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Home My WebLink AboutA4. Ordiance 1939Ordinance 1939 – Agreement to Exchange Land with Help Center, Inc. Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Carolyn Poissant – Manager of Trails, Open Space, and Park Development Mitch Overton – Director of Parks and Recreation SUBJECT: Ordinance 1939 – Agreement to Exchange Land with Help Center, Inc. MEETING DATE: April 18, 2016 AGENDA ITEM TYPE: Action RECOMMENDATION: Staff recommends the Commission hold a public hearing on the ordinance, consider this staff memo, written and spoken public testimony, and provisionally adopt by a two-third majority (i.e. four affirmative votes) Ordinance 1939 authorizing the City Manager’s signature, upon expiration of the 30 day effective period, on the Agreement to Exchange Land and on the subdivision exemption, quit claim deed and closing paperwork to exchange property with Help Center, Inc. RECOMMENDED MOTION: Having conducted a public hearing on the ordinance, considered staff’s recommendation as well as written and spoken public testimony, the content of Ordinance 1939 and findings articulated by the Commission during discussion, I hereby move to provisionally adopt Ordinance 1939 authorizing the City Manager’s signature, upon expiration of the 30 day effective period, on the Agreement to Exchange Land and on the subdivision exemption, quit claim deed and closing paperwork to exchange property with Help Center, Inc. BACKGROUND: I. AUTHORITY TO EXCHANGE REAL PROPERTY The City Commission has authority over the disposition of property owned by the City pursuant to Chapter 2.06 of the Bozeman Municipal Code (BMC). This chapter was created by Ordinance 1658 (2006) and later amended by Ordinances 1683 (2006) and 1713 (2007). Ordinance 1939 authorizes the exchange of approximately 2450 square feet of property with Help Center, Inc. a 501 (c) 3 non-profit entity. II. RATIONALE FOR THE EXCHANGE Help Center, Inc. is owner of the subject property housing “Hearts and Homes,” which provides family court assistance services to the City of Bozeman and Gallatin County. The Recreation and Parks Advisory Board, by virtue of their recommendation to approve the Site Plan for Bozeman Pond Park Expansion, and Commission, by virtue of its approval, support the land exchange in order to preserve the rear yard area of the property which is utilized as a playground for its clients. 420 Ordinance 1939 – Agreement to Exchange Land with Help Center, Inc. The Bozeman Pond Park Expansion Site Plan (File Z15073), approved by Commission December 7, 2015, includes the following Condition of Approval: 2. The common boundaries between Lot 4A of the park (Van Horn Subdivision, 511, T02 S, R05 E, Lot 4A, ACRES 3.43, PLAT E-39-C) and the Help Center lot [Van Horn Subdivision, S11, T02 S, R05 E, ACRES 0.475, TRACT B-1 PLAT E-39-B OMALLEY COOK ANNEX) shall be reconfigured through the applicable subdivision review process to accommodate the project prior to final plan approval. This Land Exchange Agreement will satisfy the above stated Condition of Approval. III. APPRASIAL The proposed exchange is an equal amount of area and is the same in character, immediately adjacent to the existing park, and does not change any allowed use of land by the City or Help Center, Inc. No exchange of money will occur with the exchange of property. Full and equal utility in area of the land is being preserved. Appraisals dated March 30, 2016 2016 (Attachments C1 and C2) indicate the value of the property owned by Help Center, Inc. is equal to or greater than the value of the City park property. IV. EXCHANGE AGREEMENT: An Agreement to Exchange Land specifying the duties and responsibilities of both parties in the exchange, including copies of the subdivision exemption and the deeds which will execute the exchange is attached (Attachment A with exhibits). The subdivision exemption has been reviewed by the Director of Community Development and is ready for printing and signatures. The City Manager may not sign the exemption until the effective date of Ordinance 1939 has passed. UNRESOLVED ISSUES: None. ALTERNATIVES: 1) Approve Ordinance 1939 as presented and recommended. 2) Do no approve Ordinance 1939. The Help Center would then be required to remove or relocate the play equipment and fence currently on City park property. UNRESOLVED ISSUES: FISCAL EFFECTS: The City will pay the recording fee. The survey was provided pro bono to Hearts and Homes by Allied Engineering of Bozeman. ATTACHMENTS: Ordinance 1939 Attachment A –Agreement to Exchange Land Attachment B1 and B2 – Quit Claim Deeds Attachment C1 and C2 - Appraisals Report compiled on April 11, 2016 421 AGREEMENT TO EXCHANGE LAND THIS AGREEMENT is made and entered into this _____of _______, 2016, by and between City of Bozeman, whose mailing address is P.O. Box 1230, Bozeman, MT 59771 hereinafter referred to as CITY, a Montana municipal and HELP CENTER INCORPORATED, whose mailing address is 421 East Peach Street, Bozeman, MT 59715 and (or assigns), hereinafter referred to as HELP CENTER. WITNESSETH: WHEREAS, CITY is the legal owner of the following described real property situated in Gallatin County, State of Montana, more particularly described as follows, to wit: VAN HORN SUB, S11, T02 S, R05 E, Lot 4A, ACRES 3.43, PLAT E-39-C (“PARK PROPERTY”) WHEREAS, HELP CENTER is the legal owner of the following described real property situated in Gallatin County, State of Montana, more particularly described as follows, to wit: VAN HORN SUB, S11, T02 S, R05 E, ACRES 0.475, TRACT B-1 PLAT E-39-B OMALLEY COOK ANNEX (“HELP CENTER PROPERTY”) WHEREAS, CITY and HELP CENTER desire to exchange a portion of their respective parcels of above-described real properties pursuant to a boundary realignment (“the Boundary Realignment”) under the terms and conditions hereinafter set forth and as shown on the attached Exhibit A which by this reference is made a part hereof. NOW, THEREFORE, for good and valuable consideration the parties agree as follows: 1. FILING OF AMENDED PLAT: CITY and HELP CENTER shall file the Amended Subdivision Plat in order to complete the Boundary Realignment as shown on Exhibit A. CITY and HELP CENTER acknowledge and agree that real property to be exchanged pursuant to the Boundary Realignment are of equal size and relative value. In order to convey its interest in that portion of the CITY PROPERTY to be included as shown on Exhibit A, the CITY shall execute a Quit Claim Deed to HELP CENTER for said portion of Lot 4A of the PARK PROPERTY (Van Horn Subdivision, 511, T02 S, R05 E, Lot 4A, ACRES 3.43, PLAT E-39-C). In order to convey its interest in that portion of the HELP CENTER PROPERTY as shown on Exhibit A, HELP CENTER shall execute a Quit Claim Deed to CITY for said portion of HELP CENTER PROPERTY (Van Horn Subdivision, S11, T02 S, R05 E, ACRES 0.475, TRACT B-1 PLAT E-39-B OMALLEY COOK ANNEX). 422 2. HELP CENTER shall purchase a title insurance policy insuring that the CITY shall acquire that portion of the HELP CENTER PROPERTY to be included within the Park Property free and clear of all mortgages, liens and encumbrances, subject to the following: A. All reservations and exceptions of record and in patents from the United States or the State of Montana or in Acts authorizing the issuance thereof; B. Covenants, restrictions, reservations, limitations, conditions, easements, rights of way, notations contained in or on any recorded plat, uses, waivers, agreements, bylaws, and other provisions of record. C. Taxes and assessments for the current year and subsequent years; D. All prior conveyances, leases or transfers of any interest in minerals, including, oil, gas, and other hydrocarbons, including access to and from to extract the same, whether or not shown in the public records; E. Building, use, zoning, sanitary, safety, and environmental rules, regulations, and restrictions; and F. Water rights, claims of title to water, and ditch rights apparent or of record. 3. BOZEMAN CITY COMMISSION RATIFICATION CONTINGENCY: The parties recognize and agree the Boundary Realignment and the exchange of real property as set forth herein is contingent upon ratification by the Bozeman City Commission of the City Manager's approval of this Agreement by duly adopted ordinance of the Bozeman City Commission pursuant to the requirements of Section 2.11 of the Bozeman City Charter and Chpt. 2, Art. 6, Div. 5, BMC. Final ratification of this agreement shall not be effective until thirty (30) days after final adoption of such ordinance ("Effective Date"). Should the Bozeman City Commission fail to ratify the City Manager's approval of this Agreement for whatever reason, this agreement shall be terminated, and neither party shall have any further obligation to the other party. 4. HELP CENTER’S WARRANTY AND DISCLOSURE: HELP CENTER agrees and represents that it has conducted an independent investigation and inspection of the CITY PROPERTY and has entered into this Agreement in full reliance thereon, and that there are no other agreements, verbal or otherwise, modifying or affecting the terms hereof, and that HELP CENTER is not relying upon any oral representations made by the CITY or CITY's agents. HELP CENTER specifically understands that the CITY’s interest in said HELP CENTER PROPERTY shall be conveyed "AS IS" AND WITHOUT WARRANTIES, EITHER EXPRESSED OR IMPLIED, INCLUDING THE IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, EXCEPT THE WARRANTIES OF TITLE AS SET FORTH HEREIN. 423 5. TAXES AND ASSESSMENTS: There shall be no proration of taxes between CITY and HELP CENTER, INC. HELP CENTER shall pay all taxes, fees and assessments accruing against said HELP CENTER PROPERTY subsequent to the date of Closing. 6. RISK OF LOSS: The parties hereto understand and agree that each party shall bear the risk of loss to their respective parcels of real property and appurtenances until title is conveyed at the date of Closing. 7. POSSESSION: Possession of the fully realigned parcels will be delivered on the date of Closing. 