12-Florida Ave-Martin Appraisal.pdf

APPRAISAL REPORT

File #24-136

VALUATION OF

2024-090-M 12701 North Florida Avenue

Tampa, Florida 33612

PREPARED FOR

Mr. John Muller Director

Hillsborough County Facilities Management & Real Estate Services

P.O. Box 1110 Tampa, Florida 33601

PREPARED BY

William Henry Martin, Jr., MAI State-Certified General Real Estate Appraiser #RZ656

16120 Colchester Palms Drive Tampa, Florida 33647

Effective Date of Value

June 24, 2024

William H. Martin, Jr., MAI

Real Estate Appraiser Consultant

16120 COLCHESTER PALMS DRIVE TAMPA, FLORIDA 33647

whmtampa@commreval.com commreval.com

(813) 784-5853

June 26, 2024

Director Hillsborough County Facilities Management & Real Estate Services P.O. Box 1110 Tampa, Florida 33601

RE: Appraisal of: 2024-090-M 12701 North Florida Avenue

Tampa, Florida 33612

Dear Mr. Muller:

At your request, I have made a physical inspection of the referenced property and have prepared this ap-praisal report. This appraisal is for the use of the addressee, and I am not responsible for any unauthorized use of this report.

The purpose of the report is to provide an estimate of the Market Value of the Fee Simple Interest in the referenced property, with consideration given to the market conditions as of June 24, 2024. The Market Value conclusion is subject to the attached Assumptions and Limiting Conditions, Certification and defini-tion of Market Value.

This appraisal has been prepared in conformance with the Code of Professional Ethics of the Appraisal Institute, and the Uniform Standards of Professional Appraisal Practice (USPAP). The development pro-cess and the reported data and analysis are consistent with my interpretation of the modifications to USPAP adopted by the Appraisal Standards Board effective January 1, 2024, and with Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), and with the FDIC Interagency Appraisal and Evaluation Guidelines published in the Federal Register on December 10, 2010.

The Scope of Work involved in the preparation of this appraisal included a physical inspection of the subject property, research and analysis of comparable sales considered similar to the subject or otherwise indicative of value, development of the Sales Comparison Approach, and preparation of this appraisal report. It is my considered opinion that the scope of research and analyses associated with this appraisal is adequate to produce a credible value conclusion that serves the needs of the client.

http://www.commreval.com/

Based on my analysis and subject to the Assumptions and Limiting Conditions, I estimate the Market Value of the Fee Simple Interest in the subject property, as of June 24, 2024, to be:

“As Is” Market Value

TWO MILLION SEVENTY FIVE THOUSAND DOLLARS

$2,075,000

I trust you will find this appraisal report complete and to your satisfaction, and I welcome any comment or inquiry you may have.

Respectfully submitted, TABLE OF CONTENTS

TABLE OF CONTENTS

EXECUTIVE SUMMARY

INTRODUCTION

Appraisal Reporting Format Purpose of the Appraisal Identification of the Client and the Intended User(s) Real Property Interest Appraised Effective Date of Value Prior Services Involving the Subject Definition of Market Value Assignment Conditions Extraordinary Assumptions Hypothetical Condition Competency Rule Source of Subject Data & Information Property History Scope of Work

SUBJECT PROPERTY SUMMARY

Identification of the Subject Neighborhood Data Site Data Improvement Data 2023 Tax Assessments & Gross Tax Liability Delinquent Taxes Zoning Classification

HIGHEST & BEST USE

As Vacant As Improved

VALUATION PROCESS

VALUATION OF THE SUBJECT PROPERTY

EXPOSURE TIME

ASSUMPTIONS & LIMITING CONDITIONS

CERTIFICATION OF VALUE

APPENDIX

EXECUTIVE SUMMARY

File Number: 24-136

Property Type / Current Use: Vacant Commercial Land

Location: Northeast corner of North Florida Avenue and 127th Avenue

Physical Address: 12701 North Florida Avenue Tampa, Florida 33612

Folio Number(s): 18159.0000

Legal Description: Lot 7, Block 7, NORTH TAMPA HEIGHTS LAND & DEVELOPMENT CO., according to the map or plat thereof, as recorded in Plat Book 3, Page 73, of the Public Records of Hillsborough County, Florida; LESS the East 145 feet thereof AND LESS the parcel contained in Deed to the State of Florida Department of Transportation, rec-orded in Official Record Book 6218, Page 119, of the Public Records of Hillsborough County, Flor-ida.

Apparent Owner of Record: Hillsborough County

Property Rights Appraised: Fee Simple Interest

Site Area: 159,772± Square Feet (3.6679± Acres)

Building Area (GBA): N/A

Effective Date of Value: June 24, 2024

Date of Report: June 26, 2024

Hypothetical Conditions: None

Extraordinary Assumptions: None

"As Is" Market Value: $2,075,000

INTRODUCTION

Appraisal Reporting Format

This valuation assignment is presented as an Appraisal Report, and this report is intended to comply with the reporting requirements set forth under Standards Rule 2-2(a) of the Uniform Standards of Professional Appraisal Practice (USPAP). As such, it presents a discussion of the data, reasoning and analyses that were used in the appraisal process to develop my opinion of value. Supporting data and/or documentation is retained in my file and is available for your review upon request. The depth of discussion contained in this report is specific to the needs of the client and for the intended use stated. I am not responsible for unau-thorized use of this report.

