9739_Land_S_Carpenter_Ave_Orange_City_FINAL.pdf

REAL ESTATE APPRAISAL REPORT

OF

6.7 AC Multi-Family Site

Bennett Ave, S Carpenter Ave & Central Ave Orange City, Florida 32763

As of

May 25, 2023

Prepared For Ms. Taryn J. Gilmore-Laverriere

County of Volusia 3811 Tiger Bay Rd

Daytona Beach, FL 32124 Client File: None

Prepared by

COOKSEY & ASSOCIATES, INC.

T. James Cooksey, MAI, CCIM State-Certified General Real Estate Appraiser

RZ343

John SL Engle Registered Trainee Appraiser

RI23865

File Number: 9739

May 31, 2023

County of Volusia 3811 Tiger Bay Rd Daytona Beach, FL 32124

Re: Appraisal Report, Real Estate Valuation

6.7 AC Multi-Family Site

Bennett Ave, S Carpenter Ave & Central Ave, Orange City, Florida 32763 File Number: 9739

Dear Ms. Gilmore-Laverriere:

At your request, we have prepared the following appraisal report which is a summary of the analysis applied to develop an opinion of market value for the referenced property. This report has been prepared in accordance Uniform Standards of Professional Practice (USPAP) Standards Rule 2-2(a) and is intended to conform to the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute and applicable state appraisal regulations.

The purpose of this appraisal is to form an “As Is” Market Value opinion of the Fee Simple interest of the subject. This opinion was made under market conditions prevailing as of May 25, 2023, the date of the most recent inspection of the subject.

The subject property consists of 10 parcels totaling approximately 6.71 acres of wooded, undulating, multi-family zoned land bisected by two unopened, unimproved rights-of-way located in Orange City, FL. The property is currently listed for sale and under consideration for purchase by Volusia County for development of affordable housing.

Based on the intended use of the appraisal and considering the subject’s physical and economic characteristics, we have prepared an appropriate scope of work to provide for a credible value result. The scope included: 1) An exterior inspection of the subject property was made from adjacent roadways, and photographs taken; 2) An analysis of current economic factors as they pertain to the subject property type; 3) Collection, verification and analysis of comparable sales of similar properties; 4) Analysis of the subject’s existing characteristics and development of the sales comparison approach to value.

Your attention is directed to the Limiting Conditions and Assumptions section of this report (page 8).

Acceptance of this report constitutes an agreement with these conditions and assumptions.

Based on the valuation analysis in the accompanying report, and subject to the definitions, assumptions and limiting conditions expressed in the report our opinion of the “As Is" Market Value of the subject property as of May 25, 2023, is:

$700,000 Seven Hundred Thousand Dollars

Respectfully submitted, Cooksey & Associates, Inc.

RZ343

John SL Engle

TABLE OF CONTENTS

Summary of Important Facts and Conclusions

Overview

Scope of Work Definitions Limiting Conditions and Assumptions Disclosures

Professional Standards Competency Personal Property & Intangibles

Market Area Overview

Volusia County Orange City

Demographics

Life Cycle Stage Demand Generators Appraiser’s Summary of Area Influences Access & Linkages Surrounding Uses

Subject Property

Identification of the Property Legal Description Current Ownership & Sale History Site Description Aerial Map Subject Photographs Assessment and Taxes Zoning

Zoning Map Real Estate Market Cycles CoStar Analytics

Property Strengths & Weaknesses

Highest and Best Use

As Vacant Sales Comparison Approach

Comparable Land Sale Adjustments Sales Comparison Approach Conclusion – Land Valuation

Exposure Time Certification Statement

Addenda

Flood Map Client Engagement Letter Qualifications of Appraisers

9739 Cooksey & Associates, Inc. Page 1

Summary of Important Facts and Conclusions

Property Type Land

Real Estate Appraised

Bennett Ave, S Carpenter Ave & Central Ave Orange City, Florida 32763

Property Rights Appraised Fee Simple

Client

Client File Number None

Intended Use of Appraisal Purchase Decision

Intended User Client

Census Tract 908.04

MSA Daytona Beach

Estimated Exposure Time: 12 Months

Land Size 6.71 ± acres 292,179 ± square feet

Flood Hazard X

Zoning Classification R-3 & R-2 High Density Residential & Medium Density Residential

Highest and Best Use

As Though Vacant As Now Improved

Multifamily Development N/A

Effective Value Date May 25, 2023

Report Preparation Date May 31, 2023

Final Value Conclusion As Is

Value Conclusion $700,000

9739 Cooksey & Associates, Inc. Page 2

Overview

Scope of Work

According to the Uniform Standards of Professional Appraisal Practice, it is the appraiser’s responsibility to develop and report a scope of work that results in credible results that are appropriate for the appraisal problem and intended user(s). The elements to be considered are summarized below in addition to the typical client expectations and typical appraisal work by peers for similar assignments.

Assignment Elements

The problem to be solved is to estimate the 'as is' market value of the subject property. This purpose necessitates identification of seven assignment elements listed below.

1.

The Client (the person who engaged the appraisal and an intended user)

2. Other Intended Users None

3. Intended Use of Report (to aid) Purchase Decision

4.

