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APPRAISAL REPORT FOR TWO VACANT PARCELS
MEASURING 16.29 AND 1.94 ACRES IN THE PARADISE RANCHOS
WINNEMUCCA, NEVADA 89445
AS OF MAY 26, 2016
PREPARED FOR: HUMBOLDT COUNTY C/O DAVE MENDIOLA
COUNTY ADMINISTRATOR 50 W. FIFTH STREET ROOM 205 WINNEMUCCA NEVADA 89445
316 California Avenue #575
Reno, Nevada 89509 (775) 742-7212 Fax (775) 746-0169 June 15, 2016 Project #: 16-014 Humboldt County Dave Mendiola, County Administrator 50 West Fifth Street Winnemucca, Nevada 89445 Re: Appraisal Report for Two Vacant Parcels Measuring 16.29 and 1.94 acres in the Paradise Ranchos, Winnemucca, Nevada 89445 Mr. Mendiola:
As requested, an appraisal report was completed for two vacant parcels measuring 16.29 and 1.94 acres in the Paradise Ranchos, Winnemucca, Nevada. This appraisal has been prepared in conformance with the Uniform Standards of Professional Appraisal Practice (USPAP) and the Code of Professional Ethics of the Appraisal Institute. Humboldt County is considered the client for the assignment and is the intended user. The intended use of the appraisal is to assist the client with asset valuation for potential sale. The purpose of the report is to determine the market value of the land for the above referenced properties. The appraisal is subject to the easements and restrictions of record along with the attached assumptions and limiting conditions. An inspection of the properties occurred on May 26, 2016 and this is considered the date of value.
The subject parcels are approximately 20 miles north of Winnemucca in an area
commonly referred to as the Paradise Ranchos. Both lots are zoned AG-5-Agricultural and are further identified by Humboldt County Assessor’s parcel numbers 3938-12-200-005 (16.29 acres) and 3938-02-200-020 (1.94 acres). The parcels are vacant with no site improvements and municipal water and sewer services are not available in the Paradise Ranchos. Based on the data and the analysis in the attached report, it is my opinion that the fee simple market value of the lot is as follows:
Market Value Conclusion Parcel Size (ac) Market Value
3938-12-200-005 16.29 $16,000 3938-02-200-020 1.94 $2,900
If there are any questions or addition information is needed, please do not hesitate to contact us at (775) 742-7212. Sincerely, STOCKTON & ASSOCIATES LLC
Howard N Stockton Nevada Certified General Appraiser License Number: A.0206455-CG (exp. 11/30/2017)
TABLE OF CONTENTS Summary of Important Facts and Conclusions .......................................................................... 1
Assignment Conditions Property Identification ..................................................................................................................... 1 Purpose of the Appraisal .................................................................................................................. 2 Definition of Value .......................................................................................................................... 2 Intended Users ................................................................................................................................. 2 Intended Use .................................................................................................................................... 2 Interest Appraised ............................................................................................................................ 2 Effective Date of Value ................................................................................................................... 2 Extraordinary Assumptions ............................................................................................................. 3 Scope of Work ................................................................................................................................. 3 Ownership History ........................................................................................................................... 3 Competency of the Appraiser .......................................................................................................... 3 Market Area Regional Map ................................................................................................................................... 4 Humboldt County Analysis .............................................................................................................. 5 Market Area Map ........................................................................................................................... 14 Market Area Characteristics .......................................................................................................... 14 Subject Properties Site Maps ....................................................................................................................................... 17 Assessor’s Parcel Maps .................................................................................................................. 19 Site Photographs ............................................................................................................................ 21 Property Identification and Site Description .................................................................................. 26 Highest and Best Use ..................................................................................................................... 30 Valuation Analysis Introduction to Valuation Analysis ................................................................................................ 32 Sales Comparison Approach .......................................................................................................... 32 Sales Comparison Analysis for 16.29 Acre Parcel ........................................................... 33
Comparable Sales and Listing Map .................................................................................. 33 Summary of Comparable Sales and Listing ...................................................................... 33 Comparable Sale Summary Sheets ................................................................................... 34 Comparable Sales Adjustment Grid .................................................................................. 41 Sales Comparison Conclusion .......................................................................................... 41
Sales Comparison Analysis for 1.94 Acre Parcel ............................................................. 42 Comparable Sales Map ..................................................................................................... 42 Summary of Comparable Sales ......................................................................................... 42 Comparable Sale Summary Sheets ................................................................................... 43 Comparable Sales Adjustment Grid .................................................................................. 49 Sales Comparison Conclusion .......................................................................................... 49
Exposure and Marketing Time ....................................................................................................... 50 Appraiser Certification ................................................................................................................... 51 Appendix Assumptions and Limiting Conditions Appraiser Qualifications
Project #: 16-014 1 Paradise Ranchos Land Appraisal
SUMMARY OF IMPORTANT FACTS AND CONCLUSIONS
Location: Approximately 20 miles north of Winnemucca in the Paradise Ranchos
Assessor’s Parcel Numbers: 3938-12-200-005 and 3938-02-200-020 Owner of Record: Humboldt County Zoning: The zoning is classified as AG-5 General
Agricultural Land Area: 16.29 acres (3938-12-200-005) and 1.94 acres
(3938-02-200-020) Improvements: The parcels are vacant land with no site
improvements Client: Humboldt County Intended User: Humboldt County Intended Use: Assist clients with asset valuation for potential sale Interest Appraised: Fee simple, subject to any utility easements Highest & Best Use: The highest and best use for the 1.94 is single-
family residential use. The highest and best use for the 16.29 acre parcel would also be for residential use, or as a possible acquisition by the adjacent agricultural operation.
Value Conclusion: 3938-12-200-005: $16,000 3938-02-200-020: $2,900 Effective Date of Valuation: May, 26 2016 Exposure/Marketing Time: Approximately six to eight months Property Identification:
The 16.29 acre parcel is in northeast portion of the Paradise Ranchos on Godchaux Road.
The 1.94 acre parcel is also on Godchaux Road, but is in the northwest portion of the Paradise
Ranchos. The legal descriptions given on recently recorded deeds is provided in the Property
Identification and Site Description portion of the report.
Project #: 16-014 2 Paradise Ranchos Land Appraisal
Purpose of the Appraisal:
The purpose of this appraisal is to determine the market value of the subject parcels.
Definition of Value:
Market Value: means the most probable price which a property should bring in a
competitive and open market under all conditions requisite to a fair sale, the buyer and seller
each acting prudently and knowledgeably, and assuming the price is not affected by undue
stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the
passing of title from seller to buyer under conditions whereby:
(1) Buyer and seller are typically motivated;
(2) Both parties are well informed or well advised, and acting in what they consider their own
best interests;
(3) A reasonable time is allowed for exposure in the open market;
(4) Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and
(5) The price represents the normal consideration for the property sold unaffected by special or
creative financing or sales concessions granted by anyone associated with the sale.
(Source: Office of the Comptroller of the Currency under 12 CFR, Part 34, Subpart C- Appraisals, 34.42 Definitions [f].)
Intended User(s):
The intended user of this appraisal report is Humboldt County.
Intended Use:
The appraisal will assist the client with asset valuation for potential sale.
Interest Appraised:
The fee simple interest is being appraised.
Effective Date of Value:
The opinions of value, as set forth in this report, apply as of May 26, 2016.
Project #: 16-014 3 Paradise Ranchos Land Appraisal
Extraordinary Assumptions/Hypothetical Conditions:
Standard Assumptions and Limiting Conditions are provided in the addenda of this
report. No other extraordinary assumptions/hypothetical conditions were used for completion of
this assignment.
Scope of Work:
The following scope of work is considered sufficient for the appraisal assignment
conditions:
• Inspection of the properties to determine their physical characteristics and competiveness
in the market;
• Identification and analysis of the subject neighborhood;
• Completion of a Highest and Best Use Analysis;
• Completion of a Sales Comparison Approach using the official records of Humboldt
County and third party providers for recent comparable sales;
• Verification of gathered sales data via examination of recorded documents and
discussions with parties involved with the transaction (when applicable);
• Preparation of a summary report in accordance with the Uniform Standards of
Professional Appraisal Practice
Ownership History:
Humboldt County has owned both subject properties for at least ten years.
Competency of the Appraiser:
Howard N. Stockton has the knowledge and experience necessary to complete this
assignment and as appraised similar property types previously. Appraiser qualifications are
included in Appendix to this report.
Project #: 16-014 4 Paradise Ranchos Land Appraisal
Regional Map
Project #: 16-014 5 Paradise Ranchos Land Appraisal
Humboldt County Analysis:
Introduction
Humboldt County occupies the north/central portion of Nevada and contains 6.2 million
acres, of which 80 percent are owned by the federal government. The climate is considered
semi-arid with less than 12 inches of precipitation a year and approximately 220 days of
sunshine. According to the State of Nevada Demographer, Humboldt County’s population was
17,057 for 2015. The majority of the population is in or around Winnemucca which serves as
the county seat and is the county’s only incorporated city. For 2015, Winnemucca had a
population of 7,802 which makes up 46% of the total population. Although not incorporated,
Humboldt County has other Census Designated Places such as Golconda (314), Denio (47),
Grass Valley (1,161), Paradise Valley (109), and McDermitt (172). The Humboldt County Fire
Protection District is made up of 6 volunteer fire departments that are mostly staffed by
volunteers within each community. The City of Winnemucca Police Department and Humboldt
County Sheriff’s Department provide law enforcement and emergency services. Although
Humboldt County is a large, sparsely populated part of Nevada, state and federal highways link
it to surrounding areas. Interstate 80 bisects the county and connects to Reno to the west (170
miles) and Elko to the east (127 miles). Nevada State Route 95 travels in a north/south direction
through Orovada and McDermitt before continuing to Oregon and Idaho. Burlington Northern
and Union Pacific Railroad operate freight lines while Amtrak’s California Zephyr carries
passengers between Oakland, California and Chicago, Illinois. The Winnemucca Municipal
Airport is five miles south of Downtown and has two asphalt runways that measure 100’ X
7,000’ and 75’ X 4,800’. For 2012 an average of 70 aircraft operations occurred per day. The
type of operations consisted 63% general aviation, 31% transient, and 6% air taxi.
