales activity in this market area was reviewed over the past three years, multiple listings were reviewed and real estate brokers who operate in this area were interviewed. Based on the above sources, the subject property could be sold within a twelve month time period. QUINLIVANAPPRAISAL 12 LOCATION ANALYSIS QUINLIVANAPPRAISAL 13 NEIGHBORHOOD DATA The subject property is located in the northern periphery of the Central Business District of Miami in an area known as Park West. The site is located on the south side of N. W. 7th Street, between, N. W. 4th Avenue and N. W. 5th Avenue, two blocks west of Interstate 95, Biscayne Boulevard (U.S. Highway #1) is a north/south traffic artery in the City of Miami. Biscayne Boulevard extends northerly from Brickell Avenue to the Broward County line. The majority of commercial properties in the subject neighborhood front on Biscayne Boulevard. These commercial properties include motels, retail stores, restaurants, and multiple story office buildings. The Overtown area located west of Interstate 95 and north of the Miami River is a mixed use area comprised of low rise apartment buildings and industrial properties. A bridge spanning the Miami River is located at N.W. 7th Avenue, there block southwest of the subject property. Several of the properties located in the area are maritime industrial uses related to the Miami River. The Overtown area, west of N.W. 1st Avenue and north of N.W. 5th Street to N.W. 20th Street, is characterized by a large number of small apaittnent buildings. These buildings were constructed primarily in the late 1940s and 1950s. These buildings generally are in poor to fair condition, with virtually no new private construction in recent years. There are two 30-story high-rise apartment buildings located just north of the former Miami Arena site at N.W. 8th Street and N.W. 1st Avenue. These buildings were constructed on City of Miami land by private developers. The south building, Bayview Towers, was constructed in 1989 and contains 356 units. The north building, Park Place by the Bay, was constructed in 1990 and contains 463 units. The rental rates area relatively reasonable in these buildings. There has been little redevelopment in this area. The stimulus to speculation has been the Performing Arts Center on Biscayne Boulevard at N.E. 13th Street. The construction was completed in 2007. In addition to the speculation related to the Performing Arts Center, the establishment of the Park West Entertainment District by the City in April of 2000 had a positive affect on the property values. The intent of the Ordinance was to eliminate the distance requirements between nightclubs and to actually encourage establishment of clubs in close proximity to one another. It also provides for 24-hour liquor licenses within the district. The Park West Entertainment District is bounded by S.R. 836/I-395 to the north, Biscayne Boulevard to the east, N.E. 7th Street to the south, and North Miami Avenue to the west. Motivated by the liberal provisions of the Park West Entertainment District, in conjunction with greater restrictions being placed on nightclub operators on South Beach, club owners have acquired a number of older industrial buildings and vacant sites in the area - primarily along N.E. 11t Street and N.E. loth Streets. The older buildings have been totally renovated and opened as nightclubs, reportedly with tremendous success. Although no new buildings have been built on vacant sites, several are reportedly planned. QUINLIVANAPPRAISAL 14 The Central Business District of Miami is located just southeast of the Overtown area. The Central Business District is defined with Biscayne Boulevard at the east boundary, N.W./S.W. 1st Avenue to the west, N.E. 5th Street to the north and the Miami River to the south. The Central Business District is comprised of offices, hotels and retail stores. The older buildings were constructed primarily in the period between 1920 and 1940. The newer buildings were constructed primarily in the 1960s and 1970s. Flagler Street is the primarily retail/office street in the Central Business District of Miami. There are a variety of retail stores, department stores and offices fronting along Flagler Street in the Central Business District. Major office buildings in this area of Flagler Street and in the Central Business District include Israel Discount Bank Building, Alfred I. DuPont Building, Bank of Miami, Biscayne