Standard / Definition of Value Used to Form the Value Opinion

Market Value

5. Key Dates

Effective Value Date

(point in time the value applies)

Report Preparation Date

(date the report was prepared) May 31, 2023

Date Property Appraised was

Observed by One or More Appraisers Signing this Report

6. Assignment Conditions

Extraordinary Assumptions:

An extraordinary assumption is defined by USPAP to be “an assumption, directly related to a specific assignment, which, if found to be false, could alter the appraiser’s opinion or conclusions”.

Extraordinary assumptions presume as fact otherwise uncertain information. In other words, this type assumption involves uncertainty about an underlying premise. An example is a survey that displays a lot size. If the lot size is later found to be much smaller, then the value conclusion may be negatively affected.

USPAP Standard Rule 1-2(f) requires the identification of all extraordinary assumptions that are necessary for credible assignment results.

This appraisal employs the following extraordinary assumptions:

The subject is bisected by multiple unimproved, unopened rights-of-way. We assume these right-of-ways would be vacated and estimate that the effective site area is ± 8.16 acres.

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Hypothetical Conditions:

USPAP defines a hypothetical condition as “that which is contrary to what exists but is supposed for the purpose of analysis”. Hypothetical conditions assume conditions that are contrary to known fact. An illustration is the current valuation of a proposed home. For the purpose of a rational analysis, it is assumed the home exists on the effective value date, but it is known the home is nonexistent. Another example is a new zoning classification, that a property does not have today, but the new zoning is assumed for the purpose of a logical current valuation. Uncertainty is not involved with a hypothetical condition. An essential premise underlying the valuation is known not to exist on the date of value.

USPAP Standard Rule 1-2(g) requires the identification of all hypothetical conditions that are necessary for a credible value opinion.

This appraisal employs the following hypothetical conditions:

None

Expected Public or Private On-Site or

Off-Site Improvements Affecting Value Sewer services to be provided.

Assemblage of Estates or Component

Parts Affecting Value None

Information Not Available, If Any None

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Relevant Characteristics

The 7th assignment element is relevant characteristics about the property appraised. These characteristics are typically categorized as physical, legal, and economic.

Details about the physical attributes of the property appraised are presented later in the Subject section of this report. Some relevant characteristics considered are listed below. Atypical issues are detailed elsewhere herein.

Unless specifically stated otherwise, the estate appraised (listed below) assumes no adverse leases, liens or encumbrances other than normal covenants and restrictions of record.

7a. Physical

Existing Property Use Multi-Family Land

Property Use Reflected in One or More Value Opinions

Future Residential Development

Sources of Information About the Property Appraised

Inspection, public records, information provided by the client, listing agent, etc.

7b. Legal

Category of Property Appraised Real Property

Property Rights Appraised Fee Simple

Legal Issues Considered Yes, The parcels are divided by the unimproved ROW of Bennett Ave and Central Ave

Environmental Concerns No, None known or assumed

7c. Economic

Effect of Lease(s) on Value N/A

Cost Information N/A

Extent of Services Provided

Number of Final Value Opinions Developed

Report Preparation Complies with Requirements Set Forth in USPAP Standard Rule

This is an Appraisal Report as defined by Uniform Standards of Professional Appraisal Practice under Standards Rule 2-2(A). This format provides a summary of the appraisal process, subject and market data and valuation analyses.

Format Appraisal Report

Other Client Requirements None

Extent of Data Research All recent sales of similar zoned property in the market area were reviewed.

Economic Data Sources ESRI; National Association of Realtors, MLS, local government, Appraisal Institute publications.

Documents Considered None

Data Verification Direct and Third Party

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Extent Of Subject Observation by One or More Appraisers Signing Report

An exterior inspection of the subject property was made from adjacent roadways, and photographs taken.

Other Intended Use Considerations

Client's Prior Engagement of Appraisal Services

Numerous

Atypical Issues None

Assignment Complexity Typical Complexity

Miscellaneous Matters

Other Than Signatories, Name(s) of Person(s) Providing Significant Real Property Assistance to the Development of the Value Opinion(s)

John SL Engle, Registered Trainee Appraiser RI23865, assisted in the creation of this report.

Extent and Type of Real Property Assistance

Assistance included research, file set up, inspection of the subject property, comparable research, report writing and reconciliation totaling 16 hours.

Scope of Work Agreement Agreement in Addenda

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Appraisal Development

Appraisal development is the extent of research and analyses that produce one or more credible opinions of value for one or more specifically identified intended users and an explicitly stated intended use. In this context, credible is defined as "worthy of belief".

The appraisal development process included the following tasks:

➢ observation of the property appraised

➢ research for appropriate market data

➢ data verification

➢ consideration of influential market area, physical, economic, and governmental factors

➢ determination of the subject’s highest and best use(s), if appropriate

➢ development of one or more applicable approaches to value

➢ reconciliation of value indications

➢ preparation of this report

According to USPAP, all approaches that are applicable to the interest being appraised and necessary to produce credible results must be developed. The type of highest and best use; extent of feasibility considered;

and the relevance of each major approach are listed below.

Highest and Best Use

Highest and best use analyses can be categorized into two different levels of detail

- inferred and fundamental. A fundamental analysis forecasts demand from broad demographic and economic data like population and income. An inferred analysis is based on local trends and patterns from which inferences are made. Inferred analyses emphasize historical data while fundamental analyses are based on future projections.

