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HomeMy WebLinkAboutAppraisal - CRE Valuation ServicesWORK IN PROGRESS i1CREVALUATION SERVICES AN APPRAISAL OF A GROUND LEASE OF VIRGINIA KEY MARINA 3501 RICKENBACKER CAUSEWAY MIAMI, FL 33149-1021 PREPARED FOR MS. JACQUELINE LORENZO PROPERTY MANAGEMENT SPECIALIST DEPARTMENT OF REAL ESTATE & ASSET MANAGEMENT CITY OF MIAMI 444 SW 2ND AVENUE, 3RD FLOOR MIAMI, FLORIDA 33130 Date of Valuation: August 19, 2017 Date of Report: August 25, 2017 By: CRE VALUATION SERVICES 9655 SOUTH DIXIE HIGHWAY, SUITE 309 MIAMI, FL 33156 WORK IN PROGRESS August 25, 2017 Re: Ground Lease of Virginia Key Marina 3501 Rickenbacker Causeway Miami, FL 33149-1021 We have performed an appraisal on the above referenced property, the conclusions of which are set forth in the attached Narrative Report. The type of value sought in our appraisal of the subject was a retrospective market value opinion of the allocation of value of the property as of August 25, 2017subject to the general assumptions and limiting conditions cited herein. The subject property has a site area of 1,160,874 SF which includes a marine terminal and a motor yacht service yard serving as a Ground Lease of Virginia Key Marina The subject is located in southeastern Miami, FL, approximately 2.18 miles east of I-95 (Exit #1A — Rickenbacker Causeway/Key Biscayne) on the northwest of the historic Miami Marina Stadium on Virginia Key. This report is intended for use only by Ms. Jacqueline Lorenzo and or his assigns as part of a tax valuation and use by others is not intended by CRE Valuation Services. The intent of this report is conformance with the Ethical Standards of the Appraisal Institute as well as meeting with the standards of USPAP. In view of the following facts and data in conjunction with this appraisal, it is the opinion of CRE Valuation Services that the market value for the allocation of value for the property "as is" as of August 19, 2017and subject to the general assumptions and limiting conditions, was: Hypothetical Conditions and Extraordinary Assumptions — We have assumed that the property was in the manner evidenced to us by publicly available and owner supplied data in August 2017. Our firm appreciates the opportunity to have performed this appraisal assignment on your behalf. Respectfully submitted, CRE Valuation Services /\/\ Mick Stiksma, MAI, MRICS Managing Director WORK IN PROGRESS TABLE OF CONTENTS SUBJECT PROPERTY AT A GLANCE 4 SUMMARY OF SALIENT FACTS 5 ASSUMPTIONS AND LIMITING CONDITIONS 6 CERTIFICATION 10 INTRODUCTION 11 MARKET ANALYSIS 14 PRIMARY MARKET ANALYSIS 23 INDUSTRIAL MARKET ANALYSIS 24 SITE ANALYSIS 25 HIGHEST AND BEST USE ANALYSIS 30 REAL ESTATE TAX ANALYSIS 32 APPRAISAL PROCESS 33 SALES COMPARISON APPROACH 38 FINAL VALUE CONCLUSION 39 CRE Valuation Services Page 3 642530571 WORK IN PROGRESS SUBJECT PROPERTY AT A GLANCE Rusty it h " ' Sea�o6� s• siourV • =-‘ eMorrne -3501Rickenbactery Causeway Parking Aerial View Associated Marine lnsfitu at CRE Valuation Services Page 4 642530571 WORK IN PROGRESS SUMMARY OF SALIENT FACTS Property Retrospective Date of Valuation Date of Inspection Date of Report Physical Data Land Area Zoning Classification Highest and Best Use "As if Vacant" "As Improved" Ground Lease of Virginia Key Marina 3501 Rickenbacker Causeway Miami, FL 33149-1021 August 19, 2017 August 19, 2017 August 25, 2017 20.49 Acres (892,457 SF) CS Civic Space Zone — Working Waterfront Waterfront Development Waterfront Development CRE Valuation Services Page 5 642530571 WORK IN PROGRESS ASSUMPTIONS AND LIMITING CONDITIONS This appraisal report has been made with the following general assumptions: 1. Any legal description or plats reported herein are assumed to be accurate. Any sketches, surveys, plats, photographs, drawings or other exhibits are included only to assist the intended user to better understand and visualize the subject property, the environs, and the competitive data. We have made no survey of the property and assume no responsibility in connection with such matters. 2. The appraiser has not conducted any engineering or architectural surveys in connection with this appraisal assignment. Information reported pertaining to dimensions, sizes, and areas is either based on measurements taken by the appraiser or the appraiser's staff or was obtained or taken from referenced sources and is considered reliable. No responsibility is assumed for the costs of preparation or for arranging geotechnical engineering, architectural, or other types of studies, surveys, or inspections that require the expertise of a qualified professional. 3. No responsibility is assumed for matters legal in nature. Title is assumed to be good and marketable and in leased fee unless otherwise stated in the report. The property is considered to be free and clear of existing liens, easements, restrictions, and encumbrances, except as stated. 4. Unless otherwise stated herein, it is assumed there are no encroachments or violations of any zoning or other regulations affecting the subject property and the utilization of the land and improvements is within the boundaries or property lines of the property described and that there are no trespasses or encroachments. 5. CRE Valuation Services assumes there are no private deed restrictions affecting the property which would limit the use of the subject property in any way. 6. It is assumed the subject property is not adversely affected by the potential of floods; unless otherwise stated herein. 7. It is assumed all water and sewer facilities (existing and proposed) are or will be in good working order and are or will be of sufficient size to adequately serve any proposed buildings. 8. Unless otherwise stated within the report, the depiction of the physical condition of the improvements described herein is based on visual inspection. No liability is assumed for the soundness of structural members since no engineering tests were conducted. No liability is assumed for the condition of mechanical equipment, plumbing, or electrical components, as complete tests were not made. No responsibility is assumed for hidden, unapparent or masked property conditions or characteristics that were not clearly apparent during our inspection. 9. If building improvements are present on the site, no significant evidence of termite damage or infestation was observed during our physical inspection, unless so stated in the report. No termite inspection report was available, unless so stated in the report. No responsibility is assumed for hidden damages or infestation. 10. Any proposed or incomplete improvements included in this report are assumed to be satisfactorily completed in a workmanlike manner or will be thus completed within a reasonable length of time according to plans and specifications submitted. 11. No responsibility is assumed for hidden defects or for conformity to specific governmental requirements, such as fire, building, safety, earthquake, or occupancy codes, except where specific professional or governmental inspections have been completed and reported in the appraisal report. WORK IN PROGRESS ASSUMPTIONS AND LIMITING CONDITIONS 12. Responsible ownership and competent property management are assumed. 13. The appraisers assume no responsibility for any changes in economic or physical conditions which occur following the effective date of value within this report that would influence or potentially affect the analyses, opinions, or conclusions in the report. Any subsequent changes are beyond the scope of the report. 14. The value estimates reported herein apply to the entire property. Any proration or division of the total into fractional interests will invalidate the value estimates, unless such proration or division of interests is set forth in the report. 15. Any division of the land and improvement values estimated herein is applicable only under the program of utilization shown. These separate valuations are invalidated by any other application. 16. Unless otherwise stated in the report, only the real property is considered, so no consideration is given to the value of personal property or equipment located on the premises or the costs of moving or relocating such personal property or equipment. 17. Unless otherwise stated, it is assumed that there are no subsurface oil, gas or other mineral deposits or subsurface rights of value involved in this appraisal, whether they are gas, liquid, or solid. Nor are the rights associated with extraction or exploration of such elements considered; unless otherwise stated. Unless otherwise stated it is also assumed that there are no air or development rights of value that may be transferred. 18. Any projections of income and expenses, including the reversion at time of resale, are not predictions of the future. Rather, they are our best estimate of current market thinking of what future trends will be. No warranty or representation is made that these projections will materialize. The real estate market is constantly fluctuating and changing. It is not the task of an appraiser to estimate the conditions of a future real estate market, but rather to reflect what the investment community envisions for the future in terms of expectations of growth in rental rates, expenses, and supply and demand. The forecasts, projections, or operating estimates contained herein are based on current market conditions, anticipated short-term supply and demand factors, and a continued stable economy. These forecasts are, therefore, subject to changes with future conditions. 19. Unless subsoil opinions based upon engineering core borings were furnished, it is assumed there are no subsoil defects present, which would impair development of the land to its maximum permitted use or would render it more or less valuable. No responsibility is assumed for such conditions or for engineering which may be required to discover them. 20. CRE Valuation Services representatives are not experts in determining the presence or absence of hazardous substances, defined as all hazardous or toxic materials, wastes, pollutants or contaminants (including, but not limited to, asbestos, PCB, UFFI, or other raw materials or chemicals) used in construction or otherwise present on the property. We assume no responsibility for the studies or analyses which would be required to determine the presence or absence of such substances or for loss as a result of the presence of such substances. Appraisers are not qualified to detect such substances. The client is urged to retain an expert in this field. 