Purpose of the Appraisal

The purpose of this appraisal is to provide an estimate of the Market Value of the subject real property as of the Effective Date. The Intended Use of the appraisal is for the internal allocation of assets and/or the transference of ownership between related entities.

Identification of the Client and the Intended User(s)

This appraisal was engaged by Mr. John Muller of Hillsborough County, the Director of Hillsborough County Facilities Management & Real Estate Services. As such, the client for the appraisal is Hillsborough County. The Intended Users of this report are employees of Hillsborough County engaged in the evaluation of the acquisition of the property. No additional Intended Users are identified or intended by the appraiser.

Real Property Interest Appraised

The property right appraised is the Fee Simple Interest, which is defined as:

Absolute ownership unencumbered by any other interest or estate, subject only to the lim-itations imposed by governmental powers of taxation, eminent domain, police power, and escheat.1

Effective Date of Value

The date of my last inspection, and this appraisal’s Effective Date of Value, is June 24, 2024. The Date of the Report is June 26, 2024.

Prior Services Involving the Subject

I have provided services as an appraiser regarding the property that is the subject of this within the three-year period immediately preceding the agreement to perform this assignment. Specifically, the subject property was previously appraised in April of 2022 for Hillsborough County, although no other services have been rendered.

1Appraisal Institute, The Appraisal of Real Estate, Tenth Edition, 1992, p. 122.

INTRODUCTION (Continued)

Definition of Market Value

The most probable price which a property should bring in a competitive and open market under all condi-tions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:

(1) buyer and seller are typically motivated;

(2) both parties are well informed or well advised, and acting in what they consider their own best interests;

(3) a reasonable time is allowed for exposure in the open market;

(4) payment is made in terms of cash in US 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.2

Assignment Conditions

An Assignment Condition is defined as “Assumptions, extraordinary assumptions, hypothetical conditions, laws and regulations, jurisdictional exceptions, and other conditions that affect the scope of work.”3

This assignment involved no atypical assignment conditions.

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.”4

This assignment involved no extraordinary assumptions.

Hypothetical Condition

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 purpose of analysis.”5

This assignment involved no hypothetical conditions.

2 Office of the Comptroller of the Currency under 12 CFR, Part 34, Subpart C-Appraisals, 34.42 Definitions [f].

3 Uniform Standards of Professional Appraisal Practice. 2018-2019 ed., Appraisal Standards Board, 2018.

4 Uniform Standards of Professional Appraisal Practice. 2018-2019 ed., Appraisal Standards Board, 2018.

5 Uniform Standards of Professional Appraisal Practice. 2018-2019 ed., Appraisal Standards Board, 2018.

Competency Rule

I certify that I have the knowledge and experience necessary to complete this assignment and that I have appraised numerous similar properties over the years. Beyond that, I certify that I have geographic com-petence within the subject’s proximate market area. Specifically, my appraisal practice spans more than 38-years, with more than 34-years within the Tampa Bay Metropolitan area. Additional information relat-ing to my education and experience is included in my Professional Qualifications, which are included in the Appendix of this report.

Source of Subject Data & Information

The sources of information relied upon for subject property data included a personal, physical inspection of the property, Public Records maintained by the Hillsborough County Property Appraiser’s Office and the Clerk of the Circuit Court.

Property History

According to the Hillsborough County Clerk of the Circuit Court’s Office, the subject property is under the current ownership of Hillsborough County, and the property is identified as folio number 18159.0000. The most recent transaction involving the subject property took place in March of 2023, when the property was acquired from Florida-Bahamas Service Corp., as recorded as Document Number 2023137720, Public Rec-ords of Hillsborough County. At that time, the property was improved with a fire-damaged church structure which was considered to have no significant contributory value, and the property sold for $1,855,000, which was considered to be more or less reflective of its value at that time, Subsequent to its purchase, the prop-erty’s improvements have been razed.

My search of the public records revealed no other sales of the subject property within the three years pre-ceding the Effective Date of Value, and to the best of my knowledge and belief, the subject property is not presently offered for sale.

Scope of Work

The Scope of Work employed in this appraisal assignment is unique to the subject property, the Intended Use of the appraisal, and any particular requirements or limitations as reflected in the engagement letter or appraisal agreement. The following Scope of Work was considered to be adequate to produce a credible value conclusion that serves the need of the client, and in conformance to applicable standards and legal requirements.

