40-30-20-10 rule, aka 25% rule, aka ?

[JT1974]

I have no idea what's going on here, but I love reading the training moments from you guys.

But, here's my thought... If the strip of land being acquired is road frontage, for the purpose of widening the road, improving the drains etc, when the work is done, doesn't the land owner still own road frontage??

So, if we're considering the greater value being at the road, the land owner has actually lost his depth, not his frontage, thus the value loss would be from the back, not the front..

I'll stick with my residential work for now.....

(oops, just read Ken's comment.)

Maybe you should consider getting into commercial work? As I read down the list of responses, the one from the "residential guy" was the most correct and concise.

 

[Michigan CG]

I was thinking in terms of Before and After, thus my response of comparing larger and smaller tracts of land with similar frontage.

I will mail my license to Glen.

 

[Ken B]

Ken is correct.............again

Now if I could just pass the durn Income Cap module of the Comp Exam.

 

[Pittsburgh Pete]

Didn't anyone read my response--Ken and Glenn getting all the love. What am I, chopped liver???? You guys are giving me a complex!!

 

[Calvin the Airedale]

I have no idea what's going on here, but I love reading the training moments from you guys.

But, here's my thought... If the strip of land being acquired is road frontage, for the purpose of widening the road, improving the drains etc, when the work is done, doesn't the land owner still own road frontage??

So, if we're considering the greater value being at the road, the land owner has actually lost his depth, not his frontage, thus the value loss would be from the back, not the front..

I'll stick with my residential work for now.....

(oops, just read Ken's comment.)

The OP doesn't say how big (deep) the lot is, whether or not it is improved, what type of improvements, how deep the setback line is, or how deep the taking is.

If I'm on a street with a 30' setback, from the ROW and the city takes another 15' of right of way, my house will be that much closer to road noise, traffic influence, and locational depreciation. Is that value loss the same as fifteen feet off the back end? Probably not. It's problably greater.

OTOH, if the land is unimproved, any setbacks would likely be unaffected. It would be nice to have a few more facts with this problem, like zoning, existing land uses (and existing setbacks), lot depths, and etc.

 

[Ken B]

Didn't anyone read my response--Ken and Glenn getting all the love. What am I, chopped liver???? You guys are giving me a complex!!

Good job Pete. You da Man!

 

[Pittsburgh Pete]

Good job Pete. You da Man!

Gosh, golly gee--thanks Ken!!!! (I'm blushing!)


As to Calvin's questions, typically eminent domain scope of work is outlined in an analysis prepared by either the highway department or a right-of-way company working under contract for the highway department. The appraiser can either agree or disagree with the scope outlined.

If setbacks are adequate and there is no severance damage resulting from the taking, a strip appraisal is performed. The value of the land taken (and any site improvements located therein) is addressed; this is a "strip" appraisal. The value of the site is estimated and the pro rata share of the whole is/are the damages accruing to the property owner.

If there are damages to the remainder arising from loss of parking, reduced setback, etc. a before and after value appraisal is performed. In such an instance, the severance damages to the improvements and the remaining land are measured.

In this instance it sounds like a "strip" appraisal was prepared with only the land value addressed--no severance damages arising from the taking.

 

[Calvin the Airedale]

Gosh, golly gee--thanks Ken!!!! (I'm blushing!)


As to Calvin's questions, typically eminent domain scope of work is outlined in an analysis prepared by either the highway department or a right-of-way company working under contract for the highway department. The appraiser can either agree or disagree with the scope outlined.

If setbacks are adequate and there is no severance damage resulting from the taking, a strip appraisal is performed. The value of the land taken (and any site improvements located therein) is addressed; this is a "strip" appraisal. The value of the site is estimated and the pro rata share of the whole is/are the damages accruing to the property owner.

If there are damages to the remainder arising from loss of parking, reduced setback, etc. a before and after value appraisal is performed. In such an instance, the severance damages to the improvements and the remaining land are measured.

In this instance it sounds like a "strip" appraisal was prepared with only the land value addressed--no severance damages arising from the taking.

Pete, I agree with everything you said. However, unless you're psychic, how do you know that from the OP as authored by an "appraisal trainee"?

 

[Kali the Boston Terrier]

Now if I could just pass the durn Income Cap module of the Comp Exam.

When I was struggling with it, I asked the AI for someone to call me. The AI guy called went over what I did wrong...said I should study the 510 manual. Then he goes onto to say some people do not need to study very hard, other people need 4 hours a day for two months...his conclusion "...you should study somewhere between 0 hours and 224"

Gee thanks.

 

[Pittsburgh Pete]

Pete, I agree with everything you said. However, unless you're psychic, how do you know that from the OP as authored by an "appraisal trainee"?

Not psychic altho occasionally psychotic! First paragraph of the OP reads: "I am acquiring a strip of land for a local municipality for a road improvement project. The strip of land is adjacent to the road. We valued the land using bare land comparable sales to come up with a unit value to be applied to the strip of land." The OP describes a "strip appraisal" methodology addressing land only.

P.S. I am fluent in several languages including "trainee"