21. We are not experts in determining the habitat for protected or endangered species, including, but not limited to, animal or plant life that may be present on the property. We assume no responsibility for the studies or analyses which would be required to determine the presence or absence of such species or for loss as a result of the presence of such species. The appraiser hereby reserves the right to alter, amend, revise, or rescind any of the value opinions based upon any subsequent endangered species impact studies, research, and investigation that may be provided. CRE Valuation Services Page 7 642530571 WORK IN PROGRESS ASSUMPTIONS AND LIMITING CONDITIONS 22. No environmental impact studies were either requested or made in conjunction with this analysis. The appraiser hereby reserves the right to alter, amend, revise, or rescind any of the value opinions based upon any subsequent environmental impact studies, research, and investigation that may be provided. 23. The appraisal is based on the premise that there is full compliance with all applicable environmental regulations and laws unless otherwise stated in the report; further, that all applicable zoning, building, and use regulations and restrictions of all types have been complied with unless otherwise stated in the report; further, it is assumed that all required licenses, consents, permits, or other legislative or administrative authority, local, state, federal and/or private entity or organization have been or can be obtained or renewed for any use considered in the value estimate. 24. Neither all nor any part of the contents of this report or copy thereof, shall be conveyed to the public through advertising, public relations, news, sales, or any other media, without the prior written consent and approval of the appraisers. This limitation pertains to any valuation conclusions, the identity of the analyst or the firm and any reference to the professional organization of which the appraiser is affiliated or to the designations thereof, except in the case of a lawful proceeding. 25. Although the appraiser has made, insofar as is practical, every effort to verify as factual and true all information and data set forth in this report, no responsibility is assumed for the accuracy of any information furnished the appraiser either by the client or others. If for any reason, future investigations should prove any data to be in substantial variance with that presented in this report, the appraiser reserves the right to alter or change any or all analyses, opinions, or conclusions and/or estimates of value. 26. Often real estate sales prices and other data, such as rents, prices, and financing, are not a matter of public record. If this is such, although extensive effort has been expended to verify pertinent data with buyers, sellers, brokers, lenders, lessors, lessees, and other sources considered reliable, it has not always been possible to independently verify all significant facts. In these instances, the appraiser may have relied on verification obtained and reported by appraisers outside of our office. Also, as necessary, assumptions and adjustments have been made based on comparisons and analyses using data in the report and on interviews with market participants. The information furnished by others is believed to be reliable, but no warranty is given for its accuracy. 27. The appraiser has not made a specific compliance survey or analysis of the property to determine whether or not it is in conformity with various disability requirements. Since the appraiser has no direct evidence relating to this issue, possible noncompliance with the requirements was not considered in estimating the value of the property. 28. This appraisal report has been prepared for the exclusive benefit of the client, which is inclusive of the attorney(s) or court staff as it pertains to the litigation. It may not be used or relied upon by any other party. Any other party who is not the identified client within this report who uses or relies upon any information in this report does so at their own risk and may be subject to legal action. Written consent must be obtained prior to any third party use. 29. The dollar amount of any value opinion herein rendered is based upon the purchasing power and price of the US Dollar as of the effective date of value. This appraisal is based on market conditions existing as of the date of this appraisal. 30. The right is reserved by the appraiser to make adjustments to the analyses, opinions, and conclusions set forth in this report as may be required by consideration of additional or more reliable data that may become available. No change of this report shall be made by anyone other than the appraiser or appraisers. The appraiser(s) shall have no responsibility for any unauthorized change(s) to the report. CRE Valuation Services Page 8 642530571 WORK IN PROGRESS ASSUMPTIONS AND LIMITING CONDITIONS 31. If the client instructions to the appraiser were to inspect only the exterior of the improvements in the appraisal process, the physical attributes of the property were observed from the street(s) as of the inspection date of the appraisal. Physical characteristics of the property were obtained from tax assessment records, available plans, if any, descriptive information, and interviewing the client and other knowledgeable persons. It is assumed the interior of the subject property is consistent with the exterior conditions as observed and that other information relied upon is accurate. 32. The submission of this report constitutes completion of the services authorized. It is submitted on the condition the client will provide reasonable notice and customary compensation, including expert witness fees, relating to any subsequent required attendance at conferences, depositions, and judicial or administrative proceedings. In the event the appraiser is subpoenaed for either an appearance or a request to produce documents, a best effort will be made to notify the client immediately. The client has the sole responsibility for obtaining a protective order, providing legal instruction not to appear with the appraisal report and related work files and will answer all questions pertaining to the assignment, the preparation of the report, and the reasoning used to formulate the estimate of value. Unless paid in whole or in part by the party issuing the subpoena or by another party of interest in the matter, the client is responsible for all unpaid fees resulting from the appearance or production of documents regardless of who orders the work. 33. Use of this appraisal report constitutes acknowledgement and acceptance of the general assumptions and limiting conditions, special assumptions (if any), on which this estimate of market value is based. 34. If provided, the estimated insurable value is included at the request of the client and has not been performed by a qualified insurance agent or risk management underwriter. This cost estimate should not be solely relied upon for insurable estimate purposes. The appraisers are not familiar with the definition of insurable estimate from the insurance provider, the local governmental underwriting regulations, or the types of insurance coverage available. These factors can impact cost estimates and are beyond the scope of the intended use of this appraisal. The appraisers are not cost experts in cost estimating for insurance purposes. Hypothetical Conditions and Extraordinary Assumptions — CRE Valuation Services Page 9 642530571 WORK IN PROGRESS CERTIFICATION We certify that, to the best of our knowledge and belief: - 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 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 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. - Our analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Appraisal Institute and USPAP. - A viewing of the subject site, the improvements and market area was conducted on August 19, 2017 by the appraiser. - No one provided real property appraisal assistance to the persons signing this certification. - The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. - As of the date of this report the undersigned has completed the requirements of the continuing education program of the Appraisal Institute for members. Mick Stiksma, MAI, MRICS Managing Director Cert Gen RZ2990 WORK IN PROGRESS INTRODUCTION Property Appraised Ground Lease of Virginia Key Marina 3501 Rickenbacker Causeway Miami, FL 33149-1021 Property Identification The subject property has a site area of 1,160,874 SF which is which is inclusive of a marine terminal and a motor yacht service yard serving as a Ground Lease of Virginia Key Marina. The subject property is in southeastern Miami, FL, approximately 2.18 miles east of I-95 (Exit #1A — Rickenbacker Causeway/Key Biscayne) on the northwest of the historic Miami Marina Stadium on Virginia Key. ADVANTAGES: • Subject is conveniently located in the city of Miami, just South of the Port of Miami and near the CBD. • In 2015, Miami welcomed 15.5 million tourists and 15.7 million in 2016 — the number is expected to grow in 2017. CHALLENGES: • Global economic uncertainty are causing potential buyers to be cautious regarding discretionary spending on real estate. • Real Estate prices recovering from regional recession. Type of Value, Intended Use & User of Appraisal The type of value sought in our appraisal of the subject was a retrospective market value opinion for the purpose of allocating values of the subject property as of August 19, 2017,subject to the extraordinary assumptions and limiting conditions cited herein. According to the client, the subject property has a hold -over tenant which the owner is in the process of evicting. It is our understanding that this appraisal will be used by our client, Ms. Jacqueline Lorenzo, for asset valuation purposes and may be used for tax purposes. Property Rights Appraised The subject property is owned by the City of Miami and is the midst of a presumed referendum approval for the "Virginia Key Harbour and Marine Center," approval is set for November 7, 2017. Thus, the value is based on a Leased -Fee interest in the subject property. WORK IN PROGRESS Scope of Appraisal/Extent of the Data Collection Process This appraisal considered all three approaches to value, (1) Sales Comparison Approach, (2) Income Capitalization Approach and the (3) Cost Approach. The procedures and methodologies employed in these approaches are outlined in the Appraisal Process section of this report. Following is a summary of steps completed by the appraisers in this assignment. 