Specifically, in preparing this appraisal, I:

• inspected the subject property;

• inspected the subject neighborhood and the surrounding competitive area;

• evaluated the applicability of the Cost Approach, the Sales Comparison Approach, and the Income Approach, but concluded that only the Sales Comparison Approach was particularly germane to the development of a credible value conclusion – accordingly, the Cost Approach and Income Ap-proach were excluded from further consideration;

• gathered information on comparable sales within the subject’s competitive market, reviewed the properties’ salient characteristics to eliminate from further consideration that data which was not considered particularly germane to the valuation of the subject, confirmed that data considered most relevant, and performed an inspection of each of those comparable properties;

• analyzed the data and applied the Sales Comparison Approach to derive an estimate of value for the subject property; and

• prepared this appraisal report.

As noted above, it was my considered opinion that the scope of research and analyses associated with this appraisal is adequate to produce a credible value conclusion that serves the needs of the client.

SUBJECT PROPERTY SUMMARY

Identification of the Subject

Physical Address: 12701 North Florida Avenue Tampa, Florida 33612

Legal Description: Lot 7, Block 7, NORTH TAMPA HEIGHTS LAND & DEVELOPMENT CO., according to the map or plat thereof, as recorded in Plat Book 3, Page 73, of the Public Records of Hillsborough County, Florida;

LESS the East 145 feet thereof AND LESS the parcel contained in Deed to the State of Florida Department of Transportation, recorded in Official Record Book 6218, Page 119, of the Public Records of Hills-borough County, Florida.

Folio Number: 18159.0000

Apparent Owner of Record: Hillsborough County

Neighborhood Data

Location & Access: The subject is located on the northeast corner of Florida Avenue and 127th Avenue, within an unincor-porated area of Tampa, Hillsborough County, Florida.

In this area, North Florida Avenue is an undivided five-lane north-south arterial roadway, characterized by moderate to moderately-heavy traffic volume. Ac-cording to the Florida Department of Transportation, the 2023 traffic count along this stretch of Florida Av-enue totaled 21,000 cars per day (AADT).

Primary access to subject neighborhood is provided by Florida Avenue, 127th Avenue, Nebraska Avenue, Bearss Avenue, Fletcher Avenue, and Interstate-275.

The network of roadways anchored by these primary arterials is considered to provide good overall access to the subject’s immediate area.

Principal Land Uses: Principal land uses along the commercial corridors within the immediate area of the subject predomi-nately include a variety of low to medium-intensity commercial uses, along with varied medium-intensity residential uses such as mobile home parks and multi-family dwellings Off of the commercial corridors, the predominate land use is single family residential and multifamily residential.

SUBJECT PROPERTY SUMMARY (Continued)

Neighborhood Data (Continued)

Principal Land Uses (Continued): The general area was principally developed from the 1960’s through the 1980’s, and the area is considered to be 90+% built-up. Overall, the conformity of land uses within the area is considered to be average.

Demographics: According to CoStar, the 2023 resident population within a three-mile radius of the subject was estimated at 124,320, with an estimated median household in-come $41,829, and a median home value of $207,152.

Expanding the radius to five-miles yields an estimated population of 297,482, approximately 122,921 house-holds, and an estimated median household income of $48,621. Population growth within both the three-mile and five-mile radii is projected at 0.5% through 2028. Additional demographic data is included be-low.

Externalities: No adverse or detrimental neighborhood conditions such as smoke, smog, dust, noxious odors, vibrations, or excessive noise were observed at the time of in-spection.

Site Data

Size & Shape: The subject site is more or less rectangularly-shaped and contains a total area of 159,772± square feet, or approximately 3.6679± acres. The site has approxi-mately 314.50± front feet along North Florida Ave-nue, with approximately 490.94± front feet along 127th Avenue.

Ingress & Egress: The property has one point of ingress and egress along Florida Avenue, and two points of ingress and egress along 127th Avenue.

Topography & Drainage: The site’s general topography is more or less level to gently sloping, and the surface drainage appeared to be adequate.

Flood Plain: According to the Federal Emergency Management Agency (FEMA) Community Map Panel Number 12057C0212H, dated August 28, 2008, the subject property is situated within Flood Zone “X”, which is not a specified flood hazard area.

Soil Conditions: No soils reports were furnished for the preparation of this appraisal, and it was assumed that the subject soils and sub-soils are adequate to support development.

No engineering or percolation tests were made, no in-vestigation has been made to determine whether or not any detrimental sub-soil conditions exist, and no lia-bility is assumed for soil conditions. Accordingly, the property owner, and the client for this appraisal, are strongly advised to consult appropriate experts in this field.

Adverse or Detrimental Conditions: There were no apparent environmental hazards or other detrimental conditions observed at the time of inspection, although I am not specially-trained for the detection and identification of such substances or con-ditions. (Please refer to the attached Assumptions and Limiting Conditions.)

Easements and Encroachments: No apparent adverse easements or encroachments were noted at the time of inspection.

Site Data (Continued)

Easements and Encroachments: No apparent adverse easements or encroachments were noted at the time of inspection.

Availability of a Survey: A survey of the subject property was not available for the preparation of this appraisal. As a result, the above-captioned site characteristics (dimensions, land area, and site configuration) were based upon deed records, recorded plats, and/or other records and cal-culations obtained from the Hillsborough County Property Appraiser’s Office. This information is gen-erally deemed reliable, but is subject to verification by a qualified professional.