An inferred analysis was prepared.

Cost Approach A cost approach was not applied as it is not applicable to land appraisals.

Sales Comparison A sales approach was applied as it most accurately reflects the actions of buyers and sellers in the competing market and is well-supported herein.

Income Approach An income capitalization approach was not applied as land of this type is not typically leased in the subject market.

Applicable and necessary approaches were selected for development after consideration of available market data, intended use, and intended user(s). An approach considered not applicable was omitted because this methodology is not appropriate for the property interest being appraised, or sufficient data to properly develop the approach was not available.

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Definitions

Definition of As Is Market Value: As is market value is defined as, “The estimate of the market value of real property in its current physical condition, use, and zoning as of the appraisal’s effective date.”

(Source: The Dictionary of Real Estate Appraisal, Fifth Edition, Appraisal Institute, Chicago, Illinois, 2010;

also Interagency Appraisal and Evaluation Guidelines, Federal Register, 75 FR 77449, December 10, 2010, page 77471)

Per Interagency; Appraisal and Evaluation Guidelines, December 10, 2010, Federal Register, Volume 75 Number 237, Page 77472

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

• Buyer and seller are typically motivated;

• Both parties are well informed or well advised, and acting in what they consider their own best interests;

• A reasonable time is allowed for exposure in the open market;

• Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and

• The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

A Fee Simple estate is defined as:

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

1 Appraisal Institute, The Dictionary of Real Estate Appraisal, 5th ed. (Chicago: Appraisal Institute, 2010).

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Limiting Conditions and Assumptions

Acceptance of and/or use of this report constitutes acceptance of the following limiting conditions and assumptions; these can only be modified by written documents executed by both parties.

1. This appraisal is to be used only for the purpose stated herein. While distribution of this appraisal in its entirety is at the discretion of the client, individual sections shall not be distributed; this report is intended to be used in whole and not in part.

2. Real estate values are affected by many changing factors. Therefore, any value opinion expressed herein is considered credible only on the effective value date. Every day that passes thereafter, the degree of credibility wanes as the subject changes physically, the economy changes, or market conditions change.

3. No part of this appraisal, its value estimates or the identity of the firm or the appraiser(s) may be communicated to the public through advertising, public relations, media sales, or other media.

4. All files, work papers and documents developed in connection with this assignment are the property of Cooksey & Associates, Inc. Information, estimates and opinions are verified where possible, but cannot be guaranteed. Plans provided are intended to assist the client in visualizing the property; no other use of these plans is intended or permitted.

5. No hidden or unapparent conditions of the property, subsoil or structure, which would make the property more or less valuable, were discovered by the appraiser(s) or made known to the appraiser(s). No responsibility is assumed for such conditions or engineering necessary to discover them. Unless otherwise stated, this appraisal assumes there is no existence of hazardous materials or conditions, in any form, on or near the subject property.

6. Unless otherwise stated in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyl, petroleum leakage, or agricultural chemicals, which may or may not be present on the property, was not called to the attention of the appraiser nor did the appraiser become aware of such during the appraiser’s inspection. The appraiser has no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraiser, however, is not qualified to test for such substances. The presence of such hazardous substances may affect the value of the property. The value opinion developed herein is predicated on the assumption that no such hazardous substances exist on or in the property or in such proximity thereto, which would cause a loss in value. No responsibility is assumed for any such hazardous substances, nor for any expertise or knowledge required to discover them.

7. If this appraisal values the subject as though construction, repairs, alterations, remodeling, renovation, or rehabilitation will be completed in the future, it is assumed such work will be completed in a timely fashion, using non-defective materials, and proper workmanship. All previously completed work is assumed to substantially conform to plans, specifications, descriptions, or attachments made or referred to herein. It is also assumed all planned, in-progress, or recently completed construction complies with the zoning ordinance, and all applicable building codes. A prospective value opinion has an effective value date that is beyond or in the future and can be affected by unforeseen events.

8. Comments or descriptions about physical condition of the improvements, if any, are based solely on a superficial visual observation. Electric, heating, cooling, plumbing, water supply, sewer or septic, mechanical equipment, and other systems were not tested. No determination was made regarding the operability, capacity, or remaining physical life of any component in, on, or under the real estate appraised. All building components are assumed adequate and in good working order unless stated otherwise. Private water wells and private septic systems are assumed sufficient to comply with federal, state, or local health safety standards. No liability is assumed for the soundness of structural members since structural elements were not tested or studied to determine their structural integrity. The roof cover for all structures is assumed water tight unless otherwise noted. Comments regarding physical condition are included to familiarize the reader with the property. This document is not an engineering or architectural report.

9. Any estimate for repairs is a non-warranted opinion of the appraiser.

10. Good title, free of liens, encumbrances and special assessments is assumed. No responsibility is assumed for matters of a legal nature.

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11. Necessary licenses, permits, consents, legislative or administrative authority from any local, state or Federal government or private entity are assumed to be in place or reasonably obtainable.

12. It is assumed there are no zoning violations, encroachments, easements or other restrictions which would affect the subject property, unless otherwise stated.