1. The subject was viewed on August 19, 2017. The surrounding area and influences were also viewed at this time. Specific information relative to the subject property was provided by representatives of the owners. 2. Gathered information from various secondary data sources regarding regional and local economic and data specifically relating to cost analyses. 3. Analyzed that data as it pertains to the estimated costs and applied those estimates to the various components of the subject property. 4. Reviewed various plans and sketches involving the subject property. 5. Analyzed the highest and best use of the site "as improved". Supply, demand and absorption potential, as well as construction costs and required yields, were analyzed relative to the subject market and specifically the subject property. Alternative uses were also analyzed relative to their financial feasibility. 6. Confirmed construction cost estimates in the immediate market area with similar characteristics. 7. Analyzed the data to arrive at conclusions. 8. Reconciled the results of these analyses into a probable range of value, and finally, a retrospective market value conclusion and resulting allocation of value as of August 19, 2017 on an "as is" basis. 9. Prepared a Narrative Report. CRE Valuation Services Page 12 642530571 WORK IN PROGRESS History of the Subject Property In 1896, the City of Miami was founded, giving the City oversight and control over Virginia Key which remains in their capacity to this day. Over the course of its history, Virginia Key experienced several moments of jubilance and tribulation, later recognizing Virginia Key Beach Park, in August of 2002, onto the National Register of Historic Places. Already, with an attraction towards Virginia Key, on July of 2010, the City of Miami completed a comprehensive master planning process of Virginia Key that will serve as a guiding tool to transform this maritime habitat into a civic center, inviting guests from abroad and domestically. The planned "Virginia Key Harbour & Marine Center," proposed by RCI Group and Suntex Marinas, is a 75-year ground lease, expected to have a direct financial benefit of $999,732,593 dollars to the City of Miami by the time the lease expiration date. The proposed development will include: 750 dry slips, 162 wet slips, two -restaurants, a dock master's office, a ship's store, fuel stations and approximately 30,000 SF of small scale marine -related retail/commercial spaces. The subject property has a site area of 1,160,874 SF which includes a marine terminal and a motor yacht service yard serving as a Ground Lease of Virginia Key Marina. The subject is located in southeastern Miami, FL, approximately 2.18 miles east of I-95 (Exit #1A — Rickenbacker Causeway/Key Biscayne) on the northwest of the historic Miami Marina Stadium on Virginia Key. To the best of our knowledge, no other real estate transaction has occurred with regard to the subject property in the past three years. We have undertaken one assignment (effective date of November 12, 2016) with regard to the subject property in the past three years. Competency The appraisers involved in this assignment have, collectively, considerable experience in appraising commercial properties within the region. The appraisers have historically been engaged in appraisal work in the geographical area of the subject property. The company maintains a database on this area for similar properties. Further, we are versed in the analytical methods typically employed in appraising this property type. In summary, we believe we have adequate knowledge of the property type, geographical location and analytical methods necessary to comply with the competency requirements of USPAP. CRE Valuation Services Page 13 642530571 WORK IN PROGRESS MARKET ANALYSIS Introduction The subject property is located in the City of Miami in Miami Dade County, Florida, within the Miami Statistical Area (MSA). W 7th St Flagler St miami Trl fni 5 re36, NW 7th St I Marlins Park ptWSth St NW`61h St . W Flagler St i 1711E HAVANA S SW 7th St Tarniami Trl SW Ivth St SHENANOOAH I se 00G SW 22nd St NF 1���--' Stt+M 0.. Bird Rd coca.NO+' Gaon Grand Ave �`A¢ NOA �DOWNTOWN.MIAMI, Mercy Hospilot:� ICR�. MAMMf` 8Sth St 8 Mmtth • sburN PorNr i.umrFiu 2s fond • 3501 RickenbackerCswy, Key Biscayne, FL 33149 ;Cori Por4 Figure 1: Submarket Map Moody's Economy.com The subject site is located in an area which is included within the Miami Metropolitan Statistical Area (MSA). The following pages are taken from Moody's Economy.com Metropolitan Summary of the Miami MSA. WORK IN PROGRESS MARKET ANALYSIS MOODY'S ANALV11Cs MIAMI-MIAMI BEACH-KENDALL FL Data 9terata 16kmdr PJ &D4MIJ4 ECONOMIC DRIVERS L clsnu EMPLOYMENT GROWTH RANK nomign- Zid qui5llre m 8 16 ikst-LWan,t-dag RELATIVE COSTS MINIM 11O% us.-raorc VITALITY WRAI ( 62 i.S-11:17% Had-r, Worse- 40f BUSINESS CYCLE STATUS ANALYSIS • Expansion • RECDYE RY 03 • • At Rlsk Moderating Recession In Recession • • • STRENGTHS &WEAKNESSES STRENGTHS Strong ties to Lad America. Lwury status attracts international. capital. International trade poised to accelerate. Well -developed shipping and distribution infrastructure. W EAKN ESSES High household debt burden. Congested roads and airport. Industrial struc1Jre that leaves economy susceptible to business cycle downturns. FQRECAST RISKS SHORT TERM + LONGTERM RISK EXPOSURE 201rrZ021 66 1st gJInttre Wit dmrasr-0Or UPSIDE International ties boost mrstructioq finance and trade by more than ex pected. Commerdal deaelopmerrt and transit hub shift MLk's growth path upward. Stronger population pro.tith. DOW NSIDE Foreclosures undermine house prices. International immigration weakens. Strong dollar restrains i nternatioral tourism. MOODY'S RATING Aa2 COUNTY AS OF JUN 03, 2016 Recent Performance- The Miami -Miami Beach -Kendall economy has stalled. The un- employment rate has dropped Just 0.5 percent- age point over the last year, the state's second smallest Improvement. Average hourly earnings are 1.7% lower than a year earlier, compared with a 1.4% rise In the rot of Florida and a 3% Increase nationwide. MIA's population rose Just OEJ% In 2415, half of the statewide pace and the slowest rate of growth since the Great Recession. Tourism, Employment In leisure and hospital- ity is a mailer source of weakness in MIA's labor market, but Job creation In this Industry will re- turn. A hiccup In tourism spending has cost the metro area nearly 1,900Jobs In arts, enterta in - rrerrt and recreation over the last year as a rising dollar cut Into the number of overseas visitors and their spending in the U.S. In 2014, MIA was the second most visited AmeriG3n destination for overseas travelers, after New York City arid, among the Lop cities, recorded the nation's larg- est annual Increase In overseas visitors; th Is trend was reversed in 2015. Over the next several years, pc C6peCB are good fora rebound in growth at the area's hotels, restaurants and attractions. Sun life Stadium Is undergoing a 5450 Millen upgrade that will add an open -an canopy to the facility this year. This renovation puts MIA In stronger contention for the Super &owl, college football playoffs, and In- ternational soccer matches. The new cover also makes the stadium attractive to organisers of summertIme festivals who shy away from MIA out of concemfcr the metro area's frequent rain - storms and heat House prices, House prlaes In MIA will rise over the next several quarters and then plateau in the Intermediate term, but risks to the fore- c st are to the up<_ de. The primary factors that sustain house or :.~ apprecal cn are per ilip1t Income growth and new household formation. Over the next several years, gains In both Grt- egcries In MIA will supass those nationally but trail the rate In the rest of the state, and lord. house prices should behave similarly. House prices In Florida will soon I i.i beause they are rising faster than their long term trends. Over the last year, statewide house prices have risen by 9.4, easily the fastest pace cuticle of the West, where employment and income growth supports Fast house price appreciation. The pessimistic fore2st for house values Is a consequence of an overheatIrlg market state- wide, not bemuse tesidentlal real estate in MIA is overvalued. This suggests that MIA could culperform Its projection; the kxal real +Mate market Is positioned well to defy the anticipated statewide downturn Media empire. MIA's status as the media alp italof Spanish-speakngAnlerl€awill contrib- uute to the area's growth- The three most widely available Spanish -language able networks in the US�Jnlvlslort Telemtndo and UniM s-have headquarters or major production operations in MIA. C per the short term, Telemurldo recently annul need playa spend 5400 million on its new headquarters and TV studio. In the longterm, the nationwide e€posure that is generated by these networks makes visiting and living In MIA attrac- tive to Hispania, the nation's largest minority and fastest -growing ethnic grcup. lob growth In Miami-Mlaml Beach -Kendall will accelerate in the near term thanks to a rebound in lei surerhosprtaUty and gains rn construction, retail and healthcare. Over the forecast horizon, MIA's international charac- ter, combined with its high -skilled, bilingual workforce, will help the metro area outper- form the nation In household income growth. JC,vame Donaldson 1.