8. MEGAN'S LAW DISCLOSURE: Pursuant to the provisions of Title 46, Chapter 23, Part 5 of the Montana Code Annotated, certain individuals are required to register their address with the local law enforcement agencies as part of Montana's Sexual and Violent Offender Registration Act. In some communities, law enforcement offices will make the information concerning registered offenders available to the public. If either party desires further information, it should contact the local County Sheriff's office, the Montana Department of Justice, in Helena, Montana, and the probation officers assigned to the area. 9. NOXIOUS WEEDS DISCLOSURE. Buyers of property in the State of Montana should be aware that some properties contain noxious weeds. The laws of the State of Montana require owners of property within this state to control, and to the extent possible, eradicate noxious weeds. For information concerning noxious weeds and your obligations as an owner of property, contact either your local County extension agent or Weed Control Board. 10. CLOSING: Closing of the transaction set forth in this Agreement shall occur within 10 days of the Effective Date as defined in Section 4 of this Agreement and simultaneously with the recordation of the plat set forth on Exhibit A. CITY and HELP CENTER may mutually agree in writing to extend the Closing. Since no funds are being transferred, a closing agent shall not be necessary. HELP CENTER agrees to pay all recording fees. 11. INSTRUMENTS OF FURTHER ASSURANCE; GOOD FAITH: Each of the parties hereto agrees, at their own expense, to execute and deliver to the other at or after the Closing any and all further instruments and documents as either may reasonably request in order to carry out any of the provisions of this Agreement. CITY and HELP CENTER shall act in good faith in all respects relative to the transactions contemplated hereby. 12. NOTICES: Any notice required or permitted hereunder shall be in writing and shall be deemed delivered if personally delivered or two (2) days after being sent by United States First Class Certified Mail, postage prepaid, to the CITY or HELP CENTER at the addresses specified herein below. 424 CITY: HELP CENTER: Bozeman City Manager City of Bozeman 121 N. Rouse Avenue Bozeman, MT 59715 Executive Director HELP CENTER, INC. 421 East Peach Street Bozeman, MT 59715 Notices shall be addressed to any other person and address as may be specified from time to time by any party by written notice to the other party. 13. PARTIES IN INTEREST; ASSIGNMENTS: This Agreement, and each and every term and provision hereof, shall inure to the benefit of, and be binding upon and enforceable against, HELP CENTER and CITY hereto and their respective legal representatives, successors and assigns. 14. NO THIRD-PARTY BENEFITS: This Agreement is not intended, and shall not be deemed or construed, to confer any rights, power or privileges on any person, firm, partnership, corporation or other entity not a party hereto, except as otherwise provided. 15. TIME IS OF THE ESSENCE: Time is specifically declared to be of the essence of this Agreement, and of acts required to be done and performed by HELP CENTER and CITY. 16. GOVERNING LAW: This Agreement is executed and delivered and is to be performed in, and shall be governed by and construed in accordance with, the laws of the State of Montana without regard to principles of conflicts of law. The parties submit to the jurisdiction of the courts in Gallatin County, Montana and agree that any legal action or proceeding relating to this Agreement may be brought in those courts. 17. ATTORNEY'S FEES: Should either party hereto reasonably retain counsel for the purpose of enforcing or preventing the breach of any provision or alleged breach hereof, including but not limited to instituting any action or proceeding to enforce any provision hereof, for damages by reason of any alleged breach of any provision of this Agreement, for a declaration of such party's rights or obligations hereunder or for any other judicial remedy, then the prevailing party shall be entitled to be reimbursed by the other party for all costs and expenses incurred in connection therewith, including but not limited to reasonable attorney's fees for the services rendered to such prevailing party. 18. ENTIRE AGREEMENT: This Agreement expressly terminating all previous agreements among the parties related to the property, and constitutes and contains the entire agreement between CITY and HELP CENTER and supersedes any and all prior negotiations, correspondence, understandings and agreements between the parties respecting the subject matter hereof. 19. AMENDMENT: This Agreement may be amended only by a writing signed by each of the parties hereto. 425 **** END OF AGREEMENT EXCEPT FOR SIGNATURES **** CITY OF BOZEMAN _____________________________________ By: Chris A. Kukulski, City Manager HELP CENTER, INC. ________________________________________ BY: ____________________________________ TITLE: _________________________________ APPROVED AS TO FORM _______________________________ By: Greg Sullivan, Bozeman City Attorney 426 EXHIBIT A 427 After recording, please return to: Help Center, Inc. 421 East Peach Street Bozeman, Montana 59715 QUIT CLAIM DEED FOR ADEQUATE CONSIDERATION, the CITY OF BOZEMAN, a municipal corporation, whose mailing address is P.O. Box 1230, Bozeman, MT 59771 as Transferor, does hereby convey, remise, release, and forever quitclaim unto the HELP CENTER, INC. a Montana non- profit corporation whose address is 421 East Peach Street, Bozeman, MT 59715, as Transferee, the following described real property located in Gallatin County, Montana, to wit: Lot 2 of the Amended Plat of Tract B-1 of the Amended Van Horn Subdivision (E-39-B) and Lot 4A Amended Van Horn Subdivision (E-39-C) ), located in the city of Bozeman, Montana according to the official survey thereof on file and of record in the office of the County Clerk and Recorder, Gallatin County, Montana, TOGETHER WITH all the tenements, hereditaments, and appurtenances thereto belonging, and the reversions, remainder and remainders, rents, issues, and profits thereof; and possession, claim and demand whatsoever as well in law as in equity of the Transferor. TO HAVE AND TO HOLD, unto the said Transferee, its successors and assigns, forever. DATED this _______ day of ___________________, 2016. CITY OF BOZEMAN, a Montana Municipal Corporation ____________________________________________ Signature By: _________________________________________ Chris A. Kukulski, City Manager STATE OF ___________________ :ss County of ____________________ On this __________day of _____________________, 2016 before me, a Notary Public in and for said State, personally appeared ________________________, ______________________ of HELP CENTER, INC. a Montana non-profit corporation, known to me to be the person whose name is subscribed to the within instrument and acknowledged to me that said corporation executed the same. seal ________________________________________ Printed Name:_____________________________ Notary Public for the State of _________________ Residing at:_______________________________ 428 My commission expires:_____________________ 429 After recording, please return to: The City of Bozeman PO Box 1230 Bozeman, Montana 59771 QUIT CLAIM DEED FOR ADEQUATE CONSIDERATION, HELP CENTER, INC. a Montana non-profit corporation whose address is 421 East Peach Street, Bozeman, MT 59715 as Transferor, does hereby convey, remise, release, and forever quitclaim unto the CITY OF BOZEMAN, a municipal corporation, whose mailing address is P.O. Box 1230, Bozeman, MT 59771, as Transferee, the following described real property located in Gallatin County, Montana, to wit: Lot 1 of the Amended Plat of Tract B-1 of the Amended Van Horn Subdivision (E-39-B) and Lot 4A Amended Van Horn Subdivision (E-39-C) ), located in the city of Bozeman, Montana according to the official survey thereof on file and of record in the office of the County Clerk and Recorder, Gallatin County, Montana, TOGETHER WITH all the tenements, hereditaments, and appurtenances thereto belonging, and the reversions, remainder and remainders, rents, issues, and profits thereof; and possession, claim and demand whatsoever as well in law as in equity of the Transferor. TO HAVE AND TO HOLD, unto the said Transferee, its successors and assigns, forever. DATED this _______ day of ___________________, 2016. HELP CENTER, INC. a Montana non-profit corporation ____________________________________________ Signature By: _________________________________________ Printed name and title STATE OF ___________________ :ss County of ____________________ On this __________day of _____________________, 2016 before me, a Notary Public in and for said State, personally appeared ________________________, ______________________ of HELP CENTER, INC. a Montana non-profit corporation, 430 known to me to be the person whose name is subscribed to the within instrument and acknowledged to me that said corporation executed the same. seal ________________________________________ Printed Name:_____________________________ Notary Public for the State of _________________ Residing at:_______________________________ My commission expires:_____________________ 431 ORDINANCE 1939 Page 1 of 4 ORDINANCE NO. 1939 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN EXCHANGE AGREEMENT FOR THE REALIGNMENT OF A PARK BOUNDARY IN THE VAN HORN SUBDIVISION WITH PRIVATELY OWNED TRACTS, PROVIDING CONTINGENCIES AND AN EFFECTIVE DATE. WHEREAS, the City of Bozeman purchased three parcels of land utilizing Trails, Open Space and 2012 Bond funds as part of the Bozeman Pond Park Expansion Projects, approved by Commission under Resolution Resolution No. 4494; and WHEREAS, one of the parcels is identified as Lot 4a of Tract C of the Van Horn Subdivision as amended by Plat E-39-A, hereinafter referred to as the “Property”; and WHEREAS, the City is desirous of adjusting the boundary of the Property to accept an equal amount of new park area for the park area exchanged in order to preserve useable rear yard area and play equipment belonging to a local non-profit organization that provides services in the public interest for the City of Bozeman and Gallatin County; and WHEREAS, Section 2.11 of the Bozeman City Charter requires adoption of an ordinance when the City “convey[s]… or authorize[s] the conveyance… of any lands of the city”; and WHEREAS, Section 2.06.850 of the Bozeman Municipal Code (BMC), grants the City Commission the jurisdiction and power to receive property by donation or exchange; and WHEREAS, Section 2.06.870 of the Bozeman Municipal Code (BMC), grants the City Commission the jurisdiction and power to exchange any real property, however acquired, belonging to the City that is not necessary to the