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\- APPRAISAL REPORT Miami International Links 'K8e|reeseCountry Club Land 1QOZ0VV37thAvenue Miami, Miami -Dade County, FL 33125 PREPARED FOR Ms. Jacqueline Lorenzo Property Management Representative City ofMiami-Department nfReal Estate and Asset Management 444SVVZndAvenue, 3rdFloor Miami, Florida 3313O PREPARED BY Joseph J.8|akA160SAssociates /*� 4�8Ponce De��B���� Suite 41O Miami, FL]B146 � � BL. E JOSEPH J. BLAKE AND ASSOC1ATES INC. REAL ESTATE VALIIATillil AND CaliSIJITIENT 4000 Ponce De Leon Bouhvard, SutSuite 4/0 Mbn 1. 13146 I re: (305) 4484663 I Fax: (105) 448-7077 I tWiwjoseptajblakexotn July Z 2018 Ms, Jacqueline Lorenzo Property Management Representative City of Miami -Department of Real Estate and Asset Management 444 SW 2nd Avenue, 3rd Floor Miami, Florida 33130 Re: Miami international Links - Meireese Country Club Land 1802 NW 37th Avenue Miami, FL 33125 Dear Ms, Lorenzo: As requested, we have prepared an appraisal of the property referenced above presented In the attached Appraisal Report, The purpose of the appraisal is to develop an opinion of: 1) the market value of the fee simple estate of an unspecified portion of the 131,0738 acres of land underlying the Miami international Links - Meireese Country Club, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, and 2) the rental value of a portion of the underlying land, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of Apti110, 2018, The unit value and rental value conclusions are based on the 131.0738-acre size of the subject. If the size of the parcel sold or leased is different in size, these values may be impacted. Briefly described, the subject of this appraisal consists of the 131.0738 acres or 5,709,575 SF of land underlying the Miami International Links - Meireese Country Club. The portion of this overall site that we are appraising has yet to be specified in regards to exact location or size, The parcel Is improved with an 18- hole golf course, with a driving range and practice putting greens. The subject is also improved with four buildings that were constructed from the 1960's to 2000s that are used as a golf learning center, pro shop, full -service restaurant, maintenance building, and other ancillary uses for the 'operation of a golf course. The site is owned by the City of Miami and leased to the current golf course operator, The site is irregular in shape and is level and street grade. The report contains 100 pages plus related exhibits, The appraisal and the attached Appraisal Report have been prepared in conformity with and ate subject to the Code of Professional Ethics and Standard of Professional Appraisal Practice of the Appraisal Institute and the Uniform Standards of Professional Appraisal Practice of the Appraisal Foundation (USPAP), tn preparing this appraisal, we considered the use of the rnost widely recognized to value vacant land: the Sales Comparison Approach. The appraisal is subject to the attached Assumptions and Limiting Conditions and Definition of Market Value, ComoratgrHoriqoarrop, 42S !Road Hallow k,a0,.10Re 424 NjoiNinti, Now '11A 111747. ) (516).827412-22 ftagioial. Miro AtkIna1 Oagoo CiotAgo 1Dalla tras AogWm Mirn 1 Now YOrk-Uty :f :San PrantiMm VilashiRooND C, floe $4,soriyu Aniarkz Tolwo ch-Oa N4giaya 1 Soodoi July 2, 2018 Ms. Jacqueline Lorenzo Page 2 of 2 After an inspection of the 5ubject, and analysis of pertinent physical and economic factors that affect value, we are of the opinion that the market value of the fee simple estate of the subject, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, on a persquare foot basis is: $25.00/SF TWENTY-FIVE DOLLARS PER SQUARE FOOT This unit value conclusion is based on the L3L0738-acre size of the subject. If the size of the parcel sold is different in size, the unit value may be impacted. We are of the opinion that the rental Value of the subject's underlying land, assumin the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21Special Area Plan (SAP) zoning, as of April 10, 2018, on a per square foot .basis is: $1.25/SF ONE DOLLAR TWENTY-FIVE CENTS PER SQUARE FOOT This rental value COricluSiOrt is based: ori the 131,0738-acre size of the subject. If the size of the parcel leased is different in size, the rental value may be impacted. This rental value should be re-evaluated approximately every five years to take into consideration any change in market value, which would have an effect on the market rental rate, Rental rates for land are typically adjusted every five years in the market, This appraisal is based on extraordinary assumptions that we do not consider any current leases in place, The 'As Rezonedvalue estimate in this appraisal is based on the hypothetical condition that the appropriate Special Area Plan (SAP) zoning to build to the property's highest and best use, is in place as of the date of value. The opinionfs) of value are based on exposure times of 6 to 12 months, assuming the property was properly priced and actively marketed. This exposuretime also assumes the hypothetical condition that the subject has been rezoned to its highest and best use. The attached Appraisal Report summarizes the documentation and analysis in support of our conclusions. If you have any CliteSti0i15, please contact the undersigned. We thank you for retaining the services of our firm, Respectfully submitted, JOSEPH J, BLAKE AND ASSOCIATES, INC. 94 J. Michael Phillips Assistant Director Florida -State -Certified General Real Estate Appraiser No. R22281 Expires; November 30, 2018 mphillips@josephjblake.com Ted Allen, MAI, MRICS Managing Partner Florida -State -Certified General Real. Estate Appraiser NQ, R2426 Expires: November 30, 2018 tallen@iosephjblake.COM Miami International' Links- Melreese Country Club Land 18-114-'02 TITLE PAGE TRANSMITTAL LETTER GENERAL ASSUIVIPTIONS & LIMITING CONDIT1ONS. INTENDED USER AND USE OF THE APPRAISAL PERTINENT DATES OF INSPECTION, APPRAISAL VALUE AND REPORT TABLE OF CONTENTS NATIONAL APARTMENT MARKET ANALYSIS IVIIAM I APARTMENT MARKET ANALYSIS . ANALYSIS OF DATA AND ADDENDA Boundary Survey Hood Map Zoning Information Tax information Appraisal Engagement Contract Glossary of Terms Qualifications of the Appraisers JOSEPH J. BLAKE AND ASSOCIATES, INC. REAL ESrATE VAIDA11011 AND COPISOLTING Miami International Littks - Melreese Country Club Land 18..114-02 EXECUTIVE SUMMARY PROPERTY SUMMARY PROPERTY APPRAISED Miami International Links - Melreese Country Club Land PROPERTY ADDRESS 1802 NW 37th Avenue Miami, FL 33125 PARCEL/TAX ID 01-3132-000-0080 and portion of 01-3132-000-0090 PROPERTY LOCATION The subject Is located along the north side of State Road-836, extending from NW 37th Avenue to NW 42nd Avenue, in the City of Miami, Miami -Dade County, Florida. PURPOSE OF THE APPRAISAL The purpose The purpose of the appraisal is to develop an opinion of: 1) the market value of the fee simple estate of an unspecified portion of the 131,1)738 acres of land underlying the Miami international Links - Melreese Country Club, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, and 2) the rental value of a portion of the underlying land, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018. The unit value and rental value conclusions are based on the 131..0738-acre size of the subject. If the size of the parcel sold or leased is different in size, these values may be Impacted, PERTINENT DATES DATE OF INSPECTION April 10, 2018 DATE OF REPORT July 2, 2018 DATE OF 'AS REZONED TO HBU" VALUE April 10, 2018 HIGHEST AND BEST USE AS IMPROVED The subject site is valued as if vacant AS IF VACANT To maximize the utility of the site in relation to the zoning PROPERTY DATA SITE DESCRIPTION Briefly described, the subject of this appraisal consists of the 1.31, 0738 acres or 5,709,575 SF of land underlying the Miami International Links Melreese Country Club. The subject is, improved with an 18-hole golf course, with •a driving range arid practice putting greens. The parcel is also improved with four buildings that were constructed from the 1960Is to 2000's that are used as a golflearning center, pro shop, full - service restaurant maintenance building, and other ancillary uses for the golf course The site is owned by the City of Miami and leased to the current golf operator. Miami International Links CURRENT USE As .of the date of the value opinion(s), the subject was being used,,as, a, golf course., Forpurposesopf this report, the subject Is Valued as vacant land zoned to the highest and best use of the subject under Miami 21 Special Area Plan (SAP), ZONING "CS," Civic Space under the jurisdiction of the City of Miami JOSEPH J. BLAKE AND ASSOCIATES, INC, REM. ESTATE VALUATIOU AND CORSOLTIND 1 Miami International Links - Malreese Country Club Land 18-114-02 CENSUS TRACT 12-086-0049,01 VALUE SUMMARY EXECUTIVE SUMMARY HAS Rezoned to Highest and Best Use" Vide (4/10/2018) Land Value $25,00/S5 Final Value Opinion f25.00/SF This unit value conclusion is based on the 1.31.0738-acre size of the subject. if the size of the parcel sold is different in size, the unit value may be impacted. "As Rezoned to Highest and Best Use Rental Value (4/10/2018) Final Rental Value $1.25/SF This rental value conclusion is based on the 131.0738-acre size of the subject, if the size of the parcel leased is different in size, the rental value may be impacted. The 'As Rezonedvalue estimates in this appraisal are based on the hypothetical condition that the appropriate Special Area Plan (SAP) zoning to build to the property's highest and best use, is in place as of the date of value, JOSEPH J. BLAKE AND ASSOCIATES Rut ESTATE VCAATION AHD CONSOLTINO Miami International Links - Melreese Country Club Land 1&114-02 PHOTOGRAPHS OF THE SUBJECT Subject Facing Southeast North Portion of the Subject Facing Eas es t Portion of the Subject Facing South Subject Facing Northwest East Portion of the Subject Facing North South evation o he Pro Shop uilding SEPI J. BLAKE AND ASSOCIATES, INC. REAL ESTATE VALUATION MI CONSULTING hillami International Links - Nielreese Country Club Land 18-114-02 PHOTOGRAPHS OF THE SUBJECT North Elevation of the Restaurant Building South Elevation of the Learning Center Building Street View of NW 37th Avenue Facing North Tennis Courts Street View of NW 37th Avenue Facing South JOSEPH J. BLAKEAND ASSOCIATES. INC,. REAL ESTA1E VALUATIOtt AND CONSULTINO 4 Miami internatbnal Links - Metreese Country Club Land 18-114-02 CERTIFICATION We, the undersigned, certify that, to the best of our knovviedge and belief: • J. Michael. Phillips, has made a personal inspection of the property that is the subject of this report. Ted Allen, MA, MRCS, has made a personal inspection of the property that is the subject of this report • As of the date of this report, J. Michael Phillips has completed the Standards and Ethics Education Requirements for Candidates/Practicing Affiliates of the Appraisal Institute. As of the date of this report, Ted Allen, MAI MRICS has completed the continuing education program for Designated Members of the Appraisal institute. The statements of fact contained in this report are true and correct, 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, 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. • We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment, • Our engagement in this assignment was not contingent upon developing or reporting predetermined results, • Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction irt 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. The Appraisal Report Is not based on a requested minimum valuation, a specific valuation, or the approval of a loan, in addition, cur engagement was not contingent upon the appraisal producing a specific value and neither engagement, nor erripioyment, nor compensation, is based upon approval of any related loan application. Dur analyses, opinions and conclusions were developed, and this report has been prepared, In conformity with the Uniform Standards of Professiorial Appraisal Practice, • 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, • No one provided significant real property appraisal assistance to the persons signing this certificate The 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. The use of this report is subject to the requirements of the Appraisal institute relating to review by its duly authorized representatives. The appraisers have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding the date of acceptance of this assignment, JOSEPH J. SLAKE AND ASSOCIATES. REAL ESTATE VALUATION AND CONSULTI110 • Miami International 18-11402 Links- se country club Lona CERTIFICATION After an inspection of the subject, and analysis of pertinent physical and economic factors that affect value, we are of the opinion that the market value of the fee simple estate of the subject, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, on a per square foot basis is: $25.00/SF TWENTY-FIVE DOLLARS PER SQUARE FOOT This unit value conclusion is based on the 131.0738-acre size of the subject if the size of the parcel sold is different in size, the unit value may be impacted. We are of the opinion that the rental value of the subject's underlying land, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, on a per square foot basis is: S1.25/SF ONE DOLLAR TWENTY-FIVE CENTS PER SQUARE FOOT This rental value conclusion is based on the 131.0738-acre size of the subject If the size of the parcel leased is different in size, the rental value may be impacted. This rental value should be re-evaluated approximately every five years to take into consideration any •change in market value, which would have an effect on the market rental rate. Rental rates for land are typically adjusted every five years in the market, This appraisal is based on extraordinary assumptions that we do not consider any current teases in place, The 'As Rezonedvalue estimate in this appraisal is based on the hypothetical condition that the appropriate Special Area Plan (SAP) zoning to build to the property's highest and best use, is in place as of the date Of value, The opinion(s) of value are based an exposure times of 6 to 12 months, assuming the property was properly priced and actively marketed. This exposure time also assumes the hypothetical condition that the subject has been rezoned to its highest and best use. Respectfully submitted, JOSEPH J. BLAKE AND ASSOCIATES, INC /86/."," J, Michael Phillips Assistant Director Florida -State -Certified General Real Estate Appraiser No. R22281 Expires: November 30, 2018 mphillips@josephjblake.com Ted Men, MAI, MRICS Managing Partner Florida -State -Certified General Real Estate Appraiser No. R2426 Expires: November 30, 2018 t Ilen .ose h ke.com • JOSEPH J. BLAKE AND ASSOC ArALLSTATE vALLIATION AND CONSilLYINO ATEINC, Miarni intemationai unks routreese country club Land 3.84.1.442 GENERALASSUMPTJ�4S & LIMTfNG CONDITIONS This Appraisal Report is subject to underlying a5umptions and limiting conditions qualifying the information contained in the Report as follows: The valuation opinions(s) apply only to the property specifically identified and described in the ensuing Report Information and data contained in the report, although obtained from public record and other reliable sources and, where possible, carefully checked by us, is accepted as satisfactory evidence upon which rests the final apinion(s) of property value. Ws have made no legal survey, nor have we commissioned one to be prepared, and therefore, reference to a sketch, pLat, diagram or previous survey appearing in the report is only for the purpose of assisting the reader to visualize the property, It is assumed that all Information known to the client and/or the property contact arid relative to the valuation has been accurately furnished and that there are no undisclosed leases, agreements, liens or •other encumbrances affecting the use of the property, unless otherwise noted in this. report. Ownership and management are assumed to be competent and in responsible hands. No responsibility beyond reasonableness is assumed far matters of a legal nature, whether existing or pending. We, by reason of this appraisal, shall not be required to give testimony as expert witness in any legal hearing or before any Court of Law unless justly and fairly compensated for such services, By reason of the Purpose of the Appraisal and the Intended User and Use of the Report herein set forth, the value opinion(s) reported are only applicable to the Property Rights Appraised,. and the Appraisal Report should not be used for any other purpose. Disclosure of the contents of this Appraisal Report is governed by the By-Lavvs and Regulations of the Appraisal institute. Neither all nor any part of the contents of this report (especially any opinions as to value, our identity, or the firm with which we are connected, or any reference to the Appraisal institute or to the MAI Designation) shall be reproduced for dissemination to the public through advertising media, public relations media, news media, sales media or any other public means of communication without our prior COeSeht and written apprcival, We have not been furnished with soil or subsoil tests, unless otherwise noted in this report. Inthe absence of soil boring tests, it is assumed that there are no unusual subsoil conditions or, if any do exist, they tan be or have been corrected at a reasonable cost through the Use of modern construction techniques, This appraisal is based on the conditions of local and national economies, purchasing power of money, and financing rates prevailing at the effective date(s) of value. We are not engineers and any references to physical property characteristics in terms of quality, condition, cost, sUftability, Soil conditions, flood risk, obsolescence, etc,, are strictly related to their ecoriornic impact on the property. No liability is assumed for any engirieering-related issues, >NI!. f•-+*1 JOSEPH J. BLAKE AND ASSOCIATES. IP IltAt ESTA1E VALUATION AND CONStatifli) 7 Whim' •Internotidnal ti:nks Club Land 18-114-02 IrCee Country GENERAL ASSUMPTIONS & LIMITING CONDITIONS Unless otherwise stated in this report, we did not observe the existence of hazardous materials, which may or may not be present on or in the property, The presence of substances such as asbestos, urea - formaldehyde foam insulation, or other potentially hazardous materials, may affect the value of the property. The value opinion is predicated on the assumption that there is rio such material on or in the property that would cause a loss in value or extend their marketing time, No responsibility is assumed for any such conditions, or for the expertise or engineering knowledge required to discover them. The client is urged to retain an expert in this field, if desired. Toxic and hazardous substances, if present within a facility, can introduce an actual or potential lialaility-that may adversely affect marketability and value. Such effects may be in the form of immediate clean-up expense or future liability of cleanup costs (stigma). in the development of our opinion(s) of value, no consideration was given to such liabilities or their impact on value, The client and all intended users release Joseph J, Blake and Associates, inc,, from any and all liability related in any way to environmental matters, Possession of this report or a copy thereof does not imply right of publication, nor use for any purpose by any other than the client to whom it is addressed, without our written consent, Cash Pow projections are forecasts of estimated future operating characteristics and are based on the information and assumptions contained within the Appraisal Report, The achievement of the financial projections will be affected by fluctuating economic conditions •and is dependent upon other future occurrences that cannot be assured. Actual results may well vary from the projections contained herein We do not warrant that these forecasts wilt occur. Projections may be affected by circumstances beyond our current realm of knowledge or control, The Americans with !Disabilities Act (ADA) became effective January 26, 1992. We have not made a specific compliance survey arid analysis of this property to determine whether it is in conformity with the various detailed requirements of the ADA. it is possible that a compliance survey of the property, together with a detailed analysis of the requirements for the ADA, could reveal that the property Is not in compliance with one or more of the requirements of the Act, if so, this fact could have a negative effect upon the value of the property, Unless otherwise stated in this report, we have no direct evidence relating to this issue and we did not consider possible non-compliance with the requirements of the ADA in forming the opinion of the value of the property. EXTRAORDINARY ASSUMPTIONS This appraisal is based on extraordinary assumptions that we do not consider any current Ceases in place. The use of the aforementioned Extraordinary Assumptions might have affected the assignment results. HYPOTHETICAL CONDITIONS The As Rezoned value •estimate in this appraisal is based on the hypothetical condition that the appropriate Special Area Plan (SAP) zoning to build to the property's highest and best use, is in place as of the date of value, JOSEPH J. BLAKE AND ASSOCIATES, INC, REAL ESTATE VALUATION AND COTISLUTINS Miami' lnternrafinnai Lo°nks - M Ireese Country Club Land 18-114.O2 INTRQI.UC IQN PURPOSE QF THE APPRAISAL The purpose of the appraisal is to develop an opinion of.1) the market value of the fee simple estate of an unspecified portion of the 131,0738 acres of land underlying the Miami international Links - l iefreese Country Club, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under ►Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, and 2) the rental value of a portion of the underlying land, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, The unit value and rental value conclusions are based on the 131.0738-acre size of the subject. If the size of the parcel sold or leased is different in size, these values -may be impacted. INTENDED USER AND USE OF THE APPRAISAL The intended user of this appraisal is the client, City of Miami. We assume any affrlates successors and assigns noted herein have the same intended use, knowledge and understanding: as the original named client. The intended use of this appraisal is to assist the client with asset management purposes. This appraisal is not intended to be used by any other parties, for any other reasons, other than those which are stated here. Non -identified parties are not intended users of this report. PERTINENT DATES OF INSPECTION, APPRAISAL VALUE AND REPORT This Appraisal Report, with its analyses, conclusions and final opinions of market value, Is specifically applicable to the following pertinent dates: DATE OF INSPECTION April 10, 2018 DATE OF REPORT July 2, 2018 DATE OF "AS REZONED TO HBI1" VALUE April 10, 2018 DEFINITION OF MARKET VALUE Market value means the most probable price Which a property should bring in a competitive and opera 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 aliowed for exposure In the open market; 4. Payment is made in terms of cash in LI.S. dollars or in terms of financial arrarrgernents eotnparable thereto, and S. 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," Srautc .`1 f:li. $ 34.42, 225.62, 323.2, 564.4 72:22 JOS PH . BLASE AND ASSOCIATES, C.. F a f i E V L Ll t i a` Mil li C fi s ii ii Internn 4-ax ina inks (ulelreese Country Club Lan INTRODUCTION EXPOSURE TIME To form an opinion of exposure time, we considered the exposure times of properties similar to the subject in the same or similar sub -markets that have recently sold and/or conversations with local market participants. used on our research, we are of the opinion that 6 to 12 months is a reasonable exposure time, assuming the property was reasonably priced and actively marketed, as well as assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, MARKETING TIIVIE In order to form opinions of marketing time, we contacted commercial real estate companies active in the subject's area, specifically those focused on commercial properties. Each, broker was asked to estimate the marketing time for a property similar to the subject, used for the same purpose, located in the subject's: area, and at or near the subject's value. While careful to state that the marketing time depends on many factors, these brokers were of the opinion that 6 to 12 months was reasonable. it is our opinion that a marketing time of 6 to 12 months is considered reasonable for the subject property. This marketing time assumes the hypothetical condition that the subject has beenrezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning. According to the PwC Real Estate Investor Survey, fourth quarter 2017, the quoted marketing time for development land properties on a national basis ranged from 3 to 36 months, and averaged 16 months. PROPERTY RIGHTS APPRAISED The subject is appraised onthe basis of a fee simple estate. SCOPE OF THE APPRAISAL The scope of an appraisal assignment is relative to the intended use of the appraisal. The foJlOwing outlines the extent of property inspection, market data collectio.n,verification and analysis performed for this. assignment. Inspection S.Michael Phillips, has m ade a personal inspection of the property that is the subject of this report, Ted Allen, MAI, MRIC'S, has made a personal inspection of the property that is the subject of this report. Since the subject of this report is the land underlying the current. improvements, this inspection included the exterior of the subject. Subject Physical and Economic Chairacterist c The types of information obtained and the sources providing such infrrmatian are de lied i table, rmation Sources Type Received?... Source Toad Map Yes rEMA ing Inforrrnatien Yes County nda ry Survey Yes: Owner Tax Information Yes County Type of Analysis Applied The Sales -Co r parlson Approach was applied In this valuation analysis, S PAKE ATES.NC t t i UAL II 11 RR iJliM Ulatill 1 Miami International Unk Melreese Country Club Land 18-11442 INTRODUCTION Extent of Data Research General economic data arid market data were reviewed. Comparable sales were compiled from published sources including various reliable publications, Market data compiled for this report Mclude a variety of land sales and ground leases. These data are a result of research specific to the market and pertinent to the subject, The data were verified by buyers, sellers, brokers, managers, government officials or other sources regarded as knowledgeable and reliable. Information specific to the subject was provided by the client, owner, and/or representatives of the owner, and is assumed to be correct, Other information, such as zoning and tax records, was obtained from governmental sources. Specific estimates concerning land value, market rent, etc., reflect our judgment based on interpretation of the market data. The reasoning behind such estimates is illustrated within the approach to value. IDENTIFICATION OF THE PROPERTY The property is commonly known as: Miami International Links Melreese Country Club Land. 1802 NW 37th Avenue Mien)), FL 33125 The property is also identified by the Miami -Dade County Tax Assessor's Office as tax parcel ournber(s) 01- 3132-000-0080 and portion of 01-3132-000-0090„ The legal description of the property is assumed to be correct. We have not commissioned a survey, nor have we had one verified by legal counsel, Therefore, we suggest a title company, legal counsel, or other qualified expert verify this legal description before it is used for any purpose. CURRENT USE OF THE SURJECT As of the date of the value opinion(s), the subject was being used as a golf course. For the purposes of this report, the subject is valued as vacant land zoned to the highest and best use of the subject urider Miami 21 Special Area Plan (SAP). HISTORY OF THE SUBJECT The subject is currently owned by the City of Miami Department of P&D Asset Management Division, who has owned the property for more than three years prior to the date of value. The subject site is improved with Miami Mtemational Links-Melreese County Club. The subject site i'leased to the operator of the golf course. We were not provided with the existing lease on the subject. We are not aware of any listings, real property transactions, or ownership transfers pertaining to the subject in the three years prior to the date of the value opinion. Also, we are not aware of the subject being listed for sale or under contract for sale at the time of this appraisal., LiiTit Lit1 JOSEPH J, BLAKE AND ASSOCIATES. REAL ESTATE VALUATION' AND CUTISTILLITTO Miami International Links - Melreese Country Club Land 18-114,02 )asr Valet Area AREA MAP Miramar .) C untry Club • Palm Spnnqs iNitJrtri, fuliarni Lake ow) West Park liallanciala Miami Gardena Opa-lattka „ Hia eah Medley - °oral Miami ;Springs • - 410 - „.= Fontainebleau Westchtnter 1 4 Coral Gebtast, ,,„, '6.::V•,., '''' ', ,1<eada[e lak4.5. Sunset - ' Smith Miami t41 , . Croftsings Kendall PYmectrest tS7-1,) Bily A qtiafie.03, imetto B y Presve , I Beach Aventura - • NO h Miami act) AREA ANALYSIS ibour A • - Surf Ode' Norm Nhanit te . • ..• „ Miami Boa'6h , „• Reber Island r4 81$0.4yTie Map data et2D18 Google INTRODUCTION The Miami -Fort Lauderdale -West Palm Beach Metropolitan Statistical Area (MSA) encompasses Broward, Miami -Dade, Monroe and Paim Beach counties. The subject is located in Miami -Dade County, Florida. Miami -Dade County is located in the southeast portion of Florida's east coast and is the southernmost county situated on Florida's mainland. Miami is the county seat of Miami -Dade County, which Includes many other incorporated areas such as Miami Beach, Key Biscayne, Coral Gables, South Miami, Pinecrest, Aventura, Hialeah and Homestead. Miami -Dade County boasts an excellent geographic lotation, allowing it to serve as a gateway to the Caribbean and Latin America. A tourist destination in itself, it is also within a day's drive to some of Florida's major tourist destination cities. JOSEPH J. BLAKE AND ASSOCIATES, INC. REAL ESTATE VALUATION ANO CONSULTING 12 1 ivila i internatinn 18-114 a2 I Land AREA ANALYSIS Development and growth in Miami -Dade County are often attributed° to the climate, which draws the northern United States tourist trade during the winter months, Miami -Dade County is a recognized banking and finance center, with over 120 financial institutions featuring a growing community of international' banks serving Latin America. This international activity has emerged due to the more than 150 multi- national firms that have established their offices in Miami -Dade in order to direct their Latin American,, Caribbean and in some cases, worldwide operations, The growth in business relations between Latin America and Miami -Dade County has been accompanied by ongoing growth in tourism from Latin America Latin American tourists who enjoy shopping in the United States represent a major demand segment in Miami -Dade County's lodging and retail markets, The concurrency provision in the 1985 Growth Management Act, requires that all water, sewer, roads, schools, parks and storm water facilities necessary to support existing improvements be in place before new construction is permitted, Thus, if a location is deficient in :one or more categories, the :affected infrastructure component must be expanded to support any new construction. A developer may choose to provide the various facilities and/or services necessary to support their project, However, in somecases the pense associated with offsite improvements may reader a project economically unfeasible, Transportation Miami international Airport is the largest gateway between the United States and Latin America, and is one of the largest airline hubs in the United States, owing to its proximity to tourist attractions, local economic growth, large local Latin American and European populations, and strategic location to handle connecting traffic between North America, Latin America, ;and Europe, The Port of Miami is a leader in the maritime industry and home to nearly a dozen of the world distinguished cruise lines. The port offers more cargo sailings to more destinations in the West hemisphere than any other port, and offers access to virtuality every port in the world. lUletroral, is a 21-mile rapid transit system an an elevated railway providing access to Downtown Miami from portions of both south and north Miami -Dade County, It connects with Metromover, a 3Ll-station, five -mile system, that loops through the center of Downtown Miami's CBD< Metrobus provides the feeder system to'Metroraii and bus service to all other parts of Miarn--Dade'-County, A network of 5,640 miles of roadway serves Miami -Dade County, of which 1-95,1-75, Florida's Turnpike, and the Palmetto Expressway (SR-826) are the most utilized north/south highways, while SR-1.12, SR- 2.6 and SR,836 are the most utilized east/west expressways, US-1 and'SR-A1A are also components of this network, Other primary thoroughfares include 1-395 (east/west), 1-195 (east/West), SR-9, SR-94, SR-874, US- 7, US-41 and IJS,441. Education iliaml-Dode County is served by more than 900 public and private secondary and elementary schools. Seven colleges and universities are located In the cqunty;, Miami -Dade College currently offers more that)175 :programs and 1,500 courses, with enrollment of over 160,0O0 students, The University of Miami hi Coral Gables has more than 15,000 degree -seeking students and offers 150 undergraduate and 192 graduate degree programs, Florida International University, with two campuses, 36,000 students and more than 800 full-time faculty, received the nation's fifth largest philanthropic gift in the history of public higher education —the Wolfsonian Museum on Miami Beach, with 70,000 artifacts worth an estimated $75 million, It was donated to the college in 1997 and features a wide array of objects ranging from high art to pop culture. Four-year degree programs are also available at Barry University, St, Thomas University, Florida Memorial College and Miami Christian College, EA DA VAttlittION ARO CgliS ATEs. ti intern tIa in 4- es Country Club Lind AREA ANALYSIS Tourism/Recreation mown mainly for its trendy nightclubs and oceanfront resorts, Miami -Dade County is also recognized center for the fine arts and the performing arts, offering an array of enriching cultural activities. These include the Miami Art Museum, Museum of Contemporary Art, Miami Art Central, Wolfsonian-FIL) and the Lowe Art Museum, which are filled with collections and exhibitions from all parts of the world, Broadway plays, the Repertory Theater, the Philharmonic, the Opera Guifd, and a large number of historical attractions and exhihits.are also favorites. Every year, numerous art festivals make their hypes in Miami, including thld-renowned Coconut rove Arts Festival and Art Basel, The Miami Reach Symphony Orchestra and the Greater Mlarni Opera Association both offer top-notch: performances throughout the year, in addition, the Coconut Grove Playhouse, the Actor's Playhouse and the Gusman Center features a variety of plays, arid dance pieces from local, regional and national troupes, According to the Greater Miami Chamber of Commerce, Miami -Dade County boasts two major medical` networks;: the Jackson Health System and Baptist Health South Florida. Jackson Health Systems the largest. group of medical services in the Southeastern United States, is assembled in a medical complex just west of Downtown Miirrii. At its hub is the University of Miami School of Medicine/Jackson Memorial Medical Center,ranked in the top its of more than 8,000 hospitals :in the nation and situated in the city limits of Miami, In Miami -Dade- County alone,_ there are more than 29,000 health care professionals and 2 hospitals. The extensive network of community hospitals includes; Mount Sinai Medical Center, Columbia Cedars Medical Center, .Hialeah Hospital, Baptist Hospital, Jackson Memorial Hospital, Mercy Hospital and Miami Children's'Hospital,: AREA DEMOGRAPHIC AND INCOME DATA The following data wasobtained from MOODY'S 4NALYTICS:Pre,cis° U.S. Metro oaths July 2017, The full report Is located in the Addenda, and contains additional information about the social, economic, governmental and environmental forces that influence value, ffross111etroprodoet(CO3$ hill %change Total employment (th ) %chanet Unemployment tete (%) Perimat 1 neetite•er*Y4h'(^raj Mediartboaseirald rncomes(-(tits) Papotatian (this) %change Single•family Hermits rg)' Multifamily perntifs FHMA house price(1996Ct1 1p( ) .Moisdy`s Source for Chart 2p13 2014 2.615 2a16 /08,4 111,1 115.0: 1 888 2;52% 887% 11158,5 1,t189,3 1,125.6 1,157 2455* 3:10°k 3365* 2,63%: 7.481s 577% S92°fo 5.4 % 0,68% Z,77% 42,6 43.2 44.6 45,8 2641.7 "2,¢68 2,696.7 2,718.6 31k 1Q2°4 102% R:$5* 2077.0 ;etia.a 2,4 34) Qsa.O 8,654.a 6,444.0 07,44 5232,88 $258 65 $281,47 Source; MOODY'SANAtV17CS1? 4,16%. 4;88%, 475 2,747.4 :ass 2283.1 3;950.3 7,552;8 3,863.3 $303.33 Is" 11,5, Metro SouTh, July 2017 2418 :2p19 s2.02q 2ai21. 2A22- 125.9 133,4 1.26:8 142.9' 149, 4.98% S.IQAS 23B% 4.41% 4,391 1;2 1.q 1,235 5 1,244.6 1,248,8 .1,264,2 2.465 2.02% 0.74% a3S 1.22% 4.238 3.8554 4.35546.1345 5,3254 7.224 5.96°% 'S,6a% 80154 51.8 at`37 S5, 1827;1 2,85.8 3 2,893.3 7473.a:4` 1,355* 1.32°% 1..26* 1,289a 5,836.3 6.3581' 7,021.E 7458, 8,042,6. 6,696.5: $29.1.32- 6287,16, SEPH A E AND ASSOCIATES, INC . TE" y;'lliila'tr AND COil'llliit 14 Miami International Links - elreese Country Club Land 18-114-02 1,400 1,200 1,000 800 600 400 200 0 Total Employment (ths) 9944 Unemployment Rate 10.00% 8.00% 6,00% 4.00% - 2.00% --- 1, ) 4) co ,Sv ci'sr (:11.11 1, 1, 941, $50 $40 $30 - $20 - $10 50 Median Household income (ths) 1, 0) 4) '\ '11) ,Q3* a", c;, o', a," ‘:•• Historic Population Growth (ths) 2,700 2,650 2,600 2,550 2,500 % Change in Employment 4.00% 3.50% 1-- 3.00% 4-- 150% 2.00% 1.50% 1.00% 0.50% AREA ANALYSIS 4" 47 0'\ 4 ,,° 9 4n° ,§Ca. 1°1' 4" 10.00% 8.00% 6,00% 4,00% 2,00% -,- $350 $300 $250 $200 $150 $100 $50 $0 Personal Income Growth ooaaoo cS,* Oz, C;), 1. Existing Home Price (ths 4 4 ,0 ,c0 4447 4Y 99 Projected Population Growth (ths) 2,950 -- 2,900 2,850 2,800 2,750 2,700 2,650 rt, JOSEPHi. BLA E AND ASSOCIATES. INC. REAL ESTATE VALUATION ANO CONSULTINO 5 Miami International Links - Melreese Country Club Land 18-114-02 8,000 7,000 6,000 8,000 4,000 3,000 2,000 Single -Family Permits A. tx y1. •(,) 9„se cp, c 444 12,000 10,000 8,000 6,000 - --- 4,000- T2000', Mu ti-Family Perr le 4) ts eb c;% Y st • 61' 6), 61" A, le I, AREA ANALYSIS CONCLUSION An analysis of South Florida and more specifically, Miami -Dade County, demonstrates that the area has historically been on a path of growth. Previous populaticm growth is primarily due to in-rnigration, with the majority of the migrants coming from within the state, as well as New York, Georgia and international sources. With the recession receding, the values of the County's office, industrial, commercial and residential properties have recovered substantially, with decreased vacancies appearing in office complexes, industrial neighborhoods, and shopping centers, and homes increasing in value. Despite the effects of the recent recession, many of the factors that led to Miami -Dade County's historical success remain in place. Therefore, the county will likely continue to grow. OSEPH J. B AKE AND ASSOCIATES. REU. [STATE VALUATION Alin CONSULTIND 16 Miami International Links -Melreese Country Club Land 18-114-02 ff3 Vagn Gardens Mani Sprmgs ,Ey Intel -national Airport Weal Miami"( NEIGHBORHOOD MAP NEIGHBORHOOD ANALYSIS Giadevrrai ttaklah wttsviLLE qr.„ Y-YE:::2>ol.E'a452maNtammmossEE- ALLADATrAN Wyrtwoad MODEL COY F-)eirrrrr, LITTEErtavaars -V, 0 Mathas D'aq‘el -61 Calle 'Oa Frr CODAt W.A"0 „ • • VI Me* aitti'qz.-;i4 GOLVId INTRODUCTION A property is an integral part of its surroundings and must not be treated as an entity separate and apart from its surroundings. The value of a property is not found exclusively in its physical characteristics; physical, economic, political and sociological forces in the area interact to give value to a property. in order to determine the degree of influence extended by these forces on a property, their past and probable future trends are analyzed, Therefore, in order to form an opinion of the value of a property, an analysis is made of the area in which the property under study is found. This area is referred to as a neighborhood. JOSEPH J. BLAKE AND ASSOC AT S, NC. MAI ESTATE VALUATION MID CONSULTIND 17 Miami international Links- Melreese country Club Land NEIGHBORHOOD ANALYSIS A neighborhood can be a portion of a city, a community or an entire town. It is usually an area which exhibits •a fairly high degree of homogeneity as to use, tenancy and certain other characteristics< Homogeneity is a state of uniform structure or composition throughout. Therefore, in real estate terminology, a homogeneous neighborhood is one in which the property types and uses are similar, A neighborhood is more or less a unified area with somewhat definite boundaries. As a neighborhood's boundaries serve to limit the physical area that exerts germane influences on a property's value, the boundaries may indeed run concurrent with variations in prevailing land uses or physical characteristics. LOCATION The subject is Iodated along the north side of State. Roacf-886, extending from NW 87th Avenue to NW42nd Avenue, in the City of Miami, Miami -Dade County, Florida, The boundaries for the subject's neighborhood can be distinguished by the prevailing land uses as well as thecounty infrastructure. The neighborhood is considered to be State Road-112 (Airport Expressway) to the north,. State Road-836 (Dolphin Expressway) to the south, NW 27d1 Avenue to the east and NW 42°4 Avenue (Leleune Road) to the west. ACCESSIBILITY Access to the area is via Douglas Road (NW 37th Avenue), Leieurie Road (NW 42nd Avenue) and State Road-836 (the Dolphin ExpressvvaY), as well as State Road412 (Airport Expressway), Due to the subject's proximity to the Miami hotel -national Airport, there are several expressways located within the neighborhood, The north boundary of the neighborhood is the Airport EXpressway, which ,extends in an east/west direction from 1riterstate-95 to te.leune Road, This expressvvay continues east into Miami Beach where is known as Interstate-195, The south boundary is the Dolphin Expressway (State Road-836), This limited -access toll road extends east/west adjacent to the south of the subject. This highway commences at Inter-gate-95 arid continues wet to NW 1376 Avenue and Florida's Turnpike Extension, Thisroadway also continues east of Interstate Where it is known as Interstate-395, to Miami Beach, Major north/south arterials within the neighborhood include NW 27"' Avenue and NW 42nd Avenue (teieunt Road), NW 27° Avenue is the eastern boundary of the neighborhood and commences south of the neighborhood fn Coconut Orave and extends north throughout fVliami-Dade County and intd Broward County, This roadway has interchanges within State Road-112 and State Road-836. Leleune Road is the western boundary of the neighborhood and extends north/south throughout much of north and central Miarni-Dade County, These roadways also have interchanges with State Roecl--11.2 and State Road-836. This roadway runs adjacent to Miami international Airport, providing the main ingress/egress to the airport, The subject's neighborhood has excellent access to the majority of Miami -Dade County and the major intercity expressways, DEVELOPIVIENT The subject is located in dose proximity to Miami International Airport (MIA) and is surrounded by a variety of property types, East of the subject are mostly single-family residences, while areas north of the subject are a variety of commercial and fndustrial uses, Miami international Appprt, is Jocated on 3,2301wemcross Leleupe R90 f9) ttiuobject, This airport ,14 was founded in 1928 and offers m6re flights to Latin America and the Carib eart than any other airport in the United States, MIA is the third busiest airport for international passengers in the US, and is first in regards to international freight, The airport generates approximately $33.7 billion annually in business revenue and welcomes 70% of all international visitors to Florida, JOSEPH J. BLAKE AND ASSOCIATES INC, ilfAt tViAlt -VALUATION AND CPI suLroto 18 miIn 14-02: nati Links Meirees ntry Club Land NEIGHBORHOOD ANALYSIS Just north of the subject, along the east side of LeJeune Road, is the Miami I`ntermodal Center, which is a $2 billion transportation hub containing a rental car center, MIA Mover, as well as Miami Central Station which offers connections to Tri-flail and Greyhound Services, Also, east of l.eJeune Road are several hotels located to the east of LeJeune Road providing accommodations to airline travelers. DEMVMOGRAPHICS The Site To Do Business is a service that provides demographic data, including historical, current and forecasted population estimates for a specified region. Patterns of development, density and migration are reflected in the population 'estimates. A survey of the subject area's population and growth rate is summarized in the following charts, followed by a map of the: surveyed area. Summary Population Households Families Average Household Size Owner Occupied Housing Units Renter Occupied Housing Units Median Age Population by Age 0-4 20 - 24 5-34 35-44 45-54 5S-64 +5-74 75 - 84 Househnids by income $15,000 $15,000 - $24, 999 $25,000 - $34,999 $35,000 $49,999 $50,000- $74,999 $75;000. -'$ 99,999 $100,000 - $149,999 000 - $199,999 00+ Medi n Household income Average Hbusehotd Income Per Capita Income 6.6 f 1 mile 19,20% 20,00% 3.10% 18,20% 7..10%: 4,90% 1.40% $32,815 $44,163' $14,497 riographks 2017 2 mile 6 107,094 261,8.52 2 36,861 93,959 4 25,237 60,780. 2.88' 2.75 11,753 Z8,240' 3,264 25,108 65,719 43,6 47,0 419 1 mile 2 mile 3 mite 4.8% 5.3% 5.4% 5.2% 5.4% 55.,1%• 5.1% 5.0% 6.1% 5,5 5.7% 1.3.4% 9%a 12.9% 13.4% 1% 14,4% % 12.4% 10.0%: 6.4% 2..8% 2 mile 23.10% 18.40% 14.90 % 15,70% 14,90 % 6,40% 4,70% 1.10% 0,80% $29,921 542,073 $14,820 5.2%. .9% 14.2%. 12.5%: 9.9%. 6.4%: 7,4% 2.99 3,0% 3 mile 1 mile 2 ,90% 17,40% 17,80%. 17.90% 1,3.90% 11,90% 14.10% 14.30%: 13.30%- 19.10% 6, 0% 9,80%. 5.40%; 7,00% 160% 1,70% 1 % 0.70% $28,769 Y $37,148 $45,484 $51,622. $16,709 $16818' 2022 2 mile 3 mile 17,315 112,095 274,747 5,540, 38,437 98,282. 3,992 26,285• 63,456 .11 2.00 7,76 12,141 29,225 26,296 69,057 43,2 43.0 2 mile 3 miie 5.4% 5.4% 5,2% 5.2% 5,4% a.3 5.2% 44.9 1 mile 4,8% 5.0% 5,5% 5,3%. 4,9%. 1,1.6% 13.2°1 13.6% 14,3% 12.3%, 13.6% 13..3% 13.5% 1.1.0% 6.9% 2.9% Whir: .50% 0% 14,50%. 16,00% 8.90% 5.50% 1.40% 1.00% $33,420 $49,209 $17,204 $1.9,243 11.0 7.0% 3,0% 24.50%. 20% 2.60% f 14,20 8.2.0% 7,10Q 13% 2,20% 745 H LA E AND ASSOCIATES, STATE y;AL Afl li llB liii llllill Miami International Links - Melreese Country Club Land 18-114-02 NEIGHBORHOOD ANALYSIS Trends; 2017 -2022 Annual Rate 1 mile Radius Area State National Population 0,64% 1.36% 0.83% Households 0.54% 1.30% 0.79% Families 0.55% 1,25% 0,71% Owner HHs. 0.50% 1,19% 0.72% Median Household Income 2.51% 2.13% 2.12% 2 mile Radius Area State National Population 0.92% 1.36% 0.83% Househol ds 0.84% 1.30% 0.79% Families 082% 1.25% 0.71% Owner HHs 0.65% 1.19% 0,72% Median Household Income 2,24% 2.13% 2.12% 3 mile Radius Area State National Population 0,97% 1.36% 0.83% Households 0.90% 1.30% 0,79% Families 0.87% 1.25% 0,71% Owner HHs 0.69% 1,19% 0.72% Median Household income 1,99% 2,13% 2.12% Source: Site To Do Business fliateAlt 4 Source: Site To Do Business JOSEPH J. BLAKE AND ASSOCIAT REAL ES TATE VALUATION AND GO tiSULTPIO 20 Miami International Links - 1VIelreese Country Club Land 18-314-02 NEIGHI3�RH000 ANALYSIS LIFE CYCLE A neighborhood's life cycle usually consists of four stages; • •Growth - a period during which the neighborhood gains public favor and acceptance * Stability - a period of equilibrium without marked ains or losses • Decline - a period of diminishing demand • Revitalization a period of renewal, redevelopment, modernization, and increasing demand Source: The Appraisal of Real Estate, 14th Edition The current population within a one -mile ring of the subject consists of 5,392 households with a combined household income of $238 million The population within a 3-mile ring consists of 36,861 households with $1.55 billion in household income. The population within a 5-mile ring consists of 93,959 households with $4,27 billion in household income. The levels of income surrounding the site, as well as being located across the street from Miami International Airport, suggest that investors of various propertytypes would be very interested in the site for potential redevelopment. The subject's area is considered to be in the stability stage of its neighborhood cycle. NEIGHBORHOOD ANALYSIS CONCLUSION in conclusion, we researched many of the influences that could affect the value of properties in the area. This research showed that the neighborhood is being well maintained and does not illustrate factors that could be classified as negative or undesirable, The subject's location near several expressways, its proximity to Miami International Airport and proximity to places of employment and area support services, appear to be positive influences which will support the subject's future success. JUSEPH L auxE AND ASSOCIATES INC. REAL ESTATE VALUATION MO COUSIILT1-110 21 Miami International Unks Melreese ountry Cub Land 18-114-02 MARKET ANALYSIS MARKET ANALYSIS The following Mformation was complied from published sources and is used in conjunction with primary and secondary data to analyze the market trends impacting the value of the subject property, NATIONAL STRIP SHOPPING CENTER MARKET - PWC According to the Pwe Real Estate Ovestor Survey, ist Quarter .2018; Once looked at as recession-1proof and Mterriet-proof investments, many owners of strip shopping centers are becoming more anxious about the impact of growth in online shopping and the entry of Amazon into the grocery business with its •recent porchase of Whole Foods. "The 'Amazon Effect' will continue to erode brick -and -mortar sales," says an Investor. 'Amazon's impact is not done, arid it's a top concern for us and one we need to adapt to," shares another. Other challenges and concerns for investors in this sector include negative headlines about retailers, the late position of the current cycle, instability of junior anchor stores, the growing number of competitive grocery formats, and the likelihood of overpaying for acquisiticms, At the same time, however, Investors see bright spots — strong centers performing well, still low interest rates, and opportunities to buy. Varying degrees of unease, however, are slowing the pace of sales activity as investors complete more due diligence prior to closing deals at a time when most surveyed investorsview this market as favoring sellers (44.0%). While 42„0% of participants view it as neutral, the fewest portion (14,0%) see tt as favoring buyers. (pg, 24) Key Survey Stets National Strip Shopping Center Market First quarter 2018 Current Quarter Last Quarter Tenant Retention Rate 60.0%400.0% sa.twei-loo,o% Average 73,00% 71,00% Months of Free Rent (100-6 0-6-yr lease) 3,00 atm Average % of participants using 44.00% 44,00% MarketConditions, Favor Buyers 14.00% 11,00% Sellers 44.00% 400% Neither 42.00% 46,00Vti Source Pwc Real Estate Investor Survey, it Quarter 2Etla ,EPH J. BLAKE AND ASSOCIATES REAL ESTAIF, VALLICHON Afl ONSULHNO 22 Miami Inter al LI ks MeIroee Country Club and id-114-02 MARKET ANALY IS National Market Yield Rates for Real Estate Investments National Strip Shopping Center Market First Quarter 2018 Current Quarter Last Quarter Year Ago Discount Rate (tRR) 5.50%40.50% 5.50%-10.50% 5.00%-10.50% Average 7.46% 7,50% 7.39% Overall Cap Rate (OAR) 4.00%-9.50% 4.00%-9.50% 440%-9.50% Average 6.36% 6.38% Residual Cap Rate 4.75%-9,75% 4,75%-9.75% 4,75%-9.75% Average 6,84% 6.80% 6,56% Market Rent Change Rate O,00%�O% 0.00%t3.00% 0,00%-3,00% Average 1.82% 122% L.83% Expense Change Rate Average 0,.00%-3,00% 0,00%-3,00% 1100%-3.00% 2.57% 2,57% 2.69% Marketing Time Range 2-18 months 2-1,8 months 2-12 months Average 6.8 6,8 6,3 Source: PwC Real Estate lovestorSurvey, lst Quarter 2018 SOSEPH J. BLAKE AND ASSOCIATES,INC. HAL ESTAlt VAIIHITION CONSAILINO 23 Miami international Links- Meireese Country Club Land 18-11442 MARKET ANALYSIS NATIONAL STRIP SHOPPING CENTER MARKET - REALTYRATES.COM According to the ReoltyRates,com investor Survey, 1st Quarter 2018, the following tables summarize prevailing mortgage terms and resulting built-up overall capitalization rates (OAR's) via debt coverage ratio and band of investment techniques, together with OAR's from consummated transactions as reported by survey respondents based on actual net operating income (Not) exclusive of reserves and actual sales price exclusive of deferred maintenance. These data are for class A and B properties nationwide, Mortgage terms and equity dividend rates are likewise national rates as reported by survey respondents, RealtyRateS.com Investor Survey Retail - All Types First Quarter 2018 Item Input OAR Minimum Spread Over 10-Year TreaSury 0.76% Debt Coverage Ratio 1,05 Dcli Technique 1.05 )e 0,043727 x 0,90 ..-= 4,13% interest Rate 3,11% Band of investment Technique Amortization '40 Mortgage 90% x 0,043722 '..--. 0.039350 Mortgage Constant 0,043772 Equity 10% x 0,079479 = 0.00794B than -to -Val ue Ratio 90% OAR 0.039350 + 0.007948 . 4,73% Equity Dividend Rate 7,95% Surveyed Rates 4.49% Maximum Spread, Over 10-Year Treasury 7.66% Debt Coverage Ratio 2.15 DCR Techniqoe 7.15 x 01,29076 x 0,50 Interest Rate 10,01% Band of Investment Technique Amortization 15 Mortgage 50% x 0.179076 .. 0,064513 Mortgage Consta n't 0.1.79076 Equity 50% x 0.17968 = 0089840 than -to -Value Ratio 50% OAR 0.064513 ÷ 0089840 = 15.44% Equity Dividend Rate 17.97% Surveyed Rates 14.66% Average Spread Over 10-Year Treasury 3.13% Debt Coverage Ratio 1.38 DCR Technique 1.38 x 0.073392 x 71% ---t. 7.16% interest Bate 5.48% Band of Investment Technique Amorti za ft on 25 Mortgage 71% x 0.073397 -,-. 0.051751 Mortgage Constant 0,073392 Equity 79% x '013459 -= 0039687 Loa n-to-Val tte Ratio 70.5% OAR 0.051751 + 0,039687 = 9,14% 9,97% Equity DiVi demi Rate 13.50% Surveyed Rates source; Rea ltyRa tes,rom Investor survey, lst ctuarter,2018 JOSEPH J. BLAKE AND ASSOC!AIES, fN. REAL EST 111 E VALUATION AN C0RSA-U-1HG 24 mi Internati 14-02 I Link Coon Club Land MARKET ANALYSIS The following tables summarize discount and equity dividend rates reported by survey respondents. in all cases, rates wore derived from Class A and B properties nationwide and are exclusive of reserves, Notethat "Recapitalizations" refers to re -financing under current use, Property Type Reta i I Anchored tin -Anchored Convenience/Gas Free Standing Property Type Retail Anchored Uri-Artc hared: Convenience/Gas, Free Standing RealtyRates.com Investor Survey Retail - Discount Rates First Quarter 2018 New Development Acquisitions Min. Max. Avg. Min, Max, Avg, 6.47% 17.06% 12,48% 5.5.6% 14.67% 10.69% 6.47% 15.6996- 12.51% 5.5 % 13.49% 10.76% 7,23% 17,06% 13.20% 6.2'% 14.67% 7.5696 17.16% 10.93% 6 St1% 14.76% 9.40% W 16.68% 13.01% 5.89% 14.34% 11.1596 re; Re ltyRates,eo Investor Survey, lst Qu, rter 2018 ReattyRates.com investor Survey Retail - Equity Dividend Rates First Quarter 2018 Ivlii. Max. 7.95% 17,97% 7.95°% 16,77% 17,97° 17.37% 7,90% 17.72% Avg, 13,46% 11.92% 12,57% 12.24% 12.09% Sure RealtyRates,crin Investor Survey, 1St Quarter 2018 Rec; Min. 6.34% 6.34% % 7,09% 7.40% 6,71% 16.72% 15,38% 16,72✓. 11. i2% 16.34% tioris Avg, 12,.18% 12.26% 12.94% 10,71% 12.75% MIAMI RETAIL. MARKET ANALYSIS According to the Costar erket Analysis and Forecast,:April 2018, strong demand helped the market weather a wave of deliveries throughout the first half of 2017, and vacancies have remained welt below the national average„ Developers are busy -bringing new product to key locations within the metro, focusing on urban -core submarkets as well as high -income north suburban ones. The highest -end luxury retail receives a lot of investor attention, particularly in Miami Beach and the new Design District, but assets there are pricey. Demographics are solid, and development is expected to remain very strong for the next few years, KEY 1NDLCATORS Ouiirter a older Center NefigibOrVOISCetliar StriP Center General Retail Other taerez: 14nr�ttet Trend nge 1YOYl fes SF Rent Growth Sales [#lt1 34,511,628 2,8 854,005 135,192,381 12 tartan Vacancy Rate .44 930.08 40 Historical - Average A 34% 3.5% 1,479,149 1,495,374 • 450 Source C -p"91t1X1tr . 450,000 0 42,053 14,129 0.901f. 15 041' 0 3.001 10,215 4 1,561414 2.5t�0 0 0 5.9% -= 57,246 14.129 2,012,714 Peat 5,1° 4,5999,273 4,008,895 When Tratten NlI1eRt 200903 2?1 200704 200703 389,119> 201001 2009 01 412,.2 r 1. 