-965-27S-326c March 207 6 hef:carurry. = rr 2010 2011 2012 2013 2014 2015 DINCATDRS 2016 2017 2018 2019 2020 2021 104.2 144. 4 106.4 1093 1111 114-9 -55 02 1_8 20 24 35 D 85.1 1,007.3 1,031.3 1,056.7 1,089.4 1,123.4 -13 22 24 25 3.1 3-1 11.1 9.4 8.4 7.6 6.9 61 7.7 45 3.9 Q4 5.9 5.8 41.7 41.4 41.6 422 42.9 44.8 2,508.4 2579.6 2,6103 2641.1 2,6643 2,6970 i.8 2.8 1.2 12 0.9 1.2 31.1 591 17.7 173 13.6 21-9 941 962 1.919 2,266 2,077 2,928 2,262 1,656 3,2513 8i0513 5,654 9,469 196.0 1832 1862 2082 233.6 2583 Cross metro product (CO9$. bit} % change Total employment (tits) % change unemployment rate (%) Personal income growth(%) Median hcwsehold income ($ ths) Population (tins} % orange Net migration (ths) Single-family permits (Irk Hutt/array permits (4) FHFA house pnoe (1995Q7=100} 119.1 124.4 1292 2 132.7 135.7 139.3 3.6 4.5 3.9 Z7 23 2.7 1,148.3 1,177.6 1205.9 1223.0 1228.5 1233.6 Z2 2.6 2.4 1.4 0-4 8.4 5.5 4.8 4.0 3.9 4.2 4.4 57 74 8.0 6.0 4-7 4.9 46.3 48.3 50.7 52.6 54.0 55.4 2,733.6 2173-0 2,813.9 2,955.3 2996.9 2,936-9 1.4 1.4 1 5 1.5 1.5 1.4 26.1 28.9 305 311 31.3 301 4,316 6,520 7,412 7.450 7288 7,425 11,948 13,153 19,66 8,011 7,839 9307 271.7 278.1 276.3 21.2.8 272.4 275.8 CRE Valuation Services Page 15 642530571 WORK IN PROGRESS MARKET ANALYSIS ECONOMIC HEALTH CHECK BUSINESS CYCLE INDEX 3-MO MA Sep 15 Oct 15 Naa 15 Dec 15 Jan 16 Feb 16 Employment_ change, the 3.1 23 1-6 0.5 Q# -0-# Unemplo nrent rate, % Labarfarce particlpatlanrate, 5 Employm9lt-to-popula11c ratla, % Axerage weekly mum, # Iln lus4laL prtW[tlort 2007=100 ResltlentlaL pumas.,, sIngLe-farnny, 4 6.0 6.0 6.0 6.1 6.1 60 61.2 611 611 M12 611 51.0 IMP ResltlentlaLp.mRs, muLtlfarnuy,# 4,21 5765 9,643 57.5 575 575 57.4 574 574 34.9 353 353 35.1 10 4. 6 10043 1041 104_0 10 3.8 3,460 3,495 3,303 3,097 2,875 8,779 10 56 9,862 Uncharged from prior 3-rm MA prior 3-rm. MA 2:S. C,,inighra34MaccrsAreythn 127 12C 11= 110 106 100 95 JAN 2002=100 VIM P5M r W 06 09 12 MIA FL SoarceMaccysAreyM6 CURRENT EMPLOYMENT TRENDS T HOUSE PRICE 8 6 4 2 0 -2 -4 %CHANCE YR AGO 12 13 14 15 16 Goverment - Goods producing Prhrate services Sodrem &S, Mchoe}' SA9get& %CHANGE YRAGO, 3-110 MA Jun15 0ct15 Feb16 Total 3.4 2.9 1.E1 Cantructhn 9-7 ManufacturtyL 42 RFade 3.3 9.3 13-9 4.1 1.5 20 0.0 1Farts+UtIL1-tles 3.4 3.0 3.1 IrlfaRnatloo -1.5 -02 -1.5 RoanbdaL AcItMtles A.1 A.0 33 Prof &BusIruess Svc. 4.E1 3.6 1.9 Edu&Health SS3. 3.3 3.1 2.9 Leisure &I1aspitallty 3.2 Other Services 6.0 35 0.4 45 2.5 Gceenrnerrt -D.3 0.1 -0.3 coerces= as, Mern5 Ueyau 350 300 250 200 150 100 50 98 1998Q1=100, NSA 01 04 07 10 IALA FL Saxon. FN A, Moc1yYAray66 U.S RELATIVE EMPLOYMENT PERFORMANCE VACANCY RATE 5 130 125 120 115 110 105 100 95 90 65 JAN 200F>=100 00 07 06 09 10 11 12 13 14 15 16F 17F 16F 19F 20F 21F 22F 23F 24F 25F hiA FL - U S. Sauces 9 S, Maody3Avy66 HOMEOWNER. % HOUSES FOR SALE 1 2 3 RENTAL %INVENTORY FOR RENT 2 r�u> 4 6 8 ■ n ■ US. Sauces Cams .13 nea l AC5. Me.7j5Ajeybq 204:1 BUSINESS COSTS EDUCATIONAL ATTAINMENT POPULATION BY AGE, % 1ot6L Lin It Labor energy State a # Ioraltarm Offloe rent U.Sr 100 6 21:1 40 BO BO 100 120 140 ■ 2009 ■ 2114 Scum Mw]y1 ArVyt'a 96 OF ADULTS 25 AND OLDER =1T' MT= 25 28 19 hL4 30 M FL 11 29 .28 13 U.S. • < Hlgh s hcal E High school • Same OE LLege G_lie5e • Graduate 9dlcal Sarem Ce6tL, &ream, ManesArraly9a. 2014 a75 70-74 65-59 60-64 55-59 50-54 45-49 40.44 35-39 34-34 255-29 20-24 15-19 15-14 5-9 5-4 U 1 2 3 4 5 $ • MA - U.& fames Caruraa8rrea' Moecy3Analy44s, 20M CRE Valuation Services Page 16 642530571 WORK IN PROGRESS MARKET ANALYSIS EMPLOYMENT & INDUSTRY MI CRAT1ON FLOWS TOP EMPLOYERS Raptlst Health Systems al SorMern FLo11da University of Miami NM( Super Mameets Inc Janson Health System Arrenan Airlines Miami -Dale Cnllnnnlllty CaLLee AT&1 Wells Fargo & Co. Anielcan Sales & Mana�n unR Macy's 13.•I. 10,010 Miami CFlLdre1's Hosplt4 Royal Cantk.ean IntI3 Celehray Cni9e Mount Sinai Fi 1IcalCenter JP scrga1C1aseandCo. Ronda Faver & Light Ca. Ronda Inte-ladonal University Camas. Cruise Liles WIr�Dhle Stow Ir¢ HCd Veterans A113Irn Med111 C01t2f 9939 6.797 6.629 E I` 3,56� 3,365 3,345 3,331 3,221 3,200 3,176 3,132 3,065 3.60❑ 2,412 2300 Swear C1I.41 E.F1551t y au60atro s. 2.nrr, Soo45feafd7 emboss ,Iorr7R 2014, rarfaxon aam5 4prf2127 Federal State Loral 2075 PUBLIC 19,714 178 100,351 INDUSTRIAL DIVERSITY Most Dierse 01.54 1.LU- D.62 U .B0 U .40 U .20 0.00 Least Diverse EMPLOYMENT VOLATILITY Duets U.S. fluctuations Relative t6U.S. 1W9<.� 096 - 139 �NatthRIEUS. DuatoUS • 141. - ua. Sector Mining Construction Manufaetutng Da' able r rarn7urrdie Tram spirt at Icso uti tilt les WMde5aLe Trade Retail Trade Infarmatlon FlnandaL Ad1Nlles Prof. and Ns. Sery ss EaIL and Health Services Leisure arrd Huss_ Services Other Services Govemm9lt COMPARATIVE EMPLOYMENT AND INCOME %of Total Employment Average Annual Eamings MIA D.0% FL 0.1% U.S. MIA FL U.S_ 0_5% $36,663 $22,959 $108,705 3,6% 53% 4.5% $47,926 $47,200 $61,655 3.5% 42% 9.7% $54264 566,774 578,447 5116% 579% 63.0% nod $77,f9f $80.476 4A4% 32.1% 37.0% nd $5$348 $75,052 6.0% 3.3% 3.5% $5at*9 $54,090 $65.40 6.5% 4.1% 42% $133,950 $79,619 $83,751 133% 13.4% 11.0% $36,074 533,254 $33,494 1.7% 1.7% 1.9% 5113,337 5131,5134 5104,937 7.03 6.6% 5.7% 543,312 537,323 554,020 14.2% 15.1% 13.9% 550,242 550,206 565,204 153% 14.13% 15.5% $52,381 552,192 $52,501 11931 14.0% 10.7% 533,599 $213 903 $26,128 .1.7% 4.1% 4.0% 525,40 530,474 535,611 123% 13.4% 15.5% 578,8133 $70,8413 $73,1362 sonriet.Paeenrap tow ernprufrnenr -say MtioaySA1a ri; 2a75 AYeragea1uW)4 emirs s -J E,4 MoarajrsAnar}ar 7 2014 PER CAPITA INCOME INTO MIAMI FL Fort Lauderdale FL New York NY Tampa FL West Palm Beach FL Orlando FL Atlanta GA Cape Coral FL Jacksonville FL Naples FL Los Angeles CA Tatai irrnugra6ora FROM MIAMI FL Fort Lauderdale FL New York NY West Palm Beach FL Orlando FL Tampa FL Atlanta GA Cape Coral FL Wasuygtan DC Jacksonville FL Houston TX Total out-nlrgrat or3 Number of M igrants 24.398 5,101 3,995 3,113 3,482 2.407 1,890 1275 1,060 1,042 &6,376 30,191 3,818 3,702 3,444 3,137 2.330 1,5138 1,033 1.0:- 1,055 8 P.775 Net migration 4,598 NET MIGRATION,* 25,000 20,00DMoo - 18,00D- 10,00D- 5,001]- 0 12 13 14 13 2012 2013 21014 2015 Domestic -17,931 -21,354 -27,787 -32723 Foreign 35,1318 38,777 43,953 43,62 Total 17,987 17, 423 16,166 11,139 Bottom as [49, 2Ult. Cams raw, MGi2j'sArrarj0c3 LEADING INDUSTRIES BY WAGE TIER 4 -I_ 30 36 STHS 1)6 07 oa 09 10 11 12 13 14 15 2015 MIA$43,D16 FL $44,101 LLS.547,669 Sarcec8F.1,. Mize/VArk45t. RICH -TECH EMPLOYMENT Ths 96 ai total MLA 27.9 2.5 LLS. 6]67.6 4.6 HOUSING -RELATED EMPLOYMENT Ths 96 of total MIA 104.7 9.3 u5. 13,151.2 93 5a►oeMoody YA1urytics. 2015 NAJCS Industry 6211 C7193190l physicians S2 5411 Legalselvtm. I GYF Federal GUlnfltlellt Laminae EnlpLoyee5 Quotient ;tins} 12 24.1 25 22.0 09 19.6 5221 Llepcatimy [rein Irterrterlation GYL LootCovernnlent 12 153 09 1C0.2 0 6221 General uedlcal and sungical11ospttaLs Y GYS State Go'renrrlert 12 ❑.5 43.0 19.1 4311 Scheduled at transpartadon 4.5 14.3 7225 7211 O 4451 5613 Auto raln's and auw marls gam Tranelera[mmlodat6n GrocerysMrm Ermlvlmlentt 59MC5 10 2.1 13 03 77,8 293 25.9 192 5611106 Mnndj3An cs, 7.7r5 CRE Valuation Services Page 17 642530571 WORK IN PROGRESS MARKET ANALYSIS Employment The region's economy is distinguished by its concentration of services, trade and government employment, and relatively small component of mining, construction, and finance, insurance and real estate employment. The service sector has historically grown at a faster pace than any other industry in the MSA. Included among the area's top 25 privates employers are airline, education, health, news, grocery stores, industrial, and cruise ship firms. Five companies were on the Fortune 500 list for 2011. These include, with their ranking: FPL Group (147), Office Depot (211), World Fuel Services (133), AutoNation (197) and Ryder System (437). The tri-county region has attracted a wide array of businesses in growth oriented service, distribution, manufacturing, industrial and construction industries. The area has also attracted businesses that are engaged or support international commerce. According to the Fort Lauderdale Chamber of Commerce, more than 40 percent of the businesses in the area are involved in international trade and commerce. For example, Citrix Systems, Inc. is a global leader in access infrastructure solutions and secures network access for enterprises and individuals with more than 120,000 organizations using its products every day. Area agencies and businesses such as the South Florida BioScience Consortium, which promotes biotechnology, and Internet Coast, which focuses on communication technology, are looking outward to new opportunities in world markets. Fort Lauderdale is also home to more than 6,000 high technology firms. Transportation Fort Lauderdale/Hollywood International Airport is located in the heart of Broward County. The airport has a 9,000-foot runway and is served by 35 scheduled, five charter and six cargo airlines with 558 flights daily. The airport is currently expanding to accommodate the vastly increasing number of passengers, which is expected to reach 25 million by the year 2015. The expansion will nearly double the size of the terminal complex, from the present 57 to more than 70 gates and increase parking from 9,061 to 19,000 spaces. Projected costs of the ongoing expansion are estimated at $1 billion through 2012. The Fort Lauderdale -Hollywood International Airport employs more than 9,000 people and according to the Greater Fort Lauderdale Chamber of Commerce, is one of the fastest -growing passenger hubs in the nation. The Palm Beach International Airport, located in unincorporated Palm Beach County. The airport attracts people from all over the county as well as from the Treasure Coast and Space Coast counties to the north. In 2006 there were 6,824,789 passengers who passed through the gates of PBIA making it the 58th busiest airport in the nation. Miami International Airport is one of the highest traveled airports for foreign visitors entering and leaving the US. In addition, the Port of Miami also contributes to the region's status as