conduct of city business or the preservation of city property; and WHEREAS, Section 2.06.880, BMC, states, “When the City Commission, after a public hearing, has determined by a two-thirds vote of all the members, that any real property owned by the city is not needed for public use, or that the public interest may be furthered, the City may sell such property by… exchange…” and 432 ORDINANCE 1939 Page 2 of 4 WHEREAS, Section 2.06.880, BMC, also states, “Notice of …exchange… shall be published as provided in MCA 7-1-4127”; and WHEREAS, as the exchange of the Property is of identical size with the property the City will receive and is immediately adjacent to the existing park, of equal utility, and no money will be exchanged; WHEREAS, the appraised value of the property owned by Help Center, Inc. is equal to or greater than the City park property being exchanged; and WHEREAS, Help Center, Inc. has executed an agreement for the exchange of the Property subject to City Commission ratification of the City Manager’s signature; and WHEREAS, the agreement to exchange the Property is attached to this Ordinance as Attachment A; and WHERAS, should the Bozeman City Commission provisionally adopt this ordinance by no less than a two-thirds vote of its total membership, notice of provisional adoption of this ordinance shall be published in compliance with Sect. 7-1-4127, MCA, prior to final adoption. NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF BOZEMAN, MONTANA: Section 1 The Bozeman City Commission finds that: 1. The exchange of the Property as shown on Exhibit A to the Exchange Agreement will have no adverse effect on the public’s use of Bozeman Pond Park and will further the public interest because the exchange of the Property and related relocation of common boundaries will benefit affordable housing which the City has financially supported and which is consistent with the priorities of the City. The exchange of land is of identical size, immediately adjacent to the existing park, and of comparable value and utility for all public uses. 2. As the exchange provides an equally functional park space the land to be deeded to Help Center, Inc. is no longer needed for City purposes. Section 2 The Bozeman City Commission hereby authorizes the City Manager to sign the attached Exchange Agreement. In doing so, the Commission authorizes, subject to fulfillment of the contingencies as stated in the attached Exchange Agreement and those contingencies listed below, the conveyance of the Property to the Help Center, Inc.: 1. The exchange must be of the same amount of land area to both parties. 433 ORDINANCE 1939 Page 3 of 4 2. The exchange shall be enacted by the approval of an amended plat by the Director of Community Development in substantially the same form as attached to the Exchange Agreement and the recording of the amended plat. 3. Help Center, Inc. shall pay the Subdivision Exemption filing fee and all closing costs and recording fees. 4. The City Manager may not sign the Exchange Agreement until 30 days after final adoption of this ordinance; as such, the Exchange Agreement shall not be binding on the City until such time and until completion of all included contingencies. 5. The exchange shall close as stated in the agreement. Section 3 Repealer. All provisions of the ordinances of the City of Bozeman in conflict with the provisions of this ordinance are, and the same are hereby, repealed and all other provisions of the ordinances of the City of Bozeman not in conflict with the provisions of this ordinance shall remain in full force and effect. Section 4 Savings Provision. This ordinance does not affect the rights and duties that matured, penalties that were incurred or proceedings that were begun before the effective date of this ordinance. All other provision of the Bozeman Municipal Code not amended by this Ordinance shall remain in full force and effect. Section 5 Severability. That should any sentence, paragraph, subdivision, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal, or invalid, the same shall not affect the validity of this ordinance as a whole, or any part or provision thereof, other than the part so decided to be invalid, illegal or unconstitutional, and shall not affect the validity of the Bozeman Municipal Code as a whole. 434 ORDINANCE 1939 Page 4 of 4 Section 6 Codification Instruction. The provisions of this Ordinance shall not be codified in the Bozeman Municipal Code; rather, this Ordinance shall be maintained by the City Clerk in an indexed file of all Ordinances not to be codified. Section 7 Effective Date. This ordinance shall be in full force and effect 30 days after final adoption. PROVISIONALLY PASSED by the City Commission of the City of Bozeman, Montana, on first reading at a regular session held on the __th day of April, 2016. ____________________________________ CARSON TAYLOR, Mayor FINALLY PASSED, ADOPTED AND APPROVED by the City Commission of the City of Bozeman, Montana on second reading at a regular session thereof held on the ___ day of ______________, 2016. The effective date of this ordinance is _________________, __ 2016. _________________________________ CARSON TAYLOR, Mayor ATTEST: _______________________________ Robin Crough, City Clerk APPROVED AS TO FORM: _________________________________ GREG SULLIVAN, City Attorney 435 AMENDED PLAT OFTRACT B-1 OF AMENDED VAN HORN SUBDIVISION (E-39-B) AND LOT 4A OF AMENDED VAN HORN SUBDIVISION (E-39-C),LOCATED IN THE SOUTHWEST ONE-QUARTER OF SECTION 11,TOWNSHIP 2 SOUTH, RANGE 5 EAST, PRINCIPAL MERIDIAN,CITY OF BOZEMAN, GALLATIN COUNTY, MONTANAOWNERS: TRACT B-1; Help Center Inc. and LOT 4A; City of BozemanPURPOSE: TO REALIGN A COMMON BOUNDARY BETWEEN 2 LOTS IN A PLATTED SUBDIVISIONSHEET1 OF 1Civil EngineeringGeotechnical EngineeringLand Surveying32 DISCOVERY DRIVEBOZEMAN, MT 59718PHONE (406) 582-0221FAX (406) 582-5770www.alliedengineering.comCERTIFICATE OF SURVEYORCONSENT OF MORTGAGEECERTIFICATE OF GOVERNING BODYCERTIFICATE OF DIRECTOR OF PUBLIC WORKSCERTIFICATE OF COUNTY TREASURERCERTIFICATE OF CLERK AND RECORDERAREA TABLETOTAL AREA=3.91 acresLEGAL DESCRIPTIONCERTIFICATE OF EXEMPTION FROM SUBDIVISION REVIEW ANDEXCLUSION FROM D.E.Q. REVIEWRELOCATION OF COMMON BOUNDARY NOTEBASIS OF BEARING, COORDINATESDRAFT436 AN APPRAISAL OF THE HELP CENTER SITE 3316 WEST BABCOCK STREET IN BOZEMAN, MONTANA DATE OF VALUATION MARCH 30, 2016 FOR CAROLYN POISSANT CITY OF BOZEMAN BY J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA 437 J. MICHAEL JOKI, MAI, SRA P.O. BOX 281 HELENA, MONTANA 59624 Phone (406) 442-2159 April 5, 2016 FAX (406) 442-6196 Carolyn Poissant, MLA, AICP Manager of Trails, Open Space and Parks Design City of Bozeman-Department of Parks and Recreation P.O. Box 1230 Bozeman, Montana 59771-1230 RE: An appraisal of the Help Center site addressed at 3316 West Babcock Street in Bozeman, Montana. Dear Mrs. Poissant: Per your request I have made the necessary inspection and analysis to appraise the above referenced property. The attached report provides the essential data and detailed reasoning employed in my final value estimate. The report contains45 pages. I have appraised the property as a whole, owned in fee simple and unencumbered. I assume no responsibility for matters that are legal in nature nor do I render any opinion as to title. The site being appraised is a 20,695 SF site improved with the building that houses Help Center, INC. The City of Bozeman owns the adjoining site to the south and is attempting a land swap with this site. No building improvements are impacted by this project therefore they are not valued in this appraisal report. Only the estimated market value of the underlying site is given. The value reported is qualified by certain definitions, assumptions and limiting conditions, and certification which are set forth within the attached report. This appraisal report is intended to conform with the Uniform Standards of Professional Appraisal Practice. Based on my analysis, the market value of the subject site as set forth, documented and qualified in the attached report under conditions prevailing on March 30, 2016 was: One Hundred Thousand Dollars $100,000 I direct your attention to the data, discussions and conclusions which follow. Respectfully submitted, J. Michael Joki, MAI, SRA Montana State Certified General Real Estate Appraiser #152 438 I CERTIFY THAT... 1. The statements of fact contained in this report are true and correct. 2. The reported analyses, opinions, and conclusions are limited only by the reported Assumptions and Limiting Conditions, and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. 3. I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect to the parties involved. 4. I have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment. 5. My compensation is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event. This appraisal assignment was not based on a requested minimum valuation, or a specific valuation. 6. My analysis, opinions and conclusions were developed, and this report has been prepared, in conformity with The Uniform Standards of Professional Appraisal Practice, and with the requirements of the Code of Professional Ethics and the Standards of Professional Practice of the Appraisal Institute. 7. The use of this report is subject to the requirements of the Appraisal Institute relating to the review by its duly authorized representatives. 8. As of the date of this report, I, J. Michael Joki, have completed the requirements of the continuing education program of the Appraisal Institute. 9. I have made a personal inspection of the property that is the subject of this report and have afforded the owner, or their representative, the opportunity to accompany me on the inspection. 10. I have personally inspected and verified the comparable sales relied upon in making this appraisal. 11. No one provides significant real property appraisal assistance to the person signing this certification. 12. I have the necessary level of knowledge and experience to credibly estimate the value of the subject property, or have taken reasonable steps to achieve such competency and to provide a professional appraisal of the subject property, in accordance with the Uniform Standards of Professional Appraisal Practice. 