How Much Does 10 Liquor Icenses Increase A Value Of A Historic Jail?

[Terrel L. Shields]

The city won't juSt take the license away then your property won't be worth diddly?

 

[Dublin ohio]

To OP. This is my understanding. Op does not own liquor licenses. City can issue 10 new licenses only because historic district meets criteria for the new licenses. OP owns the building that provides the required part of criteria for city to issue additional 10 licenses. If op tears down building. City loses ability to issue the 10 licenses. So if op tears down building. City loses what could be an important development inducement. No comment on value. Just wanting to make sure I am viewing scenario correctly

 

[Mark K]

You must be in Greencastle.

In typical Indiana fashion, the legislature tailors laws with restrictions that match only one city.

A college town desperately in need of revitalization and with connections deep in the statehouse, all the way to the family of the wife of an ex-US Vice Pres.

I'm pretty certain that the City is having trouble finding competent appraisers; give them time. If you get greedy, you will kill the deal and the City will find another way to get the liquor licenses it needs. They are one of three cities statewide that got the $20M grant money (again, connections) so don't think you'll be able to hold them over a barrel; the law can easily be revised.

But then, I might be wrong...

 

[KHS445]

Your building's market value is what it is based on the comparable sales. Any additional value comes from the value of the development potential that accrues to the City. It will take someone with special expertise to properly value and support their opinion of the development potential. While different it is going to be like trying to value an easement or right-of-way. It would definitely be an interesting assignment and you need to make sure whoever you work with has the necessary knowledge. With the possible money involved don't pick the your appraiser based on price alone.

 

[Tim The Enchanter]

It will take someone with special expertise to properly value and support their opinion of the development potential.

I imagine there are very few appraisers with the local knowledge etc that are ready willing and able to handle a job like this.

 

[historicplace]

You say that it is not transferable, and if the structure is torn down, the licenses go away.

Wow. Talk about restrictions.

They way I read this is if I buy the jail, the licenses go away. If you retain ownership but tear it down, the licenses go away also.

So I'd say there is no "marketable" value to anyone but you, if I understand this correctly.

It sounds like a miserable attempt to stimulate business by clueless bureaucrats. Who needs ten licenses? Overkill. Encourage growth or development, that IS transferable. This sounds like a good way to keep small towns small - very small.

No. You did not understand it correctly. If you bought the jail, the town can still sell the licenses to businesses. The jail can be owned by anyone..., as long as it is standing. The fact that the building is there give the town the right sell 10 additional liquor licenses.

 

[historicplace]

Your building's market value is what it is based on the comparable sales. Any additional value comes from the value of the development potential that accrues to the City. It will take someone with special expertise to properly value and support their opinion of the development potential. While different it is going to be like trying to value an easement or right-of-way. It would definitely be an interesting assignment and you need to make sure whoever you work with has the necessary knowledge. With the possible money involved don't pick the your appraiser based on price alone.

How long should this process take to appraise the building? Do you feel the value would be higher than any of the other building in the historic district due to the unique state law requiring the jail's existence for the city to sell the 10 liquor licenses?

 

[Meandering]

How long should this process take to appraise the building? Do you feel the value would be higher than any of the other building in the historic district due to the unique state law requiring the jail's existence for the city to sell the 10 liquor licenses?

A tale of two cities.

Let me introduce you to Jim Thorpe, PA, (formerly and locally known as Mauch Chunk) which,
also has an historic jail, and,
an historic opera house,

Jail
http://www.theoldjailmuseum.com/

Jim Thorpe
https://www.jimthorpe.org/

the jail was the site of the hanging of the Molly McGuires. There are ghost stories and a bloody handprint on the jail wall no one can paint over.

It is open as a museum, does ghost tours, and at Halloween is a major ghost attraction. It's been on TV several times.

So I don't know about your jail, but if the history of it, lends itself to tourists, you might have a real potential there to retain the building, and get a liquor license to open it as a dinner theater or something similar.

As a tourist attraction - tied to the history of the building itself, it has more value than as a vacant old jail.

I would not try to leverage it against liquor licenses for the rest of the town, that sounds like a plan for disappointment.

As far as appraising it goes, well, this is a specialty type of analysis with many miles involved and lots of research. Finding one appraiser won't be easy, finding two appraisers that don't work for the same firm, sounds near impossible, and then consider the expense on an hourly rate, well, I wouldn't hold my breath waiting on a small town to negotiate what they could afford to pay the appraisers for their opinions.

My advice to you would be to get a real estate attorney. If the township can show they could provide jobs and economic benefit to the community by retaining a building you want to bulldoze, they might try and take it from you via condemnation. If that happens, you can bet they won't look for those highly specialized expensive appraisers who'll travel around the country researching comps.

.

 

[Meandering]

There are lots of old jails in Indiana being used as museums, bed and breakfasts, restaurants, etc. Should be able to find some of these under private ownership, to establish a market and value.

Crown Point, Indiana
http://www.oldsheriffshouse.org/

Hartford City, Indiana
http://www.oldhauntedjail.com/index.html

Crawfordsville, Indiana
http://www.rotaryjailmuseum.org/

Rockville, Indiana
http://www.oldjailinn.com/

Warsaw, Indiana
http://www.wiprs.com/investigate-the-old-kos-co-jail.html
http://kosciuskohistory.com/county-jail/

Evansville, Indiana
http://www.historicevansville.com/site.php?id=oldjail

Nobelsville, Indiana
http://noblesville-indiana.funcityfinder.com/hamilton-county-historical-society/

Valparaiso, Indiana
http://www.finduslocal.com/museums-and-art-galleries/indiana/valparaiso/old-jail-museum

 

[JTip]

The fact that the building is there give the town the right sell 10 additional liquor licenses.

A place to house the drunkards whence the 10 pubs produced on a fine spring evening....