an international trade city, as millions of cargo is shipped to and from the US each year. CRE Valuation Services Page 18 642530571 WORK IN PROGRESS MARKET ANALYSIS Miami-Dade's four airports (Miami International Airport, Homestead General Airport, Kendall- Tamiami Executive Airport, and Opa-locka Airport) facilitate access to the region. They provide over 1,000 daily flights to 144 domestic and international locations on four continents. Miami International Airport (MIA) is operated by the Miami -Dade Aviation Department. The facility consists of 4.7 million square feet; one main terminal with 8 concourses and 107 jet gates. The airport serves a total of 95 commuter, cargo, and charter airlines. In 2011, 38.314 million passengers came through the airport, up 7.73 percent from 2010. Miami International Airport has an annual economic impact of $26.7 billion per year and has a direct or indirect role in creating more than 280,000 local jobs. In an effort to meet the needs of the expanding regional economy and airlines and to provide more frequent service and additional destinations to passengers, Miami International Airport has implemented a multi -billion dollar capital improvement plan. Included are construction of a closely spaced air carrier runway, a new midfield hold pad to accommodate four 747-400 aircrafts and reduce delays, various upgrades to the airfields including taxiways, aprons, and runways, development of the North and South Terminals to add 2.7 million square feet, an extensive expansion of the Cargo Facility Area to add 14 new cargo building, and various future landside transportation system changes including the development of a transportation link to the Miami Intermodal Center. The transportation link that will deliver passengers to and from the airport and the MIC Central Station, which is a rail node and pedestrian concourse adjacent to the rental car facility, is expected to be fully completed in 2013. The South Terminal, with 27 gates and an adjoining cruise ship bus depot, a $1.1 billion dollar facility, started operations in 2007. In addition, the North Terminal, a $2.85 billion, one -mile long facility, is scheduled for completion in spring 2012. Only three gates remain to be opened in the 50- gate "super concourse," which is used by American Airlines as its hub for Latin America and the Caribbean to serve more than 20 million passengers annually and provide nearly 300 daily flights. As the Cruise Capital of the World and Cargo Gateway of the Americas, the Port of Miami is a vital contributor to the local, state and national economies. During fiscal year 2010, (latest data available) 4.1 million passengers traveled through the Port, and more than 7.4 million tons and 850,000 TEUs (twenty -foot equivalent units) of cargo transited. This commercial trade combined with the cruise business supported approximately 176,000 jobs and had an economic impact in the region of approximately $17 billion. The Port of Miami serves approximately 20 shipping lines that call on more than 100 countries and 250 ports across the world, serving the markets of Asia, the Caribbean, Central America, Europe, the Middle East, North America and South America. On October 15, 2009, the state of Florida and the MAT Concessionaire, LLC (the Miami Access Tunnel consortium) reached final agreement on the Port of Miami Tunnel project, which will be developed as a public -private partnership (PPP) under a Concession Agreement. The tunnel will CRE Valuation Services Page 19 642530571 WORK IN PROGRESS MARKET ANALYSIS provide access between the seaport, I-395 and I-95. It will create an alternative to the Port Bridge and improve safety conditions and reduce traffic congestion in and around Downtown Miami. Construction activity on Watson Island started in May 2010. The Miami -Dade Transportation Department is responsible for planning and providing public transit services in the county. In addition, it is the 16th largest public transportation system in the US and the largest transit agency in Miami -Dade County and the state of Florida. The integrated transportation system consists of four major components: the Metrobus, Metrorail, Metromover, and Paratransit services. The Metrobus system provides 24 hour service to many of the major routes in the city as well as linking most areas of Miami -Dade County. The Metrorail, an electrically - powered, elevated, rapid -transit system, stretches 22.4 miles and runs from Kendall through South Miami, Coral Gables, and Downtown Miami to the Civic Center/Jackson Memorial Hospital, Brownsville, Liberty City, Miami, and Medley in northwest Miami -Dade. The transit system also connects to Broward and Palm Beach Counties at the Tri-Rail/Metrorail transfer station. The 22 Metrorail stations are about one mile apart, providing easy access for bus riders and pedestrians. A map and locations of these Metrorail stations is presented in the following page. The Metromover is a free, automated people -mover system that serves the Downtown Miami district from Omni to Brickell and connects with Metrorail at Government Center and Brickell Stations. The Metromover is a fast and convenient way to access many of the office buildings, hotels, industrial centers, and tourist attractions in the Brickell and Downtown Miami areas. The closest Metromover stop is the Vizcaya station located less than half a mile northeast of the subject. In addition, the Miami -Dade Transportation Department has implemented a Paratransit service for those who are unable to use regular transit services due to disabilities. The MSA has greater connectivity through the Tri-Rail system, which is operated by The South Florida Regional Transportation Authority (SFRTA). Formerly known as the Tri-County Commuter Rail Authority, it connects Broward, Miami -Dade, and Palm Beach Counties. The Miami Intermodal Center (MIC) facility, which is sponsored by the Florida Department of Transportation, will be similar in function to New York City's Grand Central Station and other multi -modal facilities found in major cities all over the world. The project is designed to provide safe and efficient transfers for pedestrians and users of rail systems, buses, taxis, privately owned automobiles, and bicycles. The project has been split into several phases; the first phase will consist of right-of-way acquisitions, new distributor and collector roads to access the airport, and highway improvements to the major north/south arterial on the eastside of the airport. In addition, the first phase involves building a 3.5 million square foot rental car facility that occupies 20 acres per floor. Other components include an automatic train that delivers passengers to and from the airport and the Miami Central Station (MCS), which is a rail node and pedestrian concourse adjacent to the Rental Car Center (RCC). The estimated cost in 2004 for Phase One was $1.312 billion. In January CRE Valuation Services Page 20 642530571 WORK IN PROGRESS MARKET ANALYSIS 2007, the Transit Access Road (TAR) that connects NW 25th Street to NW 28th Street along NW 37th Avenue and South River Drive opened to the public. The Rental Car Center (RCC) is a 3.4 million -square foot facility that accommodates 6,500 rental vehicles and is the first major component of the MIC. There is a MIA Mover, a dual track 1.25-mile elevated people mover system, which provides service between the airport and the RCC. The Miami Central Station (MCS) is an intermodal facility designed to accommodate various transportation connections, hence providing connectivity between transportation options. Located just east of the RCC, the MCS will feature grade level tracks for Tri-Rail, Metrorail (upon completion of the Airport Link), Amtrak, Intercity and future High -Speed Rail service. East of the tracks will be a U-shaped public esplanade around which private vehicle parking will be available. This public space will be a gateway to the MCS around which bus depots will be located for Greyhound, Miami -Dade Metrobus, intercity buses, courtesy buses and shuttles currently serving MIA, and taxis. The MCS has an anticipated opening date of 2015. Miami's regional road network features three major interstates and several state routes and highways. Interstate 75 is the longest highway in the state of Florida and begins in Miami, just north of Miami. The interstate then travels westbound passing the Everglade Swamp and turns north to Miami -Dade County and ends in Marie, Michigan. Interstate 95 begins in Miami, goes through Jacksonville and up the East Coast to Maine. Interstate 395, an elevated six -lane thoroughfare, connects Interstate 95 in the west with the Macarthur Causeway in the east in the Miami, Florida area. Interstate 395 measures approximately one mile in length. Interstate 195 originates close to Downtown Miami and is a short freeway drive to Miami Beach. In addition, Interstate 195 connects to Interstate 95 north/southbound and Florida 112, which is the Airport Express toll road. The Florida rail system consists of thirteen line -haul railroads and four terminal or switching companies. The line -haul carriers vary in size from small intrastate railroads to members of large railroad systems linking Florida to Canada. The Miami line -haul roads are comprised of two Class I carriers, CSX and Florida East Coast Railway. Intercity passenger service is provided by Amtrak and the Tri-Rail system provides access to Broward, Miami -Dade, and Palm Beach Counties. Tourism The Southeast Florida region is a popular tourist destination for domestic and international visitors. According to The Greater Miami Convention Visitors Bureau, there were approximately 7.4 million domestic and international visitors to the region in 2010. These visitors are the catalyst for the economic prosperity that the regional economy has experienced in recent years, contributing almost $9.0 billion to the economy in 2010. Many of the visitors are from key South American markets including Venezuela, Brazil, Argentina and Colombia. To this end, the region is focusing on continued development of attractions, access, and infrastructure. CRE Valuation Services Page 21 642530571 