439 13. I am currently licensed in the State of Montana (Certificate #152) as a Certified General Real Estate Appraiser, and hold the MAI and SRA designations conferred by the Appraisal Institute. DATE: March 30, 2016 SIGNATURE: Appraised By: J. Michael Joki, MAI, SRA Certified General #152 440 5 J. Michael Joki, MAI, SRA HELENA, MONTANA ASSUMPTIONS AND LIMITING CONDITIONS This is to certify that the appraiser in submitting this statement and opinion of value of subject property acted in accordance with and was bound by the following principles, limiting conditions and assumptions. Unauthorized use of this report is set forth below. 1. No responsibility is assumed for matters that are legal in nature nor is any opinion rendered on title of property appraised. 2. Unless otherwise noted, the property has been appraised as though free and clear of all encumbrances. 3. All maps, areas, plans, specifications, and other data furnished your appraiser were assumed to be correct. No survey of the property was made by this firm. Furthermore, all numerical references to linear measurements, area, volume or angular measurements should be assumed to be "more or less" (+/-) and are accurate to a degree consistent with their use for valuation purposes. 4. This appraisal considers only surface rights to the property with consideration of current zoning and land use controls. The estimate of highest and best use will form the basis for the value estimate. This appraisal does not consider mineral, gas, oil or other natural resource rights that may be inherent in the ownership of the property. 5. In this appraisal assignment any potentially hazardous material found on the land which may or may not be present on the property, has not been considered. The appraiser is not qualified to detect such substances. Any interested party is urged to retain an expert in this field if there is any question regarding such potentially hazardous material. If such material or substance is present it could adversely affect the value reported. 6. The appraiser is not a seismologist. This appraisal should not be relied upon as to whether a seismic problem exists, or does not actually exist on the property. The property which is the subject of this appraisal is within a geographic area where earthquakes and other seismic disturbances have previously occurred and where they may occur again. Except as specifically indicated in the report, no seismic or geologic studies have been provided to the appraiser concerning the geologic and/or seismic condition of the property. The appraiser assumes no responsibility for the possible effect on the subject property on seismic activity and/or earthquakes. I have not made a specific compliance survey and analysis of this property to determine whether or not it is in conformity with any seismic requirements by the City or County. It is possible that a survey of the property could reveal that the property does not meet the required seismic requirements. If so, this fact could have a negative effect upon the value of the property. Since I have no direct evidence relating to this issue, I did not consider possible noncompliance requirements in estimating the value of the property. 441 7. All data contained in this report and in the appraiser's files, as obtained from other sources, upon which to any degree the opinions and conclusions were based, are considered reliable and believed to be true and correct. However, the appraiser does not assume responsibility for the accuracy of such items that were obtained from other parties. 8. There shall be no obligation to give testimony or attendance in court by reason of this appraisal with reference to the property in question unless arrangements have been previously made and at an additional fee. 9. Disclosure of the contents of this appraisal report is governed by the by-laws and regulations of the Appraisal Institute. Neither all nor any part of the contents of this report especially the conclusions as to value, the identity of the appraiser, or the firm with which he is connected, or to the MAI and SRA designations, shall be disseminated to the public through advertising media, news media, public relations media, sales media, or any other public means of communication without the prior written consent of the appraiser. 10. J. Michael Joki, MAI, SRA, specifically does not authorize the out-of-context quoting from or partial reprinting of this appraisal report. 11. The liability of J. Michael Joki, MAI, SRA and employees is limited to the client and to the fee collected. Further, there is no accountability, obligations or liability to any third party. If this report is placed in the hands of anyone other than client, the client shall make such party aware of all limiting conditions and assumptions of the assignment and related discussions. The appraiser assumes no responsibility for any costs incurred to discover or correct any deficiencies of any type present in the property; physically, financially, or of a legal nature. 12. The fee for this appraisal report is for the service rendered and not for time spent on the physical report or for the physical report itself. 13. This appraisal report is prepared for the appraisers’ client the City of Bozeman. It is my understanding the City of Bozeman is working with Help Center, INC to conduct a land swap of two adjoining parcels. No third parties are authorized to rely upon this report without the express written consent of the appraiser. 14. This Appraisal Report is intended to comply with the reporting requirements set forth under Standard Rule 2-2(a) of the Uniform Standards of Professional Appraisal Practice for an Appraisal Report. As such, it presents discussions of the data, reasoning, and analysis that were used in the appraisal process to develop the appraiser’s opinion of value. Supporting documentation concerning the data, reasoning and analysis is contained in the appraiser’s file. 442 SUMMARY OF IMPORTANT FACTS AND CONCLUSION PURPORTED OWNER: Help Center, INC. LOCATION OF PROPERTY: This site is located on the east side of Fowler Avenue and just south of West Babcock Street in Bozeman, Montana. The site is addressed 3316 West Babcock Street. LAND SIZE: 20,695 SF IMPROVEMENTS: This site is improved with a single family residence that was constructed in 1979 but now houses Help Center, INC., a privately operated nonprofit corporation. PROPERTY RIGHTS APPRAISED: Fee Simple ZONING: R-3 (Residential Medium Density District) PRESENT USE: Supports the building improvements housed by Help Center, INC HIGHEST AND BEST USE IF VACANT: In support of a multi-family building that has 4 to 6 units. DATE OF VALUATION: March 30, 2016 CONCLUDED ESTIMATE OF MARKET VALUE $100,000 443 SUBJECT PROPERTY PHOTOGRAPH Looking south at the subject property from the driveway. 444 DEFINITION OF MARKET VALUE Market value, as used in this report is defined as follows: “The most probable price, as of a specified date, in cash, or in terms equivalent to cash, or in other precisely revealed terms, for which the specified property rights should sell after reasonable exposure in a competitive market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently, knowledgeably, and for self-interest, and assuming that neither is under undue duress.”1 Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: 1. Buyer and seller are typically motivated; 2. Both parties are well informed or well advised, and acting in what they consider their own best interests; 3. A reasonable time is allowed for exposure in the open market; 4. Payment is made in terms of cash in US dollars or in terms of financial arrangements comparable thereto; and 5. The price represents the normal consideration of the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with this sale. PURPOSE OF THE APPRAISAL The purpose of this appraisal report is to arrive at a supportable estimation of the market value. 1 The Appraisal of Real Estate, 12th Edition, (Appraisal Institute, 2006), p. 22. 445 INTENDED USE OF THE APPRAISAL AND INTENDED CLIENT It is understood that the intended use of this appraisal report is to assist the City of Bozeman in a land swap with the Help Center, INC site which is the adjoining property. The client is the City of Bozeman, and the intended users of the appraisal report are the City of Bozeman, Montana and Help Center, INC. SCOPE OF THE APPRAISAL The scope of this assignment includes a personal inspection of the subject site, reviewing public record information concerning the site and other properties in the immediate neighborhood. Initially I spoke with Carolyn Poissant from the City of Bozeman- Department of Parks and Recreation. Carolyn Poissant explained the City of Bozeman is attempting to do a land swap with the Help Center, INC site that is directly north of the land owned by the City of Bozeman. Apparently some of the fencing and site improvements owned by the Help Center are located on Lot 4-A that is owned by the City of Bozeman. These two parties are attempting to do a land swap so the site improvements owned by the Help Center do not have to be relocated and in exchange the land in the northwest corner of the Help Center site would be given to the City of Bozeman to create better access to their land which is now known as Bozeman Ponds Park. An illustration depicting the approximate areas to be swapped was provided to me by Carolyn Poissant and is included in the addenda. Also shown on this illustration is the location of the well that serves the building improvements on the Help Center site which is located on the land owned by the City of Bozeman. Reportedly this well was drilled and put in service many years before the City of Bozeman purchased their land. Is my understanding an easement will be granted by the City of Bozeman to Help Center, INC so use, access and maintenance can continue on this well in the future. I have been asked to estimate the market value of both sites so each party can be appropriately compensated for the land that will be included in the proposed land swap. I inspected the subject property on March 30, 2016. I was provided the contact information for Christina Powell who is the Director of Hearts and Homes which is the entity currently operating at the 446 subject property. Christina Powell was not available therefore Sylvia Meegard met me on site and was able to answer a number of questions I had concerning the subject property. March 30, 2016 is the day I completed my property inspection and is also the day I took all photographs of the subject property. Real estate agents, local MLS Service, developers and