Improvement Data Although the subject property was formerly improved with a small church, the improvements have been razed, and the property is now best characterized as a vacant, undeveloped parcel enclosed by six-foot chainlink fencing.

2023 Tax Assessments & Gross Tax Liability For the 2023 tax year, the subject property was as-sessed at $2,533,928, which was considered to be somewhat higher than the property’s value. This as-sessment resulted in a gross tax liability of $9,746.07.

The taxes for 2023 have been paid.

Delinquent Taxes None reported.

Zoning Classification The subject property is situated in a “PD” Planned De-velopment zoning district, as classified by Hills-borough County. This district is site-specific and site-plan controlled, and in this instance, the subject is en-titled for a child-care facility for a maximum of 100 children, as detailed in Final Conditions of Approval (File 90-0086), a copy of which is included in the Ap-pendix.

The property’s Future Land Use designation is “OC- 20” which allows for residential uses, community commercial type uses, office uses, and mixed use de-velopments up to a maximum of 20-units per gross acre.

HIGHEST & BEST USE

Highest and best use may be defined as:

The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and that results in the highest value. The four criteria the highest and best use must meet are legal permissibility, physical possibility, financial feasi-bility, and maximum profitability.6

That use of land which may reasonably be expected to produce the greatest net return to land over a given period of time. That legal use which will yield to land the highest present value, sometimes called "optimum use."

The highest and best use of the land, if vacant and available for use, may be different from the highest and best use of the improved property. This will be true when the improvement is not an appropriate use and yet makes a contribution to the total property value in excess of the value of the site.

In estimating highest and best use, there are essentially four stages of analysis:

1. Possible Use - To what uses it is physically possible to put the site in question?

2. Permissible Use (Legal) - What uses are permitted by zoning and deed restrictions on the site in question?

3. Feasible Use - Which possible and permissible uses will produce any net return to the owner of the site?

4. Maximally Productive - Highest and Best Use - Among the feasible uses, which use will produce the highest net return or the highest present worth?

As Vacant

Legally Permissible

As previously discussed, the subject property is situated within a “PD” Planned Development zoning dis-trict. This district is site specific and site plan controlled, and the subject site is entitled for a childcare center for up to 100 children. The property’s Future Land Use is “OC-20” Office-Commercial with a maximum density of 20 UPA, which allows for broad spectrum of uses including residential, community commercial, offices and mixed uses.

The subject’s Planned Development zoning entitlements are more than 30-years old, and given the prop-erty’s Future Land Use designation of “OC-20”, rezoning to allow for alternative development is very com-mon for similar properties. It was my opinion that the site could be reasonably rezoned to allow for medium to high-density residential development, general commercial uses, offices, or a mixed use.

6 Appraisal Institute, The Dictionary of Real Estate Appraisal, Second Edition, 1989, page 149.

HIGHEST AND BEST USE (Continued)

As Vacant (Continued)

Physically Possible

The subject site is more or less rectangularly-shaped, and comprises approximately 3.6679± acres (159,772± square feet). The property has approximately 314.50± front feet along Florida Avenue, with 490.94± front feet along 127th Avenue. The property is not situated within a specified flood hazard area, and the site comprises 100% uplands. The area’s available infrastructure is considered adequate to support development, and the property’s size and configuration are considered suitable to accommodate most any small-scale legally permissible uses, with no significant developmental impediments noted.

Financial Feasibility & Maximal Productivity

Given the property’s locational attributes, its size and shape, and the prevailing market conditions, it was my opinion that the highest and best use of the subject property, as though vacant and available for devel-opment, is to rezone for medium to high-density multifamily development or a mixed use development as would be allowed under the site’s “OC-20” Future Land Use designation.

As Improved

N/A

VALUATION PROCESS

In the valuation of the subject property, each of the three traditional approaches to value have been consid-ered, but only the Sales Comparison Approach was considered to be necessary and particularly germane to the valuation of the subject. Even so, a brief description of each of the three approaches follows.

The Cost Approach consists of an analysis of the cost to construct the subject improvements, plus the value of the subject land, less accrued depreciation. Unless the improvements are newly constructed and the site is developed to its highest and best use, the Cost Approach would not be expected to provide a particularly reliable indication of value, and generally speaking, market participants are placing no significant credence on the Cost Approach for properties such as the subject. Therefore, the Cost Approach has been dropped from consideration.

The Sales Comparison Approach consists of a search of the local market for recent sales of reasonably similar properties, located within the proximate area or reasonably similar areas. The data gathered is then analyzed to relate the comparables’ characteristics to those of the subject property. Typically, this approach is very persuasive for the valuation of most properties, although in some instances, the applicability of the Sales Comparison Approach can be limited if the improvements are extraordinary in terms of size, quality, configuration, or special features. This approach was considered necessary to provide a credible value conclusion for the subject.