WORK IN PROGRESS MARKET ANALYSIS The Greater Miami region is comprised of 24 distinct neighborhoods. Airport area, Aventura, Bal Harbor, Bay Harbor Islands, Brickell Avenue, Coconut Grove, Coral Gables, Downtown Miami, Miami, Key Biscayne, Liberty City, Little Haiti, Miami Beach, Miami Lakes, Miami Shores, North Bay Village, North Miami Beach, Opa-Locka, Overtown, South Beach, South Miami, Sunny Isles Beach, and Surfside. Located within these neighborhoods are various cultural activities, organizations and attractions including Bass Museum of Art, Miami Art Museum, Gold Coast Rail Road Museum, Holocaust Museum, Lowe Art Museum, Miami Seaquarium, Coral Castle, Everglades Alligator Farm, Miami Beach Botanical Garden, Miami Arena, Flamingo Park, Everglades National Park, and South Beach. Conclusion Growth in Miami -Miami Beach -Kendall continues as total employment expands further into record territory. As in the rest of the state, a disproportionate share of new hires are in low -paying industrial and hospitality, but the area also enjoyed strong growth in finance and manufacturing jobs over the last year. Construction and real estate have benefited from heightened demand for condominium high-rises, but this growth is beginning to moderate. In the near term, Miami -Miami Beach -Kendall will outpace the nation thanks to strength in industrial, tourism and manufacturing. Over the forecast horizon, an international character and above -average population growth, combined with a high -skilled, bilingual workforce, will enable Miami to outperform the nation. CRE Valuation Services Page 22 642530571 WORK IN PROGRESS MARKET ANALYSIS PRIMARY MARKET ANALYSIS General Description: Access: Market Area Map The subject property's market boundaries are generally described as the East Miami District. Primary access to the area is approximately 2.18 miles east of I-95 (Exit #1A-Rickenbacker Causeway/Key Biscayne). Land Use Patterns: Land uses within the market are primarily comprised of industrial, office, and institutional uses. Life Stages and Trends: The market area is considered to be in the growth stage of its life cycle. New development in the area is strong as noted earlier in the MSA overview. Public Facilities/Services: The subject is adequately served by public utilities. Conclusion: New development is present within this market area and is considered to remain a viable area into the foreseeable future. CRE Valuation Services Page 23 642530571 WORK IN PROGRESS MARKET ANALYSIS MIAMI RETAIL MARKET ANALYSIS KEY INDICATORS Curren! Quaver RBA (000) Vacancy Rah Asking Rant AvallabIllty Rate Hel Ahsvrplivn Nel ❑elrvenes under Canat. PM IOOO) 10001 Mall 17,392 4.0% $51.21 9.1% 14 60 788 Power Center 3,364 2.8% $35.83 3 4% 3 -- 0 Nefghhorhood Center 19,712 3.4% $32.16 4 7% 25 0 170 Market 121,320 3.8% 537.05 6.6% 1 1 79 3 2,253 Annual Trends 12 Month Change Hisf. Ave. Vacancy 0.6% 4.3% Nei Absorption (000) 941 I 1.587 Nel Deliveries (000) 1,639 1.572 Rent Growth 1.7% 3.0% Sales ($ millions) $459 $718 Foot. Avg. Peak When 3.6% 5.3% 2006 03 1,446 4,198 2007 03 1,461 3,505 2001 Q1 1.3% 9.7% 2006 Q4 N/A $2.008 2015 04 Trough When 2.9% 2007 Q4 337 2013 Q1 416 2011 Q3 •5.3% 2009 Q4 $170 2009 Q4 With the Miami Retail nearing its recovery peak, the heightening demand should be able to absorb the wave of incoming supply in early 2017. Additionally, in a market where vacancies (3.8%) are well below the national average, developers are homing in on key locations that offer the most upside. Those submarkets being: downtown, as well as, high -income northern and southern submarkets (ex: Miami Beach and the Design District) — with asking rates averaging $37.0/SF CRE Valuation Services Page 24 642530571 WORK IN PROGRESS LIGHT INDUSTRIAL MARKET ANALYSIS KEY INDICATORS Current q,aatar LIND - 1990+ & 25K+ SF LIND - ❑1990 & 25K+ SF LIND - <25K SF 56,042 Light Manufacturing 6,170 Market 115,694 RBA (000) 9,924 43,558 Vacancy Rate Asking Rent Availability Rate 5.7% 3.4% 1 9% 1 3% 2.8% $12.20 $10.84 $12.45 510.43 8.1 % 5.4% Net Absorption NH Deliveries tu00) l 000) (56) (28) 4.1% 103 9.7% 4 5.3% 23 $11.70 Annual Trends 1t Month Gha nge HI21_ Avg. Font -Avg. Peek When Vacancy 0.0% 4.6% 2.9% 8.0% 2009 Q4 Net Absorption (000) 165 797 416 3,420 2995 Q1 Net Deliveries (000) 154 706 729 1,571 2991 Q3 Rent Growth 5.6% 3.5% 6.5% 7.9% 2016 Q2 Sales ($ millions) $352 $300 WA $601 2016 Q2 0 0 0 under cons.. 10001 133 0 28 0 161 Trough When 2.2% 2006 Q3 (2,241) 2009 Q1 3 2016 Q1 -4.5% 2009 Q4 $113 2010 Q1 NET ABSORPTION, NET DELIVERIES AND VACANCY RATE 1,274 i Forecast 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Deliveries II• Net Absorption - Vacancy - National Vacancy 7.3% 6.2% 5.2% 4.1 % 3 . 1 % 12.0% In a market that has continued to outperform the national average, over the course of the past five - years, and expected to continue outperforming the U.S five-year forecast has added nearly 200,000 jobs since the Great Recession. Addtionally, it is no surprise that Miami is a magnet for international investment from South and Latin America. In 2015, sales volumes increased 15% Y-O-Y, 45% of which was made by foreign investment. With the number of international tourists having increased every year since 2010. Concluding, that the market is very much opportunistic with vacany rates and rent/SF at 2.8% and $11.70 dollars respectively. WORK IN PROGRESS IMPROVEMENT ANALYSIS SITE ANALYSIS Figure 2: Aerial View • e san_each Pa Ekfnbackc Cau Y-- e VIRG{NIA KEY 3 501 Ridcertiz tke(C wy,) a,. s `P f Key Biscayne. 01�3 149. v r- Kg;R5 y sewn Par1c� _ . Figure 3: Birdseye Map CRE Valuation Services Page 26 642530571 WORK IN PROGRESS IMPROVEMENT ANALYSIS Physical Characteristics General Description The subject site is located at 3501 Rickenbacker Causeway in the city of Miami, FL. Access to the site is provided via ingress and egress via its roadway accesses and the Rickenbacker Causeway or Biscayne Bay, which considered Good when compared to similar sites. Furthermore, given the nature of the surrounding arterials, the subject is considered to have Good exposure characteristics when compared to similar sites within the area. Additionally, the subject property proposal estimates 2,600 linear feet of continuous landscaped bay walk for pedestrians, runners and bikers. Size/Shape/Dimensions The site is 26.65 acres of land (1,160,874SF) and is a parcel with above average frontage and visibility. The seawall is estimated to have 2,600 linear square footage. Parcel is legally defined as: 01-4217-000-0020, 01-4218-000-0010, 01-4217-000-0110, 01-4218-000- 0030, 01-4218-000-0031,01-4217-000-0030 Legal Description: 17 18 54 42PORT OF CITY OF MIAMI OWNED LANDON VIRGINIA KEYPER LEASE AGREEMENT TO MATINABISCAYNE INC K/A LEASE AREA NO 2LESS ACCESS RD & LESS SUBLEASED AREAA/U FOLIO 01 4218 000 0031 & LESS COMM 1 INCH DIAM IRONPIPE SET IN CONCRETE MARK OF C/L OF RICK C S The entire property consists of 26.65 acres of which estimated 17 acres is submerged land. Plat Map----RED000 CRE Valuation Services Page 27 642530571 WORK IN PROGRESS IMPROVEMENT ANALYSIS Access/Visibility Again, access was rated as Good and exposure/visibility of the site was rated as Good. Traffic capacity and volume in the immediate vicinity of the subject is good and adequate for most type of medium industrial type uses with similar site characteristics. Currently, the marina can facilitate 700 dry rack and 190 wet slips, inviting guest from the bay and terrain. Topography/Drainage The site is grade level throughout. Drainage is adequate and facilitated by topography and drainage improvements. Soil/Subsoil Conditions A current geotechnical analysis describing the soil and subsoil conditions at the subject was not provided. Soil conditions appear to be conducive to development of the subject to its highest and best use. The appraisers assume there are no hidden or unapparent conditions of the property, soil, subsoil, or structures that would render the subject more or less valuable. Proper design and careful installation are needed to overcome any limitations of this soil. The appraisers assume no responsibility for such conditions, or for engineering which might be required to discover such conditions. The site had some contamination that has been mitigated through engineering controls that resulted in a "No Further Action" letter being issued by Miami Dade County. Utilities/Services All public utilities and services are currently available to the site including city water, electricity and telephone lines. Manmade Improvements The subject site's existing improvements includes 1-restaurant, 1-pump out station, 2-fuel stations, 2-ship stores, 2-dock master's office, a boat launching facility and a shower & laundry facility. Hazards/Nuisances CRE Valuation Services was not provided a current Environmental Site Assessment (ESA) concerning the subject. No apparent hazards or nuisances, such as smoke and hazardous materials, were noted on or near the subject upon inspection. Unless otherwise stated in this report, the existence of hazardous materials, which may or may not be present on the property, was not observed by the appraisers. We have no knowledge of the existence of such materials on or in the property. The appraisers, however, are not qualified to detect such substances. The presence of substances such as asbestos, urea -formaldehyde foam insulation, radon, mold and other potentially hazardous materials may affect the value of the property. The value opined is predicated on the assumption that there is no such material on or in the property that would cause a loss in value. No responsibility is assumed for such conditions or for any expertise or engineering knowledge required to discover them. CRE Valuation Services Page 28 642530571 WORK IN PROGRESS IMPROVEMENT ANALYSIS Legal -Government Factors Development Restrictions/Easements We assume there are no easements or encumbrances detrimental to development of the site. Restrictions We are unaware of any restrictions that would preclude development and/or mitigate achievable density of the subject; however, updated title work and a survey are recommended to confirm such. Zoning The subject