CANative
Elite Member
- Joined
- Jun 18, 2003
- Professional Status
- Retired Appraiser
- State
- California
My subject is 160 acres with panoramic ocean views in a very remote area. I'm really having to dig up some very different sale comps and going back many years. The only recent sale I have to work with closed in January 2008. It's 400 acres and has ocean frontage. It also has about 10 million board feet of timber of which 4 million feet is second and third growth redwood and about 3 million feet of old growth. The subject has about half a million feet of second and third growth with a small stand of old growth.
I talked to the agent who listed and sold the property (full commission on a 6.5 million dollar sale!!!) and he said that the appraiser valued the timber at 3.5 million and the land at 3 million. There were a lot of old buildings (forestry service) and a small house. These buildings had very little value relative to the land and timber. The buyer of the property is an organization that does conservation work.
I'm certainly not qualified to value timber (although I've had to deal with it on a residential level) but can I use the figures supplied by the agent (and the appraiser who I also talked to) to make an adjustment to my subject property?
I talked to the agent who listed and sold the property (full commission on a 6.5 million dollar sale!!!) and he said that the appraiser valued the timber at 3.5 million and the land at 3 million. There were a lot of old buildings (forestry service) and a small house. These buildings had very little value relative to the land and timber. The buyer of the property is an organization that does conservation work.
I'm certainly not qualified to value timber (although I've had to deal with it on a residential level) but can I use the figures supplied by the agent (and the appraiser who I also talked to) to make an adjustment to my subject property?