appraisers in Bozeman were interviewed in an attempt to find relevant market data. Market data has been confirmed with the buyer, seller or broker involved in the transaction. All of the comparable sales utilized in this appraisal report are described in the body of the report and in more detail on the sales sheets included in the addenda. All known, available, relevant market data considered to have an impact on the market value of the subject site has been considered. As identified under Assumptions and Limiting Conditions and as explained under Property Rights Appraised the title is assumed to be free and clear of liens and encumbrances. The Scope of Work defines an appraiser's conclusions as to what is deemed necessary to provide a creditable appraisal report. The client is defined as the City of Bozeman. The intended user is the client, and the intended use will be to assist the City of Bozeman with a land swap involving the Help Center, INC site. The following sources provided me data that was used in this appraisal report. • Gallatin County Clerk and Recorder's Office • City of Bozeman Planning Department • Andrew Boughn, City of Bozeman Planning Department • Keith O’Reilly, MAI, Appraiser • Ed Jackson, Appraiser • Mike McKenna, Realtor • Kim Meyer, Realtor • Donnie Olson, Realtor • Sue Frye, Realtor 447 12 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA SUMMARY OF APPRAISAL PROBLEM It is my understanding the City of Bozeman is attempting to complete a land swap with the Help Center, INC because some of the site improvements on the Help Center, INC site are currently encroaching on land owned by the City of Bozeman. Also, the City of Bozeman is trying to gain better access to their land which now functions as Bozeman Ponds Park. In their opinion better access can be gained to the park land from the northwest corner of the Help Center, INC site. I have been asked to estimate the current market value of both sites so the land owners can be appropriately compensated for their land involved in this proposed swap. PROPERTY RIGHTS APPRAISED This appraisal is made with the understanding and assumption that present ownership of the subject property includes all rights that may be lawfully owned, and is therefore, title in fee simple as of March 30, 2016. A fee simple estate is subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power and escheat. IDENTIFICATION OF PROPERTY AND LEGAL DESCRIPTION The site that is the subject matter of this appraisal report consists of 20,695 SF and is addressed 3316 West Babcock Street in Bozeman, Montana. The legal description of the land involved is as follows: 448 13 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA “Tract B-1 of the Amended Subdivision Plat of Tracts A and B of the Amended Van Horn Subdivision, located in the SW ¼ of Section 11, Township 2 South, Range 5 East, PMM, City of Bozeman, Gallatin County, Montana, as shown on file on the Plat E-39-B.” 449 14 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA HISTORY OF THE PROPERTY As shown on the Quit Claim Deed in the addenda the last transfer concerning this property was on July 25, 2013 wherein Hearts and Homes Family Resource Network, INC transferred ownership to Help Center, INC. According to Sylvia Meegard this transaction concerned the business only. Reportedly Hearts and Homes Family Resource Network INC. owned this property for 20+ years. To the best of my knowledge this property is not currently listed for sale. 450 15 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA REGIONAL MAP 451 16 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA REGIONAL AND CITY ANALYSIS Bozeman is the county seat of Gallatin County and is one of 56 counties in the State of Montana. Gallatin County is located in a mountainous area of Montana north of the Montana/Wyoming border and Yellowstone National Park. Bozeman primarily lies on the south side of Interstate 90 and is located approximately 140 miles west of Billings, Montana and 80 miles east of Butte, Montana. Gallatin County has grown faster than any other county in the State of Montana over the past decade according to the Census Bureau. Gallatin County includes almost 2,500 square miles of mountainous lands that offer a variety of topography and climate. Nearly half of Gallatin County is under public ownership by the Gallatin National Forest, State of Montana, Bureau of Land Management or the National Park Service. Forces Influencing Property Values The value of real estate is influenced by the interaction of four major forces. Social considerations, economic considerations, government and environmental considerations. The four forces are discussed as follows: Social Considerations Social forces are exerted largely by population characteristics, including population growth, density, and age distribution. According to the U. S. Census Bureau the population of the City of Bozeman increased from 27,509 in 2000 to 37,280 as of April, 2010 and increase of nearly 9,800 people. This represents an increase in population of approximately 35.5% over this 10-year period, or an average rate of growth of about 3.55%/year. From April, 2010 to April, 2012 the population increased from 37,280 to 38,695, an increase of nearly 1,415 people which equated to a growth of 3.8% over this time frame. Gallatin County’s population increased from 67,831 in 2000 to 89,513 in 2010 or approximately 21,700 people. This represents an increase in population of approximately 32% over a 10-year period or an average growth rate of 3.2%/year. Between April, 2010 and April, 2012 the population increased from 89,513 to 92,614 people or 3,101people which equates to a growth rate of about 3.5% over this time period. Comparatively, the State of Montana grew from 989,417 people in April 2010 to 1,005,140 people in 2012 or 15,724 people which equates to a growth rate of 1.6% over that time frame. 452 17 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA In addition to population growth the City of Bozeman continues to see growth in its geographic size. In 1990 the City of Bozeman was approximately 6,420 acres (± 10 square miles) and by the end of 2009 it had expanded to 12,300 acres (±19.25 square miles) resulting in an increase of ±92% over this 19- year period. This growth was to accommodate the increasing population which required new land for residential, commercial and industrial development. This growth significantly slowed in 2009 and 2010 which was being seen all throughout this region as the national economic recession took effect. Bozeman has a significantly lower home ownership rate than most other communities in the county primarily due to the student body of Montana State University. Bozeman also has a smaller average household size and a smaller portion of families than other areas of Gallatin County. Bozeman has an average household size of 2.27 people while the average household size for Gallatin County is 2.49 people. Just over half of the Bozeman households are families compared to ±63% countywide. The population of Bozeman is considerably younger than Gallatin County as a whole, and even more so, in comparison to the State of Montana. Again this emphasizes the significance of Montana State University being located in Bozeman. Bozeman and Gallatin County has transformed over the past decade from a primarily agricultural based community to a tourism related community. Bozeman and Gallatin County offers a high quality of life due to its low crime rate, offering of many cultural experiences, the presence of Montana State University and its education offerings. An abundance of outdoor activities that include excellent downhill snow skiing, world class fly fishing rivers, streams and access to numerous state and federally owned lands are all nearby. Economic Considerations Bozeman, like many communities in Montana experienced significant growth in population and economy for a number of years. This area was affected by the national recession just like many other areas in the country however new growth and development has begun again and the outlook for Bozeman and the vicinity is quite positive based on a number of factors. • County seat of Gallatin County. • Wide range of skills in the labor force. • Home of Montana State University. • Well located in southwestern Montana • Numerous recreational opportunities 453 18 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA Bozeman is somewhat unique when compared to other communities in Montana because there are few employers who employ a large amount of the population. Missoula, Montana, as an example was very dependent on the lumber and timber industry and Butte, Montana had always relied heavily on the mining industry. When those industries slowed those communities were very heavily impacted. The primary employer in Bozeman is Montana State University. Other major sectors of the economy that provide employment are construction, local and state government, manufacturing, technology, agricultural and retail service. Montana State University currently employs about 3,500 people as permanent faculty/staff and they also employ over 2,000 students in part time work. In the fall of 2,013 the student enrollment at MSU was slightly over 15,000 people which certainly has a significant effect on the local economy. Other major employers in Gallatin County include the State of Montana, Gallatin County, the City of Bozeman, Bozeman Deaconess Hospital, Right Now Technologies. With such a diverse employment base the local economy tends to be sheltered from a downturn in any of the Country’s key employment industries. In 2010 Bozeman was declared as the most expensive place to live in Montana based upon a report by Propera Business Network. This report stated that Bozeman’s 2009 cost of living was 4.4% above the national average. The other Montana cities that showed an overall cost of living above the national average were Missoula at 1.8% and Kalispell at 1.5%. Residential rent levels in Gallatin County have remained stable primarily due to the presence of Montana State University. Rents in this community will periodically show a slight decline however they tend to stabilize or even increase rather quickly due to the continued growth of Montana State University. Overall the economic growth has been much stronger in Bozeman and Gallatin County than what is being seen statewide. Historically the sectors in Bozeman and Gallatin County that show the most substantial growth are agricultural services, construction, manufacturing, finance, insurance, real estate and lodging. Currently the unemployment rate in Montana is 6.4% and Gallatin County recorded a slightly lower unemployment rate at 5.8%. Gallatin County’s labor force is currently estimated at 52,070 employees, the third largest labor force in Montana’s 56 counties. Over the past ±10 years residential building permit activity in the City of Bozeman was on the rise and reached its peak in 2005 and then began to decline over the next 5 years, and most significantly in 2008 and 2009. Residential building permits began to increase again in 2010 and have been on a steady incline. Bozeman has been experiencing new growth in several areas of town but no area has provided as much commercial real estate development at the 19th Avenue corridor. Recent stores and restaurants developed along 19th Avenue include Sportsman’s Warehouse, Lowes, IHOP, Bed Bath and Beyond, Staples, World Market and REI. Most recently a new Safeway grocery store (±58,000 SF) was completed in December, 2011 and a Kohls department store (±55,300 SF) was completed in October, 2011. 