2011 03 200701 -4.5% 2009:04 2016 t 4 9228.4 94 4 JOS REAL .AKE AND STATEV LUAUINli AND Colts 25 Miami Internationak Links - tVielreese Country Club Land 1.8-1L4-02 MARKET ANALYSIS Fundamentals Wealthy foreign shoppers have helped fuel retail spending and employment growth, overall employment gains in the leisure and hospitality sector have resulted from an increase in tourists and shoppers in Miami's favorite districts. In the next few years, escalating deliveries, particularly in the Downtown Solarriarket and Wynwood Art District, may soften those submarketsr fundamentals a bit, but longer -term demographic trends should continue. In fact, Miami boasts some of the lowest historical vacancies in the country. So, •even with an uptick in large-scale speculative deliveries, vacancy is ultimately expected to stay well below both market and national historical averages, Retail space in IVIiarni tends to be productive and high end. In fact, Bal Harbour Shops are consistently among the best -performing luxury retail spaces inthe country, with sales of over $3,000/SF. Iriari effort to capitalize on strong fundamentals and to compete with the developing luxury shops in the Design District, Whitman Family Development (the Bat Harbour owner group) has recently obtained financing to expand the shops and begin the build -out of an additional 340,000 SF of retail. As the economic recovery broadens, consumption is expected to continue to expand, underpinning an improving demand outlook that should drive near -term retail sales and employment. Brickell and Downtown Miami are the primary urban shopping districts that will capture increased demand from white-collar employment growth and high -income tourist spending. Brickell, the epicenter of an emerging live/work/pray environment, is brimming with •construction of luxury condo and apartment towers. New mixed -use developments are incorporating large quantities of high -end retail space into their plans. Some recent examples include Brickell City Centre, with over 500,000 SF of retail space that delivered in late 2016, and Miami World Center, which is set to bring 450,000 SF of retail space to the area in 2018, By Constructing mixed -use projects in primary business districts, developers are targeting the dense population of high-iricorne spenders while also providing residential opportunities that can create demand within their own space, Retailers have noticed this trend and intend to be part of the metro's fastest - growing urban neighborhoods, highlighted by the recent leases of more than 80 retailers and eateries set to open in the new Brickell City Centre, NET Ali3ORPTION, NET DELIVERIES & vACANCY 1200 1,000 800 600 400 200 -200 400 Forecast 1 6,5 nio 6,0 '!to 5,5 % • 2012 2013. 2014 2015 2016,2017 2016 2019 2020 2021 Nat Atnorp on Ni,r4 rjele$ Z Vasa unto Stoles li-uorwl SOurCe; CoStar 10 % b.0 % 4,5 % 3 0 % 26 JOSEPH J', II AKE AND ASSOCIATES, REAL [STATE VALLI Tiati Ann Di)145(1111/10 26 Miami International Links - Melreese CountryCounfry Ctub Land 18-114-02 Construction MARKET ANALYSIS Developers are targeting primary submarkets for major mixed -use deliveries, which remain a major driver of construction in this cycle. Developers are benefiting their own retail projects by combining them with adjacent residential development. Annual deliveries are on the rise thanks to growing focus on creating live/work/play environments in primary submarkets, The Downtown Miami Submarket will enjoy most of this growth, which is being driven by plans for the Miami World Center, a mixed -use development that will include 450,000 SF of retail space. Construction will also bring space to developing submarkets. The $312 million redevelopment of the Design District in the Miami Submarket is drawing interest from national tenants and investors. Currently in its third phase of development, the district is expected to house more than 120 luxury retailers, a boutique hotel, 15-20 restaurants and cafes, and luxury condominiums. This shopping complex will bring another luxury destination to the metro, potentially competing with Bal Harbour Shops. it has even lured some tenants away from Bal Harbour, Another notable development underway is the Gardens Promenade, a 300,000 SF shopping center which is in the Hialeah Gardens submarket and is expected to deliver in 2018. While several years out, it is worth mentioning the American Dream Miami development, a 200-acre $4 billion shopping mall and entertainment complex Now that developer Triple Five has closed on the land, construction may begin in the next couple of years in the Northeast Dade Submarket. t1E1WERIES & DEMOLITIONS 1,200 1.000 800 600 400 200 0 -200 -400 2012 2013 2014 2015 DeK.qm.4% X Forecast 29.18 2017 2018 2019 2020 .2021 EtS 5ource; CoStar Net 7.),qtwertet JOSENT J. BLAKE AND ASSOC PEAL ESTATt VALUATION AND CONtilLTING ATES, 27 Miami Internationa Lin<sMeIreee Country Club Land 1.8-114-02 UNDER CONSTRUCTION MARKET ANALYSIS Propeny NrimerArldretm Mlarni Worldcomel NE lst Ave Gru n,q r Dm eno 3 1:400 NW 27th Ave MiumiCentral Roil 200 NW 1st Ave Met Square-• Silverspot C,,, 4 **** 300SE 3rd Ave 2525 NW 8.2nri Ave 6 6670 NE 39th St 17321 NW 7tb Ave Bldg SF Stories SUM Complete 450,000 3 Mar-2016 Jun-2019 300,000 1 Aug-2017 Jul-2018 * * * * 160,000 Apr-2016 May-2010 113,508 1 Aug-2015 Sop-2018 * * 4, 90,000 00-2016 Jan-2019 * * * 65,000 3 Dec-2016 May-2018 * * * 4 65,000 4ource; Co$tar, Feb-2017 May-2018 kleveloperiowner Miami Woridcenter Associates, L C The Taubman Company IMC Equity Group INC Equity Group All Aboard Florida MDM Development, LLO Easton Group 'OSEPH J. BLAKE AND ASSOC AT EU, TATE VALUATION ANG CONStittlf“ 28 12 13 14 Miami trite anal Links -Mefreese Country Club Land 18-114-02 UNDER CONSTRUCTION MARKET ANALYSIS Proporty tiainciAdateas Wyoweed Walk 2800 NW 2nd Ave coral Town Plaza 9 26401 S Dbde Hwy 10 101 NW Stit St 4 4 1890 Allon 1800-1824 Alto Rd Shoppes at Hidden Lake 12700 SW 128th M Shoppos at Hidden Lake 12700 SW 128th St The Aura 1,101 MN 37111 Ave • Tuttle Street 299 NE 39th St saw NMI 7111Ct 17 780 NE hith Aisk 14 14581 WON* Hwy Panorama 1101 OrickelltBay Dr 20 2140 N5 2rel Ave 21 Filver Plata 0 40 •.Siti North River Dr 22 SLS Luir Retail Mini Ake 2150 Coral Way 24 2201 NW 27th ikve 17 Wast lege Akan Rd 24 lith NE 1350 St Sunset Harbour me Alton Rd 24 Square Statiori 1424 NE MangPI Bldg Sr Stades, Start Cottioatt. PevetopertOwner * * * * 83,08D 2 Nov-2017 Nov-2018 * * MOM May-2017 It/lay-2018 * * * * 06,070 2 Jari-2018 Nov-2018 City of Miami * * * 32,401 4 Mar-2017 Jun-2018 Saber Real Estate Advisors * * * 31,5602 Jul-2017 May-2015 * * * 31,5602 Jul-2017 May-2018 * * * 30,527 14 Dee-2015 Jui-2018 Greystone Funding Corporation * * *t 30.000 1 Aug-2016 Joi-2018 Daom Realty, lea * * * '4 28,060 Aug-2017 Jan-2am * * * t 26,400 Jan-2018 Deo-2018 • * * MOD Jan-2017 Jun-2018 20000 Mr ma Florida East Coast Rolty. LLC * * ,16 MaY*2- 'Florida East Coast Realty, LLC • * * * 20,412 Do-2017 Jure201$ * * 20.000 4 Ju1-2016 J1.0.20111 11* Mel° '13MP The Melo�r * 20,000 2 00-2014 lt4ey-2018 • * * 19,020 2 Sep-201t/ May-2018 Abe Resruoft Assoolates * * * s 11400 1 Apr-2017 May-2018 Super -Sold • * * 17,000 1 Apt.2017. mok.20.18 Don Partners Elio Partnere * * I641011 1 Deo-2017 Oot-2018 Cambridge Capital' COP ino * * * * 15,000 2 Pob-2016 Aug-2019 * Ittlodani Furniture * * * 10.000 1 Sep-2016 May-20.18 Source: CoStar Rents Miami does very well in terms of retail, and consistently ranks among the top five metros for highest gross asking rents —thanks primarily to the exceptionally high rents in wealthy and tourist -heavy submarkets like Miami Beach, Aventura, Brickell, and Coconut Grove, The Miami Submarket is home to the Design District, where some tenants are willing to sign leases that are more than four times as costly as the metro's average, JOSEPH J. BLAKE AND ASSOCIATES, INC. REAL ESTATE VALUATION AHD CONSULTING 29 Miami International Links - IVIelreese Country Ciub Land 18-114-02,, MARKET ANALYSIS Even though asking rents in Miami are generally high, rent growth has continued to slow throughout 2017 and early 2018. However, the decline has simply ended the phenomenal rate of growth that occurred in 2015, mirroring a nationwide trend. Regardless, rent growth in Miami is still expected to remain positive and to continue to outpace the national average. As of early 2018, the submarket with the highest rate of rent growth is West Miami. This is primarily because high rates of supply have finally put the brakes on rent growth in premier submarkets like Brickell and Miami Beach, while more moderately priced submarkets like West Miami and Coral Way, which have fewer -deliveries, are experiencing relatively steadier and less dramatic decreases.. ASKING RENT MOM tVOY) 12 '`EI 10 8 % ;Forecact 2 % 2012 2013 2014 2015 2016 201 7 2018 2010 4 -""1- 2020 2021 N Mon. :Neoghtwhoof 6emt#0 a CgivraOlafail1 N a umansata a paw-aona, suacala Source; CoStar AcliNG RENT PER SQUARE FOOT -$70 380 $50 $40 $30 $20 44, Forecast S0 • w 4.4 L„„t...--+...t. 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 • Maits Eloghborhood Center N General HotfaJ Other Piltr$• urioa suirtls • Power Cewet i Slip Center Source: CoStar JOSEPH 1. BLAKE AND ASSOCIATES. INC. REAL ESTATE VALUATION 310 CONSULTING 30 Miami InternationaI Links - Melreese Country Club Land 18-1,14-02 MARKET ANALYSIS Sales Sales volume has cooled dramatically from its 2015 peak, when nearly 5% of inventory changed hands, Average sales price has also been decreasing. Many of the largest sales are occurring in the Kendall Submarket, which has the advantages of a dense population and higher median incomes, lt is &so one of the largest submarkets for office space, creating demand for quality retail and restaurant space. On deals that exceeded $5 million, most reported cap rates for vvell-teased retail properties have ranged from 5% to 6% over the past several quarters. Toronto -based Northbridge Investment Management's Kendall Pointe (a 75,000 SF neighborhood center built in 2008) recently sold for $219/SF at a 5,6% cap rate, and Old Cutler Towne Center (a 100,000 SF community center built in 1987 in the South Dade Submarket) sold at a 5.2% cap rate. One of the largest recent sales includes Doral Commons, a 130,000 SF neighborhood center that was sold by Terra Group to Jamestown Properties for $71 million. Doral is home to 250 corporate headquarters and 100 multinational corporations, creating a strong demand base. It also maintains strong retail occupancy and was 98% occupied at the time of sale. SALES VOLUME & MARKET SALE PRICE PER SF 5500 5450 $400 $350 5300 5250 5200 S1 '4 $100 fAUU 2013 2014 2015 51,600 SI A00 Si ,200 10)0 $800 5600 $400 $200 2018 2017 2018 201g 2020 2022 Vorn MN Pic&3J thlted Staten PftwiSF Source! Costar JOSEPH J. BtAKE AND ASSOC(A UAL tSTATE TALOA-MIN IND CONSUIJIND 31 Miami International Links - Melreese CountryClub Land 18-114-02 SUBNIARKET INVENTORY MARKET STATISTICS inventory 12 Month Deltveriee MARKET ANALYSIS Under Construction No. Subrnarket Sickle SF (000) % Marker Rank Bldg& SF (0401 Percent Rank 5Id SF (000) Percent Rank 1 Aventwa 128 6,664 4.9% 9 8 388 5.8% 0 2 &zesty rte Corridor 229 2,499 ).8% 16 2 43- 1,7% 8 4 57 2,3% 9 3 5nclir.311 74 1,781 1.3% 17 3 28 1,6% 12 2 45 2.5% 11 4 Coconut O;.vo 153 1.833 1.43. 16 0 0 0% . 0 ... 5 Coral Gabie:s 386 4,483 3.3% 11 1 6 0.1% 14 0 .. - - 6 Cot hi Way 346 2,662 2,0% 14 0 0 0' 2 50 19% 10 7 Downtown Miami 146 2,870 2,1% 13 0 0 0% - 5 808 28.1% 1 8 Koleai 1 Gardens 456 3,116 2,3% 12 5 37 1.2% 9 1 300 9,6% 2 9 Kendall 871 19.,690 14.6% 1 3 34 0.2% 10 5 74 0.434 8 18 MhdieyiHialoah 969 13,317 9,9% 4 8 84 0.6% 5 2 26 0.2% 12 11 Morro 2,452 16,081 11,2% 3 7 73 0,534 T 12 266 1.834 3 12 Mtatm Arrport 742 16,417 12,2% 2 10 243 1 6% 3 4 111 0,7% 6 13 Morn Beash 632 8,643 6.4% 7 2 75 0.9% 6 5 76 0.9% 7 14 !Asti' l_akes 192 4,908 3.6% 10 2 11 02% 13 0 - - 18 Northehst Oade 1.173 12,470 9.2% 5 5 377 3,0% 2 5 112 0 9% 4 16 Outlying MothrDada Crity 25 306 0,2% 18 0 0 034 .. 1 3 1,0% 13 17 South Dade 840 11,683 8,6% 6 7 115 1,0% 4 5 84 0.7% 6 18 West Miami 627 6,695 5.0% 5 3 32 0.534. 11 1 3 0% 14 Source: CoStar The subject is located in the Miami Airport submarket, which includes 742 buildings, and 16,417,000 SF of space. There have been 10 deliveries of new retail buildings in the submarket, for an increase of 243,000 SF, There are four buildings under construction, to have a total of 111,000 SF. With 12,2% of the total Miami inventory, the subject's submarket is the second largest in the area. SUBNIARKET RENT Asking Rent it Month Asking Rent Annuallzell Quarterly Rent N. Submerket Per SF Rank Growth Rank Growth Rank. 1 AYentura $72.65 2 2,7% 3 0% 2: Stschyno- corridor 63-3m 10 1 63,0 17 1.5% I 3. 6rictiell 660.75 3 2,9% 2 -0.7% 12 4. Coconut Grove $46.51 4 2,0% 10. -0.2% 10 5 Carat Sables 542.51 5 1.534. 16 -0,6% 11 8 Coral Way 836.87 7 2;0% 12 0% - 7 DOwntowg !Aram 636.39 a 2,434 6 .0.1% s 8. Htokttah Ciord gm. 622.23 '18 1.9% 14. .01% 3 9 Kgndatt $37.70 6 21% 7 -034 A 10 Niklteydiialeah 028,97 14 22% •6 0% 5 11 Worth 634,85 9 1.7% 15. .42% 9 1.2 Mishit Airport 631.04 13 2.1% 8 0% 13 Kam Roach $78.79 1 2$%. 4 0% 7 14 Watt IjAlt es $26,40 16. 2.0% 90% .. 18 Northeast Dade .625,76 16 2.034 11 0,4% 2 16 Outlying Mom -Dade Ghty $31,33 12 0.6% 16 0% . 17 .South Dale $24,27 17 1 .9% 13. 0% 18 Weal Warm .63 f .87 11 2,096 1 0% Source; CoStar JOSEPH I, BLAKE AND ASSOCIATES Pin [STATE VALUATION AND CONSULTING 32 Miami International Links - Melreese Country Club Land 18-114-02 MARKET ANALYSIS The subject submarket's average asking rent of $31.04/SF represents an increase of 2,1% over the prior year. The rents are relatively affordable, by local standards. SUBMARKET VACANCY & NET ABSORPTION Wicano -IZ Month Not Absorption Hi% Stibtrattet SF Percent Rank SF % of Inv Ronk Construct. Ratio 1 Avenu4T5 76,307 1.1% 1 289,110 4,3%• 3 0.9 2 Biscayne Corndor 302,397 12.1% 111 (90,1011) -3.6% 15 3 Bnc1(all 2414,372 11.5% 17 (10,820) -0.6% 13 .., 4 Cr Grove 57.716 4.8% 13 1,696 0.1% 10 6 Coral Gabhri 120,026 2,7% 9 (34,3061 48% 14 6 Corat Way 32,889 1.29i 2: 17,034 0,6% 9 7 ()awl -down Miami 2484432 81% 16 27,570 lb% 7 .. 8 110145311 Go515115 72,524 2,3% 9 43,720 1.4% 6 0,6 9 Kandall 516,927 2.6% 7 90,460 0.5% 5 0.4 10 M4ciiey(Hialo‘40 2204337 1,7% 3 125,375, -0.9% 4 0,4 11 Mmrni 1.062,114 7,0% 15 (44,446) --a,a% 15 ... 12 Wardi Afrporl 316;916 1,9% 4 461,501 ,2,9% 1 0,2 13 Mianit 155,10 447,866 5,2% 14 1(4,965) 0% 12 .. 14 Miami' Lakes 217,515 44% 12 (95,751) -2,0% 18 15 111551w51 .Dar,Ip 328.512 2,696 3 313.1 a 2.5% 2 0.1 15 Out -mg Miar5I-Dade Cnty 11,909 3.9% 10 (1157) -1,096 11 17 South r.516.1, 489,311 4.296 11 (90,296) -0,1196 17 10 t510111,45vm 150,495, 2.496 5 20,818 0.3% 8 0,5 Source: CoStar The subject's submarket has a vacancy factor of just 1.9%, which is the fourth lowest in Miami -Dade County. The lowest submarket, Aventura, has a 1,1% vacancy. The subject's submarket has absorbed 481,891 SF of newly constructed retail space; almost all new space is immediately absorbed as it is constructed, in the subject's Submarket, JOSEPH J. BLAKE AND ASSOCIATES,INC. [HAL ESTAII VALUATION AND ONSOLTINO 33 Miami Intern al Links -MeIreee Country Club Land 18-114-02 MARKET FUNDAMENTALS HISTORY AND FORECAST MARKET ANALYSIS Inventory Net Abserpeen Veseney Year $F (hthn Growth % &mai sr MOO) S GroWth Constrct, Reno $F min Percent POI Olo 2022 129,906, 1,366 1,1% 1,324 1.1% 1.0 4,671 3,6% 0.0 2021 128,540 1,356 1.1% 1.261 1.016 1.1 029 3,6% 0,0 2020 127,184 1,258 1,016 1,273 1.016 1,0 4,635 36% 0.0 2019 125,926 1,105 0,9% 1,257 1,016 0.9 4,649 . 3,616 (0,2) 2010 124,821 tom 0.016 1,332 1.1% 0.6 4,701 3.8% (0.2) 2017 123,741 2,687 2.1% 1,924 1,616 1.3 4,953 4 0% 0.5 2016 121,154 996 0,8% 899 0.816 1,1. 4,2.90 3,616 0.1 2015 120,1.58 1,112 0.9% 1,311 1.1% 0,8 4,193 3.5% (0.2) 2014 119,046 1.304 1.1% 1,636 1 A% 0:8 4.392 3,7% (0,3) 2013 117,742 483 0,4% 499 0,4% 1,0 4,725 4.016 0.0 2012 117,258 611 0.5% 632 0,6% 1,0 4.741 4.0% 0.0 2011 116,647 630 0,516 1,300 1.2% 0,5 4,762 4.116 i0,61 2010 116,018 1,470 1.3% 1,725 1,616 0,9 5.436 4.7% (0.3) 2009 114,547 1,750 1.e% 631 0,6% 2,8 5,687 5.0% 0,9 21106 112,796 2,814 28% 1,412 1.316 2.0 4.568 404 1.2 2007 100,004 2,277 2, 1% 3.880 3.8% 0.6 3.166 2,916 (1,6) 2006 107,106 1,608 1.6% 1,606 1.5% 1.1 4,776 4A16 0,1 2005 106,040 1,603 1.6% 1,919 1,916 0,9 4,614 4.416 (0.3) Source; CoStar The Miami retail inventory has grown slowly over the last few years, primarily due to the limited amount of land available for new construction, The vacancy factor has remained at less than 5% since 2005, except for one year (2009 - during the height of the recession) where the rate peaked at 5%. Vacancy is projected to remain at less than 4% for the next five years, Rents have grown steadily since 2005 as shown below. Rents are projected to continue to increase over the next few years. MARKET RENT HISTORY AND FORECAST Ye,ar 2022 20'21 2620 .200 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2008 2005 Pot- $F Auldent Rest Index04 Vs IfIst Peak $37 90 129 1.8% 2,7%, $37,21 127 1.5% 0,6% 836,68 125 1.2% 836,23 123 0 3% 4.6% 830.12 123 -12% 6361)4 124 1,614 $36.00 123 3,1% $34.90 119 5 70,4 ,44% $33.02 1 12 7.0% -10,616 $30,86 106 4.6% $29,50 100 .5,4% -20.1% $28,00 95 2,2% 24,116 $27.40 93 -1,6% $27,85 96 Al% 829,36 100 .2.716 -20.416 830,18 10S 45,016 -18,316 $26 72 96 9.5% -22 2% $28.22 139 4,5% -29,0% Source: CoStar JUSEPH J. BLA.KE AND ASSOCIATES, INC. REAL STAVALUATION AND CONSULTING 34 Miami international Links - Melreese Count Club Land 1S-114-02 MARKET SALES HISTORY MARKET ANALYSIS Volum/ Price Cap ROleo Year Sales SF Volume Tinhoom Median Per SF Av9 Price Jules 099r4t 2017 188 3,495,723 $400,300 2.6% $299.05 $3,306,265 156 2016 242 3,163,515 61,142430 2.6% $302.84 $4,840,807 150 5.4% 2015 392 .5,003,667 $2,007,685 4.2% 6254.59 $5,340,120 145 2014 359 3.438,709 $1,537,029 2.9% 6283.37 64,700.595 '135 5.3% 2013 263 4,311,834 8361,210 3,7% $228,16 63,618.531 124 55% 2012 267 4262,262 $1,006,487 3.6% $206.87 $4,747,581 1 15 5.7% 2011 209 2,585,588 $632,476 2.2% $2,50.12 $3,513,755 101 6,3% 2010 150 2,893,474 $678,601 2.5% $197.22 64,917,395 87 7.3% 2000 133 1,298,300 6169,736 1.1% 6206,43 $1,571,627 $4 7,6% 2008 176 Z 185,573 6442,156 1.9% 6237.30 '62,679,726 100 6,3% 2007 232 3,583,474 6815.308 3.31i 8271.56 $3,544.616 11E1 5A% 2006 182 3,.702,318 5362,542 5.4% 6228.39 $3,323,650 '114 5.7% 2005 197 2447,507 6465,906 2.3% 6208,17 $2,250,762 103 0.1% Source: CoStar POWER CENTER SUPPLY AND DEMAND HISTORY AND FORECAST _ - Inventory Mit A hcorptien Year SF (00() Growth '11t Grimeg SF (909) Iiii Growth otiuctlon Ratio 2021 3,366 1 0.0% (3) ,040' 2020 3,367 1 0,0% 3 0, 1% 04 2019 3,366 1 0,0% 6 0,2"A '02 2018 3,365 1 0.05 2 (1 1% 0.6 2017 3,364 0 0.0% 119) -0.6% 2016 3,364 0 0,0% (44) 2015 3,364 0 0.0% 5 0.2% 0.0 2014 3,304 0 0,0% (3) 441% 20 13 3,364 4 0.1% (1). 0.0% - 2012 3,360 0 0.0% 20 0.6% 0.0 201 1 3,360 3 0„ 1 % 55 1.7% 0,1 2010 3,356 13 0,45. 58 ),8% 0.2 2009 3,343 180 5.7% 147 4,,84 1.2 2008 3,163 380 13,6% . 329 12,1% 1.2 2007 2,734 0 Oil% (1(1) -0,7% 200e 2,784 5 0,2% 268 .-. 0.0 2005 2,779 0 0.0% Source: CoStar JOSEPH J. BLAKE AND ASSOCIATES. NC,„ REAL ESTATE VALUATION A>D CO SUITING 35 Miami International Links - Metreese Country Club Land 18-114-02 POWER CENTER VACANCY AND RENT14ISTORY AND FORECAST vauancy Year SF (NM Percent. Ppte Ch 2021 93 2.8% 0.1 2020 89 2.6% 0.0 2019 90 2,7% (0,1) 2018 95 2.8% 0.0 2017 96 2,8% 0.6 2016 77 2.3% 1.3 2015 33 1.0% (0.2) 2014 36 1.1% 0.1 2013 35 1.0% 0.2 2012 30 0.9% (0,6) 2011. 50 1,5% (t5) 2010 102 3.0% (1.4) 2009 147 4.4% 0.8 2008 114 3.6% 1.3 2007 63 2.3% 0 7 2006 45 1.6% 0.0 2005 0 _ 0.0 POWER CENTER SALES HISTORY Year 2017 2015 2015 2014 2013 2012 2011 2010 2009 2006 2007 2005 2005 Sales Source: Co5tar Per MARKET ANALYSIS F Aeking Rent Index % Growth $35.76 124 II% 335.36 123 0.3% $35.08 122 0.0% $35.09 122 $35.43 123 2,6% $34.54 120 3.6% $33.38 116 5.3% $31,69 110 6 5% $29.76 103 5,2% $28.30 98 6 IA $26-95 93 1 4% $26.59 92. -2,2% $27 20 94 .41% $28.85 100 .0,8% $29.38 102 4.9% $28,02 97 •- - - Vohune Pr ice SF Volume Turnover Per SF Avg Price 0 0 $o 0.0% 0 0 30 0.0% ...... - 1 7,956 $5,675,000 0.2% 3713.30 35,675•040 0 0 $0 0.0% - -- 2 297,072 392,000,000 8,4% 3381.31 $92,000,000 1 180,000 $0 6.4% 0 0 $0 0,0% 0 0 $0 0,0% 0 0 $0 0.0% 1 7,956 $4,850,000 o.a% 3600,60 $4.850,000 1 80,315 $15.900,000 2.9% 3197.97 $15,900,000 0 '0 60 0.0% ..... - 0 0 SO 0.0% Source: CoStar JOSEPH J. BLAKE ANO ASSOC AT INC, REAL ESTATE VALUATION 40 CON5OLTINO 36 Miami International Links - Melreese Country Club Land 18-11402 NEIGHBORHOOD CENTER SUPPLY AND DEMAND FlISTORY AND FORECAST MARKET ANALYSIS Inventory Net Absorption Year sr 10001 Growth % Growth SF WM) % Growth Conetrodton Patio 2021 21,143 235 1.1% 204 1 , 0% 1,2 2020 20,905 238 1.1% 199 La% 1.2 2019 20,673 236 1,2% 198 1.056 1,2 2018 20,437 '184 0.9% 215 1.1% 0.9 2017 2023,5564 2.056 595 3. 1% 0.9 2016 19,889 102 0.5% 209 1.1% 0.5 2015 19,587 225 12% 384 2.16k 0.6 2014 19,362 163 0,956 280 1.5% 0,6 20 13 19,199 57 0.3% 1 a 0.m 4.2 2012 19.142 122 5656 234 1.3% 0.5 2011 19,020 57 0,3% 262 1,5% 02 2010 18,963 179 1,0% 226 1.3% 0.a 2009 18,784 140. 0,7% (147) 2008 18,645 526 2,956 '102 0,5% 5,1 au ra, I fa 424 2.4% 299 1.7% '1.4 2006 17.695 262 1.656 174 - 1.8 2008 17443 555 3.3% - ..., ..., Source: CoStar MIGHBORHOOD CENTER VACANCY AND RENT HISTORY AND FORECAST Vaeanty Year SF PM Portent 2021 748 3.5% 2020 716 3.4% 2019 679 3,356 2013 642 5.1% 2017 672 3,3% 2016 703 3,6% 2015 811 4,1% 2014. 970 5.0% 2013 1,066 6.7% 2012 1,043 6.4% 2011 1,155 6,1% 2010 1.360 7,2% 2009 1,407 7.5% 2008 1,121 6,0% 2007 697 3.656 2006 571 3.256 2005 0 .*--- Ppte Chg Attiring Pent Per SF index % Growth OA $32,21 122 0.1 $31.8.5 17 1 0..856 0.1 $31.60 120 -0.1% (0.2) 331.64 120 -1,1% (0.31 $31.98 121 .22% (0.6) 331,28 119 4.3% (0.91 329,99 114 5,3% (0.7) $20,49 109 6,4% 0.2 $26,75 101 5,2% (0.0) 525,45 96 4.156 (1.1) $24 A3 sa 1,3% (0.3) $24.12 91 -3.1% 1.5 324.90 94 -5,7% 2.2 $26,39 100 A 2% 0.0 $26,90 102 4,3% 0,0 $26 90 93 0.0 - ..._ Source: CoStar JOSEPH J. .LAKE AND ASSOCIATES, HEAL ESTATE VALUATION ANO CONSULTING 37 Miami international Links - Melreese Country Club Land 18-114-02 NEIGHBORHOOD CENTER SALES HISTORY Year 2017 2013 2015 21) 14 2013 2012 2011 2010 2009 2008 2007 2000 2005 Seise MARKET ANALYSIS Volume Price SF VOIUME 22 1,041,801 6129,239,929 14 662.589 6144,921,600 al 978.704 $196,337.479 27 803,155 $202,269,196 35 1,201,2.14 $178,069,153 29 982,025 $165,595,810 19 379,586 674,947,411 548,457 6119,247,215 6 19.9.734 $34,785,5,63 12 273,558 $66,192,574 15 826,808 570,318,398 22 843,026 $170,809,006 14 429,529 $10,3,094,704 Source: CoSter Turnover Per $F Avg Price 5,1% 6219,39 $9,941,633 34% $223.71 Si 1,147,616 66,561.250 4.1% $320,44 38,427,883 8,3% 6200,28 $7,419,548 5.114 $261.57 $8,279,791 2.0% $313,73 $5.363,387 2.9% 6178.10 $9,172,863 1,1% 6206,62 $6,797,692 1.6% $286,47 66,619,267 6162,75 $9,392,662 6268..15 67,117,042 6304.02 65,426,037 JOSEPH J, BLAKE AND ASSOCIATES., iNC. REAL ESTATE VALUATION AND NiliSLUTM 38 Miami InternationalLinks - Melreese Country Club Land 18-1,14-02 MARKET ANALYSIS MARKET ANALYSIS The following information was compiled from published sources and is used in conjunction with primary and secondary data to analyze the market trend Impacting the value of the subject property. NATIONAL SUBURBAN OFFICE IV1ARKET PWC According to the PwC Real Estate Investor Survey, 1St Quarter 2018: Quarterly shifts in the national suburban office market's Survey results suggest that most investors are optimistic about its performance for 2018, but in a low-key manner. 42018)s performance should be flat compared to 2017, which is better than being down,' surmises a participant, "We see a steady outlook with improving occupancy, but slower rent growth in the short term," says another investor, As a whole, the U.S. suburban office sector reported an overall vacancy rate of 13.6% at year-end 2017, equal to the rate for year-end 2016 but below the average of 14.6% for 2015, as per Cushman 8L Wakefield. Our surveyed investors note that underlying fundamentals vary greatly from location to location. For 2017, suburban areas that posted some of the lowest overall vacancy rates included El Paso, San Francisco, and Nashville, On the other hand, suburban areas that posted some of the highest overall vacancy rates Indluded Cincirtnati, Northern Virginia, and Houston,. Some surveyed Investors feel that there will be good buying opportunities in certain suburban markets for 2018 since "a few owners are opting to sell suburban office assets in order to better solidify an all -cash position now in anticipation of rising interest rates and capricious lender decisions."' (pg. 26) Key Survey Stets National( Suburban Office Market First Quarter 2018 Current Quarter Last Quarter Tenant Retention Rate 40.0%1-75.0% 40,0%45.0% Average 63.00% 63,00% Months of Free Rent (10-yr lease) 245 0-15 Average 7.0 ,6.6 % of participa Tits asi rig $8.00% 88..oa% Market Conditions Favor Buyers •48,00% 43,00%. Sel I erS 29.00% 0.00% Neither 28,00% 57.00% Sourct ;PyriC Rea I' Estate Investor Survey, 1st Quarte r 2018 JOSEPH J. BLAXE AND ASSOC ATES. INC. REAL ESTATE VALUATION AHD CONSIALTINA 3? Miami International links - Merae Country Club Land 3.8-114•02 MARKET ANALYSIS National Market Yield Rates for'Real Estate Investments National Suburban Office Market First Quarter 2018 Cur rent.Qua rter Last Quarter Year Ago Discount Rate (lRR) 6.00%-12.00% 6,00%-12,00% 6,00%40.50% Average 8.32% 8,34% 7.88% Overall Gap Rate (OAR) 4,35%-10.00% 420%40.00% 51M0%-9.50% Average 6,61% 6.72% 6,61% Resitlua I Cap Rate 6.00%41.50% 6.00%41,50% 6,00%4050% Average 7,59% 7.61% 7,39% Market Rent Change Rate 0.00%-5,00% 0.00%-5,00% 0.00%6,00% Average 1.86% 1.86% 2,03% Expense Change Rate 0.00%4.00% 0,00944.00% 0.00%-4.00% Average •2,68% 2,6a% 2.75% Ma rketing Time Range 1-12 months 1-12 months 1-12 months. Average 6,5 6.5 6.0 , Source:. PwC Rea I Estate Investor SUrvey, lst Quartet 2151ZI JOSEPH J. BLAKE AND ASSOCIATES, INC. REAL ESTATE VALUATION AND CONSVITIIII3 40 re 4 y Club Land MARKET ANALYSIS NATIONAL SUBURBAN OFFICE MARKET - REALTYRATES,CQM According to the ReattyRates.cam Investor' Survey, lst Quarter 2018, the fallowing tables summarize prevailing mortgage terms and resulting built-up overall capitalization rates (OAR'S) via debt coverage ratio and band of investment techn ques, together with OAR's from consummated transactions as reported by survey respondents based on actual net operating income (N€OI) exclusive of reserves and actual sales price exclusive of deferred maintenance. These data: are for Class A and B properties nationwide.Mortgage terms, and equity dividend rates are likewise national rates as reported by survey respondents, Item Minim um Spread Over 10-Year Trea sury Debt Coverage Ratio interest Rate Amortization Mortgage r:•.onsta nt Loan -to -Value Equity Dividend Rate Maximurrt Spread Over 10-Year Treas Debt Coverage Ratio Interest Rate Amortiza ti on Mortgage ge Consta nit Loan -to -Value Ratio: Equity Dividend Rate Average Spread Over 10-Year Treasury. Debt Coverage Ratio Interest Rate Amorti zati on. Mortgage Constant Loa n-to-Va l ue Ratio Equity Dividend Rate ury RealtyRates.com investor Survey efir�e > Ail Types. First Quarter 2018 Input 1,02% 1;15 3,37% 40. .045556" 90% 756% 6. 99 215 8.64% 1 0.11915 50% 1603% O.068172 72.5% 12..22% Mortgage Equity OAR urveyed OAR DcR Technique 1.15 x 0,0455! Eland of Investment Technique Mortgage Equity OAR urveyed Rate 096 ;x 0.045556 0.041000 10% x 0.075619. ;: 0.007 0.041000 + 0.0.07562 4.72 4.86% _. 4.61% OCR Technique Barid" of Irivestm+ Mortgage Equity' OAR. Surveyed Rates 2.15 x 0.11916 x nt Technique 50% x 0.119156 ig 50% x 0.160325 578 •+ 0,50 0.0,59578 0.080163 0.080103 -' 13.97% DCR Technique 1.65 :x 0,068172 Band of Investment Technique 73% x 0,068172 28% x 0.122207 0.049425 Rea4tyRates.com Inv�storSurvey, 1st Quarter 2018 x 0.725 0.049425 0.033607 + 0.033607 _= 830% P. TAT VALIidT16:t1 AN ASSO fiSfiTit 1 TES, INC 41 Miami international Links - Melreese Country Club Land 18414,02 MARKET ANALYSIS item Minimum Spread Over 10-Year Trees tiry Debt Coverage Ratio Interest Rate Amortization Mortgage Constant Loan -to -Value Ratio Equity Dividend. Rate Maximwt Spread Over 10,Year Treasury Debt Coverage Ratio Interest Rate Amortization Mortgage Constant Loan -to -Value Ratio Equity Dividend Rate Average Spread Over 10-Year Treasury Debt Coverage Ratio Interest Rate Arnorti atioo i Mortgage Content Loan -to -Value Ratio Equity Di vidend Rate RealtyllateLcorn Investor Survey Office - Suburban First Quarter 2018 Input 1,02% 1.15 3,37% 40 .0.045556 90% 7,56% 5.14% 1,90 7.49% 15 0.111173 60% 14,83% 3,08% 1.53 5,43% 28 0,07010/ 75% 10,83% AR DCA Technique 1.15 x 0.045556 x 0.90 4.72% Band of Investment Technique Mortgage 90% x 0,045556 0.041000 Equity 10% x 0.075619 0,007562 OAR 0041000 +• 0,007562 Surveyed Rates 4.61.% Dat Technique 1,90 x 0,111.173 x 0,60 7- .67% Band of InvestmentTechnique Mortgage 60% x 0.111173• I= 0.066704 Equity 40% x 0,148325 .7 0.059330 OAR 0,066704 4- 0.05933C) Surveyed Rates •11,97% DCR Technique 133 x 0,070101 x 0,75 Band of Investment Technique Mortgage 75% x 0070101 0.052576 Equity 25% x 0108337 0027084 OAR 0052576 4- 0.027084 4= 7:9977% Surveyed Rates Sourcel, Rea ityRa teaxgrn invego r Survey,, t Qua rte r 2018 The following tables summarize discount and equity dividend rates reported by survey respondents.. inall taSes, rates were derived from Class A and 'El properties nationwide and are exclusive ofreserves, Note that "ReCapitalizations" refers to re -financing under current use. RealtyRatetcorn investor Survey Office - Discount Rates First Quarter 2018 New Development Acquisitions Property Type Min, Max. Avg. Min, IVI ax„ Avg. Office 6.51% 15,47% 11.82% 5,66% 13.46% 10,28% Suburban 6.51% 14.22% 11,14% S„66% 12,3714 9.69% CBD 7.52% 15,47% 10.99% 6.66% 13,46% 9.56% Medical 7.66% 15.47% 10.99% 6.66% 13,46% 9.56% Source Rea ityRatesxern InvestorSurvey, 1st Quarter 2018 Recapitalizations Max. Avg, 6.44% 1.5.31% 11.70% 6.44% 14.08% 11.02% 7.58% 15.31% 10.88% 7,58% 15,31% 10,88% JOSEPH i. BLAKE AHD ASSOCIAT S INC ;JAL ESTAIE VALUATION ANN CONSIIVINO 42 MiamntertiorwI internationalLinks - Meireese Country Cub Land 18-11402- MARKET ANALYSIS RealtyRates.ozr investor Survey Office Equity Dividend Rates First Quarter 2018 Property Type Min. Max, Avg, Office 7,56% 16,03% 12.22% Suburban 7.56% 14.83% 10.83% CBD 7.76% 16,03% 11,48% !Medical 7 66% 15.43% 11.16% Source:. ReaktyRates.corn investor Survey, 1st Quarter 2018 The following tables summarize sales, income, occupancy, and operating expense data, as well as relevant rates and ratios, for class A and B office properties in the continental U.S, Office properties are multi -tenant only. Operating expenses do not include reserves for repairs and replacement Note that the cap rates provided are based solely on average market -wide operating fundamentals and sales prices. As such, while they are analogous to "as is" rates, they should be used With caution. In addition, due to rounding, '0,4 Change may be slightly positive or negative although no change is indicated, RealtyRates.com Market Survey Nationwide - Crass A & B Office Buildings First Quarter 2018 4Q2,017 30.2017 %Change CBD Suburb CBD Suburb CBD Suburb Operating Data Income Asking Rent $27,58 $23.74 $27.22 $2346 1.3% 1.2% Effectfve Rent $22.58 $19,41 $22,28 $19,17 1,4% 1.2% Other income $1.13 $0,97 $1,11 $0.96 1A% 1.2% Total income $23.71 $20.38 $23.40 $20.13 1,4% 1.2% Vacancy Rate 11,.8% 11,9% 11,9% 12,1% -QS% -La% Effective Gross Income (EGO $20.91 $17,96 $20,61 $17.69 1,5% 1.52G Expenses Total Expenses $10.63 $9.46 $10,58 $9.42 0.5% 0.5% Expense Ratio 50.84% 52.70% 51.31% 53.21% -0,9% 41)%• Net Operating Income (NO!) $10.28 $8.49 $10.04 $8.28 24% 2,6% Investment bats Average Sale Price $11.4 $97 $112 $95 1.5% 1,8% •Overall Cap Rate (OAR) 9.0% 8,8% 8,9% a,7% lAY% ai7% Gress Rent Multiplier (GRM) 5.05 4.98 9,04, 4.95 •0,1% 0.6% Effective Gross Income Multiplier (EGIM) 5,45 538. 5,45 5,36 0.0% 0,4% Source : kealtyaatas,cora Ma rket survey, ist Quarter 2018 JDSEPH J. B.AKE AND ASSOCIATES INC, PEAL ESTATE VALUATOR ANC CONSULTING 43 Miami International Unks Melreese Country Club Land 18-11,4-02 MIAMI OFFICE MARKET ANALYSIS MARKET ANALYSIS ... ., According to the CaStar Office Market Report, the Miami office market continues to benefit from steady demand via strong growth in office -using employment. Specifically, job growth in the Financial Activities and Professional and Business Services sectors outpaced the national average in 2017. Due to year of limited development and strong demand, vacancies have remained near cyclical lovvs, Developers were active in 2017, delivering almost 750,000 square feet of new office space,. Even with the uptick in development, vacancies remain flat, leaving Miami in a good spot to tackle another wave of deliveries set to hit the market the next few years, Due to strong fundamentals this cycle, rent growth reached almost 8% in early 2016 but has since declined, mirroring a nationwide trend, Sales volume has dipped off recently after peaking to almost $2,2 billion in 2016, but it is still in line with the historical average, KEY INDKATORS current Quarter RBA Vacuity Rate nes Asking Rein Avallainilly Rots N'et A114`4P*1/ Bovenes, SF sF 45,2132612 74% 10,3% $2,8i2 106,609 4,604.830 0nritlanti"tiction -46 5Stat 4 0.7% 34,923,4,44 12.0% $43.18 3 Star 1 & 2 Star 24,524,386 4 4% 932.02 S28 49 SS% (36,756i 33,853 0 0 280,133 0 Morkst 404,727,442 8,5% $35.03 12,6% 59,879 400,000 10)84,971 Annissi 'Trends 42 Month Histstinsi Forecast Pe* When WW1 Averege AraOO Mammy Change (Y0Y) 0.2% 10.1% 9,0% NO% 2010 03 5,0% ZOO Q1 Net Absorption SF668 K 1,053,994 403,531 3,836,92,5 ,2006 01 (935,109) 200 0-2 Veliverisis SF 1 M 1,367,600 945,051 3290,594 2006 02 85,475 2015 02 Rol Grnwth 2,2% 3,0% 1.6% 12.9% 2007 02 4,9% 2009 04 Sales VoMine $1 13 81.9 B N1A 62,4 B 2016 02 $253.8 M 2069 04 Source CoStar Leasing Office -using employment has been driven by financial services related to international banking and the housing recovery, and professional and business services catering to wealthy retirees. Absorption reached the highest levels of the cycle in 2014 and 2015 but has 'decelerated since. While most of the recent leases are for 80,000 SF or fewer, there have been a few notable lease deals that have occurred over the last few quarters, In late 2017, FE1VIA signed a lease for over 90,000 square feet of 3 Star office space, followed by Florida Blue, who is taking over S0,000 square feet. Employment within the healthcare industry has been robust enough to support continued medical office leasing. Further supporting this trend is the rapid employment growth within the outpatient subsector of the healthcare industry, which reflects the increasing patient preference for medical services outside of the traditional hospital setting. These medical tenants typically favor 3 Star product in medical Office buildings and locations within the premier suburban submarkets near wealthy residences and the University of Miami. Subrnarkets such as Kendall, South Miami, and Aventura see the lions share of this activity, and as the population ages and demand for healthcare grows, medical office leasing should further drive demand, particularly in these sularnarkets. JOSEPH J. BLAKE AND ASSOCIATES, INC. HEAL UTATE VALUATION AND .&014SULIINO Miami International Links - Melreese Country Club Land 113-114-02 MARKET ANALYSIS Strong demand has finally made an impact on top-quality asset fundamentals. 'For a large portion of the recovery, 4 & 5 star product remained stubbornly vacant due to the supply wave that hit the market during the recession years. However, the strong absorption has helped bring down Miami's 4 St 5 Star vacancy rate by almost 800 basis points since the beginning of the cycle. Two and Three Brickell City Centre have recently hit the market and multiple 4 & 5 Star buildings are set to deliver over the next few quarters, some of which have major availability, but Miami's pattern of strong demand is expected to continue to keep vacancies under control in the near term. NETABSORPTION, NET DELWERIES & VACANCY 800 600 400 200 -200 -400 .600 2012 2013 2014 2015 2016 2017 20i8 2010 2020 2021 Forecast 1 Atmapliam Nat D&wk 0Vacancy Lhata Sales Vaganey 14 % Source. CoStar Supply Office construction has returned in force to the Miami metro. The supply pipeline was relatively empty leading up to 2016, when over 500,000 square feet delivered and has since maintained the momentum, Nearly one million square feet of new office space came on line metro wide in 2017, including 800 Waterford, a nearly 250,000 square foot office building which delivered in August. Additionally, Two rvliamiCentral and Three MiarniCentral, the office phases of the mixed -use development centered on the future All Aboard Florida passenger rail station, added more than 300,000 square feet of office space to Downtown IVliami, Aside from major mixed -use projects that incorporate office components, few large office projects have broken ground recently. JOSEPH J, BLAKE AND ASSDCATES. NC, SEAL ESTATE VALUATION AND CONSULT -IN 45 Mirtmi International Links- Melreese Country Club Land 18 24.02 DEL ENICtLiTICINS MARKET ANALYSIS 800 600 400 -600 Sou rcetCoStar' UNDER CONSTRUCTION Fore 2010020 2021 Prop rty tiametAddress The Plaza (-oral Gables 2811 Ponce de Leon Blvd 2 Two Mial aCerrttal 700 NW Miamicentral Ave, 3 fr707 Blue Lagoon Dr 4 NaitU. at t Towez Otfice 11.01 Bricks!! Ave Aventera (1 Dixie Hwy Mary Si, Mt Rating, Hl ttt §F Steries 9tttrt GQmplete 289,9.98 13 3r-2018 Apr-2020 194,392' 10 May-2015 Jun-2010 150000 10Q,O 0 96,000 95,000 89,705 5 l k v=2016 Oct-2018 15 Mar-2015' Sep-20'18 13 Jan-2016 Sep-2018 7 pep 2017 Nov2018 8 Jan•20`18 Oct-201B Source, COS art All Aboard Florida Florida East Coast Industries, Inc.. The Hogan Group Allanz Real Estate of America LLC Florida East Coast Realty, LLC Florida East Coast Realty,LLC Pave Consulting Group Prfve Consulting Group Terra Group David Marlin Jonathan Bern t n Cons[tng EP P AKE AND A OCIAT S ANC PEAL E « IF V>3LI ilON &NI) CO1151.1LTINO 46 Miami International Links - Melreese Country Club Land 18-114-02 UNDER CONSTRUCTION MARKET ANALYSIS Property Nameiadanees 7150 SW 82nd Ave 11 Rating Wog SF * .1 82,000 GiraIda Place -West Tower * * 2222 Ponce de Leon Blvd Sunset Office Center * * * * 1515 Sunset Dr 1800 NE filiainiCt 12 10450 NW 33rd $t 13 Park Square a Aventura NE 20th Ave 14 HIVE 4.45-5855 WWII -1st St` is Moe -Building 2 20784908 NE u7th Wynt~i 25 Armea 215-219 NW Nth St 31811-3484 Main Hwy 71,582 00.799 • * * * 0 00,000 * * * * 50,40? * *** 54.982 * * * * * 54577 * * * * * 45,702 * * * 44,203 UM Havana Activities 18 * * * 41,117 700-740 8W86 St Ma on the Bay Cermet_ * * 1770 N Bayore Dr 2850 NE MTh St 18 20 1=0 SW13801 St 21 22 The Ofyriwoort Garage 2 ONIN 3rd Ave 23 78 NW 37th St 24 2ael SW 3rd Ave Cotonnade Moat 2501 NW 1121h Awe 2 Eittig 2 12411 SW 184th St ilAtentura Parksquare 2040 NE 2071h St 27 127445 E $1.5th St 40,000 * * -c; a 40,000 Stortee start complete 0eveloperr0wner The Richard Brandon Company South Miami Hospital, trio, Giralda Complex. LLC. Transamencal-lolding Corp. 5 Got-2015 0 Apr-2010 Feb-2014 Feb-2018 May-201 4 May-2010 2 Aug-2017 10 Jail2010 Jol,2017 5 Sep-2'017 4 Aug-2016 2 Jun-2015 May-201a May-2018 May-2018 Deo2018 Sep-20 May-2018 Aug-2010 Ivlay-2018 Jan-2019 Catherine Lorle Integra Real Estate, ILO Integra Real Estate, LLC Integra Real Este, LLC NoVich Aventure Park LLC East End Capital Partners, LLC Dec-2018 Optimum Development USA Jun-2018 Little Havana Activities Nutritio... The May-2018 IM° C"uP The Melo Group Jun-2017 Aug-2018 35,340 3Jan-2017 * * * * 4 30,000 * * o 28.283 8 n-2017 Aug-2018 1 Oct-2017 Jun-2018 • * Jun-2017 19,523 2 Aug-2017 Aug-2018 • * * e 12,000 * * * 8,000 Source: CoStar Jetr1-2015 Jan-2010 Jun-2010 Jun-2018 Sep-2018 Jun-2018 Jun-2018 Gaumard Scientific W oct_2018 ynvaxxl Realty Goldman Oprnent, LLC PilUp3yveer International He Norwich Aventura Park I_LC Francisco Diegtiez Md Pa Rents Rent growth hit a cyclical high at the beginning of 2016 but has since decelerated, partially due to one of the strongest years of deliveries this cycle. Even so, rent growth in Miami is almost double the national average, and rents are among the highest in the southeast. The combination of consistent, healthy rent increases of 4 & 5 Star rents, which are already among the highest in the National Index, brightens the outlook in Miami, JUSEPH J. BLAKE AND ASSOCIATES, INC, REAL .STATE VALUATIONA NG CONSULTING 47 Miami International LInks Melreese Country Club Land 18414-02 MARKET ANALYSIS The bulk of rent growth in the metro was carried by the Miami Airport and Kendall submarkets. While the highest overall asking rents are still commanded by Brickell and Aventura, the growth in areas like Kendall and Miami Airport has proven that there is growing demand far suburban office space in Miami. With Brickell becoming price -prohibitive for an increasing number of potential tenants, the prospects in secondary office hubs, such as downtown Dadeland arid the emerging CityPlace Doral, have gained significant attention, ASKING RENT GROWTH (YOy) 2012 2013 GROSS ASKING RENT P $50 $45 $40 $35 $30 25 R S 2014 2015 2016 2017 201a 2019 2020 2021 MiOhli Sttr .8 MIAMI 4-5 Sr 8 Miarm United:Stades ARE FOOT Source!: CoStor ; Foreoast $20 2012 201 2014 2015 2016 2017 2018 2049 2020 2(121 14 80110 Star piMtarth 4-5 Sfax Man 5 United Siate's Source CoStar JOSEPH J.13LAK E AND AS ATES NC. ilEtit, 'ESTATE VALUATION ARO CONSUL11/10 48 ni lnternittonat Links- R1telreese COuntry Club Land xa-02 Sales MARKET ANALYSIS Clue to surging land costs, ground -up opportunities are pricey, and investments in existing buildings have become more common in Miami. After sevenconsecutive years of sales volume increase, total sales volume dropped off in 2017. The largest trade of 2017 was in June, when a major transaction occurred with CBRE Global Investors' acquisition of 1111 Lincoln Ref. Th.e 4 Star, nearly 150,000 SF office building was purchased for more than $160 million, The property sold as part of a portfolio sale that included the adjacent 300-space parking garage and specialty building, as well as two lots of land. Another significant. transaction in the city core was the sale of 1221 Erickell which traded to Rackpoint Group LLC for $155 million or $379 per square foot;. Even in suburban submarkets, high -quality assets are trading fora premium. For example, One Park Square at Doral was purchased in September 2017 by TA Realty for $96,1 million or $341 per square foot. At the time of sale, the property was approximately 80% leased with asking rents over $36 per square foot. This was a strong gain from what the seller, New Boston Fund, paid for the property in 2010, when the property was almost fully vacant. SALES VOLUME & MARKET SALE PRICE PER Voktroe Pg Source: CoStar t000 aoo S600 400 S200 H . BA AN ASS OCIATE S#INC. PAL ESTATE VALIiAlti A IISlItlEli 4? IVIiarnI International links - elreese Country Club Land 18414-02 MARKET STATISTIC $1.1131AARKET INVENTORY MARKET ANALYSIS Inventory 12 Month Deliveries Under Conetructlan No., Submarket Sifts SNOW) % Market Rank Bldus SF (000I Percent Rank Mils SF (OM Percent Rank I Avontura 48 2,089 2018 15 2 174 8.3% 2 4 151 7.2% 5 2 eiscayne Condor 125 2,860 2.7% 11 0 0 0% 1 40 14% 12 3 Onctell 72 9,599 92% 5 1 92 1,0% 6 1 100 1.0% 8 4 Coconui Gfove 101 2,247 2.'1% 14 0 0 0% - 2 139 6.2% 6 5 Coral C.int.05 .43e. 11,087 10.6% 4 2 130 1.2% 4 3 422 3.6% 1 6 Corot Way 224, 2366 2,3% 13. 1 14 0.618 11 2 62 16% 10 7 Doontowo Miami 84 12,154 11.6% 2 1 132 1.1% 3 1 194 1.6% 4 8 fltaie air Gardent.,, 62 438 OA% 17 1 7 1,6% 12. 0 9 Ken 532 11,675 11.1% 3 2 48 OA% 8 2 117 10% 7 .18 MmIley,/isaleao 336 4,324 4.1% 9 0 0 0% ,, 1 8 0.2% 14 11 Ka mi 579 7„371 7.0% 6 3 96 1.3% 5 .5 254 3.4% 2 12 Maim Airport 421 19,389 18:5% 1. 1 246 1,3% 1 3 226 1.2% 3 13 ?Alarm Beach 167 4,775 4,6% 8 0 0 0% .0 _ 14 Miarn1 Lakes 141 3,670 34% 10 2 63 1,5% 7 1 51 1.4% 11 15 fitulliea$t Dade 506 6,326 6.0% 7 1 16 0.8% 0 1 98 1.5% 9 16 Ouitym9 lAaati-Oade CrilY 8 182 02% 16 0 0 0% 0 17 South Dade 224 2,443 2.3% 12 1 15. 0,618 10 2 18 0.8% 13 18 'v',.'ast Miami 311 .1,834 13% 16 0 o 0% - 1 6 0,3% 15 Source; CoStar The subject is located in the Miami Airport submarket, which includes 421 buildings, and 19,389,000 SF of space. There has been delivery of one new office building in the submarket, for an increase of 246,000 SF. There are three buildings under construction, to have 226,000 SF. With 18.5% of the total Miami inventory, the subject's submarket is the largest in the area. SUBMARKET RENT Grove Asking Rent 12 M ttli Peking Rent Anntrallzed 0urterty Rent No, Submarket Per Sr Rank Growth Rank Growth Rank 1 A ventura $45.97 2 1.6% la -0.5% 16 2 15Ricayn Corridor $36.06 6 0.7% 18 0% 12 3 brickeli $46,50 1 1.5% 14 0,7% 4 4 Coconuf Grove 638,013 5 1918.12 5.1% 1 $ coral Gables $40.75 3 1.2% 16 0.7% 3 6 coral Way 830.58 11 26% 6 0% 10 7' Dauvritown Miami $3818 6 1,3% 15, -0,4% 16 filaloah f,krdena. $29.35 13 26% 7 01% 9 9 Kendall 629.78 12 4.0% 1 0.7% 5 10 MedleyiHtaleall $26.77 14 24% 9 OA% 8 11 Miami $33,62 8 3,0% 3 ,0,2% 14 12 Miami Airport $31.29 10 3,3% 2 0.6% 7 13 Miaml Re'och $4079 4 .20% 11 -2.9% 17 14 Kam Lake% 627,74 16 2,3% 10 1.7% 4. 16 Northoo1 Dade $28.67 '15 26% 4 0,6% 6 16 Oullyin9 Mir:4(11;411de Cray $21703 7 .0.9% '17 0% - 11 South Dade $27,04 18 2.6% 5 ,,11„1% 13 18 VV,P4t Miami $27.63 17 2.5% $ 0% 1 i source: CoStar JOSEPH J.. BLAKE AND ASSOCIATES, INC, HA ESTA1E VALUATION AND CONSiltritIO 50 tinnal 1.inks-fillelreese Country Club Land �za-02. subject submarket's average asking rent of $31.29/SF The affordable, by local standards. year.. The rents are relatively ah1ARKET VACANCY & NE"t ABSORPTION `1 2 Subtrorket Coral, Gatm, OoratWy Ke�c Medloyiiio 12 13 14 45; 16 17 16 my 246,263 356.156 944,771 222,220 66�a,I7 60,5 2,091,665 2,177' 666IS 137,090 295.;32T 46;631 200,436 540,920 404,166 170 143 3. 172% 7.7% 15.2% 4 MARKET ANALYSIS esents an increase. of 33% over the prior vct:R�ti 4,0 00 37,773 (7ti,350) 4,146 20,770 242 9,742 1.1°la. -07 0,2% 04" t Abeerptlon 14 4 9 2 17' "drtr�teE E SOL r or of 7.7%, which is the ninth lowbe st in Mi has absorbed County. 2, 5 fact e `Ihe subject s su m The subject's rket, e t has a vacancy Is en bject's s bma ket as ab orbstruct ,25 n 8 iowesnt eWV constructed West offices, has less than. t acsnyx SF of newly constructed office space;_ almost all new space the subject's submarket, �e Costar r�i interuat%mat Links =1Vleireese Cnu1trY Club Land Yea 2022 2021 2020 2019 2019 2017 201 cos. 105.9 105.001 rv, 719 1.059 1:0 /0. 1Q4.8F3Q, 0 1,A`15 1<446 1..4 �Z 1p3.775 1}.6% 947 101.76111 6391 -1.6° 16r�1 1,9rPc 24401 0.4°lo 1,% 1 Q2,4 945' e0 1Q5 Q 1%9 1 1% 2Q'1 1Q1„Ei11 c7g G 3°lu r�i37 1.1t"Jo 101,634 1,2%@ . 2312:, t,212 62't 1.Q°0 2411 100,404 .0% 2;}l 1f99,19' 2211, 651 .6% a 2.266 2,4°. 0.'�°Ia yp,19.; 2.d0/a 278 20011 2 A6 3' a�i.927 ,%1°fa 9CS4 a `. �iQ 93,661: 2„60Q: 2 ` .2-:e (a. 24i17 2;931i 2,6°!9 3.9% 20Q6 J1,CaS2 ` V% 3,121 EB,7 a1 131 2CC+5. f SaurC�� CaStar Town slowly over the last few years, primarily due tothe limited amount °Y forg inventory con hast have grown steadily since Vacs as Miami office vacancy factor has remained ate less than 10% since 201. The protected ears. Rents land available new cor�struetten. T, �v continue to increase over the next, few years. rc1'ected to remain at less than 10% for the next five _ M . sp f protected to CptTt m. .,..�_..._. Rents are � ! .,.,..�, shown below, wiARKE R FST H1SSTORl` AND FtsFtEGA AST Net Atsaorr SF 'ta } 1 GreWttt 94 MARK T ANAL "t iS 0.4 t1.4 0,2 Year 2022 2021 2014 2010 Inventory 1,317 1,17`.s Po SF (0.4) to; AOOlq Rent 113 118 Perc9nt Poo 9 5% 9,765 9,1%9 9.247 67%a 8„958. 9,182 J.4°To 9,560 ,A% 11„713 11:A% 12,973 12.7% 1a,s13 11`6% 14,4T1 14.2% Sd.2`1 142% 12.927 13 .1to Q 11 10,3% 7 9013 6,6% 6.247 % Growth 62 1,1 2;4% 1.0 I % 0.2 (0.2) t1.91 0.1 0.3 6,1"1 4,294 2,0% i.0%9 4 ",alas 21.9% 2:0r..7' Miami International Links - Melreese Country Club Land 18-114-02 MARKET ANALYSIS Volume Prite clap Pato Year $alea Volume Turnever Mediae Per SF Avg Nee ludo Overall MARKET SALES 141STORY 2017 145 4,514,856 $965,4138 44% $21651 $8.3.23;1/5 152 5.0% 2016 247 6,438,777 $2,367,132 8,2% $265.80 $7.91610 144 5.o% 415 310 ,949,451 $1,951155 8.8% S24/.60 $51154.364 136 52% 2014 28.9 8,766,956 • $1,625,661 8.6% $206,52 $5,194,350 128 5.3%. 2013 245 5,416384 1,188,564 5.3%, $200.00' $4,502,186 117 5.7% 2012 236 4,638,67.9 5716,733 4.6% $169,02 $3,0$2,952 106 2011 177 4,900,734 $640200 4.9% $143.70• $3,596,629 93 72% 2010 152 4,175,102 $568,996 4,2% $161,25' $-5,826,651 54 7.9% 2009 i oa 1,929,580 $673,937 2.0% $235,.42 43,274,558 55 2608 171 8022 A92 $1.,622,072 6.3% S323.49 $5,246,316 IOU 7,014 2007 196 8922,807 31,135,466 7,414 $298,61 $4.596,308 120 5.714 2008 199 8.614,776 .$1,936,564 '97% S258.68 $8,605,233 114 5.6% 2005 202 7,649,M2 51,169,624 6.6% $2 Sourc: CoStar 64,60 $4.772.753 98 53 JOSEPli ;UAL. [STAI[ VALUATIV4 1010 COIISUITIPO Miami International etrees rout tryClub Land' ANALYSIS ET A conjunction w compiled from published sources and is used i ect Was cr rrila the value of the suiaj property. The fc con r dot to an ` i acting and seccarsdarV data tp. analyse the rriarket trends imp �AA�tC�T ' �W � NATIONAL APARTMENT 1st ()Patter ��� ; Co `the PwC �#er�(�stafe Investor Survey, apartment market will re�rraptes.. According ed investors is that the national ap. rtme t and et will r surveyed end p geographies. s. The consensus amongnoversupply concerns exist for high - end expect downward rtiward pressure solid in nda hawk will outside the luxury segment, ,�pecte is some morn 'Fundamentals will be sturdy s a participant. Another rremerks, rents at the top of the rnarl�et,,, shy pl[n With new suplalytd, over uadancy At yearend 2017, the o rent Trends show growth, but certain areas are. strugglingaverage effective rent that this sector is"showing signs of ,softening rate sat show .4 2% in 2016, as per Reis. At the same time, its from year, gels. forecasts vacancy rise ta�� � 4. r upthe end Hof this y stol'ri et rate at a to 3,6%. �y of �65,i3gg new androweh dipped from-% to 3,3%amid the delivery s an investor ting effective tone Vary city oas' slip supply is delivered:' average initial year performance reds to vary by yatial-ye r average .overall. cap,rate and the watchful outlook for he balance. quarter emphasize participants study while The. increase in this market'sthis +~irates holding theent next six m rate 6,C}°�, of investors foresee (pg. �,�� Over six months, expects cap rate increases of as much as 50 basis points, Key survey Mats, Iational Apartment M►arke' First QuarCurrent Q.uarter La 3.4°%%-10 MARKET IS Vacancy surnption Average' Months, of Free t ent (1. yr lease) Average % of participants using seUi iueith+ 1.0 73.00% o 33,00% 50.00%. saurCa, PwC itea I Estate`(nvestnr Survey, tttueeter 2Ai dltlans Fount mi Intr rrmational Links Metre E 4-02 National Market Yield Rates f National Aparti iscount Rate ORR) Average Overall Average pR e (OAR) Residual Cap Rate Average Market Rent Change R Average EXpenSec iarrgeRcite Average Marketing Time Range 1-9 months ,,, 1-9 rtianths 3.6 3,8 Investor Survey, lst Quarter 211 e :(2,O0%)-5.00% 2A2% Average aril F t ft 4J iUCH 2.00%-3.00% 2.71 % e s. PwC Real AND ASSO 0, 713% 7,36% MARKET ANALYSIS Real Estate Investments nt Market doe 01R rter [ast Quarter Year A;a 0°j° 5.S0%40:0V S,SO%-10.00%. 7,30% 3.75%48.50°%° 3,50%-7.50%q 3.50°,fin-7.50% 5.33% ° 5.32% 5,26% 4.00%-8 50% 4,25%-7.75% 4.25%7.50% 5.05° 5.74% 5,71%° 1.00%)-5.00% 0.00%-5.00%n 2.58% ry 2: 2$5fa„ y 2,00%"3.00%', .00% 400% 2,72% 2.78% Months ,8 TES„' ati© t4� e ese Country C1uix Ltnd AT YS1S NATIONAL APARTMENT MARKET - REALTYRATES.CQM According to the RedltyRates.carn Investor Survey,. lst Quarter 2018, the following tables summarize prevailing mortgage terms and resulting built-up overall capitalization rates (OAR'S) via debt coverage ratio and band of investment techniques, together with OAR'S from consummated transactions as reported by survey respondents based on actual net operating income (NOI) exclusive of reserves and actualsales price exclusive of deferred maintenance. These data are for Class A and B properties nationwide, Mortgage terms and equity dividend rates are likewise national rates as reported by survey respondents. ReaItyRates.com investor Survey Apartments - Alt Types First Quarter zoia Item Mninnurrm Spread Over 10-Yea r Treasury Debt Coverage Ratio Interest Rate Amortiza ti:on Mortgage Constant Lean -to -Value Ratio Equity Dividend Rate Maximum Spread Over 10-Year Ireasury 6.29%. Debt Coverage Ratio -Interest Rate Arnorti zati on Mortgage Constant Loa n-to-Value Ratio Equity Dividend Rate Average Sprea d Over 10-Yea r Treasury Debt Coverage Ratio Interest Rate Arnorti za.don Mortgage -Constant Loan to -Value Ratio Equity Dividend Rate input 0,72% 1.10 3,07% 40 ti43444 0% 6.41 8,64 0.11915 0%D 15.58 % 2.66% 1.43 5 01{p. OAR OCR Technique Band of Invest al Mortgage Equity OAR Surveyed Rates 1.10 x 0.043444 x 0,90 = 4:30% nt Technique 90% -x 0,043444 0,039099 10% x 0,064055 = 0,006405 0,039099 + 0.006405 . 4g 5% 432% 0.06$933. 73.2%, 11.45% Surveyed Rates Sour tyitates,.carn investor survey, lst arter2018 CR Technique of 1avestme M quity OAR Surveyed Rates 1.86 x 0,119.156 tt Technique SO% x 0,119156 50% x 0.1.55760 0.059578 08Y .059S7b` .077880: .077880 = 7 3:75% 13.06%. OCR Tec rniqu Band of tnves Mortgage €quity, ?AR .43 x `0.068933 x 'ti.73 ent Technique 73% x 0.068933 = 0.059462 27% R.0.114493 0,030678 0_050462 4 '`0.030678 = EPli I AKE N t5TT111iAflil Ali5Tl SO CATES I.11ic Miami Internatfrmnai UnsMefreese Cauntry Club Land 18-114-02 MARKET ANALYSIS RealtyRates,com Investor Survey Apartments -Garden/Suburban Townhouse First Quarter 2018 Item Input Minimum Spread Over 1Q-Year Treasury Debt Coverage Ratio interest Rate Amortization Mortgage Constant Loan -to -Value Ratio Equity Dividend Rate Maximum Spread Over 10-Year Treasury 5.14% Debt Coverage Ratio 1.61 Interest Rate 7,49% Amortization 15 Mortgage Constant 0.111173 Loan -to -Value Ratio. 60% Equity Dividend Rate 14,38% Average Spread Over 10-Year 'Treasury 2.93% Debt CoverageRata 1.31 interest Rate Amortization 28 Mortgage Constant 0.069006 Loan -to -Value Ratio 75.00% Equity Dividend Rate 0,72% 1.10 3,07% 40 0.043444 90% 6.41% 9„9, 9% Surveyed Rates Source: Rp,aityllates;,com InVestor,survey, 1st Quarter 2018 OAR DCR Technique 1.10 x 0.043444 Band of Investment Technique Mortgage 90% x 0.043444 Equity 10% x 0.064055 OM 0.039099 Surveyed Rates x 0.90 4,30% 0,039099 G.006405 + 0,006405 4.55% 4.32% DCR Technique 1.61 x 0.111173 x 0.60 Band of investment Technique Mortgage 60% x 0.111173 0.066704 Equity 40% x 0.143760 0.057504 OAR 0.066704 A- 0.057504 -„A 12,4296 Surveyed Rates 11,80% 10,74%,„ OCRTechnique 1.31 x 0.069006 x 0.75 14 6.75% Band of -Investment Technique Mortgage 75% x 0.069006 = 0.051754 Equity 25% x 0.099922 0.024981 OAR 0,051754 + 0,024981 7.67% 7,82% JOSEPH I, BLAKE AND ASSOCIAT REAL ESTATI: VALUATION 49 CDASILLIINO S. I $7 Internatlhrsal Linl#s- Melreese Country Club Land 114. 02 MARKET ANALYSIS ReattyRates.com Investor Survey Apartments - Hi-Rise/Urban Townhouse First Quarter 2018 item Minimum Spread Over 10-Year Treasury Debt Coverage Ratio interest Rate Amortization Mortgage Constant Coati-to-Va"i'ue Ratio Equity. Dividend Rate Maximum Spread Over 1 0-Year T'reas ury Debt Coverage Ratio I nteres t Rate Amortization Mortgage Coiista.nt aiueRatio ur Ave rage Spread Over 10-YearIre asu Debt Cover Ratio Interest Rate Amortization tviortgage Constant Loan -to -Value Ratio Equity Dividend Rate Input 3,27°% 30 0,052357 75% 6,41.% 6.29% 1,86 8,64% 15 L9'158 Equity OAR Surveyed Rates OAR, DCR TechniquE Band of Invest Mortgage Eq ui ty OM Surveyed Rate 135 x 0,052:357 ent Technique 75%4 x 0,0557 25%. x 0.064055 0,039267 DCR Technique 1.86- x 0.1 nd" of investment Technique 50% x 0,119 50% x 0.155760 0.05957; 0,75 0,039267 0,016014 0,016014 = 5..53 0,50 0.05357,8 0,07788i3 77880 75bj DCR Techrttque Band ofMvestme' Mortgage Equi ty 68% CAR 3% Surveyed Rates Source; t:eaItyRate .tam InvesterSury 773 x e Q.080773 rQ x 0,.105322 0,054522 + 0 8,75% 4522 4231 34230 SYS u 8.789 The fallai"rig tables "summarizediscount and equity dividend rates;repeirted. by survey cases, rates were derived from Class.A and a properties nationwide and are exclusive of 'Recapitalizations" refers to re -financing under odrrent use. espondents, Iri all s'erves..Note that Property Type .Apartments "arden/Suburban 1II-Rise/Urban Tip" "Student 1HI01.1si rig New 0eve Min, Ma 622% 15.5 6.22%g14,13CC 744% 5.x 6.79% 15.1 RealtyRates.com Apartments.' First Quarter 20 ent Acqui: Avg. Min- 10.75% 5.41.