13. The appraiser(s) are not required to give testimony in Court in connection with this appraisal. If the appraisers are subpoenaed pursuant to a court order, the client agrees to pay the appraiser(s) Cooksey & Associates, Inc.’s regular per diem rate plus expenses.

14. Appraisals are based on the data available at the time the assignment is completed.

Amendments/modifications to appraisals based on new information made available after the appraisal was completed will be made, as soon as reasonably possible, for an additional fee.

15. Cooksey & Associates, Inc. has not made a determination regarding the subject’s American with Disabilities Act of 1990 compliance or non-compliance. Non-compliance could have a negative impact on value; however this has not been considered or analyzed in this appraisal.

Disclosures

Professional Standards

All leading professional appraisal organizations, the U.S. Congress, all state legislatures, and numerous legal jurisdictions recognize the Uniform Standards of Professional Appraisal Practice (USPAP), promulgated by the Appraisal Foundation. Revised biennially to keep it contemporary, these standards set forth ethical practices and proper procedures for a competent appraisal. This appraisal fully complies with all relevant portions of the USPAP version in effect on the date this report was prepared.

Competency

We affirm to have the experience, knowledge, and education to value this type of property. We have previously appraised similar real estate.

Personal Property & Intangibles

Personal property is movable and not permanently affixed to the real estate. Examples of personal property are freestanding ranges, refrigerators, tables, desks, chairs, beds, linen, silverware, hand tools, and small utensils.

An intangible is a nonphysical asset like franchises, trademarks, patents, goodwill, and mineral rights.

None was applicable to this analysis.

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Market Area Overview

Volusia County

Geographic

Volusia County is part of the Deltona-Daytona Beach-Palm Coast Metropolitan Statistical Area (MSA) and covers approximately 1,101 square miles of land area in east central Florida. It is bounded by the Atlantic Ocean to the east and the Saint Johns River to the west. Volusia County is approximately 50 miles northeast of Orlando, 60 miles north of the Kennedy Space Center, and 89 miles south of Jacksonville. The county seat is in Deland which is located on the west side of the county.

The primary incorporated areas are clustered along the eastern coastline and along the western side in proximity to the St. Johns River. The eastern cities, from north to south, are Ormond Beach, Holly Hill, Daytona Beach, South Daytona, Daytona Beach Shores, Port Orange, Ponce Inlet, New Smyrna Beach, Edgewater and Oak Hill. The areas from Ormond Beach south to Port Orange constitute a contiguous urbanized submarket often referred to as East Volusia, or the Greater Daytona Beach metro area. South of Ponce Inlet, the area from New Smyrna to Oak Hill is often referred to as Southeast Volusia, or the Greater New Smyrna Beach metro area. The west Volusia cities of Deland, Deltona, Orange City and Debary, constitute an additional roughly contiguous urban and suburban area. In addition, several smaller rural municipalities and unincorporated areas are located along the western side of the county, such as Pierson, Seville, Osteen and Deleon Springs.

Geographic Data Volusia Florida

Land Area (sqaure miles) 1,101 53,625

Persons per square mile, 2022 513 414.8

9739 Cooksey & Associates, Inc. Page 11

Population

The county’s population as of 2022 was approximately 565,000 making it the twelfth most populous county in the state. Overall, the county’s population grew at an annual rate of 1.19% over the past decade (2010-2020).

This annual rate of population growth is expected to decrease over the next 5 years. The population is projected to reach roughly 580,000 by 2027.

Age, Income, and Education

The county’s median age is 48. Roughly 40% of the county’s residents are 55 years or older which is in line with a trend that indicates retirees are moving to the area from out of state. As far as income goes, the median household income is around $59,000, the average household income is roughly $82,000, and the per capita income is around $35,000. The East Volusia and New Smyrna areas have seen similar to slightly higher growth and income trends and the New Smyrna area in particular leads the county with the highest median incomes.

The west Volusia cities are growing slower but have still seen record new development in recent years, especially in Deland. An estimated 25% of Volusia County residents 25 years and older are college graduates with four-year degrees or higher which significantly lags the 31.5% of college graduates for the state. 40% of residents in Volusia County 25 years or older have a high school diploma/GED or less.

Employment

The top 10 private employers in Volusia County include AdventHealth Systems, Halifax Hospital System, Publix Supermarkets, Inc., Walmart Associates, Inc., Amazon, Embry Riddle Aeronautical University, Florida Healthcare Plans, Brunswick Corporation, Stetson University, and Winn Dixie Super Markets.

Further, the top 10 public employers include Volusia County Schools, State of Florida, County of Volusia, Daytona State College, City of Daytona Beach, United States Postal Service, Volusia County Sheriff’s Office, U.S. Government, City of Deland, and the City of Port Orange.

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Other major employers include, Sykes Communication, International Speedway Corporation, Boston Whaler, Medtronic, Teledyne Oil &Gas, Frontier Communication, DME Marketing, US Foods, Sparton Electronics, Trader Joe’s (distribution), Brown & Brown Insurance, DaVita Labs, NASCAR, Hudson Technologies, Performance Designs, B Braun, Everglades Boats and Edgewater Boats, among others.