The main industries in Humboldt County are mining and agriculture. Northeast Nevada
is one of the top gold producing regions in the world, and international mining companies such
as Barrick Gold and Newmont operate large scale mines in the area. As of 2014, the Twin
Creeks Mine, Turquoise Ridge Mine, and the Hycroft Mine have produced 385,169, 259,345,
and 214,345 ounces of gold. Humboldt County also benefits from other mining operations such
as the Florida Canyon and Midas Mines that are located in adjacent counties. Not only do the
mines provide high paying jobs, but they also require the service of numerous subcontractors
Project #: 16-014 6 Paradise Ranchos Land Appraisal
who operate in the area. In addition to the mining industry, agriculture is a source of economic
activity. Winnemucca is home to one of the largest potato fields in the United States and has one
of the largest potato dehydration facilities in the world.
Population
As is typical with many counties throughout the intermountain west, a large portion of
Humboldt County’s population lives outside of incorporated cities and urban areas.
Winnemucca is the only incorporated city/town in Humboldt County. In 2015, Winnemucca had
a population of 7,802, which accounted for approximately 46% of the total county population.
The following table summarizes the population trends in Humboldt County from 2005 to 2015.
Humboldt County Population 2005 to 2015
Year Population % Change
2005 17,293 --
2006 17,751 2.65
2007 18,052 1.70
2008 18,014 -0.21
2009 17,690 -1.80
2010 18,364 3.81
2011 17,135 -6.69
2012 17,384 0.41
2013 17,457 0.42
2014 17,388 -0.40
2015 17,057 -1.90 Source: State of Nevada Demographer
As depicted by the above table, the population in Humboldt County has fluctuated from
year to year. However, the overall population has remained fairly stable with a decrease of 236
over the last ten years. Since the 2010 population of 18,364, there has been a decreasing tend
with only 2012 and 2013 showing minor increases. In the State of Nevada Demographer’s report
titled “Nevada County Population Projections 2015 to 2033”, the Humboldt County population
is forecasted to decrease an average of -1.05% per year for the next ten years. The moderate
Project #: 16-014 7 Paradise Ranchos Land Appraisal
forecasted rates of decline are not anticipated to generate a significant amount of additional
demand for commercial and residential real estate.
Employment
The mining and agriculture industries in Humboldt County helped to reduce the impacts
felt from the economic recession of 2008. While the unemployment rate of larger metropolitan
regions in Nevada saw their annual unemployment rate spike to 13% and higher in 2010,
Humboldt County’s unemployment rate reached an annual peak of 9.0%. In fact, the Humboldt
County unemployment rate has been consistently lower than Reno/Sparks and Las Vegas
regions. The following chart summarizes the unemployment rates for the last 11 years.
Source: Nevada Department of Employment, Training, and Rehabilitation
As depicted in the chart, the unemployment rate from 2005 to 2008 was fairly steady with
rates ranging from 4.0% to 5.0%. From 2008 to 2010 the rate gradually increased until hitting a
peak of 9.0% in 2010. Since 2010 it has steadily decreased each year and now as an average rate
of 5.9% for 2015. Even though employment did soften in Humboldt County during the Great
Recession of 2008, it did not suffer nearly as bad as other Nevada cities where unemployment
rates of 13%-14% were common. This phenomenon was the result of increases in exploration
and production in mining due to the historically high gold prices. Exploration and expansion
activities for the mines not only impacts overall employment, but it also is beneficial to other
industries such as retail, construction, and wholesale trade. The following table breaks down the
jobs by industry for Humboldt in 2004 and 2014.
4.0%
9.0%
5.9%
0.0%1.0%2.0%3.0%4.0%5.0%6.0%7.0%8.0%9.0%
10.0%
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
UN
EM
PLO
YM
EN
T R
AT
E
YEAR
Humboldt County Unemployment Rate 2005 To 2015
Project #: 16-014 8 Paradise Ranchos Land Appraisal
# JobsCount Share Count Share Change
Agriculture, Forestry, Fishing and Hunting 201 2.97% 327 4.20% 126Mining, Quarrying, and Oil and Gas Extraction 1,703 25.15% 2,289 29.39% 586Utilities 135 1.99% 134 1.72% -1Construction 353 5.21% 371 4.76% 18Manufacturing 299 4.42% 251 3.22% -48Wholesale Trade 163 2.41% 160 2.05% -3Retail Trade 734 10.84% 822 10.55% 88Transportation and Warehousing 242 3.57% 183 2.35% -59Information 76 1.12% 57 0.73% -19Finance and Insurance 80 1.18% 55 0.71% -25Real Estate and Rental and Leasing 30 0.44% 32 0.41% 2Professional, Scientific, and Technical Services 47 0.69% 89 1.14% 42Management of Companies and Enterprises 7 0.10% 0 0.00% -7Administration & Support, Waste Management and Remediation 201 2.97% 244 3.13% 43Educational Services 545 8.05% 592 7.60% 47Health Care and Social Assistance 396 5.85% 559 7.18% 163Arts, Entertainment, and Recreation 101 1.49% 98 1.26% -3Accommodation and Food Services 941 13.90% 929 11.93% -12Other Services (excluding Public Administration) 136 2.01% 162 2.08% 26Public Administration 382 5.64% 434 5.57% 52
Total: 6,772 100% 7,788 100% 1,016
20152005Jobs by NAICS Industry Sector for Humboldt County, Nevada
Source: US Census Bureau Center for Economic Studies
As illustrated in the table, 11 out of the 20 industries experienced job gains between 2005
and 2015. Although the largest gain occurred in the mining industry where there was a 586 gain
in jobs, US Bureau Center for Economic Studies statistics shows mining employment as high as
2,504 for the third quarter, 2012. Employment in the mining industry has declined since the
third quarter 2013; however, the decline is not as pronounced as other mining counties in
Nevada. Despite the slowdown in mining, other industries have grown. A total net job increase
of 1,016 has occurred from 2005 to 2015. Outside of mining, the largest gains were seen in
Health Care and Social Assistance (163), Agriculture (126), Retail Trade (88), and Public
Administration (52).
Based on the NAICS Industry Sector breakdown of the Humboldt County employment,
the largest industry employers are Mining (29%), Accommodation and Food Services (12%), and
Retail Trade (11%). According to the Nevada Department of Employment, Training, and
Rehabilitation Nevada’s Largest Employers Third Quarter 2015 survey for Humboldt County,
Newmont Mining Corporation, Turquoise Ridge Joint Venture, and the Goldcorp Marigold
Mining Company make up three out of the four largest employers in Humboldt County. The
third largest employer is the Humboldt County School District with 400 to 499 employees.
Other large employers include: Wal-Mart Super Centers (200 to 299); Humboldt General
Hospital (200 to 299); and the Winners Hotel and Casino (100 to 199). Even though the
Accommodation and Food Services industry does not have an employer in the top five, the
tourism, meetings/convention industry is important to the Humboldt County economy and three
Project #: 16-014 9 Paradise Ranchos Land Appraisal
out of the fifteen top employers are Casino/Gaming operations. The following chart is a
Summary of the largest Humboldt County Employers for the Third Quarter 2015.
Summary of Largest Humboldt County Employers Third Quarter 2015
EMPLOYER INDUSTRY # OF EMPLOYEES
Newmont Mining Corporation Mining 500 to 599
Turquoise Ridge Joint Venture Mining 400 to 499
Humboldt County School District Government 400 to 499
GoldCorp Marigold Mining Company Mining 300 to 399
Wal-Mart Super Center Retail 200 to 299
Humboldt General Hospital Health Care 200 to 299
Humboldt County Government 200 to 299
Winners Hotel and Casino Casino/Gaming 100 to 199
Manpower Temporary Services Temp Help Services 100 to 199
Model T Casino Resort Casino/Gaming 100 to 199
Hycroft Resources Mining 100 to 199
Winnemucca Inn Casino/Gaming 100 to 199
NV Energy Power Plant 90 to 99
Carry-On Trailer Manufacturing 90 to 99
Bureau of Land Management Government 80 to 89 Source: Nevada Department of Employment, Training, and Rehabilitation
Personal Income and Spending
The positive trend in personal income per capital for Humboldt County gives insight to
the importance of the mining industry. While many other Nevada communities experienced
decreases in income during the Great Recession, personal incomes in Humboldt County were on
the rise. From 2004 to 2008, personal incomes went from $29,300 to $36,031 which is an
increase of nearly 23%. After slight 1.70% increase in 2009 to $36,642, incomes continued to
trend higher. Eventually they peaked at $43,665 in 2011 before decreasing back down to
$42,214 in 2013. As previously discussed, employment in the mining industry began to decrease
during the Third Quarter 2012 and the flattening of the Per Capita Personal Income curve is
likely the result of the reduction of mining activities. The following graph depicts the Per Capita
Personal Income for Humboldt County from 2004 to 2015.