% 10,04% 5.41% 10,85%" 6,12% A. 11..16% 5,91% :e: Real Wile tes.core ns x. Avg. 49% 12.45% 8.73°fa 13.49% 9,44% 5% 9,71% y, 1st qua rter 2018 Recap itaIizatio Max. Avg, 6.97 6.72 9,94% 0,74 6 EPH :. AKE AN tSf` 1 VAT f! II AA. INC ;Siflg rrmi'irttt 114-02 ks- Melia RealtyRates.com investor Survey Apartments = Equity Dividend Rates First Quarter 2018 Property.Type Min. Max. Avg. Apartments 6.41% 15.58E 11...45%, Garden/Suburban TH 6.41% 14.38E 9,99°% Hi-Rise/Urban TH 6,41% 15,5 % 10.53% Student Housing 6.41% 14,98% 10 25%, sourte:: Rea ItyRates.corrrrnuesterSurVey,tstriu�art r The following table summarizes sales, income, occupancy, and operating expense data, as well as relevant +� and ratios, for class A and a apartment properties in the continental U.S. Apartment; properties are typically garden style, 90-300 units; however, mid- and high-rise, buildings are included in snrne markets,. e,g., New York and San Francisco. Operating expenses do not include reserves for repairs and replacement. Note that the cap rates provided are based solely on average market -wide operating fundamentals and sales prices. As such, while they are: analogous to as is"" rates, they should be used with, caution,in addition, due to rounding, `'% Change" may be slightly positive or negative although no change is indicated,. MARKET ANALYSIS FiealtyRates.cam iviarke't: Nationwide - lass A & B Apartments w 9Q+ Units First Quarter 2018 4Q2017 3Q2017 r`si.cf Operating Data income •As-ki hg Rent ffective Rent Other Income Total. Income Vacancy Rate Effective Gross. 1ncorrre (EG1) Expenses Total Expense Expense Ratio Net Operating ineorrme (NOI) vestment Datr Average Sale Price Overall Cap Rate (OAR). Gross Rent Multiplier (GR I) Effective Gress income Multirliei 5ta a rc e;. rte e tty Ra t e s .o LQ% 231 $1,215 1.1% $4 $4 10% $1,235 $1,222 1 5.0% 4,9% $1,173 $1,.162 $468 $466 39,89% 40,06% $705 $697 i1.,855 $101,33 8,3 8,2% 6:9 6.93 7.23 7.27 y,1stq,uarter2p18 MIAMI APARTMENT MARKET ANALYSIS According to the GoStor• Multi-Farniiy Mrirket Report, Miami is starting to experience softeni fundamentals after several years of growth. •Construction has escalated in the past several years, and vacancies have increased every year since 2013 Miami currently has almost 15,000 units under construction and around 9,000 units set to deliver in 2018. More .unfits will have been delivered in the last three years than the last 15 years combined, Despite this remarkable supply pipeline, demand has done agood Job of keeping pace, and many of these new units have been absorbed, Rent growth has stayed positive, though it has decelerated from the record - breaking highs seen in early 2015. Annual growth closer to the .historical average may become the new normal in the face of Miami's ongoing supply additions, .5% 0.7% JOSEPH J. BLAKE AND ASSOCIATES, 1 .; L S1' it VALUATOR ii mi ll`tllll 59 mi Inter rtatisknal Links - Melreese Country Club Land ti4.02. KEY INDICATORS MARKET ANALYSIS Quarter 4&ta rY0Y) Absorption Ur Delivered Units Demolished Units Asking Rent Growth (Y0Y)' Effective Rent growth (YOY) bates Vohime Units Vaean 33,f167 31,178 79,281 014 3,050 4,244 17 t}istaricar Average 96 264 6573.4f.. Asklej rent Cff Uv# t1 82,022 $1,076 1,445 81,410 $1,061 e , °Star $1.7B Abaorptlo Unite 104 2007 al 2(K17 01 201604 Dell rod Unite UnrierCon units 5t0 13,427 0 263 0 0 11,6 Troop 48 0 •5.795 2042 04 2002 04 200b 02 20099 02. 2006 04 Eungaimentais The overall vacancy for the metro has increased about 100 basis points in the last two years, and is currently hovering around 6%, This is higher than the metro's historical average but to be expected considering the amount of new supply being delivered, it should be noted thatfor the majority of the expansion, Miami's vacancy has trended under the national average. However, it is expected to surpass the. nation toward late 2018. Miami has seen more deliveries come an line in the last three years than in the prior 15 years combined, and there is no sign of a slowdown in the immediate future. The new projects in Miami have been predominantly rated as 4 & 5 Star, with condo -style finishes, and increasingly robust amenities. The concentrated construction of similar product has not surprisingly pushed vacancy higher within the top tier, Vacancy 1n 4 & 5 Star properties is ,dramatically higher than in lower -rated properties, peaking at around 1.5% in early 2017 and more recently settling down to around 13%, This is about 3% higher than the national average for 4 & 5 Star product, which is also seeing an elevated vacancy rate for this class compared to 3 Star andbelow product. Considering the amount of new supply that is being added to the metro, the metro is seeing very reasonable lease -up. In 2017, "apartment communities were leasing up at an average of 20 units a month with two weeks of concessions. This is comparable to 2016 vintage projects, for which units leased at a rate of about 21 units a month and concessions were closer to three weeks. This stable demand can be partially attributed to a late surge in job growth in the metro. Year -over -year job growth in Miami is currently outpacing the national average and is expected to continue to do so for the foreseeable future. Employment growth in the professional and business and health and education sectors has been good and is actually expected to moderately outpace the national average through the forecast period. Considering these types of jobs are generally higher paying than the metro's median wage, there may be enough demand to keep apartment vacancy from spiking to levels that would require a reversal of rents. JO EP A E A ASSOC '11' SaINC UAL l STA1f VALUATIiitl AUG G 4S-0 fliifl 60 Miami international Links - Merrese Country Club La 18-114-02 ABSORPTION, NET DELIVERIES & VACANCY MARKET ANAL. SIS 3,500 1000 2.500 2000 1,500 1,000 500 -600 .000 at 2012 2013 2014 2015 2016 201'7 2018 2 19 2020 021 Foreca$t AbvarlItcy N,31 tne Ivocanay • united states vzcancy Source: CoStar 85% 50 75 % 7,0 % % 6,0% 55% 50 % 4.5% Supply Units under construction equal 10% of the current inventory in Miami, versus 4% for the nation as a whole. The majority of new buildings have been 4 & 5 Star luxury apartrrients, with the majority going up in Downtown Miami, Wynwood, South Miami, and Doral. A small cluster near the intersection of Highway 1 and the Palmetto Expressway popped up in 2017. Development for 2018 is again concentrated in downtown, and there are also a few projects on North Beach and in the Coral Way neighborhood, Supply in Miami is still going strong. Over 5,500 units delivered in 2017, setting a new historic high for the metro, and 2018 is expected to be supply -heavy as well, with around 9,000 units unclerway. Three of these will Include over 500 units. These include SoLe Mia, a high-rise tower near the Oleta River State Park in North Miami that will include both condos and apartments; Square Station, a new high-rise in the heart of the Arts and Entertainment District; and the apartment portion of the 64-story Panorama Tower development in Brickell. Panorama Tower, which will be Florida's tallest building when it is complete, may not hold the title for long, Florida East Coast Realty intends to follow up the project with the even more massive One Bayfront Plaza, a mixed -use tower expected to break ground in 2019. Under the current plans, One Bayfront Plaza would rise more than 1,000 feet and include as many as 900 apartment units. Needless to say, the vast majority of projects of this scale are concentrated in the BrickelljDovvntown Miami Subrnarket, where rents are typically high enough to justify such high -end construction, JOSEPH J, BLAKE AND ASSOCIATES, SEAL ESTATE V41,11A110K ARO CONSOLTINO 61 Miami International Links - Melreese Country Club Land 18414-02 DELIVERIES & DEMOLITIONS MARKET ANALYSIS 3,000 2500 2,000 1„500 1,000 500 IForeca t 4..1 xx. 2012 2013 2014 2015 2010 2017 2040 f3sliverles • Dentaa)ed • Net Delivenss UNDER CONSTRUCTION Property NametAxklrees Rating Sole Mira 15045 Biscayne Blvd Panorania 'rower Apartin 2 — * 1101 Brickell Ave Pock Line, Towers 250 NW lst St Square Station 1424 NE Miami PI An Plaza 58 NE 1401 St River Landing. 1400 North River Dr Varadero Residential 18801 Collins Ave 1 3 5 6 7 unfl Source r CoStar 2012 2020 2021 Store0 Mad Coniplote * * * 878 20 Sep-2017 821 64 Mar-2016 * * * * * 816 33 Oc1-2017 * * * 4 710 34 Sep-2015 * 667 36 Jan-2018 * * * 507 5 Jr.4-201 7 * * * * 490 Oct-2017 Source: CoStar Sep-2018 Apr-2018 Oct-2019 Oct-2018 Mar-2019 Jun-2019 Sep-2018 neveioperrowner Turnberry Associates Turnbemy Associates Florida East Coast Realty, I LC Florida East Coast Realty, LLG All Aboard Florida Florida East Coast Industries, Inc. The Melo Group The Melo Group The Melo Group Hellinger Penabad Companies HelIinger1Pe!asbadI Companies Chateau Group Chateau Group JOS PH J. BLAKE AND ASSOCIATES REAL CSTATE VALUATION AND CONSULTING INC. 62 28 Miami Interne 113-114-02 UNDER CONSTRUCTION ks • Melreese Country CUb Lan Property Harne/Addrass X Miami 230 NE 4th S9 t Seventh Street Apt intents **** 5914E it St 0 11 12 14 45 19- 47 14 19 21 likkown 3101 Nt 1St Ave MINA at Ittiantt Wentke.„ 120 N5. ath Ave Rodent Metre Saeldand., 8215SW 72nd Ave Satitair Banked Apadree.,, swsth st World Trade Center Or T_ -840 Biscayne Blvd Midtown 8 moi NE 1st Ave 2145 81E1S4th St elegaves 27 270113*m** 8808 Setente Bitm Lagoon 5379 NW 7111.S1 The Wave 0511.--737 Afton Rd Park Vkw 047.04= SW 174111. Madera Edgewater 410 NE25th St Motion at Dadeland 00S0 SW 840t ittlynetnott 25 21543914W 246 St 'The Gettery at West 201 SW 10th Ave Wage at Deering Gs wee. 20040 SW 137thA28 ve On at glue Ligoon 070011W 781 St Allantioo Palmetto Bay 27 17945 SW07th Ave 81areon Brinkett 1100 SW 2nd Ave Rating Lint* Storms Stan complete * * * * A 494 31 Jun-2010 Sep-2018 450 43 0eo-2010 Aug-2018 ***** 447 32 Sep-2017 Dec-2019 * * * 420 44 Jut-2017 * * * * 422 25 Dec-2017 0012019 420 49 Jun-2015 Apr-2018 * * * 400 77 Aug-2010 Aug-2019 ***** 387 28 Jan-2017 Apr-2018 ** ** 34g Oct-2017 Aug-20113 30 Jul-2017 Dec-2019 * * * * 330 8 Jen-2019 )im-2019 * * * * 32 � Mar-2017 Deo2018 * * * *aoa Feb-2018 Jan-2019 ***** 297 F8b-20 le Apr•701 * * 25 Aug-2010 Sep-201$ * ****8 Ail-2017 Jan-2010 * * * 287 Apr-2017Apr-2019 * * * * 281 3 Jan-2018 Dec-2018 * * 272 9 Deo-2017 Jun-2019 ***** * ***,A **** * **** 330 289 211 202 Source: CoStar Nov-2017 Sep-2018 Jun-2017 Juri-2019 MARKET ANALYSIS Revelopenowner Property Markets Group, Ino. Property Markets Group, Inc. Falcone Group Falcone Group Magellan Development Groto, Ltd. Magellan Development Group, Ltd. Feb-2020 ZOM Florida Inc. Mgt Creek Residential Trust LLC Milt Creek Residential TrObt LLC ZOM. Inc ZQM.Ir Regalia Developers Regalla Developers Wood Partners Wood Partners Eden Multifamily Ma Eden-Mag Mvergate Companies IRO IV Member, LLC Sakor Development Estate Investments Group Estate Investments Group Crescent Heights The Pugliese Corporation Mill Creels Residential Trust LLC MrH Cree.k Residettial Tnist LLC Adler Realty Servioes. LLC Adler Realty Sere, LLC East End Capital Partners, LLC City of Miamomunity Develo, Al -IS Development Group AHS Development Gimp Pinnacle Housing Group Pinnacle Housing Group Panjul Corp FOILS Corp ZPS Management ZOM, Inc, JOSEPH J. LAKE AND ASSOCIATES, REAL ESTATE VALUATIOn AU CONSULTING 63 Miami international Links - Melreese Country Club Land 18-1.14-02 MARKET ANALYSIS Rents The overall rate of rent growth has decelerated significantly in the last two years, If we look specifically at 4 & 5 Star properties, rent growth has actually been cooling off since 2012. Vacancies for 4 & 5 Star properties hit an all-time peak of 13% in 2016 and are expected to remain high for the next couple years due to the wave of properties working through lease -up. Correspondingly, overall tent growth is forecast to slow to its historical average of roughly 2%, while growth among 4 & 5 Star product is expected to decelerate to half of that tate. This is in line with nationwide trends, Miami is currently in the top 15 of the most expensive metros in the nation, Asking rents per unit are at a 20%premium over the national. average. Since Miami's median household income is more than $10,000 below the national average, purchasing a single-family home can be difficult for many residents. In the, past more than 20%. five years, average incomes in the metro have increased about 9%, while rents have cumulatively risen AMiamj ccording to data from the American Community Survey, both renter and owner households of all ages in are Considered overburdened. Nationwide, over 30% of households spend more than 30% of their incomes toward gross housing costs, in Miami, households are spending nearly 50% of their incomes towards gross housing costs. Millennia's particularly feel the squeeze, as a higher share of them are renters than owners in Miami', and they are also more likely to be living with a parent or relative than Millennials elsewhere in the nation. Miami experiences the most job growth in the leisure and hospitality industry and is also currently experiencing significantly higher growth in trade, transportation, and utilitie, These are typically lower - paying, blue-collar jobs. The rapid rise of rent earlier in the cycle created a large gap between incomes and rents for most of Miami's citizens, In the near term, rents are likely to continue to grow more slowly as even more construction in the pipeline will keep competition alive and well, ASKINGRENT PER UNITA RENT GROWTH $1 700 $1,500 $1,400 $1.300 ) 2012 2013 2014, 20M MM 2017 MU 2019 2020 424 a Rem Growth •StW Asimg ,RfrthlPrUnN 7 .% 6 041 2 rro % ENteve Rent Per Woe „, Lirtitora Sitatett iit,et Par Una Source: CoStar EP LAKE AND ASSOCIATES REAL ESEATE VALUATION AND CONSULTINO 64 Miami International Links - Melreee Country Club Land 1.2-1.14-02 ASKING RENT PER UNIT 8Y BEDROOM 2200 $2,000 $1,..$00 $1,200 Si,000 2012 2013 MARKET ANALYSIS 2014 2015 2016 2017 a skid* ta 2004 '4 '11.3t.44 Source:. CoStar Sales Investment in Miami has been elevated the last three years, with 7% of inventory turning over on average. $180,000 per door. And despite continuously climbing vacancies and slowing rent growth, pricing has climbed to about The leading submarket for investment volume in 2017 was E3rickell/Downtown Miami, followed closely by Coral Gables, One of the largest trades in the metro during the last year was the safe of the Manor at Cityplace Doral in the Miami Springs/Doral Submarket, In August, the 4 Star 398-unit property was purchased by TA Realty for$13.5 million. The previous owner was a joint venture of PGIM Real Estate and the Related Companies. The property represents the rental portion of the larger mixed -use center known as CityPface Dora!, which includes more than 300,000 SF of retail space, JOSEPH J BLAKE AND ASSOC A S tNC RIAL t5TAIE liAL11/111011 AND CULT 65 Miar International Links - Melreese Country Club Land 18414-02 SALES VOLUME & PRICE PER $200,000 s 180,000 $160 000 $140 000 $120 000 $100,000 $80 000 $60 000 $40 .000 2008 2009 2010 201 1 2012 2013 '2 a 4 2075 2016 201 WBMARKET ItiViWTORY tio subniorke 1 Aventura 2 &a/ HarboviSouill 6each 3 Coco/ Gro 4 Coral Gab/es 5 Oovialtawri 6 1-INAie.01/Miarni LzkRR 7 HuroesteacilSoutti Dado B 9 Marni Gatt.tenvOpa,Locka 10 Miami So/lugs/Dor/A 11 North Kant/ beach 12 Outlying Miarou-Oodo co, 13 1Ale%tchettertrarroatui SafeN Volume Price/Alun finitwiStato,,tt Pinottirot ource; CoStar MARKET STATISTICS inventory 12 Montn Delleenee akips Units % Market Rank Mao Units Pereent Rank 18 2,147 I 5% 11 0 0 0% 860 15,497 /o.a% 6 0 0 0% 111 1,900 1.3'Yo 12 t 15 0.8% 307 7.075 4.9% 8 2 640 9,0% 1,498 24,843 17.3% 1 4 726 2.9% 699 18,282 /2,7% 2 1 100 0.5% 175 7,359 5.1% 8 2 571 7,8% 80 13,443 9,4% 7 3 548 41% 689 17,571 /22% 3 3 485 2.8% 350 16,502 11.6% 4 3 838 5,1% 738 15,717 11.0% 5 0 0 0% 3 539 0 4% 13 2 323 59.9% 7 36 2,593 1 83b 10 0 0 (71% Source: CoStar The subject is located in the Miami Sprins/oral submarket which Inc units. There has been delivery of three new apartment buildings in the s units. There are three buildings under construction, to have 616 units, inventory, the subject's submarket is the fourth largest in the area PR i LAKE A ASSOC A REAL (STATE VALUATION AND CallStltHNO 9 3 2 4 6 MARKET ANALYSIS $800 5700 $600 $500 $400 2300 2200 $100 W rier constitscrion kudos Unite Percent Rank r 490 22.8% 7 4 362 2.3% 9 2 272 14.3% 10 2 381 5,4% 8 21 7,816 31,5%1 1 226 1.2% If 6 1.124 15,3% 2 3 866 $.44 4 2 659 3,5% 6 3 616 3,7% 6 1 878 5.6% 3 0 9 0% 0 0 0% eludes 350 buildings, and 16,502 ubmarket, for an increase of 838 With 11.5% of the total Miami Miami International Links - Me3rees Country Club Land 18.114-o2 MARKET ANALYSIS SUBMARKET RENT Askfrtg lent Effective Rents N. Submarket Per Unit Per sr Rank Yr, Growth Per Unit Per Sr' Rank Yr, Growth Concession Rank 1 Aventura 91,818 $1,75 8 40% . 61,809 61.74 7 5.4% 0.5% 13 2 .Dol Harbor/South Beach 51,496 62.02 4 44% $1485 SZOO 4 -01% 07% 12 3 Coconut Grove 4 Coral Ciableo 61.632 $2.18 2 2.2% $1,535 $2.04 3 2.7% 6.0% 1 51,866 62.19 1 -3.1% $1.786 52.10 3 -5.4% 3.8% 2 5 Downtown Miami 6 Hialeah/Miarti Lakes $1,869 $2,11 3 17% s1,833 $106 2 1:9% 1,9% 6 $1,310 61.50 11 2.7% $ t2a9 51.47 11 ao% i,.l% 7 7 Honles.teat119outh Dade, $1,196 $1.34 13 3.4% $1,176 $1,31 13 1.8% 2.1% 5 . • 8 0.nciail 61,594 51.72 9 1„6% $1,559 $1,70 9 1.6% 1,6% 8 9 4arrit (3ardens/Opa-Lintca 61.162 $1,46 12 3.0% $1,168 S 1 .44 12 2.5°,4 1,1% '10 10 Miaml Sprelgo/Dora1 $1,720 61.81 6 22% $1,674 $1,76 6 Z2% 2.7% 4 11 N. Miami Beach $1.239 9/.53 10 25% $1,227 $1,61 10 3,2% 1.0% 11 12 Cketlyfog Mial.o1-111de Co,. 91„950 91.04 6 13.2% $1,928 61.81 6 11.8% 1.2% 9 13 WestchentroriTanrarni I 91,356 $1,76 7 5,2% $1,316 91.71 /3 4,34 2,9% 3 The subject subniarket's average asking rent of $1,720 or $1.81/SF represents an increase of 2,2% over the , prior year. The rents are relatively affordable, by local standards. SUBMARKET VACANCY & ADSORPTION vavancy 12 Month Absorption Ho, Subtnarket Ltntbx Parotid. Rank Units 205 % of Inv Ronk Conetruet. Roti9 1 Ave loura 142. 6.6% 7 9.5% a 2 Bal HorbortSouth Beach i 857 5.5% 4 282 '1.8% 6 ' a Coconut Grove 139 6.9% 8 52 4 CarAi (3.31This 801 11,3% 12 238 32.48: 11 '' 7 2.7 5 Downtown Mom 1,875 7.5% 11 711 2.9% 2 0,7 6 Haieoh/Mkanii Lakes 400 Z2% . 1 54 0,3% 10 1.9 7 Hornestf3adiSoutli Dade 277 3.8% 3 53 / 7.2% 4 1,1 a- Keixi.:iii 926 6,9% 9 650 4.8% 3 0,7 9 Miami Gardensiopa-Locka 1.,021 5.8% 6 96 0.5% 9 5.1 10 Miami SpongsliDoral 7.4% 10 -1,228 1,147 7,0% 1 0.7 11 North Itlfami Dead). 93a -a,o% 6 279) -1.6% 13 - 12 Outlying Miami-Dode r,o..- 65 13 258 47,9% 6 13 12.0% 13 Wotcheotertramiarni 67 2.6% 2 31 12%. 12 - Source: CoStar Sourcei CoStar The subject's submarket has a vacancy factor or 7.4%, which is the fourth highest in Miami -Dade County. The lowest subrnarket, Hialeah/Miami Lakes, has a vacancy rate of 2.2,%, while the highest vacancy rate of 12,0% is located in Outlying Miami -Dade County, The subject's submarket has absorbed 1,147 units over that past 12 months, JOSEPH i. BLAKE AND ASSOCIATES. INC, REAL ESTATE VALUMON AND CONSULTING 47 Miarni International Links - Melreese Country Club Land 18-114-02 MARKET FUNDAMENTALS HISTORY AND FORECAST MARKET ANALYSIS Inventory Het Abootption Vox, Ailey I'm Unita Growth % Growth Unita % Growth Constret, Roth) Unite Pf NOM Pill$ c1t0 2022 141,200 1,264 0 9% 1,126 0.8%1 1 1 7,557 6 4% (11 2021 139,936 973 0.7% 828 9.6% 1.2 1,4 19 5,3% 0.1 2020 138,963 1.0211 0 7% 1,217 0.9% 0.6 7,274 6,2% 012) 2019 137,943 3,262 2,4% 4,054 3 2% .0 fj /ATI. A% 817) 2018 134,661 5,720 4 4% 6,128 5 1% 9.9 8,244 6 111. (0.6) 2017 128,941 4,465 3,6% 3,247 2.8% 1 4 8,652 6,7% 0 7 2016 124,476 5,064 4 2% 3,7ce 3.3% 1 3 7434 6,0% 6,8 2015 11 9,412 3,676 3,2% 3,039 263 1 2 6,136 5.1% 0,4 2014 115,736 2.931 2.6% 2,496 2.3% 1,2 5,499 4, 8% 63 2013 112,803 1,609 1,4% 2.297 2 2% 0 7 5,062 4.5% (0-7/ 2012 111,194 1.004 0,9% 621 0 6% 1 6 5,750 5.2% 0,3 2411 , 110,190 797 0,7% 746 0.7 1.1 5.366 4,9% 0,0 2010 109,393 635 0 6% 1,407 1.4% 0 5 5,316 4.0% 107) 2009 108,758 1,193 1 1% 1476 1 5% 0.6 6,066 5.6% 10.3) 2008 107,565 560 9,5% (4991 -0.5% - 6,370 5,9% 0,9 2007 107,005 1,743 1,7% 0531 412% 5,341 5.0% 1 7 ' 2006 105,262 149 0,1% 53 0.1% 2.6 (.3,445 3,35 0,1 2005 105 113 173 0 2% 2, 126 2.1% 0 1 3,346 3 2% (1.9) Source: CoStar The Miami -Dade County apartment inventory has grown slowly over the last few years, primarily due to the limited amount of land available for new construction. The vacancy factor has remained at less than 7% since 2005. Vacancy is projected to remain at less than 6.5% for the next five years. Rents have grown steadily since 2005 as shown below. Rents are projected to continue to increase over the next few years, MARKET RENT HISTORY AND FORECAST ,_ .,..,..„ !Islam Rent Effective Rent Year Per Unit Per SF in ex % Growth Per Unit Per SF % Growth CenceseiOne. 2022 61,680 91,96 132 2,0% $1,607 61.94 2.0% 45% 2021 S1,598 91,92 129 2,1% $1,575 91.90 2,0% 1,4% 2020. 91,566 61,69 127 2.3% , 51,544 61,86 2.31,. 1.4% 20.19 91531 91.84 124 2,4% $1,509 6162 2.7% 1.5% 2016 91,49'5 $1.80 121 2,3% 91,46$ 91,77 2.6% 1.8% ...... , . 2017 61,403 $1.7.6 118 11,1% $1,431 61.72 1.7% 2.1% 2016 .$1,445 91.72 117 2.4% tiAoa $1,67 1.5% ZG% 2015 $1,412 9 1.7°C/ 114 42% 1.1,387 91.67 3,8% 1,7% 2014 61,955 $1.64 110 3.0% $1,337 91,62 2.8% 1,49;. 2013 .s 1 ,a15 st oi 107 3,6% 91,300 $1,59 3.9% 1,3% 2012 81,271. $1.56 103. 3 .6 % 91,252 61.53 3.6% 1.5% 2011 91,227 9.1.51 99 1,3% 51.20a ttAtzt 1.3% 1.6%. 2010 $1212 $1.49 98 1,7% 61,193. $1,47 1.5% 1,6% 2009 61,191 61.47 97 -3,5% 61172 $1,44 -3.50;, 1.6% 2008 91,234 $tza too 48% $1,214 $1,50 -4.1% 1.6% 2007 si ,279 61.66 /04. 2,6% $1,266 .$1.57 .2" 1,0% 2006 91,247 9117 101 7,0% 51236 6155 10% 0,8% 2005 S 1 , 165 91.46 94 4.6% 91,156 $1.„45 44% 0;8135 Source: CC/Star JOSEPH J. BLAKE AND ASSOCIATES, INC. UAL ESTATE VALUATION AND CONSULTItiO 68 Miami Inter1 Links Melreese Country Cub d 18-119-02 MARKET SALES HISTORY MARKET ANALYSIS Volume Price Can nittee Year Selen Units %initiate Ttirneveti Median Per Unit Avn Price Index Overati 2017 185 9,086 $1,428,3M 7.0% 5131,250 $9,065,948 153 ,52% 2016 363 15.412 81 .927,109 12,4% 8118,750 35,443,1112 154 5.0% 2015 378 18,585 $1.185,163 15 6% 3100295 $3.301,290 146 5.1% 2014 447 16,030 3944.499 18,9% 891,671 62,146,590 138 6.3% 2013 376 10,615 $854,451 844 385.333 $2,527,962 12a 55% 2012 325 13,1371 $841,917 12,553 375,000 $2,943,765 114 5,9% 2011 243 9,918 63136.998 S.0% $63,125 81,869.558 57 6,7% 2010 1e9 44,786 5447,020 40,9% 359,250 82,776,522 85 7,5% 2009 174 8,660 $350,374 8,0% $66,667 32,231,682 86 7,5% 2008 145 105,578 $258,137 , 58,253 572,509 $1,805,153 100 7 2% 2007 134 9,075 8606,632 8,6% 887,967 54,427971 1 19 GA% 2006 ze 12,917. 61,427,891 12,3% $100,000 35,71tb64 131 5,6% 2005 368 17,407 51,8801227 16,6% 395,000 $5,137,232 126 5.-3% Source; CoStar CONCLUSION The subject is located in a submarket that has seen steady rent growth as well as low vacancy for the last 12+ years, A limited amount of land for new development has prevented any large-scale competition in the area. Most of the nevv inventory has been constructed in the Doral area of the subject's submarket. The low vacancy rate has allowed property owners to Increase rental rates, with rents increasing steadily over the period analyzed. The new construction that has taken place has been immediately absorbed by the market, indicatingthe submarket is healthy, The population in the area continues to grow, as some suburban areas are being redeveloped with higher density apartment buildings, condominitmis and townhomes, The increasing population is a positive sign for retail tenants, Overall, the factors that have led to the subject's success appear to be in place and are projected to remain in place for the foreseeable future, JOSEPH J, BLAKE A ASSOCIATES. INC. NEAL ESTATE VALUATION AO C ITSULTINTI Miami International Links- Mefree5e Country CIuk Land 23-114,02 MARKET ANALYSIS CASE STUDIES We provided case studies of several rnixed-use developMents located throughout Miami -Dade County in order to determine the best proposed development MIX for the subject property, Downtown Doral Downtown Doral is a master planned 250-acre community, When completed, the $1 billion project will include Doral City Hall 2,840 residential units, eight condo tewers, a charter school, a 3-acre park, and Main Street, which will have more than 70 retail stores and restaurants with 180,000 square feet of retail and more than 1 million square feet of office space. The developer, Codina Partners, completed 5252 Paseo, a 203-unit 20-story tower at Downtown Doral, about a year ago. Codina Partners aiSO sold out 5300 Paseo, a 21.9-unit building, the second condo tower in Codina's Downtown Doral mixed -use development, for $88 million. According to The Real Deal published 1/27/20L6: The developer said most buyers cit 5300 Paseo were looking for second homes. The representative of the developer said that because of the project's charter school, they leave a portion of the building at the end ta try to push local buyers. Those units require only 20 percent deposits, pending bank approval: 5300 Paseo was completed in October, codina broke ground on a 23i-unit apartment tower and.a second, 52,000-sguare-foot phase of retail at .the beginning of April 2017. A 50,000-scluare-foot Publix is also underway, and the developer's representative said it's also likely that a public library will be incorporated into community. Sieger Suarez Architects designed 5300 POS80 and 5252 Paseo. Amenities at 5300 Paseo include a gym, yoga and aerobics studio, sauna and treatment areas, social room, playroom and meeting room, an infinity pool and resort -style pool deck. Next in the pipeline is 5350 Park, which is about 50 percent sold. Codina will break ground on that tower sometime during the second quarter of this year and complete it about 18 months from then. Interest at 5350 Park is coming from Ecuado6 Bolivia and Peru, the developer said. Downtown °oral's roots lie in the former Koger Office Park, a series of 32 squat office buildings built in the 1970s that housed mostly government workers. The original developer, Ira Koger„ built such projects as Real Estate investment Trusts„ or REiTs, all over the country, using the same model,- buy cheap land in the middle of nowhere and build cheap office buildings, aiming ao be the lowest -cost bidder for government terionts.'Thot formula Worked until Sent 11, 2001*. in the wake of the terartStattacks, the U.S„ government decided it no longer wanted it employees concentrated in one place, so as not to be an easy target. In one of the priciest land deals in Miami -Dade county history, Codina Partners and iennar Corp* closed an a joint purchase of the White Course in Dora], with plans to redevelop the golf course into a Mixed - use project Cod/no and Lennar are the winning bidders in the sale of the 130-acre property, beating out developer and presidential hopeful Donald Trump, Shama Group's Masoud Shojctee and others, The seller is GIC the sovereign fund of the government of Singapore, which obtained the property through bankruptcy actions. 'The property is in very high demand," said Robert Given, vice chairman of investment sales for ORE, which marketed the property on behalf of the seller, He declined to disclose the number of bidders, but said that more than 100 investment groups had requested investment packages. JOSEPH J. 8LAKE AND ASSOCIATES.INC. HAL ESTATE VALurf"Atfl colisuLTIND 70 Witarni lnteratJonaI Links -Mfreese Country Club Land 18-114-02. MARKET ANALYSIS The White Course, located in the northeast quadrant of Nortrivvest 4,1st Street and Northwest 87th Avenue, is COntIQUQUS to the Trump national Dora! Resort and codina's 120-acre Downtown. Dora/ mixed -use project. it was a complicated transaction, Given told TRD. "Its use has been a golf course far a very long time and we are very sensitive in selecting o buyer that is complementary to the city of ()oral," cadina Partners and tem/or will split the acreage 50/50. Coding said .he plans to build, with longtime partneriirn Carr, about 390 singiefamily homes and about 0 townhouses, 'We're going to build something to complement Downtown Dorai," Coding said, The $1 billion mixed, use development will include 2,840 residential units spread between condominium towers, townhouses and rental units, as well crs office buildings, a charter school and government center. Codino and tennar are also partnering together on the retail and restaurants component of that project. The ['oral submarket is a very dynalnic market in this real estate cycle," Given said„ 'And there is increasing housing demand in Dora] in direct result of the redevelopment of the Trump Dora] and Mr, Codires DOWIltOWil Dora! development." White Course The 130-acre-White Course's zoning allows for 2,709 residential units, 160,748 sqUare feet of retail, 850,805 square feet of -office space, 164,790 square feet of ciVioirminicipal square feet, a school and amphitheater, according to CBRE's offering memorandurri, aids were due on My 15, 2014, The property's. toning parameters were set ,forth in a master development agreement between the :propertys predecessor owner, MSR Resort Hotel, in 2012. The agreement is. in .ace for 2 years, and development must begin within 10 years, according. to the CRRE offering The agreement was part of a court settlement between the former owner and the city,. CityNace Dorat Dora! is in the midst of transforming with new construction, In addition to Downtown DoraI, other projects, include Shoma and the Related Group's mixed -use project Another example of development in the subject's area is CityPlace Doral, which wilt consist of a mix of 300,000.* SF of retail space. In addition to the commercial properties, living at CityPiace Doral is in the works with shopping, upscale dining, outdoor cafes, and entertainment that includes a movie theatre.. The CityPlace Apartments is the first phase of the residential portion of this new urban community. Slated to be completed by this summer, the plans show that there will be 398 apartments. The second phase of rental apartments, CityPiace Flats, will sit atop the enormous retail project. There will be 300 Units in a seven story midrise that is tentatively stated to start construction this summer. Maria Wynwood One of the largest developments planned for the Wynwood area is the Mana Wynwood SAP, located east of 1-95 and west of NW 2 Avenue and south of NW 29thStreet„ The Mena Wynwood SAP would consist of a group of 24-story towers on three blocks running along Interstate 95 at the district's western border. The towers wOulci house a contemplated international trade center that has attracted investment interest. The.Mana special area plan, one of the largest ever seen in the city of Miami, represents a massive up - zoning for his holdings, with 10 million square feet of planned development — 2,5 million more square feet than would be permitted under existing Wynwood (NW-1) zoning JOSEPH J. BLAKE AND ASSOCIATES® IN REAL ESTATE VALUATION AND C0NSOLTINO- 71 i lnterin onal Links ll�Eetr MARKET ANALYSIS According to The ReaIDeal published 4/5/2017 Developer Moishe Mana revealed that he's moving forward with the Mona Wynwood 'Americas Asia Trade Center & international Financial Center, a massive; trade hub set to break ground by mid-2018, The trade center will have more than 10 million square feet and is aimed at facilitating trade between China and Asia,. Latin America, North America and the Caribbean, according to a press release. Phase one will have 4.68 million square feet of C'tass ;A office space, showrooms, retail; hotels and public space spread across B.s acres, and is part of Mana's big plan for Wynwood. Mana's Special Area Plan spans more than 40 acres in the artsy neighborhood, Overall, Mana Wynwood encompasses 51,146 square feet of civic spate, 3,487 residential Units, 8483 parking spaces, and a 23 acre privately owned park dubbed "Mona Commons/' The trade center is expected to house importers and exporters., logistics companies, and trade and export agencies, and would be located along 1-95,according to its website. The developer estimates that it could create about '.20,.000 indirect and direct jobs in South Florida. Malys trade industry already Includes organizations like World Trade Center Miami.. The Miami city Commission approved the SAP in September. The Wynwood Business improvement District and Mana agreed to split the developer's 2S-acre project into two phases. His trade -oriented towers along Northwest Fifth Avenue can only be built after receiving building permits for a large portion of the culture and education -centric eastern half on Northwest Second Avenue, which Includes the Mona Commons: Property records show an entity tied to NAI fame develoment.ite West Kendall Baptist Hospital, Kendall Town Center is fully entitled and infrastructure has been completed with the Phase I development of Baptist. Hospital, The Town Center will link new medical :office buildings, a community center with ari open-air retail center, two major department stare anchors as well as a sports anchor, and numerous specialty retail tenants and restaurants, The project DM allows for more than 731,000 SF of additional development.. est Kendall Holdings, a subsidiary of the Howard Hughes Corporation, sold the nearly" 70-acre parcel at autheast corner of Southwest 88t`Street and Southwest 162" e Avenue for about $14 per square foot: Previous transaction information wasnet available in property records,. Plans for the parcel are to be determined, Eckstein said, adding that the owners intend to ask local community members what they want to see built on the site before beginning, construction. 'We had someone say they would love to see a Whole Foods,'" Eckstein said; Development of a larger mixed -use project at the site, previously called Kendall Town Center,. has been stagnant> The first phase of the project, being delivered by multiple developers, was the West Kendall Baptist Hospital that opened in,'2011, More than half a decade later, Gertz Builders and developers Inc. scored a construction loan for an adjacent 53,185-square-foot, retail development called The Pointe at Kendall Town Center, The West Kendall suburban area has recently been experiencing additional development and activity, In September, CVS Pharmacy bought a nearby office building for $7.5 million with plan to construct a new store and a B88&TBank. Last month, an entity of Blackstone Groups real estate investment trust bought an apartment complexin southwest Miami -lade for about $139 million. �ndall Town Center Marti Just paid $41,8 million for a S"GATE S. INC. AND CONSULT!, 7 Miami intern 3.8-314-02 il k MJreesecouritry Club Land MARKET ANALYSIS MidTown Miami In 2005, construction began on the "Midtown Miami' development between North 29th and 36th Street and Miami Avenue and the Florida East Coast Railway (FEC) on what was historically an FEC rail yard. The project is a large-scale, urban development that was planned with 8 high-rise residential buildings, a hotel, two parks, and a major urban shopping area, "The Shops at Midtown". Due to the collapse of the real estate bubble in 2007, only two residential buildings, and about 2/3 of "The Shops at Midtown" were built, In July 2011, plans were announced to begin construction on a new entertainment center at Midtown, including a hotel, and shops on the site of the current temporary park in the center of Midtown. Critics of Midtown state the lack of park as a major issue. Situated in• the heart of the Midtown section of Miami, the 1,2 million -square foot urban, mixed -use development is visible from the Julia Tuttle Parkway leading to Miami Beach. The Shops of Midtown Miami brings 630,000 square feet of an ideal blend of lifestyle and value retail combined with a mix specialty shops and restaurants. Once home to a rail yard and registered as brownfield property, this urban space spans three blocks near Miami's Design District, The Shops at Midtown Miami continues to be recognized as the Industry's foremost example of transforming an extremely challenging site into a vibrant mix of retail, dining, residential and office uses, all contained within an urban design environment. The project was awarded the 2008 Urban Design Award by the IVliarni Chapter of NA. Located in the Midtown market will be a new Hampton Inn, whidh will likely serve the needs of the nearby Wynwood, Design District and Midtown neighborhoods, all of which were not in their current statejtiSt 10 years ago. The construction of the new hotel speaks to the rapid transformation that has taken place in the last decade in the area, With a design that appears to be a bit of an upgrade for Hampton Inns everywhere, the new Hampton Inn on Biscayne Boulevard, designed by Xobi Karp Is projected to be complete within the year. Developed by Mayari Properties, the 151-key hotel will have retell on the ground level ad an eight - story parking garage in the back. It is replacing the 14-room Midtown. Inn, which was demolished earlier this year, Hyde Midtown is currently under construction on the west side of the railroad tracks that run along NE 2'd Avenue, Hyde Midtown is located at Midtown Avenue and 34th Street, When completed during the second quarter of 2018, Hyde Midtown will include 60 hotel rooms and 410 luxury condominiums. Arquitectonica designed the building, while Rockwell Group will finish the lobby, amenity floors, elevator corridors and the 60 designer suites at the development, which will have an additional 410 condos, a seventh -floor poo51 terrace and tennis court, and a private screening center, Hyde Midtown will also feature food and beverage outlets, a pool and deck, spa and fitness center facilities, and meeting and event spaces, Available units start at $355,000 and go up to $2 'million AMLI Residential, a Chicago -based developer of luxury apartments, bought the 6,6 acres of vacant property for $55,000,000 ($191/5.F; $79,900/unit), which was the former site of a Chiotitta Banana shipping facility, This site sits on the west side of NE 2n4 Avenue just north of NE 290 Street, south of the subject. AMU has approved plans to develop about 700 apartments on the site, between 2900 to 3010 Northeast ISecOnd Avenue in Miami. AMLI plans two rental building, designed by Zyscovich Architects, The north building would have 485 units in 12 stories. The south building would have 215 units in eight stories, according to a release. JOSEPH' J. 8LAIE AND ASSOCIATES, INC.„ REAL ESTATE /VALUATION 4lin CONSIJITIllik 73 i International tin k - Meteee coun 4-02 chin MARKET ANALY RAM Development There was a recent sale of 80 acres from the University of Miami to RAM, a South Florida developer, RAM acquired 80 acres in southwest Miami -Dade County, just west of the Homestead Extension of Florida's Turnpike, After approximately 3 years of getting approvals, -this site is slated for the construction of 900 residential units, and 300,000 SF of commercial space, plus restaurants, and possibly other uses, The first phase will include 408 rental apartments plus a WalMart anchored shopping center. Leases have been signed with LA Fitness, Panera, Chick-fil-A and Chill's. Further lease negotiations are underway with other national retail tenants, The second phase of the retail development will include 50000 SF, 30% of the land is to be set aside as a preserve. Biscayne Landing. Another example is Biscayne Landing, Biscayne Landing is a 193± acre master -planned community located in North Miami. The entire project calls for more than 4,000residences, 37 acres of parks and .recreation space arid more than 800,OQ0 square feet of retail space at Northeast 151.'t Street and Biscayne Boulevard, Biscayne Landing is the result of a partnership between the city of North Miami and Boca Developers. The city has leased the former superfund landfill to Boca Developers for two hundred years. As part of the partnership agreement with the city, Boca Developerswill match the construction of new residences at Biscayne Landing with an equal number of new or rehabilitated affordable housing units on brown field sites within the city. In addition, Boca Developers has also committed up to $25 million toward the renovation and expansion of North Miami's library, the construction of an Olympic training facility, and construCtlon of the David Lawrence, Jr, K-8 School, Case Study Conclusion We analyzed four developments of which we have information pn the total buildout, We looked at. rn:ultffamily density and intensity of retail and office properties. We analyzed each property in relation to the subject's size and determined the average density property type; We used a rnultipli n comparison to the subject's size and determined based upon the Intensity of use, what the subject cold' be developed with, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, of each velopment Downtown Dora Biscayne Landing RAM Agra rtments Retail Office. Acres Subject Muitipiter Apartments Rail-, Office 2,840 80,000. 1,000,000 250 1,488 94,320 524,000, 4,000 0,000 300,000 0 Course 2,709 0,748 tY 850,805 80 130 1.64 1,474 43 005 4 1,250 0 0 2,715 DOWntOwri Doral is a 50 acre mjxed use development with (kit.[ {ikt j 4 ; 1 ! j, i {� { and 1,000,000 SF'cf office. Asswrriing. an average uiit slize of multifamily units, this equates to 2,840,000 SR The total 4,020,000, which equates to an FAR of 0,37,. .01 2,730 161,985 857,350 Averages 2,612 360,187 462,701 163 0,96 2,102 322,640 345,337 iurt[tsl1 1o,?0o sr of retail L,0001SF iincludi ig ail` cornroop areas for the buildable square feet for' this property is JOSEPH BLAKE AND ASSOCIATES . LL tsTA`IE VALitArl H A?ill DIISGIL lU 74 Miami International Links - Me e Country Club Land 113.114-02 MARKET ANALYSIS The subject's- parcel is 52% of the Downtown Dora! Parcel> We applied this multiplier to the Downtown Doral development and concluded that the subject can be built with 1,488 multifamily units, 94,320 SF of retail and 524,000 SF of office, Biscayne Landing is a 193-acre mixed use development with 4,000 multifamily units and 800,000 SF of retail, Assuming an average Wilt Size of .1,000 sr including all common areas for the multifamily units, this equates to 4,000,000 SF. The total buildable square feet for this property is 4,800,000, Which equates to an FAR of 0.57. The subject's parcel is 68% of the Biscayne Landing Parcel, We applied this multiplier to the Biscayne Landirig development and concluded that the subject can be built with 2,715 multifamily units and 543,005 SF of retail. RAM Development is an 80-acre mixed use development with 900 multifamily units and 300,000 SF of retail. Assuming an average unit size of 1,000 SF including all common areas for the multifamily units, this equates to 900,000 SF. The total buildable square feet for this property is 1,200,000, which equates to an FAR of 0,34. The subject's parcel is 164% of the RAM Development Parcel. We applied this multiplier to the RAM Development and concluded that the subject can be built with 1,474 multifamily units and 491,250 SF of tote II. White Course is a 130-acre mixed use development with 2,709 multifamily units, 160,748 SF of retail and 850,805 sr of office. Assuming an average unit size of 1,000 SF including all COMMOri areas for the multifamily units, this equates to 2,709,000 SF. The total buildable square feet for this property is 3;720,553, which equates to an FAR of 0.66, The subject's parcel is 101% of the White Course Parcel, We applied this multiplier to the White Course development and concluded that the subject can be built with 2,730 multifamily units, 161,985 SF of retail •and 857,350 sr of office. The averages for all four developments equates to 163. acres with 2,612 multifamily units, 360,187 SF of retail and 462,701 SF of office. The 8uhjeces parcel is 96% of the total averages. We applied this multiplier to the total averages and concluded that the subject can be built with 2,102 multifamily units, 322,640 SF of retail and 345,337 SF of office. The average density for multifamily equates to 16 units per acre for the subject's parcel. Based upon at average of 1,000 SF per unit including all common areas, the average FAR equates to roughly 0.37 for the total parcel. The retail/office space equates to roughly 0,12 FAR for the total p? rcel, The total buildable square feet for the total property equates to 2,769,977, This equates to an FAR of 0,4851. Each of the developments analyzed may also have common areas, as well as some> community development, such as schools, parks and municipal buildings, JOSEP)4 J. BLAKE AND ASSOCATES, INC, AEC. tSiAlE VALUATION AND CONSInT1116 75 iami 11terrraHet I L t1ks-!Weir Parcerlp/'raxlt3 2-000.0080 pnd portion of 01.313 ALa PARCEL NUM GAL DESCRIPTI LOCATI LOCATION J Y MAP CATI(JDE/LONE IT°UDE census TRACT SIZE ZONING' PRIIVIARY FRONTAGE STREET PRIMARY FRONTAGE COMMENTS SECONDARY FRONTAGE STREET SECONDARY FRONTAGE COMMENTS ADJACENT PROPERTIES w NORTH ADJACENT PROPERTIES M SOUTH ADJACENT PROPERTIES - WEST ADJACENTPROPERTIES EAST VIEW ACCESS INGRESS/EGRESS SITE VISIBILITY STREET LIGHTING STREET CONDITION SIDEWALKS CURBS AND GUTTERS LANDSCAPING TOPOGRAPHY SHAPE REQUIRED SITE WORK T CONDITIONS IONS AND DRAINAGE T t FLOOD ZONE Th th da e country Club Land' Land Summary Gros Land Grass Land !?rea(Acres)' Area (SF) 0-00 n .1 1.07 5,709,57s SITE DETAILS el,and etstreetg e ESS N 3t1; Avenue Miarnr, Miam!-Dade County, FL 3312 BER 01-3132-000-.00801 and portion of 01-313 .-000-Cto90 ON Lengthy, see Boundary Survey included in the Addenda ON The subject is located along the north side of State:Road. 36 extending from NW 37th Avenue to NW 42nd Avenue, In the City of Miami, Miami -Dade County, Florida: f PE Urban DESCRIPTION OF THE SITE 'topography ry�,�. Shape Type Hy rectangular in shape; 25. 7910554/-80,256$30S 12-085-0049.01 5,709575 SFor 131.07 acres The parcel is zoned 'CS,' under ilta jurisdi Miami. NW 37th Avenue (Douglas Road) NW 37th Avenue is'a four -lane, asphalt paved :roadway that extends north/south along the east boundary of- the subject. NW 14th Street NW 14th Street is a two-lane, asphalt -paved roadway that extends east/west along the south boundary of the subject,. Hotel and office building. State Road-836 (Dolphin Expressway) NW 42nd Avenue (LeJeune Road) Single-farnlly Residential Good Access to the area is via Douglas Road (NW 37th Avenue), Le:ieune Road (NW 42nd Avenue) and State Road-836 (the Dolphin Expressway). The subject contains one point of Ingress/egress along the west side of NW 37th Avenue, Good Yes Paved with asphalt Yes Yes The subject's landscaping is typical fortl-re area, The subject's topography is level and at street grade. The subject site is generally rectangular n shape ypical clear and grade he soli conditions observed at the subject appear to be typical of he regiori and adequate to support development e site lies within Zone AE, This information was obtained from e. National Flood Insurance Rate Map Number .10800O2921. ted September 11, 20`09, City of Miami International Links - Melreese Country Club Land 18-114-02 FLOOD ZONE DEFINITION AREA IN FLOOD ZONE OTHER HAZARS ENCUMBRANCES AND EASEMENTS T ENVIRONMENTAL. HAZARDS r s WETLANDS AND WATERSHEDSA ADEQUACY OFUT TIES Th aPUBLIC ELECTRICITY FP WATER SUPPLY TYPE SEWER UNDERGROUND UTILITIESTYPE POLICE AND FIRE PROTECTION CONCLUSION + TAL ESTATE VALUATION ,tliip CpRSULiii#r DESCRIPTION OF THE SITE The base floodplain where base flood elevations are provided. Zones are now used on new format FI 30 Zones. In co RMs instead AE flood insurance purchase requirementsties at participate in the of mandatory NFIP, mandatory Yes apply to this zone. None known here are no known adverse encumbrances eference Limiting Conditions and Assumptions. easements. Please There are no known adverse environmental ubject's site. Please conditions on the ssumptions reference Limiting Conditions o wetlands were observed during our site inspection. and e subject's utilities are typical and adequate for the Tea, L market City water City sewer Yes City of Miami its proposed use. The subject site is considered well -suited to functional) Y support AERIAL PHOTOGRAPH A 77 Miami International links - Melreese Country Club Land 18414-02 The subject is zoned "CS," Civic Space, under the jurisdiction of the City of Miami, ZONE DETAILS City of Miami CS Civic Space Marina is the only use allowed by right. Food service establishment, open air retail, community facility, recreational facility, infrastructure and utilities are allowed by warrant; administrative process. General commercial, marine related commercial, childcare, and learning center are allowed by exception: public hearing, The Civic Zone consists of public use space and facilities that may contrast in use to their surroundings while reflecting adjacent setbacks and landscape ZONING AUTHORITY ZONING CODE ZONING DESCRIPTION PERMITTED USES COMMENTS ZONING Based on a review ef the subject in relation to the CS zoning district, it appears the subject is a legal and conforming use of the site, However, we are not experts in determining if a property Is fully in compliance with all aspects of the zoning code. We suggest interested parties obtain a letter of zoning compliance from the City of Miami to determine if the subject is zoning compliant. The subject is also classified as Public Parks and Recreation under the City of Miami and Nliarni-Dade County Land Use Plan. Therefore, any use of the site would have to comply with the underlying land use classification, which typically includes active and passive recreational uses, nature preserves, environmentally sensitive areas, etc, City ofMiami Interpretation of the 2020 Future Land Use Map October 201' -"' :NW41ST Si - I • „111161111110011 The subject's underlying land use currently would prohibit development of the site with uses that are not permitted under the Public Parks and Recreation land use designation. If the subject site were offered for sale, potential purchasers would corisider this fact, but also consider the possibility •of having the designation changed in the future. There are many instances of the land use being modified to consider additional needs in the oarrnunity. In order for the subject to be developed to its highest arid best use under NI fami 21 Special Area Plan (SAP) zoning, a Zoning Hearing would be required. Zoning Hearings are required for approval of alI new proposals, and all development plans for a proposed use of land or a proposed structure that have been disapproved by staff, JOSEPH J. BLAKE AND ASSOC VIES. INC. UAL ESTATE VALUATION ii$10 tONSIILIFNO 18 A/UMW International Links- Melreese Country Club Land 18-114.02 ZONING Most large site developments require some sort of modification te the future land use map, or approvals based on the type of development contemplated, Issues that are addressed in the process include adequacy of service to the site, environmental impacts, traffic issues, availability of utilitleS, etc. Under the Miami 21 Zoning Code, a Special Area Plan is as follows: 3,9 $PECiAL AREA PLANS The purpose of a Special Area Plan is to allow parcels greater than nine (9) Abutting acres in size to be master planned so as to allow greater integration of public improvemerits and Infrastructure, and greater flexibility so as to result in higher or specialized quality building and Streetscape design within the Special Area Plan, The purpose of a Special Area Plan further is to encourage the assembly and Master planning of parcels greater than nine (9) Abutting acres in SiZain order to provide greater integration of public and private improvements and infrastructure; to enable Thoroughfare connectivity; to encourage •a variety of Building Heights, massing and Streetscape design, and to provide high quality design elements, all in order to further the intent of this Code e)pressed in Article 2, 191 General a) The single Or multiple owner(s) of Abutting properties in excess of nine (9) acres may apply for a rezoning to a Special Area Plan, b) A Special Area Plan shall be approved by the process of rezoning with or without Transect changes* c) A Special Area Plan shall assign Thoroughfares, Transect Zones •and Civic Space Types, with appropriate transitions to Abutting areas. Guidelines for Thoroughfares and Public Frontages may be adjusted to the particular circumstances of the Special Area Plan. d) A Special Area Plan shall include a map of the Thoroughfares and Transect Zones, and the standards that deviate from the requirements of Article S. e) A Special Area Plan shall assign at least five percent (5%) of its aggregated Lot Area to a Civic Space Type, Civic Building sites are to be located within or adjacent to Civic Space Types or at the axial termination of significant Thoroughfares. The developer. shall be responsible for constructing the public improvements within the Special Area Plan, including but not limited to the Civic Spate Types and. Thoroughfares. f) Development within the Special Area Plan shall be pursuant to a recorded development agreement that will establish the allocation of Thoroughfares and Civic Space Types and Building Area among the Building sites, and the creation and retention •of the public benefits, g) Unless a Building is specifically approved as part of the. Special Area Plan, any Building shalt lae reviewed by the Planning Director, after referral to and recommendation from the CRC for conformance to the Plan, prier to issuance of the Building Permit, h) A Special Area Plan may include!' 1 A differentiation of the Thoroughfares as a Primary -Grid (A -Grid) and a Secondary -Grid (B-Grid). Buildings alorig the A -Grid shall be held to the highest standard of this Code in supportof pedestrian activity. Buildings along the ii-Grid may be more readily considered for automobile -oriented standards allowing surface parking lots, unlined parking decks, and drive-throughs,-The Frontages assigned ti!)1 thV 416 ri're s kla li riot exceed this (30%) Of ltfiVtOial 1611itliqkkiih;iri a Special Area Plan. For Frontages on the B-Grid, parking areas may be allowed in the Second Layer, JOSEPH J. BLAKE AND ASSOCIATES, INC. LSAT LSTATE VALUATION AWDCONSOL11110 79 Miami international Links- Melreese Country club Land 1.841.4-o2 ZONING 2. Retail Frontage requiring that a Building provide a Commercial Use at sidewalk level along the entire length of the Frontage, The Commercial Use Building shall be no less •than seventy percent (70%) glazed in clear glass and provided with an Awning overlapping the sidewalk as generally illustrated in Article 4, Table 6. The first floor should be confined to Retail Use through the• depth of the Second Layer. 3, Gallery or Arcade Frontage, requiring that a Building provide a permanent cover aver the sidewalk, either cantilevered or supported by columns. The Gallery or Arcade Frontage may be combined with a Retail Frontage as shown in Article 4Table 6. Gallery or Arcade Frontage within the First Layer may apply towards Open Space requirements. 4. Build -to -lines that differ from Transect Zone Setback requirement, 5, A Terminated Vista location, requiring that the Building be provided with architectural articulation of a Type and character that responds to the location, 6, A Pedestrian Passage, requiring a minimUm ten (10) foot wide pedestrian access be reserved between Buildings. 7, A preservation plan acceptable to the Historic and Environmental Preservation Board for any historic resources in the area of the Special Area Plan, 8, Area Design Guidelines. 