Building, City National Bank, Roberts Building, Courthouse Tower, Museum Tower, One Biscayne Tower, Bank of America Tower, SunTrust International Center, Wachovia Financial Center and Miami Center. The Government Center is bordered on the east by the Metrorail Guideway (N.W. 1st Avenue), on the west by Interstate 95, on the south by Flagler Street and on the north by N.W. 5th Street. This is an area zoned for Government/Institutional uses. There are two seven -story State of Florida Office buildings located on the east side of N.W. 2nd Avenue between N.W. 4th Street and N.W. 5th Street. The five -story City of Miami Police Station is located on the west side of N.W. 2nd Avenue, across from the State of Florida Office building. The 29-story Metro -Dade County Government Center is located approximately one mile south of the subject sites on the east side of N.W. 2nd Avenue between N.W. 1st Street and N.W. 3rd Street. This 500,000 square foot office building houses most of the Miami -Dade Government Offices. The former City of Miami Administrative Building (Hickman Building) is located on the northeast corner of N.W. 2nd Street and N.W. 3rd Avenue. The City of Miami moved their administrative office to a larger building in 1992 at S.W. 2nd Avenue and S.W. 4th Street. The Hickman Building now houses Miami -Dade County Parks Depail,uient and the Juvenile Assessment Center. Miami -Dade County has two multi -level parking garages on the north and south sides of N.W. 1st Street, just east of N.W. 3rd Avenue. The Miami -Dade County Cultural Center which contains the Art Museum of Miami -Dade County, the Historical Museum of Southern Florida and Main Branch of the Miami Public Library, is located adjacent to the south of the Miami -Dade County Government Center. The Miami -Dade County Courthouse is located on West Flagler Street at N.W. 1st Avenue. Due to proximity to the courthouse, most offices along Flagler Street are occupied by attorneys and their support services. The Overtown Station of Miami -Dade County's Rapid Transit System, known as Metrorail, is located at N.W. 8th Street and N.W. 1st Avenue. The Metrorail is an elevated track train system QUINLIVANAPPRAISAL 15 which extends north and west through the City of Hialeah to the Palmetto Expressway at N.W. 74th Street, and south to the Dadeland area. The Downtown Metromover emanates from the Government Center Station. The Metromover is an elevated track, remote controlled vehicle system which provides local transportation in the Central Business District. The Metromover track extends southerly to S.E. and S.W. 4th Street, easterly to Biscayne Boulevard, northerly to N.E. and N.W. 5th Street and westerly to N.E. and N.W. 2nd Avenue. The Metromover has nine stations throughout the Central Business District of Miami. Extensions of the Downtown Metromover have been constructed that run to the Omni and Brickell Avenue areas. The Federal Law Enforcement Building, known as the General Services Administration (GSA) Building, is located along the west side of N.E. 1st Avenue, between N.E. 4th and 5th Streets. This 308,000 square foot, 12-story building was recently constructed by the City of Miami in two phases and is leased to the Federal Government. There is one floor of partially sub -level parking, with the top three floors utilized as courtrooms to handle the overflow from the main courthouse. Various governmental offices occupy 100 percent of this building, with the U.S. Attorney's Office and the U.S. Marshall's Service as primary tenants. The U.S. Bureau of Prisons Metropolitan Federal Detention Center was recently built immediately west of the GSA Building. This 22-story facility houses a total of 946 inmates for all four security wards - minimum, low, medium, and maximum. In summary, the subject property is located north of the Central Business District of Miami, in an older multi-family/commercial area known as Overtown, a short distance from the Florida State Office Buildings and the Metro -Dade County Government Center. QUINLIVANAPPRAISAL 16 NEIGHBORHOOD MAP Henry Reeves Park SUBJECT PROPERTY 444 N. W. 7th Street fl - 4 SA3 „NW 3rd *St Lummus Park tWV 2nd ti.11 row -.ve awn Metro C e me ove r- Sta trora me' QUINLIVANAPPRAISAL 17 SITE DATA QUINLIVANAPPRAISAL 18 SITE DATA Dimensions and Shape: The site is rectangular. The north property line of the site fronts for 100 feet on the south right-of-way line of N. W. 7th Street and has a depth southerly