The Income Approach consists of an analysis of the anticipated income and expenses of the subject derived by comparison with competitive properties in the area. Operating expenses attributable to the property owner are evaluated, and a capitalization rate is developed by the Band of Investment to convert the pro-jected Net Operating Income (NOI) to a value estimate. There is no active leasing market for properties such as the subject, and as such, the Income Approach was not considered to be particularly germane to the valuation of the subject, and it was also dropped from further consideration.

The Final Reconciliation consists of an analysis of the value indications derived via the above-captioned approaches to value, together with the underlying strengths and weaknesses of each of the approaches.

Considerations include the applicability of each approach to the subject’s valuation, the quantity and quality of data available for use within the context of each approach, and the inherent assumptions (if any) neces-sary for the preparation of each approach.

VALUATION OF THE SUBJECT PROPERTY

In the preparation of the Sales Comparison Approach, I searched the surrounding marketing area of recent sales of reasonably similar properties, and four comparable sales were found, inspected and analyzed, one of which was the March 2023 sale of the subject property. However, in addition to these four, I also eval-uated and inspected several other sales although this [additional] data was ultimately dismissed for a variety of reasons, and in the end, the four included sales were considered to be reflective of the most appropriate data available. All of the comparables are located within a four-mile radius of the subject, and each of the comparables sold within the 15-months preceding the Effective Date of Value. Three of the comparables had Future Land Use designations which allowed a density of 20-units per acre, while Sale #3 had a Future Land Use which allows a density of up to 35-units per acre. Collectively, these comparables were consid-ered to be reflective of the best available data, and the pertinent data and information concerning these comparables are summarized in an adjustment grid included in the following pages. A write-up of each comparable sale is included in the Appendix of this report, along with its respective conveyance.

The unadjusted sales prices ranged from $9.75 to $13.03 per square foot of land, while after adjustment, the comparables set forth an indicated value range from $12.50 to $13.21 per square foot, with a mean of $12.96, and a median of $13.06. As warranted, the comparables were adjusted for differences in salient characteristics such as locational attributes, shape/configuration, topographical features, density/highest and best use, and size. Additionally, the land values have continued to increase over the span of these sales, and it was my opinion that adjustments were warranted due to Market Conditions. As such, each of the comparables’ sales prices has been trended upward by 5% per annum, prorated monthly from each compa-rable’s date of sale to the subject’s Effective Date of Value. A brief narrative analysis of the comparables follows.

Sale #1 is the October 2023 sale of a 1.7066± acre parcel located on the west side of North Florida Avenue, approximately one-mile north of the subject. This property was a rectangularly-shaped interior parcel which was zoned “CG” Commercial General. The property’s Florida Avenue frontage had a Future Land Use of “OC-20” which comprised approximately 40% of the site, although the rear 60% of the site was situated within a “Res-4” Future Land Use district. This property sold for $750,000, or approximately equivalent to $10.09 per square foot. This sale’s locational attributes were considered to be more or less similar to the subject’s, although positive adjustments were required due to the comparable’s inferior shape/configuration, and due to its inferior density allocation. In the end, this comparable provided an indicated value of $12.50 per square foot.

Sale #2 is the August 2023 sale of a 1.883± parcel located on the south side of Lazy Lane, approximately three-tenths of a mile west of North Dale Mabry Highway. This property was a rectangularly-shaped inte-rior parcel which was cleared and development ready at the time of sale. The site was zoned “CI” Com-mercial Intensive, with a Future Land Use of “OC-20”. Locationally, this sale was considered to be sub-stantially inferior to the subject, and a large positive adjustment was required. Beyond that, further positive adjustment was necessary due to the sale’s inferior shape/configuration. After adjustments, this comparable provided an indicated value of $13.21 per square foot.

VALUATION OF THE SUBJECT PROPERTY (Continued)

Sale #3 is the March 2023 sale of a 1.7096± acre parcel located on the east side of Nebraska Avenue, from Annie Street to Richmere Street. The property comprised the entire block, although at the time of sale, the property was improved with six old buildings and associated site improvements, which were in overall fair condition at that time. The property sold for a total consideration of $1,600,000, or approximately equiva-lent to $21.49 per square foot of land, including improvements. The buildings at that time comprised ap-proximately 16,743± square feet, and the improvements were estimated to have a contributory value of about $35 to $40 per square foot, or rounded to $630,000, resulting in an estimated residual land value of $970,000, or approximately $13.03 per square foot. This property was zoned “CI” Commercial Intensive, and its Future Land Use designation was “CC-35” Community Commercial-35 (City of Tampa). This comparable’s locational attributes were considered to be slightly inferior to the subject’s, and a small pos-itive adjustment was required. However, this sale’s density allocation was somewhat higher than the sub-ject’s, and a negative adjustment was considered appropriate. After adjustments, this comparable provided an indicated value of $13.16 per square foot.

Finally, Sale #4 is the March 2023 sale of the subject property. At the time of sale, the property was improved with an old church which had been damaged by fire. The property sold for $1,855,000 or ap-proximately equivalent to $11.61 per square foot. Subsequent to its purchase, the improvements were razed, and the only adjustment necessary due to physical differences is a small positive adjustment to reflect the value of the demolition. In the end, this comparable provided an indicated value of $12.96 per square foot.

