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

[KHS445]

If it were me I would prepare a brief data sheet regarding the background of the property and provide any additional information you may have regarding the issuance of additionally licenses within the community. I would also provide any information you may have regarding sales, value, removal, etc. Whatever background and information you can give them is going to save time and possibly some money.

I would interview several (the number would depend on your comfort level with a particular appraiser) appraisers. If any of the appraisers you contact indicate they are not interested or comfortable/competent to complete this work ask them for recommendations. While many appraisers work independently they all have knowledge of other appraiser's work and expertise. In addition to the information above I would prepare a written list of questions to ask each appraiser, making notes regarding their answers. That way when you sit down to make a decision about who you will hire to appraise your property you will have answers from a common set of questions on which to base you decision.

As far as questions there are probably a million you could ask and a number of other questions will come up during your discussions, but I would initially concentrate on things like;
- What is your experience in appraising property in the subject's market area?
- What is your experience in appraising property similar to the subject?
- Have you ever appraised a property for easement, condemnation, adverse possession, eminent domain, etc.?
- How do you envision valuing this property from a methodology standpoint? My opinion is there are really two values to try and determine, first the value of the real estate and the related improvements and second would be the economic impact the additional licenses could have on the community. The economic impact could include things like property taxes, real estate values, additional employment, increased tourism, additional development, etc.
- Expected time frame and cost of the report? Don't necessarily go with the quickest or the cheapest, while that may save money upfront it may cost you in the end.
- I would develop a general outline for the scope of the appraisal covering things you would like included in the report and then ask the appraiser for their thoughts regarding changes or additions.

This is not going to be an easy cookie cutter report. It is going to take a lot of thought, research and effective communication of methodology and conclusions within the report.

 

[historicplace]

If it were me I would prepare a brief data sheet regarding the background of the property and provide any additional information you may have regarding the issuance of additionally licenses within the community. I would also provide any information you may have regarding sales, value, removal, etc. Whatever background and information you can give them is going to save time and possibly some money.

I would interview several (the number would depend on your comfort level with a particular appraiser) appraisers. If any of the appraisers you contact indicate they are not interested or comfortable/competent to complete this work ask them for recommendations. While many appraisers work independently they all have knowledge of other appraiser's work and expertise. In addition to the information above I would prepare a written list of questions to ask each appraiser, making notes regarding their answers. That way when you sit down to make a decision about who you will hire to appraise your property you will have answers from a common set of questions on which to base you decision.

As far as questions there are probably a million you could ask and a number of other questions will come up during your discussions, but I would initially concentrate on things like;
- What is your experience in appraising property in the subject's market area?
- What is your experience in appraising property similar to the subject?
- Have you ever appraised a property for easement, condemnation, adverse possession, eminent domain, etc.?
- How do you envision valuing this property from a methodology standpoint? My opinion is there are really two values to try and determine, first the value of the real estate and the related improvements and second would be the economic impact the additional licenses could have on the community. The economic impact could include things like property taxes, real estate values, additional employment, increased tourism, additional development, etc.
- Expected time frame and cost of the report? Don't necessarily go with the quickest or the cheapest, while that may save money upfront it may cost you in the end.
- I would develop a general outline for the scope of the appraisal covering things you would like included in the report and then ask the appraiser for their thoughts regarding changes or additions.

This is not going to be an easy cookie cutter report. It is going to take a lot of thought, research and effective communication of methodology and conclusions within the report.

THANK YOU. This has been the most sound piece of advise so far. I am having a hard time finding a company who is does commercial appraisals on a historic building. Let alone one that holds a developmental impact on a city's future. I am so overwhelmed with this.

The property has been on the market for 9 months. 3 of those months were extended time so the city can conduct appraisals. The city indicated they will offer the average of two appraisals. They pick one & I pick one. Being naive I picked a local company who did my house. They said they would pay for both. This was over 5 months ago.

My listing price was solely based on Sq Ft of sold properties in the historic district in the last 18 months. My contract expired with my realtor last Saturday. The day before on Friday, the 2 companies the city hired walked in (together) to the real estate office asking for the code so they can conduct their appraisals for the city. I felt this was rather odd & somewhat unprofessional. (Shouldn't they be working independently?) I advised my agent I will not renew at this time so I can do my due diligence & educate myself. He is very frustrated with me & felt I was tipping over the apple cart. (His words) I have some legal question into the state board that regulates the liquor licenses. My attorney is seeking other council who is versed in this area. (he isn't) He feels it is way under priced & advised me not to renew the listing until I am more information. His colleagues he has spoken with felt it was under priced as well. Like I said, I overwhelmed with this. I'm taking a step back to breathe.

 

[KHS445]

In this situation it is more important to get it right then to get it down quickly.