9.A parking management program that enables shared parking among public and private Uses, 10. Flexible allocation of development capacity and Height, excluding Density on individual sites within the Special Area Plan shall be allowed so long as the capacity or Height distribution does not result in development that is out of Scale or character with the surrounding area, and provides for appropriate transitions, An example of the approval process is the recent sale of 80 acres from the University of Miami to RAM, a South Florida developer, RAM acquired 80 acres in southwest Miami -Dade County, just west of the Homestead Extension of Florida's Turnpike. After approximately 3 years to obtain approvals', this site is slated for the construction of 900 residential units, and 3004,000 SF of commercial space, plus restaurants,. and possibly other uses, The first phase will include 408 rental apartments plus a WalMart anchored shopping center. Leases have been signed with LA Fitness, Panera, Chick-fil-A and Chili's. Further lease negotiations are underway with other national retail tenants, The second phase of the retail development will include 50,000 S.F. 30% of the land 15 to beset aside as a preserve, In the Market Analysis section of this report, we analyzed four developments of which we have information on the total huildout. We looked at multifamily density and intensity of retail and office properties. We analyzed each property in relation to the subject's size and determined the average density of each property type. We used a multiplier in comparison to the subject's size and determined based upon the intensity of use, what the subject could be developed with, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21Special Area Plan (SAP) zoning. JOSEPH J. BLAKE ARO ASSOCIATES, pEALESIATE VALOATtilli AND C(INStatille 80 main( International Links Melreese Country Club Land 18-1,14-02 ZONING Devel opment Downtown Doral Biscayne La ndi ng RAM White Course Averages Apartments 2,840 4,000 900 2,709 2,612 Retail 180,000 800,000 400,000 160,748 360,187 Office 1,000,000 0 0 850,805 4624701 Acres 250 193 0 130 164 Subject 131 131 131 131 Multiplier 0.52 0.68 1,64 101 0,96 Apartments 1,488 2,715 1,474 2,730 2,102 Retail 94,320 543,005 491,250 161,985 322,640 Office 524,000 0 0 657,350 345,337 The averages for all four developments equates to 163 acres with 2,612 multifamily units, 360,187 SF of retail and 462,701 SF of office, The subject's parcel is 96% of the total averages. We applied this• multiplier to the total averages and concluded that the subject can be built with 2,102 multifamily units, 322,640 SF of retail and 345,337 SF of office. The average density for multifamily equates to 15 units per acre for the subject's parcel, Based upon an average of 1,000 SF per unit including all common areas, the average FAR equates to roughly 0,37 for the total parcel. The retail/office space equates to roughly 0,12 FAR for the total parcel. The total buildable square feet for the total property equates to 2,769,977. This equates to an FAR of 0.4851.. Each of the developments analyzed may also have corn on areas, as welt as some community development, such as schools, parks and municipal buildings. Based on a review of the existing land use, as well as the land uses on surrounding sites, we estimate that potential purchasers of the subject site would anticipate some time would pass before they could successfully modify the future land use map to allow for development. JOSEPH J, B AKE AND ASSO PEAL tSTATE AnaGNStLfu IAT 5, 81 Miami International Links- Melreese Country Club Land 18-114-02 TAXES The subject is assessed by the IVIlarni-Dade County property appraiser's office, and is taxed by the City of Miami, Miami -Dade County, and the Miami -Dade County school district, The following table summarizes the subjects assessment and taxes: Parcel ID 01-3132-000.0080 Portion of 01-3132-000-0090 Totals Assessment Year 2017 2017 2017 Total Assessed Value $2,523,656 $5,813,626 $8,137,282 Total Tax Rate $0,0000 $0,0000 $Q.0000 Taxes $0 $0 $0 Ta xes with Speci a I Assessment $0 $0 $0 Early Payment Discount Percentage.4% 4% 4% Total Taxes $0 $0 $0 The subject is exempt from paying taxes since it is owned by the City of Miami,. JOSEPH 1, BLAKE AND ASSOCIATES INC, REAL ESTATE WALIIATtall AND COIESULT1146 82 mini International Links- iviatreeso Country club Land HIGHEST AND BEST USE in determining the highest and best use orthe property, consideration was given to the economic, legal, and social factors that motivate investors to develop, own, buy and sell, manage, and lease real estate. In forming an opinion of the highest and best use of a vacant parcel of land, there are essentially four stages of anaWsis: • Physically Possible Use: What uses of the site n question are physically possible? 6) Legally Permissible Use: What uses are permitted by zoning and deed restrictions on the site hi question? • Financially Feasible Use: Which possible and permissible oses will produce a gross return to the Owner of the site? • Maximally Productive; Among the feasible uses, which will produce the highest return or highest present worth of the site in question? The following tests must be met in estimating the highest and best use of a vacant parcel; the potential use must be physically possible and legally permissible, there must be a profitable demand for Such a 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 stkiject's Site and are discussed as follows: PHYSICALLY POSSIBLE The subject is located along the north side of State Road-836, extending from NW 37th Avenue to NW 42nd Avenue, in the City of Miami, Mlarril-Dade County, Florida. The underlying site consists of 5,709,575 SF or 131.07 acres. The subject's topography is level and at street grade, As noted in the Assumptions and Limiting Conditions, we know Of no environmental or engineering study that has been conducted on the site to determine subsoil conditions. Upon analysis Of all physical aspects, space, size, shape, terrain, location and others the most supportable highest and best uses of -the site, as it relates to physical properties, are mixed Use multifamily, retail and office, LEGALLY PERMISSIBLE The subject's site is zoned "CS," Civic Space, under the jurisdiction of the City of Miami, FL. Reference is made to the Zoning section of this report, A marina is the only permitted use allowed by right'. Food service establishments, open air retail, community facilities, recreational facilities, infrastructure and utilities are ail -Owed by warrant administrative process, General commercial, marine related commercial, childcare, and learning center are allowed by exception: public hearing Upon analysis of the permitted uses, the most supportable highest and best uses of the site, as it relates to what is legally permisSthie if rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, is a mixed use multifamily, retail and office development that takes advantage of the subject's location adjacent to State Road-836 and the Miami International Airport Due the subject's proximity to the airport, any development would also be subject to height restrictions by the Federal Aviation Administration (FAA). JOSEPH E, BLAKE AND ASSOCIATES, REAL ESTATE VALIIATIOR AftD CUISET)116 Miami Internet 1g414-02 elreese Country Club Land HIGHEST AND BEST USE FINANCIALLY FEASIBLE Analysis for financially feasible uses for the site, as if vacant, involves consideration of several criteria. Unlike the physically possible and legally permissible aspects of the highest and best use analysis, many external economic factors serve to prove or disprove financial feasibility. The cost of acquisition, sources of capital, forecast of potential revenue/expenses, reversionary price forecast, property tax implications and measures of risk and yield are all determinant to this analysis. The above financial measures serve to eliminate the uses that would not provide a reasonable return to the lend based on an investor's expectations, The cost of land and its development limits the highest and best use of the site, generally to only those uses that are financially feasible. We conclude that financially feasible uses of the site that are physically possible and legally permissible are to maximize the utility of the site in relation to the zoning. MAXIMALLY PRODUCTIVE We considered those uses, as aforementioned, to meet the physically possible, legally permissible and financially feasible tenets of the highest and best use definition., The final criteria for full compliance within the highest and best use of the subject, as vacant„ is that cif a maximally productive use, We conclude the maximally productive use of the site is to maximize the utility of the site in relation to the zoning. HIGHEST AND BEST USE, AS IF VACANT A final reconciliation of the analysis leads to the conclusion that the highest and best use of the site, as if vacant, is to maximize the utility of the site in relation to the zoning. HIGHEST AND BEST USE, ASSUMING THE HYPOTHETICAL CONDITION THAT THE SUBJECTHAS BEEN REZONED TO ITS HIGHEST AND BEST USE UNDER MIAMI 21 SPECIAL AREA PLAN ZONING We must also determine the highest and best use of the subject by analyzing occupancy levels of various surrounding improvements, as well as the general needs within the area. Based on the current conditions of the subject's market, the highest and best use of the subject, as improved, is the redevelopment of the existing improvements with a more intensive use. In order to determine the subject's highest and best use, we researched the decisions made by investors M other properties similar to the subject, We presented a Market Analysis for office, retail and residential uses, since those would be the most likely uses at the subject. Office uses could include a campus type setting of buildings to take advantage of the location adjacent to State Road-836 and the Miami International Airport, Residential uses could include standard market rate apartments for the surrounding general population. Commercial uses could also be for the surrounding population. As discussed in the Market Analysis section, the, averages for the four case study developments equates to 163 acres with 2,612 multifamily units, 360,1.87 SF of retail and 462,701 SF of office. The subject's parcel is 96% of the total averages,. We applied this multiplier to the total averages and concluded that the subject can be faiiiit with 2,102 multifamily units, 322,640 SF of retail and 345,337 SF of office, The average density for multifamily equates to 16 units per acre far the subject's parcel. Based upon an average of 1,000 SF per unit including all common areas, the average FAR equates to roughly 0.37 for the total parcel, The retail/office space equates to roughly 0.12 FAR for the total parcel. The total buildable square feet for the total property equates to 2,769,977, This equate to an FAR of 0,4851, JOSEPH J. BLAKE AND ASSOCIATES. INC. o CAL ESTATE VALUATION INIICOIESEILTHEO 4 Miami international Unks - Melreese Country Club Land 18-114-02 HIGHEST AND BEST USE Each of the developments analyzed may also have common areas, as well as some community development, such as schools, parks and municipal buildings. Therefore, based on the actions of developers in the region, we conclude that if the subject site were available for development, it would be purchased for mixed -use development that would likely include a retail component, a residential component and perhaps an office component, if demand existed from a particular tenant or group of tenants. The composition and timing of the components could be changed based upon future market conditions. This development would have to meet the requirements of the Special Area Plan (SAP) zoning, as well as height restrictions from the Federal Aviation Administration (FAA), JOSEPH 3. BLAKE AND ASSOC AT S, Mt 1STATE VALLIAT IGN mut coNsowNs 85 Meireese country Ctub Gan d' is-a2 ANALYSIS OF DATA AND CONCLUSIONS IDENTIFtCATiON OF A LIKELY BUYER The most likely buyer of a property such as the subject, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, would be a large regional or national investor who would recognize the Tong -term economic potential of the property, These factors will be considered in the valuation of the subject. VALUATION METHODOLOGIES In appraising a property, there are three traditional valuation methodologies that can be applied: the Cost, income Capitalization arid Sales Comparison Approaches, Selection of one or more of the approaches in the appraisal of a property rests primarily upon the property type and its physic& characteristics, as well as the quality and quantity of available market data. In the Land Value section, market data is presented along with an analysis of the data and reasoning that head to theland value opinion. The Cost Approach is based on the premise that an informed purchaser will not pay more for a property than It world cost him or her to construct a property of similar utility. This approach is rnost applicable when the subject is of new or nearly new construction and the improvements represent the highest and best use of the site. This approach is :also particularly useful when appraising unique or special purpose properties where there are few, if any, comparable sales or leases. The Income Capitalization Approach is based on the fundamental' nvestment premise that the ;higher a property's earnings, the higher its value. Investment in an income -producing property represents the exchange of presentdollars for the right to receive future dollars, in this approach, a value indication for an income -producing property is derived by converting its anticipated benefits (cash flows and reversion) into property value.. This conversion can be accomplished in two ways: one year's- income expectancy can be, capitalized at a market -derived capitalization rate, or alternatively, the annual cash flows for the holding period and the reversion can be discounted at a specified yield rate, The Income Capitalization Approach typically provides the most meaningful estimate of value for incomey.producing properties. The Sales. Comparison Approach involves delineating appropriate units of measurement from comparable sales, in order to apply them to the subject's property, Adjustments are then made to thesales prices of the comparable properties based on various shared elements. This methodology may be used to value many different types of improved properties and vacant land, as long as there :is a sufficient quantity of good - quality market data available, - It becomes less reliable as the quantity and magnitude of adjustments increases, and it is generally -not applicable to unique or special purpose properties, The final step in the valuation process is the reconciliation or correlation of the value indications, In the reconciliation or correlation, We consider the relative applicability of each of the approaches used, examine the range; between the value indications, and place major emphasis on the approach that appears to produce the most reliable and credible result. VALUATION METHODOLOGIES APPLICABLE TO THE SUBJECT PROPERTY Since we ere valuing the underlying land, the approach applicable in the valuation of thefee simple estate Of the subject is the Sales Comparison Approach, We did not use the residual technique to value the subject,. Within the Market Analysts we sumitiarized current large mixed -use developments in Miami -Dade County, Frorn this data, we were able to provide a h estimate ofuyhat market participants could pvi op on a large site tp,an in-filhlocAtjon. However, that conclusion does not provide the level of detail that would be required to completea valuation using the residual technique. JOS P .-AKE A SSOC AT S , PIA( ESTATE vliii1ATI fl 4g II Ut,1It1CF Miami International Links - Mfrse Country Club Land 18414-02 ANALYSIS OF DATA AND CONCLUSIONS The subject is currently CS zoned and does not have any specific plans. In order to credibly value the subject using a land residual technique we would need to have a specific develop plan, with cost estimates, allowable densities, property types, open space requirements, public use requirements, etc. We are of the opinion that using residual technique would be unreliable, in the absence of more specific development datai JOSEPH J. BLAKE AND ASSOC ATES REAL ESTATE VALLIATiliti PIO CONSUL:TIN() 7 (warn' internationa Unks Melrose Country Club Land 1.441,4-ez LAND VALUATION LAND VALUE The land, as if vacant, 15 valued by direct sales comparison, in which sales of comparable sites within the subject's area are analyzed jn context with the subject's site. Adjustments are made to compensate for differences between the submitted sales data and the subject for such factors as location, size, shape, topography, utility, and marketability, etc. Land sales are presented to arrive at a $/SF for the subject. In an effort to locate comparable land sales, a search throughout the subject's area was conducted, The presented sales are Valid indicators of land values in the subject's area. information pertaining to these sales has been verified by the buyer, seller, broker or other sources considered reliable and having knowledge of the particular transaction when available, Briefly described, the subject of this appraisal consists of the 1131_0738 acres or 5,709575 SF of land underlying the lvilami international Links - Melreese Country Club, The portion of this overall site that we are appraising has yet to be specified in regards to exact location or size. The parcel is improved with an i8- hole golf course, with a driving range and practice putting greens, The subject is also improved with four buildings that were constructed from the 1950s to 2000s that are used as a golf learning center, pro Shop, full -service restaurant, maintenance building, and other ancillary uses for the operation of a golf course, The site is owned by the City ef Miami and leased to the current golfcourse operatoi% The site is irregular in shape and is level arid street grade. The subject is zoned "CS,' Civic Space, under the jurisdiction of the City of IVliarni, Florida, This zoning designation permits a vvide variety of uses; however, a marina IS the only use permitted by right, Other commercial uses could possibly be permitted after a public hearing. The purpose of the appraisal is to develop an opinion of: 1) the market vaiUe of the fee Simple estate of an unspecified portion of the 131.0738 acres of land underlying the Miarni International Links Melreese Country Club, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, and 2) the rental value of a portion Of the underlying land, assuming the hypothetical condition that the subject has been rezond to its highest and best use under Miami 21Special Area Plan (SAP) zoning, as of April 1.0, 2018. in order to determine the 'As Rezoned' value estimate of the subject based on its highest and best uSe, this appraisal is based on the hypothetical condition that the appropriate Special Area Plan (SAP) zoning to build to the property's highest and best use, is in place as of the date of value. The following land sales are located in IVIlarniDade County and represent the actual actions of developers who purchased sites similar to the subject, that allow for many types of development, These Market participants' actions are considered to be representative of a potential purchaser of the subject. Since the the projected highest and best use of the subject is for a mixed -use development, we have included an array of land sales which reflect different planned uses, JOSEPH 1, RL.AU AND ASSOCATES, INC, REAL -EST11i VAtilAT ANii CONSALTI/16 88 Miami Internation1 Links - Melreese Country Club Land 18-114-02 Name city State Price Grantor •Recordation Property Rights Conditionsof Sale Price, Per Land SF Price Per FAR Land SF Topography Required Site Work Zoning Zoning Type Bulidable SF No, of Proposed Units Land Coiriparable 3-* Transaction. Kendall Town Center Address Miami FL $41,837000 West Kendall Holdings, LLC 30509-2922 Fee Simple Estate Arm's I e rigth $13:75 $57,23 3,0.42,624 Level and at street grade Typical Clear and Grade B11-2 Commercial 731,000 NA County Zip Date Grantee Tax Parcel ID Financing Verification Price PerAcre Price Per Proposed Unit Site Land Acres Shape Utilities Proposed Use Zoned Density Allowable FAR Proposed UnitType LAND VALUE 15955 SW 96th Street Miami -Dade 33196 12129/1.7 KTC SIN 88th Street, LLC 30-5905-029-0020 Cash to Seller Broker $598,955 NA 69.85 Irregular Al! Available Mixed -Use Development NA 0.24 NA Comments Development of a larger mixed -use project at the site, previously called Kendall Town Center, haS been stagnant. The first phase of the project, which was delivered by multiple developers, was the West Kendall Baptist Hospital that opened in 2011. More than half a decade later, Gertz Builders and Developers Inc. scored a construction loan fora n adjacent 53,185- square-foot retail developmentca Bed The Pointe at Kendall Town Center. Reportedly, the project Dill allows for 731,000 SF of developrnent on the site. The site includes two submerged tracts, which have not been included within the calculation of the price/acre and price/SF, JOSEPH J. BLAKE AND ASSOCIATES, INC., REAL ESTATE VALUATION AND CONSIMING Miami International Links -M1reseC�untry Club Land 18414.02 Land Comparable 2 LAND VALUE Transact ibn Name 'Gateway Corrimerc.e Park Site Address 21001 NW 27th Avenue City Miami Gardens County Nile mkt:lade State FL Zip 33056 Price -626,500,000 Date 11/8/16 Grantor Calder Race Course, inc.. Grantee Eastgroup Properties, L.P, Recordatfon 30302,3608 Tax Parcel ID 34-1134-014-001.0 Property Rights Fee Simple Estate Financing Cash to Seller Conditions of Sale krn's length Verification. Broker Price Per Land SF Price Per Acre $434 Price Per FAR $9.97 $31.18 Price Per Proposed Unit NA ,426 Site . . Land SF 2,657,160 Land Acres 61.00 Topography Level and at street grade Shape trreguia r Required Site Work TypicalCleara rid Grade Utilities All Available Zoning AU Proposed Use industrial Park Zoning Type Agricultural Zoned Density NA Buildable SF 850,000 Allowable FAR 0,32 NO. of Proposed Units NA Proposed Unit Type NA , Comments According to the Eastgroup Properties, the site was purchased for the construction of Ga t ewa y Commerce Park, an 850,000 5F industrial perk comprised of five buildings, The site was formerlyowned by calder Race course and was utilized as horse stables. A seven -acre outparcel was purchased by the buyer in a separate transaction, which is reportedly listed for sale. The site, which was originally zoned for agricultural use, was rezoned subsequent to purchase to accommodate hotel, retail, commercial, and office use. JOSEPH J, BLAKE AND ASSOCIATES. NC, REAL ESTATE VALUATION AC) CONSULTING 90 Miami International 18-114-02 Name City State Price Grantor Recordation inks - Meireese Country Club Land * , " wpft...., w,. . J ,.. ,...... 7nm ' 'alii Tri1SIFti011 White Course Site Property Rights Conditions of Sale Price Per Land SF Price Per FAR Land $F Topography Required Site Work Zoning Zoning Type Buildable SF No, of Propose Doral FL $96,000,017 GWC Miami Property, LLC 30053-11.86, 30083-1154, 30083-1170 Fee Simple Estate Assemblage, REOSa le $18.33 NA • 'Address NW C of NW 41st5treet & NW 87th Avenue Miami -Dade 33166 4/85/16 White Course Lennar, LLC 3$-3022-000.-001i, 35-3022- 000-0110. 35-3.022-001-0010, 35-3022-000-0018; 35-3022- Financing Cash to Seller Verif cation Knowledgeable Third Party Price Per Acre $798,669 Price Per Proposed Unit NA County Zip Date Grantee Tax Parcel ID Site 5,235,912 Land Acres 120.20 Level and at street grade Shape irregular Typical Clea rand Grade Utilities All Available DMU Proposed Use Mixed -Use Commercial Zoned Density NA NA, '.Allowable FAR I NA i i f NA Proposed Unit Type ' •l--,' i ' NA I Cortments This sale Is rec ircie. in hrelle'Senarate transactions to White Course termer LLC, LC Homes Dora of odi a''Part ertand Lennar Homes, The' buyers will reportedly split, e rCilrtyS6/ 5 contiguous to t e Trji 'np:isla opa I ;Dora] Resort and COdt !3'.1:i:Q-acre Downtown iDoc t hie ,Jule have subrnitte pia: tOithe citVof Doral for 2,209 reside1(011,1nits, 30,000 square fe#io iret ,ii space deternained by he c '; ; 5 w If as la school for grades 6-1 •ifialWill complement -the li-ilc6art01sOto S feet of office a acd Word ng td a spokesperson for 01 rtaill As planned, 7 acres ll l il( 14,e set .100 The property's onin -papm ter were set forth in a master development agreemen .-eqqe4Fithei. il owner,. MSR Re ort PL4), i 2018. The agreement is in place for 20 years, and dtv I ptnentrriustb i .. according to th 1CD; : 'Qfjeri g. 711 amreement was partttificourtsattlement betive the' e ' ,•• seller is GWC It ! p, 1per y!LL,I4,an affiliate of GT, th 146i4 • ign fund ofthe'gce A 1.4iStdfiSingao propertythrou Li.ba it( ptc actor:1S. The gross land aregiofttr sale is 132.20, with oosateIy12 consisting of su 'me ed,f an s. Thbrifore, we have utIlizda theliet land area of 120.8:! ires. in calcukt) g this sale. arid CC-WCD TIC- '...,' e.golf course is OffhedeveiclPera. 'idI50*0 square it,- Chric use to be l•i, kei/rittsin 0orai... 4:,-1.s.preciecessor I-thin-10 years,. pdthe city..The oi lc aergiired the scrs ot-this parcel- unit- pri ce for JOSErk J. BLAKE' AND ASSOCIATES, INC. REAL ESTATE VALUATION AND CCINSOLTING 91 Miami internationalLinks- Nleireese coun 18-114-02 Name City State: Price Grantor Recordation Property Rights Conditions of Sale Price Per land SF Price Per FAR lub d Land Comparable 4 LAND VALUE Transaction Royal Garden Estates Site Address NEC of l-75 & NW 1.54th Street Miami Lakes FL $74,400,000 F71-1 LLC 29918-1484 Fee Simple Estate Arm's le rigth $23,39 NA. County Miarrii-Da de Zip 33018 Date 1/7/16 Grantee Lennar Homes, LLC Tax ParCellE) 32-2016-000-0040 Financing Cash to Seller Verification Knowledgeable Third Party Price Per Acre $1,018,753 Price Per Proposed Unit $147,327.00 Site Land SF 3,1/31,187 Land Acres 73,03 Topography Level and at streetgrade Shape irregular Required Site Work Typical Clear and Grade Utilities All Available Zoning RU-3M proposed Use Multi -Family Development Zoning Type Multifamily Zoned Density 3,54 du/acre Buildable SF NA Allowable FAR NA No, of Proposed Units 505 Proposed Unit Type Single Family Residences Comments The total gross land area of this development 15141.67 acres. HoWever, this size includes a 69.64 acre take that Is located in the center ofthe stie. We have utilized the net land area of 73,03 acres in calculating the unit price of this sale, The gross acreage was included in calculating the density for tins project. This site is being developed with Royal Gardens Estates, vvhich will reportedly consist of SO5 s Ingle -fa rnily homes -267 Single -fa rnily homes, and 238 townhouses, accordirig to the South Florida Business Journal. This sale has been verified via public record. The development is being built around this lake. JaSEPH J. LAKE AND ASSOC1AT INC. REAL ESTATE VALUATION ACT CONSULTING ?2 Miami International Links -IVIelreese Country Club Land 18-114-02 Comp 1 2 Address City 15955 $W 96th Street Miami 21001 NW 27th Avenue LAND SALES SUMMARY Price Date $41,837,000 12/29/2017 $26,500,000 Miami Gardens 11/080016 3 NWC of NW 41st Street & NW $96,000,017 Dora[ 04/25/2016 4 NEC of 1-75 & NW 154th Street $74,400,000 Miami Likes 01/07/2016 To derive an adjustments f The property report on the sales. Zoning Zoning:Type BU-2 Commercial AU Agricultural DMU Commercial RU-3M ... Land SF Land Acres 3,042,624 69.85 2,657,160 61.00 5,235,912 120.20 3,181,187 LAND VALUE Price per Land SF Price per Acre $13475 $598,955 $9.97 $434,426 $18.33 $798,669, $23.39 Multifamily 73.03 $1,018,759 LAND SALES COMPARISON MAP IRembrake pines Flotjyw Haiianciate.4 iramat-, • -• Beach Aventura_• „: 4 p34:5771441. 14,744:224., 11 EastCoast 1::ii ,„... „ , . S. Tj yior Francis Bufkv Water -',i '' . " Hialeah Pres9nre Area„ .2; Iti7i, Wildlife, • ' Dorar Beach taryu Gabies , = - Key Ei5cayr,-., RISCaY66 , „ Map data P201 B., Gmlie BayAquatir LAND SALES ANALYSIS estimated value of the site, as if vacant, we analyzed the land comparables and have made or varying characteristics. Property Rights Conveyed rights conveyed for each sale are shown in the adjustment grid. The subject is valued in this basis of a fee simple estate. No adjustments for property rights conveyed were made to the Financing Terms The financing terms for each sale are shown in the adjustment grid. The subject is valued in this report on the basis of a cash to seller transaction. No adjustments for financing terms were made to the sales. JOSEPH J. BLAKE AND ASSOCIATES, INC. RCA 1 ESTATE VALUATION AND CONSULTIIIII 93 mi lnterntlrarat Oinks w FUlelreese Country Club Latch 114-02 Conditions of Sale LAND UE The conditions of sale for each salve are shown in the adjustment grid. The subject isvalued in this report ern the basis of an arms length transaction. No adjustments for conditions of sale were made to the sales. Market Conditions in terms of an adjustment for market conditions, from the sales shown, determine an exact adjustment, We have applied a 3% adjustment to each the date of each sale to April 10, 2018. somewhat subjective t parable, annualized from. Location The adjustment for location reflects the trend that properties in areas of active growth and development, as well as those which offer good accessibility in terms of frontage on major thoroughfares, should sell for a higher price per SF than properties which do not offer these attributes, with all other factors held constant. The subject is located along the north side of State Road-836 extending from NW 37th Avenue to NW 42nd Avenue, in the City of Miami, Miami -Dade County, Florida, Sale 1 is located in the West Kendall area at SW 169t Avenue and SW 9&rih Street;. This Iocatlen is considered inferior to the subject, Therefore, this sale is adjusted upward, Sale 2 is located in northwest Miami -Dade County, adjacent to the Calder Racetrack, east of :NW 27th Avenue, with visibility from Fldrida's Turnpike. While the parcel is along an expressway, it is considered inferior to the subject. Therefore, this sale Is adjusted upward. Sale 3 is located in the heart of Doral as part of the Doral Resort and Golf Club.. This location is ln, the. western suburbs of Miami -Dade County and is considered to be inferior to the subject's. Therefore, this. sale will; be adjusted upward for this factor. Sale 4 is located along 1-75 at NW 154 Street in Mlarni Lakes, While visibility is good, this parcel has inferior accessibility, 'Therefore, this sale is considered inferior to the subject. Thus, this sale is adjusted upward for location, In terms of size, it is noted th with all other factors held cons 5,709,575 SF; Sales Land 2 are smaller chart the subject and will be adjusted downward, Sales 3 is similar in size to the subject, with no: adjustment necessary for this factor, The gross and area of Sale 4 is similar to the subject; however, this sale contains a large lake located in the, center of the parcel. Theresidential development that is being constructed on this site Is being built around' the lake. Therefore, the net land area of this sale is smaller than the subject's, and will be .adjusted downward. Size alter parcels typically sell for a higher price per SF than larger parcels, nt. The subject .contains a total of approximately 131.0738acres or Zonirsg The subject's site as rezoned should be for a ,mixed -use devetopen Plan (SAP), under the jurisdiction of City of Miami, FL._ Rased upon the subject's highest and best use, we determined each of the sales zoning are considered inferior to the subject. Therefore, upward adjustments are made for zoning to each of the subject parcels, AN ASSOCIATES it ftT .lt Tlitli acid Slltiitl sed on an approved special Area 94 Miami Internatio Links - Melreese Country Club Land 18-114-02 Topography The subject's site is level and at street grade. No adjustments are made for topography to the sales, Required Site Work The subject is valued as if vacant and available for development. No adjustments are made for required site work to the sales. LAND VALUE Shape The shape of the subject's site is generally rectangular in shape. No adjustments are made for shape of the site to the sales. Utility of Site The subject consists of a 131.0738- acre site that is currently being used as a golf course, The site contains some water hazards located throughout the golf course that could be filled in prior to any development. Therefore, the entire subject is considered to be usable. Sales 1 and 2 have similar utility as the sulaject, with no adjustment necessary. Sale 3 contains approximately 12 acres of submerged land that is considered to be undevelopable, Therefore, this sale will be adjusted downward. Sale 4 contains a 69,64-acre lake located in the middle of the site. The single-family development that is being constructed will be built around the lake. Overall, the utility of this site is considered to be inferior to the subject's and will be adjusted downward.. JOSEPH J. BLAKE AND ASS8CATES, NC„ RZ L ESTATE VkLUA1HUt AND CONSULT-NG 95 Miami Inter atio ar Links - iVielreese Country Club Land 10-11.4-02 LAND VALUE LAND SALES ANALYSIS CONCLUSION The previously described adjustments are summarized In the following grid, The percentage adjustments are used to show the emphasis placed on each adjustment, and are not based on a paired sales analysis LAND SALES ADJUSTMENT GRID Land Analysis Grid C0mp2 Cump2 Colon 3 Comp 4 Name Miami I nternatiOnal Links - Address 1,8,02. NW 37tly Avenue City Mierni State EL Date Price Land SF 5,709,575 Ericeper SF Kendall Town center 15955 SW 96th Ste t Miami EL 12/29/2017 $41,837,00d 3,0421,04 5.,1,8,7,5 GateWe y Commerce Park a100 i NW Zrth Avenue Miami Gardens FL 11/8/2016 $20,500,066 2,657,160 $9,97 White Course Site NWC et NW 44st street & Dar! Ft, 4110610 $80,006,61,7 5,235,912 $18,93 ,. Royal 6arden Estates Site NEC of 1-75 & NW 1S4th Miami Lakes FL 1/2/2616 97,4,,400,000 3,481,187' $23,39 'Transaction Adjustments Propertygights Fee'sitopteEstate Finenteig Cash foSellel Conditlans al Sale Areg,tength" Fea SimPle El:Lune 0% rash toSeller o% 'Arle'g length 0% Fee Simple Eslate 0% ea sh to salter ttN -Arrn'i length. CI% Fee 81rnpleENtete 0% clistrteseliet Ot Assernblege,"figOSele (I% fe`e 54nPle E0Ote 0% cash to Seller ll% grngs length (dg, Adjusted Price per SF $1325 $9,97 $1.8,33 $23.39 MarketirentisThrough 4/10/21:118 3% 0,83% 4.28% 5.96% 6.9014 Adjusted Pries per SE 13,86 510.40 $19',43 $25.00 Location % Adjustment $ Adjustment Good 'inferrer 20% Inferior. 2591 Si milat 1.0% Inferior 1091 13/.07 $2,77 69.85 ,,5% 0,69 6146 .5% $104 420,20 6% 52,50 13413 ,5% Land Acres %Adjustment 5 Adjustment SAP ($0-69) au-2 15% ($0,52) AU 2.5% $6,00 0A4U, 45% ($1.25) RU.31VI 15% Zoning %AdjUstinent $ Adjustment ,, $2,05 Lever and at street grade V% $266 Levet and aLstreet grade 0% $4.,91 Level and at streetgrade 0% 5315 Levet and at street grade 6%- Topography %Adjustment $ Adjostment Level andatstreet grade Typical clear and grade $0.00 Typical Clear and Grade 0% $0,00 Typi ea I Clear a nd.Gfa de , 0% "$6,06 Typical Clear geld Grade 0% , $0,00 T9103l Over arid Grade 091 'bold red Srte Work %Adjustment $,Adjustrnent .Genersily rectangular in 5040 irregider 0% $0,00; irregular 091 $6,06 irregular 0% $0,66 Irregular , 0% • Shape %AdjuStment $ Adjustrbent Gond $01)0 Singlar 0% .$0,00 Similar 0% $6,09 Wet/or, -5% $ozo Infori or -4091 Utility of Site %Aditistreerit $ Adjustment 5006 , $0,00 1$607) Adjusted Price per SE $18.02 $15.08 $21,31 $27,50 Net Adjustments GrOss Adjustments $0.01% 39.96% 4591 55.0% 10.97% - 20,98% 10% 46% Net Adjustments Gros's Adjuttments 31.08%. 41,12% S1.2191 01.6491 2/.12% 3.7,7% 17,5991 40.6E% LAND VALUE CONCLUSION The eOmpara-bles show a price/SF range of $15.08/SE to $27.50/SF on an adjusted basis,- an average of $20.98/SF. Sales 3 and 4 have the lowest percentage of net adjustments. The adjusted prices of these safe are $23,31/SF and $27,90/SF, respectively, Sale 3 is most similar to the subject in regards to landsize. The adjusted price of this sale is $23.31/SP. This sale also has the lowest percentage of gross adjustments. The subject is a well -located Mfill property located in close proximity to the Miami International Airport and the Dolphin Expressway. Considering the location of the site, an appropriate unit value for the subject should he within the upper end of the range of the sales cited. JOSEPH J. BLAKE AND ASSOCIATES HAL ESTATE VALL1ATON A NO r,ONSULTitIO Miami InternthnaI Links -MI Country Club Land 18-114-02 LAND VALUE Based on the comparables and the adjustments made to them, we conclude to a value in the range of S22.50/SF to $27.50/SF. We conclude to the middle of this range at $25.00/SF. Since the client will possibly lease an undetermined portion of the subject, we have not been provided an exact size. Therefore, we have not calculated an overall value. Land Val ue CanCitision $2.5,00 /SF Indicated Land Value $25.00/sf This unit value conclusion is based on the 131.0738-acre size of the subject. If the size of the parcel sod is different in size, the unit value may be impacted. In addition to the land sales greater than 50 acres included in the previous adjustment chart, we have also researched other commercially zoned land sales ranging from 20 to 50 acres located in Miami -Dade County, illustrated iri the chart below: Comp Address City fofrraltcee Zoning Land SF Price per Land SF ZonLand Acres Price Per Acre Type A 10300 NW lalst Way $35,700,000 M-3 1,533511)3500 $1,013,736S2532 Medley 01/11/2018 industrial B 7777 FlW 41st Street $40,268,000 I $39,00 1,032,436 C 13220 NW 17th Street $31;09%500 Dora! 12/26/2017 industrial 23.70 10-1 1,323,933 $23.49 $1,695,966 Miami 07/20/2016 industrial 30,39 SWC NW 25th Street & NW $22,154,600 10-1 930,647 $ i:22312°11 1,17th Place .._ Miami 02/08/2016 industrial 21,36 $1 036 971 These sales are indicating unit prices ranging from $23.32/SF to $39.0O/SF, with an average unit price of $27.41/SF. Comparable B is considered to be superior than these other comparables being located in the City of Doral and having direct frontage and exposure to the Palmetto Expressway. Our unit value conclusion for the subject is slightly above the range indicated by Comparables, A, 13, and D. These three comparables are considered to be inferior in location to the subject since they are located in the western areas of Miami -Dade County. The subject is located adjacent to State Road-836 and the Miami intonational Airport in an in -fill area, JOSEPTI 1. BLAKE AND ASSOCIATES, NC„. litAL ESTATE VALIIATICIRMIICONSULTitill 97 Marni1nterna�raij Links moiroose country club Land 18-114-02 LAND RENT DETERMINATION OF LAND RENT The subject of this appraisal consists of the 131.,0738 acre s or 5,709,575 SE of land underlying the Miami Internatiohal links - Melreese Country Club. The portion of this overall site that we are appraising has yet to be specified in regards to exact location or size. The parcel is improved with an 18-hole golf course, with a driving range and practice putting greens, The subject is also Improved with four buildings that were constructed from the 1960's to 2000s that are used as a golf learning center, pro shop, full -service restaurant, maintenance building, and other ancillary uses for the operation of a golf course, The site is owned by the City of Miami and teased to the current golf course operator. We have been requested by the client to project a market rental rate for the subject's site, as if vacant and zoned to its highest and best use under -Miami 2.1 Special Area Plan (SAP) zoning, in order to calculate the market rent, we have researched market capitalization rates for land In Miami -Dade County to determine the subject's market Lease rental rate. The following comparable sales represent the purchase of parcel of land where the tenant was CoMpletely responsible for the construction and maintenance of the structure subsequently constructed on the sites. The sales presented are all located In Miami -Dade County, and have all transpired over the period January of 2015 through April of 2017, Therefore, the comparable sales are considered to be similar in terms of market conditions, Comp Addreas Cty 2. 15715 SW 72nd Street MrnL 3750 NW 87th Ave Dora! 1177 SW 8th Street Miami 4 14180 SW 8th Street Miaml 2004 _ 2151. NW 79th St Z9887-0029 Mia mi 2013 561 NE 79th St 29534-2485 Mia mi 2,015 „ , 7 524 Jeffers on, Avenue 29987-2683 Miami peach Recordation Land SF Price NM Price per Land $F Year13iiiit____ J.TELRatio Date Pace per SF NOI/SF Cap Rate 30555-3840 15,670 $3,480,000 2,132 $222.08 2016 7.35 '•0448/2017 $1,632.27 $69.37 4,25% 30387-3336 47,530 $7,100,000 16,252 $149.38 ,2016, 2.92 0147/2017 $436.87 $21.27 4 87% 30161-3315 95,396 $13,100,000 22,335 $137,32 2012 4.27 07/2,1/2016 $586.52 $7.54 5.49% 30098-4409 30,971 52,000,000 3,151: $6448 9.71 0546/2015$626,76 $27.15 4.33% 41,033 $2,4.57,000 9,741 559.88 4,21 12/04/2015 $252,23 $18,26 7,24% 61,294 $9,770,000 15,945 $159.40 3,84 01/01/2015_ $612.73 $27.57 4,50% 33;598 56,750,000 14,258 -5200.90 1995 2.36 93/03/2016 $473 42 $2233 4,72% The comparable sales noted above range from 4.25% to 7.24% with an average of 5,06%. We also considered national investor's survey data before reaching a capitalization rate conclusion for the subject site, The following table summarizes prevailing land lease capitalization and discount rates. The former reflects initial rates of return on appraised values for vacant land proposed for development. They do not address increases in land lease payments or the reversion but may include percentage rent, The latter are internal rates of return being achieved by landowners on improved properties, As such, they -include changes to land lease payments, percentage rent where applicable, and the reversion of the entire property at the termination of the lease. Total lease terms range from 40 to 99 years, while fixed rent periods range from one to 10 years. Generally, short-term (1-3 years) fixed rent periods auto -adjust based on a national reference rate such as the Consumer Price index, while long-term (5-10 years) fixed rent periods are based on appraised values but are often subject to negotiation and/or arbitration. JOSEPH J. BLAKE AND ASSOCIATES INC ktAL rsttrE VALUATI(111 ARO NSlitiltiO 543 Miami international Links - 1.8-114-Ca eIre Country Club Land LAND RENT RealtyRates*com Investor Survey Land Leases First Quarter 2018 Property Type Apartments Golf Health Care/Senior Housin Industrial Lodging Mobile Home/RV Park Office Restaura nt Reta i I Self -Storage Special Purpose All Properties 247% 16,30% 7.62% 5,07% 1.680% Capitalization Rates Min. Max. Avg. 2.47% 10.64% 6.51% 2.97% 16.30% 8,90% 2,99% 12.01% 7.20% 2.59% 10.64% 6,87% 2.99% 15.93% 7,47% 2.79% 13.15% 7.84% 2 77% 10.64% 7,01% 3.15% 15,39% 835% 2.51% 12,01% 6.98% 2.81% 10,64% 7.99% 3.25% 16,10% 8:75% Discount Rates Min. Max, Avg. 5.07% 11.14% 7.51% 5.57% 16.80% 9,90% 5.59% 12.51% 8,20% 5,1,9% 11.14% 7,87% 5„59% 16A3% 8,47% 539% 13,65% 8,84% 5,37% 11,14% 8,01% 5.75% 15.89% 9.35% 5.11% 12.51% 7.98% 5,41% 11,14% 8,99% 6.34% 18,72% 9.45% 8.51% Sourcet. ReaityRa tes.torn Inve5tor Surveyo 15t -tloarter zots The capitalization rates for land leases for apartment use range from 2.47% to 10,64% with an average of 6,51%. The rates for retail use range from 2.51% to 12.01% with an average of 6.98%. The rates for office use range from 2,77% to 10.64% with an average of 7.01%. The highest arid best use of the subject site is for mixed -use residential/retail/office development. The subject is located within the northwest quadrant of the interchange of State Road-836 and LeJeune _Road, having good visibility and exposure. We placed pritrarily weight on the sales in the local market, since they consider the current economic condition of Miami -Dade County, the amount of commercial land available on a relative basis), and the competition for mixed -use development sites. As previously mentioned, the comparable sales noted a range from 4,25% to 7,24,% with an average of 5-06%. Comparable 5 is in an inferior Ocation compared to the other comparables, and has a capitalization rate well above the range. Excluding this sale, the range of cap rates is 4.25% to 5.49%, with an average of 4.69%. Based on the comparables, as well as the chart above, we are of the opinion that an appropriate overall rate for the subject, assuming that it has been rezoned to its highest and best use, should be between 4,50% to 5.50%. Therefore, we have concluded to an overallrate in the middle of this range of 5.00%. The annual rental rate for the subject's site, as if vacant and rezoned to its highest and best use, is calculated as follows: LAND VALUE CONCLUSION $25.00/SF MULTIPLIED BY CAPITALIZATION RATE 0.05 INDICATED RENTAL RATE 1.25/SF This rental value conclusion is based on the 131.0738-acre size of the subject, If the sizeof the parcel leased is different In sizet the rental value may be Impacted. The market rental rates presented are expressed as a net rental rate with all expenses associated with the property; real estate taxes, insurance, maintenance, repairs, payroll, management, etc. borne by the lease. JOSEPH i, BLAKE AND ASSOCtATES, NC REAL ESTAIE VALUATION ARO COPISOLIIIIII 99 land International LinksIVielreese country cub Land 111-114-ez RECONCILIATION AND FINAL VALUE The Sales Comparison Approach wa employed in the valuation of the subject. The values derived via these methods are shown below: As Rezoned to Highest and Best Use" Value (4/10/2018) Land value $25,00/sP Final Value Opinion $25.00/5E As Rezoned to Highest and Best Use Rental Value14/10/20.18) Final Rental Value $1.2S/SF in the approach utilized, we have attempted to summarize all the input data and have briefly explained our methodology in processing arid/or analyzing this data. Insofar as we have been abie to determine, this data has been obtained from reliable sources and was accepted as being accurate, We give full recognition to the inherent weaknesses of this approach. It should be acknowledged that because the appraisal of real property is not an exact science, professional judgment on our part becomes a component of each of the recognized approach. The Sales Comparison Approach is dependent on a direct comparative technique of the sale, or offering of, similar properties. Since no two properties are ever identical, it is necessary to analyze arid determine the degree of comparability between the subject and the sale properties for differences. The primary unit of comparison utilized in the valuation of the subject was the price per SF. A number of recent sales of comparable properties were uncovered, and after the adjustment process, we concluded to a value/price per SF for the subject. After an inspection of 'the subject, and analysis of pertinent physical and economic factors that affect value, we are of the opinion that the market value of the fee shillala estate of the subject, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, on a per square foot basis isi $25.00/SF 'TWENTY-FIVE DOLLARS PER SQUARE FOOT This unit value conclusion is based or the 131,0738-acre size of the subject If the size of the parcel sold is different In size, the unit value may be impacted. We are of the opinion that the rental value of the subject's underlying land, assuming the hypothetical condition that the subject has been rezoned to its highest and best use under Miami 21 Special Area Plan (SAP) zoning, as of April 10, 2018, on a per square foot basis is: S1.25/SF ONE DOLLAR TWENTY-FIVE CENTS PER SQUARE FOOT This rental value conclusion is based on the 131.0738-acre size of the sul3ject, If the size of the parcel leased is different In size, the rental value may he impacted. This rental value should be re-evaluated approximately every five years to take into consideration any change in market value, which would have an effect an the market rental rate, Rental rates for land are typically adjusted every five years in the market. This appraisal is based on extraordinary assumptions that we do not consider any current leases in place. The use of the aforementioned Extraordinary Assumptions might have affected the assignment results. 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National Flood Hazard Layer FIRMette 25°4745.15N 80°1540.75W 0 250 500 1,000 1,500 Feet 2,000 1:6,000 FEMA 254712.75N Legend — — SEE FtS REPORT FOR DETAILED LEGEND AND INDEX MAP FOR FIRM PANEL LAYOUT ,SPECIAL FLOOD IIAT-AiiD AREAS OTHER AREAS OF FLOOD HAZARD Marc. OTHER ARFAS GENERAL STRUCTURES 0 ER FEATURES MAP PANELS - Without Base Flood Elevation IFE VtA99 pr Depth • • • • , „ Za AE, AO AR YF,A 0.2% Annual Chance Flood Hazard, Areas et 1% annual chance flood with average depth less than one foot or with drainage areas of less than one square mile z000 x , Future Conditions 1% Annual '• 4,- AL, Chance Flood Hazard z000 x Area with Reduced Flood Risk due to - ^ Levee. See Notes, zo, x Area with Flood Risk dile to Leveez000 INO SCREENI 1 Area of Minimal Flood Hazard zani, x Effective LOMRs Area of Undetermined Flood Hazard 2:q - — - Channel, Culvert, or Storm Sewer muumuu Levee, Dike, or Floodwall 20 Cross Sections with 1% Annual Chance Water Surface Elevation Coastal Transect Base Flood Elevation Line (BFE) --, Limit of Study Jurisdiction Boundary --- Coastal Transect Baseline — Profile Baseline Hydrographic Feature Digital Data Available • No Digital Data Available • Unmapped Thls map complies with FEMA's standards for the use of digital flood maps if it is not void as described below. The base map shown complies with FEMA's base map accuracy standards The flood hazard information is derived dlreotly from the authoritative NFHL web services provided by FEMA. This map was exported on 4/19/2018 at 101606 AM and does not reflect changes or amendments subsequent to this date and time. The NFHL and effective information may change or become superseded by new data over time. This map image is vold if the one or more of the following map elements de not appear base map imagery, flood zone labels, legend, scale bar, map creation date, community identifiers, FIRM panel number and FIRM effective date. Map Images for unmapped and unmodemlzed areas cannot be used tor regulatory purposes. City of Miami Zoning Information Notice: This is a reference manual only. For official information, please refer to the Miami 21 Code, as amended, the Zoning Ordinance of the City of Miami, Additional regulations may be applicable. All applications require zoning review and referral prior to commencement. MIAMI 2i AS ADOPTED - APRIL, 2013 22nd Avenue 1. Boundary: 22nd Avenue from iNW lst Street to W filth Street. DEN. 2nd Ave Setback: Zero (0) foot with Arcade Central Coconut Grove Boundary: All properties Adjacent to Grand Avenue between Margaret Street and Mary Street. All properties Adjacent to Commodore Plaza between Grand Avenue and Main Highway All properties Adjacent to Fuller Street between Grand Avenue and Main Highway, All properties Adjacent to Main Highway between Charles Avenue to Grand Avenue. All properties Adjacent to McFarlane Road between Grand Avenue and South Bayshore Drive, All properties Adjacent to Virginia Street between Oak Avenue and Grand Avenue. All properties Adjacent to Florida Avenue between Virginia Street and Mary Street. All properties Adjacent to Rice Street between Oak Avenue and Florida Avenue, All properties on the west side of Mary Street between Oak Avenue and Grand Avenue. .All properties on the southside of Oak Avenue between Matilda Street and Tigertail Avenue, ntral Coconut Grove Set ack (on tfee sl rrgNSI' its lifed a vet,. Five (5) f 3.,1 Lot Area inclusive of any dedications,. is used for purposes of Density and Intensity calculation; 3.4.2 Density shall be calculated in'teerrrrs of units as specified byArticle 4, Tables 3 and 4. The referenced tables provide the maximum allowable Densities. Intensity shall be calculated in terms of Floor Let Ratio. The buildable Density or intensity on any particular site will be affected by other regulations in this Code and thus the stated maximums of this Miami 21 Code may exceed the actual Capacity that a site can sustain when other regulations of this Code are applied to the site. The inability to reach the maximum Density or Intensity because of the necessity to conform to the other regulations of this Code shall not constitute hardship for purposes of a Variance. Lodging Units shall be considered as equivalent to one-half (0,50) of a DwellUnit, 3.4.4 The allowable Transect Zone Density may be increased as provided by the Future Land Use. Element of the Miami Comprehensive. Plan (Residential Density Increase Areas), as illustrated in Article 4, Diagram 9. MEASUREMENT OF HEIGHT Unless otherwise specified herein, the Height of Buildings shall be measured in Stories. The height of Fences and walls shall be measured in feet. The Height of Buildings, Fences and walls shall be measured from' the Average Sidewalk Elevation r, where no sidewalk: exists, the average of the MIAMI 21 AS ADOPTED APRIL 201 ' record profile grade elevation of the street Abutting the Principal Frontage of the Building, as deter -- mined by the Public Works Department. 1ri the event that the base flood elevation, as established by FEMA, is :higher than the sidewalk or grade elevations, the Height of the first Story but riot the height of Fences and avails shall be measured from the base flood elevation. 