454 19 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA The City of Bozeman facilities over the past 5 years have seen significant development and/or renovation which includes the fire stations, police station, waste water treatment facilities, the completion of a downtown parking garage, City of Bozeman Library, construction of the Gallatin County Detention Center, an expansion of the landfill building etc. Montana State University has also seen significant expansion and renovation which include a significant remodel of the football stadium, addition of the Molecular Biology Center, renovations to the Health and Physical Education Center, addition of the Black Box Theater, renovation of Gaines Hall etc. Tourism brings a significant number of visitors to the Bozeman area. Yellowstone National Park, the first national park in the United States, is located approximately 65 miles south of Bozeman. Big Sky Ski Resort is located approximately 45 miles south of Bozeman and has recently been listed as the seventh best ski resort in the United States. This ski area averages over 300" of annual snowfall with skiing available November through April. The Yellowstone Club lies adjacent to Big Sky Ski Resort and is an exclusive vacation/residential development that includes both private skiing and golfing. This exclusive, private development had filed for bankruptcy in 2008 and in 2010 was purchased by Cross Harbor Capital and for several years saw significant decline in sales and values. However, the private development has begun to rebound again as sales are starting to climb again. Other ski resorts in Gallatin County include Moonlight Basin which is also adjacent to Big Sky and Bridger Bowl which lies approximately 15 miles to the north of Bozeman. Environmental Considerations Environmental and physical forces, both natural and man-made, can influence property values. These forces include climatic conditions, topography and natural barriers, and transportation systems. Bozeman’s climate clearly reflects its mountain valley location. Bozeman truly has four seasons with its short summers being pleasant which are typically characterized by warm to hot days and cool nights. The average high temperature in the summer is in the upper 80°’s and the average low in the winter is the mid to lower 30°’s. Spring tends to come late in the Gallatin Valley as ⅓ of its annual precipitation ±19" falls during May and June. The average annual snowfall in Bozeman is ±72" and the average length of the growing season is about 107 days. The climate of the county varies according to elevation but is generally characterized by relatively cold winters and warm summers. Snow removal is a common operating cost that will affect real estate in the winter months. In contrast air conditioning costs 455 20 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA are less during the fairly temperate summer months however heating bills can be quite high during the cold winter months. Bozeman is located on the south side of Interstate 90. Access to the south towards Yellowstone Park is via U.S. Highway 91. There are numerous other state highways and Gallatin County maintained roads that provide access throughout this region. Commercial air service, truck and rail transportation are considered to be adequate. Gallatin Field which is located in the adjacent community of Belgrade is the second busiest airport in the state and provides air service for this area. Governmental Considerations The City of Bozeman is a City Commission/City Manager form of government with an elected municipal judge. There are five commissioners elected with no party affiliation and are elected to a four- year term which are overlapping. The City Commissioner elections are held every two years and the terms of the commissioners are staggered and the candidate who receives the most votes in an election becomes the mayor the last two years of their term. The City of Bozeman has approximately 40 police officers and the fire department has approximately 18 firefighters plus the Fire Chief, Deputy Chief/Marshall, and seven captains. There are three fire stations in the City of Bozeman and overall the fire and police protection services are considered to be good. The Department of Planning and Community Development processes applications for new development in the city limits. This department enforces the zoning regulations within the city limits of Bozeman. Gallatin County administers all zoning for properties outside the city limits and within the “zoning donut”. The Gallatin County Comprehensive Plan encourages development near the existing city limits and/or services and discourages development in more remote locations. In general, the planning and zoning regulations in this area are considered stringent. Conclusion Bozeman and Gallatin County has population and overall growth trends that are continuing upward. This area offers a wide variety of outdoor recreational opportunities, cultural resources, tourism, and coupled with the presence of Montana State University this area is poised for continued growth. 456 21 Bozeman has a young and very well educated work force and coupled with its diverse economy the general outlook for Bozeman, Belgrade and the surrounding small communities is good. Overall the real estate market in Bozeman is strong. 2013 was the first year of strong market conditions after 5+ recession years. Residential and commercial activity has increased significantly. Residential apartment occupancy is more or less at 100%, and commercial lease rates and commercial property values have been increasing as well. 457 22 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA NEIGHBORHOOD DATA & ANALYSIS The subject site is located near the northwestern edge of the Bozeman city limits essentially at the intersection of Fowler Avenue and West Babcock Street. Both Fowler Avenue and West Babcock Street are relatively high traffic streets that provide good north/south and east/west access to and from the Bozeman city limits. Fowler Avenue extends south past the subject property to where it meets Huffine Lane which is a lighted intersection. Huffine Lane (Highway 191) is a major east/west thoroughfare connecting Bozeman, the Four Corners area and Belgrade. This general area is continuing to see more commercial and multi-family development as the City of Bozeman continues to expand to the northwest. Between Huffine Lane and Interstate 90 to the north there’s a mix of single family developments, multi-family housing projects and the remaining farm and ranch properties. Huffine Lane to the east transitions into West Main Street which leads directly to downtown Bozeman. North 19th Avenue between West Main Street and Interstate 90 has recently become developed with retail and office buildings. South of Huffine Lane is a mix of residential developments, rural residential home sites (1- 20 acres) and larger farm and ranch properties. Huffine Lane to the west leads to Jack Rabbit Lane and this intersection is commonly known as Four Corners. Retail development along Huffine Lane and Jack Rabbit Lane is becoming more prevalent each year. Many of the new developments in this area are on agricultural ground so fewer building improvements had to be razed. Elementary schools, middle schools and Bozeman High School are all located nearby. 458 23 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA The Gallatin Valley Mall is located just to the south on the north side of Huffine Lane. City water and sewer services are readily available throughout this neighborhood, and natural gas and electrical service are provided throughout the area by North Western Energy. For a number of years’ the new commercial development in Bozeman was most prevalent along North 19th Avenue. However most of this land has become developed and now more development is being seen along either side of Huffine Lane as the Bozeman city limits continue to expand north and west. I expect this neighborhood will continue to see new development because there is a lack a vacant, developable land to the east. In my opinion market conditions will remain strong in this neighborhood and most likely market values will appreciate accordingly. This trend is consistent with what other neighborhoods are experiencing in the Bozeman city limits. 