Although each of the comparables required adjustment, collectively, these sales were considered to provide a highly indicative range of indicated values, providing a lower limit of $12.50 per square foot, an upper limit of $13.21 per square foot, with a mean and median of $12.96 and $13.06, respectively. Before ad-justment the comparables exhibited relative dispersion on a price per square foot basis of 13.54%, while after adjustments, this measure declined to 2.47%. (Please refer to the attached Comparable Sale Adjust-ment Grid.)

Based upon the foregoing data and analysis, it was my opinion the value of the subject property was best estimated at $13.00 per square foot, or rounded to $2,075,000. Therefore, I estimate the “As Is” Market Value of the Fee Simple Interest in the subject property, as of June 24, 2024, and subject to the Assumptions and Limiting Conditions, to be $2,075,000.

“As Is” Market Value

TWO MILLION SEVENTY FIVE THOUSAND DOLLARS

$2,075,000

VALUATION OF THE SUBJECT PROPERTY (Continued)

Subject Sale #1 Sale #2 Sale #3 Sale #4 Location 12701 N. Florida Avenue W/s of Florida Ave, S/of 143rd

Ave S/s of Lazy Lane, appx .3 mi

W/of Dale Mabry Hwy E/s of Nebraska Avenue, from

Annie St to Richmere St to 9th St 12701 N. Florida Avenue

Grantor N/A Schobert H.S.W. Associates, Inc. Shell Florida-Bahamas Service Corp.

Grantee N/A Saja Holdings, LLC Lazy Lane, LLC Douthard Hillsborough County Document Number N/A 2023504034 2023355511 2023119688 2023137720 Date of Sale Jun-24 Oct-23 Aug-23 Mar-23 Mar-23 Consideration N/A $750,000 $800,000 $1,600,000 $1,855,000 Land Area (Upland Ac) 3.6679 1.7066 1.8830 1.7096 3.6679 Zoning "PD" "CG" "CI" "CI" "PD" Future Land Use "OC-20" "OC-20" / "Res-4" "OC-20" "CC-35" "OC-20" Flood Zone "X" "X" "X" "X" "X" Est. Improvement Value N/A N/A N/A $630,000 N/A Price / SF N/A $10.09 $9.75 $13.03 $11.61 Condition of Sale N/A 0.00% 0.00% 0.00% 0.00% Adj. Price/ SF N/A $10.09 $9.75 $13.03 $11.61 Market Condition N/A 3.32% 4.16% 6.31% 6.31% Adj. Price/ SF N/A $10.42 $10.16 $13.85 $12.34

ADJUSTMENTS

Location N/A Similar Inferior Inferior Similar

0.00% 20.00% 5.00% 0.00% Shape/Configuration N/A Inferior Inferior Similar Similar

10.00% 10.00% 0.00% 0.00% Topographical Features N/A Similar Similar Similar Similar

0.00% 0.00% 0.00% 0.00% Density / H&B Use N/A Inferior Similar Superior Similar

10.00% 0.00% -10.00% 0.00% Size N/A Similar Similar Similar Similar

0.00% 0.00% 0.00% 0.00% Other N/A Similar Similar Similar Inferior

0.00% 0.00% 0.00% 5.00% Adj. Price/ SF N/A $12.50 $13.21 $13.16 $12.96

EXPOSURE TIME

Based on information discovered in the course of this and other appraisal assignments, it is my opinion the exposure time (i.e., the length of time the subject property would have been exposed for sale in the market had it sold at the market value concluded in this analysis as of the date of this valuation) would have been within six to twelve months.

ASSUMPTIONS & LIMITING CONDITIONS

The acceptance of this appraisal assignment and the completion of the appraisal report submitted herewith are contingent upon the following general assumptions and limiting conditions:

Confidentiality

Except as provided for subsequently, neither the appraiser(s) nor the appraisal firm may divulge the anal-yses, opinions or conclusions developed in the appraisal report, nor may they give a copy of the report to anyone other than the client or his designee as specified in writing. However, this condition does not apply to any requests made by the Appraisal Institute for purposes of confidential ethics enforcement. Also, this condition does not apply to any order or request issued by a court of law or any other body with the power of subpoena.

Testimony, Consultation, Completion of Contract for Appraisal Service

The contract for each appraisal, consultation or analytical service is fulfilled and the total fee is payable upon completion of the report. The appraiser(s) or those assisting in the preparation of the report will not be asked or required to give testimony in court or in any other hearing as a result of having prepared the appraisal, either in full or in part, except under separate and special arrangements at an additional fee. If testimony or a deposition is required because of any subpoena, the client shall be responsible for any addi-tional time, fees and charges, regardless of the issuing party. Neither the appraiser(s) nor those assisting in the preparation of the report are required to engage in post appraisal consultation with the client or other third parties, except under a separate and special arrangement and at an additional fee.