The onset of the pandemic resulted in significant increases in the average unemployment rate in Volusia County. Pre-pandemic average unemployment was at 3.4% and increased 4% points to 7.6% in 2020. In 2021, the unemployment rate decreased down to 4.6% and in 2022 the unemployment rate fully recovered to 3.0%, which is less than pre-pandemic levels (2018-2019). The Volusia County workforce size, at the most current date, sits at around 269,000 people with 262,000 employed. Much of these employed persons are in the education and health services industry as well as the retail trade, leisure and hospitality, and business and professional services.

Real Estate and Construction

9739 Cooksey & Associates, Inc. Page 13

Volusia County has seen strong growth in residential building projects and permits. While many areas of the country saw poor economic conditions throughout 2020 and into 2021/2022, Volusia County was experiencing and continues to experience strong construction, as seen by the high values of residential building permits processed in the last three years. 2020 saw an increase in residential building permits in the final 3 quarters and this continued into 2021 with over $300 million worth of permits awarded in each of the final 3 quarters of the year. 2022 saw over $300 million in new residential building permits awarded in each of the first 3 quarters and a preliminary value of $288 million in quarter 4. Volusia County indicates that “for the 12 months ending December 2022, an average of 337 new residential permits have been issued per month.”

http://www.floridabusiness.org/data/economy.stml

There have been numerous residential construction projects occurring throughout the county not just evidenced by the value of new residential construction permits, but also by the sheer number of permits. Through the first 3 quarters of 2022, builders were awarded a total of 3,222 building permits for new homes which is largely similar to 2021, in the same time period.

Some of the main residential development projects include the first phase of Avalon Park Daytona Beach which is set to be a 10,000-home community planned along the south side of State Road 40 (W Granada Blvd), a mile west of I-95, in Daytona Beach. Avalon Park Group plans to have over 1 million square feet of commercial space for restaurants, offices, and retail in the planned development.

Developments already underway include Latitude Margaritaville which is a Jimmy Buffet-themed 55-and-older community as well as local home builder, ICI Homes, building more residential units in north Volusia County and in the southern part of the county in Port Orange. Growth in the residential real estate sector is expected to continue throughout 2023 as demand remains high and supply struggles to keep up.

Commercial construction was greatly affected by the pandemic as seen by the significant decrease in the value of permits awarded in the county between quarters 1 and 2 of 2020. These values did not rebound to pre-pandemic levels until quarter 4 of 2021 and continued into quarter 1 of 2022. However, in quarters 2 and 3 of 2022, new construction permits decreased to close to $100 million which could be explained by a higher cost of construction materials, high interest rates, and inflation.

Amazon announced in late 2021 its plans to build a 2.8 million square foot distribution center just south of the Speedway and Daytona Beach Int’l Airport. As of March 2023, the project is still under construction and should be completed by the end of 2023.

West Volusia is also set to experience big commercial projects including an expansion of the Portland Industrial Park along Interstate 4 in Deltona which is already home to a 1.4 million square foot Amazon distribution center that opened in September 2020.

http://www.floridabusiness.org/data/economy.stml

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Southeast Volusia is expected to begin attracting suppliers to the growing commercial space industry in Brevard County just south of Volusia, according to the Southeast Volusia Manufacturing & Technology Coalition. Among other projects and speculation, a new Veterans Affairs outpatient clinic just broke ground along Williamson Blvd which is the latest addition to the fast growing LPGA corridor that has seen increasing development with a new Buc-ees and retail centers as well as apartments and rental home communities. https://www.news-journalonline.com/story/business/real-estate/2021/12/29/2022-growth-outlook-get-ready-for-more-new-homes-commercial-projects-in-volusia-county/8979928002/

Education

Colleges & Universities

College level educational facilities include Bethune Cookman College, an HBCU located in Daytona Beach, Embry-Riddle Aeronautical University located on the Daytona Beach Int’l Airport, Daytona State College in Daytona Beach with branch campuses throughout Volusia and Flagler Counties, and Stetson University, a private college located in Deland. Other college level campuses in Volusia County include the University of Central Florida which operates on the campus of Daytona State College and a branch campus of Keiser College. The county also offers several vocational/technical schools throughout.

Public Schools

According to the Volusia County School Board, there are 70 public education sites in Volusia County with over 61,000 students in the 2021-2022 school year making it the 14th largest school district in the state. The county has 45 public elementary schools which encompasses grades kindergarten through 5, 12 public middle schools encompassing grades 6 through 8, and 9 public high schools encompassing grades 9 through 12. Furthermore, the county operates 11 alternative education sites, an online education option, and 7 charter schools. Volusia County Schools has been awarded a B grade for its public schools. The public schools contain over 4,000 instructional personnel with average teacher salaries, in 2019, starting at $39,609 and a median salary of $43,333. However, the starting salary is set to increase to $47,500. The student-teacher ratio is 16:1 which is https://www.news-journalonline.com/story/business/real-estate/2021/12/29/2022-growth-outlook-get-ready-for-more-new-homes-commercial-projects-in-volusia-county/8979928002/ https://www.news-journalonline.com/story/business/real-estate/2021/12/29/2022-growth-outlook-get-ready-for-more-new-homes-commercial-projects-in-volusia-county/8979928002/ https://www.news-journalonline.com/story/business/real-estate/2021/12/29/2022-growth-outlook-get-ready-for-more-new-homes-commercial-projects-in-volusia-county/8979928002/

9739 Cooksey & Associates, Inc. Page 15 lower than the state overall at 18:1. The pandemic caused a major decrease in both student enrollment and teacher retention. The schools are funded through ad valorem taxes and impact fees. The 2022-2023 millage rate for schools is $5.482 per $1,000 of assessed value. https://www.vcsedu.org/

Transportation

Air

The Daytona Beach International Airport is a full-service international airport and the county’s largest airport.