Project #: 16-014 10 Paradise Ranchos Land Appraisal
Source: Bureau of Economic Analysis
Taxable sales in Humboldt County tend to follow the net proceeds of minerals assessed
and are not as closely tied to the per capita personal income statistics. The graph below
summarizes the taxable sales per year in Humboldt County since 2005.
Source: Nevada Department of Taxation
As depicted in the graph, taxable sales in Humboldt County experienced robust growth
from 2005 to 2013, increasing over 137%. Then as mining activity decreased in 2012 and 2013,
taxable sales decreased 20% and 26% for 2014 and 2015. Despite the recent decreases, the
overall trend since 2005 is positive. From 2005 to 2015 taxable sales in Humboldt County have
increased 49% over the last ten years from $387.6 million to $577.5 million. It is anticipated that
$29,300
$43,665$43,025
$20,000
$25,000
$30,000
$35,000
$40,000
$45,000
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Per Capita Personal Income Humboldt County Nevada
$387.6
$748.1
$921.1$780.8
$577.5
$0$100$200$300$400$500$600$700$800$900
$1,000
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Taxable Sales for Humboldt County (millions)
Project #: 16-014 11 Paradise Ranchos Land Appraisal
personal incomes and taxable sales will continue to closely follow precious metal value trends in
the market place.
Mining, Tourism, and Agriculture Economic Metrics
Based on the NAICS industry breakdown for jobs and the largest employers in Humboldt
County, the mining and tourism industries are the largest employers of Humboldt County
residents. For 2015, the mining industry accounted for 29% of all jobs in Humboldt County.
Nevada is consistently the top gold producer in the United States, and it generally ranks seventh
or eighth worldwide. The following chart depicts the 10 year value trend for an ounce of gold.
Ten Year Price of Gold per Ounce
Source: Goldprice.org
The price was less than $600/oz. in early 2006 and exceeded $1,800/oz. in September of
2011. This 200% increase in the price of gold resulted in increased mining exploration and
expansion. The increased activity fueled economic growth as taxable sales and personal incomes
reached all-time highs in 2013. As the price of gold went from $1,660/oz. in early January of
2013 to $1,200/oz. in December, the Humboldt County economy began to soften.
Project #: 16-014 12 Paradise Ranchos Land Appraisal
The close proximity of Winnemucca to numerous large mining operations make it a
natural destination for transient subcontractors who service the mines. This along with locally
promoted special events and recreational opportunities make the tourism/accommodation an
important industry. Since 2010, the room tax is 12% of the total rate. The room tax revenue
increase of 51% from 2010 to 2011 corresponds with the price of gold. While there has been a
decrease from the high of $2,362,407, the five year trend remains positive. The following chart
depicts the room tax revenue for the last five years.
Winnemucca Room Tax Revenue from 2010 to 2015
Source: Winnemucca Convention and Visitors Authority
Even though the Agriculture industry is not one of the top employers in Humboldt
County, it is a vital part of the economy and has a substantial impact of other sectors such as
retail spending. According to the U.S. Department of Agriculture 2012 Census, Humboldt
County is the top producer of agricultural products in Nevada. For 2012, $135 million of
agricultural products were sold, which is an 82% increase from $74 million in 2007. Over the
same five year period, the number of farms increase from 254 to 359. Winnemucca Farms Inc. is
one of the largest farming operations in the state with approximately 15,000 irrigated acres with
potatoes as the largest crop. Due to the high potato production, one of the biggest potato
dehydration facilities in the world is located in Humboldt County.
$1,461,273
$2,218,800$2,132,824
$2,362,407
$2,094,776$2,002,034
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
2010 2011 2012 2013 2014 2015
Room Tax
Project #: 16-014 13 Paradise Ranchos Land Appraisal
Conclusion
Economic trends over the last 10 years in Humboldt County have performed better than
many other communities in Nevada. Despite of the Great Recession of 2008 and the subsequent
slow recovery, Humboldt County’s unemployment rate has remained relatively low. The
average yearly unemployment rate reached 9.0% in 2010 before trending down to a current rate
of 5.9%. Historically, the Humboldt County economy has been closely tied to the mining
industry. The Governor’s Office of Economic Development estimates the mining industry
accounts for 16,100 jobs with an average annual wage of $83,600 statewide. Much of the
growth the past decade has been the result of the price of gold and an increase in mining activity.
While the price of gold has decreased from $1,700 to $1,800 levels seen in 2011 and 2012, the
current value of approximately $1,200 is still profitable. It is estimated to cost $400 to $600 per
ounce to extract the gold. Consequently, the price of gold would have to experience a 50% or
more decrease before the mines would no longer be profitable.
In an effort to reduce the region’s dependence on mining, state and local governments
have supported efforts to diversify the economy. The Humboldt Development Authority (HDA)
provides business relocation services and promotes the business friendly environment in
Humboldt County. Winnemucca’s location between Reno and Salt Lake City provides one-day
truck service to California, Oregon, Idaho, and parts of Arizona. In addition, the HDA is
promoting the Winnemucca Airport Industrial Park for future industrial development. Even
though there are efforts to diversify Humboldt County’s economy, it is still largely dependent on
mining industry.
Project #: 16-014 14 Paradise Ranchos Land Appraisal
Market Area Map
Market Area Characteristics:
Location and Neighborhood Boundaries
The subject properties are located approximately 20 miles north of Winnemucca in an
area known as the Paradise Ranchos. The Paradise Ranchos is a small community made up
mostly of manufactured homes and vacant land. The neighborhood boundaries are Winnemucca
Farms to the south; Nevada State Route 290 to the north; U.S. Highway 95 to the west; and the
Nevada State Route 290
Paradise Junction
U.S. Highway 95
Godchaux Road
Paradise Ranchos Drive
Project #: 16-014 15 Paradise Ranchos Land Appraisal
Hot Springs Range to the east. U.S. Highway 95 travels in a north/south direction along the
neighborhood’s western edge and is the primary transportation route to the neighborhood. U.S.
Highway 95 connects to Winnemucca 20 miles to the south and the Quinn River Valley 14 miles
to the north. At the Paradise Valley Junction, which is at the northwest corner of the
neighborhood, State Route 290 intersects with U.S. Highway 95 and travels along the eastern
side of the Santa Rosa Mountains into Paradise Valley.
Zoning and Land Use
The subject is the community commonly referred to as the Paradise Ranchos. The zoning
in the Paradise Ranchos is AG-5 Agriculture. The stated purpose for AG-5 zoning is “to be
applied to those areas of the county which do not, by their nature, require exclusive agricultural
zoning, but which should be protected from encroachment of residential densities which would
demand urban services.” The majority of the lots are between 4.0 and 20.0 acres and have
manufactured homes. Since the zoning allows for horses and livestock, many of the homes have
horse property improvements. Commercial land uses are limited to the Chevron gas station and
convenience store at the Paradise Junction and a closed bar on U.S. Highway 95. Winnemucca
Farms has over 15,000 acres of potatoes and other crops in production to the south. To the north,
Paradise Valley also has large ranching and farming operations. Land use to the west is mainly
vacant land owned and managed by the BLM, while land use to the immediate east consists of
vacant land surrounding the Little Humboldt River, which is mostly under private ownership of a
local ranches.
Public Facilities and Employment Centers
The residents of the Paradise Ranchos rely on Winnemucca for their public service needs.
Since municipal water and sewer services are not available in the Paradise Ranchos, residences
must rely on individual wells and septic systems. First responder and emergency services are
provided by the Humboldt County Sheriff’s Department, and the Paradise Hills Volunteer Fire
Station can respond to fires and minor medical incidents. In the event of a serious medical
emergency, patients are transported to Humboldt General Hospital in Winnemucca. Since the
Paradise Ranchos do not have the population to support public facilities or services, residents
must make the 20 mile trip to Winnemucca.
Project #: 16-014 16 Paradise Ranchos Land Appraisal
Employers in the immediate area around the Paradise Ranchos consist of mainly farming
and ranching operations found in the Paradise and Quinn River Valleys. Winnemucca Farms is
adjacent to the southern boundary and has over 15,000 acres of crops in production. Outside of
agriculture employment, the nearest employment centers would be in Winnemucca.
Life Cycle of Market Area
Market areas have a dynamic quality and can often change with people’s preferences or
changes in economic conditions. Land uses within a market area will typically evolve through
four stages:
1. Growth- period when market area gains public favor and acceptance
2. Stability- market area is in equilibrium without marked gains or losses
3. Decline- period of diminishing demand
4. Revitalization- period of renewal, redevelopment, modernization, and
increasing demand
As previously mentioned in the Humboldt County Regional Analysis, the Humboldt
County economy is highly dependent on the mining industry. However, agriculture is the main
industry in the Paradise and Quinn River Valleys. Data from the U.S. Department of Agriculture
2012 Census shows dramatic increases in agricultural products sold and total number of farms in
Humboldt County since the 2007 Census. Home sales in the Paradise Ranchos from 2013, 2014,
and 2015 were examined to see if a pricing trend could be determined. Due to the high
variability between home quality, sizes, and condition, median sale price trends are not useful.
Although the data is inconclusive, the overall market is considered to be stable without strong
pricing trends in either direction.