of 150 feet. Note: A survey of the site was not provided. The shapes and dimensions of the site are from recorded plats and the Hopkins Plat Book. Area: 15,000 square feet or 0.34 acres (Source: Miami -Dade County Property Appraiser's Office) Topography and Drainage: The site is level and approximately at street grade. Flood Zone: Map No. 12086C0314L (Effective September 11, 2009) IIXII Soil and Subsoil: Areas determined to be outside 0.2% annual chance floodplain The immediate area of the subject site appears to have no unusual soil or subsoil conditions. Unusual conditions would be brought out by test borings. Utilities: Water: Miami -Dade Water and Sewer Department Sewer: Miami -Dade Water and Sewer Depaitinent Electricity: Florida Power & Light Company Telephone: AT & T Street Improvements: N. W. 7th Street is asphalt paved with a dedicated width of 50 feet. N. W. 7th Street contains one eastbound lane and one westbound lane. QUINLIVANAPPRAISAL 19 SITE SKETCH 81 ,..a=1••••`• 8 L .e4 30 • .LAS 1 rse' 319.5 38%5 39.6" 30 32 35.5 38.53 0 44s 10) LI I m QUINLIVAN APPRALSAL 20 ZONING QUINLIVANAPPRAISAL 21 ZONING Under Ordinance of the City of Miami, Florida. Classification: T5-L URBAN CENTER ZONE - LIMITED The urban center zone consists of higher density mixed -use building types that accommodates retail and office uses, row houses, and apartments. A network of small blocks has thoroughfares with wide sidewalks, steady street tree planting and buildings set close to the frontages with frequent doors and windows. Permitted Principal Uses allowed by right include single family residences, duplexes, multifamily housing, dormitory, community residences, home offices, bed & breakfasts, inns, hotels, food service establishments, general commercial, offices, recreational facilities, religious facilities, learning center, pre-school, and research facilities. Uses permitted by warrant (administrative process) include entertainment establishments, marine related facilities, open air retail, community facilities, infrastructure and utilities, community support facilities, marinas, public parking, transit facilities, childcare, universities, schools, and vocational training. Uses permitted by exception include alcohol beverage service establishments. Development Regulations Minimum Lot Size: 1,200 square feet Maximum Lot Size: 40,000 square feet Minimum Lot Width: 16 feet Maximum Lot Coverage: 60% Floor Lot Ratio: None Minimum Green Space: 10% Maximum Density: 65 dwelling units per acre Setbacks: Front 10 feet Secondary Frontage 10 feet Side 0 feet Back 0 feet Maximum Building Height: Five stories Minimum Building Height: Two stories QUINLIVANAPPRAISAL 22 Minimum Offstreet Parking: Principal Dwelling Community Residence Lodging Office Commercial Civic Educational 1.5 spaces per unit 1 space per staff member in addition to required parking 1 space per 5 lodging units 3 spaces per 1,000 square feet 3 spaces per 1,000 square feet 3 spaces per 1,000 square feet of exhibition area 2 spaces per 1,000 square feet QUINLIVANAPPRAISAL 23 HIGHEST AND BEST USE QUINLIVANAPPRAISAL 24 HIGHEST AND BEST USE Fundamental to the concept of value is the theory of highest and best use. Land is valued as if vacant and available for its highest and best use. The Appraisal Institute in The Dictionary of Real Estate Appraisal, Sixth Edition, defines highest and best use as follows: The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and results in the highest value. Land has limited value unless there is a present or anticipated use for it; the amount of value depends on the nature of the land's anticipated use, according to the concept of surplus productivity. Among all reasonable, alternative uses, the use that yields the highest present land value, after payments are made for labor, capital, and coordination, is generally regarded as the highest and best use of the land as though vacant. The highest and best use of a property as improved refers to the optimal use that could be made of the property including all existing structures. The implication is that the existing improvement should be renovated or retained as so long as it continues to contribute to the total market value of the property, or until the return from a new improvement would more than offset the cost of demolishing the existing building and constructing a new one. Estimating the highest and best use of a property comprises four stages of analysis: 1. Possible Use. What uses of the site being appraised are physically possible? 