This can be an excellent learning opportunity for all those involved. While I am not a member you may want to check the Appraisal Institute website to see If there is a nearby member who could help you or direct you to someone who can. AI members generally stay in better contact with each other and have a greater understanding of each others expertise.

You might wait to receive copies of the City's appraisals before hiring your appraiser. That way your appraiser can address any deficiencies in their appraisals within his/her report. In the meantime I wouldn't agree to anything until you are comfortable with all of the issues. It sounds like you are moving in the right direction with your attorney and he is consulting with additional council in an effort to strengthen his council to you.

 

[Meandering]

Look up the owners of those other historic buildings that are being used in business. Contact the private owners, ask them who appraised their property last. Ask them if they can recommend both a knowledgeable local appraiser and a knowledgeable local real estate agent.

.

 

[Meandering]

You have a specialty property.
Advertising in the MLS, and the local area alone, may not be enough to attract a buyer.

.

 

[Mike Kennedy]

OP might check this out >> http://historicrealestate.preservationnation.org/advsearchform.php

 

[historicplace]

In this situation it is more important to get it right then to get it down quickly.

This can be an excellent learning opportunity for all those involved. While I am not a member you may want to check the Appraisal Institute website to see If there is a nearby member who could help you or direct you to someone who can. AI members generally stay in better contact with each other and have a greater understanding of each others expertise.

You might wait to receive copies of the City's appraisals before hiring your appraiser. That way your appraiser can address any deficiencies in their appraisals within his/her report. In the meantime I wouldn't agree to anything until you are comfortable with all of the issues. It sounds like you are moving in the right direction with your attorney and he is consulting with additional council in an effort to strengthen his council to you.

I have contacted the Appraisal Institute. They

In this situation it is more important to get it right then to get it down quickly.

This can be an excellent learning opportunity for all those involved. While I am not a member you may want to check the Appraisal Institute website to see If there is a nearby member who could help you or direct you to someone who can. AI members generally stay in better contact with each other and have a greater understanding of each others expertise.

You might wait to receive copies of the City's appraisals before hiring your appraiser. That way your appraiser can address any deficiencies in their appraisals within his/her report. In the meantime I wouldn't agree to anything until you are comfortable with all of the issues. It sounds like you are moving in the right direction with your attorney and he is consulting with additional council in an effort to strengthen his council to you.

I have been in contact with The Appraisal Institute. They indicated my building would hold more worth then others in the historic district due to law with the value in use & the developmental potential of the city . (Good to know.) They have a list of appraisers who specialize in specail needs cases like mine. Thank you for suggesting them.

I think waiting to hire someone is good advise, thank you again. I will interview so I can be ready for when the city's appraisals come in.

I have heard in the local chatter, the city is exploring to see if the law can be changed. I think that is a little extreme, because it would effect other towns who are growing based on its criteria. Can they do that?

Thank you once again. You have been very helpful to me!!

 

[historicplace]

You have a specialty property.
Advertising in the MLS, and the local area alone, may not be enough to attract a buyer.

.

I'm unsure where my realtor advertised. I do know the historic registry had it listed on there site.

 

[KHS445]

Glad things are moving in a positive direction for you. As far as changing the law I am sure they can request a change but I doubt your community has enough clout at the State Capitol to get a special carve out change just for them. My guess is they worked with other communities, Lobbiest and Legislators to get the original legislation passed and got the best deal they could. In general Legislators do not like being asked to revisit and amend a law they have already passsed, especially when it gives special treatment to a few special interests. It sounds like the requirements of this legislation was aimed at helping specific communities thus the various and somewhat convoluted requirements. If one or more of this special requirements gets changed it could open up the benefits to a number of additional communities and could have unintended concenquecies.

The Appraisal Institute is a great resource. At this point I would probably wait to see what kind of reports are developed for the City. If you are comfortable with them great. If not you could hire one of the appraisers recommended by AI. The type and level of service you hire them for can vary significantly, from as little acting as a general consultant all the way to a full appraisal or anything in between. The scope of the work to be completed is something you and the appraiser will agree on and reduce to writing prior to the work being started, so both parties have a clear idea of what is expected.

Please let us know how things progress.

 

[Mark K]

Glad things are moving in a positive direction for you. As far as changing the law I am sure they can request a change but I doubt your community has enough clout at the State Capitol to get a special carve out change just for them.

Please let us know how things progress.

I'm pretty sure of which city it is and if that's the case, yes, the city does have the clout.

Actually there's a very good chance they're the ones that got the law instituted in the first place. The city has a small but well respected liberal arts college that sends a lot of grads to law school and then on to politics. The alumni political connections go deep into the statehouse and, in the case of a few grads, onto DC.

I think it would be a relatively easy task to get the 'historic jail' requirement taken out of the law. Getting a law passed is the hard part, getting it amended is almost a no-brainer.