Project #: 16-014 17 Paradise Ranchos Land Appraisal
Subject Properties:
16.29 Acre Parcel Site Map
Source: Humboldt County GIS
Subject
Project #: 16-014 18 Paradise Ranchos Land Appraisal
1.94 Acre Site Map
Source: Humboldt County GIS
Subject
Project #: 16-014 19 Paradise Ranchos Land Appraisal
16.29 Acre Assessor’s Parcel Map:
Subject
Project #: 16-014 20 Paradise Ranchos Land Appraisal
1.94 Acre Assessor’s Parcel Map:
Subject
Project #: 16-014 21 Paradise Ranchos Land Appraisal
16.29 Acre Site Photographs:
Subject from eastern boundary looking west Subject from southern boundary looking north
Subject from southwest boundary looking east Looking west from center of subject
Project #: 16-014 22 Paradise Ranchos Land Appraisal
16.29 Acre Site Photographs:
Subject northern boundary looking west Subject from northern boundary looking southeast
Northeast boundary looking southeast Godchaux Road looking southeast
Project #: 16-014 23 Paradise Ranchos Land Appraisal
16.29 Acre Site Photographs:
Weatherby Drive looking south Godchaux Road looking northwest
Project #: 16-014 24 Paradise Ranchos Land Appraisal
1.94 Acre Site Photographs:
Southeast corner of subject looking west Southwest corner of subject looking north
Northwest boundary looking southeast Winchester Drive looking east
Project #: 16-014 25 Paradise Ranchos Land Appraisal
1.94 Acre Site Photographs:
Winchester Dr. from Godchaux Rd. looking west Godchaux Rd. looking northwest
Godchaux Rd. looking southeast Paiute Trail Rd. looking south
Project #: 16-014 26 Paradise Ranchos Land Appraisal
Property Identification and Site Description:
Property Type: Vacant land
Address: When developed, the parcels would likely have a Godchaux Road address.
Location: The subject properties are in the Paradise Ranchos community approximately 20
miles north of Winnemucca. The 16.29 acre parcel is located at the Godchaux Road and
Weatherby Drive intersection, which is approximately two miles southeast from the Godchaux
Road/State Route 290 intersection. The 1.94 acre parcel is approximately a half mile from the
State Route 290 intersection. The Assessor’s map shows the 1.94 acre parcel on the southeast
side of the Paiute Trail Road and Godchaux Road intersection. However, the street sign at the
intersection identifies Paiute Trail Road as Winchester Drive. It is likely that this was done to
make it easier to find the homes on Winchester Drive.
Assessor’s Parcel Number: 3938-12-200-005 and 3938-02-200-020
Legal Description: A title report was not provided to the appraiser for review. Recently
recorded deeds for the subject properties give the following legal descriptions:
3938-12-200-005
3938-02-200-020
Owner of Record: Humboldt County
Project #: 16-014 27 Paradise Ranchos Land Appraisal
Land Size and Shape: The subject parcels measure 16.29 and 1.94 acres in size. The 16.29 acre
parcel is mostly rectangular in shape, while the 1.94 acre parcel has a triangle shape. The
triangular shape does decrease the parcel’s utility; however, it would not prevent a home from
being placed/constructed on the site.
Access and Street Improvements: Both parcels have access from Godchaux Road. Godchaux
Road starts at State Route 290 and goes in a southeast direction for about 4.5 miles before ending
near the Little Humboldt River. It is one of the few paved roads in the Paradise Ranchos and is
collector street for the neighborhood. Godchaux is a rural, country road that does not have
sidewalks or street lights. Portions of Godchaux Road have ditch drainages that run parallel with
the right-of-way, and drainage culverts go under many of the intersecting roads. For the 16.29
acre parcel, the Assessor’s parcel map shows Remington Drive adjacent to the western boundary
and intersecting with Godchaux Road to the north. The parcel map also shows Browning Drive
adjacent to the southern boundary and intersecting with Godchaux to the east. However, both of
these roads are not in existence at this time. As a result, the 16.29 acre parcel can be accessed
from the roughly 680 feet of frontage from Godchaux Road or the 190 feet of frontage from
Weatherby Drive which is adjacent to the eastern boundary.
For the 1.94 acre parcel, the Assessor’s parcel map shows Winchester Drive adjacent to
the southern boundary. Winchester Drive is a faint dirt road near the subject. Access to the 1.94
acre parcel is from the 540 feet of frontage on Godchaux Road or the 350 feet of frontage on
Paiute Trail Road. It should be noted that the street sign labels Paiute Trail Road as Winchester
Drive at the Godchaux Road intersection. It is likely that the sign was intentionally labeled as
Winchester Drive so traffic could easily find homes on the street.
Utilities: Municipal water and sewer services are not available in the Paradise Ranchos.
Property owners must install a well and septic system for development. NV Energy is the
electricity purveyor and power lines run adjacent to both subject parcels. Residences must use
individual propane tanks as natural gas is not available.
Topography and Drainage: Both parcels are on the valley floor and have relatively level
topography. Since drainage features were not seen on either parcel, it is anticipated that
Project #: 16-014 28 Paradise Ranchos Land Appraisal
precipitation infiltrates into the subject soils. Dirt drainage ditches run parallel with Godchaux
Road and metal culverts are under some of the intersecting roads. Besides natural drainage
channels, these minor improvements were the only drainage features seen in the area.
Soils: An engineering report detailing the soil conditions was not provided to the appraiser, and
the building capacity is unknown.
Flood Zone: According to Federal Emergency Management Agency (FEMA) Flood Insurance
Rate Map number 32013C2725C, which has an effective date of March 17, 2010, the subjects
are located in Flood Zone X. FEMA defines Flood Zone X as “areas determined to be outside of
0.2% annual chance flood”. This designation does not require flood insurance.
Earthquake Zone: Humboldt County is located in a Seismic Risk Zone 3. This zoning
encompasses areas, which have a number of local faults and where there is a relatively strong
probability of moderate to strong seismic activities during an earthquake event. The building
code for Humboldt County requires buildings to be engineered for this level of seismic risk.
Zoning: The subjects are within Humboldt County’s jurisdiction and are zoned AG-5 General
Agricultural District. According to Humboldt County Code, AG-5 zoning is applied “to those
areas of the county which do not, by their nature, require exclusive agricultural zoning, but
which should be protected from encroachment of residential densities which would demand
urban services.” AG-5 allows a lot density of one parcel per five acres. Permitted uses for AG-5
zoning include: single-family dwellings; mobile homes; dwellings and other buildings
customarily used in conjunction with a permitted use; ranching, farming, and agricultural
activities; the sale and display of products grown or raised on the premises; growing of field,
forage and plant crops of all kinds; breeding and raising of poultry and livestock; riding
academies; transmission lines; and water supply reservoirs.
Humboldt County Site Development Standards
Zoning Minimum Lot Size Lot Width
Lot Depth Height
Setback Front
Setback Side
Setback Rear
AG-5 5 acres 160 ft. 170 ft. 35 ft. 15 ft. 15ft. 10 ft. Source: Humboldt County Code Title 17 Appendix
Project #: 16-014 29 Paradise Ranchos Land Appraisal
Easements: A title report was not provided to the appraiser for review. A review of Assessor
parcel maps does not show easements on any of the parcels. It is possible that powerlines that
run along adjacent road right-of-ways may have easements that extend onto the subject parcels.
However, it is anticipated that they would not interfere with development and have minimal
impact to the parcels.
Environmental Hazards: An environmental site assessment is beyond the scope of work for this
appraisal assignment. No obvious environmental hazards were noted during the site inspection.
Property Assessment and Taxes: Nevada has a bifurcated ad valorem tax system with two
components of value. The first component is the land, which is valued as vacant and at market
value. The second component consists of buildings and site improvements. Replacement cost
new is calculated each year using figures provided by Marshall and Swift. After replacement
cost new is calculated, the state mandated straight-line depreciation rate of 1.5% per year old is
applied. The maximum amount of depreciation that can be applied is 75% for structures that are
50 years in age or older. The depreciated improvement value is added to the land value to arrive
at a total taxable value. Nevada Revised Statutes state that the total taxable value can equal but
not exceed fair market value. The Nevada assessment percentage of 35% is applied to the total
taxable value to arrive at an assessed value. The tax rate is applied to the assessed value to
calculate the tax amount.
In 2005 the Nevada State Legislature passed Assembly Bill 489 (AB 489). This bill was
signed into law by the Governor in April of 2006. The bill caps the amount property taxes can
increase each year. For residential properties that are considered a primary residence, the most a
property tax bill can increase is 3% per year. For vacant land, rental, and commercial properties,
the maximum tax increase is 8%. When the cap prevents taxes from being paid on the full
assessment amount, the taxes are abated. The taxes will increase by 3% or 8% each year until
the taxpayer is paying on the full assessment. The fiscal year for property taxes begins on July 1
and ends on June 30. The following is an assessment summary for the subject properties:
Project #: 16-014 30 Paradise Ranchos Land Appraisal
Real Property Tax Summary for 16.29 Acre Parcel
Year Land Improvements Total Taxable Total Assessed Taxes Due
2016-17 $9,500 $0 $9,500 $3,325 Exempt
2015-16 $9,500 $0 $9,500 $3,325 Exempt
2014-15 $9,500 $0 $9,500 $3,325 Exempt
Real Property Tax Summary for 1.94 Acre Parcel Year Land Improvements Total Taxable Total Assessed Taxes Due
2016-17 $3,000 $0 $3,000 $1,050 Exempt
2015-16 $3,000 $0 $3,000 $1,050 Exempt
2014-15 $3,000 $0 $3,000 $1,050 Exempt
Even though the subjects are owned by Humboldt County and exempt from property
taxes, the Assessor still calculates a total taxable value. If the 2015-2016 tax rate of 2.376% is
maintained for the 2016-2017 fiscal year, the estimated taxes would be about $79 per year for the
16.29 acre parcel, $25 for the 1.94 acre parcel.