Exhibits and Physical Descriptions

It is assumed that the improvements and the utilization of the land are within the boundaries of the property lines of the property described in the report and that there is no encroachment or trespass unless noted otherwise within the report. No survey of the property has been made by the appraiser(s) and no responsi-bility is assumed in connection with such matters. Any maps, plats, or drawings reproduced and included in the report are there to assist the reader in visualizing the property and are not necessarily drawn to scale.

The reliability of the information contained on any such map or drawing is assumed accurate by the ap-praiser and is not guaranteed to be correct.

Title, Legal Descriptions, and Other Legal Matters

No responsibility is assumed by the appraiser(s) or the appraisal firm for matters legal in character or nature.

No opinion is rendered as to the status of title to any property. The title is presumed to be good and mar-ketable. The property is appraised as if free and clear, unless otherwise stated in the appraisal report. The legal description, as furnished by the client, his designee or as derived by the appraiser(s), is assumed to be correct as reported. The appraisal is not to be construed as giving advice concerning liens, title status, or legal marketability of the subject property.

ASSUMPTIONS AND LIMITING CONDITIONS (Continued)

Copies, Publication, Distribution and Use of Report

Possession of this report or any copy thereof does not carry with it the right of publication, nor may it be used for any purpose or any function other than its intended use, as stated in the body of the report. The appraisal fee represents compensation only for the analytical services provided by the appraiser(s). The appraisal report remains the property of the appraisal firm, though it may be used by the client in accord with these assumptions and limiting conditions.

The By-Laws and Regulations of the Appraisal Institute require each Member and Candidate to control the use and distribution of each appraisal report signed by such Member or Candidate. Except as hereinafter provided, the client may distribute copies of this appraisal report in its entirety to such third parties as he may select. However, selected portions of this appraisal report shall not be given to third parties without the prior written consent of those signing the appraisal report. Neither all nor any part of this appraisal report shall be disseminated to the general public by use of advertising media, public relations media, news media, sales media, or other media for public communications without the prior written consent of the authors, particularly as to valuation conclusions, the identity of the appraiser(s) or appraisal firm, or any reference to the Appraisal Institute or MAI designation.

This appraisal is to be used only in its entirety and no part is to be used without the whole report. All conclusions and opinions concerning the analysis as set forth in the report were prepared by the appraiser(s) whose signature(s) appears on the appraisal reports unless it is indicated that one or more of the appraisers was acting as "Review Appraiser." No change of any item in the report shall be made by anyone other than the appraiser(s). The appraiser(s) and the appraisal firm shall bear no responsibility for any such unauthor-ized changes.

In accordance with “Rule 436” of the Securities Act of 1933, which states:

A. “If any portion of the report of an expert is quoted or summarized as such in the registration statement or in a prospectus, the written consent of the expert shall expressly state that the expert consents to such quotation or summarization.”

B. “If it is stated that any information contained in the registration statement has been reviewed or passed upon by any person and that such information is set forth in the registration statement upon the authority of or in reliance upon such persons as experts, the written consents of such persons shall be filed with the registration statement.”

The appraiser(s) hereby restricts the use or reference to any and all portions of this report without his (their) written consent of the information to be referenced and the context within which it is to be used.

Information Supplied By Others

Information (including projections of income and expenses) provided by informed local sources, such as government agencies, financial institutions, Realtors, buyers, sellers, property owners, bookkeepers, ac-countants, attorneys, and others is assumed to be true, correct and reliable. No responsibility for the accu-racy of such information is assumed by the appraiser. Neither the appraiser(s) nor the appraisal firm is liable for any information or the work product provided by subcontractors. The comparable data relied upon in this report has been confirmed with one or more parties familiar with the transaction or from affi-davit or other sources thought reasonable. To the best of our judgment and knowledge, all such information is considered appropriate for inclusion. In some instances, an impractical and uneconomic expenditure of time would be required in attempting to furnish absolutely unimpeachable verification. The value conclu-sions set forth in the appraisal report are subject to the accuracy of said data. No single item or information was completely relied upon to the exclusion of the other information, and all data and information was analyzed within the framework of the judgment, knowledge, and experience of the appraiser(s). It is sug-gested that the client consider independent verification as a prerequisite to any transaction involving a sale, a lease or any other commitment of funds with respect to the subject property.

Legality of Use

This appraisal report assumes that there is full compliance with all applicable federal, state and local envi-ronmental regulations and laws, unless non-compliance is stated, defined and considered in the appraisal report. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a nonconformity has been stated, defined and considered in the appraisal report. It is assumed that all required licenses, consents, or other legislative or administrative authority from any local, state or national government, private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based.

Engineering, Structural, Mechanical, Architectural Conditions

This appraisal should not be construed as a report on the physical items that are a part of any property described in the appraisal report. Although the appraisal may contain information about these physical items (including their adequacy and/or condition), it should be clearly understood that this information is only to be used as a general guide for property valuation and not as a complete or detailed report on these physical items. The appraiser(s) is not a construction, engineering, or architectural expert, and any opinion given on these matters in this report should be considered tentative in nature and is subject to modification upon receipt of additional information from appropriate experts. The client is advised to seek appropriate expert opinion before committing any funds to the property described in the appraisal report.