3.i5.2 A Story is a Habitable levelwithin a Building of a maximum fourteen (14) feet in Height from finished floorto finished floor. Basements are not considered Storiesforthe purposes of determining Building Height, Aground level retail Story may exceed this limit up to a total height of twenty-five (25) feet. -A single floor level exceeding fourteen (14) feet, or twenty-five (25) feet at ground level retail, shall be counted as two (2) Stories; except for T6-36, T6-48, T -60, T6-$O, and Di, where a single floor level exceeding fourteen (14) feet may countas one (1) story if the building height does not exceed the maximum height, including all applicable bonuses, allowed by the transect at fourteen (.14) feet per floor. Where the first two stories are retail, their total combined Height shall not exceed thirty-nine (39) feet and the firstfloor shall be a minimum of fourteen (14) feet in "Height. Mezzanines not exceed thirty-three percent (3%) of the Habitable Space FloorArea, except for D1, where mezza- nines May net exceed fifty percent (60%) of the Habitable Space FloorArea.. Mezzanines extending beyond' thirty-three percent (33%) of the Floor Area, or fifty percent (50%)of the floor Area in D1, shall be counted as any additional floor,, The Height of s Parking Structure concealed by a Liner may be equal to the Hsight of the Liner.; this may result in a Liner Story concealing mare than one level of Parking. Except as specifically provided herein, the Height limitations 04 this Cade shall 'not applyto any roof Structures for housing elevators, stairways, tanks, ventilating fans, solar energy collectors, or similar equipment required to operate and maintain the Building (provided that such Structures shall not cover more than twenty percent (24%) of roof area for T4 and T5); nor to church spires, steeples, belfries, monuments, water towers, flagpoles, vents, or similar Structures, which may be allowed to exceed the maximum Height by Waiver; nor to fire or parapet walls, which shall not extend more than five (5) feet above the maximum Height in T4 and T5 wetter' (10) feet in T6 and Districts 3.5.4 No Building or other Structure shall be located in a manner or built to a Height which constitutes a hazard to aviation or creates hazardsto persons or property by reason of unusual exposure to avia- tion hazards: in addition to Height limitations established by this Code, limitations established by the Miami -Dade County Height Zoning Ordinance as stated in Article 37 of the: Code of Miami -Dade County (Miami. international Airport) shall apply to Heights of Buildings and Structures A letter authorizing clearance from the Miami -Dade Aviation Department or the Federal Aviation Administration (FAA) may be, required by the Zoning Administrator prior to the. issuance of any Building ;permit; Construction of an Educational facility within the delineated Miami International Airport Critical.Ap:- proach Area as defined by the Miami -Dade County Code shallonly be granted by Exception. Con- struction of such facility is subject to the approval; by the Miami -Dade County Aviation Department or any other agencies authorized by law to approve the construction. Height limitations for Properties Abutting and in Proximity to National Historic Land arks a All properties designated a National Historic Landmark (NHL) which include sr Designed Land- scape that is an integral part of the documentedsignificance supporting the NHL designation shall be protected by height limitations throughout the entire Civicinstitution zoned property of which the NHL is a part, so as to protect the Designed Landscape from the potentially adverse effects 1 MIAMI 21 AS ADOPTED - APRIL 2013 of an undertaking that may diminish the integrity of the NHL property's location, design, setting, mater€als, vvorkmariship, association or qualities that qualified it for NHL designation. Examples of adverse effects which diminish the integrity of the NHL property include those which,cause physical destruction of or damage to all or part of the NHL property; or change the character" of the NHL property's use or physical features within the NHL property's setting that contribute to its historic significance; or introduce visual, atmospheric or audible elements that diminish the integrity of the NHL property's significant historic features; or alter the NHL property in a way that is not consistent with the federal standards for the treatment of historic properties and epplicabie guidelines, as published by the United States Department of the Interior, b. The height of structures throughout the entire Civic Institution zoned property .of which the NHL is a part shall not exceed ° that established by a sic (6) degree vertical plane which is measured beginning frorn the ground floor elevation of the principal historic building at the facade that over- looks the Designed Landscape, which plane shall extend in a one hundred eighty (180) degree are facing, the Designed Landscape and measured at grade from the midpoint of the building facade The ground floor elevation shall be measured according to the 1929 N.G V.fl of Mean Sea Level supplied by the City of Miami. Structures existing on affected properties at the time of the effective date of this Miami 21 Code shall not be considered nonconforming structures,. c>; Should the height limitations for structures located in such Civic lr stltUtior zoned property as of the effective date of this Miami 21 Code be more restrictive than that treated by this section, the most restrictive height shall apply, in the event of a rezoning of all or part ofthe Civic Institution property, either by successional zoning or by Special Area Plan, the height' limitations specif€ed in this Section 15,5 shall be incorporated in all sub, quent rezonings. d. For purposes of this Section 3..5 , the 'follaw'rig definitions shall apply.: esigned Landscape is one or more of the followiri ;; a landscape that has significance as a design or work of art; a landscape consciously designed and laid out by a master gardener, landscape archive at, architect, or h orticuituralist to a design principle, or an owner or other amateur using. eoognized style or tradition in response or reaction to a recognized style or tradition; a landscape having a historical association with a significant person, trend, event, etc. in landscape gardening or landscape architecture; or a landscape having a significant relationship to the theory or practice of landscape ar- chitecture, National Historic Landmark is a nationally significant historko placedesignated by the Secretary ofthe Interior because it possesses exceptional value or quality in illustrating or interpreting the heritage ofthe United States, and defined in Title 36, Section 66:3 the Code of Federal' Regulations, 3.5.6 See Chapter 23 of the City Code, titled. Historic. Preservation, for regulations rrd additional Neigh requirements. Il',10 MIAMI 21 AS ADOPTED - APRIL 2013 2. Portions of SD-2, originally adopted by Ord. No. 12651, January 27, 2005; and 3. SD 1.8, originally adopted by Ord. No. 10863, March 28, 1991; and -4. SD 18,1, originally adopted by Ord, No. 11240, March 27, 1995, The Coconut Grove NCD is hereby adopted and codified in Appendix A.3 to this Code, 3.11' .SUSTAINABIUTY 3.131 General a, Landscape requirements are as required in Article 9 of this Code and the City of Miami Tree Protection regulations of Chapter 17 of the City Code, except that where this Code is more re- strictive than the Tree Protection regulations, this Code shall aPPFY, b. AP new Buildings of more than 50,000 square feet of Habitable Rooms and Habitable Space in the T5, T6, CI and CS zones shall be at a minimum certified as Silver by the United States Green Building Council (USGBC) Leadership in Energy and Environmental Design (LEED) standards or equivalent standards adopted or approved by the City. 1. At the time of Building Permit application, the owner shall submit: c„ Proof of registration with the Green Building Certification institute, or equivalent agency; d. A signed and sealed affidavit from a LEED Accredited Professional, or applicable designation, stating that the proposed Building is designed to achieve the required certification: and e. A LEED Scorecard, or equivalent document, identifying anticipated credits to be achieved, 2, At the time of Certificate of Occupancy application, the owner shall submit: t Proof of certification by the Green Building Certification Institute, or equivalent agency; g. A bond posted in a form acceptable to the City, in the amount indicated below; i, Two percent (2%) of the total cost of construction for a 50,000 - 100,000 square feet Building; it Three percent (3%) of the total cost of construction for a 100,001 - 200,000 square feet Build- ing; iii. Four percent (4%) of the total cost of construction for any Building greater than 200,000 square feet; or h. Proof of partial compliance from the Green Building Certification Institute, or applicable agency, which demonstrates the credits presently achieved, in addition, a prorated portion of the full bond amount, as indicated in subsection 2(b) above, shall be posted based on the number of MIAMI 21 AS ADOPTED . APRiL 2013 2 remaining credits needed to meet minimum certification requlremerits,. The bond amorit to be posted shall be calculated as follows: (credits remaining for certification / credits required" for certification) x full bond amount = prorated bond amount Forfeiture of Bond. A bond under this Section 3,13,1 shall be forfeited to the City in the event that the Building does not meet the for LEED Silver certification or applicable certification. The City wilt draw down on the bond funds upon failure of the owner to submit proof of (EEL Sliver certification. in a fora acceptable to the City within one (1) year of the City's issuance of the Certificate of Occupancy for the Building. if required certification: is not achieved but a majority of the credits have been verified, the owner shall forfeit a portion of the bond based on any outstanding credits which shall be calculated as follows; (credits remaining for certification / credits required for certificatiion,) x full' bond amount bond amount forfeited If the amount to be forfeited is greater than fifty percent. (50%) of the fall bond amount, the bond shall be forfeited in its entirety. Funds that: become. available to the City from the for- feiture of the bona shall be placed in the Miami 21 Public Benefits Trust Fund established by this Code, Affordable Housing Developments that qualify under Section'3.1 , may elect to comply with the sustainability+ requirements promulgated by the Florida Housing Finance Corporation, or its suc:- cessor agency, in lieu of the requirements set forth. in Section 3.13.1:b above. The preservation of Natural Features of land such as trees,, vegetation, generical', and other characteristics and the preservation of features of archaeological significance are dec[ered, to be in the public interest. Said preservation may justify the relaxation of Setbacks or required Off-street Parking by Waiver. The ZoningAdministrator Shall determine that the trees, vegetation,. geological and other natural characteristic, or archaeological features are in the Buildable Area of the Site and not in Setback areas required for the development of the sites Heat island Effect. The intent: of this section is "tie reduce the heat island in. the City of Miami arrd to ;cdrrsequentty reduce energy consumption and bills for buildings within the City. a Applicability in all Trarrse t Zones, except Tar the provisions of this section are applicable to all neWcor truc-, tion and to repair or replacement greaterthanfifty percent (0%) by area of existing roofs site Hardscape. All repairs or replacement of existing roofing or Hardscape shalt be reviewed by the Zoning Department for compliance with this section, The following portions of new or existing roofs are exempted from the requirements of section ,13,2 1. The portion of the roof acting as a substructure for and covered by a rooftop deck, vegetation associated withan extensive or intensive green roof as defined` by the U.S. Environmental' 1126 MIAMI 21 AS ADOPTED -APRIL 2013 Protection Agency, or any area of a roof utilized by photovoltaic and solar equipment, 2. A rooftop deck covering a maximum of 1/3 of the rooftop total gross area. 3. Existing roofs where less than fifty percent (50%) of existing roof area is repaired or replaced are exempt from the requirements of 3,13.2.c. 4. Existing Hardscapes where less than fifty percent (50%) of existing Hardscape area is being repaired or replaced are exempt from the requirements of 3.43,2,d. b, Solar Reflectance 1, For roofing materials, all roof exterior surfaces and building materials used to comply with this section, shall have a minimum Solar Reflectance as specified in section 3:13,2,e and 3.13.2.d when (i) tested in accordance with ASTM E03 or ASTM E1918, (li) tested with a portable reflectometer at near ambient conditions, (iii) labeled by the Cool Roof Rating Council, or (iv) labeled as an Energy Star qualified roof product. Any product that has been rated by the Cool Roof Rating Council or by Energy Star shall display a label verifying the rating of the product. 2. •For paving materials, all paving materials used to 'comply with this section shall have a mini- mum solar reflectance as specified in sections 3,132.d when (1.) tested in accordance with ASTM E903 or ASTM E1918, (ii) tested with a portable reflectometer at near ambient condi- tions, or(i) default values of Solar Reflectance for listed materials may be used as follow; Material Typical new gray concrete Typical weathered gray concrete Typical new white concrete Typical weathered white concrete New asphalt 0.35 0.20 0,40 0,40 0.05 Solar Reflectance Weathered asphalt 0,10 C. Roof 1. Requirements for Low Sloped Roofs Roofing materials used in roofs with slopes of a rise of zero (0) units in a horizontal length (0:12 pitch) up to end including roofs with slopes of a rise of two (2) units in a horizontal length of 12 units (2:12 units) Clow -sloped') shalt meet the fallowing requirements: a. Low -sloped roofs constructed as part of a new building shall utilize roofing products that meet or exceed an initial reflectance value of 0.72 or a three-year installed reflectance value of 0,5 as determined by the Cool Roof Rating Council or by Energy Star. b. Exception, Where more than 50% of the total gross area of the low -sloped roof is covered With vegetation associated with an extensive or intensive green roof as defined by the US EPA, the remainder of the roof shall have a reflectance value of a minimum of 0.30 and the rooftop deck 111,27 MIAMI 21 AS ADOPTED -APRIL 2013 exception in section 3.13.2.a.1 applies. c Exception. Ballasted roofs with a minimum of 16 lbs/sq.. ft. or ballast over the entire roof surface may have a reflectance value of a minimum of 0.30. Faille purposes of this section, "ballast" shall mean river rock aggregate or larger pavers or other means of weighing down a roofing membrane over a substrate to resist wind uplift, 2„ Requirements for Steep Sloped Roofs Roofing materials used In roofs with slopes of a rise greater Mart two (2) units in a horizontal length (2:12 pitch) Vsteep-sloped) shall meet the follovving requirements', (a) Steep sloped roofs shall have an initial Solar Reflectance of 0,15 or greater, 3. Requirements for Roofs with Multiple Slopes Roofs with multipie slopes shall be subject to those requirements applicable to the slope which covers the largest area of the building footprint, d, Non -roof RequirementS 1. Provide any combination of the following strategies for fifty percent (50%) of the site Hard - scope: (a) Shade from solarpanels eir roofing materials with a Serer Reflectance of at least 0,30,, (b) Shade from trees within five (S years of occupancy.- (c) Paving materials with a Solar Reflectance of at least 0,3. (d) Pervious Pavement -System, 2. Place a minimum of fifty -percent (50%) of parking spaces Under cover (defined as under- ground, under deck, under roof, or under building). Any roof used to shade or cover parking must have a Solar FReflectance of at least 0.30, 3.14 PUBLIC BENEFIT$ PROGRAM The intent of the Public Benefits Program established in this section is to allow bonus Building Height and FIR in T6 Zones and bonus Building Height in D1 Zones in exchange for the developer's con- tribution to specified programs that provide benefits to the public, 3,14.1 The bonus Height and FLR shall be permitted if the proposed Development contributes toward the specified public benefits, above that which is otherwise required by this Code, in the amount and in the manner as set forth herein. The bonus shall not be available to properties in a T6 Zone if the property abuts a T3 Zone or in a T6-8 Zone if the property abuts a CS Zone, MIAMI 21 AS ADOPTED - APRIL 2013 THE NATURAL ZONE conslsts of tands approximat- ing a wilderness condition, permanently set aside for conservation In an essentially natural state. THE RURAL ZONE conslsts °fiends in open or cultivated state or sparsely settled. These include woodland, grassland and agricultural land. THE SUB -URBAN ZONE consists of low -Density areas, primarily comprised of Single -Family and Two Family residential units with relatively deep Setbacks, Streetscapes with swales, and with or without Side- walks. Blocks may be largo and the roads may be of irregular geometry to accommodate natural and historic conditions. THE GENERAL URBAN ZONE consists Mixed - but primarily residential urban fabric with a range of Building types including rowhouses, small apartment Buildings, and bungalow courts. Setbacks .are short W•th an urban Streetscape of wide Sidewalks and trees in planters. Thoroughfares typically define medium- sized blocks. THE URBAN CENTER ZONE consists of higher Densi 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 URBAN CORE ZONE consists of the highest Density and greatest variety of Uses, including Civic Buildings of regional Importance. A network el small blocks haS Thomughfares with wide Sidewalks, with steady tree planting and Buildings set close to the Frontage with frequent doors and windows. THE DISTRICT ZON i! th I., reguiated 11 Building and accomrfj�dates,-(6:r10i-c igt and industrial Uses of a scale an h:e S4eetseape.61at facilitate vehicular access. ARTICLE 4. TABLE 1 TRANSECT ZONE DESCRIPTIONS 1V,5 • 0 • v..„. m.m], men, ; IOW am, zNkm• rsa ,,r;;; „.„..... :MN ......... ......... „„„„„„„„„ Kfq,11,C MIAMI 21 AS ADOPTED - APRIL 2013 T3 SUB -URBAN ENSITf (UNITS PER ACRE} RESIDENTIAL SINGLE FAMILY RESIDENCE COMMUNITY RESIDENCE 9 ANCILLARY UNIT TWO FAMILY RESIDENCE: MULTI FAMILY HOUSING DORMITORY TA URBAN ERAL R ARTICLE 4. TABLE 3 BUILD NG FUNCTION: USES T5 T6 URBAN CENTER URBAN GORE R R R R R: HOME OFFICE LIVE WORK R WORK -LIVE LODGING REG & ORE INN HOTEL OF FICE COMMERCIAL AUT R MERCIAL ESTAB, ENTERTAINMENT ES TAQLISHMENT ENTERTAI FOO RVIC ES AB:-sADULT LI MENT ALCONOL BEVE GE SERVICE ESTA AL COMMERCIAL MARINE RELATED'COMMERCIAL ESTAB: OPEN MR RETAIL PLACE OFASSE RECREATIONAL vIC TABUS ENT COMMUNITY FACILITY RECREATIONAL FACILITY RELIGIOUS FACILITY REGIONAL ACTIVITY R: R R. R NIA. NIA E 1111111111131 - 11111111 R' R_ R. R R R R R_ W R R R R R CIVIL SUPPORT COMMUNITY SUPPORT FACILITY INFRA STRUCTURE AND UTILITIES. MAJOR FACILI MARINA PUBLIC PARKING R' Vd RESCUE MISSIt TRANSIT FACILITIES DUCATIONAL HILDDCARE OLLE� !UNIVERSITY` LEMENTARY SCHOOL NING CENT IADLE (HIGH PRE-SCHOOL RESEARC ECHO FACILI E E PECIAL TRAINING NAUSTRIA AUT I.RE LATET7I USTRIAL ESTBL. AN AND PROCEESIN ARINE RELATED INDUSTRIAL ESTBL PRODUCTS AND SERVICE STORAGE/ OISTRI9UTION FACILITY R, I=. E- R 4V R Addilionatdansi let in samBTGrones are Mu "AZ: Density ollpvres1AbbUingZane 1V8 R'. W aro9, E R R R: w R MIAMI 21 AS ADOPTED APRIL 2013 DENSITY (11PA) RESIDENTIAL OFFICE. OMMERCIAL CIVit, SUPPORT EDUCATIONAL. ARTICLE 4. TABLE 4 DENSITY, INTENSITY AND PARKING (CONTINUED) CS=C1ViC SPACE CI -CIVIC INSTITUTION Ct HD -CIVIC INSTITUTION HEALTH !DtSTRICT A Loaging, , Atfiole 4 Tohle& Loathng needs, including moneuvenng, shalt Ire ion n i= mortared on site.. DENSITY OF ABUTTING ZONE Uses ars permissible as listed in Table 3, limited compliance with: Density and all intensity, parking and loading regulation to match the, of the most restrictive Abutting zone;. permissible as listed in Table Minimum of 3 parking spaces for every 1,000 square fadtof Office Use. Minimum ofcne Bikespece for every 20 vehicular spaces required (before any reductions). Parking ratio may be reduced according to the shared parking standard, Parking may be provided offstte in CI, D, T5 orTa..within 500feetlhrou h a afkin« mane ement.IaiNzpne. 150 UNITS PER ACRE nhnom of 1 parking space for every 800 square feel Residential Use ading See Article 4, Table 5 • Minimum of 1 partdng space forever) 500 squire feet of Residential Use. T trading,- See.Article4, Table 5 Of ;1 parking s. pace fiat Use. e Arlicte 4 Table 5 ommercial Uses are permissible as listed'in_ Table 3, • Mh tnmm of 1 parking space' for every 500 srguar limitedby compliance with: of Cammerciar Use. Building area allowed fur Commerci0I Use orr.each lot shall be less than 25°la Building floor area total. Minimum. of 3 parking: spaces for every 1,000 sf of Com- mercial space Minimuip of 1 parking spore rer every 7 seats in Major Sports Facility Mintmurn prone Bike space recovery 20 vefricularspaces merited {before any reductions),_ Parking ratio may be reduced according to the shared parking standard; « Parking ratio may be reduced for Major Sports Facility within intileofaMeirorail, MelromaverStation, armors transit facility by up to 10i'n. • Loading -Sea Article 4, Table,5 • Loading needs, including meneuvering, shall be aocam- modated on site Loading - See Article 4, Table 5 jablo Caim Uses are permissible as fisted, n T imum of"1 parking space for every fi 0 square fi Minimum ofiparking space farever}5seafsafasst "'' of CD la Use.: uses, Loading - See Article 4. Table 5 sf4nUnrr arson 5 ann f s +bibtr « Minlmumeir{ parkanp pacefar®verya,9Otlsfof®xTiibiBon srcrealydn spade and padringspaces iota fisr Uses- or recreation space, and parking spaces for otherUses required„ as required, Strum of 1 tier ingapacfiryvaty staf#itgmt?er for; • Mintmumof { parkiace for every staff member to eafionaltis� recreational uses. mi+m of i p ng p Ffo n o lir{(t s"x « Minimum et 1 parking space farevery 50p sf of Building g a pa(iuhai tines' area for. recreational uses, mumafone8flaspacelar y2ilvahiculars r s,«Miniature ofone Otte apace for every 20veNattier Spaces , u red {before. ails reductions), required (before any reductions), king maybapro tried affsrtmtn t t, D T5 TT5 within ' Parking maybe provided offsite in Cl, 0, T5 or lava* tali ogzpae 500 feat Iliron h a • arkiag management plan/zone: ate., Civil Support Uses are permissible an listed in Table 3, « Minimum of l parking spaaa for every 80tt sq ,Mired by Compliance With; of Civil Support Use. e%• FarCivilSupport, .aminimum of1parking space far every •Loading -See Article 4,Tab [e.5 1,000 cf. ya€y • For Assembly uses.a minimum of 1 parking space: for every 5'seals. • For MadneUses, aminimum of 1 parking space for everyr 5slips. • Adult Daycare - Minimum of 1 Space per staff member and 1 space for ovwner at„y a i i g oe rrf s„s33 JIsJe,.,,Js, ghg, Educational Uses are permissible as Gstod in Table 3, • Minimum of l perking spade for avers 800 sija r5yc ift5sn tb$fc limited bycergptkancewith: of Educ tionaf Use, nyi umr of 4pj5 tsg,s asp tot evecyi,00O sr of • Minimum of 2 parking spaces for every 1000 sf of • Loading «See Article 4, Table 5 iti ?Ent s4 spa _ r edueationefspace urrVmoifoneBrk1 uCafsp e •$shook -Minimum of1parking space for each faculty nr Pi o(5efore iy 05115 ruins, staff member. 1 visitor parking space per 100 students, tt a EIrbsstdr€mint df 'IePaa 1 parking space per 5 students in grades 11 and`12 or rrrrtier 1 spacelfor owner nand 1 chap -at( sparse foi Callegeilliieversity. bLeli?• Childcare Fac+lif€es .. Minimum of 1 space per staff member, 1 space for owner and I drop-off space for every 10 cirenta cared far« kfuhmunrofoneSkase ace farevery20vehicularspaeoa rewired (before an reductions IV.1.8 MIAMI 21 AS ADOPTED APRIL 2013 ARTICLE 4. TABLE 5 BUILDING FUNCTION: PARKING AND LOADING SHARED PAI RESIDENTIAL LODGINf- OFFICE Fit Bon RESIDENTIAL LODCstNG OFFICE` COMMERCiiL The shared Patting Standards Table provides the method for caloutating shared parting for buildings with more than one also typo. It refers Lathe parking requirements that appear In Table 4, The parking required: for any two Functions' on a Lot is calculated by y dividing the number of spaces required by the lesser ofthe Luwe uses by the appropriate: factor from this Table and adding the result to the greater use parkingregUirerilent For instance:for abuilding wit1 a Residential Gee requiring 'tp4 spaces and a.Cnnrmercial Use regtfr. Mg 20 spaces, the 20 spaces divided by the sharing factor of 1.2 would reduce the total requirement to 100.plus 17 spaces. For uses not indicated in:this :chart drtf a mixe "t1se lot asharing factor of 1,1 shalt bo allowed, Additional sharing is ailowed by Warrant. fFF $TREETPARKING STANDA ANGLEQK PARKING 90 tine wAY TRAFFIC tNr3E.E L.GAGNG 2311 ACC SSAISLE 0Ne WAY TRAFFIC rtousestLoa 6 8 ft 45 Driveways shall have am umaf 10 %et of paved width ofgnne*waydriveWIG 20 feetfar drive for parking area providing 10 or more stas Pedestttian entrances shall beateast 3 feet trout slap, driveway or access aisIe Aldo `wahle slopes, paving, and diainags as'per'Banda ulldirig'Cildp: cif street Parking facilities chap have a minimum vertical clearance of 7#as to be used by trucks or ieadin0 Uses , the niinir0Pin clearartgaBeall -be 12 le Commercial and Industrial,. ingress vehicular eentrd devices shall be located so as length between the Base Buildilr Une and dispenser, For r`equfemeots of parking lots, refer to Article 9 and the City of Miami C7ff-street Parking Guides and'Standards AD1NGHERT.F!'STA DARDS T5, T8, C DISTRICT` RESIDENTIAL" OFFICE COMMERCIAL" INDUSTRIAL:" From 25,80O Berth 81ze h; areaterthan 5 Berth Size 60sf: m 25;00 $i 420 sr 420 sr 4205t 420sf Greater than Berth Size 500;o00 at' Loading Berths 4 per9rst100 units l per eachaddifionat fractipn of 100, Loading Be i per firs units 1 per ach additiond 100 unitsot' fraction of 100 q dill 1 per 300rooms 1 per 100 rooms 500,000 st Loading Berths 1st 2nd 3rd 401 00,000 sr Area <_ „ 25Kaf c60Ksf 50Kst 100K'sf i00EOsf. 25014ef 250K1•50QKs( Loading Berths. Are 1 t 500Ksf Berth Size LoadlnpSetts 420.0 1;par 300 rooms 2000 i perlfioinems Erecter than 500,000 sl Berth $12,e Loading Bertha 650 et 1 per300 rooms 20t1st' 1 :per 100 rooms; 510,000 sr' Berth StzS Leading Berths Area 420 st> isl 25K sf-50Ksf'. 420sf 2trd, 50Ksr,100Kst 420ar 3rd f00Ksi.2001ts1 420 st 48r 250Ksr-500K-st n 500,000 Berth siae Loading Berths. Area 500E st a:• ide a'iminitn 311ity is iIaland 10 feet am:driveway of 20 NOTES Berth Types Residential*: 2E30 sf 0 ft x 20 ft x 12 ft: Commercial'": 420 sr. 12 ft c 35 fl`x 10 ft litdustnalr't 660 sfr 12 ftx 55 ax 15 ft Residential feeding berths shall be set badg. a distance equal le their length,. 1 Corrlmerciat berth may be substituted by 2 Ftesideatial berths *'1 Industrial berthtray be eeubsti1uterfby2 Commercial berths„ A required Industrlai orCammerciat loading; 'berth maybe substituted by a Commercial 'or Residential loading berth, by Waiver, if thesiae, character, and operation of the Use Is found to not require the'dimenslens specified and the required loading berth dimension could not otlervsisebeprovided according to the regulations of this Code, 1\422 MIAMI 21 ARTICLE 4. TABLE 6 FRONTAGES AS ADOPTED - APRIL 2013 a. Common Lawn: a Frontage wherein the Facade is set back sub- stantially from the Frontage Line. The front yard created remains unfenced and is visually continuous with adjacent yards, supporting a common landscape. The Setback can be densely landscaped to buffer from higher speed Thoroughfares. b. Porch & Fence: a Frontage wherein the Facade is set back from the Frontage Line with an attached Porch permitted to encroach, A fence at the Frontage Line maintains the demarcation of the yard while not blocking view into the front yard. c, Terrace or Light Court: a Frontage wherein the Facade is set back from the Frontage lane by an elevated terrace or a sunken light court. This type buffers residential use from urban sidewalks and removes the private yard from public encroachment, The raised terrace is suitable for outdoor cafes, d, Forecourt: a Frontage wherein a portion of the Facade is close to the Frontage Line with a portion set back. The forecourt with a large tree offers visual and environmental variety to the urban Streetscape, The Forecourt may accommodate a vehicular drop off. e. Stoop: a Frontage wherein the Facade is aligned close to the Frontage Line with the first Story elevated from the sidewalk. Sufficiently to secure privacy for the windows. The entrance is usually an exterior stair and landing. This type is recommended for ground -floor Residential Use, f. Shopfront: a Frontage wherein the Facade is aligned close to the Frontage Line with the Building entrance at sidewalk grade. This type is conventional for retail Use. It has substantial glazing at the sidewalk level and an Awning that may overhang the sidewalk. g. Gallery: a Frontage wherein the Facade is aligned close to the Frontage Line with an attached cantilevered or a lightweight colonnade overlapping the sidewalk. This type is conventional for retail Use. The Gallery shall be no less than 15' feet wide and may overlap the whole width of the sidewalk to within 2 feet of the curb. Permitted by Special Area Plan. rrI3 i> t h, Arcade: a Frontage v ierein tf e rargt�.ade Includes a colonnade that. overlaps the sidewalk, while the Facade at sidewalk level remains at the Frontage Line, This type is conventional for retail Use, The arcade shall be no less than 15' feet wide and may overlap the whole width of the sidewalk to within 2 feet of the curb, Permitted by Special Area Plan, LOT PRIVATE ► Frontage R.0.W LOT R.O.w. PUBLIC PRIVATE► .t PUBLIC Frontage Frontage Frontage IV.23 MIAMI 21 ARTICLE 4, TABLE 7 CIVIC SPACE TYPES AS ADOPTED - APRIL 20 3 This table describes the standards for areas zoned aslutc`Spac (uand for Public Parks and Open Space provided by the Public Benefits Program, Civic Space Types should be at the ground level, landscaped and/or paved, open to the sky and shall be open to the public. Civic Space Types may be publicly or privately owned: Open Space requirements for each zone are described in Article:5, a. Park: Anaturat preserve available for unstructured and structured recreation programs. A Park may be independent of surrounding Building Frontages. Its landscape maybe naturalistic and consist of paths and trails, meadows, woodland, sports fields and open shelters, Parks may Conservation. Areas, preserving natural conditions and their size may vary, b. Green: An Open Space, available for unstructured recreation programs,A Green may be spatially defined by landscaping rather than Building Frontages. Its landscape shall consist of lawn and trees,. naturalistically disposed. The minimum size shall be one acre and the maximum shall be 4 acres. c, Square: An Open Spaceavailablefor unstructured recreation programs and civic purposes, Asquare Is spatially defined by Building Frontages with streets on at least one Frontage. Its landscape shalt consist of pavement, lawns and trees, formally disposed, Squares shall be located at the intersection of important Thoroughfares The minimum size shall be 1/3 acre and the maximum shalt be 2 acres. id, Plaza: An Open Space available for civic purposes and programmed activities. A Plaza shall be spatially defined by Building Frontages and may include street Frontages. Its landscape shall consist primarily of pavement and trees, Plazas shall helmeted at the intersection of important Thoroughfares.. The minimum size shall be 1/8 acre and the maximum shall be 2 acres. e. Courtyard 1 Garden: An Open Space spatially defined by Buildlrrgs and street walls, and visually accessible on one side to the street. f. Playground; An Open Space designed and equipped for the recreation of children, A Playground shalt befenced end may include an open shelter. Playgrounds shall be interspersed within residential areas and may be placed • within a Block. Playgrounds may be included within Parks and Greens. There shall be no minimum or maximum size. g. Pedestrian Passage: An Open Space connecting other public spaces, that is restricted to pedes. trian use and limited vehicular access, of a minimum width of 20 feet, Building walls: enfronting a PedestrianPassage shall have frequent doors and windows. In T6-36, T6-48, T6-60 and T6-80, a Pedestrian Passage maybe roofed, h. Community Garden: A g(up g pf garden ippotf.aveitable for small 8 le, c ,ltivation, gene ally to, residents of apartments and bther dwelling• types without private gard ns.::Community gerd8ls' should accommodate individual storage sheds. J , rr I .24 MIAMI 21 AS ADOPTED - APRIL 2013 a. THOROUGHFARE & FRONTAGES Building Private Lot b. TURNING RAtIUS d. LOT LAYERS alibillnalompemotta, Pdvale Frontage ARTICLE 4. TABLE 8 DEFINITIONS ILLUSTRATED Public Vehicular Lanes Public Frontage Frontage Thoroughfare (R.O.W.) I -Radius at the Curb 2-Effective Turning Radius 14 *14 141myer &Laps f. SETBACK DESIGNATIONS 3rd Layer 2nd Layer 1st Layer 1 I -Front Setback 2-Side Setback 3-Rear Setback Pdvate Frontage c, BUILDING DISPOSITION e. FRONTAGE & LOT LINES . VISIBILITY TRIANGLE ig 1. '4011-04 Fig 2. Building Prjvate Lo 1- Principal Building 2- Backbuilding 3- Outbuilding 1-Frontage Line 2-Lot Line 3-Fagades 4-Elevations 5-Streetscreen Fig 3. ioLg. AtThoroughfareinter- At intersections of At Thoroughfare in - sections with Building driveways with Thor- tersections with no Setbacks oughlare with no Building Setbacks Building Setbacks IV.25 MIAMI 21. AS ADOPTED • APRIL 2013 cy STITUTION ZONES (CI) 6,7.1 Civic Space Zones (CS) 5.7.1.1 Development in a Civic Space Zone should have •a minimum of fifty percent (50%) of its perimeter enfronting a Thoroughfare. Civic Space site shall be entered directly from a Thoroughfare. 5.7,1,2 Development in Civic Space Zones shall be consistent. with the standards in Article 4, Tables 3, 4, and 7. 5.7.1.3 One or more Buildings may be built in each Civic Space, Building floor area shall not exceed twenty- five percent (25%) of the lot area of the CIViC Space, and shall support the principal use of the Civic Space, 5.7,1A In Civic Spaces, Buildings, Fences and walls shall conform to regulations of the most restrictive Abutting Transect Zone, except as shown by City of Miami's Parks and Public Spaces Master Plan. Other adjustments to the regulations shall be approved by process of Exception. All Community facility arid Recreational Facility Uses shall be government owned or operated only, 6.7.2 Civic Institution Zones (CI) 51,1,1 Development in a Civic Institution Zone shall have a minimum of one (1) Frontage enfronting Thoroughfare and should have its primary entrance from a Thoroughfare, 5.7.2.2 Development in Civic Institution Zones shall be consistent with the standards in Article 4, Tables :3 and 4. 5.7.2.3 A Civic Institution Lot may have one (1) or more Buildings. 5.7.2,4 Civic Institution Development shall be permitted by process of Exception and shall conform to the following regulations; a. Any property located within a CI Zane may be developed according to the regulations of the most restrictive Abutting Transect Zone with all Frontage Setbacks considered a minimum. b. Development in a CI Zone shall follow the regulations of the Abutting Transect Zone, except that Height restrictions shall be as follows: 1. A Cl Zone entirely Abutting T3 shall be developed to no more than the maximum Height al- lowed by T4. 2. A CI Zone predominantly Abutting T3 or T4, shall be developed to no more than the maximum Height allowed by T5. 3. A CI Zone predominantly Abutting T5, T6-8, DI, D2 or D3, shall be developed to no more than the maximum Height of T6-8, 4. A CI Zone entirely Abutting T6-8 or higher, may conform to the maximum Height of any higher Abutting Transect Zone. V.43 MIAMI 1 AS ADOPTED ARIL. 2013 c. A Cl Zone may seek higher than Abutting successional Transact Zoning through the process of Special Area Plan. d. Adjustments to Building Disposition Requirements, withthe exception of Setbacks, shall be aI- lowed by process of Waiver. 5,7.2.:6 The expansion of any existingCivic Institution Use by ies milted By Right. hart Fenty percent (20%) may be per.. 5.7.2.6 In the event that a Civic Institution Zone ceases to be used for Civic Institution Uses, it shall be de- veloped either in accordance with the regulations of the most restrictive Abutting Trans,ect Zone or by process of rezoning,, subject to the limitations of the Comprehensive Plan. 5,8 CIVIC INSTITUTION ZONES — HEALTH DISTRICT (CI -HD) a All Development in the CI -HD zone for structure that exceeds ten thousand dollars ($10,000.00) in cost and affects the Scale of the street. or block front, or that affects the location, relocation or enlargement of vehicular ways or parking areas Outside public Rights -of -Way shall be approved by Warrantexcept that any Development exceeding the following thresholds shall be approved by Exception. Development Involving in excess..of five hundred thous rid t5 0,i+i00) square feet of Floor Area excluding parkingg, and loading 2 For hospitalbuildings, any development in excess of" eight hundred `thousand (800,000) square feet of Floor Area excluding parking and Ioading; Any single use or combination of uses requiring or proposing to provide in excel increase of one thousand (1I', 00) off-street parking spaces. Building Disposition (I -I ) a. Newly platted Lots shall be dimensioned according to II ion 5 8 , b. Lot coverage by any l3uilding shall not exceed that shown In Illustration 5. . c Buildings shall be disposed in relation to the boundaries of their Lots according to Illustration A Cl-HD lot may have more than one building.. d. Principal pedestrian entrances shall generally be along Principal Frontages and vehicular err trances on streets of less intensity. e. It is recommended` that Facades be built parallel to the. Principal Frontage Dine, f. It is secommended at the fir s# Story, Facades along a Frontage line have frequent doors and windows. g.; Setbacks fur Buildings shall be ,n in Illustration ". , FrontageSetbacks may be adjusted as shout V.44 MIAMI 21 AS ADOPTED APRIL 2013 VIC SPACE DENSITY(UPA) #tA BOATS HOUSEBOAT HOUSE BARGE PEN AIR. RETAIL COMMUNITY FACILITY PPORT PERSONAL WIRELESS SERVICE FACILITY` HELICOPTER LANDIN SITE: CHILDCARE PORT e 01, PRO and Plats itttn attar waterway 0 bosd ar 1O% rrf t[ e vrfdth of tt a water+ is less. However by .Except10 s 7 4 P°Y,a„i�rbtl ARTICLE 6. TABLE 13 SUPPLEMENTAL REGULATIONS (CONTiNUED 1,they bd peratifted by4Lra rranf subject; di xflal requirernetas;. CI —CIVIC INSTITUTION DENSITY OF UTTING ZON Occupancy of private pleasure crafts -and houseboats Or house barges shall not beallowed except for (hose specifically grandfathered and regulated by Ordinance 010932, adopted October 24, 1991.. Extension of docks and Piers into Biscayne Bay are limited to 35 feel, However, by Exception a 600 feet maximum extension of docks and piers Into Biscayne Bay may be allowed Extension of docks and Piers Into other. waterways is limited to 10 feet or 10% of the Widtlr of the waterway, whichever is less.- However, by Exception farther ext nstonpjay be approved, subject to approval from all apllicable gentle Su joct'In the I0llowing additional requirements: Access to.site musk be from a major Thoroughfare, Distance separation of any Open Alr Retail shall` b minimum of 75 feel measured from any property wit T3, T4,,R, T512,.4r1-6-R Zone, Operation limited to weekends and legal holidays for ntaxlinutn of 3 consecutive days between the boors 7:00 AM and 7 00 PM. Prc yrslgrl 2f paving striping- for clads and parking Prgviti tin: hrt.n t rastroe»i faoilhboe,. Fa 6to g'adulls; Miftlmum of'350 square feet of Indoor ac0✓fy area. For 10 or more adults; M[nknutt of 35 square feetof Indoor activity area pet dult, Assisted Uuing.Facilites: Allowedby Exception and are subject to he toIJuwIn additional rogdirernentu; Mnlrinutn dtsiance requirement of 2.500feel between proposed facility and another existing faoltity. in lnimf#m distance requirement of 1 000feetbelween oposed facility and any T3. or T4•R Zone, Subject to-Ih1 uirements of Section 6.4. Helicopter landing: sites as regulaleed bylederatand ;slate lawmay be permitted by, Werra subject to the following addMona! requirements: Mayonly be used for the landing and takeoff of helicopters dropping off and picking up passengers and cargo, and may not Include fueling, repair, or long term parking or storage: of helicopters, Unless used for emergency operations (police, fire, and: hospital) tandlngs and takeoffs Mall be restricted to Monday throughFridayfrom 000 AM to 5 PM on parcels Abutting T3, T4, T5-R,and T6-R Zones. F3round level sites shall be located away from Buildings, limos, or significant terrain features to avoid possible air turbulence. Rooftopsites shall be given priority over groundlevel, sites In congested areas, Mrnlmum of 35square feet :.otusable indoor floor space perr child on license, Minimum of 45 squarefeet of usable outdoor play area per child, A. minimum outdoor play area shall be provided for one half of license capacity; In no event shall any outdoor play area be less than 450 square feet. The minimum standard of outdoor play area does not apply for children; tinder one year of age. Vehicular entrance must be within '300feet ofarterial road Modifications in Setbacks up to a maxirnum el fifty percent (50%) of the required Seibacks:may be approved' by Waiver when Liner .Uses are provtded along parking Structures. Commercial Uses May exceed twenty-five percent (25% of the Building area by Warrant. CI -HD— CIVIC INSTITUTION HEALTH DISTRICT 150 UNITS PERACR Occupancy of private pleasure:crafts.and housoboats Or house barges shall not be allowed except for Otose specifically grandfathered and regulated by Ordinance ff10032. adopted October 24,1901. Extension of docks and :Piers into Biscayne Bay are limited to 35 feel. However, by Exception a 600 feet maximum extension of docks and piers into Biscayne Bay may be allowed, Extension of decks and Piers Into other waterwaysis limited to 10 feet or i 0% of the width of the waterway, whichever Is fess, Hoover, by Exception further extension may so approved, subject to approval front all applicable agencies, Subjent to the rogefrenrents of Section t}0,4 km) m of 350square feat of indoo For 10 or more adults: Mln4mwn of 35 square feet:of indoor adtfi4iy area adult. subjeG ii I( elfor/pier landing sites as regulated by federal and_ state law may bepermitted'by Warrantsubject Mitre fotloodng additional requirements: Mayonly be used fo rihe landing andlakeoffof helicopters - dropping -off and picking up passengers and cargo, and may not Include fueling, repair, or long term parking or storage of helicopters. Unless used ffremergoncy operations (police, Gre, and hospital] landings and takeoffs: shall be restricted to Monday through -Friday from 9;00 A M to 5 PM on parcels: Abutting T3,14, T5-R, and TB-R.Zones. Ground level sites shall he located away front Buildings, trees, or sriypilicant terrain features to avoid possible air turbulence, Rooftop sites shall be given priority over: ground level sites In congested areas, Mininlurn o135 square feel of usable indoorfoor space per child on license. Minimum.of 45squere feet of usable outdoor play area per child. A minimum outdoor play area shall be provided for one half of license capacity, In no event shall any outdoor prey area be less ihen 450 square feet, The mihirnum standard of outdoor play areadoes not apply for children under one year of age. Vehiclilarenlrancemust bnwithin 300feet of arterialrood. MIAMI 21 AS ADOPTED - APRIL 2Q ARTICLE 6.TAI LE CS -CIVIC SPACE UPPLEMENTAL REGULATIONS (CONTINUED) c - civic C1—CIVIC INSTITUTION CbHD—CIVIC INSTITUTION HEALTH DISTRICT DENSITY (UPA) NIA- DENSITY OF ABUTTING ZONE 150 UNITS PER ACRE REGIONAL ACTIVITY COMPLEX. Regional Activity Complex`Allowed byExceptUon with City Commission approval' and We subjectto the following additional requirements; Minimum distance requirement of 1,000ieetbetween proposedfacility and any T3 or 14 Zones, Regional Activity Complex: -AfowedbyException with Lily Commission approval and are subjepl to the. following additionalrequiremenis. Minimum distance requirement of 1,000 feel between preposod facility and any T3 or T4 Zones. V 118 MIAMI 21 AS ADOPTED - APRIL PERMITTING PROCESS DIAGRAM Applicant. Zoning Office. Referral DIAGRAM 14 PERMITTING PROCESS PO Planning D partrnent:. CRC •Coorcprtaterl Review Committee PZAP :Planning Zoning and Appeals, Board Waiver Preapplicaiton Sobrnit,to 'Zoning Offie' ToningC?ffip i7erasi euitding_ Permit Appeal PZAA WarTaht (Use;: t7niq) Preapplfcation Subloi to Mooning Del ertment` RC nn1n oepai xieclsicn Appeal PZA6 Appeal City Comm, 8t ldin ' permit, etteption. Preogpli tOen suttnit to t?lannrng re rtmanI CRC Ianr ing Dapad Pile with Heanj Bciards" Appeal Ctrs Conn, But ding Permit SuLrnit-ia Ptariningi Madmen Planning Department. Certification file with (fading BoarOs" >Appeo f{itk Comm But aity Poona Preappficatt 'Suamitio: ninr -Dajsartnten" C!amnil :BftitdirJ Pa (nit MIAMI 21 AS ADOPTED - JANUARY 2018 ARTICLE 3. GENERAL TO ZONES Visibility Triangles shall be maintained to include an area bounded by the first ten (10) feet along the intersecting. edges .of the Base Building Line, projected where rounded, and a line running across the Lot and connecting the ends of such ten -foot lines. See Article 4, Table 8. 8,4.. Variances prohibited. No Variances from the provisions of Section 8.8.4.arre permitted. SPECIAL AREA PLANS The purpose of a Special Area Purr is to allow parcels greater than nine (9) Abutting acres in size to be master plannedso as to allow greater integration of public improvements and liifrastructure, and greater flexibility so as to result in higher or specialized geatity` building and Streetsoape design within the Special Area Plan; The purpose of a Special Area Plan further is to encourage the assembly end master planning of parcels greater than nine (9) Abutting acres in size, in order to provide;greater integration of public and private improvements and infrastructure', to enable Thoroughfare connectivity; to encourage a variety of Building Heights:, massing and Streetscape-design, and to provide high quality design elements, all in :order to further theintent of this Codeexpressed in Article 2. General a. The single or multiple owner(s) of Abutting properties `in excess of nine (9) i ores stay apply for a rezoning to a SpeciatArea Plan,, b.: A Special Area Plan shalt be approved by the process of rezoning with crr withho.t` Trnsect changes. c. A Special Area Plan shall' assign Thoroughfares, Trarfsect Zones and Civic Space Types, with appropriate transitions to Abutting areas. Guidelines for Thoroughfares and Public Frontages> may be adjusted to the particular circumstances, of the Special Area Platt O. A Special Area Plan shall include a map of the Thoroughfares and Trartsect Zones, and the standards that deviate from the requirements of Article 5. e. A Special Area Plan shall assign at least five percent (5%) of its aggregated Lot Area to a Civic Space Type. Civic Building sites, are to be located within or adjacent to Civic Space Types or at the axial termination of significant Thoroughfares. The developer shall be responsible for con- structing the public improvements within the Special Area Plan, including but not limited to the Civic Space Types and Thoroughfares. f. Development within the Special Area Plan shall be pursuant to a recorded development agree- ment that will establish the allocation of Thoroughfares and Civic Space Types and Building Area among the Building, sites, and the creation and retention of the public benefits, g. Unless a Building is specifically approved as part of the Special Area Plan, any Ming shall be reviewed by the Planning Director, after referral to and recommendation from the CRC for MIAMI 21 ARTICLE 3GENERAL TO ZONES a AS ADOPTED - JANUARY 20111 conformance to the Plan, prior to issuance he Building Permit. h, A Special Area Plan may include, A differentiation of the Thoroughfares as a Primary -Grid (A -Grid) and a Secondary -Grid' -Grid). Buildings along the A -Grid shall be held to the highest standard of this Code h Support of pedestrian activity, Buildings along the BBGrid may be more readily considered: for automobile -oriented standards allowing surface parking lots, unlined parking decks, and drive-throughs. The Frontages assigned to the B-C rid shall not exceed thirty percent (30%) of the total length within a special Area Pan, For Frontages on the BBGrid,parking areas may be allowed in the Second Layer 2. Retail Frontage requiring that a Building provide a Commercial Use at sidewalk level along the entire length of the Frontage, The; Commercial Use Building shall be no less than seventy percent (70%) glazed in clear glass and provided with. an Awning overlapping the sidewalk.; as generally illustrated in Article 4, Table 6, The first floor should be confinedto Retail Use through the depth of the Second Layer Gallery or Arcade Frontage, requiring that a Building provide a permanent cover over the sidewalk, either cantilevered or supported by columns, The Gallery orArcade Frontage may be combined with a Retail Frontage as shown in Article 4 Table 6. Gallery or Arcade Front - 'age within the First Layer may apply towards Open Space requirements, 4, Build -to -lines that differ from Transect Zone Setback requirement 5. ATerminated Vista location, requiring that the Building be provided with architeciurai girt' t�la lion of a Type and character that responds to=the location, 6. A Pedestrian Passage, requiring .a Minimum ten (10) foot wide pedestrian, access be reserved between Biildings, 7. Apreservatiorn plan acceptable to the Historic and Environmental Preservation, Board for any historic resources in the area of the Special Area Plana 8'. Area Design. Guidelines, 9. Aparking management program that enablesshared parking among public and private L)ses. 10, Flexible :allocation of development capacity and Height, excluding Density on individual sites within the Special Area Plan shall be allowed so long as the capacity or Height distribution does not result in development that is out of Scale or character with the surrounding area, and provides for appropriate transitions, HISTORIC PRESERVATION STANDARDS. See Chapter 23 of the City Code, titled Historic Preservation, for regulations an requirements; IC dditional height plicate public_user 04/19/2013 MiarnI-Dade County, Florida 2017 Real Estate Property Taxes Notice of Ad Valorem Tax and Non -Ad Valorem Assessments SEE REVERSE SIDE FOR IMPORTANT" INFORMATION MY OF MIAMI-OEPT OF P&D SSET MANA0EMENT DIVISION MI SW 2 4VESTE4325 fIAMI. FL '33139-1919 Miami -Dade School Board School' Board Operating School Board Debt Service State and Other Florida Inland Navigation Dist South Florida Water Mgmt Dist Okeechobee Basin. Everglades Construction Pro] Childrens TrLtstAutttority Miami -Dade County County Wide Operating County Wide Debt Service Library District Municipal Governing Board Miami Operating Miami Debt Service trooerty Address 1400 NW 37 AV 2,623,656 6.77400 2,523,656 0.22000 2,523,656 0.03200 2,523,656 0.12750 2;523,656 0,13840 2,523,656 0,04410. 2,523,656 0_46730 2,523,660 4.66690 2,523,656 0,40000' 2,523,656 0,28400 ,523,556. 7.43856 2,523,656 0.50360 NON -AD VALOREM ASSESSMENTS Exempt! 8O.S,rAT 0 0 0' 0= 0 0 t.00 0.00 0,00 0.00 0.00 0.00 0,00 0,00 0.00 Save Time. Pay Online.- 2017 Real estate Property Taxes FOLIO NUM90 i1•5132.000•oaao PHUPOITY AnoiiFsS 14a0 NW37 AVE LEGALr7F.MORMON 32 53 41130.33 AC MIL. PT OFNE1I4WOFFM1t& NOFLINE nUNNINO 3a2FT$ OF CANAL IN SEC 29 CITY OF MIAMI-DEPT OP P&D ASSET MANAGEMENT DIVISION 444 SW 2 AVE STE.#325 MIAMI, FL 3010-1910 idade.gov T. RETAIN POR Y0UR RECORDS t DETACH HERE AND RETURN THIS PORTION WITHHYOUR PAYMENT 111.1111 ��ill i11�� 11 1111111I Makechecks payable to Miami -bade Tax Collector (in U S. curds drawn on U.S, banks) Amoutytdue May be Subjeotto'.Change Without Notice Mali payments to 0 NW 2nd Avenue, Miami, FL33126 Cornbined taxes and $0,00 11u.licate eUblicuser04/19/2018 If Received By Pie as6.Pay 10110QC1C 0000000 fa 131 13 0000 0QC1nELioof9 plicate public„ user 04/19/201 Miami -Dade County, Florida 2017 Real Estate Property Taxes Notice of Ad Valorem Tax and Non -Ad Valorem Assessments SEE REVERSE SIDE FOR IMPORTANT INFORMATION FOLIO NUMBER MUNICIPALITY ILL CODE 52-000-0090 CITY OF IWAMIQEPT OF P.&P. ASSET MANA9EMENT DIMON 444 SW 2 AVE' STE 025 MAW, FL .03130-1010 Miami -Dade School Board School Board 0peratin9 SchoolBoard Debt Service. State and Other Florida Inland Navigation Dist South Florida Water Mrimt Gist Okeechobee Basin Everglades Construetian Prop Childrens Trust Authority Miami -Dade County County Wide Operating County Wide Debt:Service Library District Municipal Govern Board Miami Operating Miami Debt Serge MAIM! Property Add es'? 1000 NW 37 AVE AD VALOREM TAXES '6,840,494 5,840,494 113,626 13,626 13,626 13,626 13,626 ,626 .,628 6,77400 0.22000 0,03200' 0.12760 0,13840 0,04416 0,46730: 4,66690 0.40000, 0,26400 626 7.43650 626 0,59360 NON'' -AD VALOREM ASSESSMENTS Exemptions: 80 -STATE 0 0 0100 0,00 0.00 0.00 0,00 0.00 0,00 0.00: Save Time. Pay Online, try 2017 Real Estate Property Taxes FOLIO NUMBER' Q1-3132-000.0090 F OPEA`€YAOPRES5 1SSO NW 37 AVE LO5AL DESCRIPTION. 32 53 4145.42 AG PT OFNE1t4WOFSAL NY PM LESS 8.13'AC DESC AS' PT OF NE;1/4W OF SALR pia; CITY OP MIAMI• DEPT OF P&D ASSET MANAGEMENT DIVISION 444 SW 2 AVE STE #326 MIAMI, EL .38130-1910 dade.goV (Combined RETAIN FOR YOUR RECORDS f .x6! DETACH HERE AND RETURN THIS ,PORTION WITFI'YOUR PAYMENT 4- xes e R III II I111 I II Il 11 1111 I III Ill +n:3 1.zoaoei-o900 Make checks payable to M ami-Dade Tax Collector (in U.S funds drawn on U S banks). - Amount due May be Subject to Change Without Notice Mat payments to: 200 NW 2nd Avenue; Miami,. nts' "• Du licate .ublic user04t19/2018 ..., PAY ONLY ONE AMOUNT If Received By Please Pay i Donna ID 0 9C 0000000000000 Visit our website for bus eSS opportunities at www.fnl rriiaov eo nmrrlrPmr n .- ,c $ IN GGar[. „.. ,a � �,e Cityof Miami1804038 Purchase Order Department Of Purchasing P.O. Box 330708 Miami, Florida 33233-0708 (305) 416-1922 Fax - (305) 416-1925 PURCHASE ORDER/RELEASE NUMBER Show this number o T al packages,.tnvofces, aad`shipp(n9 palrers. Change �Chanrge. Number 0 Date Page No. 1 of Order Date 04/03/2018 Bid/Contract Number Buyer: Richard McLaren 'Taxpayer ID Sapp! lerNo. Telephone No. City ofMaEnt-PF,.Asset Management 112004892 2113 305-448,1663 2 444 SW 2nd Ave, 3rd Floor Joseph J Blake & Associates,, Inc 4000 Ponce De Leon 8IV4 Salto 410 Coral. gables, FL 33146 2- Miami, FL 33130 to City of Miami - Finance - General Accounting 0 444 SW 2nd Ave, 6th Floor i` Miami, FL 33130 Customer Account Number N. Fax - (305) 416-1987 Email - Plsase also forward a copy of the Invttiaae to the Ship "fa address above,. Effective Start Date Effect ve End Date Total Agreement. Limit Line Commodity Code Des cription/Delive[y Date Qty Unit: limit Price Extended Price 1 5461.5 00 Appraisal of the property located at 1400 NW 37 Avenue 1550 NW 37 Avenue. 7400: Dollar 1.00 7,400.00 Total Amount: Pursuant to RFD .498330 as authorized by Resolution 16-505 7,40c L00 FOS:'. Destination ip Vla: Payment Terms: Net "30 FN/PO 506 Ray.12/05 Requisition Number: 170872 Department; 221090 -•AREA k4nig Contact Person. Hernandez, Yvonne Telephone Number: (305)416-1429 nter Managerial Vendor Instructions 1. Fiorlda Tax Exempt ID: 2. Invoices: Direct Invoices in Duplicateto the address shown above: 3. Terms and conditions set forth in our -Bid or Quotation and on the re trrestrporated herein by :reference becatrae reverse side hereof pert of this order 041+ Date pro BY ACCEPTING THIS ORDER, VENDOR AGREES TO THE FOLLOWING TERMS AND CONDITIONS f, ACCEPTANCE OF PURCHASE ORDER:; A Purchase Orders given for immediate acceptance by the VENDOR, Unless promptly notified to the contrary, the CITY will assume the VENDOR accepts the orderas written and will make delivery as specified on the document. 2, ENTIRE AGREEMENT: All specifications, drawings,. and data submitted'to the VENDOR with this order or the solicitation for this order are hereby incorporated herein and made a part hereof. This contract contains the .enti.re agreement of the parties, No charge:In quantities, prices, specifications, terms, er shipping instructions will be allowed except on written authority of the CITY of Miami Purchasing Department. Any additionat or differentterms and conditions proposed by VENDOR aro objected .to and hereby rejected unless specifically agreed to by the CITY. 3. INDEMNIFICATION: The VENDOR hereby agrees to indermijfy, save, and hold harmless the CITY from ail claims, dernands, liabllltles, and sults of any nature whatsoever arising out of, because of, or due to the breach of the Agreement by the VENDOR, its agents or employees,. or due to any actor •occurrence of omission or:ctmmission Of the VENDOR, its agents employees. It is specificoliyunderstood and agreed that this Indemnification. agreement does not cover or Indemnify the CITY Wile own negligence Or breach. of contract. 4, MODIFICATION: The CITY may, by written Order, make changes is the Specifications if such changes -are withinlhe general scope of the ContreeL Jf such changes cause an increase or decrease in the VENDOR'S costs or in time required for performance of the Contract fe) the VENDOR shall, pramplly notify the CITY and assert its elai'm foradjuslment and ea -equitable adjustrnent shall barnade by the CITYand the Contrectrnodified eccording[y. Nothing in this clause shall excuse the VENDOR from performing, 5. DEFAULT Time is of the essence. of this contract and if deliveryof acceptable Items or rendering of services is not completed by the time prormtsed,. the CITY reservesit* right without liability,. lri.addition to Its other.rights and remedies; to terminate this contract by notice:effective when received by VENDOR, es to stated items not yetshipped orservices not yet rendered, and to purchase substitute items er services elsewhere, and charge Me • VENDOR with any end ali lesses incurred> 6. TRANSPORTATION CHARGES: Transportation expenses for all shipments shall' be prepaid to destination.:Shipments sent C,O.D. or freight;collect withoutthe CITY'S written consent -will not be accepted and will, at VENDOR'S risk and expense be returned to VENDOR, No charges will be allowed by the CI.TY'fortransportation, packing, cartage -or containers unless otherwise authorize€! In the Pigchase:Order, y. UNAVOIDABLE DELAY; If the VENDOR is delayed in the delivery of goods purchased .tinder the Purchase Order by a cause beyond its°:contrel, VENDOR must immediately upon receiving, knowledge. of such delay,, give written notce to the CITY and request arr.extension of time. The'OITY shall examine the request and determine if the VENDOR is entitled to. an extension. 8. QUANTITY Quantities ,furnished -in excessthose specified in Elie Purchase Order will not be accepted and will be held at VENDOR'S risK:and expense. 9. , I.NSPECTlQNMaterials or equipment purchased are subject to inspection and approval at €he CITY'S destination. The CITY reserues the right to reject and refuse.acceptance of items which are not in accordance with theinstrucion.e, specifications, drawings, or data of VENDOR'S warranty (;expressed or implied). Rejected materials or equipment shall be removed by;, or at the expense of, the VENDOR promptly after rejection. 1'0. WARRANTY; The VENDOR warrants that all goods. and services furnished hereunder will .conform rn all respects to the'terms of tills order, including ,any drawings, specifications, or standards incorporated herein, and that they will be free from latent and,patent defecte„itt materials, workmanship and title, and will be free front such defects in design. In addition, VENDOR. warrants that said gOOde.and services are:suttable for, and wi(I perform: in aceordance ivfth,. the purposo for which they arepurchased, fabricated, nianufacturedand designed or f rsuch;:ether purposes as are _ expressly specified in this order The CITY may.return any nonconfomling or defective items* the VENDOR ckr:rectuire correction orreptacement of the itern et the tine [he.defect is discovered,_ all at the -VENbOR'S risk, and expense , Acceptance shall not relieve. the VENDOR afits responsibility_ • 11. REGULATORY COMPLIANCE. VENDOR represents. and warrants that the goods or services furnished hereunder (including all labels, packages, and containers far said goods) comply with.allappltcable standards, rules and regulations In effect under the requirements:ofFedcral, State and focal Iaws, including the Occupational Safety and Health Act as••amended., with rospeot to design, eorrtstruction, {nanutacture or use for theleintended purpose ofsaid goods or services, VENDOR shall furnl;h "Material Safety Data Sheets" in cgrnplibncs w[th the Florida IRight To Know Law; Florida Statutes; Chapter 442,. 12. ROYALTIES AND. PATENTS:. VENDOR shall pay all royalties and, license fees.. VENDOR shall defend all suits or claims for inftingeMent of any patent, copyrightor trademark rights and shall save the CITY harmless from toss on'account thereof: „PAYMENT. Payments will be made: i'n accordance With the terms on the face .of this order, or the VENDOR'S,Invoice, whichever are more favorable to the CITY and payment date therefor shall be calculated from the receipt of Invoice or final acceptance of the goods, whichever is later. 14, IDENTIFICATION: Invoices in duplicate with prices set out and giving the.correct Purchase Order Number most be sent: to. the .address shown on tht ,faca ofthis.order, olheiwlse payment of VENDOR'S account may be delayed_. The Purchase Order Number shall appear on all invoices,. boxes,. packages, shipping documents and correspondence, and the,ilstofcontents shell be enclosed irreach box or package. 