Highest and Best Use Analysis:
The Appraisal of Real Estate Thirteenth Edition defines the Highest and Best Use as,
“The reasonably probable and legal use of vacant land or an improved property that is physically
possible, appropriately supported, and financially feasible and that results in the highest value”.
The highest and best use of a property is determined by the competitive forces within the subject
market area. The Highest and Best Use (HBU) analysis begins with an investigation into the
potential land use as if the site were vacant. If it is decided that sufficient demand exists to
develop the property, the type of improvement that results in the highest value is determined.
The second part of the HBU analysis examines how the property’s current improvements
contribute to the overall value of the property. The economic benefits of demolishing,
renovating, or leaving the improvements in their current condition are all considered when
defining the HBU of the property. In order to be the highest and best use, the following four
criteria that must be met: 1) Physically possible; 2) Legally permissible; 3) Financially feasible;
4) Maximally productive.
Project #: 16-014 31 Paradise Ranchos Land Appraisal
Highest and Best Use Analysis for 16.29 Acre Parcel
The 16.29 acre parcel has relatively level topography, gravel road access, and powerlines
exist in the Weatherby Drive and Godchaux Road right-of-ways. The AG-5 zoning would allow
the parcel to be split into (5) five acre residential lots. Each lot would require its own well and
septic system. As mentioned in the Life Cycle of the Market Area section of the report, the
Paradise Ranchos is considered a stable market with little to no growth occurring. Most of the
lots are vacant land, and there are approximately 38 current land listings in the Paradise Ranchos.
In 2015 there were 15 land sales, and 5 sales thus far in 2016. Based on the number of listings
and the number of sales per month, there is over a three year supply of vacant lots currently on
the market. As a result of the over-supply of lots, there is little demand for the additional parcels
that would be created by subdividing the subject. Consequently, it is not considered to be
financially feasible to subdivide. The most probable buyer would likely view the subject as a
horse property and discount the excess acreage. In addition to horse property use, the subject
would offer an expansion opportunity for the adjacent agricultural operation. Extension of the
adjacent cultivated fields represents the maximally productive use; however, it is not known if
the owners are looking to expand. It is the opinion of the appraiser that the subject’s highest and
best use would be as a single residential property, or acquisition by the adjacent owner for
expansion of their cultivated fields.
Highest and Best Use Analysis for 1.94 Acre Parcel
The subject parcel is a 1.94 acre lot that has relatively level topography with paved access
from Godchaux Road and gravel access from Paiute Trail Road. The lot has a triangle shape and
power lines exist in the Winchester Drive right-of-way which is adjacent to the southern
boundary. The subject is large enough that both a well and septic could be installed for
residential use. The AG-5 zoning would not allow the parcel to be split into smaller lots. In fact,
the 1.94 acre parcel size is non-conforming to the current zoning; however, this would not
preclude it from residential use. Although there is an over-supply of lots in the neighborhood,
the subject’s paved access and close proximity to State Route 290 are desirable attributes.
Overall, it is the opinion of the appraiser that the highest and best use of the subject is use as a
manufactured home site.
Project #: 16-014 32 Paradise Ranchos Land Appraisal
Introduction to Valuation Analysis:
Once the appraisal problem and purpose are identified, there are three recognized
methodologies used to calculate the value of a property. The three approaches to value are the
cost, sales comparison, and income. Each value indication from the three approaches is
reconciled to arrive at a final value. In the cost approach, a property is valued based on a
comparison of the cost to build a new or substitute property. The depreciation of existing
improvements is calculated and then subtracted from the costs to arrive at an adjusted value for
the property. This approach is commonly used for new improvements that have experienced
minimal depreciation, or special use properties that are rarely bought and sold in the market
place. The sales comparison approach relies on the principle of substitution, which says that the
price paid for a property tends to be set by the price to acquire a substitute property of similar
desirability and utility. This method is most effective when adequate market data exists for
properties similar to the subject. The final method in the appraisal process is the income
approach to value. For the income approach, a property’s capacity to generate future benefits
and capitalizes the income into an indication of value. This approach is most effective for
income producing properties.
The purpose of this appraisal is to estimate the “as is’ market value of the subject
properties. Since the subject properties are currently vacant land with no improvements, the cost
and income approaches to value are not applicable. Consequently, they are not being utilized for
this appraisal assignment.
Sales Comparison Approach:
In order to estimate a market value for the subject properties, an extensive investigation
for sales comparable to the subject was conducted. Humboldt County Assessor’s Office records
along with third-party data providers were searched for sales comparable to the subject. Factors
such as location, sale date, land size, and zoning were considered while reviewing the sales data.
For the 16.29 acre parcel, the most probable buyer would likely compare the total sale price
along with the sale price per acre of competitive properties. Consequently, the sale price per acre
Project #: 16-014 33 Paradise Ranchos Land Appraisal
is being used as a unit of comparison. For the 1.94 acre parcels, the most probable buyer would
likely use the overall sale price as the unit of comparison.
Sales Comparison Analysis for 16.29 Acre Parcel
Comparable Sales and Listing Map
Summary of Comparable Sales and Listing
Sale # Parcel Number Address Sale Date Sale Price
Land Area (AC) Zoning $/AC
LS-1 3938-11-300-005 Colt Drive 7/10/14 $20,000
20.00 AG-5 $1,000
LS-2 3938-12-200-007,008 Godchaux Road 3/23/12
$16,000 12.64 AG-5 $1,266
LS-3 3938-12-300-003, 001 Mountain View Drive 7/28/14
$20,000 20.00 AG-5 $1,000
LS-4 3939-05-400-007, 008, 009, 010 Beretta Drive 2/17/16
$27,000 19.28 AG-5 $1,400
LST-1 3938-13-200-017, 012, 011, 016 Weatherby Drive Listing
$20,000 18.46 AG-5 $1.083
Subject 3938-12-200-005 Godchaux Road N/A 16.29 AG-5 N/A
Subject
LS-2
LS-1
LS-3
LS-4
LST-1
Project #: 16-014 34 Paradise Ranchos Land Appraisal
LAND SALE LS-1
Address: Colt Drive Parcel Number(s): 3938-11-300-005 Lot Size (acres): 20.00 Zoning: AG-5 Sale Date: 7/10/14 Grantor: Smile 4U Inc. Sale Price: $20,000 Grantee: James Smith/Justin Roberts Sale Price/ac: $1,000 Document #: 2036 Transfer Tax: $78.00 Verified: Deed, Declaration of Value Notes:
LS-1 involved the purchase of a 20 acre parcel approximately two miles to the west. Even though LS-1 is a short distance to U.S. Highway 95, the road that accesses the property goes from gravel to a rough dirt road. LS-1 is similar to the subject in location but is further from power. While LS-1 is 3.71 acres larger than the subject, the size difference is not likely enough to adjust the sale price per acre unit of comparison. However, the larger size does result in the total sale price being a high indicator.
Project #: 16-014 35 Paradise Ranchos Land Appraisal
LAND SALE LS-2
Address: Godchaux Road Parcel Number(s): 3939-12-200-007, 008 Lot Size (acres): 12.64 Zoning: AG-5 Sale Date: 3/23/12 Grantor: Astrid Schweigart Sale Price: $16,000 Grantee: Joseph & Christal Patchen Sale Price/ac: $1,266 Document #: 1797 Transfer Tax: $62.40 Verified: Deed, Declaration of Value Notes:
LS-2 consists of the purchase of two 6.32 acre parcels across Godchaux Road from the subject. LS-2 is similar to the subject in location, access, and distance to power. LS-2’s smaller lot size is somewhat offset by the fencing that was in place at time of sale. Overall, LS-2 is considered a strong comparable sale and a reasonable indicator of value.
Project #: 16-014 36 Paradise Ranchos Land Appraisal
LAND SALE LS-3
Address: Mountain View Drive Parcel Number(s): 3938-12-300-001, 003 Lot Size (acres): 20.00 Zoning: AG-5 Sale Date: 7/28/14 Grantor: Reese Investments Inc. Sale Price: $20,000 Grantee: Marcia Noles Sale Price/ac: $1,000 Document #: 2335 Transfer Tax: $78.00 Verified: Deed, Declaration of Value Notes:
LS-3 consisted of the purchase of (2) ten acre parcels approximately half of a mile to the west. LS-3 shares the subject’s location and distance to power; however, the distance to travel on gravel road is further than the subject. While LS-3 is 3.71 acres larger than the subject, the size difference is not likely enough to adjust the sale price per acre unit of comparison. However, the larger size does result in the total sale price being a high indicator.
Project #: 16-014 37 Paradise Ranchos Land Appraisal
LAND SALE LS-4
Address: Beretta Drive Parcel Number(s): 3939-05-400-007, 008, 009, 010 Lot Size (acres): 19.28 Zoning: AG-5 Sale Date: 2/17/16 Grantor: Gordon E. Cadd Sale Price: $27,000 Grantee: PY Properties LLC Sale Price/ac: $1,400 Document #: 512 Transfer Tax: $105.30 Verified: Deed, Declaration of Value Notes:
LS-4 consisted of the purchase of four contiguous parcels that have a combined acreage of 19.28. The parcels are approximately two miles to the northeast and are accessed by traveling on a gravel road for approximately 3.5 miles. LS-4 is similar to the subject in distance to power and lot size; however, the access and remote location are inferior. LS-4 is considered to be inferior to the subject and other comparable sales, yet it sold for the highest price. The $1,400/acre sale price appears to be a high outlier and was given little weight in the analysis.
