Summary
To: Mayor & Commissioners
From: JP Murphy, Town Manager
Date: 8/16/2019
______________________________________________________________________
Subject:
Title
Appraisals of Ahlf properties
Summary:
Brian Holtz, the appraiser retained to appraise the three Ahlf Properties on Baybrook Drive, will be in attendance to discuss some options for valuing the properties. A summary of his comments are provided below. His report will be finalized based on the direction and input of The Commission.
“These are 3 unique and complex properties. Each has its own unique characteristic. All 3 properties are zoned R-E (estate residential), which requires 100 FF, and 18,000 sf site.
1. 2 Baybrook Pl.: This site backs to the water on a large site. Complex issues: improvements are near the end of their economic life, several large oak trees may restrict construction if removal is not allowed, the site is 95FF which is less than the required 100FF making the site “legal non-conforming”. Thus, is the site a “legal, platted lot of record” and if improvements are removed, is new construction & tree removal allowed?
2. 7 Baybrook Pl.: This site backs to a creek & is on a large site. Complex issues: improvements are at the end of their economic life, the site is very large and currently cannot be subdivided into 2 separate lots. However, a portion of this site could be separated from this site and added to 12 Manatee Rd to give it road access. Note, 12 Manatee is currently land locked and has no road frontage and no ingress/egress to a public road.
3. 12 Manatee Rd.: This site is a large site approx. 28,111 sf. No survey supplied. Complex issues: No improvements, no ingress / egress, no road frontage. This site is low wetlands and consists of a flowing creek and at least 1 spring. This area may not be buildable and may be subject to the scrutiny of environmental agencies including: SWFMD. Note, if this property were to take an easterly portion (approx. 15ft to 30ft) of 7 Baybrook Pl, or granted an easement for ingress/ egress, and its approved by all government agencies for development, and the town allows clearing of trees, the value of this site might increase significantly. “
Typically, the highest and best use for a seller of 3 non adjacent properties are to sell as separate parcels. Although, these 3 properties are technically adjacent, 2 Baybrook and 7 Baybrook are separated by a private road. I would recommend selling 2 Baybrook Pl separately from the other 2 properties. The other 2 properties are more complex, and subject to more debate . However, typically, selling the properties separately, lowers the prices, and increases the market of your potential buyers.
End
Background/Problem Discussion: The Commission should have some discussion about the options provided above, and make clear for the record that the properties would, at a minimum be able to be improved in accordance with the Estate Residential (RE) zoning district if the current structures and improvements were removed. For purposes of sale, and based on Mr. Hotlz’s advice, the commission should decide if the inland lots (7 Baybrook & 12 Manatee) should be sold together or separated to create three distinct, buildable parcels under the RE zoning district, thus resulting in a sale of one waterfront lot and two inland lots or one waterfront lot and one large inland lot.
Recommendation: I have spoken with multiple buyers who each have a different interest based on different configurations. I recommend that the Commission considers an option that takes into account the composition of the neighborhood and choose a solution that delivers the most value to the town in both the short and long term. Taking into consideration the sale price and the taxable value of foreseeable improvements.
Proposed Motion: The motion will largely depend on the conversation of the Commission. I can help draft the motion during discussion.