459 24 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA AERIAL MAP 460 25 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA PROPERTY DESCRIPTION Site Size: As shown on the property record card in the addenda the subject site, outlined in red on the facing page, is 20,695 SF. Shape: Slightly irregular. Topography: Most of this site has level topography. The Davis Irrigation Ditch parallels Fowler Avenue and flows along the west boundary of the subject site. Soil Conditions: Soil conditions are unknown and no soils test was provided to your appraiser. Easements: To the best of my knowledge there are no easements or encroachments on the subject property that would adversely affect its market value. However, a title policy should be used for the final determination of easements and encroachments. Access: There is a driveway that crosses in front of the subject site and provides access from Fowler Avenue to the west or West Babcock Street from the north. The Fowler Meadows Apartment Complex, which essentially surrounds the subject property on the east and north, is also accessed from this same driveway. Utilities: City sewer service has been extended to the subject site. The building improvements have been served by a well since they were constructed in 1979 and the well is located on the land owned by the City of Bozeman directly to the south. It is my understanding once the land swap is completed an easement will be granted to Help Center, INC so use, access and maintenance of this well can continue into the future. As I understand if significant improvement or renovation to the building improvements on the subject site is completed then city water service will 461 26 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA have to be extended on this site. Natural gas and electrical service are provided by North Western Energy. Functional Adequacy: This site has adequate access, mostly level topography and all utilities are available. It appears this site is well suited for development to its highest and best use. Flood Plain: The subject property is located in Flood Zone X which is an area of minimal flooding. This information was extracted from FEMA's National Flood Hazard Layer Website. The Community Panel No. is 30031 C 0812 D. This map is dated September 2, 2011. Nuisances or Hazards: To the north and east is the Fowler Meadows Apartment Complex which is comprised of five buildings that share access with the subject site. To the south is the Bozeman Ponds Park which is owned by the City of Bozeman. To the west and across Fowler Avenue are the West Babcock baseball fields and a mix of single family and multi-family dwellings. These uses are typically to this neighborhood and do not adversely affect the market value of the subject site. Site and Building Improvements: This site is improved with a single family residence that was constructed in 1979 however it is now occupied by a privately owned nonprofit business known as Hearts and Homes. It appears few changes have been made to the building over the years. Surrounding the building is lawn with underground sprinklers, sidewalks, a concreate driveway leading to a built in garage, and the rear yard is enclosed with chain link fencing. None of the site or building improvements are impacted by the potential land swap and therefore they are not valued in this appraisal report. 462 27 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA SUBJECT PROPERTY PHOTOGRAPHS Front View. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. Looking east at the subject property from Fowler Avenue. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. 463 28 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA SUBJECT PROPERTY PHOTOGRAPHS Looking south on Fowler Avenue. Subject property is to the left. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. Davis Irrigation Ditch that flows between Fowler Avenue and the subject site. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. 464 29 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA SUBJECT PROPERTY PHOTOGRAPHS Photograph taken from the driveway and looking southeast at the very northwest corner of the subject site. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. Photograph taken near the southwest corner and looking northeast at the subject site. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA 465 30 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA SUBJECT PROPERTY PHOTOGRAPHS Photograph shows the well on the adjacent site directly to the south. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. Rear view. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. 466 31 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA SUBJECT PROPERTY PHOTOGRAPHS Photograph shows the area that is encroaching on the land to the south. This area is depicted by the pink flag at the bottom of the photograph. Photograph taken March 30, 2016 by J. Michael Joki, MAI, SRA. 467 32 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA ZONING I confirmed at the City of Bozeman Planning Department that the subject site is zoned R-3(Residential Medium Density District). The intent of this zoning district is to provide for the development of 1 to 5 household residential structures near service facilities within the city. It should provide for a variety of housing types to serve the varied needs of households of different size, age and character, while reducing the adverse effect of nonresidential uses. A complete copy of the zoning ordinance is included in the addenda that further explains the allowed uses, conditional uses, building coverage ratios etc. 468 33 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA HIGHEST AND BEST USE OF LAND AS VACANT "The reasonably probable and legal use of vacant land or an improved property that is physically possible, appropriately supported, financially feasible and that results in the highest value. The four criteria the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum productivity. Alternatively, the probable use of land or improved property - specific with respect to user and timing of the use - that is adequately supported and results in the highest present value."2 The definition above applies to the highest and best use of vacant land or improved property. It is to be recognized that in cases where a site has existing improvements on it, the highest and best use may very well be determined to be different from the existing use. The existing use will continue, however, unless and until land value in its highest and best use exceeds the total value of the property in its existing use. Quite often in estimating the highest and best use of land, the appraiser is controlled by governmental regulations. These controls are generally zoning ordinance, parking requirements and building codes. Also, in the estimate of highest and best use, one must recognize the attitude of typical investors in the marketplace. Real estate will usually fall into certain definite development patterns, and their uses can be classified as: residential, agricultural, recreational, industrial, commercial and public use. In valuing the highest and best use of the land both as if vacant and improved, the following criteria must be met. 1) legally permissible, 2) physically possible, 3) financially feasible, and 4) maximally productive. Legally Permissible The existing R-3(Residential Medium Density District) zoning allows for a number of residential uses, including multi-family uses. In addition to the permitted uses there are lot area, width and building height requirements that must be met. There are no known private deed restrictions on the subject site which would prohibit any of the allowed uses under this zoning ordinance. There are no known public 2 The Dictionary of Real Estate Appraisal, 5th ed., s.v. "highest and best use". 469 34 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA reactions, or no known public intent of a re-zoning of the subject site that would potentially affect its development. Several of the development classifications previously discussed can be eliminated from consideration. This zoning does not allow for commercial, industrial, agricultural, or recreational use and therefore these uses can be eliminated from consideration. The only remaining use that is a reasonable use and a legally permissible use of this site is for development with a residential use. Physically Possible As previously explained there is adequate access to the subject site which is shared with the surrounding Fowler Meadows Apartment buildings. City sewer service has been extended on site and water is provided from a well that is on the adjacent site to the south that is owned by the City of Bozeman. Natural gas and electrical service are readily available throughout this neighborhood. Soil conditions in the area have proven adequate for development of all property types. Based on the physical characteristics of the subject site and the existing properties within this neighborhood the legally permissible uses permitted by the R-3 zoning would be physically possible. Financially Feasible Bozeman has been experiencing growth again, particularly in the past three years, and demand for single family and multi-family housing in this neighborhood out ways the supply. The R-3 zoning allows for development with a residential use, including multi-family, which has seen a significant increase in demand in this neighborhood as well as most areas of Bozeman. It will be shown in the following land valuation section of this appraisal report that the highest and best use of this site as if vacant is for development with a multi-family use. 470 35 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA Maximally Productive The use that conforms with the requirements of the first three tests and will provide maximum productivity of the subject site is for development with a residential use, more particularly a multi-family use. In concluding to the highest and best use of a property the physical use, the timing of the use and the user’s/most probable buyers needs to be defined. The maximally productive use of the subject site as if vacant would be for development with a residential use that would be conducive to the surrounding residential uses in this neighborhood. In terms of the most likely buyer and user of this site there are two options. An end-user sale is a sale to a buyer who intends to immediately utilize the property to its highest and best use. A speculative-investor sale is the sale to a buyer who purchases the property with no intention of immediately utilizing the property to its highest and best use. It is my opinion the subject site would be purchased by an end user who intends to immediately utilize the property to its highest and best use. HIGHEST AND BEST USE AS IMPROVED The subject property is improved with a single family residence that was constructed in 1979. As I understand the property was utilized as a single family residence for a number of years however it is now occupied by a privately owned nonprofit agency. To the best of my knowledge this is a legally permissible use in the R-3 zoning ordinance. However, the use of this site in support of a single family residence may no longer be the highest and best use because of the significant demand for land that can support multi-family units in this neighborhood. The value of this property as improved plus demolition cost most likely outweighs the value of the site as vacant, however as time goes on these building improvements will continue to depreciate and most likely a multi-family use on this site will eventually become feasible. 