2. Permissible Use (Legal) What uses are permitted by Zoning and Deed Restriction, if any? 3. Feasible Use. Which possible and permissible uses will produce a net return to the owner of the site? 4. Maximally Productive. Among feasible uses, which use will produce the highest net return to the owner of the site? The following four point test must be met in estimating the Highest and Best Use. The use must be legal. The use must be probable, not speculative or conjectural. There must be a profitable demand for such use and it must return to the land the highest net return for the longest period of time. These tests have been applied to the subject property. In arriving at the estimate of Highest and Best Use, the subject site was analyzed as vacant and available for development. QUINLIVANAPPRAISAL 25 Possible Use The site has 100 feet of frontage on N. W. 7th Street, a secondary street. The road access and exposure of the site is adequate. The site is 15,000 square feet in size which equates to 0.34 of an acre. The size and street frontage of the subject site would limit its use to a small scale use. The site is rectangular, with street frontage on one side. The site has sufficient street frontage and width to have good functional utility. The size, shape, width and street frontage of the site would indicate small scale use Permissible Use Permissible or legal uses are those uses which are permitted by zoning or deed restrictions. There are presently no known private deed restrictions of record. The site is zoned for mixed commercial and residential uses. The zoning of the site permits most commercial uses, hotels, houses, duplexes, townhouses and apartments. The maximum residential density is 65 dwelling units per acre. The maximum building footprint is 60% of the net lot area. The maximum building height is five stories. Feasible Use/Maximally Productive Use The physical characteristics and zoning of the subject property permit a wide range of potential uses. The possible and permissible uses of the subject site include banks, hotels, office buildings, retail stories and residential uses. The physical characteristics and zoning of the subject property would indicate a small scale use, such as an office building, mixed use office and residential use, hotel, or government building. The site is a middle block location that has street frontage on one side. The site has adequate road access and exposure. The site is located a few blocks from a Metro Rail station. Metro Rail is the mass transit elevated train system of Miami -Dade County. The permissible uses of the subject site include offices, banks, stores, hotels, restaurants, religious facilities, schools, residential uses, and most commercial uses. Conclusion — As Vacant Based on the zoning, physical characteristics, and surrounding uses, the highest and best use of the site is estimated to be for a multiple family and commercial uses. QUINLIVANAPPRAISAL 26 THE APPRAISAL PROCESS QUINLIVANAPPRAISAL 27 APPRAISAL PROCESS The value of a site can be estimated by various methods which include Direct Sales Comparison, Allocation, Extraction, Development Approach, Land Residual or Ground Rent Capitalization. However, the Direct Sales Comparison Approach is the most preferred and utilized technique when sales of comparable sites are available. The other methodologies are indirect techniques which are generally used when an area is primarily built-up and sales of comparable sites are scarce. The Direct Sales Comparison Method of valuing the subject site was relied on due to the availability of recent land sales. In the Direct Sales Comparison Method, sales of similar recently sold sites with a similar highest and best use as the subject site are analyzed, compared and adjusted by time, property characteristics and location to indicate the Market Value of the subject site as though unimproved. The reliability of this approach is dependent upon the availability of comparable sales data, the verification of the sales data, the degree of comparability and the absence of non -typical conditions affecting the sale. Data related to the subject property is derived from various sources including but not limited to the Miami -Dade County Property Appraiser's Office, the Miami -Dade County Clerk's Office, Miami -Dade County plats, FEMA flood zone maps, Land Development Regulations of the