The airport encompasses more than 2,000 acres and includes a foreign trade zone and international services with U.S. Customs on site. The airfield and terminal infrastructure can accommodate any size aircraft from any point in the world. Land and facilities for both aviation and non-aviation uses are available for lease. Primary operators on the airport include Embry Riddle Aeronautical University and national air carriers American Airlines, Delta, and Sunwing Airlines. Various private fixed-base operators and flight schools also operate on the airport. Additional municipal airports with significant commercial use are located in Deland, Ormond Beach, and New Smyrna Beach. Several smaller private airports also operate in the county and include Spruce Creek (fly-in community), Massey Air Ranch (Edgewater), and Pierson (grass strip). Notably, Orlando International Airport, located about 60 miles southwest, has domestic and international air passenger and freight services.

https://www.flydaytonafirst.com/airline-and-flight-information/airline-information.stml

Ground

Interstate Highways I-95 and I-4 intersect west of Daytona Beach. Access to the coastal barrier islands is available via six high span bridges from Ormond Beach to New Smyrna Beach. Residential and commercial development in east Volusia is very active along the various east/west corridors. Other primary highways in east Volusia include U.S. 1, Nova Road, and Clyde Morris Boulevard which all run north to south. Highways 17 and 92 are major corridors in West Volusia. Generally, the road infrastructure is very good throughout the county.

Votran is a countywide, tax-supported public transit system and a service of the Volusia County Government. It includes a fleet of 82 revenue-producing fixed route buses and 76 paratransit vehicles which provides public transit to all areas of the county. https://www.votran.org/about-us/index.stml

Greyhound Bus lines, and a variety of charter buses serve the area. Passenger train service is available in Deland, 20 miles west of the metropolitan Daytona Beach Area.

Rail

Railroad transportation includes SunRail which is a commuter line connecting Volusia County with Orlando and various communities along the route. Amtrak also provides transportation along the east coast of the county.

Freight services are offered by CSX Railway, Florida East Coast Railroad, and Norfolk Southern.

Florida East Coast Railway, L.L.C (FEC), a wholly owned subsidiary of Florida East Coast Industries, Inc., operates a 351-mile rail corridor between Jacksonville and Miami, serving densely populated coastal areas of Florida and is the exclusive rail provider for Port Miami, Port of Palm Beach, and Port Everglades. FEC provides premium services to Volusia County serving Ormond Beach, Holly Hill, Daytona Beach, South Daytona, New Smyrna Beach, Edgewater, and Oak Hill. FEC connects with CSX and Norfolk Southern in Jacksonville providing rail customers the ability to send and receive freight throughout North America.

The CSX railroad passes through Volusia County but operates no depot. It provides freight service to Deland, Orange City, Pierson, and DeLeon Springs.

Amtrak is the only passenger train in Volusia County. It makes stops in Deland each day with nearly over 20,000+ boarding and alightings in 2019.

Ports

Port Canaveral is located 68 miles south of Daytona Beach and is the only deep-water port between Jacksonville and West Palm Beach. https://www.portcanaveral.com/Cargo/Navigating-Port-Canaveral https://www.vcsedu.org/ https://www.flydaytonafirst.com/airline-and-flight-information/airline-information.stml https://www.votran.org/about-us/index.stml https://www.portcanaveral.com/Cargo/Navigating-Port-Canaveral

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• Median Controlling Depth: 44 feet

• Facilities: Storage facilities, covered warehouse storage, open-air storage, cold/chill/freezer storage, general purpose free trade zone (FTZ) warehousing.

• Cargo Berths: North Cargo Piers 1 & 2 (continuous); 1290 feet of docking space extending north/south.

• North Cargo Piers 3 & 4; 800 feet of docking space combined extending east/west.

• North Cargo Piers 5 & 6 (continuous); 1872 feet of docking space.

• North Cargo Pier 8; 1020 feet of docking space.

• Cargo Berths: South Cargo Piers 1, 2, and 3 (continuous); 1616 feet of docking space.

• South Cargo Pier 4; 412 feet of docking space

The port of Jacksonville is located 90 miles from Daytona Beach. The port hosts three main areas: Blount Island, Dames Point, and Talleyrand. https://www.jaxport.com/cargo/facilities/

• Median Controlling Depth: 40 feet (plans to deepen to 47 feet by 2022)

• Blount Island ranks as one of the nation’s highest weight-bearing capacity docks, offering 1,000 lbs. per square foot of load capacity on the dock, and 1,800 lbs. per square foot of load capacity via on-dock rail.

o The terminal also offers 240,000 square feet of transit shed space and 90,000 square feet of container freight station.

o 7,205.5 feet of berthing space

• Dames Point has 5,002 feet of deep water berths o 63,000 sq. ft. passenger cruise terminal and an intermodal container transfer facility with 15,400 feet of intermodal rail track

• Talleyrand has 4,780 feet of berthing space o 553,000 square foot warehouse stores a variety of cargo and 713,000 square feet of transit shed space

A number of marinas located along the Intracoastal Waterway provide docking facilities for permanent and transient vessels, as well as other marine services, such as fueling and boat repairs throughout Volusia County.