Project #: 16-014 38 Paradise Ranchos Land Appraisal
LAND LISTING LST-1
Address: Weatherby Drive Parcel Number(s): 3938-13-200-011, 012, 016, and 017 Lot Size (acres): 18.46 Zoning: AG-5 Sale Date: Listing Grantor: N/A Asking Price: $20,000 Grantee: N/A Ask Price/ac: $1,083 Document #: N/A Transfer Tax: N/A Verified: United Country Real Estate
Listing Notes:
LST-1 is a listing of (4) contiguous parcels that have a combined acreage of 18.46. LST-1 is located approximately one mile to the south and is similar to the subject in location, distance to power, and parcel size. The gravel road access is further to pavement than the subject. LST-1 is listed with Kelly Draper of United Country Real Estate and has been on the market for over 300 days with and asking price of $20,000. LST-1 is a reasonable indicator of value, but it requires a slight downward adjustment for being a listing.
Project #: 16-014 39 Paradise Ranchos Land Appraisal
Comparable Sales and Listing Adjustments
In order to arrive at a conclusion for the sales comparison approach, it is necessary to
consider the differences between the subject and comparable sales. For the purposes of this
analysis, quantitative adjustments are made for property rights conveyed, financing, conditions
of sale, expenditures after purchase, and market conditions. Qualitative comparisons are made
for differences in location, access, distance to power, and size. The following includes a
discussion of the adjustments made followed by an Adjusted Sales Grid.
Property Rights Conveyed: Each of the comparable sales involved the fee simple interest. No
adjustments for property rights conveyed are made.
Financing: No adjustments for financing are made.
Conditions of Sale: No adjustments for conditions of sale are made.
Expenditures after Purchase: No adjustments are made for expenditures after purchase.
Market Conditions: As previously mentioned in the Life Cycle of Market Area, home sales from
the last three years do not show strong pricing trends in either direction, and growth in the
Paradise Ranchos is limited. Consequently, a time adjustment to the comparable sales for market
conditions is not necessary. Land sale prices were compared to listing asking prices for
transactions that occurred in 2015 and 2016. The difference between sale and asking prices
ranged from 0.0% to -30.0% with a median of -4.0% and an average of -11.1%. Based on the
limited data, an adjustment of -8% is made to LST-1 for its listing status.
Location: The subject is in the central part of the Paradise Ranchos. Being close to pavement
and having convenient access to either U.S. Highway 95 or State Route 290 is a desirable
attribute. LS-2, LS-3, and LST-1 have locations similar to the subject. Although LS-1 is closer
to U.S. Highway 95, the access is from a rough dirt road that takes considerable time to travel.
The rough road conditions are somewhat offset by the shorter distance to the highway. LS-4 is
Project #: 16-014 40 Paradise Ranchos Land Appraisal
located at the eastern edge of the neighborhood and requires travel over 3.5 miles of gravel road.
As a result of the long distance to State Route 290, LS-4’s location is inferior.
Access: The subject is on Godchaux Road, which is one of the main roads in neighborhood.
Although Godchaux Road turns from paved to gravel just over a mile to the northwest, the gravel
road is well maintained. LS-2 is located across the street from the subject and has similar access.
LS-3, LS-4, and LST-1 are also on gravel roads; however, they are farther from paved roads than
the subject. As a result, their access is considered inferior. The access to LS-1 is from a rough
dirt road that is also inferior to the subject.
Distance to Power: Connection to power is convenient for the subject as power lines run in the
Godchaux Road and Weatherby right-of-ways. LS-2, LS-3, LS-4, and LST-1 also have
convenient access to power. It is estimated that power lines are over 200 feet from LS-1.
Size: Economies of scale results in a reduction for the price per unit as the number of units
increase. For example, an investor would expect to pay a lower price per acre as the acreage of
the lot increases. Although LS-1, LS-3, LS-4, and LST-1 land areas of 20, 20, 19.28, and 18.46
acres are larger than the subject’s 16.29 acres, they all have similar utility and use. Buyers
would likely view the additional acreage as excess land and discount its value. LS-2’s size of
12.64 acres is getting to the level where economies of scale may become a factor. Consequently,
a small downward adjustment to the sale price per acre for LS-2 is reasonable.
Project #: 16-014 41 Paradise Ranchos Land Appraisal
Comparable Sales and Listing Adjustment Grid
Sales LS-1 LS-2 LS-3 LS-4 LST-1Sale Date 7/10/2014 3/23/2012 7/28/2014 2/17/2016 ListingSale Price $20,000 $16,000 $20,000 $27,000 $20,000Parcel Size (ac) 20.00 12.64 20.00 19.28 18.46Sale Price/ac $1,000 $1,266 $1,000 $1,400 $1,083AdjustmentsProperty Rights Conveyed
0% 0% 0% 0% 0%
Adjusted Value $1,000 $1,266 $1,000 $1,400 $1,083Financing 0% 0% 0% 0% 0%Adjusted Value $1,000 $1,266 $1,000 $1,400 $1,083Conditions of Sale 0% 0% 0% 0% 0%Adjusted Value $1,000 $1,266 $1,000 $1,400 $1,083Expenditures After Purchase
0% 0% 0% 0% 0%
Adjusted Value $1,000 $1,266 $1,000 $1,400 $1,083Market Conditions 0% 0% 0% 0% -8%Adjusted Vale/Unit $1,000 $1,266 $1,000 $1,400 $996AdjustmentsLocation 0 0 0 + 0Access + 0 + + +Distance to Power + 0 0 0 0Size 0 - 0 0 0Qualitative Adjustment Direction Up Down Up Up Up
Final Adjusted Value $1,000 $1,266 $1,000 $1,400 $996 Note: 0=comparable; +=inferior upward adjustment; -=superior downward adjustment
Sales Comparison Conclusion
The adjusted sales establish a value range between $996/acre and $1,400/acre for the
subject. LS-4 is inferior to the subject and the other comparable sales, yet the $1,400/acre sale
price is at the high end of the range. Although LS-4 was not given any weight in the analysis, it
does reflect recent market activity in the Paradise Ranchos and establishes the high end of the
value range. If LS-4 is removed from the reconciliation, the qualitative adjustments narrow the
value range to between $996/acre and $1,266/acre. As previously discussed in Highest and Best
Use Analysis, there is a three year supply of lots for sale in the Paradise Ranchos. Consequently,
the subject value is likely to be at the low end of the range. Based on the analysis of the
comparable sales, a market value of $1,000/acre is supported. For the purposes of this analysis,
the $16,290 result is being rounded to $16,000.
Sales Comparison Approach to Market Value as of May 26, 2016: $16,000
Project #: 16-014 42 Paradise Ranchos Land Appraisal
Sales Comparison Analysis for 1.94 Acre Parcel
Comparable Sales Map
Summary of Comparable Sales
Sale # Parcel Number Address Land Area
Zoning Sale Date Sale Price
LS-1 3938-14-400-018 4805 Paradise Ranchos Drive
4.520 AG-5 12/03/12 $6,500
LS-2 3938-23-300-025 4305 South End Drive 4.850 AG-5 11/23/15 $3,897
LS-3 3938-24-100-004 Mountain View Drive 4.870 AG-5 9/23/15 $3,000
LS-4 3939-07-300-012 Godchaux Road 2.54 AG-5 5/6/15 $2,600
Subject 3938-02-200-020 Godchaux Road 1.94 AG-5 N/A N/A
Subject
LS-1
LS-2
LS-3
LS-4
Project #: 16-014 43 Paradise Ranchos Land Appraisal
LAND SALE LS-1
Address: 4805 Paradise Ranchos Drive Parcel Number(s): 3938-14-400-018 Lot Size (acres): 4.520 Zoning: AG-5 Sale Date: 12/03/14 Grantor: River Lines LLC Sale Price: $6,500 Grantee: Steve Mikkelson Transfer Tax: $25.35 Document #: 1207 Verified: Deed, Declaration of Value Notes:
LS-1 is a 4.52 acre parcel 2.5 miles south of the subject. It is similar to the subject in paved access and distance to power. However, LS-1’s rectangular shape and lot size are superior. LS-1’s sale price is significantly higher than the other comps and appears to be a high outlier. Overall, LS-1 is superior to the subject and gives a high indicator of value.
Project #: 16-014 44 Paradise Ranchos Land Appraisal
LAND SALE LS-2
Address: 4305 South End Drive Parcel Number(s): 3938-23-300-025 Lot Size (acres): 4.850 Zoning: AG-5 Sale Date: 11/23/15 Grantor: Bristol Industries LLC Sale Price: $3,897 Grantee: Gayle & David Turner Transfer Tax: $5.60 Document #: 3876 Verified: Deed, Declaration of Value Notes:
LS-2 is a 4.80 acre parcel 3.5 miles south of the subject. LS-2 is on the southern edge of the Paradise Ranchos in a somewhat remote setting. To reach the parcel, a vehicle must travel several miles on a gravel road before it turns to a faint dirt road. Distance to power is over 200 feet. LS-2’s access and distance to power are inferior, however, it has a superior rectangular shape and is significantly larger than the subject. LS-2 is a superior lot and considered a high indicator of value.