15: TERMINATION: CITY may, at any time, terminate this order in whole or In part by written er telegraphic notice ar verbaLnotide ceritmed in .writing, Upon termination for convenience of Buyer, the,Ruyerwfli assume [responsibility forspecific contractual or scheduled financial commitments made prior to notice, of termination. Any and all services, property, publications; or ti atarials. prrvided during "or resulting from the Contract shall become the property of ffthe Buyer. If, however, termination is eceaSioned by the: VENDOR'S breech of any condition hereof, incltiding: breach warranty, or by VENDOR'S delay, except due: to cirournatances beyond the VENDORS control and without VENDOR'S fault er negligence„ 'VENDOR shall net be ontltlod to: any claim or costa Or to_any profit referred to in said clause, and buyer shall have against VENDOR all rernedies provided by law and equity, 1 . TAXES; CITY of Miami is exempt from State and lees! taxes . Exemption number is printed on the reverse side hereof This Order shall serve as the exemption certificate; 17, LAW GOVERNING: Thts s ntractShall be governed'by end,conslrued according to the laws ef.ihe State of Florida, 18. ASSIGNMENT'. Any assignment of thia Purchase Order, including any porfocmance, of work.hereundec, in whole or in part, Or 'MONO. due•hareunder, Shall be ya d unless consented to by CfTYin writing and CITY s half have no tibligationste any assignee of VENDOR under any assignment not consented ta-tn writing by THE CITY, 19. "TERMS; The order total shall be paid by the CITY upon receipt off tWoicefrom VENDOR which shalfbe subject to verifrcetien as ito quantities and quality of goods delivered or services performed,, 20. TAX: VENDOR doing business with the CITY shall net be exempt from paying sales tax to their suppliers for-rnaterlals to.fulfill oontractuat obligations; with the CiTY, nor shall any VENDOR be authorized *Liao the CITY Tax Exemption Number in acquiring such material's, L° OCAL RESOURCES: VENDORehalt give first priority to utilizing resources inure dtsasterarea, including but not limited to procuring supplies and -equipment; :ewarding sub -contracts, acid.employing workmen 22, PAYMENT CHANGES: Payments will only be made to the. company and :address as set forth en Purchase Order,ttlitess the VENDOR has- requested a change thereto on official compeny•letterhead, signed by an authorized offlcerof thecompany. 23, tiNtF©RM COMMERCIAL CODE: The Uniform Cornmercial Coda (Chapter 672 Horfda; Statutes)- slia[I prevail as the basis for contractual. obligations betWeen the VENDOR and CITY for any terms and conditi©ns not specifically stated id this Purchase Order. 4. INSURANCE: In the eventthat insurance Is required bythe QM( in corinection with this Purchase Order; VENDOR shell.provlde•an Insurance Certificate, to:a forrn acceptable WO: the GITY, naming the CITY es an additional insured, as proof of gomplisnce therewith whtph sale): certlflcateshall 'constitute part Opts Purchase Orderr, 25, BONDING: The CITY reserves the right to require the VENDOR to post a performerrce end,: payment bend in the amount of One Hundred percent (100%) of the Purchase Qrder`total; uponaward:arat such lime deemed necessary byCITY:, 26. NON-APPROPRIATlON OP FUNDS lathe event nofcinds orinsufficlent funds are appropriated, sitocated, and budgetederare Otherwjsa uriavallable for any reason is any .flseal:period or at any time for payments due under this contractlpurchase orriar, Julep :the. City Manager or Procurement Director, upon written notice to the VENDOR of such' occurrence, Shall have the unqualified right to termini Penalty or expense to the City. The Vendor shall have no recourse from such termination except to receive undisputed pay effective date of the termination. the contract without any nts due prior to the. 3:' 1 ft12t11 x` 1) RE( T I°t31t:, 1'i'RA1SAt, f litiiTE invited to ...obi x cltt tto to titr.teltc with as f'.xtrib -A", attr City £tt' Netts lett [lrsa inti t ittttic t t c tr t tl tr ;• f clue it s+rtn:Ali:jit i oht anti Ass42 t lattafwei t 11'edt1UUdttv` Alar.cli 21, 2 Yon in ('t tiil' ,Itttctttet i'r't2tc:et \'itttr«• 1X1,:ntwilt o City of t.litn i 444 SW 2 r we:trots; [ art i.1°1. . 130 416-1e1' t tt� Apprnis tl t'. tttTaint:: '1'elcp ioneJf ttimsian, 13}. )*(1d At tt . ,. Sign: Asset Matta * ttti n t'ttititllr+`5 7,400 275 Jasoplt J Bloke & Assoc In. 054411.Th3 I110 3/19/201 f igttten( 11ttg :i rlrtcrle, your c:aampaity r ust eriiupty vi tt) tltt c rrrtspletiiru; clue state.. if trtttl . tt tutu provide -ante in the Wanner- preserihett t t l, t lit �ii3" l clt t, Ffktto 1 or 5 J b `+Ittrtther 1 4ppra I l�tsftYtlr' Appt to Cttift(titic; ttr tl �°:tttti�b< THE API1Rt t l„ 1.01)( 1. Thealltt;tts with the (it} i 1tc ttltprttgtt tite it't im>lf gi% "A" ;12-t L1ottrttune hut Nlctrl, t \ 1tt, ;tut) t girt tl 'Icy tzttfc 11tt ilk"� latrtt;€ Full frevis Htit lLI to el. ( t:cttttaiitcct 1top rt 4) from itothori4 P1 cl lrx otttltlitt :tgalxt ci;.,€1 �r� ie as applic ablo: stta t t tar'sitter al, :lt, itt r Ott 1i tttg ttt its : p ittlt&t the. any t11 it st►ltltr~t tip ;l Ittl8 City o kl until ft, arproach plcasa pro% tvie tuts' ification Pleaseprov Itik" tde.liVCit tIn t1,CUM to calculating the Nlarket 1)atit, the impraiscr shottld :mat% te and prot tvle•.eurreitt isval otatket clam ;Ind idinu ,tdrusttnent tables of compartth1L,,, titilteing it Land Soles t'omparable rabh., orklikliC lis PrICQ 1)Vi` Sliwre Foot. plotse provide laic item aviitistmcnis in a matrix rormat For ,t honor tinderstimding Mc -Summary mid Land Correlation conclusion, Pro% ivls' milli Mill proof ort:uvitalvation rate k Income approach to ‘iiitts,-in local ft-lark:I \ tt 'I I hcr marlsot when applioattle. Pro%d Nlarket )iito as II taxable property lite al-4.11.111Na li hould he tu ci,vmpliatiee 110 Lh Orrinit 1 'tliform Standard (1r Appra [sal PriteL itectirdiug tit SQ1/41ion4 ran II< ttr Ow Florida Statatt:N. l'he: City ‘11`:\ltaatt rescr Q.+ the rt.t.t,ta to re% appraisal report and ssibmit its continents. tile final report vs ill be due live dttys after the apprakal is reviowed by t'ity's \ 11calcuktriou, must be cxplicit, Silos% all ',ter, used ttv. ri ctt iny conclusions provided, MI claw in this sbeei must he yenned by the,apprttiser, tti.stmepancy. ftleast: call. this orlice it 103-41(1-1425 Page3 of .5 '11-141€er•.r:i 1 1stlrliat ~ ( Print tt't jt)ry>ttrcl Pro r trrrencv. (inl a€ negate I.f' Prod€a 't > r 't itt }. t I't' nttl4€ara1 EimbuL[rA1bdIce 1i11l 1€ 1�Ittt<^t ti 1,ti8;1t1 Yorker's Cr 1pen i thi[lt dltt•�,. r dily injury c ttttNix! by 11 (Oily injury Cawed Iry .itts€, uc.. cant -. 01 i°rt 1tnclily injury cta tse l htv sht, <€NL, Polk tlriliR}'t rr ttr 3 1 t# nca coal V" .as; to ° 1,1,1# tti 1f m annats,. forc„+ain r'tlatirenw at or under y auhcr > cctit) ttc`C :tv cat taaatrf pith aalr mIti1tcals"c 1ar:tt'l'$u rat 1.? tllttalilla t1 • I talb,at ltba(sl"rt+tt fltl:t+r tt k"a`tr u ncirtl 4trr:t°antlt tt°.ttt 't tit`;1atrlt6 rat attit tag tflL 1 rl t1 aralpl Etit C tiuthCaei i t1 tct clta t tr l't�° 4111t1 i ttth rs#I in)»atr�tfac. l,rtlt°ch•N "A-"aastitn nn edition l t°#aRa€l`a` tra rta�taa°34".V "al:Il Ihr Ia«!dor 1 laa It1t1�1L'#' 1a t11 12b" I ttl IYM1n2ticr rest: 11bidder. li;lttlllt� tad tthii'ctt Intl 1�; artct Cita &:.tilt pa Wed tca tilt) conirstt° rat and `tFt to OSEJEIL-01 C R.QLMELL,ET k irARt,+YVt �i CERTIFICATE OF LiABILITY INSURANCE € AtfzTrzl t — THIS CERTIFICATE IS ISSUED AS A MATTER OF iNFORMATIQN ONLY AND CONFERS NO yRIGHTS UPON THE CERTIFICATE HOLDER. THiS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND' OR ALTER THE COVERAGE AFFORDED BY THE POLrcIe 1 BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE IMPORTANT: If the certificato holder is an ADDITIONAL INSURE©, fhn palicyli`os)must Isom ADDITIONAL INSURED pro tielpne Gr hit endoraorl. If SUBROGATION iS WAIVigt7, suI Joct to the terms and conditions of thrr policy. certain policies may require an endorscmcsnte A statement en this certificate does not confer rights to the certificate holder in lieu of such ondc#rsomertt(sl. INFP Properly & Cos 45 Executive Drive Plainview. NY 11893 Mr, Jo 42 M CICVERA " r ERTIFICATE Nils t13ER: Y IHAI 1Hl € s3Lt ]h e- Ur illri ?i A .1,S EANDINC Y ter I1ilNEMf Nt 13E ISSUED OR $rtaa'r PU rAtf RE,IS M 14A1t13 At t.01AIITIONS Of Stf r • LtCI t j1TS El a t „ #kl l OP MORAN A X or lrtSrl far i nFfaFltet wadi troarl Hollow Ife, NY 11747' Aesfrcidlea.. me to 4:4 X µWCIRdtFR3 CnfiPi�`igaxiQil ANC?✓=Mt�ii7.'.yERF C:tSfl ur AN,/;wzu rqi '3Yt °F�Cd a`ii, tAta�7t€aarylaur%`'�"' V�f. CP91i27 dIrE A i€i?ihi N MAY #NV* Sk MSC/MORON©r OVERARMS Lt7CA510N9 i VF,IPIr'rli 5 fACnRO 115444$ 5R RAnd55 35$54/. ie. ROYO$ERE City of Miami is included as additional iris ur ri us respects to General Liability anti Aut,L: primary and non•eontrlbutory basis. CERTIFICATE,H0 R City of Miami, .P Asutrt Managemlz i 444 SW 2rfd Avrsnue, 3rd Fier Miami. FL 32120 AC t RD 25(25I0/03) Qt; The ACORO want: CAf(CELLATION (516y327,2700 icppas P�t�d°rdG$ A MS Fats} AFFOI 1!4(2 rno Ins Co of Amer REVISION NUM ER: URFD NA4.1.7b MOW t t}(i T38F POI ICY P 1C?f Ut, MMT WITH NLSPFL."# TO l HIGH NEE IN tS Siicf4I 1; T 10: Ali TN#=. iE3 N' Sltf)U£Q ANY OF THE ABOVE tSESt RIT3Ea POL1e1J 1 ee CAFIf THE EXPRIATION DATE TkiEtiECfF. NOTICE ACCORDANCE WITH INC POLICY €rfI£7VJSION k, AC ACORD CORPORATION. AU rlphts reserved rD 1NFP Property & Casualty Servlces,l 45 Executive Drive Piainvlew. NY 11803 Joseph J, [eke $, Assocea 4,5 Brea dove Rtf.Ste 4 Melville„ NY 11747 C VEr AGES tttl5 i ';t fI;?1}ba 11AT 11DICA t^l, NtEivo ;t fiT+F t 1°f RTl'I [3f_ is ttaE. N .4NiJ Cl.'•NDli PAtt 4 irc , TYpEOF 4.141)1ztr:GE GiTttAGirC1R? e tEHAL LIAEtiIfY tioettet.t n TTAB n-xccss I:tuu Lan aVtOPtrtnns CA61trEtpSAYi(] Attu r ROVERS iaAsr ! (Mama*r}ax �ttr p>:artk ossion;tl Lia pcscatP-O jk CVO PtitATfOPIS r[ Evidence of htrsitreice ER .--, tOSEJBL-01 �..� CERTIFICATE OF LIABILITY INSURANCE iizrMr THIS CERTIFICATE IS -ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON. THE CERTIFICATE HOLDER_ THIS CERTIFICATE DOES NOT AFFIRMATIVELY CR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING rNSURER(S), AUTHORIZED REPRESENTATIVE!A PRODUCER, AND THE CERTIFICATE HOLDER, JOANNAMUELLR IMPORTANT: If the certificate holder is an AODITIONAL INSURED, the poiicy(fes) hwst have:ADOtT1ONAL INSURED provisions or be endorsers, If SUi3ROGATION IS WAIVt i7, subject to the terms and conditions of the policy, cort:fin policies may require an endorsement, A statemen.ton tl(icate does net eon(or rights to the certificate holder in lieu of such endorsement(s}:— NAME' PHONE < r1• {51Ci 2127OO i°ax Ili ttcA,17 {nr :Par Auoaras' tnsla tGr�Is1 AxFOatsluA Casa. rPlsralttaA rfttdiatt f'darbdr lhsuranc, ea ERTIFICATE NUNBE ;it LTs tN„$tIOANct` : ` t FD Fat I r} 3 U tutu CR C FNET INSa.sKAt C €sFRIR POucY.w t:ttlen City of Miami Public f acIlit es Asset Manaoement 444 SW 2ndAvenue 3rd Floor Miami, FL ACORD 25 (2014103) tA IPPOO2ii4 hTOr1_ e'Yf- (ACORnf©t.aa�trterap etlorrark�"CFlzxitutuy.rtr;Cyhet Mut,r pt. -..� CA !AEON REVISION NI,II'A€3ER. n VF tOO(3'ITtt'. POI MY T'f=iti)t tYrr RP5P5ot to moat Tft'<:: TCCs TOM,t THE II,1 1 ANY OF TILE AtTQVE OE 6 Rt F.A GIrJ. XPIRATioN DATE 14EFtEDF, No`rtc ACCi3RDANCE WITH ME P{UCY F RQVt$rQNS aksL° rattvt Ati 4(! ca ACORD CORPf?RATlCM. 4o 'tiro ACORD Dame and to o aro rewsteri Tf marks tJf *CORD too 1,00 rO er ff An oya-Diaz From Sent: To Cc: Subject: Acknowledged._' Ted Aften,, I.A tewert flied fallen ctl crse 1Blake; www.J s phiBlake.corn. Notion;f Voiti afar rr rand Cols Ted Allen Thursday, March 22, 2018 10 47 AM Lorenzo, Jacqueline Ana Moya-Diaz R: Request for Quotes Meireese Appraisal ill get st acted I rrtediaCely; From* Lorenzo, Sent: Thursday, l To: Ted Allen <tallen aro Subject: RE: Request for elreese Appraisal Good morning Te .. please allow this to serve as l rtice to Proceed wtth the appraisal of the MVielrr ese Call Course,1 he o ppraisi shall far lttt on or before Thursday, April 19, 2018. Plea se advise if ytar.r have any' question ter c nt<er=ns, Thank yowl Reg. rds, off: Property Man ment Specialist. Department of Real Estate & Asset Marc carer pity of Miami 444 SVrre Avenue, 3'' Fite Miami, Florida 33130 P:(05) 41i' 14 f`: (U) 400- . F;, larenio miar agov.c rr From: Ted Allenjl, ',"01011,1*-r„tImi'l Sent: Monday, March 19, 201$ 6:36 PM To: Lorenzo, Jacqueline Cc: Rotenberg, Daniel; Ma"Chet, Hans Subiect: RE: Request for Quotes - Melreese Appraisal Jacqueline Attached is the comPieted bid request. Please contact me should yeti have any questions, Regards Ted Ian Alien, MAI, MIMS 4 de teclifieti Denerat -soot linate Alinranair No: irvlartmliog Port fIrr BL$KE iaseon I. Blake sad Associates, inc,, 4000 Ponce de Leon Blint, Suite 410 Et,, 33146 (305), 448-166.3 Direct: t305) 448-1065 Fax: (305) 448-7077 tallen Jose hitilake,com ww1AdosephiBlake„com Nat ionai Valuation rind Consulting Services for over 70 year% From: Lorenzo, Jacqueline <jlorenzoPnliartikov,agn> Sent: Friday, March 16, 2018 1.20 PM To: albertaiirmadaamraisal,coril; ira5730eani.corn; SIML4iMittepl,c9rn:, tailerielosephitilake,r.orn Cc: Rotertherg, Daniel <DRotenbery ittiarni ov„coin›; Maichel, Hans <HMeichel@miarrtigpv.corn> Subject: RE: Request for Quotes - Melreese Appraisal Good afternoon Appraisers, As a follow up, please note the cheese Appraisal time to complete has been revised to 4 weeks from Notice to 'Proceed Please see attached, Thank you, Regards, 4gzeeeige 4e4 Property Managernent Specialist Asset' cri ip, rilet t t 'ir.¢ g,t ivi From: Lorenzo, Jacqueline Sent: Friday, March 16, 201811:16 AM To:' gi, _t;�rt � � 13 ; dart ,t,t Cc; Rotenberq,:Daniel; Maichel, Hans Subject: Request for Quotes -'Melreese App Good n Appraisers, hed please fla ct a Request fc rnit your qua te is Wew dnesda eks from 1rathor nation. fit Should yr rds, have my questions tre y Man gen ent peciafist flepartrr e ofReaI Estate & Asset City of ivliatrii 444 SW 2a Avenue, 3rd Floor Miami, Florida-33130 P:(30) 4W-142 .(305) 400-5197 E:,Florenzo tniamigov.cc r ; len JcJsephJ8faite cam' etes for the appraisal of Melreese o ( Cortrse. Please tote that the rch 21. 2018 at 2:00Pi\A, and that The deadline For the appraisal itsel ase carefully read the requirements of tfie attacherI Request for Quotes.. cone erns,.Please do riot nagerr, e:nt is Thank you, teaciifrte tra wlfl be three 1rntern a-a2 elreese Country Club Land GLOSSARY OF VALUATION TERMS Term Deft nRion Sou Air Rights The right to undisturbed use and control of designated air space above a specific land area within stated elevations. Air rights may be acquired to construct a building above the land or building of another or to protect the light and air of :an existing or proposed structure on an adjoining lot, Air rights do not 'always include development rights. See also transferable development right (TOR), Appraisal institute, The Dictionary of Real Estate Appraisal, 6th Ed, (Chicago; Appraisal Institute, 2015) As is The estimate f the market value of real property in its current physical condition, use, and zoning as of the appraisal' date:. (Interagency Appraisal and Evaluation Guidelines) Nate that the use of the "as is" phrase is specific to appraisal regulations pursuant to. FIIIEA applying to appraisals prepared for regulated lenders in the United States, The concept of an "as is" value is not included ' in the Standards of Valuation Practice of the Appraisal .Institute, Uniform Standards of Professir rral Appraisal Practice, or InterrtationelValuation Standards.: Appraisal Institute, The Dictionary of Real' Estate Appraisal, 6th. Ed. (Chicago: Appraisal Institute, 2015) Band lnvestm A technique in which the capitalization rates attributable to components of an investment are weighted and combined to derive a weighted -average rate attributable to the total investment (i.e„ debt and equity, land and improvements), institute, 2015) Appraisal irrstltrite, The Dictionary c Real Estate Appraisal, 6th Ed. (Chicago: Appraisal Condominium A multiunit structure, or a. unit within such a structure, with a condominium form of ownership. Appraisal Institute, The Dictionary trf Beal Estate Appraisal, 6th .Ed, (Chicago: Appraisal' institute, 2015) Debt Coverag Ratio OCR) The ratio of net operating income to annual debt service. (I CR = NOVJh ,), which measures the relative ability of a property to meet its debt service out of net operating income; also called debt service coverage ratio (DSCR), A larger OCR typically indicates a greater ability for a property to withstand a reduction of income; providing an improved safety margin for a'lender Appraisal institu Dictionary Estate Appraisal, 6th Ed. (Chicago.: Appraisal Institute, 2015) Deferred Maintena Depreciation is the difference between the market value Apprais of an improvement and its reproduction or replacement Appraisal cost at -the time of appraisal. The depreciated cost of the Estate, improvement can be considered an indication of the (Chicago, improvement's contribution to the property's market Appraisal value. 2013) The. Real 14tr' Ed.. Illinois; Institute; EPx , E A A C1ATES Ne, RtAL tSIAT V iIiAil AN C 1IITIIIa Miami International links - Metreese Country Club Land 18-114-02 GLOSSARY 11 VALUATION TERMS Term Definition Source Effective Gross income (EGI) The anticipated income from all operations of the real estate after an allowance is rnade for vacancy , and collection bsses and an addition is made for any other income, Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed, (Chicago: Appraisal institute, 2015) Effective Gross The ratio between the sale price (or value) of a property Income Multiplier and its effective gross income, (EGIM) Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed, (Chicago:. Appraisal Institute, 2015) Entrepreneurial Profit 1. A market -derived figure that represents the amount an entrepreneur receives for his or her contribution to a project and risk; the difference between the total cost of a property (cost of development) and its market value (property value after completion), which represents the entrepreneur's compensatton for the risk and expertise associated with development. An entrepreneur Fs motivated by the prospect of future value •enhancement (i.e., the entrepreneurial incentive). An entrepreneur who successfully creates value through new development, expansion, renovation, or an innovative change of use is rewarded by entrepreneurial profit. Entrepreneurs may also fail and suffer losses. 2, In economics, the actual return on successful management practices, often identified with coordination, the fourth factor of production following land, labor, •and capital; also called entrepreneurial return or entrepreneurial reward. See also entrepreneurial incentive. Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed_ (Chicago: Appraisal Institute, 2015 Equity Capitalization Rate (RE) An income rate that reflects the relationship between one year's equity cash flow and the equity investment; also called the cash -on -cash rate, cash flow rate, cash throw -off rate, or equity dividend rate. (RE = IE/VE, or Pre- tax Cash Flow/Equity Invested) Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed. (Chicago; Appraisal Institute, 2015) Equity Ratio The ratio between the down payment paid en a property and its total price; the fraction of the investment that is unencumbered by debt< Appraisal Institute, The Dictionary of Red/ Estate Appraisal, 6th Ed. (Chicago: Appraisal Institute, 2015) JOSEPH J. BLAKE AND ASSOCIATES, INC. REAL ESTATE ALU1IIID AND .LTIfl Miami international Links. Me!reuse Country Club Land 10-1.14.0.2 GLOSSARY OF VALUATION TERMS Term Definition Source Excess Land Land that is not needed to serve or support the existing use, The highest and best use of the excess land may or may not be the same as the highest and best use of the improved parcel, Excess land has the potential to be sold separately and is valued separately. Appraisal Institute„ The Dictionary of Real` Estate Appraisal, 6th Ed. (Chicago: Appraisal Institute, 2015) Exposure Time Estimated length of time that 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, •Uniform Standards of Professional Appraisal Practice, 2016-2017 Ed, External Obsolescence A type of depreciation; a diminution in value caused by negative external influences and generally incurable on the part of the owner, landlord, or tenant. The external influence may be either temporary or permanent. Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed, (Chicago: Appraisal Institute, 2015) , Extraordinary Assumption An assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser's opinions or conclusions. Comment: Extraordinary assumptions presume as fact otherwise uncertain information about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in an analysis, Uniform Standards of Professional Appraisal Practice, 2016=2017 Ed. 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, Appraisal Institute, The Dictionary of Rep/ Estate Appraisal, 6th Ed, (Chicago: Appraisal Institute, 2015) Gross Building Area 1. Total floor area of a building, excluding unenclosed areas, measured from the exterior of the walls of the above -grade area. This includes mezzanines and basements if and when typically included In the market area of the type of property Involved. 2, Gross leasable area plus all common areas. 3. For residential space, the total area of all floor levels, measured from the exterior of the walls and including the superstructure and substructure basement; typically, does not include garage space. Appraisal Institute, The Dictiamry of Real Estate Appraisal, 6th Ed, (Chicago: Appraisal Institute, 2015) JOSEPH J. BLAKE AND ASSOC REAL ESTATE VALUATION MID CONSULTERN ATE 1 Miami internationalLinks- Mefreese Country Club Land 18-114-02 GLOSSARY OF VALUATION TERMS Term Definition Source Gross Leasable Area (GLA) Total floor area designed for the occupancy and Appraisal Institute, The exclusive use of tenants, including basements and Dictionary of Real mezzanines; measured from the center of joint Estate Appraisal, 6th partitioning to the outside wall surfaces. Ed, (Chicago: Appraisal Institute, 2015) Highest and Best Use 1. The reasonably probable use of property that Appraisal institute, The results in the highest value. The four •criteria that Dictionary of Real the highest and best use must meet are legal Estate Appraisals 6th permissibility, physical possibility, financial Ed. (Chicago: Appraisal feasibility, and maximum productivity, Institute, 2015) 2. The use of an asset that maximizes its potential and that is possible, legally permissible, and financially feasible, The highest and best use may be for continuation of an asset's existing use or for some alternative use. This is •determined by the use that a market participant would have in mind for the asset when formulating the price that it would be willing to •bid, (IVS) 3, [Thej highest and most profitable use for which the property is adaptable and needed or likely to be needed in the reasonably near future, (Uniform Appraisal Standards for Federal Land Acquisitions) Hypothetical Condition 1. A condition that is presumed to be true when it Appraisal institute, The is known to be false, (SVP) Dictionary of Real 2. A condition, directly related to a specific Estate Appraisal, 6th assignment, which is contrary to what is known Ed. (Chicago: Appraisal by the appraiser to exist on the effective date of institute, 2015) the assignment results, but is used for the purpose of analysis., Comment: Hypothetical conditions are contrary to known facts about physical, legal, or economic characteristics of the subject property; or about conditions external to the property, such as market conditions or trends; or about the integrity of data used in 4ri analysis. (USPAP, 2016,,2017 ed,) Insurable Value A type of value for insurance purposes, Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed. (Chicago; Appraisal Institute, 2015) JOSEPH I, BLAKE AND ASSOCIATES, INC. REAL ESTATE VALUATION AND CaNSLR1016 any ntry Club gird GLOSSARY OF VALUATION N TERS Term Definition Source internal Rate of Return (RRR) The annualized yield rate or rate of return on Capital that is generated within an investment or portfolio over a period of ownership. Alternatively, the indicated return on capital associatedwith a projected or pro forma income stream. Appraisal institute, The Dictionary of Real Estate Appraisal, 6th Ed. (Chicago: Appraisal, Institute, 2015) Leased Fee Interest The ownership interest held by the lessor, which includes the right to receive the contract resit specified in the lease plus the reversionary right when the lease expires. Appraisal' Institute, The D ctiongry of Real Estate Appraisal, 6th Ed. (Chicago:. Appraisal Institute, 2015) l easehoid interest The right held by the lessee to use and occupy real estate for a stated term and under the conditions :specified in the lease. Appraisal institute, The Dictionary of Beat Estate Appraisal, 6tf Ed. (Chicago: Appraisal institute, 2015) Loan -to -Value Ratio (M) The ratio between a mortgage loan and the value of the property pledged as security,usually expressed as a percentage; also called loan ratio or LTV, Appraisal institute, The Dictionary of Real Estate Appraisal, 6th Ed, (Chicago: Appraisal Institute, 2015) lvlarketing Tirne An opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value level during the period immediately after the effective date of an appraisal. Appraisal institutes The Dictionary of Real Estate appraisal, 6th Ed. (Chicago: Appraisal Institute, 2015) Market Rent The most probable rent a property should bring in a competitive and open market reflecting the ;conditions arid restrictions of a specified lease agreement, including the rental ac justrrient and revaluation, permitted uses, use restrictions, expense obligations, term, concessions, renewal and purchase options, and tenant aritprovernents (Tis) Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed. (Chicago', Appraisal Institute, 2015) SEPH, BRAKE AN ASSOCIATES, IN la " l UT T VA ri ll all :if1TIN6 Miami internato3al' Links - malreese Country Club Land Lit4.14-02 GLOSSARY OF VALUATION TERMS Term Definition Source Market Value "A type of value that is the major focus of most real property appraisal assignments. Both economic and legal definitions of market value have been developed and refined, such as the following. 1, The most widely accepted components of market value are incorporated in the following definition: The most probable price, as of a specified date, in cash, or in terms equivalent to cash, or In other precisely revealed terms, far which the specified property rights should sell after reasonable exposure in a competitive market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently, knovviedgeably, and far self-interest, and assuming that neither is underduress. 2, Market value is described, not defined, in the Uniform Standards of Professional Appraisal Practice (USPAP) as follows: A type of value, stated as an opiriicm, that presumes the transfer of a property (Le., a right •of ownership or a bundle of such rights), as of a certain date, underspecific conditions setforth in the definition of theterrn identified bythe appraiser os applicable in an appraisaL Comment Forming an opinion of market value is the purpose of many real property appraisal assignments, particularly when the client's Intended use includes more that/ one intended user, The conditions included in market value definitions establish market perspectives for development of the opinion. These conditions may vary from definition to definition but generally fall into three categories: 1. the relationship, knowledge, and motivation of the parties (Le, seller and buyer); 2. the terms of sale (e.g., cash, cash equivalent, or other terms); end 3, the conditions of sale (e,g,, exposure in a competitive market .fora reasonable time prior ta sale). Appraisers are cautioned to identify the exact definition of market value, and its authority, applicable in each appraisal completed for the purpose of market value. (USPAP, 2016-2017 ed,) USPAP also requires that certain items be included in, every appraisal report. Among these items, the following are directly related to the definition of market value: • Identification of the specific property rights to be appraised, Statement of the effective date of the value opinion. Specification as to whether cash, terms equivalent to cash, or otherprecisely described financing terms are assumed as the bass of the appraisal, • If the appraisal N conditioned upon financing or other terms, specification as to whether the financing or terms are at, below, or above market interest ratesand/or contain unusual conditions or incentives. The terms of above- or below -market interest rates Appraisal Institute, The Dictionary of Real Estate Appraisal,. &th Ed, (Chicago:" Appraisal Institute, 2015) JOSEPH 1. BAKE AND ASSOCIATES, REkl, ESTAIE VALOATiall 1K CONSULTING Miami International Links - Melreese Country Club Land GLOSSARY OF VALUATION TERMS Term Definition Source and/or other special incentives must be clearly set forth.; their contribution to, or negative influence on, value must be described and estimated; and the market data supporting the opinion of value mustbe described and explained. 3, The following definition of market value is used by agencies that regulate federally insured financial institutions in the United States; The most probable price which a property should bring in a competitive and open market under ail 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; Buyer and seller are typically motivated; Both parties are well informed or Weil advised, and acting In what they consider their own best interests; A reasonabietirne is allowed for exposure in the open market; Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and ',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, (12 CFA, Part 34,42(g); 55 Federal Register 34696, August 24, 1990, as amended at 57 Federal Register 12202, April 9, 1992; 59 Federal Register 29499, June 7, 1994) 4, The international Valuation Standards Council defines market value for the purpose of international standards as follows: The estimated amount for which an asset or Inability should exchange on the valuation date between a willing buyer and a willing seller in an arm 's length transaction, after proper marketing and where the parties had each acted knowledgeably, prudently and without compulsion. OW 5. The. Uniform Standards for Federal Land Acquisitions defines market value as foilovvs, Marketvalue is the amount in cash, or on terms reasonably equivalent to cash, forwhich in all probability the property would have sold on the effective date of the appraisal, after a reasonable exposure time on the open competitive market. from a willing and reasonably knowledgeable Seller to a willing and reasonably knowledgeable buyer, with neither acting under any compulsion to buy or sell, giving due consideration to all available economic uses of the property at the tirrie of the appraisal,. (Uniform Appraisal Staridardsfor Federal Land Acduisitionsr JOSEPH J. BLAKE AND ASSOCIATE REAL ESIATE VALUATION- fill tiNSI.11.111/11 ivilorni internatonl Links- ritielreese country club Land 1s4.14-02. GLOSSARY OF VALUATI N TERMS Term Definition Source Mortgage Capitalization Rate (RM) The capitalization rate for debt; the ratio of the annual Appreleat institute, The debt service to the principal amount of the mortgage Dictionary of Real loan. The mortgage capitalization rate (Re) is equivalent Estate Appraisal, 6th to the periodic (monthly, quarterly, annual) mortgage Ed. (Chicago: Appraisal constant times the number of payments per year on a Institute, 2015) given loan on the day the loan is initiated. Re re Annual Debt Service/Mortgage Priricipal Mortgage. Debt Service (le) The periodic payment for Interest or and retirement of Appraisal Institute, The the principal of a mortgage loan; also called total Dictionary of Real mortgage debt service. Generally, the abbreviation lie Estate Appraisal, 6th refers to the total debt service, whereas mortgage debt Ed, (Chicago: Appraisal service can be used to refer to either the periodic Institute, 2015) payment or the total of the payMents made in a year, Net Income Multiplier (NIM) The relationship between price or velue and net Appraisal Institute, The operating income expressed as a factor; the reciprocal of Dictionary of Real the overall capitalization rate, Estate Appraisal, 6th Ed. (Chicago: Appraisal Institute, 2015) Net Operating Income (Nat or le) The actual or anticipated net income that remains after Appraisal Institute, The all operating expenses are deducted from effective gross Dictionary of Real income but before mortgage debt service and book Estate Appraisal, 6th depreciation are deducted. Note: This definition mirrors Ed. (Chicago: Appraiser the convention used in corporate finance and business institute, 2015) valuation for EBITDA (earnings before thterest) taxes, depreciation, and amortization). Net Rentable Area (NRA, Rentable Area) For office or retail bultdings, the tenant's pro rata portion Appraisal institute, The of the entire office floor, excluding elements of the Dictionary of Real building that penetrate through the floor to the areas Estate Appraisal, 6th below. The rentable area of a floor is computed by Ed- (Chicago; Appraisal measuring to the Inside finished surface of the dominant Institute, 2015) portion of the permanent building walls, excluding any major vertical penetrations of the floor. Alternatively, the amount of space on whic1 . the rent is based; calculated according to local practice. Overall Capitalization Rate (RD) , The relationship between a single year's net operating Appraisal Institute, The income expectancy and the total property price or value Dictionary of Peal .(Re .e. to /V0). Estate Appraisal, 6th Ed, (Chicago: Appraisal Institute, 2015) JOSEPH J. BLAKE AND ASSOCIAT IllAt ESTATE VAMIATIOR A NO coesutereu Miami International Links- Melreese Country Club Land 18-114.02 GLOSSARY OF VALUATION TE Terrri Definition Source Prospective Market Value "As Completed" and "As Stabilized' A prospective market value may be appropriate for the valuation of a property interest related to a credit decision for a proposed development or renovation project. According to USPAP, an appraisal with a prospective market value reflects an effective date that is subsequent to the date of the appraisal report. Prospective value opinions are intended to reflect the current expectations and perceptions of market participants, based on available data. Two prospective value opinions may be required to reflect the time frame during which development, construction, and occupancy will occur. The prospective market value —as completed —reflects the property's market value as of the time that development is expected to be completed. The prospective market value —as stabilized —reflects the property's market value as of the tirne the property is projected to achieve stabilized occupancy. For an income -producing property, stabilized occupancy is the occupancy level that a property is expected to achieve after the property is exposed to the market for lease over a reasonable period of time and at comparable terms and conditions to other similar properties, (See USPAP Statement 4* and Advisory Opinion 17.) (thteragency Appraisal and Evaluation Guidelines) Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed< (Chicago: Appraisal Institute, 2015) Prospective Opinion of Value A value opinion effective as of a specified future date, The term does not define a type of value, Mstead, it identifies a value opinion as being effective at some specific future date. An opinion of value as of a prospective date is frequently sought in connection with projects that are proposed, under -construction, or under conversion to a new use, or those that have not yet achieved sellout or a stabilized level of long-term occupancy Appraisal institute, The Dictionary of Real Estate Appraisal, 6th Ed. (Chicago: Appraisal Institute, 2015) Replacement Cost The estimated cost to construct, at 'current prices as of a specific date, a substitute for a building or other improvements, using modem materials and current standards, design, and Lopata. Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed, (Chicago: Appraisal Institute, 2015) Replacement Cost for Insurance Purposes The estimated cost, at current prices as of the effective date of valuation, of a substitute for the building being valued, using modern materials and current standards, design, and layout for insurance coverage purposes guaranteeing that damaged property is replaced with new property (i.e., depreciation is not deducted). Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th Ed. (Chicago: Appraisal (nstitute, 2015) JOSEPH J, BLAKE AND ASSCCiIATE5 INC REAL VALUATitlii NO CONSULTING Miami International Links- untry Club Land GLOSSARY OF VALUATION TERMS Term Definition Source Reproduction Cost The estimated cost to Construct, at current prices as of Appraisal Institute, The the effective date of the appraisal, an exact duplicate or Dictionary of Real replica of the building being appraised, using the same Estate .Appraisal, 6th materials, construction standards, design, layout, and Ed. (Chicago: Appraisal quality of workmanship and embodying all the Institutes 2015) deficiencies, superadettuacies, and obsolescence of thee. subject building. Retrospective Value Opinion A value opinion effective as of a specified his torlcal date, AppraisalInsti u ThThe The term retrospective does not 'define a type of value, ,lctronary of Real Instead, it identifies a value opinion as being effective at. Estate Appraisal, 6th some specific prior date. Value as of a historical date is Ed, (Chicago; Appraisal frequently sought in connection with property tax (a stitute, 2015) appeals, damage models, lease renegotiation, deficiency judgments, estate tax, and condemnation, inclusion of the type of value with this term is appropriate, e.g., "retrospective market value opinion,'' sandwich Lease A lease in which an intermediate, or, 'sandwich, . Appraisal Institute, The leaseholder is the lessee of one party and thelessor of Dictionary of another, The owner of the sandwich lease is neither the Estate Appraisal, 6t1 fee owner nor the user of the property; he or she may be Ed, (Chicago:, Appraisal a leaseholder €n a chain of leases, excluding the ultimate institute, 2015) sublessee;. Sum of the Retail Values` The stain of the separate and distinct market value Appraisal Institute, The opinions for each of the units in a condominium, Dictionary of Real subdivision development, or portfolio of properties, as of Estate ApproisrJI, 6th the date of valuation, The aggregate of retail values does Ed. (Chicago: Appraisal anot represent the value of all the units asthough sold institute, 2015) together in a single transaction; it is simply the total of the individual market value conclusions. Also called the aggregate of the retail values or aggregate retail selling pricg, Surplus Land Land that is not currently needed to support the existing Appraisal lostitute, The use but cannot be separated from the property and sold Dictionary of Real off for another use. Surplus land does not have an E aate Appraisal,. 6th independent highest and best use and may or nnay inch Ed. (Chicago: Appraisal contribute value to the improved parcel. Institute, 2015) Terminal Capitalization Rate (RN) The capltalizatio.n rate applied to the expected net Appraisal Ins The income for the year immediately following the end of the Dictionary of Real projection period to derive the resale price or value of a Estate Appraisal, 6th property, Also called a going -out, exit, residual, or Ed. (Chicago: Appraisal reversionary capitalization rate. Institute, 2015) EPmA E AN ASSOCIATES, INC. REAL f TAT i ll Alit 1J liliIll Miami Intl Club Land 18414-02 a In - Meireese Country QUALIFICATIONS OF THE APPRAISER QUALtFiCATIONS OF T E APPRAISER J. MICHAEL PHILLIPS Mir. Phillips holds the position of Assistant Director with the Miami office of Joseph J. Blake and Associates, Inc, at 4000 Ponce de Leon Boulevard, Suite 410, Miami, Florida. FORMAL EDUCATION Florida State University -Tallahassee, Florida Bachelor `afScience in Real Estate Miarrli Dade College-IVIta.mi, FL Associate in Arts in Cosiness Admit) lstration REAL ESTATE AND APPRAISAL EDUCATION' Course Narne Real Estate Principles and Practices Real Estate Law Real Estate Feasibility Real Estate Finance RealEstate Appraisal. Real Estate Market. Analysis Real Estate. Appraisal Principles Business Practices and Ethics Highest & Best Use and Market Analysis Report Writing and valuation Analysis Standards of Professional Practice,: Part A,-B & Appraisal Pr!•.ocedure Advanced Income Capitalizatian. Advanced Sales Comparison and Cost Approaches Advanced Applications General Comprehensive Examination Af illatk* Florida State-C ified General, PROFESSIONAL AFFI Appraiser Provider Florida State University Florida State University Florida State University Florida State University Florida State University Flarida StateUniversity Appraisal Institute Appraisal Institute Appraisal institute Appraisal institute Appraisal lostitute Appraisal Institute Appraisal Institute Appraisal Institute Appraisal Institute Appraisal Institute NS Number No„ RZ 2281 APPiAiSAL EXPERIENCE Clients served by Mr. ,Phillips include banks, savings and loans, institutional investors, development companies, real estate syndicators and: various' other entities. Responsibilities include preparation of full narrative appraisal and market study reports far a wide variety of property types and purposes, including, but not limited to business parks, office buildings, Industrial' buildings, shopping centers, traditional and low-income multi -family projects and vacant lan& QUALIFICATIONS OF THE APPRAISER CERTIFICATION ,,, STATE OF FLORIDA FNESS AND PROFESS( NAL R Ul REAL ESTATE APPRAISAL BD The CERTIFfEGENERAL APPRAISER. Named befew IS CERTIFIEf3 Under the provistens of Chapter 475 FS , Expiration dates NOV 30 2018 PHILLIPS, J MICHAEL 4Q00 PONCE DE LEON BLVEJ STE 410 CORAL GABLES FL33146 issuco iworzeta f71BPl»,AY e REQUIRED EEY 4 QUALIFICATIONS OF THE APPRAISER TED ALLEN, MAI Mr, Allen currently holds the position of Managing Partner with the Miami office of Joseph J. Blake and Associates, Inc„ at 4000 Ponce de Leon Boulevard,Suite 410, Miami, Florida. Previous positions include Principal (1986 to 2011), Regional Manager Southeast Region (1984 to 1986), Senior Appraiser (1982 to 1983) and Associate Appraiser (1979 to 1981). University of Texas w Austin Texas Bachelor of Business Administration FORMAL. EDUCATION PROFES 1ONALAFFI.JATIONS Affiliation Florida State -Certified General Real Estate Appraiser Georgia State -Certified General Real Property Appraiser Appraisal Institute, Designated Member Royal Institution of Chartered Surveyors CURRENT RESPONSIBILITIES Number .,... No. RZ 426 No. CG 1855 No, 6949 No, 6329062 Responsibilities include the preparation and direction of a variety of full narrative real estat ,appraisals and consulting studies prepared on a national basis„ Mr. Allen supervises all staff appraisers and consultants and directs all major assignments throughout the southeastern United States and the. Caribbean. APPRAISAL EXPERIENCE Mr. Allen has prepared and directed numerous appraisal and consulting assignments which include mixed- use properties, multifamily developments, proposed and existing condominiums and conversions, office buildings, motels, hotels, industrial properties, regional Malls, shopping centers, mobile !lame parks, market studies, feasibility studies, and investment analyses on a variety of institutional and non - institutional grade real property in over 15 states and 10 Caribbean nations.. He has appraised and has supervisedappraisals, as well as prepared consulting studies of properties for variety of public pension funds, large Institutional lrvestors, pension fund advisors, insurance companies and ba n ks, Mr,. Allen has qualified as an expert vaitrless for Federal Bankruptcy Court in the State of Florida; and the State of Georgia and has given oral and written testimony In each„ He hasalso been qualified in Florida State and County Courts.: Mr. Allen is currently one of three executive committee members managing the operations of Joseph J Blake and Associates. This position oversees all aspects of thefirms operations throughoiut. the; US His duties including accounting oversight, IT oversight, marketing, short and long range planning, personnel staffing and budgeting; Positions held at the Appraisal Institute in hide: farmer service on Chapter Admis Member,. former service on National Admissions Ctimrriittee, and former service of Committee. LEADERSHIP AND ADDITIONAL EXPERIENCE tins cor I'Jatio.na. nittee Ethics Additional real estate activities include NCREIF an 13 Mrtgage Bankers Association functions and service as Special Magistrate Miami Dade County Value Adju rn nt Board for the 2014 tax year.. CERTIFICATION RICK SCCTT, GOVERN QUALIFICATIONS OF THE APPRAISER STATE OF LCRIDA QEPARTM T cw BUSINESS AN EROfFESSIONAL RE ULATt FLORIDA REAL EST 'E APPRAISAL Btu The CERTIFIED GENERAL APPRAISER Named below IS CERTIFIED Under the prcwrsiana of Chapter 475 FS Expiration date NOV 30, 2b1S ALLEN, TED EUGENE 4000 PONCE OE LEON I,3E CORAL. GABLES FL tado tri sir u t tSPI V AS REGORE BV KEN £A ETA CBRE VALUATION & ADVISORY SERVICES APPRAISAL REPORT MELREESE GOLF COURSE 1802 NORTHWEST 37TH AVENUE MIAMI, FLORIDA 33125 CBRE GROUP, INC. FILE NO. 18-397MI-0657-1 CITY OF MIAMI VALUATION & ADVISORY SERVICES CBRE 777 Brickell Ave. Ste. 1 100 Miami, FL 33131 T (305) 381-6472 F 305-381-6462 www.cbre.com May 21, 2018 Jacqueline Lorenzo Project Management Specialist CITY OF MIAMI 444 SW 2nd Avenue, 3rd Floor Miami, Florida 33130 RE: Appraisal of: Melreese Golf Course 1802 Northwest 37th Avenue Miami, Miami -Dade County, Florida CBRE, Inc. File No. 18-397M1-0657-1 Dear Ms. Lorenzo: 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 is a 131.07-acre (5,709,575 sq. ft.), 18-hole municipal owned & operated golf course located at 1802 Northwest 37th Avenue in Miami, Florida. However, the City of Miami is considering other uses including leasing a portion of the site to a third -party developer for a higher density, mixed -use development, subject to a voter referandum, a land use amendment & rezoning of the site to SAP, Special Area Plan. The subject location is strategically situated at the northeast quadrant of the Dolphin Expressway (State Road 836) & NW 42nd Avenue (LeJeune Road) on the east side of the Miami International Airport and is an ideal location for a higher density, mixed -use business park. 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 As Is, Fair Market Rent As Is, Fair Market Rent Fee Simple Estate Fee Simple Estate Fee Simple Estate May 8, 2018 May 8, 2018 May 8, 2018 $160,000,000 $8,500,000/Annum $1.49/PSF Compiled by CBRE 2018 C8REJric. Jacqueline Lorenzo May 21, 2018 Page 2 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 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 Stuart J. Lieberman, MAI Vice President Cert Gen RZ1074 www.cbre.com/stuart.lieberman Phone: Fax: Email: (305) 381-6472 (305) 381-6462 stuarHiebermam@cb e.cortm James E. Agner, MAI, AI-GRS, SGA, MRICS Senior Managing Director — Florida/Caribbean Cert Gen RZ382 www.cbre.com/james.agner Phone: (305) 381-6480 Fax: (305) 381-6462 Email: pames.agner@acbre.coQm CBRE © 2018 CBRE, Inc. 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 or bias with respect to the property that is the subject of this report and have no personal interest in or bias with respect to the parties involved with this assignment. 4. Our engagement in this assignment was not contingent upon developing or reporting predetermined results. 5. 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. 6. This appraisal assignment was not based upon a requested minimum valuation, a specific valuation, or the approval of a loan. 7. Our analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice, as well as the requirements of the State of Florida. 8. 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. 9. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. 10. As of the date of this report, Stuart J. Lieberman, MAI and James E. Agner, MAI have completed the continuing education program for Designated Members of the Appraisal Institute. 11. Stuart J. Lieberman, MAI has and James E. Agner, MAI has not made a personal inspection of the property that is the subject of this report. 12. No one provided significant real property appraisal assistance to the persons signing this report. 13. Valuation & Advisory Services operates as an independent economic entity within CBRE, Inc. Although employees of other CBRE, Inc. divisions may be contacted as a part of our routine market research investigations, absolute client confidentiality and privacy were maintained at all times with regard to this assignment without conflict of interest. 14. Stuart J. Lieberman, MAI and James E. Agner, MAI have not provided any services, as an appraiser, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment. Stuart J. Lieberman, MAI Cert Gen RZ1074 James E. Agner, MAI, AI-GRS, SGA, MRICS Cert Gen RZ382 Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc CBRE Subject Photographs Subject Photographs Melreese Golf Course 1802 MN 37th Avenue. Mami, FL 33125 Google art !Aerial View 1 ii Melreese Golf Course, Miami, Florida CBRE Subject Photographs Melreese Golf Course 1802 NW 371h Avenue. Mami, FL33125 !Aerial View - Zoom Out Melreese Golf Course, Miami, Florida CBRE Subject Photographs [Aerial View- File Photo Looking Northeast Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. iv CBRE Subject Photographs Photo 1-Main Entrance From NW 37'h Ave. Photo 3-Looking SW From Practice Tees Photo 5 - Fairway View Looking North Photo 2-Looking North From 15th-Hole Photo 4 - View West Along Tamiami Canal Photo 6 - 3' Hole Looking East © 2018 CBRE, Inc. Melreese Golf Course, Miami, Florida CBRE Subject Photographs Photo 7 - Fairway View Photo 9 - Fairway View Photo 11 - Clubhouse from 18'h Hole Photo 8 - 5'h Hole Looking South Photo 10 -Fairway View Photo 12 - NW 37'h Ave. Looking South © 2018 CBRE, Inc. Melreese Golf Course, Miami, Florida vi CBRE Executive Summary Executive Summary Property Name Location Melreese Golf Course 1802 Northwest 37th Avenue, Miami, Miami -Dade County, Florida 33125 Mixed -use multi -family, office, retail & logistics business park As Improved Interim use golf course with future mixed -use redevelopment Property Rights Appraised Fee Simple Estate Date of Report May21, 2018 Date of Inspection May 8, 2018 Estimated Exposure Time 6 to 12 Months Estimated Marketing Time 6 to 12 Months Land Area 131.07 AC 5,709,575 SF Zoning - Existing CS, Civic Space Zoning - Proposed SAP, Special Area Plan Improvements - Existing Property Type Land (Mixed -Use) Number of Buildings 4 Number of Stories 1 Gross Building Area 10,470 SF Year Built 1972, 2007 & 2009 Condition Good Buyer Profile Developer VALUATION Highest and Best Use As If Vacant Market Value As Is On May 8, 2018 Total Per SF Cost Approach Not Applicable Sales Comparison Approach $160,000,000 $28.02 Income Approach - Rent Multiplier Method $8,400,000 $1.47 Income Approach - Market Rent Comparison $8,565,000 $1.50 CONCLUDED MARKET VALUE Appraisal Premise Interest Appraised Date of Value Value As Is As Is, Fair Market Rent As Is, Fair Market Rent Fee Simple Estate Fee Simple Estate Fee Simple Estate May 8, 2018 May 8, 2018 May 8, 2018 $160,000,000 $8,500,000 $1.49/PSF Compiled by CBRE STRENGTHS, WEAKNESSES, OPPORTUNITIES AND THREATS (SWOT) Strengths/ Opportunities • The subject is located immediately east of the Miami International Airport. Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. vii CBRE Executive Summary • The subject is an in -fill, urban location with potential for higher density, mixed -use development, subject to a voter referendum, land use amendment & rezoning the site to SAP, Special Area Plan rezoning. • The subject topography is improved at or above road grade with a higher percentage of uplands versus water hazards. Weaknesses/ Threats • The voter referendum, land use amendment & rezoning process could take 1 2-to-24 month and will likely have opposition & protest from the neighboring residential community. • The City of Miami has an obligation to maintain parks & recreation areas for the public good with a zero -net loss policy within the city limits. However, parks & recreation areas can be mitigated by on -site open space requirements, the retention of a 9-hole golf course use, and through off -site mitigation. • Any land use amendment, rezoning & future development will be height restricted by the FAA based on proximity to the Miami International Airport. 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." • We requested, but did not receive a Phase I environmental or a geotechnical subsurface assessment. Therefore, all our analysis and value conclusions could be impacted and subject to revision if any of these due diligence items are provided after -the -fact. • Our analysis and value conclusions assume the City of Miami can readily achieve a voter referendum, a land use amendment & rezoning of the site to SAP, Special Area Plan necessary to develop the subject site to a higher density, mixed -use. If not, our analysis and value conclusions will be impacted and we reserve the right to amend this report accordingly. • The use of these extraordinary assumptions may have affected the assignment results. 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 • None noted. OWNERSHIP AND PROPERTY HISTORY Title to the property is currently vested in the name of City of Miami Department of P&D Asset Management Division and the existing Melreese Country Club is managed by DeLucca 1 The Appraisal Foundation, USPAP, 2018-2019 2 The Appraisal Foundation, USPAP, 2018-2019 Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc CBRE Executive Summary Enterprises, Inc. since 1972. The Melreese Country Club was established in 1942 with no transactions or conveyances reported since then. However, we did not perform nor were we provided with a title abstract. According to historic accounts and recent media, the Melreese golf course was designed by Charles Mahannah and Dick Wilson and opened in 1961 as the only city -owned course in Miami. It is one of the few municipally owned businesses in Miami that is expected to break even on a budget of $3.5 million. The course underwent an extensive renovation in 1996-97 and again in 2014. Greens fees are priced at $35 for residents and reports approximately 40,000 rounds played a year. It also features a two-sided driving range, indoor hitting bays, a learning center and classroom space. At present, it is our understanding that the David Beckham led investor group is considering the Melreese golf course as one of several potential sites for the 25,000-seat Major League Soccer (MLS) stadium. However, any change in use would require a voter referendum, a land use amendment, rezoning and mitigation to off -set the loss of any parks & recreation land within the city limits. EXPOSURE/MARKETING TIME Current appraisal guidelines require an estimate of a reasonable time 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; • exposure/marketing time information from the CBRE, Inc. National Investor Survey and the PwC Real Estate Investor Survey; and • the opinions of market participants. The following table presents the information derived from these sources. EXPOSURE/MARKETING TIME DATA Investment Type Exposure/Mktg. (Months) Range Average Comparable Sales Data Local Market Professionals CBRE Exposure Time Estimate CBRE Marketing Period Estimate 6.0 - 12.0 9.0 6.0 - 12.0 9.0 6 to 12 Months 6 to 12 Months CBRE National Investor Survey & PwC Real Estate Survey Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc ix CBRE Table of Contents Table of Contents Certification i Subject Photographs ii Executive Summary vii Table of Contents x Scope of Work 1 Area Analysis 6 Neighborhood Analysis 9 Site Analysis 17 Zoning 22 Tax and Assessment Data 26 Highest and Best Use 27 Land Value 29 Income Approach — Fair Market Rent Analysis 36 Assumptions and Limiting Conditions 40 ADDENDA A Land Sale Data Sheets B Legal Description C Client Contract Information D Qualifications Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. X CBRE Scope of Work Scope of Work This Appraisal Report is intended to comply with the reporting requirements set forth under Standards Rule 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 This appraisal is to be used by the client, the City of Miami and its elected officials for internal decision making regarding the potential to lease a portion of the site to a third party, and no other use is permitted. CLIENT The client is the City of Miami. INTENDED USER OF REPORT This appraisal is to be used by the City of Miami and its elected officials, and no other user may rely on our report unless as specifically indicated in the report. Intended Users - the intended user is the person (or entity) who the appraiser intends will use the results of the appraisal. The client may provide the appraiser with information about other potential users of the appraisal, but the appraiser ultimately determines who the appropriate users are given the appraisal problem to be solved. Identifying the intended users is necessary so that the appraiser can report the opinions and conclusions developed in the appraisal in a manner that is clear and understandable to the intended users. Parties who receive or might receive a copy of the appraisal are not necessarily intended users. The appraiser's responsibility is to the intended users identified in the report, not to all readers of the appraisal report. 3 PURPOSE OF THE APPRAISAL The purpose of this appraisal is to estimate 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: 3 Appraisal Institute, The Appraisal of Real Estate, 14th ed. (Chicago: Appraisal Institute, 201 3), 50. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc CBRE Scope of Work 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.5 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 Interest - The tenant's possessory interest created by a lease.' 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 The extent of the inspection included the following: clubhouse interior, on -site & off -site areas and the surrounding environs. Type and Extent of the Data Researched CBRE reviewed the following: • applicable tax data • zoning requirements • flood zone status • demographics • comparable sale, listing & rental data 4 Interagency Appraisal and Evaluation Guidelines; December 10, 2010, Federal Register, Volume 75 Number 237, Page 77472. 5 Appraisal Institute, The Dictionary of Real Estate Appraisal, 6th ed. (Chicago: Appraisal Institute, 2015), 90. 6 Dictionary of Real Estate Appraisal, 128. 7 Dictionary of Real Estate Appraisal, 128. Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 2 CBRE Scope of Work 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 Improved Data Building Area No. Bldgs. Parking Spaces Year Built/Developed Economic Data Deferred Maintenance: Building Costs: Income Data: Expense Data: Other Land Use & Rezoning Legal description & survey Public records & Miami -Dade County Property Appraiser Public records, Miami -Dade County Property Appraiser & observation Field count Public records Not applicable Not applicable Not applicable Not applicable City of Miami Planning & Zoning Department 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. 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). 212 2018 C BRr, Inc Melreese Golf Course, Miami, Florida 3 CBRE Scope of Work 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 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 and the income approach. In the sales comparable approach, we have researched & analyzed similar Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 4 CBRE Scope of Work comparable land sales within the immediate submarket area and the broader south Florida region. In regard to estimating the fair market rent of the subject property, we have surveyed the market and researched large business park and retail ground lease rent comparables for direct comparison to the subject property As Is via the income approach. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 5 CBRE Area Analysis Area Analysis BROVVARD FLORIDA ram city Everglades National Park Trit Glades Range Coonertosin US Array Reservation(Closed tSW5 Tv a,� s The Hammocks I Z. S1N 1 20th St Copyright Br and 0) 1D88-2012Microsoft Corporation and/or its suppliers. All rights reserved. Pah -- Country Club° zrliASpnngs Hialeah Gardens Miami vLekes Lake Lucerne Andover Golf Estates °Norlantl Oats e0 zNe. aap North Miami 4 Beach Sunny Isles 'Carol C MN 1871h S Miami Gardens Bunche Park m Opa-Lena ei y eaieens ° A ON t _yam via Lake Mitchell 15 North Harbor �� M Att Islands Dal Harbour F Is yne Park Surfsde :lid' Golden Beech Golden�o�,i, Glades EIRKINEIRIN �f J i Id ' SubBct Property 1802 NW 37Ih Ave Miami, FL 3312 _by s min my inns nay e Heights Indian Creek k Rage Fisher Island Mldml ati BaayyAquatic Harbor Preserve Biscayne Bay .Eftates Chicken., Ao'r Miami Beach ➢� A flan t i Ocean Vuguda keY Key Bueaime Biscayne National Park Moody's Economy.com provides the following Miami -Miami Beach -Kendall, FL metro area economic summary as of Feb-18. MIAMI-MIAMI BEACH-KENDALL, FL - ECONOMIC INDICATORS Indicators 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Gross Metro Product (C09$ Bil) % Change Total Employment (Ths) % Change Unemployment Rate (%) Personal Income Growth (%) Median Household Income ($ Ths) Population (Ths) % Change Net Migration (Ths) Single -Family Permits (#) Multifamily Permits (#) Fhfa House Price (1995Q1=100) 105.0 106.3 108.4 1 1 1 .1 115.0 1 1 7.1 120.0 125.9 133.4 136.8 142.9 149.1 0.2 7.2 2.0 2.5 3.6 7.8 2.4 5.0 5.9 2.6 4.4 4.4 1,007.3 1,031.3 1,056.5 1,089.3 1,125.8 1,157.7 1,181.9 1,211.0 1,235.5 1,244.6 1,248.9 1,264.2 2.2 2.4 2.4 3.7 3.4 2.8 2.7 2.5 2.0 0.7 0.3 7.2 9.4 8.3 7.5 6.8 5.9 5.4 4.9 4.2 3.9 4.4 5.1 5.3 4.8 2.6 0.4 7.8 7.8 2.8 4.2 5.8 7.2 6.0 5.6 6.0 41.9 42.2 42.6 43.2 44.6 45.9 47.5 49.5 51.8 53.7 55.2 57.1 2,573.4 2,607.6 2,641.7 2,668.5 2,695.7 2,718.8 2,747.4 2,783.5 2,821.1 2,858.3 2,895.3 2,932.4 2.6 1.3 1.3 1.0 1.0 0.9 1.1 1.3 1.3 1.3 1.3 1.3 53.1 21.0 21.5 16.3 13.1 16.0 18.6 26.3 27.9 27.8 27.7 28.0 962.0 1,819.0 2,266.0 2,077.0 2,800.0 2,873.0 2,283.1 3,939.3 5,836.3 6,358.1 7,021.9 7,168.2 1,656.0 3,250.0 8,050.0 5,654.0 9,817.0 6,444.0 7,562.8 3,863.3 4,451.3 5,936.6 6,042.9 6,696.8 182.7 185.6 207.4 232.9 256.0 281.4 303.3 307.3 300.0 295.7 294.8 297.2 Source: Moody's Economy.com RECENT PERFORMANCE Economic growth in Miami -Miami Beach -Kendall (MIA) has stalled. The area's unemployment rate was unchanged over the last six months of 2017 as average hourly wages grew by an unimpressive 1.5% last year. Despite creating plenty of mid -wage jobs in wholesale trade, transportation and utilities, wage growth suffered because MIA is losing high -wage jobs in Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 6 CBRE Area Analysis finance. Labor market troubles are beginning to weigh down the housing market. For the first time since 2011, house price appreciation in MIA fell short of the national average last year. LEISURE AND HOSPITALITY Jobs and income in leisure and hospitality will accelerate over the next few quarters as tourism in MIA recovers from the blow delivered late in 2017 by Hurricane Irma. But growth will eventually slow as rising interest rates in the U.S. strengthen the dollar, making travel to MIA more expensive for overseas visitors and trips to foreign destinations more appealing for Americans. Further ahead, a pullback is also likely when the economic expansion, which is already the third - longest in U.S. history, comes to an end. CRUISE CONTROL Though growth will slow, the outlook for leisure and hospitality in MIA is not as grim as the nationwide forecast because local tourism is buttressed by the behemoth cruise industry. Last year, PortMiami broke its own 1-year-old world record and welcomed 5.3 million passengers. The current fiscal year should be even busier than the last, as Royal Caribbean's 6,700-passenger Symphony of the Seas, the world's largest cruise ship, starts sailing from the port in the fall. The growing cruise industry is also good news for jobs in professional services; MIA is the headquarters of Carnival Corp., Royal Caribbean Cruises Ltd., and Norwegian Cruise Line Holdings Ltd., the world's three largest cruise lines. AMAZON HQ2 MIA joined the list of 20 finalists that Seattle -based Amazon selected in its widely publicized search for a second headquarters because of the area's many advantages. Amazon is a logistics behemoth, and MIA is a leading distribution center -Miami International is the nation's second - busiest airport as ranked by metric tons of international freight, and PortMiami is the only East Coast port south of Virginia capable of docking the largest ships that can navigate through the recently expanded Panama Canal. MIA is also an international gateway. The metro division is the only area in the U.S. where the majority of residents are foreign -born, and the airport is the nation's second -busiest hub for international travel. Like all Florida cities, MIA boasts no state or local income taxes and a warm business and meteorological climate. But MIA also features significant drawbacks. Because of strained budgets and political opposition to "corporate welfare," state and local officials are unlikely to offer Amazon an incentive package on par with other metro areas. And though MIA offers Florida's most extensive public transportation system, commuter and metro rail service lags compared with the cities in the Northeast Corridor. Finally, within the continental U.S., no two major cities are farther apart than MIA and Seattle. Though this great distance provides an advantage from geographic diversity, the travel costs and time required to shuttle senior executives between these far-flung locations could hurt MIA. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 7 CBRE Area Analysis CONCLUSION Tourism in Miami -Miami Beach -Kendall will rebound in the short run, but then it will face new headwinds from unfavorable exchange rates. However, the cruise industry will be a source of low- and high -wage jobs. In the long run, MIA's international character and high -skilled, bilingual workforce will help it best the U.S. in income growth. 212 2018 C BRr, Inc Melreese Golf Course, Miami, Florida 8 CBRE Neighborhood Analysis Neighborhood Analysis Alfred Haskel Dr DoraoBlvro Dorel B&q aM 14thS w AN Mt St Ah W 15th St Bluebird Ave Dove Ave .& Reven_�ve:_ uy kr Martin Payne Drl__ ■► Corydon 9r Gltle Ma^ee rt* nh St 4N Ab 41,4uls sabmee . N/V 51h S a Lake Mahar Subject Property 1882 NW 37th Ave Mlaml, FL33125 Ni 19m Terrace i., 18th Terrace 4$ MN 17th S NA, 151hS Nvv15thS h 51 NV4 14th S LOCATION The subject property is located along the northwest quadrant of NW 14' Street and NW 37' Avenue in the City of Miami. This location is approximately 6-miles northwest of the downtown Miami central business district (CBD) and immediately across the way from the Miami International Airport on the east side of NW 42nd Avenue (LeJeune Road). BOUNDARIES The neighborhood boundaries are detailed as follows: • North: • South: • East: • West: Miami River SW 8' Street (Tamiami Trail/State Road 7/US Highway 41) Interstate 95 and downtown Miami CBD & Biscayne Bay N.W. 42nd Avenue/LeJeune Road and Miami International Airport LAND USE Land uses within the immediate submarket area consist primarily of older, single family residential homes including the Grapeland Heights subdivisions to the east. The Grapeland Heights community dates to the 1940s & 1950s and best described as small, rambler style housing with 2 to 4-bedroom floor plans, 1,000 to 2,000 square feet of living area and 6,000 to Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 9 CBRE Neighborhood Analysis 8,000 square foot lots. Recent sale transactions reported in the range of $245,000 to $320,000 and there are multi -family, duplexes interspersed throughout the neighborhood. Commercial development is centered along the prime east/west thoroughfares of Flagler Street and SW 8th Street, SW 7th Street, and NW 7th Street, as well as, the prime north -south thoroughfares of N.W./S.W. 27th Avenue, N.W. 37th Avenue and N.W./S.W. 42nd Avenue, (Lejeune Road). The residential uses to the south of NW 14th Street and the subject locale consist of single family subdivisions built during the 1950's and 1960's. The same time of development pertains too much of the commercial structures in the neighborhood. Uses along Flagler Street and S.W. 8th Street include older hotels, restaurants, retail buildings, and service business uses. Because of the built -out nature of the neighborhood, most of the new development has resulted from renovation or demolition and redevelopment of older structures. Most redevelopment has taken place in closer proximity to downtown Miami, though there has been renovation and redevelopment moving west in & around the subject neighborhood. In addition, there has been new higher density residential developments along the Miami River, which is a deep -water impetus for maritime activity, including marinas, shipping terminals, boat repair facilities and commercial fisherman wharfs along the Miami River and Tamiami Canal working waterfront. However, newer high-rise residential and mixed -use projects have been constructed along the Miami River in the past decade including Latitude on the River, Mint at Riverfront, Neo Vertika, River Oaks Marina & Tower, Terrazas Miami and the under construction mixed -use, vertical retail center identified as River Landing further down river and located in the Health District. The Miami International Airport anchors the submarket immediately to the west of the subject property. The Miami International Airport handles flights to cities throughout the Americas and Europe, as well as cargo flights to Asia, and is South Florida's main airport for long -haul international flights, although most domestic and low-cost carriers use Fort Lauderdale - Hollywood International Airport and Palm Beach International Airport, which charge significantly lower fees to tenant airlines. Miami is a major gateway between the United States and Latin America, and, along with Atlanta's Hartsfield-Jackson Airport, Miami is one of the largest aerial gateways into the American South, owing to its proximity to tourist attractions, local economic growth, large local Latin American and European populations, and strategic location to handle connecting traffic between North America, Latin America, and Europe. In the past, it has been a hub for Braniff International, Eastern Air Lines, Air Florida, the original National Airlines, the original Pan Am, United Airlines, and Iberia. As an international gateway to the United States it ranks third, behind New York-JFK in New York City and LAX in Los Angeles. Miami is also the proposed hub of two new start-up airlines, one which hopes to use the Eastern Airlines name. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 10 CBRE Neighborhood Analysis More recently, the Miami Intermodal Center (MIC) located just east of the Miami International Center and due north of the subject property is a $2 billion ground transportation hub is being built by the Florida Department of Transportation. The MIC Program consists of several components including major roadway improvements, a reconfigured Le Jeune Road, completed in May 2008; the user-friendly Rental Car Center which opened for business in July 2010; the MIA Mover which became operational in September 2011 and connects MIA to the Rental Car Center; the Miami Central Station which opened in April 2015 currently offers connections to Tri-Rail and Greyhound services with Amtrak services scheduled to start in the fall of 2017; and Joint Development which is currently being explored. Another notable land use in the Miami International Airport submarket is the Waterford at Blue Lagoon office park, which is a 250-acre master planned business park that runs along the south side of State Road 836/Dolphin Expressway with mid -rise corporate office buildings overlooking the Miami International Airport and the Blue Lagoon/Tamiami Canal water feature. Waterford is a phased office park owned by TIAA-CREF and developed by the Hogan Group, and home to more than 200 well-known companies comprising regional, national, and international firms such as Burger King, Canon, Xerox, Estee Lauder, Federal Express, Johnson & Johnson, Oracle, Sony, Miami Children's Hospital, Verizon Wireless, Breitling USA, Inc., Yves Saint Lauren Beaute, Bank of America, FirstBank Florida, The Discovery Channel Latin America, Ford Motor Company, Komatsu America, , Royal Caribbean Cruise Lines, Seabourn Cruise Lines, Sharp Electronics, and other notable firms. In the following table, is a summary of Waterford at Blue Lagoon, as well as, other notable office buildings, including the Airport Corporate Center buildings located immediately west of the Miami International Airport and just north of the subject property's location. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 11 CBRE Neighborhood Analysis Availability and Vacancy Building List Building Address gtlsiing Rentable Bldg Area Direct SF Vacant Direct % Vacant Total SF Vacant Total % Vacant Total SF Available Direct SF Available Sublet SF Available Max SF Conti Avg Rate 5040 NW 7th St 82.763 20,379 24.6% 20,379 24.6% 20,379 20.379 0 6.732 525.005s 7270 NW 12th St 86.475 10.740 12,4% 10,740 12.414 26,494 24,243 2,251 5,046 524.008ng 7925 NW 121h St 70,142 14.950 21.3%i 14,950 21,3% 18,045 18,045 0 5,521 $23.004s 7955 NW 12t11 St 69,871 13.052 18.7% 13.052 18.7% 13,052 13,052 0 6,755 $23.00Its 8095 NW 12th Si 41,878 0 0.0% 0 0.0% 5,304 2,304 0 3,000 $24.501ts 8175 NW 12th St 65,921 1.600 2.4% 1.600 2.4 , 7,269 7,269 0 5,669 $23.00lfs 8301-8391 NW 12111 Si 124,121 4.905 4.0% 4,905 4.0% 4,905 4,905 0 1,358 $25.00lfs 8600 NW 17th St 63,240 19.711 31.2% 19,711 31.2% 22.210 19,711 2.499 19.711 $25.1945 780 NW 42nd Ave 110,000 0 0.0% 0 0.0% 0 0 0 0 - 782 NW 42nd Ave 278,000 0 0.0% 0 0.0% 9,662 9,662 0 9.662 - 850 NW 42nd Ave 0 0 - 0 - 0 0 0 0 - 701-707 NW 57th Ave 31,407 2,340 7.5% 2,340 7.5% 2,340 2,340 0 2,340 $20.004im 815 NW 57th Ave 90,026 11,858 13.25t, 11,858 13.2% 13,458 13,458 0 3,995 627.001n 1000 NW 57th Ct 247,000 36.005 14.6% 37,467 15.2% 53,707 36,005 17,702 16,240 $24.02/nm 1004 NW 65th Ave 200,000 0 0.0% 0 0.014 0 0 0 0 - 1150 NW 72nd Ave 74.331 30,177 40.6% 30.177 40.6% 31,507 31,507 0 8,139 $22.00fmg 1200 NW 78th Ave 58,844 0 0.0% 0 0.0% 0 0 0 0 $23.00Ifs 5200 Blue Lagoon Dr 250,920 16.144 6.4% 16.144 6.4% 24,324 24,324 0 13,009 $22.531nm 5201 Blue Lagoon Dr 210.784 16.543 7.814, 16.543 7.8% 24,739 14,739 0 5,840 $22.001nm 5301 Blue Lagoon Dr 204.887 0 0.0% 0 0.0% 0 0 0 0 5505 Blue Lagoon Dr 212,619 0 0.0% 0 0.0% 211,829 211,829 0 211,829 5707 Blue Lagoon Dr 0 0 0 - 0 0 0 0 - 5757 Blue Lagoon Dr 64,891 13,484 20.8% 13,484 20.8% 13,484 13,484 0 7,811 $20.501nm 5775 Blue Lagoon Dr 60,338 11,133 18.5% 11,133 18.5% 13,506 13,506 0 8,700 $20.4481m 5805 Blue Lagoon Dr 60,338 19,983 33.1% 19,983 33.1% 20,998 19,983 1,015 11,688 $20.504m 5835 Blue Lagoon Dr 57,565 10,139 17.6% 10,139 17.61.5 13,383 13,383 0 5,580 629.5211s 5959 Blue Lagoon Dr 78,374 1,583 2.0% 1,583 2.0% 1,583 1,583 0 1,583 $30.00Rs 6100 Blue Lagoon [Jr 165,9$3 5,278 3.2% 5,278 3.2% 5,278 5,278 0 1,953 $20.50rnm 6101 Blue Lagoon Dr 89.015 00.0% 0 0.0% 0 0 0 0 - 6161 Blue Lagoon Dr 89,081 01 0.0% 0 0.0% 0 0 0 0 - 6205 Blue Lagoon Dr 91,000 0 0.0% 0 0.0% 17,076 7,715 9,361 5,741 $24.50111hn 6303 Blue Lagoon Dr 163,445 21.488 13.1% 21,488 13.1% 28,000 23,000 0 6,298 $20.478nm 6505 Blue Lagoon Dr 178,287 11,946 6.7% 33,344 18.7% 38,355 16,957 21,398 21.398 $20.50Mm 7200 Corporate Center Cr 92,306 5.326 5.8% 5,326 5.8% 13,840 13,840 0 7,622 $20.08/nm 7205 Corporate Center Cr 80,866 12,321 15.2% 12,321 15.2% 20,557 20,557 0 12,561 $20.17/nnn 7300 Corporate Center Cr 241,594 6,697 2.8% 6.697 2.8% 6,697 6,697 0 6.697 $23.00/nnn 7600 Corporate Center Cr 140,045 27,059 19.3% 27.059 19.3% 31,276 31,276 0 26,261 $23.001nnn 7665 Corporate Center Cr 125,808 0 0.0% 0 0.0% 0 0 0 0 - 7650 NW Corporate Center Dr 125,822 0 0.0% 0 0.0% 0 0 0 0 - 351 NW LeJeune Rd 87,422 0 0.0% 0 0.0% 1,744 0 1,744 1,744 $22.701+uiil 701 Waterford VVay 247.000 0 0.0% 0 0.0% 15,939 0 15.939 15.939 $24.001nm 703 Waterford Way 247.000 13,832 5.6% 16,585 6.7% 18,249 15,496 2,753 5,673 $24,0081111 800Wa1ertorrWay 246.085 134,700 54.7% 134,700 54.7% 98,398 98,398 0 40,048 $27.941nm Grand Totals (43 BIdgs) 5,305,474 493,373 8.3% 518,986 9.814 847,587 754,925 74,662 211,829 $30.091fs CBRE COPyinfhtftl report Lameed to CBRE • 107835. 4,26/2018 9 1 As noted, there is approximately 5.305 million square feet of existing Class A & B office space in the immediate vicinity of the subject property, of which a total of 518,986-SF or 9.3% is vacant and available "for lease" with the majority in the range of $23.00 to $30.00 per square foot, on a full -service basis, and -or $20.00 to $24.50 per square foot on a triple net basis. Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 12 CBRE Neighborhood Analysis GROWTH PATTERNS Growth patterns have occurred from the 1940s through present with single family subdivision, commercial retail & service businesses, and more contemporary corporate office deliveries dating back to the 1970's, 1980's, 1990's through the 2000's including recently completed limited service and suite hotels that service the airport and business travelers; condominium conversions, i.e. rental apartments to condominium ownership & reconversion back to rental; retail shopping center renovations and new developments, such as, the recently completed Keystone Shoppes located at 190 NW 42nd Avenue and the proposed Blue Lagoon Shoppes to be located at 1 101 NW 57th Avenue. ACCESS Primary access to the subject neighborhood is provided by State Road 836/Dolphin Expressway, the NW 14th Street exit and N.W. 37th Avenue (Douglas Road). Regional access is considered excellent with the area bracketed by some of the major South Florida Highways, including the Florida Turnpike (toll road) to the west; Interstate 95 to the east and the Airport Expressway (State Road 1 12) to the north. However, the single largest influence for the subject property and submarket is the Miami International Airport (MIA), situated on the north side of State Road 836/Dolphin Expressway, between the Palmetto Expressway (State Road 826) and LeJeune Road (N.W. 42nd Avenue). It is the economic hub of the entire region, including international travel and cargo logistics, while supporting the Doral/Airport West industrial submarket to the west and the downtown Miami/Brickell Avenue financial submarket to the east. Local east/west access in the subject area is provided by West Flagler Street, NW 7th Street, NW 20th Street and NW 14th Street. Local north/south access is provided via NW 12th Avenue, NW 17th Avenue, NW 22nd Avenue, NW 27th Avenue, NW 37th Avenue, NW 42nd Avenue and NW 57th Avenue. Access to the downtown Miami CBD is provided via a mass transit system known as Metrorail and the Metromover. The Metrorail is an elevated track train system, which extends north and west to the City of Hialeah and south to the Dadeland area of unincorporated Miami -Dade County. The Metromover is a remote controlled elevated track vehicle system, which provides local transportation in and out of the Central Business District. Finally, the Miami River is a restricted deep -water access waterway that navigates down river to the Biscayne Bay, the Port of Miami and the Atlantic Ocean. Small pleasure boat and cargo freighters navigate the Miami River via draw bridges at Brickell Avenue, Miami Avenue, the FEC railway tracks, S.W. 2nd Avenue and S.W. 1st Street. The Interstate 95 off -ramps are fixed bridges. 212 2018 C 8Rr, Inc Melreese Golf Course, Miami, Florida 13 CBRE Neighborhood Analysis Overall, regional and local access to and throughout the subject neighborhood is considered good by land and air & sea, which provides a strategic benefit to the subject property. DEMOGRAPHICS Selected neighborhood demographics in 1-, 3-, and 5-mile radii from the subject are shown in the following table: SELECTED NEIGHBORHOOD DEMOGRAPHICS 1802 NW 37th Avenue Miami, FL 1 Mile 3 Miles 5 Miles Population 2022 Total Population 17,305 274,747 710,971 2017 Total Population 16,761 261,852 668,943 2010 Total Population 16,363 247,310 607,293 2000 Total Population 16,628 235,053 566,305 Annual Growth 2017 - 2022 0.64% 0.97% 1.23% Annual Growth 2010 - 2017 0.34% 0.82% 1.39% Annual Growth 2000 - 2010 -0.16% 0.51% 0.70% Households 2022 Total Households 5,540 98,282 269,579 2017 Total Households 5,392 93,959 252,794 2010 Total Households 5,330 89,516 226,746 2000 Total Households 5,134 82,783 201,377 Annual Growth 2017 - 2022 0.54% 0.90% 1.29% Annual Growth 2010 - 2017 0.17% 0.69% 1.57% Annual Growth 2000 - 2010 0.38% 0.79% 1.19% Income 2017 Median Household Income $32,815 $28,769 $35,699 2017 Average Household Income $44,163 $45,484 $60,032 2017 Per Capita Income $14,497 $16,709 $23,187 2017 Pop 25+ College Graduates 1,471 32,354 125,002 Age 25+ Percent College Graduates - 2017 1 1.8% 16.9% 25.5% Source: ESRI Population growth slowed in the past decade in the wake of the national economic recession in 2007. However, the future growth projection will be positive and represented by urban, in -fill and redevelopment objectives going forward. CONCLUSION The neighborhood and submarket area is strategically located between the downtown Miami CBD and the Miami International Airport. The neighborhood is essentially mature and built out with older residential and commercial developments, and interspersed with a variety of newer residential condominium, rental apartment, convenience retail projects and renovation/ redevelopments opportunities. While the Miami River has been an impetus for development since the early 1900's, it is the proximity of the Miami International Airport that will continue to provide growth and redevelopment opportunities over the long term. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 14 CBRE Site Analysis SURVEY EXHIBIT BOUNDARY SURVEY ---- SEE DETAIL 13,-,EL:s___ ,7 TAU A141 QAN AL --PARCtl vevrobr / / DEAL B-13 poo DErAIL A -A 1:4 ,.L kei • SEE DETAIL. A -A GRAPELAND PARK (NOT A PR ) Mir • 51.1b1,01.111119.3. =0."44:4: r""1101.4 Piani ,aaa JAM 1'1 •'1117 Tr. 726 :44 • A.• ea. =,M191 rec. • " LOCATION MAP mammaa.... iemre ournr• In.al.eden=re ba"Zittalitanir=a =Ma^ Melreese Golf Course, Miami, Florida © 2018 CBRE, 15 CBRE Site Analysis FLOOD PLAIN MAP National Flood Hazard Layer FIRMette 25,179c.15cN 6 p FEMA 1,IIaf11-n.A[)F ,!mr-n-1TNlr'.1(•,I[R[. rtlrrn.AR[0'lS CIi't f1 MI.1A[[ I LM�.i. •.'t-� ate 9/L11/2009 .EL P.f So rce:Esri, Digital Globe, GeoEye, Earthtar Geographies, CNESh5rbus D0 USDA, IJSGS, AeroO0ID, ION, andthe GIS U erComrnunity Feet 1:6,000 250 500 1,000 1,500 2,000 25,712.75"N Legend SEE ISS REFESSE FOR DETAILED LEOEND INDS% !CASED!, FIRM PANEL LOSSITE SPECIAL FLOOD HAZARD AREAS VOL hoot Base Flood Elotct'on (BEE) zone c Wrth BFE or Depth Regulatory Floodway zone ♦a, xa, xv, cc-. ER OTHER AREAS OF FLOOD HAZARD OTHER AREAS GENERAL STRUCTURES OTHER FEATURES MAP PANELS 0236 AnnuaI Chance Rood Hau r 5 A 1%annual charceflood wRh average depth less than one foot on witmdiaimage areas of lessthan one square mile zone "Fieu re mntleiore 1%Annual Glance Flow'H�aN roods Area with Reduced Flood Risk due to Levee. See Notes. zoned Areewith Flood Risk Levee zoned xl Areaoi Min lrrelFloctl Hazard Anti 0 Effective LOMR Area of Undetermined Fbotl Hazard rune o ---- Clna oral, C4wrt,o r Storm Saner uuuuuei Levee. Dike, or Fbwhvall Cress Sectio ns whh l%Annual Chance Water Surface Eletaton ID— — — Coastal Trarsect --ar -- Rase Flood Elevation Ll re(BFE) Lim of St dy Jur ad'rtion Boundary — Coastal Trarsect feline Profile Baseline Hydrographc Feature ❑ Digital Data Aeiabe O No Digtal Data Available ® Unmapped This map com plies with FEMA's standardsfo n the use of dgital flood maps If it Is notvoid as described below. The base map shown complies with FEMA's base map p accuracy standards The flood hazard irdor matron s dleriusd direct y from tla authoritattce NFHL web services prod ided by FEMA. This map was escorted on 4119/201Hat H3H.10 PM and does not reflect charges or amendment: subsequent to this date and me. The N FHLand el feniw information may change or become superseded by newdata over time. This map image is void if the one or more of the following map elemeus do rest appear: base map Imagery. flood zone labels. legend, scale tar, map creation date, commun try identifiers. FIRM panel number, and FIRM etec a date. Map irrage for unmapped a nd unmodern'ted areas cannot be used for regulatory purpose. Melreese Golf Course, Miami, Florida 212 2018 CBR Inc 16 CBRE Site Analysis Site Analysis The following chart summarizes the salient characteristics of the subject site. SITE SUMMARY Physical Description Gross Site Area Net Site Area Primary Road Frontage Secondary Road Frontage Additional Road Frontage Additional Road Frontage Excess Land Area Surplus Land Area Shape Topography Average Daily Traffic Counts Zoning District - Existing Zoning District - Proposed Future Land Use Flood Map Panel No. & Date Flood Zone Adjacent Land Uses Comparative Analysis Visibility Functional Utility Traffic Volume Adequacy of Utilities Landscaping Drainage Utilities Water Sewer Natural Gas Electricity Telephone Mass Transit Other Detrimental Easements Encroachments Deed Restrictions Reciprocal Parking Rights 131.07 Acres 131.07 Acres NW 37th Avenue/Douglas Road Tamiami Canal NW 42nd Avenue NW 14th Street/State Road 836 None None Rectangular Golf course with rolling hills & lakes NW 37th Avenue 28,000 NW 42nd Avenue 47,000 NW 14th Street/State Road 836 12,900 & 164,000 CS, Civic Space SAP, Special Area Plan Public Parks & Recreation 120650 0292 L 11-Sep-09 AE Single family residential, hotel, commercial service businesses, Tamiami Canal, limited access highway & international airport 5,709,575 Sq. Ft. 5,709,575 Sq. Ft. 1,392 Feet 2,541 Feet 2,511 Feet 1,237 Feet n/a n/a Rating Excellent from NW 37th Avenue, the Doplhin Expressway & NW 42nd Avenue Good Heavy commuter, local & air traffic Assumed adequate Good Assumed adequate Provider Adequacy City of Miami Yes City of Miami Yes Contract service Yes FPL Yes AT&T land lines Yes Miami -Dade Transit (MDT) bus service, Metrorail, Metromover, Tri-rail, Brightline & Greyhound bus Yes Yes No Unknown X X FAA restrictions X Source: Various sources compiled by CBRE Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 17 CBRE Site Analysis LOCATION The subject is on the west side of NW 37th Avenue and north of the Dolphin Expressway (State Road 836). LAND AREA The land area size was obtained via legal description and boundary survey provided by the client. The site is considered adequate in terms of size and utility. There is no unusable, excess or surplus land area. SHAPE AND FRONTAGE The site is generally rectangular and has adequate frontage along a primary north/south thoroughfare, as well as limited access highway frontage within the neighborhood. I NGRESS/EGRESS Ingress and egress is available to the site via the NW 37th Avenue frontage with striped deceleration turn lanes. TOPOGRAPHY AND DRAINAGE The site is an undulating golf course terrain that is at & above street grade. The topography includes water hazards and a wetland near the 6th hole of the course. However, this 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. SOI LS A soils analysis for the site was requested, but has not been provided for the preparation of this appraisal. According to the General Soil Map published by the City of Miami, the subject site is comprised of Udorthents, limestone substratum with 2 to 5 % slopes. In the absence of a soils report, and based on field observations, it is a specific assumption that the site has adequate soils to support the highest and best use. 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. 212 2018 C BRr, Inc Melreese Golf Course, Miami, Florida 18 CBRE Site Analysis 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. However, the subject property is a municipal owned & operated golf course that will require a voter referendum, a land use amendment and rezoning to SAP prior to any future development. In addition, there are FAA height restrictions and residential land use restrictions. 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. UTILITIES AND SERVICES The site includes all municipal services, including police, fire and refuse garbage collection. All utilities are available to the site in adequate quality and quantity to service the highest and best use. ENVIRONMENTAL ISSUES The appraiser is not qualified to detect the existence of potentially hazardous material or underground storage tanks which may be present on or near the site. The existence of hazardous materials or underground storage tanks may affect the value of the property. For this appraisal, CBRE, Inc. has specifically assumed that the property is not affected by any hazardous materials that may be present on or near the property. • Based on the existing golf course use and potential for arsenic and fertilizer run-off, we strongly recommend the client engage an experienced environmental engineer to perform a Phase I assessment. WETLANDS The subject property contains a small wetlands area between the 6' & 7'" fairways and closer to the 6' hole, as presented in the following golf course graphic. 212 2018 C BRr, Inc Melreese Golf Course, Miami, Florida 19 CBRE Site Analysis NW 21 st Street NW 42nd Ave - Miami International Airport NW 14th Street - Dolphin Expy. (836) ADJACENT PROPERTIES The adjacent land uses are summarized as follows: a�ueazu3 - and 4}L>: ►WN Z02I. City of Miami {l'r11 Charles DeLucca Managing Partner North: Tamiami Canal, the Sheraton Miami Airport Hotel & Executive Meeting Center and the Miami Intermodal Center (MIC) South: NW 14' Street, the Dolphin Expressway (State Road 836), single family residential subdivisions and a Marriott hotel East: The Grapeland Heights residential subdivision West: NW 42nd Avenue (LeJeune Road) and the Miami International Airport The adjacent properties are supportive of a built -out neighborhood with regional access & employment influences. Melreese Golf Course, Miami, Florida 2018 C BRr, Inc 20 CBRE Site Analysis CONCLUSION The site is strategically situated to the east of the Miami International Airport with good off -site infrastructure, local & regional access and potential to be developed with a high density, mixed - use, subject to voter referendum, land use amendment & rezoning to SAP, Special Area Plan. 212 2018 C BRr, Inc Melreese Golf Course, Miami, Florida 21 CBRE Zoning Zoning The following chart summarizes the subject's zoning requirements. ZONING SUMMARY Zone CS, Civic Space Intended Use The civic category is intended to encompass land use functions predominantly of community -oriented purposes of objectives including those of not -for -profit organizations dedicated to arts and culture, education, recreation, religion, government and the like. Definitions Civic space is a zone with mainly outdoor area dedicated for functioning for community purposes. Transect Zone Description The civic zone consists of public use space and facilities that may contrast in use to their surroundings while reflecting adjacent setbacks and landscape. Permitted Uses; Allowed by Right Marina Allowed by Warrant Food service establishment, open air retail, community facility, recreational facility, religious facility and infrastructure & utilities. Allowed by Exception General commercial, marine related commercial established, childcare and learning center. Category Zoning Requirement Specific to Civic Space Zones Development in a Civic Space Zone should have a minimum 50% of it's perimeter enfronting a thoroughfare. Civic Space sites shall be entered directly from a thoroughfare. 1 or more buildings may be built in each Civic Space. Building Floor area shall not exceed 25% of the lot area of the Civic Space, and shall support the principal use of the Civic Space. Buildings shall conform to regulations of the most restrictive abutting Transect Zone, except as shown by the City of Miami's Parks and Public Spaces Master Plan. Other adjustments to the regulations shall be approved by process of Exception. All community facility and recreational facility uses shall be government owned or operated only. Supplemental Regulations; Boats, Houseboat & House Barge Occupancy of private pleasure crafts & houseboats shall not be allowed except for those specifically grandfathered and regulated by ordinance #10932, adopted October 24, 1991. Docks & Piers Extension docks & piers into Biscayne Bay are limited to 35 feet or up to a maximum 600 feet by Exception. Extension docks & piers into other waterways are limited to 10 feet or 10% of the width of the waterway, whichever is less. Open Air Retail Access to the site must be from a major thoroughfare. Distance separation of any open air retail shall be a minimum of 75 feet measured from any property within T-3, T4-R, T5-R or T6-R zone. Operation limited to weekends and legal holidays for a maximum of 3 consecutive days between the hours of 7:00 AM and 7:00 PM. Provision of paved striping stalls & parking spaces and for on -site restroom facilities. Personal Wireless Service Facility Subject to requirements of Section 6.4. Helicopter Landing Pad Childcare Regulated by federal & state law, and may be permitted by Warrant subject to landing & take -off for dropping off and picking up passengers & cargo, but not for fueling, repair or long term parking or storage of helicopters. Unless used for emergency operations (police, fire & hospital) landings & take -offs are restricted to M-F 9:00 Am to 5 PM on parcels abutting T3, T4, T5-R and T6-R zones. Ground level sites shall be located away from buildings, trees or significant terrain features to avoid possible air turbulence. Rooftop sites shall be given priority over ground level sites in congested areas. Minimum of 35 square feet of usable indoor floor space per child on license. Minimum of 45 square feet of usable outdoor play area per child. A minimum outdoor play area shall be provided for one half of license capacity. In no event shall any outdoor play area be less than 450 square feet. The minimum standard of outdoor play area does not apply for children under one year of one. Off -Street Parking; Commercial 3 spaces per every 1,000-SF of commercial space 1 bike space for every 20 vehicle spaces Ratio can be reduced within a TOD area or within a Transit Corridor area by up to 30% by process of Waiver; by 50% by process of Waiver & payment into a transit enhancement Trust Fund; or by 100% for any structure with an floor area of 10,000-SF or less. Civic Civic Support Educational Parking ratio can be reduced according to shared parking standard. 1 space for every 5 seats of assembly uses 1 space for every 1,000-SF of exhibition or recreation space 1 space for every staff member for recreational uses 1 space for every 500-SF of building area for recreational uses 1 bike space for every 20 vehicle spaces 1 space for every 1,000-SF 1 space for every 5-slips for marinas 2 spaces for 1,000-SF of educational space 1 bike space for every 20 vehicle spaces 1 space per staff member, 1 space for owner & 1 drop-off space per 10 clients cared for in childcare facilities Source: Miami 21, As Adopted - January 2018 Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 22 CBRE Zoning According to interviews with the City of Miami Planning & Zoning Department and recent media report, the subject property is being considered as one of several potential sites for the 25,000- seat Major League Soccer (MLS) stadium including peripheral development for a youth academy, restaurant, retail, office space and maybe the retention of a 9-hole golf course. However, any change in use would require a voter referendum, a land use amendment, rezoning to SAP, Special Area Plan, and mitigation to off -set the loss of any parks & recreation land within the city limits. Based on Miami 21, an SAP, Special Area Plan is described in detail, as follows: 3.9 SPECIAL AREA PLANS The purpose of a Special Area Plan is to allow parcels greater than nine (9) Abutting acres in size to be master planned to allow greater integration of public improvements and Infrastructure, and greater flexibility to result in higher or specialized quality building and Streetscape design within the Special Area Plan. The purpose of a Special Area Plan further is to encourage the assembly and master planning of parcels greater than nine (9) Abutting acres in size, in order to provide greater integration of public and private improvements and Infrastructure; to enable Thoroughfare connectivity; to encourage a variety of Building Heights, massing and Streetscape design, and to provide high quality design elements, all to further the intent of this Code expressed in Article 2. 3.9.1 General a. The single or multiple owner(s) of Abutting properties in excess of nine (9) acres may apply for a rezoning to a Special Area Plan. b. A Special Area Plan shall be approved by the process of rezoning with or without Transect changes. c. A Special Area Plan shall assign Thoroughfares, Transect Zones and Civic Space Types, with appropriate transitions to Abutting areas. Guidelines for Thoroughfares and Public Frontages may be adjusted to the circumstances of the Special Area Plan. d. A Special Area Plan shall include a map of the Thoroughfares and Transect Zones, and the standards that deviate from the requirements of Article 5. e. A Special Area Plan shall assign at least five percent (5%) of its aggregated Lot Area to a Civic Space Type. Civic Building sites are to be located within or adjacent to Civic Space Types or at the axial termination of significant Thoroughfares. The developer shall be responsible for con- structing the public improvements within the Special Area Plan, including but not limited to the Civic Space Types and Thoroughfares. f. Development within the Special Area Plan shall be pursuant to a recorded development agreement that will establish the allocation of Thoroughfares and Civic Space Types and Building Area among the Building sites, and the creation and retention of the public benefits. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 23 CBRE Zoning 9. Unless a Building is specifically approved as part of the Special Area Plan, any Building shall be reviewed by the Planning Director, after referral to and recommendation from the CRC for conformance to the Plan, prior to issuance of the Building Permit. h. A Special Area Plan may include: 1. A differentiation of the Thoroughfares as a Primary -Grid (A -Grid) and a Secondary - Grid (B-Grid). Buildings along the A -Grid shall be held to the highest standard of this Code in support of pedestrian activity. Buildings along the B-Grid may be more readily considered for automobile -oriented standards allowing surface parking lots, unlined parking decks, and drive-throughs. The Frontages assigned to the B-Grid shall not exceed thirty percent (30%) of the total length within a Special Area Plan. For Frontages on the B-Grid, parking areas may be allowed in the Second Layer. 2. Retail Frontage requiring that a Building provide a Commercial Use at sidewalk level along the entire length of the Frontage. The Commercial Use Building shall be no less than seventy percent (70%) glazed in clear glass and provided with an Awning overlapping the sidewalk as generally illustrated in Article 4, Table 6. The first floor should be confined to Retail Use through the depth of the Second Layer. 3. Gallery or Arcade Frontage, requiring that a Building provide a permanent cover over the sidewalk, either cantilevered or supported by columns. The Gallery or Arcade Frontage may be combined with a Retail Frontage as shown in Article 4, Table 6. Gallery or Arcade Front- age within the First Layer may apply towards Open Space requirements. 4. Build -to -lines that differ from Transect Zone Setback requirement. 5. A Terminated Vista location, requiring that the Building be provided with architectural articulation of a Type and character that responds to the location. 6. A Pedestrian Passage, requiring a minimum ten (10) foot wide pedestrian access be reserved between Buildings. 7. A preservation plan acceptable to the Historic and Environmental Preservation Board for any historic resources in the area of the Special Area Plan. 8. Area Design Guidelines. 9. A parking management program that enables shared parking among public and private Uses. 10. Flexible allocation of development capacity and Height, excluding Density on individual sites within the Special Area Plan shall be allowed so long as the capacity or Height distribution does not result in development that is out of Scale or character with the surrounding area, and provides for appropriate transitions. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 24 CBRE Zoning ANALYSIS AND CONCLUSION Additional information may be obtained from the City of Miami elected officials and the City of Miami Planning & Zoning Department. For purposes of this appraisal, CBRE has assumed the information obtained is correct. Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 25 CBRE Tax and Assessment Data Tax and Assessment Data AD VALOREM TAX INFORMATION Assessor's Market Value Parcel Description 2016 2017 Pro Forma 01-3132-000-0080 01-3132-000-0090 $2,516,482 5,741,491 $2,523,656 5,840,494 $160,000,000 Subtotal $8,257,973 $8,364,150 $160,000,000 Assessed Value @ 100% 100% 65% General Tax Rate $8,257,973 $8,364,150 $104,000,000 (per $100 A.V.) 2.182560 Total Taxes Less: 4% Early Pay Discount 2.118420 2.118420 Exempt Exempt $2,203,157 Exempt Exempt $2,115,031 Source: Assessor's Office The subject property is exempt from real estate property taxes based on municipal government ownership. However, if the subject property were sold -off to a third -party developer the exemption would be rescinded. In addition, under a ground lease scenario, the land component would remain exempt while any tenant leasehold improvements would be taxable, unless a non- profit or municipal government entity developed and operated the leasehold improvements. If the exemption is rescinded through sell-off, the local Assessor's methodology for valuation would be sales comparison and -or the recorded sale price. The next re -assessment of the subject is scheduled for January 1, 2019. In addition, the January 1, 2018 assessment has yet to be posted. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 26 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 Legal Permissibility The legally permissible uses were discussed in the Site Analysis and Zoning Sections. The existing CS, Civic Space district zoning has limitations. However, the City of Miami is considering a voter referendum that would allow a land use amendment and rezoning to SAP, Special Area Plan, which allows for higher density, mixed -use development options, subject to FAA height restrictions. Physical Possibility The subject is adequately served by utilities, and has an adequate shape and size, sufficient access, etc., to be a high density, mixed -use site. There are no known physical reasons why the subject site would not support any legally probable development (i.e. it appears adequate for development). Existing structures on similar sites have been approved and -or developed to densities as high as 0.28 to 0.68 FAR (floor -area -ratio), as per the comparable land sales analyzed in this appraisal. In addition, The Landing at MIA is a mixed -use business park located on the west side of the airport and east of the Palmetto Expressway (State Road 826) comprises 50.3-acres and is improved with 1,050,761-SF of Class A & B office building, single story office and warehouse buildings, which equates to an 0.48-FAR. Considering these buildings are contemporary and built in the 1980s & 1990s, this would provide additional evidence for the physical possibility of development and potential density for the subject property based on SAP, Special Area Plan zoning district. Financial Feasibility The determination of financial feasibility is dependent primarily on the relationship of supply and demand for the legally probable land uses versus the cost to create the uses. Development of new office buildings, strip retail, limited & full -service hotels and road improvements in & around the Miami International Airport has been booming. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 27 CBRE Highest and Best Use While we previously noted, the existing municipal owned & operated golf course is a breakeven endeavor, as well as, an underutilization of the subject property given the strategic location characteristics and potential for higher density development. Maximum Productivity - Conclusion The final test of highest and best use of the site as if vacant is that the use be maximally productive, yielding the highest return to the land. Based on the information presented above and upon information contained in the neighborhood section of this report and the sales comparison analysis, we conclude that the highest and best use of the subject would be a high density, mixed -use business park with corporate office, retail & hotel components, surrounding generous open space including active parks & recreation land uses, such as a downsized golf course and -or practice driving range, subject to voter referendum, land use amendment & rezoning to SAP. AS IMPROVED Legally Permissible The site has been improved with a municipal owned & operated golf course that is a legal, conforming use. Physically Possible The layout and positioning of the improvements are considered functional for municipal golf course use. However, the strategic location and potential for higher density, mixed -use business park development clearly shows the existing municipal golf course use is an underutilization of the site. Financially Feasible & Maximally Productive - Conclusion The financial feasibility of any property is based on the amount of rent which can be generated, less operating expenses required to generate that income; if a residual amount exists, then the land is being put to a productive use. Based upon the income approach fair market rent conclusion, the subject has the potential to produce substantial positive net cash flow, as well as, expanding the municipal tax base and the creation of an employment center as a long-term ground lease investment to a third -party master developer and -or expansion of the Miami International Airport & aviation support services. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 28 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. to Mikes E dj Thompson County Park sr Haat a — ei6 ale 9 11700 NW 20th Street Mleml FL 33182 Gei Sale 4400 NW e7th Ave Mars, FL 33178 Dorsi PIh v Parkanderbm ° IL25th 83 WV 74th Si Dotal Fountainbleau° Sweetwater V Town Per amia Eyate. Copyright ® and (P)1B8&2➢12Microsoft Corporation antlNrds supplie raaerveJ_ 87 West heater Sale 5 7777 NW 91 tSt Pliant FL 33 66 ed NE 151atM orth Maml anti OrC El Po 008 La Neyalone Banda Hal uc Harbour es ° Indian Creek I. Village 839 Normandy Island North Bay Village 11111121111/ Bnd Nay D A D grin Punic Island Iiiiiiiitangiieceyne Bey AquHic Preserve _ ll Bayahore Sale 1 se taste 3550 NW 213t3 7e Miami, FL 33192 West lams Co = !Gable. Subject Property 1802 NW 37th Ave Miami, FL 33125 tiff ■j B0cayne Bay Swum Islands ... M Lido Island .AA] smelts, CoussYrOT I Beach Brickell hey Fisher bland SUMMARY OF COMPARABLE LAND SALES No. Property Location Transaction Type Date Proposed Use Actual Sale Adjusted Sale Size Size Price Price Price I (Acres) (SF) Per SF 1 3550 NW 21 st Street Sale Aug-15 TBD $35,500,000 $35,500,000 20.89 909,968 $39.01 Miami, FL 33142 2 4400 NW 87th Avenue Sale Apr-16 Mixed -use retail/office $96,000,100 $96,000,100 130.10 5,667,156 $16.94 & residential Doral, FL 33166 3 12691 & 12705 NW 42nd Avenue Sale Jul-17 TBD $80,000,000 $80,000,000 72.07 3,139,512 $25.48 12700 NW 42nd Avenue Opa-Locka, FL 33054 4 11700 NW 20th Street Miami, FL 33182 5 7777 NW 41 st Street Doral, FL 33166 6 10300 NW 121 st Way Sale Nov-17 Retail Shopping Center $44,845,264 $45,445,264 35.85 1,561,626 $29.10 Sale Dec-17 Mixed -use business $40,268,000 $40,268,000 23.70 1,032,436 $39.00 park Sale Jan-18 Mixed -use business $35,700,000 $35,700,000 35.15 1,531,000 $23.32 Medley, FL 33178 park Subject 1802 Northwest 37th Avenue, Miami, Florida Mixed -use multi- family, office, retail & logistics business park 131.07 5,709,575 1 Adjusted sale price for cash equivalency and/or development costs (where applicable) Compiled by CBRE © 2018 CBRE, Inc. Melreese Golf Course, Miami, Florida 29 CBRE Land Value The sales utilized represent the best data available for comparison with the subject and were selected from the greater Miami area and regional business districts within the Miami -Dade County market area. These sales were chosen based upon physical size, location, zoning/density and highest & best uses in direct comparison to the subject property, assuming the voter referendum, land use amendment and rezoning to SAP, Special Area Plan can be readily achievable by the City of Miami. DISCUSSION/ANALYSIS OF LAND SALES Land Sale One This riverfront land sale represents the sale of 20.89 waterfront acres located at the northeast quadrant of NW 37th Avenue and the Tamiami Canal in Miami, FL. At the time of sale, it was a luxury yacht manufacturing facility with a mixed -use redevelopment land use. According to public records and seller verification, the existing buildings total 350,000-SF, but only 215,000-SF has covered or enclosed roof area, of which 26,000-SF is office space occupied previously by Bertram Yacht & Allied Marine, subsidiaries of Ferretti Yacht Group of Italy because of a prior sale/leaseback transaction in June 2011 for $17,000,000. However, Bertram vacated most of the manufacturing space in 2012, while the office space was retained for about 5 years thereafter. It is important to note, in late 2013, this site was rezoned from industrial to the newly created Palmer Lake Metropolitan Urban Center District (PLMUC), which allows all types of industrial uses, mixed -use development, retail, hotel, motels, and even residential development in certain sub -districts. According to the Palmer Lake Charrette Area Plan of Miami -Dade County, the redevelopment of the Bertram property has excellent potential to transform into a mixed -use, pedestrian -oriented district that compliments the nearby MIC and joint development area as well as the rest of Palmer Lake. Based on the property location and age of the improvements, this current transaction is essentially a redevelopment play acquired by an Argentinian based architect & developer who resides on Fisher Island. The buyer was attracted to the site because of its proximity to Miami International Airport, the river and the Miami Intermodal Center, where multiple public transit systems converge. Several redevelopment concepts include offices, hotels, senior living and retail/entertainment uses focused on the riverfront, while maintaining interim use income from an upgraded marina. We adjusted Land Sale 1 upwards for positive market conditions between the sale transaction date and our effective date of value. We also adjusted Land Sale 1 downwards for smaller size/value relationship and downwards for superior frontage along the Tamiami Canal in direct comparison to the subject property. Land Sale Two This comparable land sale is the Doral White Course located at the northeast quadrant of NW 4l st Street and NW 87th Avenue in the City of Doral, Florida. The buyers represent two local, Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 30 CBRE Land Value and very seasoned developers including Stuart Miller with Lennar Corp.; and Armando Codina & Jim Carr with CC Homes. The two developers were the winning bidders and marks one of the most expensive land deals in Miami -Dade history. The seller is GWC Miami Property LLC, an affiliate of GIC, the sovereign fund of the government of Singapore. GIC acquired the property through bankruptcy actions. The transaction was recorded in a three-way transaction with White Course Lennar LLC; CC Homes at Doral; and, CC-WCD TIC purchasing three parcels for $27.5 million; $27.6 million; and, $40.9 million, respectively. Lennar and CC Homes have a pending development application with the City of Doral for Downtown Doral South. The site plan calls for 2,209 residential units, 150,000 square feet of office space, 30,000 square feet of retail, seven acres for a civic and school uses, and 17.6-acres for an amphitheater/public recreation area. The development will also feature linear greenways and a promenade that connects to the new public space/amphitheater. As planned, 7 acres will be set aside for civic use to be determined by the city, as well as a school for grades 6-12 that will complement the K-5 charter school at Downtown Doral. Codina and Lennar were the winning bidders and beat out developer & presidential hopeful Donald Trump, Shoma Group's Masoud Shojaee and other well-known developers in the process. Bids were due on July 15, 2014 and contracts were executed in April 2015 with 12 months of escrow & due diligence. The property's zoning parameters were set forth in a master development agreement between the property's predecessor owner, MSR Resort Hotel, in 2012. The agreement has been in place for 20 years, and development must begin within 10 years. The agreement was part of a court settlement between the former owner and the city. The prior owner/hotel company filed Chapter 11 during the recession. The White Course was then deeded to GWC Miami Property, controlled by the government of Singapore, as a creditor in the bankruptcy case. The site is a rolling golf course topography with substantial water hazards. We adjusted Land Sale 2 upwards for positive market conditions between the sale transaction date and our effective date of value. We also adjusted Land Sale 2 upwards for inferior frontage, inferior topography/site conditions given the substantial volume of golf course lakes & water hazards that required to be backfilled and upwards for inferior location in direct comparison to the subject property. Land Sale Three This comparable land sale comprises a clustering of three (3), non-contiguous parcels including the 33.78-acre Opa-Locka Hialeah Flea Market site, the 28.31-acre Miami Auto Auction site, and a 9.98-acre ancillary support site. According to the broker, the seller previously acquired & assembled the three parcels between 1984 & 1990 for $1 1.3 million and was the operator of the flea market, while collecting rent from the Miami Auto Auction. The buyer is a publicly traded REIT that negotiated a post -closing, 12-year lease with three, 5-year renewal options with RER Outdoor Marketplace LLC whose principals include Chris Kallivokas, Rodney Barreto Brian May and the selling broker, Michael Fay. The new tenant operator group of the flea market has plans Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 31 CBRE Land Value to renovate the parking lot areas, restroom and canopy improvements. The buyer was interested in this property based on the existing below market Miami Auto Auction lease rate and the new flea market operator lease produces a 6.10% cap rate, while providing a defensive downside protection strategy based on the in -fill location, land value with a higher density, mixed -use zoning designation and marketability for leasing to tractor trailer parking or other open yard & parking uses. We adjusted Land Sale 3 downwards for superior property rights conveyed, i.e. leased fee interest with ground leased tenant base, and upwards for positive market conditions between the sale transaction date and our effective date of value. We also adjusted Land Sale 3 downwards for smaller size/value relationship and upwards for inferior location in direct comparison to the subject property. Land Sale Four This comparable land sale is a 35.85-acre site located at the northwest quadrant of the Florida Turnpike Extension and State Road 836 in unincorporated Miami -Dade County, Florida. It is part of a master -planned development known as Beacon Lakes that is currently being developed by Prologis as a Development of Regional Impact (DRI) and with the creation of the Beacon Lakes CDD. The Beacon Lakes master plan comprises 478-acres +/- including 4.6 million square feet of Class A distribution warehouse & business park space with the portion fronting the Florida Turnpike dedicated to commercial retail uses. The buyer/developer secured the contract in March 2017 at $45,000,000 subject to site plan approvals and the seller/master developer delivering a clear & level buildable site with all supporting infrastructure as per the Beacon Lakes CDD. However, there were numerous amendments to the contract including a slight price change to $44,845,265 due to site measurements plus $600,000 for two (2) contract closing date extensions, road impact credits, a seller obligation to remove construction & demolition debris and deliver a 7.0' site elevation. The seller's off -site infrastructure obligations included proposed NW 1 17th Place improvements, a 1.02-acre retention lake, a pump station. The buyer essentially received a 35.85-acre buildable site within three (3) parcels with a total of 430,000-SF of commercial retail entitlements allocated from the Beacon Lakes DRI. The buyer/developer site plan includes a 9.44-acre ground lease to Home Depot, a 3.1 1-acre ground lease to City Furniture, two outparcel sites, two pad sites approved for 13,500 rentable square feet and three buildings that will total 159,341 square feet with ground breaking to occur immediately after closing. We adjusted Land Sale 4 upwards for positive market conditions between the sale transaction date and our effective date of value. We also adjusted Land Sale 4 downwards for smaller size/value relationship, upwards for inferior shape/configuration and upwards for inferior location in direct comparison to the subject property. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 32 CBRE Land Value Land Sale Five This comparable land sale is a short-term sale/leaseback of a vintage 1964 bottling plant acquired by two, local & prominent residential & retail developers. The sale transaction was facilitated with a $37.5 million loan in favor of Palmetto Finance & Investment, LLC. The site is zoned for industrial, but is in a transitional sub-submarket of Doral that is shifting more towards high density multi -family, hotel, corporate office & retail uses. The buyer/developers have engaged Cushman & Wakefield to market the site as a build -to -suit opportunity for 87,000 to 700,000 square foot end users. We adjusted Land Sale 5 downwards for superior property rights conveyed, i.e. leased fee interest with a short-term sale/leaseback. We also adjusted Land Sale 5 downwards for smaller size/value relationship and upwards for inferior location in direct comparison to the subject property. Land Sale Six This comparable land sale is a sale/leaseback and monetization of a lumber storage & distribution yard for a national, NASDAQ listed company. The buyer has preliminary plans to build 650,000-SF of bulk distribution warehouse. The seller is repositioning into two other facilities recently acquired from Robbins Manufacturing in 2017 and will add another purpose built, state-of-the-art facility going forward to improve logistics & operational efficiencies necessary to service the entire Florida and southeast region including Puerto Rico and the Caribbean. We adjusted Land Sale 6 downwards for superior property rights conveyed, i.e. leased fee interest with a short-term sale/leaseback. We also adjusted Land Sale 6 downwards for smaller size/value relationship and upwards for inferior location in direct comparison to the subject property. SUMMARY OF ADJUSTMENTS Based on our comparative analysis, the following chart summarizes the adjustments warranted to each comparable. 212 2018 C 8Rr, Inc Melreese Golf Course, Miami, Florida 33 CBRE Land Value LAND SALES ADJUSTMENT GRID Comparable Number 1 2 3 4 5 6 Transaction Type Sale Sale Sale Sale Sale Sale Transaction Date Aug-15 Apr-16 Jul-17 Nov-17 Dec-17 Jan-18 Proposed Use TBD Mixed -use TBD Retail Mixed -use Mixed -use retail/office & Shopping business park business park residential Center Actual Sale Price Adjusted Sale Price 1 Size (Acres) Size (SF) Allowable Bldg. Area (SF) Indicated FAR Price Per SF Price Per Bldg. Area $35,500,000 $96,000,100 $80,000,000 $44,845,264 $40,268,000 $35,700,000 $35,500,000 $96,000,100 $80,000,000 $45,445,264 $40,268,000 $35,700,000 20.89 130.10 72.07 35.85 23.70 35.15 909,968 5,667,156 3,139,512 1,561,626 1,032,436 1,531,000 --- --- --- 416,426 SF 504,605 SF 650,000 SF 0.28 0.68 0.30 $39.01 $16.94 $25.48 $29.10 $39.00 $23.32 --- --- --- $109.13 $79.80 $54.92 Price ($ PSF) $39.01 $16.94 $25.48 $29.10 $39.00 $23.32 Property Rights Conveyed 0% 0% -5% 0% -5% -5% Financing Terms 1 0% 0% 0% 0% 0% 0% Conditions of Sale 0% 0% 0% 0% 0% 0% Market Conditions (Time) 30% 20% 10% 5% 0% 0% Subtotal $50.71 $20.33 $26.63 $30.56 $37.05 $22.15 Size Shape Corner Frontage Topography Location Zoning/Density Utilities Highest & Best Use -30% 0% -10% -25% -30% -25% 0% 0% 0% 10% 0% 0% 0% 0% 0% 0% 0% 0% -10% 10% 0% 0% 0% 0% 0% 10% 0% 0% 0% 0% 0% 10% 10% 10% 10% 30% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Total Other Adjustments -40% 30% 0% -5% -20% 5% Value Indication PSF of Site $30.43 $26.43 $26.63 $29.03 $29.64 $23.26 Value Indication PSF of FAR $108.85 $60.64 $54.79 Adjusted sale price for cash equivalency and/or development costs (where applicable) Compiled by CBRE Subject Mixed -use multi- family, office, retail & logistics business park 131.07 5,709,575 2,740,596 SF 0.48 CONCLUSION The comparables sales presented produced an overall unadjusted value indicator range from $16.94 to $39.01 per square foot of site area; and, $54.92 to $109.13 per square foot of proposed or approved FAR. After considering and -or applying adjustments for property rights conveyed, financing terms & conditions, conditions of sale, market conditions (time), size, shape, corner/frontage, topography, location, and zoning/density, the range of value indicators was narrowed substantially to $23.26 to $30.43 per square foot of site area; and, $54.79 to $60.64 per square foot of proposed or approved FAR. Based on the preceding analysis, Comparables 2, 3, 4, 5 & 6 were the most representative of the subject site, and warranted greatest consideration because of recent sale transaction dates, location and zoning/density. In conclusion, a price per square foot of site area near the midpoint of the unadjusted range and within the narrow -adjusted range of value indicators was most appropriate for valuing the subject As Is. The following table presents the land valuation conclusion: Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 34 CBRE Land Value CONCLUDED LAND VALUE $ PSF of Site Site SF Total $26.00 x 5,709,575 = $148,448,943 $29.00 x 5,709,575 = $165,577,667 $ PSF of FAR Potential 0.48 FAR Total $55.00 $60.00 Indicated Value: x 2,740,596 = $150,732,773 x 2,740,596 = $164,435,752 $160,000,000 (Rounded $ PSF) $28.02 Compiled by CBRE Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 35 CBRE Income Approach Income Approach - Fair Market Rent Analysis The following map and table summarize the comparable data used in the valuation of the subject site. A detailed description of each lease transaction is included in the addenda. Markham Rano es Copyright @and(Pj1':: 2912 Microsoft Co rporation an..dsscooters MI dg0L2 Mitten E Thompson County Park Rent 1900 NW 117th Place, Miami, FL 33182 2012 Mlcrosaft Co • ana[Ion anNor Xs su al prings ul Mend Ridge 58th St MN 58th St Donal Blvd Vanderbilt .„Park FOnmainbleau° Sweetwater North auderdale Pla Ton On dens, Plantation Park,. Playland Baaie Tharne 0 Froward O Rent 566 NW 167th St Hialeah, FL 33014 MN 7Th 5t Margate '�,. CpconU Fair Gate Mergete Estates denial° La es ° East G .Parh el Palms P pn� °Isl land Ear', rt Par E 651hu St Palm SPn09 Hialeah E ates PcHab Rd take Po al Pal Collier Park ent2 20 W Commer PI Blvd Fort Lauderdale, FL 33309 North A Gartlen Estates o °Coral 0 land Par H4i4Ms oPompano Beach_, Cypre n st� les Isles Estates ° ,Santa Barbara Shores Hepbors ° Pompano Isles °High Ridge ara Elates La Lake VA on M: nor Mltltlle Rent 5 2500 W Brower Blvd Fe, Lauderdale FL 33312 Everglades "ua<:e'afein9i499,, uncle, Par Pent 1 NWQ 41 NW 135th Street & Douglas Road 0•a-Loeka FL Rent 126 1 NW 92nd Ave Opa Locke, FL 33054 Shores liday Park Nurtni erdale Istes HOIIy 40001 °Pon Laudanis Sea Ranch Lakes .Lauderdale -by -the -Sea A t l a n t l d O l e a n us Coast Quad 5, Fait Lauderdale Islands keystone 1301 % e San DTP °" Harbour, d. Estates Biscayne ° Indian Creek Park Village, Indian Creek S�igr srl f Ton* J Sun -Ten Sprin� 5 bf ct Property mg :T 11141111111 111111111111 1soz Nw 3Tlh Ave I __ _ J• Mami, FL 33125� ' x4� `� ®M ji ' aS I'r, ,_ ayshore Brukell Key NortM1 Bay Village Biscayne Bay Aquatic Preser9e Biscayne ay Tither island Melreese Golf Course, Miami, Florida © 2018 CBRE, Inc. 36 CBRE Income Approach In this section, we have estimated market rent for the subject site via the income approach by performing a traditional market rent survey of comparable land and ground lease transactions, as presented in the following table. SUMMARY OF COMPARABLE GROUND LEASES Comp. Property Name No. and Location YOC / Tenant Lease Lease Lease Base Rent of Tenant Type & Use Reno'd Occ. Name Area (AO Date Term Lease Area Improvements Expense BasisEscalations 1 Amazon N Opa-Locks Logistics warehouse U/C 100% Amazon 91.00 Acres Jun-17 WND $0.45 PSF $5.0 million (County Absolute net WND Executive Airport, NWQ & employment bond) in infrastructure of NW 135th Street & center & 855,000-SF logistics Douglas Road, Opa- warehouse Locks, FL 2 Wet 'n' Wild, 1200 W. Commercial Proposed RFP Premier Parks, LLC 64.32 Acres TBD 50-Years $0.29 PSF Vacant land & Lockhart Absolute net Commercial Blvd., Fort recreation water or 4% of gross Stadium renovation Lauderdale Executive revenue obligation Airport, Fort Lauderdale, FL 3 Opa-Locks Hialeah Flea Outdoor flea 1984 to 100% Opa-Locks Hialeah Market, 12691 NW market & outdoor 2006 & Flea Market & 42nd Ave., Opa-Locks, auto auction Proposed Miami Auto FL 33054 <+�� 4 Horne Depot, 1400 NW Big box retail Proposed 100% Home Depot 117th Place, Miami, FL 33182 72.07 Acres Jul-17 12-Years $1.55 PSF Surface parking lot, Absolute net & 1984 + 3, 5-year small buildings & fence options 9.45 Acres May-19 20-Years $3.48 PSF Ready -to -build pad Absolute net Flat + 7, 5-year 143,538-SF building options 5 WalMart, 2500 W. Big box retail 2016 100% WalMart 15.23 Acres Oct-15 20-Years $1.96 PSF Ready -to -build pad for Absolute net Flat Broward Blvd., + options 186,933-SF building + 5% every Plantation, FL 33312 option term 6 Home Depot, 5660 NW Big box retail 167th Street, Miami Gardens, FL 33014 1990 100% Home Depot 9.00 Acres Feb-16 5-Years Renewal + 2, 5-year options remaining $1.89 PSF Existing leasehold Absolute building (100,000-SF) improvements Flat + 10% every option term Subj. Melreese Golf Course Mixed -use business TBD 0% --- 131.07 Acres --- --- --- Existing, municipal golf 1802 Northwest 37th park course Ave Miami, Florida Compiled by CBRE DISCUSSION OF RENT COMPARABLES The comparable rentals produced an overall range from $0.29 to $3.48 per square foot on an absolute net basis. We note that Rentals 1 & 2 set the lower end of the range at $0.29 to $0.45 per square foot of site area due to municipal government incentives necessary to promote economic development. Rental 3 is a similar in -fill location and size in direct comparison to the subject property; and Rentals 4, 5 & 6 are superior "ready -to -build" retail pad ground leases to credit -worthy tenants. Based on the foregoing comparable rent survey presentation & analysis of the proper fair market rent for the subject property should fall well above Rentals 1 & 2; below Rentals 4, 5 & 6; and, within reason of Rental 3, at say $1.50-PSF on an absolute net basis with the following market supported lease terms & conditions for the subject property: Melreese Golf Course, Miami, Florida 2018 C BR1=, Inc 37 CBRE Income Approach MARKET RENT COMPARISON CONCLUSION Mixed -Use Business Category Park - SAP NRA (SF) 5,709,575 Percent of Total SF 100.0% Market Rent ($/SF/Yr.) $1.50 Market Rent ($/Annum) $8,565,000 Concessions Phased Buildout Time Reimbursements Absolute Net Annual Escalation Flat for base term Tenant Improvements (New Tenants) As Is Tenant Improvements (Renewals) As Is Average Lease Term 50 Years Leasing Commissions (New Tenants) 0.5% to 1.0% Compiled by CBRE RENT MULTIPLIER METHOD As a cross check to the preceding market rent comparison survey, we have also employed a rent multiplier method to determine market rent. The rent multiplier method is based on the difference or spread between the agreed upon rental rate and the overall capitalization rate used to determine prospective value of what an investor would pay for a leased fee investment to an end buyer and represents the profit expectation that a developer would require in order to secure a prime tract of land, negotiate a long term ground lease with a good quality tenant and perform earthwork & site improvements, if necessary, in order to secure the long term ground lease. An appropriate profit spread for a ground lease transaction of this type would be between 200 and 300 basis points between rent multiplier and overall capitalization rate. In order to determine a reasonable overall capitalization rate, we have presented the national investor survey for triple net lease and land lease investors: Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 38 CBRE Income Approach OVERALL CAPITALIZATION RATES Investment Type OAR Range Average RealtyRates.com - Land Leases Golf 2.97% - 16.30% 8.90% Industrial 2.59% - 10.64% 6.87% Lodging 2.99% - 15.93% 7.47% Office 2.77% - 10.64% 7.01% Restaurant 3.15% - 15.39% 8.35% Retail 2.51% - 12.01% 6.98% Self -Storage 2.81% - 10.64% 7.99% Special Purpose 3.25% - 16.10% 8.75% All Properties 2.47% - 16.30% 7.62% PwC Real Estate Investor Survey National Net Lease Market 5.00% - 8.50% 6.60% Indicated OAR: 2.50%-5.00% Compiled by: CBRE Based on the foregoing analysis and presentation, the subject property has the potential to be leased to a third party for surface parking lot use. The corresponding capitalization range for a long term prospective land lease investment in the built-up, and strategic Miami International Airport submarket would be 2.50% to 3.50%. Hence, a 2.50% to 3.50% overall capitalization rate expectation plus 250 basis point spread for profit expectation would produce a rent multiplier range of 0.050 to 0.055. The following tables present the rent multiplier method conclusions for subject proposed access easement parcels: RENT MULTIPLIER METHOD Rent Multiplier Land Value As Is Potential Rent 0.050 x $160,000,000 = $8,000,000 0.055 x $160,000,000 = $8,800,000 Indicated Value As If Vacant: $8,400,000 (Rounded $ PSF) $1.47 Compiled by CBRE RECONCILIATION OF MARKET RENT COMPARABLES & RENT MULTIPLIER METHOD INCOME APPROACH VALUES As Is on May 8, 2018 Rent Multiplier Method Market Rent Comparison $8,400,000 $8,565,000 Reconciled Fair Market Rent $8,500,000 Compiled by CBRE Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 39 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, nor 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 or 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. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 40 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. 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 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. 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. 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. 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 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. 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. Melreese Golf Course, Miami, Florida 212 2018 C BRr, Inc 41 CBRE Assumptions and Limiting Conditions 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. Melreese Golf Course, Miami, Florida 212 2018 C 8Rr, Inc 42 CBRE Addenda ADDENDA © 2018 CBRE, Inc. Addenda Addendum A LAND SALE DATA SHEETS © 2018 CBRE, Inc. Sale Land - Mixed -Use No. 1 Property Name Address Government Tax Agency Govt./Tax ID Miami International Centre 3550 NW 21 st Street Miami, FL 33142 United States Miami -Dade 30-3128-022-0180 (multiple) Site/Government Regulations Land Area Net Land Area Gross Acres Square feet 20.890 909,968 20.890 909,968 Site Development Status Shape Topography Utilities N/A Rectangular Generally Level All Available Maximum FAR Min Land to Bldg Ratio Maximum Density N/A N/A N/A Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street N/A NW 21 st Street N/A NW 37th Avenue N/A NW 22nd Street N/A Tamiami Canal General Plan Specific Plan Zoning Entitlement Status N/A N/A IU-1 & IU-2, Industrial (see comments) None ` « r. ews�f !41P Recorded Buyer True Buyer Recorded Seller True Seller Interest Transferred Current Use Proposed Use Listing Broker Selling Broker Doc # Interterra Investments Group, LLC &Intermarine Investments, LLC Jorge Bernstein MMM Northwest 37, LLC David Sherwood N/A Boat manufactruing TBD N/A N/A 29731/4299 & 29731/4304 Transaction Summary plus Five -Year CBRE View History Transaction Date Transaction Type Buyer Seller Marketing Time Buyer Type Seller Type Primary Verification N/A International Buyer End User Thomas Byrne, EWM Commercial Type Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Sale 8/1/2015 $35,500,000 All Cash $35,500,000 $0 $35,500,000 Price Price/ac and /sf 08/2015 Sale 06/2011 Sale Interterra Investments Group, LLC &Intermarine Investments, LLC MMM Northwest 37, LLC Bertram Yacht, Inc.& Italvest Holdings, Inc. MMM Northwest 37, LLC $35,500,000 $1,699,378 / $39.01 $17,000,000 $813,787 / $18.68 © 2018 CBRE, Inc. CBRE Sale Land - Mixed -Use No. 1 Units of Comparison $39.01 / sf $1,699,377.69 / ac N/A / Unit N/A / Allowable Bldg. Units N/A / Building Area Financial No information recorded NW21stSt Google This riverFront land sale represents the sale of 20.89 waterfront acres located at the northeast quadrant of NW 37th Avenue and the Tamiami Canal in Miami, FL. At the time of sale it was a luxury yacht manufacturing facility with a mixed -use redevelopment land use. According to public records and seller verification, the existing buildings total 350,000-SF, but only 215,000-SF has covered or enclosed roof area, of which 26,000-SF is office space occupied previously by Betram Yacht & Allied Marine, subsidiaries of Ferretti Yacht Group of Italy as a result of a prior sale/leaseback transaction in June 2011 Map data ©2018 Google for $1 7,000,000. However, Betram vacated the majority of the manufactuing space in 2012, while the office space was retained for about 5 years thereafter. It is important to note, in late 2013, this site was rezoned from industrial to the newly created Palmer Lake Metropolitan Urban Center District (PLMUC), which allows all types of industrial uses, mixed -use development, retail, hotel, motels, and even residential development in certain sub -districts. According to the Palmer Lake Charrette Area Plan of Miami -Dade County, the redevelopment of the Bertram property has excellent potential to transform into a mixed -use, pedestrian -oriented district that compliments the nearby MIC and joint development area as well as the rest of Palmer Lake. Based on the property location and age of the improvements, this current transaction is essentially a redevelopment play acquired by an Argentinian based architect & developer who resides on Fisher Island. The buyer was attracted to the site because of its proximity to Miami International Airport, the river and the Miami Intermodal Center, where multiple public transit systems converge. Several redevelopment concepts include offices, hotels, senior living and retail/enterainment uses focused on the riverfront, while maintaining interim use income from an upgraded marina. © 2018 CBRE, Inc. CBRE Sale Land - Mixed -Use No. 2 Property Name Address Government Tax Agency Govt./Tax ID White Course 4400 NW 87th Avenue Doral, FL 33166 United States Miami -Dade 35-3022-002-0010; 35-3022-000-0110 & 35-3022-000- 0011 Site/Government Regulations Land Area Net Land Area Gross Acres 130.100 130.100 Square feet 5,667,156 5,667,156 Site Development Status Shape Topography Utilities Semi -Finished Other(See Comments) Rolling Available to site Maximum FAR Min Land to Bldg Ratio Maximum Density N/A N/A 16.98 per ac Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street N/A NW 41 st Street N/A NW 87th Ave N/A NW 79th Ave General Plan Specific Plan Zoning Entitlement Status Sale Summary Recorded Buyer True Buyer Recorded Seller True Seller Interest Transferred Current Use Proposed Use Listing Broker Selling Broker Doc # Downtown Mixed -Use Mixed -use retail, office, residential & civic DMU, Downtown Mixed -Use N/A White Course Lennar LLC, CC Homes at Doral, LLC & CC-WCD TIC Lennar Corp, Armando Codina & Jim Carr GWC Miami Property, LLC Singapore Sovereign Wealth Fund Fee Simple/Freehold Golf course Mixed -use retail/office & residential CBRE, Inc. N/A 30053/1186,1170 & 1154 Transaction Summary plus Five -Year CBRE View History Transaction Date Transaction Type Buyer Seller Marketing Time Buyer Type Seller Type Primary Verification 9 Month(s) Developer Pension Fund Robert Given, Listing Broker Type Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Sale 4/25/2016 $96,000,100 Cash to Seller $96,000,100 $0 $96,000,100 Price Price/ac and /sf 04/2016 Sale White Course Lennar GWC Miami Property, LLC, CC Homes at Doral, LLC LLC & CC-WCD TIC $96,000,100 $737,895 / $16.94 © 2018 CBRE, Inc. CBRE Sale Land - Mixed -Use No. 2 Units of Comparison $16.94 / sf $737,894.70 / ac $43,459 / Unit $43,459 / Allowable Bldg. Units N/A / Building Area Financial No information recorded This comparable land sale is the Doral White Course located at the northeast quadrant of NW 41 st Street and NW 87th Avenue in the City of Doral, Florida. The buyers represent two local, and very seasoned developers including Stuart Miller with Lennar Corp.; and Armando Codina & Jim Carr with CC Homes. The two developers were the winning bidders and marks one of the most expensive land deals in Miami - Dade history. The seller is GWC Miami Property LLC, an affiliate of GIC, the sovereign fund of the government of Singapore. GIC acquired the property through bankruptcy actions. The transaction was recorded in a three way transaction with White Course Lennar LLC; CC Homes at Doral; and, CC-WCD TIC purchasing three parcels for $27.5 million; $27.6 million; and, $40.9 million, respectively. Lennar and CC Homes have a pending development application with the City of Doral for Downtown Doral South. The site plan calls for for 2,209 residential units, 150,000 square feet of office space, 30,000 square feet of retail, seven acres for a civic and school uses, and 17.6-acres for an amphitheater/public recreation area. The development will also feature linear greenways and a promenade that connects to the new public space/amphitheater. As planned, 7 acres will be set aside for civic use to be determined by the city, as well as a school for grades 6-12 that will complement the K-5 charter school at Downtown Doral. Codina and Lennar were the winning bidders and beat out developer & presidential hopeful Donald Trump, Shoma Group's Masoud Shojaee and other well known developers in the process. Bids were due on July 15, 2014 and contracts were executed in April 2015 with 12 months of escrow & due diligence. The property's zoning parameters were set forth in a master development agreement between the property's predecessor owner, MSR Resort Hotel, in 2012. The agreement has been in place for 20 years, and development must begin within 10 years. The agreement was part of a court settlement between the former owner and the city. The prior owner/hotel company filed Chapter 11 during the recession. The White Course was then deeded to GWC Miami Property, controlled by the government of Singapore, as a creditor in the bankruptcy case. The site is a rolling golf course topography with substantial water hazards. © 2018 CBRE, Inc. CBRE Sale Land - Industrial No. 3 Property Name Address Opa-Locka Hialeah Flea Market 12691 & 12705 NW 42nd Avenue 12700 NW 42nd Avenue Opa-Locka, FL 33054 United States Government Tax Agency Miami -Dade Govt./Tax ID 08-2128-000-0050, 08-2129-000-0032 & 0064 Site/Government Regulations Land Area Net Land Area Gross Acres Square feet 72.073 3,139,512 72.073 3,139,512 Site Development Status Finished Shape Other(See Comments) Topography Level, At Street Grade Utilities Available to site Maximum FAR N/A Min Land to Bldg Ratio N/A Maximum Density N/A Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street N/A NW 42nd Ave N/A Gratigny Parkway N/A LeJeune-Douglas Connector General Plan Interim hold & future redevelopment Specific Plan Interim hold & future redevelopment Zoning B-3, Commercial Intensive & Corridor Mixed -Use Entitlement Status N/A Sale Summary Recorded Buyer GPT NW 42nd Avenue Owner, LLC Marketing Time 12 Month(s) True Buyer Gramercy Property Trust Buyer Type REIT Recorded Seller Bodwin Ltd. & SeaBase Florida Corp. Seller Type Private Investor True Seller Shangli Huang Primary Verification Michael Fay, Listing Broker, Media Releases & 10-Q Interest Transferred Leased Fee Current Use Flea market & auto auction Proposed Use TBD Listing Broker Avison Young #305-447-7842 Selling Broker N/A Doc # 30625/3802, 3808 & 3815 Type Sale Date 7/20/2017 Sale Price $80,000,000 Financing All Cash Cash Equivalent $80,000,000 Capital Adjustment $0 Adjusted Price $80,000,000 Transaction Summary plus Five -Year CBRE View History Transaction Date Transaction Type Buyer Seller Price Price/ac and /sf 07/2017 Sale GPT NW 42nd Avenue Bodwin Ltd. & SeaBase $80,000,000 $1,109,981 / $25.48 Owner, LLC Florida Corp. 202018 C8RE lnc CBRE Sale Land - Industrial No. 3 Units of Comparison $25.48 / sf $1,109,981.09 /ac N/A / Unit N/A / Allowable Bldg. Units N/A / Building Area Financial Revenue Type Period Ending Source Price Potential Gross Income Economic Occupancy Economic Loss Effective Gross Income Expenses Net Operating Income NOI / sf NOI / Unit EGIM OER Net Initial Yield/Cap. Rate Pro Forma Stabilized N/A N/A $80,000,000 N/A N/A N/A N/A N/A $4,880,000 N/A N/A N/A N/A 6.10% Map data 02018 Goog le This comparable land sale comprises a clustering of three (3), non-contiguous parcels including the 33.78-acre Opa-Locka Hialeah Flea Market site, the 28.31 -acre Miami Auto Auction site, and a 9.98- acre ancilliary support site. According to the broker, the seller previously acquired & assembled the three parcels between 1984 & 1990 for $11.3 million and was the operator of the flea market, while collecting rent from the Miami Auto Auction. The buyer is a publicly traded REIT that negotiated a post closing, 12- year lease with three, 5-year renewal options with RER Outdoor Marketplace LLC whose principals include Chris Kallivokas, Rodney Barreto Brian May and the selling broker, Michael Fay. The new tenant operator group of the flea market has plans to renovate the parking lot areas, restroom and canopy improvements. The buyer was interested in this property based on the existing below market Miami Auto Auction lease rate and the new flea market operator lease produces a 6.10% cap rate, while providing a defensive downside protection strategy based on the in -fill location, land value with a higher density, mixed -use zoning designation and re-leasability for tractor trailer parking or other open yard & parking uses. © 2018 CBRE, Inc. CBRE Sale Land - Retail/Commercial No. 4 Property Name Address Government Tax Agency Govt./Tax ID Shops at Beacon Lakes 11700 NW 20th Street Miami, FL 33182 United States Miami -Dade 30-3936-000-0120 Site/Government Regulations Land Area Net Land Area Gross 35.850 35.850 Acres Square feet 1,561,626 1,561,626 Site Development Status Shape Topography Utilities Other(See Comments) Irregular Other(See Comments) Available to site Maximum FAR Min Land to Bldg Ratio Maximum Density 0.27 3.75:1 N/A Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street 2,600 ft Florida Turnpike N/A NW 117th PLace N/A NW 20th Street N/A NW 22nd Street General Plan Specific Plan Zoning Entitlement Status Retail shopping center Shops at Beacon Lakes BU-3 - Liberal Business District & GU - Interim District Master/Specific Plan Recorded Buyer True Buyer Recorded Seller True Seller Interest Transferred Current Use Proposed Use Listing Broker Selling Broker Doc # S/VIB Beacon Lakes, LLC Stiles Corporation AMB Codina Beacon Lakes LLC Prologis Fee Simple/Freehold Vacant Land Retail Shopping Center N/A N/A 30937/1742 Marketing Time Buyer Type Seller Type Primary Verification N/A Developer REIT Contract & Buyer Type Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Sale 11/15/2017 $44,845,264 Cash to Seller $44,845,264 $0 $45,445,264 Transaction Summary plus Five -Year CBRE View History Transaction Date Transaction Type Buyer Seller Price Price/ac and /sf 11/2017 Sale S/VIB Beacon Lakes, LLC AMB Codina Beacon Lakes LLC $44,845,264 $1,267,650 / $29.10 © 2018 CBRE, Inc. CBRE Sale Land - Retail/Commercial No. 4 Units of Comparison $29.10 /sf $1,267,650.32 / ac N/A / Unit N/A / Allowable Bldg. Units $109.13 / Building Area Financial No information recorded Google Map data 02018 Google This comparable land sale is a 35.85-acre site located at the northwest quadrant of the Florida Turnpike Extension and State Road 836 in unincorporated Miami -Dade County, Florida. It is part of a master - planned development known as Beacon Lakes that is currently being developed by Prologis as a Development of Regional Impact (DRI) and with the creation of the Beacon Lakes CDD. The Beacon Lakes master plan comprises 478-acres +/- including 4.6 million square feet of Class A distribution warehouse & business park space with the portion fronting the Florida Turnpike dedicated to commercial retail uses. The buyer/developer secured the contract in March 201 7 at $45,000,000 subject to site plan approvals and the seller/master developer delivering a clear & level buildable site with all supporting infrastructure as per the Beacon Lakes CDD. However, there were numerous amendments to the contract including a slight price change to $44,845,265 due to site measurements plus $600,000 for two (2) contract closing date extensions, road impact credits, a seller obligation to remove contruction & demolition debris and deliver a 7.0' site elevation. The seller's off -site infrastructure obligations included proposed NW 1 1 7th Place improvements, a 1 .02-acre retention lake, a pump station. The buyer essentially received a 35.85-acre buildable site within three (3) parcels with a total of 430,000-SF of commercial retail entitlements allocated from the Beacon Lakes DRI. The buyer/develoepr site plan includes a 9.44-acre ground lease to Home Depot, a 3.11-acre ground lease to City Furniture, two outparcel sites, two pad sites approved for 13,500 rentable square feet and three buildings that will total 159,341 square feet with ground breaking to occur immediately after closing. © 2018 CBRE, Inc. CBRE Sale Land - Mixed -Use No. 5 Property Name Address Government Tax Agency Govt./Tax ID T2.0 7777 NW 41 st Street Doral, FL 33166 United States Miami -Dade 35-3022-000-0101 & 0090 Site/Government Regulations Land Area Net Land Area Gross Site Development Status Shape Topography Utilities Maximum FAR Min Land to Bldg Ratio Maximum Density Frontage Distance/Street Frontage Distance/Street Frontage Distance/Street General Plan Specific Plan Zoning Entitlement Status 23.702 23.702 Finished Rectangular Level, At Street Grade Available to site 0.49 2.05:1 N/A Acres Square feet 1,032,436 1,032,436 900 ft Palmetto Expressway N/A NW 41 st Street N/A NW 79th Ave Mixed -use business park BTS office, logistical warehouse & retail/wholesale I, Industrial District N/A Recorded Buyer True Buyer Recorded Seller True Seller Interest Transferred Current Use Proposed Use Listing Broker Selling Broker Doc # 7777 Investment, LLC David Martin, Terra Group & Stephen Bittel, Terranova Corp. Bottling Group, LLC PepsiCo., Inc. Leased Fee PepsiCo bottling plant Mixed -use business park NAI Global N/A 30813/3815 Marketing Time Buyer Type Seller Type 6 Month(s) Developer End User Primary Verification Jay Olshonsky, Listing Broker Type Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Sale 12/26/2017 $40,268,000 Cash to Seller $40,268,000 $0 $40,268,000 Transaction Summary plus Five -Year CBRE View History Transaction Date Transaction Type Buyer Seller Price Price/ac and /sf 12/2017 Sale 7777 Investment, LLC Bottling Group, LLC $40,268,000 $1,698,964 / $39.00 © 2018 CBRE, Inc. CBRE Sale Land - Mixed -Use No. 5 Units of Comparison $39.00 / sf $1,698,964.20 / ac N/A / Unit N/A / Allowable Bldg. Units $79.80 / Building Area Financial No information recorded 0 rr Map data 02C 1 B. Gc ogle This comparable land sale is a short term sale/leaseback of a vintage 1964 bottling plant acquired by two, local & prominent residential & retail developers. The sale transaction was facilitated with a $37.5 million loan in favor of Palmetto Finance & Investment, LLC. The site is zoned for industrial, but is located in a transitional sub-submarket of Doral that is shifting more towards high density multi -family, hotel, corporate office & retail uses. The buyer/developers have engaged Cushman & Wakefield to market the site as a build -to -suit opportunity for 87,000 to 700,000 square foot end users. © 2018 CBRE, Inc. CBRE Sale Land - Industrial No. 6 Property Name Address Government Tax Agency Govt./Tax ID Aljoma Lumber 10300 NW 121 st Way Medley, FL 33178 United States Miami -Dade 22-2032-004-0301 Site/Government Regulations Land Area Net Land Area Gross 35.147 35.147 Acres Square feet 1,531,000 1,531,000 Site Development Status Shape Topography Utilities Finished Rectangular Level, At Street Grade Available to site Maximum FAR Min Land to Bldg Ratio Maximum Density 0.42 2.36:1 N/A Frontage Distance/Street Frontage Distance/Street N/A NW South River Drive N/A NW 121 st Way General Plan Specific Plan Zoning Entitlement Status Sale Summary Recorded Buyer True Buyer Recorded Seller True Seller Interest Transferred Current Use Proposed Use Listing Broker Selling Broker Doc # Future bulk distribution business park redevelopment TBD M-3, Intense Manufacturing & Industrial District N/A Duke Realty LP Duke Realty LP UFP Real Estate, Inc. Michael Cole, Universal Forest Products, Inc. Leased Fee Lumber yard Mixed -use business park Colliers International South Florida #954-652 -4600 N/A 30815/4749 Marketing Time Buyer Type Seller Type Primary Verification N/A REIT End User Steve Wasserman, Listing Broker Type Date Sale Price Financing Cash Equivalent Capital Adjustment Adjusted Price Sale 1/18/2018 $35,700,000 All Cash $35,700,000 $0 $35,700,000 Transaction Summary plus Five -Year CBRE View History Transaction Date Transaction Type Buyer Seller 01/2018 Sale Duke Realty LP UFP Real Estate, Inc. Price $35,700,000 Price/ac and /sf $1,015,737 / $23.32 © 2018 CBRE, Inc. CBRE Sale Land - Industrial No. 6 Units of Comparison $23.32 / sf $1,015,736.81 /ac N/A / Unit N/A / Allowable Bldg. Units $54.92 / Building Area Financial No information recorded Google NW 17.2nd Si Map data 02018 Gale This comparable land sale is a sale/leaseback and monetization of a lumber storage & distribution yard for a national, NASDAQ listed company. The buyer has preliminary plans to build 650,000-SF of bulk distribution warehouse. The seller is repositioning into two other facilities recently acquired from Robbins Manufacturing in 2017 and will add another purpose built, state-of-the-art facility going forward in order to improve logistics & operational efficienies necessary to service the entire Florida and southeast region including Puetro Rico and the Caribbean. © 2018 CBRE, Inc. CBRE Addenda Addendum B LEGAL DESCRIPTION © 2018 CBRE, Inc. 53 GRAPHIC SCALE .ff.). SEE DETAIL B EL mtim yymE00- QUM LIFE SERE GED 24-53-41 TH LIFE tem, 'vs LIMITED ACCESS EXPRESSWAY 0013717, mcmd POS PARCEL 1 DETAIL B-B NOT TO SCALE BOUNDARY SURVEY SEE DETAIL A -A TAMAM CANAL _ N.W. 14th STREET. ,VV.ZUVW.,MV" EDGE OF WETER DETAIL A -A :=4 HOT TO SCALE 29. POD -26-6.004 LAST DAV FIELD WORK 05/05/05 SIGNED 05/24/05 FIELD BOON: 553, PC1.9-13 0 RG.18-22 Gc \EISA \CITY 0r MIAMI6S004601.3 01, `Fj.S1 CR APELAND PARK (NOT A PARK) N.W. 19th TE LOCATION MAP /CY 10 SCALE z, 4/ yEm.E_mff_— - NT, E1K.WW5717° EKSONLEKEE_- NW 11 BY 7 7 SLONE WESGNESTIOW: 6 ST oNE Nw 14TH ST MEL REESE GO, COURSE CIKOAL DESCRIPTION, PARCEL 1 AND PARCEI11 NVC 2814 RAW_ AA1 CH_ 'LEELLERRE_— t, „ NW II001 NWL NMI PAM OF NE soloorwor WA or SECIION 20, TOWNSHIP 53 WYK RANGE M CAST [MOE COUNTY, FLORIDA, t `MG SOUTH OF THE TERME CANAL, LESS THE EA.ST 35 FEE( THEREOF AND LESS THE FOLLOWING DESCRIBED PARCEL: • 17t1s ST. COWMEN. AT THE SOUR.. CORNER 07 SOO SOUTHEAST 1/71 THENCE RON ALONO IHE SOMH LINE OF SAM SOUTHEAST I/ 4 S3712411BEY. FOR 35.00 FEET TO THE POINT OF BEGINNING: (HENCE CONEY/MY S8 /1.24WW FOR 29.78 FEET 10 A POINT ON A CURVE SAID POINT BEARS 54,4 4 N85:2910311 FROM THE CENTER AND IS ALSO THE WESTERLY RIGHT OF WAY LANE OF NW :IF mE 3770 AVE AS SHOWN ON CITY OF MARI MUNICIPAL All, SNIT 170 wpcor At ONG SAID CURVE CONCAVE TO THE EAST HAVING A RADIUS OE 1463E0 FEET, A CENTRAL ANGLE 4100012. FOR AN ARC DISTANCE OF 102.46 FEET TO A POINT OF 1AN0ENCY, FENCE R. BOKSER, 6212:173WE FOR 13 FEET IMRE oR ERNE To 1HE TOP OF BANN OF TARIM CANAL FHENGF F.1 ALONG THE TOP OF BANK OF TAMMMI CAN, TO ITS INTERSECTION WITH A LINE 35 FEET WEST /MD PARALLEL 1HE EAST LINE OF MID sarr.651 1/4: MENGE SOUTHERLY ALONG SAID LINE TO THE POINT OF BEGINNING CONTAINING 3.7236 ACRES MORE OR LESS. /TEL:PI' PARCEL 2 A, THAT LANE I VNG IN THE NORTHFEAST 1,04 or sFosoN 32, TOWNSHIP 53 SOUTH, RANGE 41 EAST. DADE COUNTY, FLORIO, MORE PARTICULAR, DESCRIBED AS FOLLOWS. COMMENCE AT THE SOMHWEST CORNER OF THE NORNEAST OF SAID SECIION THENCE NO6133310 AI ONG THE WEST LINE OF SAM NE 1/4. FoR 45.00 FERE THENCE PASTER, AI ONG A LINE PARALLEL WITH AND 95 FELT NOPTII OF THE SOUTH LINE OF SAM NE 1/4 NSMDMISTE FOR 85000 FEET TO THE POINT OF BEGINNING OF THE PARCEL TO Br DESCFMED, THENCE N N00.531700 ALONG THE RIGHT OF WAY OF THE LIMITED ACOESS TO If VERNE ROAD (PM 427t1 AVENUE) FMR 59.96 FEET: THENCE RON ALONG SAID R/6 N65136.586 Fos 562E3 FLO TO A POINT ON A CURVE, SAID POINT BEARS N451.2EDRE FROM ITS CENTER; NENCE NORTHWESTERLY ALONG SAID CIRCULAR CURVE CONCAVE TO DIE NORMA'S] HAVING A RADIUS OF 470 FEM, A CENTRAL ANGLE OF 9-1110.5r FOR AN ARC DISTANCE OF 337.81 FEET; THENCE RUN ALONG soo R/vi No2E10676 FOR 62E91 FEE, THENcE Norm WILMER, £.1.0. SAM R/W 40810057E3FOR .3.67 FEET TO ITS INTERSECTION W0H A LINE PARALLEL ID AND 50 FEET FAST OF RIE 8E177 I INC OF SAID NC I/O, EIENCE RUN M ONO THE FASTERI R1GFIT OF WAY LAE or LE JsuNE ROAD OMR 420,1 AVENUL) NO0'5371.71 FOR 1071 06 FEET TO ITS INTLRSITIMN WITH THE NORTH Mr OF MID NE 1E4 OF SECTION 32; THENCE RUN ALONO SAE NORTH EINE 037:2667E coR 2561 wel . INTERsconON W. INF WESTERLY R0,/7 OF WAY LINE OF NW 370 AVENUE AS SHOWN ON SHEET 270 OF THE MUNICIPAL A1,S OF MIL CRY OF MIAMI. SAM POINT OF INTERSECIMN BUNG ON A CIRCULAR CURVE CONCAVE 110 THE EAST AND BEARS NW 29E3T TO THE CENTER OF SAID CURVE, THENCE SOMBERLY ALONG SAM CURVE HAVING A RAMCM OF 119E3 40 FEET, A CENTRAL ANGLE OF 00.1e4e FOR AN ARC DETANCE OF FEET: MIENCE ALONG SAID RMY, TANGENT TO !AM DE SCRIEILD CURVE S005215 ME roR 246 81 FEET TO A POINT OF CURVATURE OF A MR(1111 AR CURVE CONCAVE TO hIE UST; THENCE SOUTH ALONG MID RfW AND CURVE HAVNG A RADIUS OF 280E79 MET, A cENTRA ANGIE oF 4168037 FOR AN ARC DISTANCE OF 240 77 FEET TO A POINT OF FANGENCE THENCE R. ALONG SAID IT/W S6,1 0 17 OR 117 EV FEET TO A cuRvATFRF or A ctRochAR 70E, CONCAVE TO IN7 WEST; THENCE ALONG SAID NEW AND CURVE HAVING A RAMS OF 28E4E9 FEET, A CENTRAL ANGLE OF M48 sr FOR AN ARC DISTANCE OF 2.0.10 FEET TO A POINT OF TANGENCY. SAID POINI BEING 35 FEET WE SF OF INT tASE UNE OP .0 NE /4, (HENCE RON ALONG R/70 S057E7E FOR 515 07 FEE! ITS INTERSECEON WITH A LINE 30 FEET SODDY OF AND PARALLEL (0 RE NORM LINE 01 NIL SOUIHEAS1 1/4 01 IHL NOR 111fAfT I/4 oF swo ssecoN DE MENGE SBT4C27, ALONG SAID PARAI FL EINE FOR 700.00 FEET TO A POINT 735 FELT WEST OF THE CAST LINE OF SAID ND IR, THENCr SE:7,57, PARAMEL 70 SAID FAST I1NE FOR 106E42 FEM. THENCE WESTERLY ALONG A UNE PARALLEL WITH MM 256 00 FEET NOMH OF THE SOMH pm or MO NE I/O 6560616116 Focc wow 17, THENCE S0057EME FOR 213.00 FEET, THENCE WESTERLY ALONG A LINE PARALLEL WITH MO 45 FEE: NOM, OF NE SOUTH LINE or ono NE 1/4 S88061868 FOR 1735 71 FEET MORE OR IESS TO THE POINT OF BEGINNING CONTAINING 131 OVED 1E71 ACRES M1.10RE LYS, 1) SURVEY TESE. UouNDANy 2) HARE Or BEBNINOS. WARING AKE °ASCE, 0N THE SIONUNIENI NNE 01 NW 37 AVS. (601132ION)6) COUND MONUIENIED BETWEEN NW 1 4th SRO, & 1 /th STREM. ESDREAMA ROM; ACINIOWAsioNO 3) FLOOD ZONE: AE(8) PER FIR, COMMUNITY NUMBER: 1 20650 PANEL: 0180 SUFFIX: J DATE 3/02/94 PAP Nu08E7: 12026(0080J COW: CONCRETE LLEV ELEVATION F ND FOUND MEAS. MEASURED LEIRENIN •0030308 -- OHM— OVERHEAD %WS NAIL CATCH BASIN EQ, FONEF rotz OVOQU) EOP EDGE OF PAVEMEN1 ,AA CHAIN imv FENc7 RANI FARY SEMM NANNME NO. NUMBER , OREM. MANHOLE, RFC 40 THIS SURVEY IS S/J8JECI 10 *000 005, REED -OF -WAYS, SWAM< SIDEWALK NMVE AND OIHEN MAI FERE WHICH MIGH1 RHLECI EM IN A SEARCH OF MEE TO THE SURIES1 LANDS. FOP FOSE OF PA VFMENT ELEVAMONS SHOWN REFER TO MY OF MIAMI DATUM NM DAY) BENCE PARK usro. PK NAII AND BRASS DISC AT THE NE CORNER OF A CONC. SIDEWALK AT THE INTERsEcilam 10, 37 AVE & NW 16 TERRA. ELEVATION- 6/18 FEET (Now BAr) I HEREBY CFR IF, CONEERSION EA(TOR TO NATIONAL GEODEB(VERNON, DATuKA RRE RM.. 4$ -MEE (FAIN) RECORD , FERE VALVE WAT4R MUM NATIONAL CEODEEC VER tICAL DATUM A— RE'' Ef WARY, vac vE • MONUMENT (D FFEEPRONE NANNow 30*30 (NOVOES29) EQUALS -0.25 FEET E81EATI0NA6-385(NEVII) THAT ow BY NE IVORIDAHETATBEoumAwIeCASET LAND SURVEYORS PURSUANT TO CHARIER 472 027 f'OCco,Of PA120C,EL 1 6) MONUMENT NNE AND SENTERIINE AS PEN MUNICIPAL ATTAR FlorODA STARITES AND CHARTER wow oF INF ww/106 20ENI5TRA50E cm. Cr, OMIAMI. EWEN (27.0 /9. OF SEO29 f Am,. RANG, , THILSURVYY IS AN UPDATE O_E A SURVEY PM7FORMED ON 053 /,,/ , WE LOOM E. THE FIRM. OF WATER FOR THIS UPDATE 8) REFERENCES MADE TO EASEMENT PREPARED SY FHE COY OF ,0i027cIELATT,05oNEEE OFFICE DATED AUGUST ME 2002 FERNANDO T GARR P TE NOT YARD WISIG THOUT NE NANRE AND THE ORIGINAI RAISED SCERTIFICANE 2021 EAL STATE OF FLORIDA F P No. 2502341 OF A FLORIDA LICENSED SURVEYOR AND RAPPER REMSIONS SY 2 0 0 0 11. DATE 05/26/05 SCALE MEISE MB S004- W013 SHEET 1 OF 1 SHEETS Addenda Addendum C CLIENT CONTRACT INFORMATION © 2018 CBRE, Inc. 3/16/2018 City of Miami REVISED REQUEST FOR APPRAISAL QUOTE You are invited to submit a quote to prepare an appraisal report based on the Appraisal Assignment attached herewith as Exhibit "A". Please complete the information requested at the bottom of this page. The quote and below information must be received by the Department of Real Estate and Asset Management by 2:00p.m., Wednesday, March 21, 2018. You may submit your proposal via email to: Jacqueline Lorenzo Project Management Specialist Department of Real Estate and Asset Management City of Miami 444 SW 2 Avenues, 3rd Floor Miami, FL 33130 (305) 416-1426 jlorenzomiamigov.com ADDRESS FOLIO JOB No. 1400 NW 37 AVE 01-3132-000-0080 1550 NW 37 AVE* 01-3132-000-0090 A-03-18-007 *see survey attached hereto Comprehensive total fee to perform appraisal/s: Hourly fee in the event expert testimony is required: Appraisal Company: Telephone/Extension: By: Stuart Sign: Lieberman, MAI CBRE, Inc. $ 150.00 305-381-6472 Date: 3-18-2018 NOTE: When sending a quote, your company must comply with the completion due date. If selected, your company must provide a Certificate of Insurance in the manner prescribed in Exhibit "B" below. Page 1 of 5 © 2018 CBRE, Inc. 3/16/2018 City of Miami Job Number: Fiscal Year: Location: Folio No.: Lot Size: Improvements: Purpose of Appraisal: Property Rights Appraised: Current Zoning: Type of Appraisal: Time to Complete: Number of bound copies: City Contact Person: Resolution Reference: Date of the Valuation: Fee: EXHIBIT "A" APPRAISAL ASSIGNMENT A-03-18-007 2017-2018 1400 NW 37 AVE, & portion of 1550 NW 37 AVE (see survey) 01-3132-000-0080 & 01-3132-000-0090 Approximately 131 Acres (see survey) N/A (see purpose below) To determine Fair Market Value and Rental Value at highest and best use. Please note the City's purpose is to determine the value to lease a vacant portion of the property to a third party. As such, we are requesting the value be provided on a per square foot basis. Fee Simple, subject to existing restrictions CS Civic Space Zone (under Miami 21 Zoning Code). Narrative Self Contained Report Four (4) weeks from authorization. Four, (signed and certified). Jacqueline Lorenzo, Property Management Specialist T: (305) 416-1426 E-mail: jlorenzo�a,miamigov.com None. Date of the appraisal report. Full payment upon completion of the assignment, subject to revisions by the City of Miami and any other review appraiser should there be any discrepancies in the appraisal reports. THE APPRAISAL REPORT SHOULD INCLUDE THE FOLLOWING: 1. The appraisal report shall be performed in compliance with the professional services agreement with the City for appraisal services as applicable. 2. The appraisal report must consider all three approaches to value and provide an explanation to the weight given to each approach in arriving at the final reconciliation of value. In the event an Page 2 of 5 © 2018 CBRE, Inc. 3/16/2018 City of Miami approach is not used, please provide justification. Please provide evidence for not using the Cost Approach. 3. In calculating the Market Data, the appraiser should analyze and provide current local market data and submit adjustment tables of comparables. 4. If utilizing a Land Sales Comparable Table to calculate Sales Price per Square Foot, please provide line item adjustments in a matrix format for a better understanding of the Summary and Land Value Correlation conclusion. 5. Provide source and proof of capitalization rate for the income approach to value in local market versus other market when applicable. 6. Provide Market Data as if taxable property. 7. The appraisal report should be in compliance with the current Uniform Standard of Professional Appraisal Practice (USPAP) according to Section 475, Part II, of the Florida Statutes. The City of Miami reserves the right to review the appraisal report and submit its comments. The final report will be due five days after the appraisal is reviewed by City's staff. Note: All calculations must be explicit. Show all steps used to arrive at any conclusions provided. All data in this sheet must be verified by the appraiser, if any discrepancy, please call this office at 305-416-1426. Page 3 of 5 © 2018 CBRE, Inc. 3/16/2018 City of Miami EXHIBIT `B" INSURANCE REQUIREMENTS (I) Commercial General Liability (Primary & Non Contributory) A. Limits of Liability Bodily Injury and Property Damage Liability Each Occurrence $1,000,000 General Aggregate Limit $2,000,000 Products/Completed Operations $1,000,000 Personal and Advertising Injury $1,000,000 B. Endorsements Required City of Miami included as an additional insured Contingent Liability (Independent Contractors Coverage) Contractual Liability Premises & Operations Liability Primary Insurance Clause (II) Business Automobile Liability A. Limits of Liability Bodily Injury and Property Damage Liability Combined Single Limit Any Auto/Owned Autos/Scheduled Including Hired, Borrowed or Non -Owned Autos Any One Accident $ 1,000,000 B. Endorsements Required City of Miami included as an Additional Insured (III) Worker's Compensation A. Limits of Liability Statutory -State of Florida Waiver of subrogation (IV) Employer's Liability A. Limits of Liability $100,000 for bodily injury caused by an accident, each accident. $100,000 for bodily injury caused by disease, each employee $500,000 for bodily injury caused by disease, policy limit (V) Professional Liability/Error's & Omissions A. Limits of Liability Combined Single Limit Each Claim $1,000,000 General Aggregate Limit $1,000,000 Retro Date Included Page 4 of 5 © 2018 CBRE, Inc. 3/16/2018 City of Miami BINDERS ARE UNACCEPTABLE. The above policies shall provide the City of Miami with written notice of cancellation or material change from the insurer in accordance to policy provisions. Companies authorized to do business in the State of Florida, with the following qualifications, shall issue all insurance policies required above, and must meet the following requirements: The company must be rated no less than "A-" as to management, and no less than "Class V" as to Financial Strength, by the latest edition of Best's Insurance Guide, published by A.M. Best Company, Oldwick, New Jersey, or its equivalent. All policies and /or certificates of insurance are subject to review and verification by Risk Management prior to insurance approval. Certificates will indicate no modification or change in insurance shall be made without thirty (30) days written advance notice to the certificate holder. The Bidder shall be responsible for assuring that the insurance certificates required in conjunction with this Section remain in force for the duration of the contractual period; including any and all option terms that may be granted to the Bidder. In the event that expired certificates are not replaced with new or renewed certificates which cover the contractual period, the City shall have the option to: (1) Suspend the contract until such time as the new or renewed certificates are received by the City in the manner prescribed in the Request for Appraisals Quote; or (2) The City may, at its sole discretion, terminate this contract for cause and seek re -procurement damages from the Bidder in conjunction with the General and Special Terms and Conditions of the Bid. The insurance coverage required shall include those classifications, as listed in standard liability insurance manuals, which most nearly reflect the operations of the bidder. Compliance with the foregoing requirements shall not relieve the bidder of his liability and obligation under this section or under any other section of this Agreement. Page 5 of 5 © 2018 CBRE, Inc. Addenda Addendum D QUALIFICATIONS © 2018 CBRE, Inc. Stuart J. Lieberman, MAI Vice President, Florida -Caribbean Region CBRE T +13053816472 M +13053816462 Stuart.lieberman@cbre.com 777 Brickell Avenue Suite 1100 Miami, FL 33131 Clients Represented • BankUnited • Ocean Bank • Centennial Bank • C-III Asset Management • City of Miami • Miami -Dade County, Internal Services Dept. Experience Stuart J. Lieberman, MAI is a Vice president with over 30 years of real estate appraisal and consulting experience. Mr. Lieberman is in the Valuation & Advisory Services Group's Miami office in the South Florida/Caribbean Region. Since 1987, Mr. Lieberman has provided real estate valuation and consulting services to the financial lending community, institutional clients, government agencies, corporate entities, legal & accounting professionals, developers and private individuals. Mr. Lieberman has experience providing market studies, feasibility studies, highest & best use analysis, market rent studies, expert testimony & litigation support and portfolio analysis. Mr. Lieberman's experience encompasses a wide variety of property types including single & multi -family residential, senior housing, mobile home parks, high density urban & ocean front developments, open space & public parks, automobile dealerships, service stations & convenience stores, funeral homes, medical office & surgical centers, mixed -use office, financial institutions & branch banks, retail shopping centers & regional malls, parking garages, restaurants & night clubs, movie theatres, health & fitness clubs, marinas & shipping terminals, FBOs (fixed base operations), industrial flex warehouses, bulk distribution, truck terminals, refrigeration warehouses, R&D, business parks, self -storage facilities; and, special purpose properties, including bowling alleys, broadcasting facilities, car wash, historical properties, public & private schools, day care facilities, houses of worship & religious facilities, tourist attractions, sport arenas and entertainment venues & theatres. Professional Affiliations / Accreditations • Appraisal Institute — Designated Member No. 12003 • Certified General Real Estate Appraiser, State of Florida License RZ 1074 • Licensed Real Estate Broker — Associate, State of Florida License BK 0477878 Education • University of South Florida, Tampa, FL, BA, Political Science — 1985 • Appraisal Institute, American Institute of Real Estate Appraisers, Society of Real Estate Appraisers and Florida Real Estate Commission core courses, electives and seminars. 2018 CBRE, !nc. RICK SCOTT, GOVERNOR KEN LAWSON, SECRETARY STATE OF FLORIDA DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION FLORIDA REAL ESTATE APPRAISAL BD RZ1074 The CERTIFIED GENERAL APPRAISER Named below IS CERTIFIED Under the provisions of Chapter 475 FS. Expiration date: NOV 30, 2018 LIEBERMAN, STUART JAY 777 BRICKELLAVE STE 910 MIAMI FL 33131 ISSUED: O8/28/2016 DISPLAY AS REQUIRED BY LAW SEQ # L1608280006452 James E. Agner, MAI, AI-GRS Senior Managing Director, Florida -Caribbean Region CBRE 0 T + 1 305 381 6480 james.agner@cbre.com www.cbre.com/James.Agner 777 Brickell Ave., Suite 1100 Miami, FL 33131 Clients Represented • LNR Partners • Bank of America Merrill Lynch • SunTrust Bank • PNC Bank • Mercantil • Popular Community Bank • 5/3 Bank • Iberia Bank • Santander Bank • Regions Bank • TD Bank • Bank United • BB&T Bank • CitiBank • Deutsche Bank • Ocean Bank • Centennial Bank • Bank of the Ozark • First Bank Florida Experience James Agner is the Senior Managing Director of the Valuation & Advisory Services for the Florida - Caribbean Region. Located in the CBRE Miami office since 1995, Mr. Agner has over thirty 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 and Georgia. He also has provided expert witness testimony in the Circuit Courts — State of Florida and United States Bankruptcy Courts. As Senior Managing Director, Mr. Agner 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 all activities for Florida and in the Caribbean, including overseeing new business development, client relations and appraisal quality control production. Mr. Agner is also the National Director of the Golf Valuation Group and the Net Lease Valuation Group for CBRE. Professional Affiliations / Accreditations • Appraisal Institute — Designated Member (MAI), Certificate No. 7791 • Appraisal Institute — General Review Specialist (AI-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 • Certified General Real Estate Appraiser, State of Georgia, #345321 • Licensed Real Estate Broker, State of Florida, BK402088 Education • Florida State University, Tallahassee, FL Bachelors of Science in Business Administration, Marketing - 1981 212 2018 CBRE, nc. RICK SCOTT, GOVERNOR STATE OF FLORIDA KEN LAWSON, SECRETARY DEPARTMENT OF BUSINESS AND PROFESSIONAL REGULATION FLORIDA REAL ESTATE APPRAISAL BD LICENSE NUMBER RZ382 The CERTIFIED GENERALAPPRAISER Named below IS CERTIFIED Under the provisions of Chapter 475 FS. — Expiration date' NOV 30, 2018 AGNER, JAMES E 777 BRICKELLAVE SUITE 910 MIAMI FL 3313 ISSUED: 09/25/2016 DISPLAY AS REQUIRED BY LAW SEQ # L1609250003799 El CBRE VALUATION & ADVISORY SERVICES STUART J. LIEBERMAN, MAI Valuation & Advisory Services +1 305 3816472 Stuart.Lieberman@cbre.com JAMES E. AGNER, MAI Valuation & Advisory Services (305) 381-6472 James.Agner@cbre.com www.cbre.com CBRE