Healthcare

There are a number of hospitals located in the metropolitan Daytona Beach area. The largest and most prominent is the public, non-profit Halifax Health Medical Center located in Daytona Beach. This medical center is a 678-bed hospital making it one of the largest medical centers in east-central Florida. It provides all major medical and surgical services and the 24 hour emergency department (ED) includes the area’s only Level II

Trauma Center and the only Pediatric ED. Other services offered at this medical center include: Medical and

Surgical Intensive care units, Bone Marrow Transplant, Kidney Transplant, Radiology, Same Day Surgery, and the area’s only Neonatal Intensive Care Unit and Pediatric Intensive Care Unit among other services.

Halifax Health Medical Center of Port Orange serves south Volusia County residents and is a 80-bed hospital that offers a 24/7 Emergency Department, four operating rooms, private patient rooms, 8 intensive care unit beds, and 20 emergency department exam rooms. Services at this location include physical, occupational and speech therapy, imaging services, laboratory services, same-day surgery, and many others. Halifax Health also recently opened the Halifax Health Medical Center of Deltona in 2020 to round out the three hospital system of care and to provide residents of west Volusia with expanded health services. This facility is a 6-story medical center with 43 licensed beds along with a two-story medical annex adjacent to the building. There are 4 operating rooms, 3 multi-purpose special procedure rooms, 13 intensive care rooms, and 30 medical/surgery rooms.

Volusia County is also home to AdventHealth Daytona Beach which consists of a 293-bed main hospital in

Daytona Beach as well as outpatient facilities, located at the Pavilion at Port Orange and the New Smyrna

Health Park. More than 400 physicians practice at these facilities. The main hospital in Daytona Beach has over

1,900 team members, 705 nurses, and over 16,000 inpatient admissions.

Recreation and Entertainment

The major attractions of the area include the Atlantic Ocean beach, known as “The World’s Most Famous

Beach.” This beach stretches from the north peninsula, north of the city limits of Ormond Beach, to the Ponce de https://www.jaxport.com/cargo/facilities/

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Leon Inlet, a distance of between 25 and 30 miles. Additional water recreational activities are available on the

Intracoastal Waterway, known locally as the Halifax River. The Intracoastal Waterway stretches from the state of

Maine to the southern end of Florida. There are numerous marinas on the Intracoastal Waterway and St. Johns

River to the west.

One of the largest attractions in Volusia County is the Daytona International Speedway. The Speedway is home to a number of auto and motorcycle events throughout the year including, the Rolex 24 hour race, Daytona 500, and the Coke Zero Sugar 400. The Speedway grounds are used year round for various new and antique car shows as well as Bike Week that happens at the beginning of March.

Across the street from the Speedway is One Daytona which hosts retail, dining, and entertainment including multiple hotels, luxury apartments, a movie theatre, Bass Pro Shops, and musical performances.

The metropolitan Daytona Beach area is home to numerous public and private golf courses and country clubs, as well as swim and racquet clubs. The Ladies’ Professional Golf Association (LPGA) is located in Daytona

Beach, and operates a resort just west of Interstate 95 north of U.S. Highway 92. This area has two championship golf courses, hotels, office buildings, restaurants, and private residential areas.

The Ocean Center, Volusia County’s convention and civic center, is centrally located on the beachside in

Daytona Beach. This facility is home to musical concerts, trade shows, and convention headquarters. The

Peabody Auditorium is located adjacent to the Ocean Center and is used extensively for cultural events such as musical performances and plays.

There are numerous local public parks located throughout the county, as well as historical gardens. Several state and national parks are also located nearby. There is an abundance of dining facilities throughout the county, from fast food drive-through restaurants to riverside gourmet meals.

Further, the Orlando area, about 60 miles southwest, also offers many attractions, including Walt Disney World

– Disney’s Epcot Center, Magic Kingdom, Hollywood Studios, and Animal Kingdom. Sea World and Universal

Studios Orlando are also located in Central Florida. Sports teams include the Orlando Magic basketball team and the Jacksonville Jaguars NFL team 80 miles north of Volusia County.

Tourism and Lodging

Employment in the tourist-dominated retail trade and services category is a major component of the local economy in Volusia County. Estimates of annual visitors to the beach ranged from 7.2 million in 2020 (a low) to

9.9 million visitors in 2021 as the area rebounds from the pandemic. The present state of the lodging industry and its future has been the object of an ongoing concern by business and community leaders as the county tries to continue to attract tourists after the pandemic. These concerns are bolstered by the fact that the 9.9 million visitors in 2021 still lags behind the 2017 and 2018 visitor counts of over 10 million people.

There are approximately 14,000 hotel rooms in the county, with approximately 9,000 rooms on the ocean which speaks to the decline over the last 20 years when these numbers were closer to 17,000 total hotel rooms and

12,000 rooms near the ocean. As such, the supply of rooms is expected to remain stable or decline as older properties continue to be razed for new condominium development and as vacant land is harder to find in some of the heaviest tourist areas on the beachside.