Project #: 16-014 45 Paradise Ranchos Land Appraisal
LAND SALE LS-3
Address: Mountain View Drive Parcel Number(s): 3938-24-100-004 Lot Size (acres): 4.87 Zoning: AG-5 Sale Date: 9/23/15 Grantor: Sean P. Mahoney Sale Price: $3,000 Grantee: The River Lines LLC Transfer Tax: $11.70 Document #: 3151 Verified: Deed, Declaration of Value Notes:
LS-3 is a 4.87 acre parcel 2.75 miles south of the subject. It is just south of the paved Paradise Ranchos Drive, so the access is considered similar to the subject. LS-3 also has readily available from power lines that run in the Mountain View Drive right-of-way. Due to its size and rectangular shape, LS-3 is a superior lot and considered a high indicator of value.
Project #: 16-014 46 Paradise Ranchos Land Appraisal
LAND SALE LS-4
Address: Godchaux Road Parcel Number(s): 3939-07-300-012 Lot Size (acres): 2.54 Zoning: AG-5 Sale Date: 5/6/15 Grantor: Humboldt County Sale Price: $2,600 Grantee: Government Land Sales Transfer Tax: $11.70 Document #: 1394 Verified: Deed, Declaration of Value Notes:
LS-4 is a 2.54 acre parcel approximately two miles to the southeast. Similar to the subject, LS-4 has a triangular shape and is the closest comp in lot size. Vehicles must continue to travel on Godchaux Road another mile after it turns from pavement to gravel. Consequently, it has slightly inferior access. LS-4 is the strongest comparable of the sales; however, it was purchased at a Humboldt County tax auction. Tax auction lots are typically purchased at a discount, and LS-4 was bought for $400 less than its total taxable value. As a result, the sale price for LS-4 is being adjusted upward 15% for conditions of sale.
Project #: 16-014 47 Paradise Ranchos Land Appraisal
Comparable Sales Adjustments
In order to arrive at a conclusion for the sales comparison approach, it is necessary to
consider the differences between the subject and comparable sales. For the purposes of this
analysis, quantitative adjustments are made for property rights conveyed, financing, conditions
of sale, expenditures after purchase, and market conditions. Qualitative comparisons are made
for differences in access, distance to power, size, and shape. The following includes a discussion
of the adjustments made followed by an Adjusted Sales Grid.
Property Rights Conveyed: Each of the comparable sales involved the fee simple interest. No
adjustments for property rights conveyed are made.
Financing: No adjustments for financing are made.
Conditions of Sale: LS-4 was purchased at a Humboldt County tax auction held for properties
with delinquent taxes. Bidding starts at the assessed value and increases from there. The total
purchase price must be paid within one day and buyers are typically looking for discounts
relative to market. Examination of other tax auction sales shows the discount as highly variable
with no definitive range. However, their sale prices are typically less than those that are not
purchased at auction. LS-4 was bought for $400 less than the total taxable value, which is the
Assessor’s opinion of market. Based on the existing trends and limited data, an upward
adjustment of 15% is being applied to LS-4’s sale price.
Expenditures after Purchase: No adjustments are made for expenditures after purchase.
Market Conditions: As previously mentioned in the Life Cycle of Market Area, home sales from
the last three years do not show strong pricing trends in either direction, and growth in the
Paradise Ranchos is limited. Consequently, a time adjustment to the comparable sales for market
conditions is not necessary.
Project #: 16-014 48 Paradise Ranchos Land Appraisal
Access: The subject is on the paved portion of Godchaux Road approximately half a mile south
from State Route 290. The close proximity to the highway and paved access are considered
desirable attributes for the subject. LS-1 is also on a paved road, and LS-3 is close to pavement.
Their access is comparable to the subject. LS-2 and LS-4 have gravel and dirt road access that is
inferior.
Distance to Power: Connection to power is convenient for the subject as power lines run in the
Winchester Drive right-of-way. LS-1, LS-3, and LS-4 also have access to power in adjacent
road right-of-ways. It is estimated that power lines are over 200 feet from LS-2.
Size: Lots in the Paradise Ranchos are typically at least 4.50 acres, which is significantly larger
than the subject’s 1.94 acres. Due to a lack of available data, a qualitative adjustment is being
made for differences in lot size. LS-1, LS-2, and LS-3 lot sizes of 4.52, 4.85, and 4.87 acres are
superior, and since the unit of comparison is the total sale price, a downward adjustment for size
is warranted. LS-4’s lot size of 2.54 acres is comparable to the subject.
Shape: The subject has a triangular shape that reduces the full utilization of the lot. The
rectangular shapes of LS-1, LS-2, and LS-3 are superior to the subject. Similar to the subject,
LS-4 has a triangular shape.
Project #: 16-014 49 Paradise Ranchos Land Appraisal
Comparable Sales Adjustment Grid
Sales LS-1 LS-2 LS-3 LS-4
Address4850 Paradise Ranchos Dr.
4305 South End Dr. Mountain View Dr. Godchaux Rd.
Sale Date 12/3/2012 11/23/2015 9/23/2015 5/6/5015Sale Price $6,500 $3,897 $3,000 $2,600Parcel Size (ac) 4.52 4.85 4.87 2.54AdjustmentsProperty Rights Conveyed
0% 0% 0% 0%
Adjusted Value $6,500 $3,897 $3,000 $2,600Financing 0% 0% 0% 0%Adjusted Value $6,500 $3,897 $3,000 $2,600Conditions of Sale 0% 0% 0% 15%Adjusted Value $6,500 $3,897 $3,000 $2,990Expenditures After Purchase
0% 0% 0% 0%
Adjusted Value $6,500 $3,897 $3,000 $2,990Market Conditions 0% 0% 0% 0%Adjusted Value $6,500 $3,897 $3,000 $2,990AdjustmentsAccess 0 + 0 +Distance to Power 0 + 0 0Size -- -- -- 0Shape - - - 0Qualitative Adjustment Direction Down Down Down Up
Final Adjusted Value $6,500 $3,897 $3,000 $2,990 Sales Comparison Conclusion
The adjusted sales indicate a value range between $2,900 and $6,500. Even though LS-1
is considered a superior lot, the $6,500 sale price is substantially higher than the other comps and
appears to be a high outlier. Consequently, LS-1 is given little weight in the reconciliation
process and was only included to establish a high end of the value range. When the qualitative
adjustments are considered, the value range is further narrowed between LS-2’s $3,897 and LS-
4’s $2,990. LS-4 is considered the best comp as it is similar to the subject is size and shape;
however, it was a tax auction purchase. LS-3 would require fewer adjustments than LS-2, and its
sale price of $3,000 is similar to the adjusted value of LS-4. Based on the analysis of the
comparable sales, a market value of $2,900 for the subject is supported.
Sales Comparison Approach to Market Value as of May 26, 2016: $2,900
Project #: 16-014 50 Paradise Ranchos Land Appraisal
Exposure and Marketing Time
The Dictionary of Real Estate Appraisal Fifth Edition defines exposure time as “2) The
estimated length of time the property interest being appraised would have been offered on the
market prior to the hypothetical consummation of a sale at market value on the effective date of
the appraisal; a retrospective estimate based on an analysis of past events assuming a competitive
and open market”. Marketing time differs in that it is considered the amount of time it might
take to sell a property at the concluded market value level during the period immediately after
the effective appraisal date. The Paradise Ranchos market is considered stable with no strong
pricing trends seen. Consequently, the exposure and marketing time would be similar for the
subject properties. As previously discussed in the Highest and Best Use Analysis, there is over a
three year supply of lots on the market in the Paradise Ranchos. Recent sales that were on the
Northern Nevada Multiple Listing Service (NNMLS) in the Paradise Ranchos area range from
140 to 739 days on the market. The subject properties have attributes that are desirable for the
neighborhood, but they would still compete with many other lots for potential buyers. Based on
the limited data, an exposure and marketing time of six to eight months is estimated.
Exposure and Marketing Time: Six to Eight Months
Project #: 16-014 51 Paradise Ranchos Land Appraisal
APPRAISER CERTIFICATION
I certify that, to the best of my knowledge and belief: − The statements of fact contained in this report are true and correct.
− The reported analyses, opinions, and conclusions are limited only by the reported
assumptions and limiting conditions and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions.
− I have no present or prospective interest in the property that is the subject of this report and
no personal interest with respect to the parties involved.
− I have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment.
− I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment.
− My engagement in this assignment was not contingent upon developing or reporting
predetermined results.
− My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal.
− My analyses, opinions, and conclusions were developed, and this report has been prepared,
in conformity with the Uniform Standards of Professional Appraisal Practice.
− I have made a personal inspection of the property that is the subject of this report.
− No one provided significant real property appraisal assistance to the person signing this certification.
− The reported analyses, opinions, and conclusions were developed, and this report has been
prepared, in conformity with the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute.
− The use of this report is subject to the requirements of the Appraisal Institute relating to
review by its duly authorized representatives.
Project #: 16-014 52 Paradise Ranchos Land Appraisal
− As of the date of this report, I Howard Stockton has completed the Standards and Ethics Education Requirement of the Appraisal Institute for Associate Members.