site falls under the jurisdiction of the city of Miami and is zoned as CS Civic Space Zone Waterfront Industrial use by the zoning authority. The subject property is considered as a legally conforming use. For the purposes of this analysis we assume that the subject is a legal use and does not have any zoning violations outstanding which would provide a detriment to the overall value. Detailed zoning studies are typically performed by a zoning or land use expert, including attorneys, land use planners, or architects. The depth of our study correlates directly with the scope of this assignment, and it considers all pertinent issues that have been discovered through our due diligence. We note that this appraisal is not intended to be a detailed determination of compliance, as that determination is beyond the scope of this real estate appraisal assignment. We analyzed the zoning requirements in relation to the subject property, and considered the compliance of the existing or proposed use. We are not experts in the interpretation of complex zoning ordinances but based on our review of public information, we assume the subject property to be a complying use. Conclusion The subject property is considered to have Good access and Good visibility characteristics due to its road frontage and exposure, as well as secondary access to primary arterials within the market area. Topographical characteristics are conducive to development and all utilities are available and are of sufficient capacity for most uses. River access is provided by the concrete seawall. CRE Valuation Services Page 29 642530571 WORK IN PROGRESS HIGHEST AND BEST USE ANALYSIS Analysis as if Vacant In formulating an opinion of optimum use of a tract of land, it is important that a careful analysis be made of the property, its size, shape and physical characteristics, topography, zoning, market conditions, and demand for the various legally permitted uses, and other economic factors and conditions. Legally Permissible Except for a legally nonconforming property, the first step in determining what is legally permissible is to analyze private restrictions, zoning, building codes, historic district controls and environmental regulations. The subject site is zoned CS Civic Space Zone Waterfront Industrial by the local zoning authority. This zoning district is not considered to impact the development potential of the site relative to allowable uses. Therefore, the subject is considered to be largely unrestricted from a legal standpoint with regard to industrial marine uses. Physically Possible The physical characteristics of a site can affect the uses. These characteristics include: (1) size; (2) shape; (3) terrain or topography; (4) soil condition; (5) utilities; (6) access characteristics; and (7) surrounding land uses. Each of these site characteristics was described and discussed in the Site Analysis section of this report. A number of uses are physically possible on the subject site. The 1,160,874 SF site size is adequate to support a variety of smaller uses. The site does not suffer from topographical, easement or environmental limitations. Soil and subsoil conditions appear adequate for construction as evidenced by area construction. From a development standpoint, the location offers good exposure and access due to its location. Public utilities are provided and are of adequate capacity for various uses. Surrounding land uses are a mixture of institutional and industrial developments. The site is considered suitable for small to medium sized industrial uses, and is compatible with many of the surrounding uses which are on similar sized tracts of land. The site is considered largely unrestricted from a physical standpoint and is considered suitable for a variety of industrial marine uses. Financially Feasible In determining which uses are legally permissible and physically possible, an appraiser eliminates some uses from consideration. Then the uses that meet the first two criteria are analyzed further. If the uses are income -producing, the analysis will study which are likely to produce an income, or return equal to or greater than the amount needed to satisfy operating expenses, financial obligations, and capital amortization. All uses that are expected to produce a positive return are regarded as financially feasible. WORK IN PROGRESS HIGHEST AND BEST USE ANALYSIS Little speculative development has occurred in the neighborhood. According to the developers and land owners interviewed for this analysis, most developments are owner or tenant -driven build -to - suit space. As such the financially feasible uses are considered to be limited to an industrial marine use. Maximally Productive Among financially feasible uses, the use that provides the highest rate of return or value (given a constant rate of return) is the highest and best use. Given the legally permissible and physically possible discussions set forth above, an industrial marine use is considered most productive in the current market. Analysis as Improved Physically Possible The site is conducive to a marine industrial property and that is a possible use of the site, as improved. Legally Permissible The subject improvements would need to conform to all zoning requirements under the local zoning authority. The planning department site plan approves any development and the subject is assumed to be legally conforming with regard to the legal development requirements. As such, the improvements would be considered to represent a legally permissible use. Financially Feasible/Maximally Productive Given an occupancy and rental rate commensurate with surrounding industrial marine uses, the subject improvements' use as a Ground Lease of Virginia Key Marina would be considered to represent a financially feasible use of the improvements. As such, the maximally productive use of the subject improvements is occupancy and operation of the improvements as a Ground Lease of Virginia Key Marina. Conclusion The present use of the subject property as a Ground Lease of Virginia Key Marina use is the highest and best use for the land being situated in the city of Miami. CRE Valuation Services Page 31 642530571 WORK IN PROGRESS REAL ESTATE TAX ANALYSIS Introduction The following table illustrates the current estimated assessed value and associated taxable value to the improvements for the subject. The value was estimated using the county website and comparing that with the actual tax liability paid by the owner. Utilizing the most recent tax rate of 21.8256 and calculating that on 100% of the assessed value, an estimate for property taxes is illustrated as follows. The Total Tax Liability of the Total Assessed value of $9,909,315 is displayed in the chart below as $216,277. Estimated Assessment & Taxes Account Owner City of Miami/Asset Management Year r 2017 Market Value Land $40,940,322 Market Value Bldg $11,516,519 Market Value (bldg and land) r $52,456,841 Assessed (bldg and land) $9,909,315 Tax Rate 21.8256 Total Tax Liability r $216,277 WORK IN PROGRESS APPRAISAL PROCESS Overview The three traditional approaches to valuing improved properties are: 1. Sales Comparison Approach - a comparison of the property appraised with reasonable similar, recently conveyed properties for which the price, terms and conditions are known. 2. Income Capitalization Approach - the processing of a projected net income into a valuation estimate via one or more capitalization techniques. 3. Cost Approach - an estimate of the replacement cost of all structural improvements as if new, less loss in value attributable to depreciation plus the value of the land as if vacant. The Sales Comparison Approach is founded upon the principle of substitution that holds that the cost to acquire an equally desirable substitute property without undue delay ordinarily sets the upper limit of value. At any given time, prices paid for comparable properties are construed by many to reflect the value of the property appraised. The validity of a value indication derived by this approach is heavily dependent upon the availability of data on recent sales of properties similar in location, size, and utility to the appraised property. The Income Capitalization Approach is based on the principle of anticipation that recognizes the present value of the future income benefits to be derived from ownership in a particular property. The Income Approach is most applicable to properties that are bought and sold for investment purposes, and is considered very reliable when adequate income and expense data are available. Since income producing real estate is most often purchased by investors, this approach is valid and is generally considered the most applicable when the property being appraised was designed for, or is easily capable of producing a rental income. The Cost Approach is based on the premise that the value of a property can be indicated by the current cost to construct a reproduction or replacement for the improvements minus the amount of depreciation evident in the structures from all causes plus the value of the land and entrepreneurial profit. This approach to value is particularly useful for appraising new or nearly new improvements. The Appraisal Process is concluded by a review and re-examination of each of the approaches to value that was employed. Consideration is given to the type and reliability of data used, the applicability of each approach to the type of property being appraised and the definition of value being sought. WORK IN PROGRESS Subject Specific We established a detailed value of the cost of the improvements including the administration building, the warehouse building, the wharf and other horizontal improvements related to the operation of a Ground Lease of Virginia Key Marina. CRE Valuation Services Page 34 642530571 WORK IN PROGRESS Market Rent Survey To estimate the appropriate market rent for the subject property, we have reviewed current ground leases of comparable waterfront properties and adjusted where necessary to account for differences in location and appeal to the market. Considering our subject property is very much located in an emerging market and intended to be developed into a Marine Civic Center, the appraiser had to extend his boundaries to derive the most optimal comparable. Having uncovered four ground leases for comparable properties along the Eastern United States. A summary of the comparable leases is presented below. Marina Rental Comparables Rental No. Marina Location Gross Rent Rent/Acre/Y ear Rent/LF 1 Stock Island Marina - FL 7009 Shrimp Road $1,300,000 $197,269 $1,757 2 801 Seabreeze Boulevard $2,000,000 $200,000 $2,000 3 Bayshore Marina - FL 2550 South Bayshore Drive $1,200,000 $120,000 $1,200 The four marina ground rents presented above represent the most similar comparable ground rents in the subject market. 