Daytona Beach anchors the tourism industry in Volusia County along with some smaller communities such as

New Smyrna Beach. Tourist activity is seasonal. Special events, including speed week, auto races, Bike Week, and spring break buoy occupancy and room rates during the months of February to April. In fact, in February

2022 hotel occupancy in Daytona Beach increased 12.4% over the previous February occupancy numbers.

Further, daily rates have been increasing and revenue per available room has seen an uptick which shows tourists are returning to Volusia County and the metropolitan Daytona Beach area. The charts below show the hotel occupancy, average daily rate, and revenue per available room for each month in years 2021 and 2022.

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June to August is primarily a family vacation period attracting families for extended stays and a high volume of

Central Florida residents for day and weekend trips at oceanfront properties along the coast. The major single event that anchors these summer months is the Coke Zero Sugar 400 at the Speedway. The traditional offseason for tourism in Volusia County are the fall and winter months from September to January.

These trends of increasing and stabilizing tourism are also motivating redevelopment primarily in Daytona

Beach on East International Speedway Boulevard (ISB) which is the main artery directly to the Boardwalk, Ocean Center, and many of the attractions that bring visitors. East ISB has historically been a bustling half-mile stretch, but, in recent, has struggled to attract development and investors. Daytona city officials have pushed for

$22 million to overhaul the district with construction slated to begin in early 2023 and end nearly a year later.

The redevelopment of this area includes dozens of opportunities for new restaurants, family attractions, shops, pubs, and other retail and commercial uses. Revitalizing this stretch of ISB is of utmost importance to the city and is set to bolster tourism and attract more visitors. https://www.news-journalonline.com/story/news/local/volusia/2022/05/01/daytona-beachside-corridor-positioned-for-new-development-and-resurrection/7150169001/

Hotel

Occupancy

(OCC)

Hotel Average

Daily Rate

(ADR)

Revenue Per

Available

Room (RevPar)

January 53.80% $139.96 $75.34

February 66.00% $182.59 $120.48

March 75.00% $194.39 $145.83

April 69.90% $173.73 $120.87

May 62.60% $166.21 $104.11

June 68.90% $157.91 $108.82

July 77.20% $166.70 $128.65

August 59.00% $147.52 $86.98

September 51.20% $121.66 $62.29

October 56.20% $137.54 $77.34

November 50.40% $134.04 $67.52

December 50.50% $130.63 $66.00

2022 Daytona Beach Hotel Statistics

Hotel

Occupancy

(OCC)

Hotel Average

Daily Rate (ADR)

Revenue Per

Available Room

(RevPar)

January 49.30% $106.57 $52.56

February 59.00% $123.78 $73.02

March 80.50% $150.41 $121.10

April 74.30% $143.27 $106.39

May 68.20% $147.35 $100.55

June 76.10% $159.57 $121.46

July 80.40% $175.70 $141.25

August 57.80% $142.47 $82.40

September 49.40% $121.48 $59.98

October 56.50% $129.45 $73.19

November 54.40% $133.70 $72.78

December 51.50% $119.69 $61.64

2021 Daytona Beach Hotel Statistics https://www.news-journalonline.com/story/news/local/volusia/2022/05/01/daytona-beachside-corridor-positioned-for-new-development-and-resurrection/7150169001/ https://www.news-journalonline.com/story/news/local/volusia/2022/05/01/daytona-beachside-corridor-positioned-for-new-development-and-resurrection/7150169001/ https://www.news-journalonline.com/story/news/local/volusia/2022/05/01/daytona-beachside-corridor-positioned-for-new-development-and-resurrection/7150169001/

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Orange City

Orange City is an established suburban community positioned between the Daytona Beach and Orlando market areas and is part of the Deltona/Daytona Beach/Palm Coast MSA. It serves primarily as a bedroom community serving the city centers to the north and south and is made up of older, established single family subdivisions and commercial urban sprawl along its arterial roadways. New residential development is the primary driver of growth in the area with several infill subdivisions being built in recent years. New commercial development has primarily occurred along secondary roadways in newer shopping projects. The primary corridor, US 17-92 (Volusia Ave) sees a large volume of through-traffic.

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Demographics

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Life Cycle Stage

Overall market area expansion

Demand Generators

Residential demand is generated by the population base, which is growing at a rate of 1.24% annually in the Orange City area. The continued influx of new population will sustain demand for housing. The lack of available affordable housing is a major problem in the subject’s market area.

Appraiser’s Summary of Area Influences

The West Volusia market area has been experiencing a growth phase for several years following the Great Recession. Recent interest rate increases have begun to tamper the pace of homebuying and rising costs. New construction of residential units is just keeping pace with demand. Commercial growth is occurring along primary corridors and concentrated centers of commercial activity like US 17-92 to the north in Deland and Howland Blvd to the east in Deltona.

Access & Linkages

The subject is located one block west of S Volusia Ave (US 17-92). US 17-92 is a primary arterial roadway running roughly north-south through central Florida. To the north lies Deland, the Volusia County seat, and to the south lie the cities of Sanford and Orlando. Saxon Blvd to the south of the subject is the primary east-west thoroughfare serving Orange City. It provides access to I-4 and Deltona to the west.

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Surrounding Uses

North: Single Family Homes South: Single Family Homes,…