City of Miami and tax roll information provided by the Miami -Dade County Property Appraiser's Office. Comparable sale sources include the Miami -Dade County Property Appraiser's Office, Board of Realtors' Multiple Listing Service, Costar, and Loopnet. Sale prices are typically confirmed with a party to the transaction, i.e. buyer, seller, real estate agent or attorney to the transaction. QUINLIVANAPPRAISAL 28 LAND VALUE ANALYSIS QUINLIVANAPPRAISAL 29 LAND VALUE A value estimate is concluded by comparing the subject site to comparable land sales. Generally, the comparable land sales are adjusted by time, property, and location to indicate the Market Value of the subject site as though unimproved. This process is known as the Direct Sales Comparison Method. The Direct Sales Comparison Method is a process of analyzing sales of similar recently sold land parcels in order to derive an indication of the most probable sales price of the site being appraised. The reliability of this approach is dependent upon the availability of comparable sales data, the verification of the sales data, the degree of comparability and the absence of non -typical conditions affecting the sale. The following pages contain sales of similar land sites which have recently sold. Several other sales were considered, but were not included because there was too wide a difference in physical factors, location and time. Various analytical techniques may be used to identify and measure adjustments. The techniques of comparative analysis can be grouped into two categories: quantitative and qualitative. When quantitative analytical techniques are applied, mathematical processes are used to identify which elements of comparison require adjustment and to measure the amount of these adjustments. The primary quantitative techniques, Paired Data Analysis, is a process in which two or more market sales are compared to derive an indication of the size of the adjustment for a single characteristic. Ideally, the sales being compared will be identical in all respects except for the element being measured. Although paired data analysis is a theoretically sound method, it is sometimes impractical because only a narrow sampling of sufficiently similar properties may be available and it is difficult to quantify the adjustments attributable to all the variables. The primary qualitative techniques, Relative Comparison Analysis, is the study of the relationship indicated by market data without recourse to quantification. This technique is utilized because it reflects the imperfect nature of real estate markets. To apply the technique, the appraisers analyze comparable sales to determine whether the comparables' characteristics are inferior, superior, or equal to those of the subject property. A search is made of real estate market for all sales within the subject or competitive locations. While many sales were reviewed, the sales contained herein are considered most comparable to the subject properties as to all major factors of comparison. A photograph of each sale, a summary of the sales, a sales map and a value conclusion follows herein. QUINLIVANAPPRAISAL 30 LAND SALE 1 DATE: April 6, 2022 PRICE: $2,200,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33144, Page 3133 FOLIO NUMBER: 01-3136-021-0820 GRANTOR: Christ's Church of the Living God, Inc. GRANTEE: Lotus Village II, LLC. LEGAL: Lots 4, 11, 13 & 14, Block 6, ERICKSON'S SUBDIVISION, Plat Book "B", Page 88 of the Public Records of Miami -Dade County, Florida. LOCATION: 233 N. W. 14th Terrace Miami, Florida SITE DESCRIPTION: Dimensions: Irregular Size: 31,500 Square Feet 0.72 Acres Zoning: T5-L, Urban Center Zone, Limited Use at Sale: Vacant UNIT PRICE: $69.84 per square foot of land FINANCING: Cash REMARKS: The site is a middle block location. QUINLIVANAPPRAISAL 31 SALE 1 QUINLIVANAPPRAISAL 32 LAND SALE 2 DATE: April21, 2022 PRICE: $1,775,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33182, Page 1675 FOLIO NUMBER: 01-3122-008-2430 01-3122-008-2440 01-3122-008-2450 GRANTOR: Paseo Urbano 41, LLC GRANTEE: MV Real Estate Group, LLC LEGAL: Lot 26, Less the South 10 feet and Lots 27 - 30, Block 11, GARDEN CITY, Plat Book 5, Page 73 of the Public Records of Miami -Dade County, Florida. LOCATION: 3725 N. W. 24th Avenue Miami, Florida SITE DESCRIPTION: Dimensions: 141.9 feet x 195 feet Size: 27,800 Square Feet 0.64 Acres Zoning: T5-L, Urban Center Zone, Limited Use at Sale: Vacant UNIT