___________________________ Howard N Stockton Stockton & Associates Nevada Certified General Appraiser License Number: A.0206455-CG expires 11/30/17
Appendix
ASSUMPTIONS AND LIMITING CONDITIONS
The acceptance of this appraisal assignment and completion of the attached appraisal report is contingent upon the following assumptions and limiting conditions: Limits of Liability: The liability, if any, of Stockton & Associates LLC and its employees (collectively, “Stockton”) is limited to the client and is limited to the maximum amount of the fee received by Stockton. If the appraisal report is disseminated to anyone other than the client, the client shall make such party or parties aware of all limiting conditions and assumptions affecting the appraisal assignment. Stockton is not in any way responsible for any costs incurred to discover or correct any physical, financial and/or legal deficiencies of any type present in the subject property. Information Provided by Others: Estimates, data, and opinions supplied by informed local sources such as governmental agencies, financial institutions, realtors, buyers, sellers, property owners, property management companies, accountants, attorneys, etc. are assumed by Stockton to be true, correct, complete, and reliable without verification and therefore Stockton cannot guarantee such information. Stockton is not responsible for any information or work product provided by a subcontractor. Use of Report: The appraisal report or any contents of the report may be not be used for any purpose or function other than its intended use, as stated in the body of the report. Neither all nor any part of this appraisal report shall be disseminated to any other party, including, without limitation, the general public or any type of media without written consent of Stockton. Testimony, Consultation, and Additional Services: The contract for each service is fulfilled and the total fee is payable upon completion of the agreed upon scope of work. The appraiser(s) are not required to give testimony in a court of law or other setting unless other arrangements have been made. If testimony or a deposition is required due to subpoena, the client shall be responsible for any additional time, fees, and charges at Stockton’s then standard rates regardless of the issuing party. Neither the appraiser nor anyone assisting in the preparation of the report is required to engage in post appraisal consultation with 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 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 responsibility is assumed. Any maps, plats, aerial photographs, or drawings included in the report are there to assist the reader in visualizing the property and are not necessarily to scale. The reliability of the information contained on any of these objects is assumed accurate and is not guaranteed. Title and Legal Matters: No responsibility is assumed by the appraiser for legal matters. No opinion is rendered as to the status of the title or possible liens against the property. The appraisal is not intended to replace a title search, and the property is appraised as if free and clear, unless otherwise stated in the appraisal report. Engineering, Structural, and Mechanical Conditions: The appraiser is not an engineering, structural, or mechanical expert, and descriptions regarding the physical items and their condition are not intended to replace reports from professionals with this expertise. Detailed inspections are beyond the appraiser(s) defined scope of work, and all observations and opinions generated from an inspection are for valuation purposes only. The appraisal report is based on the assumption that there are no hidden, apparent,
or unapparent conditions that would impact the valuation. Unless otherwise stated, the mechanical and structural aspects of the property such as foundation, roof, exterior walls, interior walls, plumbing, heating, electrical, insulation, etc. are assumed to be to building code and in a condition commensurate with the rest of the improvements on the property. Americans with Disabilities Act (ADA): Unless otherwise noted in this report, a survey or analysis to determine if the property is in compliance with ADA regulations was not conducted. The appraiser is not an expert in ADA regulations, and it is recommended that a professional with expertise in ADA compliance issues be retained. If the property is found to be non-compliant with ADA regulations, it could negatively impact the value of the property, and require a reappraisal of the property at an additional cost. Toxic Materials and Environmental Hazards: Identification of hazardous or toxic materials such as asbestos, urea-formaldehyde foam insulation, radon gas, and lead based paint, are beyond the scope of the appraisal assignment. Additionally, identification of soil contamination, groundwater contamination, or the presence of toxic mold is beyond the scope of the appraisal assignment. Unless otherwise stated in the report, the property is assumed to have no environmental conditions or hazards that would affect the valuation. Existence of unidentified hazards or toxic substances would require a reappraisal of the property at an additional cost. Soils and Subsurface Conditions: Investigations involving soil types and subsurface conditions are beyond the scope of the appraisal assignment. No warranties or opinions regarding the soil type or subsurface conditions are provided, and no liability is assumed for detrimental soil or subsurface conditions. Legality of Use: The appraisal report assumes that there is full compliance with all applicable federal, state, and local laws and regulations, unless otherwise stated in the appraisal report. It is assumed that all applicable zoning and use regulations and restrictions are in compliance, unless otherwise stated in the report. It is assumed that all required licenses, consents, or other legislative or administrative authority from any local, state, or federal government, or private entity, have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. Component Values: If the total property value set forth in this report is distributed between land and improvements, this distribution applied 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 feasibility studies have been requested or made by the appraiser unless specified in an agreement for services and so stated in the appraisal report. Dollar Values and Purchasing Power: The estimated market value set forth in the appraisal report and any cost figures utilized are applicable only as of the date of valuation of the appraisal report. All dollar amounts are based on the purchasing power and price of the dollar as of the date of value. Projections and Estimates by Appraiser: Projections associated with the discounted cash flow and income models are based on the information available to the appraiser at the time of the assignment. Estimates on the future performance of a property or market are not guaranteed and should be considered speculative in nature. These estimates are intended to coincide with what the market would expect at the date of the report. The appraisal is an estimate of value based on analysis of information
known at the time the appraisal was made. The appraiser does not assume any responsibility for incorrect analysis because of incorrect or incomplete information. In new additional information comes to light, the value given in this report is subject to change without notice. Exclusions: Furnishings, equipment, personal property, goodwill, and other value associated with a specific business operation are excluded from the value estimate set forth in the report unless otherwise indicated. Only the real estate is included in the value estimates set forth in the report unless otherwise stated. Proposed Improvements, Conditioned Value: It is assumed in the appraisal report that all proposed improvements and/or repairs, either on-site, or off-site, are completed in good and workman like manner in accord with plans, specifications or other information supplied to this appraiser and as set forth in the appraisal report. In the case of proposed construction, the appraisal is subject to change upon inspection of the property after construction is completed. The estimate of market value is as of the date specified in the report. Unless otherwise stated, the assumption is made that all improvements and/or repairs have been completed according to the plans and that the property is operating at levels projected in the report. Management of Property: It is assumed that the property which is the subject of the appraisal report will be under prudent and competent management. Changes and Modifications: The appraiser reserves the right to alter statements, analyses, conclusions, or any value estimates in the appraisal if any new factors pertinent to the appraisal process are discovered subsequent to the completion of the appraisal assignment. The acceptance and/or use of the appraisal report by the client or any third party (to the
extent expressly permitted) constitutes acceptance of the Assumptions and Limiting Conditions
set forth in the report. Stockton’s liability extends only to the specified client, not to subsequent
parties or users. Stockton’s liability is limited to the amount of the fee for the services rendered.
Appraiser Qualifications
Howard N Stockton
316 California Avenue #575 Reno, Nevada 89509 (775)-742-7212 [email protected] Professional Experience: Principal/Founder 2012 to Current Stockton & Associates, LLC Reno, Nevada Office Specialist Appraiser III 2010 to 2014 Washoe County Assessor’s Office Reno, Nevada Staff Appraiser I,II 2004 to 2010 Washoe County Assessor’s Office Reno, Nevada Project Hydrogeologist 2000 to 2004 Broadbent and Associates, Inc. Reno, Nevada Formal Education: Bachelor of Science in Hydrogeology 2000 Mackay School of Mines, University of Nevada-Reno State Licensing and Certifications: Certified General Appraiser – Nevada License #: A.0206455-CG Certified General Real Estate Appraiser – California License #: AG032789 Certified Environmental Manager Nevada Division of Environmental Protection Certificate #: 1867 Professional Associations: Appraisal Institute-Candidate for Designation Sierra Nevada Association of Realtors Summary of Work Experience: Mr. Stockton is the founder of Stockton & Associates LLC. His unique skill set has allowed him to provide both appraisal and environmental services to clients throughout Nevada. As a licensed Certified General Appraiser, Mr. Stockton has worked on a wide variety of appraisal assignments that include, but are not limited to: office, industrial, retail, motel/lodging, apartments, and single-family residences. In addition to the appraisal services, he has assisted clients perform due diligence during property acquisition or loan underwriting. As a licensed Certified Environmental Manager, Mr. Stockton has conducted Phase I Environmental Site Assessments and Records Search with Risk Assessments for his clients. Mr. Stockton is experienced with U.S. Small Business Administration (SBA) requirements and procedures for loan underwriting. Before founding Stockton & Associates LLC, Mr. Stockton was an appraiser in the Washoe County Assessor’s Office for approximately ten years. As the lead appraiser for office buildings in Washoe County, he was responsible for collecting and maintaining data necessary for valuation. This data included: sale records, capitalization rates, market rents, and expenses. Prior to employment in the Washoe County Assessor’s Office, Mr. Stockton was a
Project Hydrogeologist with Broadbent and Associates (BAI). BAI is an engineering/environmental consulting company located in Nevada, California, and Arizona. The company provides environmental services to oil companies, mining operations, the agricultural industry, municipalities, governmental agencies, and developers. During his tenure with BAI, Mr. Stockton performed a number of professional duties that included: completion and submittal of Phase 1 Environmental Site Assessments; management of active remediation sites; submittal of environmental reports to appropriate regulatory agencies; supervision of drilling activities; soil and groundwater sampling; and preparation and implementation of corrective action plans for sites with environmental contamination. Services Provided to the Following: JDJ Development Company USA Petroleum BP-Arco AmeriGas Propane Company Washoe County School District Tahoe Marina Lodge The Mountain Store Terrible Herbst Convenience Store The Gopher Market Reed’s Shell Station The Cortez Gold Mine Janesville Convenience Store Nevada Johns Small Business Administration First Independent Bank Wells Fargo Foster Machining Inc. Greater Nevada Credit Union Elko Federal Credit Union The Sausage Factory Nevada Bank & Trust CC Note Investment Group LLC