385 Angler Drive: Located inside the city limits of Marco Island in southwest Florida, Calusa Island Marina offers boaters a convenient gateway to the Ten Thousand Islands, a full range of boating services, 115 permanent wet slips, and covered storage rack unit fitting up to 420 vessels. Additionally, the property has been approved of a P.U.D master plan allowing for a restaurant seating 150 people, 5,750 SF of commercial retail space and 45 hotel rooms. 7009 Shrimp Road: Key West's Stock Island Marina Village accommodates all kinds cruisers whether transient, liveaboard, or mega -yacht. Additionally, the marina has been advertised as the largest deep -water marina in the Keys, able to host mega -yachts up to 320 feet. Above all, the marina is in a safe harbor providing shelter, for the 220 wet slips, from wind and seas. Opening the marina in the 1940s, development has surged over the past 4 years, including newly installed Bellingham concrete floating docks, 100-room boutique style hotel, three on site restaurants, two dog parks and more to come. CRE Valuation Services Page 35 642530571 WORK IN PROGRESS 801 Seabreeze Boulevard: Located in the Fort Lauderdale, The Bahia Mar Resort and Yachting Center, is amongst the ultimate Hotel and Marina destinations in the United States. The property features a Hilton Hotel complete with shops, restaurants, shops, swimming pool, tennis courts and an immaculate beach. The marina offers 250 boat slips capable of handling vessels 300 feet along its 3,000-foot parallel docks and more than 5,000 feet of floating docks. The Bahia Mar Resort and Yachting Center, is also home to the world-renowned Fort Lauderdale International Boat Show. 2550 South Bayshore Drive: Monty's Raw Bar and Bayshore Landing Marina is in the heart of Coconut Grove. With the Intercoastal and Atlantic Ocean through the Biscayne Bay Inlet, the location offers amenities and facilities second to none. Only minutes away from downtown Miami and within walking distance of restaurants, shops and galleries in Coconut Grove. The marina accommodates 150 dock slips, 100 foots vessels, charters, mobile fuel services and more than a dozen retail tenants. The adjusted rents are presented below. The units of comparison include Rent/Slip, Rent/LF of Dockage, Rent /SF of Land Area. Rent Comparable XX is most similar to the subject and required the fewest adjustments due to its size and location. Relying most heavily on xx in our analysis, we have applied the adjusted units of comparison to the subject property. The results are presented below. The adjusted indicators range from 120,000 to 200,000 with a mean rate of xxx and a median rate of xxx. We have reconciled fair market rent at $2,200,000 per year with annual increases. CRE Valuation Services Page 36 642530571 WORK IN PROGRESS Percentage Rent Analysis to be inserted CRE Valuation Services Page 37 642530571 WORK IN PROGRESS SALES COMPARISON APPROACH As a test of reasonableness, we have reviewed sales of waterfront land that would have similar highest and best uses as the subject property. A rate that an owner would be willing to accept as a return on this asset is applied to reflect a required return on the value of the property. The reconciled fee simple value of the subject land, based upon the comparable sales, is presented below. — Summary of Improved Sales 1 Sale No. Name/Location Date of Sale Land Size (Acre) SP ($) 1 Calusa Island Marina March-17 15 $1,015,313 2 Stock Island Marina - FL February-16 6.59 $1,517,451 Subject 3501 Rickenbacker Causeway N/A 30 N/A Minimum February-16 7 $1,015,313 Maximum March-17 15 $1,517,451 Mean September-16 11 $1,266,382 Median September-16 11 $1,266,382 Discussion of Sale 1 Discussion of Sale 2 The mean sale price per square foot for the four waterfront land sales, that would be reasonable alternatives to the subject parcels, is $1,300,000/acre. Applying this unit of comparison to the subject's generates a Fee Simple Value Opinion for the subject land of $45,000,000. The rate of return an investor/owner would require would be based upon competitive rates of returns for alternative assets. A review of commercial real estate rates of return indicate a range from 4% to I 0% depending upon the class of property. Applying a rate at the low end of the range, say 5%, indicates a market rental rate of $2,200,000 for the subject property. This supports the estimated market rental rate generated by the comparable marina ground rents previously discussed. After consider all factors, it is my opinion that the appropriate market rent for the subject property, with annual escalators built into the lease, is: $2,200,000 PER YEAR CRE Valuation Services Page 38 642530571 WORK IN PROGRESS FINAL VALUE CONCLUSION Reconciliation Reconciliation and correlation of value is performed when more than one approach to value is used to value real property and weighs the relative significance, applicability, and defensibility of each value indication and relies most heavily on the one that is most appropriate to the type and definition of value sought. The conclusion drawn in the reconciliation is based on the appropriateness, accuracy, and quantity of evidence in the entire appraisal. In view of the following facts and data in conjunction with this appraisal, it is the opinion of CRE Valuation Services that the fair market value of the rent for the property "as is" as of August 19, 2017, and subject to the general assumptions and limiting conditions, was: $2,200,000 Hypothetical Conditions and Extraordinary Assumptions — We have assumed that the property was in the manner evidenced to us by publicly available and owner supplied data in August 2017. Market and Exposure Time Market Time is best defined as a "reasonable marketing time" which is an estimate of the amount of time it might take to sell a property interest at the estimated Market Value during the period immediately after the effective date of the appraisal. It is not intended to be a prediction of a specific date of sale and, therefore, may be expressed as a range. Exposure time is defined as the estimated length of time the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at As -is on the effective date of appraisal. Based on market and exposure times of comparable sales and interviews with active participants in the local market, the above Market Value opinion could be achieved with a market time and an equal exposure time of approximately twelve months. This conclusion is predicated on the assumption that the subject is offered at a price near the value opinion set forth herein, and is supported by recent sales of similar properties, a sampling of which has been presented in this report. WORK IN PROGRESS PROFESSIONAL QUALIFICATIONS CRE Valuation Services Page A 642530571 WORK IN PROGRESS Mick Stiksma, MAI, MRICS Managing Director - Valuation Services Throughout my career I have held several management and leadership positions within National and International Commercial Real Estate Firms. I have been actively engaged in Residential and Commercial real estate Including real estate appraisal and valuation, Broker Opinion of Value (BOVs), real estate sales, real estate development, expert witness services and consulting for over 25 years. Real Estate Appraisal and Valuation Creation of two real estate appraisal firms with operations In multiple states, Responsibilities Include business development, client relations, management and oversight or appraisal operations Total value of appraised properties in excess of hundreds of millions of dollars with single valuations over $100,000,000. Broker Opinion of Values; Creation of a real estate firm responsible for the implementation, management and systemic design of a national program that facilitates Broker Opinion of Values (BOV), also known as Broker Price Opinions (EEO), with the capability of delivering quality reports in a timely fashion throughout the United States. Real Estate Sales: Residential and commercial sales including business development, purchase and sale transactions that have an aggregate value in excess of $60,000,000 Real Estate Development: Residential development including acquisition, government liaison, design, bidding, budgeting and implementation of several developments including single family residential and residential subdivisions Specializations: Creation of real estate divisions within our structure and/or integral relationships with firms that provide golf course and time share valuation, REO (bank owned)/ Foreclosure work, REIT (Real Estate Investment Trust) appraisals, Tax Appeal, insurance appraisals, portfolio valuation, market feasibility studies and acquisition/disposition counseling, Recent Corporate Clients • Bank of America • Barnard Law Group • Bayview Financial Services • Biscayne Bank • Carlton Fields • Columbian Consulate • Dupont • Ehrenstein Charbonneau Calderin • Hall, Lamb and Hall, P.A. • Jordan Burt • Nationwide Insurance • Wendy's International Education • Simon Fraser University, Criminalistics Bachelors Professional Affiliations & Designations • Certified General Real Estate Appraiser in Connecticut, Florida, Georgia, Illinois, Kentucky, Maryland, New Jersey, New York, North Dakota, Oregon, Pennsylvania, Tennessee, Vermont, Virginia, and West Virginia. • Florida Real Estate Realtor • Appraisal Institute Member • The Royal Institution of Chartered Surveyors (RICS) +1 (786) 533 1245 ® mstiksma®crevaluationservices,com CRE Valuation Services Page B 642530551