PRICE: $63.85 per square foot of land FINANCING: Cash REMARKS: This property sold previously in January of 2020 for $827,200. QUINLIVANAPPRAISAL 33 SALE 2 QUINLIVANAPPRAISAL 34 LAND SALE 3 DATE: April 28, 2022 PRICE: $340,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33184, Page 4053 FOLIO NUMBER: 01-3122-008-1450 GRANTOR: Exodia Property Management, LLC GRANTEE: Tropic Court Ventures, LLC. LEGAL: Lot 11, Block 7, GARDEN CITY, Plat Book 5, Page 73 of the Public Records of Miami -Dade County, Florida. LOCATION: 3630 N. W. 22nd Court Miami, Florida SITE DESCRIPTION: Dimensions: 40 feet x 137.5 feet Size: 5,520 Square Feet 0.13 Acres Zoning: T5-L, General Urban Zone, Limited Use at Sale: Vacant UNIT PRICE: $61.59 per square foot of land FINANCING: Cash. REMARKS: This property sold previously in September of 2020 for $185,000. QUINLIVANAPPRAISAL 35 SALE 3 QUINLIVANAPPRAISAL 36 LAND SALE 4 DATE: June 27, 2023 PRICE: $198,000 TYPE INSTRUMENT: Special Warranty Deed RECORDATION: O. R. Book 33792, Page 1700 FOLIO NUMBER: 01-3218-027-0080 GRANTOR: Cimm Devemopment, LLC GRANTEE: 75 NW Street, LLC LEGAL: Lot 10, ROSEDALE, Plat Book 7, Page 100 of the Public Records of Miami -Dade County, Florida. LOCATION: 285 N. E. 55th Street Miami, Florida SITE DESCRIPTION: Dimensions: 50 feet x 68 feet Size: 3,400 Square Feet 0.08 Acres Zoning: T5-L, Urban Center Zone, Limited Use at Sale: Vacant UNIT PRICE: $58.24 per square foot of land FINANCING: Cash REMARKS: This property had no sales in the previous five years. QUINLIVANAPPRAISAL 37 SALE 4 QUINLIVANAPPRAISAL 38 LAND SALE 5 DATE: August 31, 2023 PRICE: $770,000 TYPE INSTRUMENT: Warranty Deed RECORDATION: O. R. Book 33880, Page 418 FOLIO NUMBER: 01-3122-008-1650 GRANTOR: JFC Development One, LLC GRANTEE: Sphere Properties Urbano 16, LLC. LEGAL: Lots 6 & 7, Block 8, GARDEN CITY, Plat Book 5, Page 73 of the Public Records of Miami -Dade County, Florida. LOCATION: 3702 N. W. 23rd Avenue Miami, Florida SITE DESCRIPTION: Dimensions: 80 feet x 137.5 feet Size: 11,040 Square Feet 0.25 Acres Zoning: T5-L, General Urban Zone, Limited Use at Sale: Vacant UNIT PRICE: $69.75 per square foot of land FINANCING: Cash. REMARKS: This property sold previously in June of 2021 for $600,000. QUINLIVANAPPRAISAL 39 SALE 5 QUINLIVANAPPRAISAL 40 e 74' NW 46th St 4 tSt 12 k 28th St N 20th St 1- ON 14th St qw 7th St any Litt L !..AN AL LAPATTAH 4, Ao. Rive, or LAND SALE MAP MODEL CITY Charles Hadley Park CT) aNv. QED oiLV 1410 L Mt NW 29th St 4;; MC z z %ID K N. (.1-1 ✓ h = -In• , 0 ‹ O — oa --i — z (L.` O in C 'NW 46th St P-J rD a u 4.6 ci. < Cli rc - - MIAMI) DESIGN DISTRICT CD • I" , • ' I 11:1 NW 20th St I 11 CUP K > CA ▪ I 6 i I WYNJWOOD 0 !‘t EDGEWATER NE 20th St z m N.) rD .7-- TOWN SQUARE OVERTOWN SPRING GARDEN raw Bth St 7t4,5,, NO.: t tg2 ig4 t tg5 NW 6th St z MaLlriE rr, — Ferre P U3 ... Z _ 3> Mt co < m n CO 0. 0 < Z 0 Keyboar QUINLIVAN APPRAISAL 41 SUMMARY OF LAND SALES CHARACTERISTICS SUBJECT SALE 1 SALE 2 SALE 3 SALE 4 SALE 5 DATE OF SALE 4/6/22 4/21/22 4/28/22 6/27/23 8/31/23 SALE PRICE $2,200,000 $1,775,000 $340,000 $198,000 $770,000 O.R. BOOK/PAGE 33144/3133 33182/1675 33184/4053 33792/1700 33880/418 ADDRESS 444 N.W. 7 St. 233 N.W. 14 Ter. 3725 N.W. 24 Ave 3630 N.W. 22 Ct. 285 N.E. 55 St. 3702 N.W. 23 Ave. LOCATION % Miles NE 3 Miles NW 23/4 Miles NW 31/4 Miles NE 2'/8 Miles NW LAND SIZE (SF) 15,000 31,500 27,800 5,520 3,400 11,040 LAND SIZE (ACRES) 0.34 0.72 0.64 0.13 0.08 0.25 ZONING T5-L T5-L T5-L T5-L T5-L T5-L USE AT SALE Vacant Vacant Vacant Vacant Vacant Vacant PRICE PAID/SF $69.84 $63.85 $61.59 $58.24 $69.75 ANALYSIS OF SALES The land sales range in unit price from $58.24 to $69.84 per square foot of land area. The sales range in time from April of 2022 to August of 2023. Property Rights The fee simple interest is the property right of the subject property being valued. The comparable sales involved the same type of property rights. Conditions of Sale The sales were arm's-length transactions. An arm's-length transaction is defined as a transaction freely arrived at in the open market unaffected by abnormal pressure or by the absence of normal competitive negotiation as might be true in the case between related parties. Market Conditions The sales range in time from April of 2022 to August of 2023. A significant change in prices for land sites in the subject market area is not evident over this time period. The unit prices of the sales do not require adjustments