Any statement in the appraisal regarding the observed condition of the foundation, roof, exterior walls, interior walls, floors, heating system, plumbing, insulation, electrical service, all mechanical systems and all matters relating to construction is based on a casual inspection only. Unless otherwise noted in the appraisal report, no detailed inspection was made. For instance, the appraiser is not an expert on air condi-tioning systems and no attempt was made to inspect the interior of the unit. The structures were not inves-tigated for building code violations and it is assumed that all buildings meet the applicable building code requirements unless stated otherwise in the report.

Such items as conditions behind walls, above ceilings, behind locked doors, under the floor, or under the ground are not exposed to casual view and, therefore, were not inspected unless specifically so stated in the appraisal. The existence of insulation, if any is mentioned, was discovered through conversations with others and/or circumstantial evidence. Since it is not exposed to view, the accuracy of any statements regarding insulation cannot be guaranteed.

Because no detailed inspection was made, and because such knowledge goes beyond the scope of this ap-praisal, any comments on observed conditions given in this appraisal report should not be taken as a guar-antee that a problem does not exist. Specifically, no guarantee is given as to the adequacy or condition of the foundation, roof, exterior walls, interior walls, floors, heating systems, air conditioning systems, plumb-ing, electrical service, insulation, or any other detailed construction matters. If any interested party is con-cerned about the existence, condition, or adequacy of any particular item, we would strongly suggest that a mechanical and/or structural inspection be made by a qualified and licensed contractor, a civil or structural engineer, an architect or other experts.

This appraisal report is based on the assumption that there are no hidden, unapparent or apparent conditions on the property site or improvements which would materially alter the value as reported. No responsibility is assumed for any such conditions or for any expertise or engineering to discover them. All mechanical components are assumed to be in operable condition and standard for the properties of the subject type.

Conditions of heating, cooling, ventilating, electrical and plumbing equipment are considered to be com-mensurate with the condition of the balance of the improvements unless otherwise stated. No judgment is made in the appraisal as to the adequacy of insulation, the type of insulation, or the energy efficiency of the improvements or equipment which is assumed to be standard for the subject's age, type and condition.

Toxic Materials and Hazards

The appraiser(s) expressly notify the client that real property values can be drastically affected by contam-ination or other environmental matters. If such facts exist or are found to exist, the conclusions of the appraisal report are not to be relied upon. Unless otherwise stated in the appraisal report, no attempt has been made to identify or report any toxic materials and/or conditions such as asbestos, PCB transformers, urea-formaldehyde foam insulation, or other toxic, hazardous or contaminated substances and/or under-ground storage tanks, or soils or groundwater contamination on any land, air or improvements or soil below or around the site described in the appraisal report. The cost of encapsulation or removal thereof has not been considered in the valuation of the subject. Before committing funds to any property, it is strongly advised that appropriate experts be employed to inspect both land and improvements for the existence of such toxic materials and/or conditions. If any toxic materials and/or conditions are present on the property, the value of the property may be adversely affected and a reappraisal at an additional cost may be necessary to estimate the effects of such circumstances.

The appraiser(s) is not qualified to detect hazardous waste and/or toxic materials. Any comment by the appraiser(s) that might suggest the possibility of the presence of such substances should not be taken as confirmation of the presence of hazardous waste and/or toxic materials. Such determination would require investigation by a qualified expert in the field of environmental assessment.

The presence of substances such as asbestos, urea-formaldehyde foam insulation or other potentially haz-ardous materials may affect the value of the property. The appraiser’s value estimate 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 any environmental conditions, or for any expertise or engineering knowledge required to discover them. The appraiser’s descriptions and resulting comments are the result of the routine observations made during the appraisal process.

Soils, Sub-Soils, and Potential Hazards

It is assumed that there are no hidden or unapparent conditions of the soils or sub-soil which would render the subject property more or less valuable than reported in the appraisal. No engineering or percolation tests were made and no liability is assumed for soil conditions. Unless otherwise noted, sub-surface rights (mineral and oil) were not considered in making this appraisal. Unless otherwise noted, the land and the soil in the area being appraised appeared to be firm, but no investigation has been made to determine whether or not any detrimental sub-soil conditions exist. Neither the appraiser(s) nor the appraisal firm are liable for any problems arising from soil conditions. The appraiser(s) strongly advise that, before any funds are committed to a property, the advice of appropriate experts be sought.

If the appraiser(s) has not been supplied with a wood-destroying organism report, termite inspection report, survey or occupancy permit, no responsibility is assumed and no representation is made for any costs asso-ciated with obtaining same or for any deficiencies discovered before or after they are obtained.

Neither the appraiser(s) nor the appraisal firm assumes responsibility for any costs or for any consequences arising from the need or 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.

Component Values

If the total property value set forth in this report is distributed between land and improvements, this distri-bution applies only under the existing program of utilization as set forth in the appraisal. The separate valuations for land and buildings must not be used in conjunction with any other appraisal and are invalid if so used.

Auxiliary and Related Studies

No environmental or impact studies, special market studies or analyses, special highest and best use studies or…