for changing market conditions. Location The sale sites are all located in the city of Miami. The sale sites are located within a 31/4 mile radius of the subject site. The locations of the sale sites are considered similar to the location of the subject. Zoning The subject site is zoned in a T5-L zone within the City of Miami zoning ordinance. The sale sites are similarly zoned in T5-L zones. The zonings of the sale sites are similar to the zoning of the subject site. Site Size The sales range in site size from 3,400 to 27,800 square feet. The size of the subject site, at 15,000 square feet, is within the range of sizes of the sales. The sales do not indicate a difference in unit price based on site size. Access The subject site has frontage on a secondary street. The Sale 1, 2, 3, and 5 sites front on secondary streets. The accesses of the Sale 1, 2, 3, and 5 sites are similar to the subject site. The Sale 4 site fronts on a secondary back street in the northeast region of the city of Miami. The access of the Sale 4 site is considered inferior to the location of the subject site. The unit price of Sale 4 requires upward adjustment for inferior access. QUINLIVAN APPRAISAL 43 Conclusion The sales range in unit price from $58.24 to $69.84 per square foot of land area. Sale No. 1 2 3 4 5 Price/S. F. $69.84 $63.85 $61.59 $58.24 $69.75 Adjustments Property Rights Conditions of Sale Financing Market Conditions Location Zoning Site Size Access = _ _ + _ Total Adjustments = _ _ + _ Based on careful analysis of the sales, the subject site is estimated to have a value of $68.00 per square foot of land area. 15,000 Square Feet x $68.00 per Square Foot = $1,020,000 Land Value Indication (Rounded) $1,020,000 QUINLIVAN APPRAISAL 44 ADDENDA QUINLIVAN APPRAISAL 45 ASSUMPTIONS AND LIMITING CONDITIONS This Appraisal Report has been made with the following general assumptions: 1. No responsibility is assumed for the legal description or for matters including legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated. 2. The property is appraised free and clear of any or all liens or encumbrances unless otherwise stated. 3. Responsible ownership and competent property management are assumed. 4. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 5. All engineering is assumed to be correct. The plot plans and illustrative material in this report are included only to assist the reader in visualizing the property. 6. If no survey has been furnished to the appraiser, all measurements have been confirmed either in the field, in the plat book or by other reliable sources and are presumed to be accurate. 7 It is assumed that there are no hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. 8. It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and laws unless noncompliance is stated, defined and considered in the Appraisal Report. 9. It is assumed, unless a study has been provided otherwise, that no hazardous material such as asbestos, urea formaldehyde or other toxic waste exists in the property. The existence of a potentially hazardous material could have a significant effect on the value of the property. QUINLIVAN APPRAISAL 46 10. In reference to proposed construction, the real estate taxes and other expenses are Estimated. These amounts are not guaranteed. 11. It is assumed in the valuation of the subject land site, unless a compliance letter has been furnished to us, that the State of Florida Growth Management Act does not prevent the issuance of a building permit. 12. It is assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. 13. It is assumed that the utilization of the land and improvements is within the boundaries of property lines of the property described and that there is no encroachment or trespass unless noted in the report. This Appraisal Report has been made with the following general limiting conditions: 1. The distribution, if any, of the total valuation of this report between land and improvements applies only under the stated program of utilization. The separate allocations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. 2. Possession of this report, or a copy thereof, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualification and only in its entirety. 3. The appraiser herein by reason of this appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. 4. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraiser, or the firm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval of the appraiser. QUINLIVAN APPRAISAL 47 QUALIFICATIONS OF THE APPRAISER THOMAS F. MAGENHEIMER Experience: 11/84 - Present QUINLIVAN APPRAISAL, P.A. 7300 N. Kendall Drive, Suite 530 Miami, Florida Currently president of Quinlivan Appraisal, P.A., a Real Estate Appraising and Consulting Firm, Established in 1964. Education: University of Richmond, Richmond, Virginia BA - Bachelor of Arts in History (1982) Professional Affiliations: Member of the Appraisal Institute (MAI No. 09166) Real Estate Salesman - State of Florida - Certificate No. 0344882 Certified General Appraiser, State of Florida, License No. RZ 553 Member Sigma Alpha Epsilon Fraternity Qualified as an Expert Witness in the Following Courts: Miami -Dade and Broward County Circuit Courts United States Bankruptcy Court Other Activities: Admissions Committee - South Florida -Caribbean Chapter of the Appraisal Institute - (1992) Newsletter Editor - South Florida -Caribbean Chapter of the Appraisal Institute - (1991 - 1995) President - South Florida -Caribbean Chapter of the Appraisal Institute - (1996) Board of Trustees - Palmer -Trinity School (1989 - 1993) QUINLIVAN APPRAISAL 48 Quinlivan Appraisal has prepared Appraisal Reports for the following: Institutions and Corporations: AT&T Alpha Realty Advisors Archdiocese of Miami Apollo Bank The Bank of America Bank United Barry University Bessemer Trust Company California Bank and Trust Chevron Oil Company Chase Manhattan Bank Chemical Bank Citibank City National Bank of Miami Coamerica Bank Coconut Grove Bank Commerce Bank Commercial Bank of Florida Eastern National Bank Espirito Santo Bank First American Bank First Bank Florida Farm Credit of South Florida First International Bank First National Bank of South Miami Florida International University First Nationwide Bank Florida Memorial College Florida Power and Light Company Florida Rock Industries Greyhound Lines HSBC Hemisphere National Bank Iberia Bank Intercontinental Bank International Bank of Miami, N.A. Jackson Health System Jetstream Financial Credit Union LaSalle National Bank Marine Midland Bank McDonalds Corp. Mellon United National Bank Miami -Dade County Community College Northern Trust Bank of Florida QUINLIVAN APPRAISAL 49 Ocean Bank Pacific National Bank Shell Oil Company Silver Hill Funding South Trust Bank SunTrust Bank TotalBank Trust for Public Lands University of Miami U. S. Century Bank Wachovia Wal-Mart YMCA Governmental Agencies: City of Aventura City of Coral Gables City of Doral City of Florida City City of Hialeah City of Homestead City of Miami City of Miami Parking Authority City of Miami Beach City of Miramar City of North Bay Village City of North Miami City of North Miami Beach City of South Miami City of Sunny Isles Beach Miami -Dade County Aviation Department Miami -Dade County Department of Development & Facilities Management Miami -Dade County HUD Miami -Dade County Property Appraisal Adjustment Board Miami -Dade County Public Schools Miami -Dade County Public Works Department Miami -Dade County Transportation Administration Miami -Dade Water & Sewer Depailiuent South Florida Water Management District State of Florida, Attorney General's Office State of Florida, Department of Community Affairs State of Florida, Department of Corrections State of Florida, Department of Environmental Protection State of Florida, Department of Insurance State of Florida, Department of Rehabilitation and Liquidation State of Florida, Department of Transportation Town of Golden Beach QUINLIVAN APPRAISAL 50 Town of Bay Harbor Islands Town of Miami Lakes United States Army Corps of Engineers United States Department of Justice United States Department of Commerce United States Department of the Interior United States General Services Administration Village of Islamorada Village of Key Biscayne Village of Pinecrest Village of Palmetto Bay Law Firms: Akerman Senterfitt Greenberg, Traurig Daniels, Kashton, Downs and Robertson Holland and Knight, LLP Shutts & Bowen Ruden McClosky, LLP Steel, Hector & Davis, LLP Weiss, Serota, Helfman, Pastoriza, Guedes, Cole and Boniske, P.A. Types of Properties Appraised: Single Family Residences Apait,inent Buildings Office Buildings Retail Stores Shopping Centers Condominium Apartment Buildings Golf Courses Residential Subdivisions Automobile Dealerships Vacant Land Hotel/Motels Warehouses Nursing Homes Mobile Home Parks Schools Service Stations Marinas Wetlands QUINLIVAN APPRAISAL 51