471 36 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA In conclusion, the maximally productive use of this site as improved is for continued use with its existing improvements however over time it is likely these improvements will be razed and this site will be developed with a multi-family use. 472 37 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA PROPERTY VALUATION In the Sales Comparison Approach an indication of value is derived by comparing the relative utility and desirability of the subject site with comparable properties that have recently sold or are currently listed for sale. Basic to this approach is the principle of substitution which states that "when a property is replaceable in the market, its value tends to be set by the price required to acquire an equally desirable substitute property." In this appraisal report vacant land is valued therefore the Cost and Income Approaches to value are not applicable. SITE VALUATION The method employed to value the site as if vacant and available for sale is the Sales Comparison Approach. An investigation of the market revealed several sales and listings indicative of what a well- informed buyer or seller would consider in forming an opinion of value. Three sales and two current listings were chosen as being most appropriate to compare against the subject site. Descriptive data and photographs of these comparables are contained in the Addenda. Adjustments All comparables differ somewhat from each other, and from the subject in various ways. The usual differences are for cash equivalency, market conditions, location, and a number of physical characteristics. Many of these factors, in varying degrees, are applicable in the appraisal of the subject property. When dissimilarities are found in comparable properties, they are adjusted for by adding to the comparable price when the dissimilar factor is inferior to the same factor found in the subject property. Likewise, a minus 473 38 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA adjustment should be made when the comparable sale has a factor which is superior to that found in the subject property. The sale properties, then, are adjusted to the subject property. However, in the market it is often difficult and sometimes impossible to accurately isolate a given factor. In short, one very seldom finds sales which are identical in all respects but one, and thus is able to prove conclusively the value, or lack of it, for any one factor due to a difference in sale price. Often, there are plus and minus factors which offset each other. Thus, the use of subjective judgment, to some degree, may be exercised. Nevertheless, the differences in values are real and adjustments based on as much fact as can be found, will be made. Then, the appraiser may call upon his experience to make subjective judgments. Property Rights Each of the sales involve fee simple property rights. As a result, no property rights adjustments were warranted. Financing: All Sales were cash to the seller or on terms considered cash equivalent, and no adjustments were required. Conditions of Sale: No non-market conditions motivating the buyer or seller involved in the transactions are known, therefore no adjustments are required. Expenditures Immediately After Sale: None of the sales required expenditures immediately after sale, and therefore no adjustments are required. If expenditures were verified they were typically associated with annexation into the city limits. Market Conditions: 474 39 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA A market conditions (time adjustment) is required to bring all comparable sale properties up to the effective date of the appraisal report which is March 30, 2016. Bozeman was experiencing significant decline in real estate values when the local and national recession was in effect. Since 2011 real estate values have rebounded in this market and new projects are being developed again. Demand for unimproved land now outweighs its supply. Comparable No. 3 and No. 4 are active listings and do not require a market conditions adjustment. Comparable No. 1, No. 2 and No. 5 sold within 4 months of the effective date of this appraisal report and in my opinion are indicative of current market value and will not be adjusted for market conditions. Remaining Adjustments: The remaining adjustments will be explained in a qualitative analysis which is an effective technique that recognizes the inefficiencies of a real estate market and the difficulty in expressing the adjustments with mathematical precision. The adjustments included in the qualitative analysis are location, size, access, topography, utilities, shape and use. The land sales adjustment grid can be seen on the following page. 475 40 LAND SALE LOCATION MAP 476 41 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA LAND SALE ADJUSTMENT GRID SUBJECT SALE 1 SALE 2 SALE 3 SALE 4 SALE 5 Sale Price $84,072 $82,500 $110,000 $175,000 $70,500 Size (SF) 20,695 13,939 12,000 15,573 25,700 14,375 Price/SF $6.03 $6.88 $7.06 $6.81 $4.90 Date of Sale 12/15/15 1/14/16 Active Listing Active Listing 11/20/15 Market Adjustment -0- -0- -0- -0- -0- Adjusted Price $84,072 $82,500 $110,000 $175,000 $70,500 Adjusted Price/SF $6.03 $6.88 $7.06 $6.81 $4.09 Location W. Babcock St. and Fowler Ave,backs to City Park Manzanita Dr. just south of Oak St. SEC of Sunstone and N. Ferguson NEC of Westgate and Durston, backs open space West side of Fen and backs to Davis Just S. of Baxter, sides open space Comparability Slightly Inferior Slightly Inferior Similar Slightly Inferior Similar Size (SF) 20,695 13,939 12,000 15,573 25,700 14,375 Comparability Similar Similar Similar Similar Similar Access W. Babcock St. and Fowler Ave. Manzanita Ave. Sunstone Street Westgate Ave. Fen Way Marias Lane Comparability Similar Similar Similar Similar Similar Topography Level Level Level Level Mostly Level Level Comparability Similar Similar Similar Similar Similar Shape Slightly Irregular Rectangular Rectangular Slightly Irregular Rectangular Slightly Irregular Comparability Slightly Superior Slightly Superior Similar Slightly Superior Similar Utilities City Sewer, Private Well All City Services All City Services All City Services All City Services All City Services Comparability Slightly Superior Slightly Superior Similar Slightly Superior Slightly Superior Highest & Best Use R-3 Multi-Family R-4 Multi-Family R-3 Multi-Family R-3 Multi- Family R-3 Multi-Family R-3 and Covenants Comparability Similar Similar Slightly Superior Superior Inferior Overall Comparability Similar Similar Slightly Superior Superior Inferior 477 42 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA Sales Analysis: The subject site is located on the east side of Fowler Avenue and just south of West Babcock Street and backs to city park land. This slightly irregular shaped 20,695 SF site has level topography and has city sewer service. A private well located on the City of Bozeman land to the south serves the building improvements. The R-3 zoning ordinance allows this site to be developed with a multi-family building allowing 4 units (3,000 SF per dwelling). However, because of its size (20,695 SF) potentially 6 units could be constructed but a site plan would have to be reviewed and approved by the City of Bozeman before additional units (anything over 4) could be constructed. Comparable No.1 is the sale of a 13,939 SF site that sold on December 15, 2015 for $84,072 or$6.03/SF. Comparable No. 1 generally has a similar location however this site does not back to a city park. Comparable No. 1 is similar in access and topography, however this is a rectangular shaped site and it does have city water service which are both superior aspects when compared to the subject property. Even though Comparable No. 1 is a smaller site then the subject property it essentially allows for the same use which is for development with 4 units. Overall Comparable No. 1 is considered to be similar when compared to the subject property. Comparable No. 2 is the sale of a 12,000 SF site that sold on January 14, 2016 for $82,500 or $6.88/SF. Comparable No. 2 also has a similar location however this sale does not back to a city park either. Comparable No. 2 has similar access and topography, and like Comparable No. 1 is rectangular in shape and has all city services available. Comparable No. 2 is also zoned R-3 which allows for development of 4 units, and overall this sale is considered to be similar when compared to the subject property. Comparable No. 3 is a current listing of a 15,573 SF site at $110,000 or $7.06/SF. Comparable No. 3 has a similar location backing to open space land, is similar in size, access, topography, and shape. A site plan for this land was submitted to the city and this land can support 5 or 6 units depending on the number of bedrooms in the units. This is considered to be a superior aspect when compared to the subject property. 478 43 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA Comparable No. 4 is a current listing of a 25,700 SF site at $175,000 or $6.81/SF. Comparable No. 4 generally has a similar location when compared to the subject property however it does not back city park land. Comparable No. 4 has similar size, access, and topography, however this site is rectangular in its shape and has all city services. A site plan for this land was also submitted to the City of Bozeman and now this land allows up to 8 units for development, which is superior when compared to the subject property. Comparable No. 5 is the sale of 14,375 SF site that sold on November 20, 2015 at $70,500 or $4.90/SF. Comparable No. 5 has a similar location and backs to open space land. Comparable No. 5 has similar access, topography and shape. This sales only superior aspect is its city water service. Comparable No. 5 has the same R-3 Zoning that allows 4 multi-family units however covenants within this subdivision impose additional restrictions and this site is now being developed with a single family residence. Overall Comparable No. 5 is considered to be inferior when compared to the subject property. The value indications derived from the comparables are reconciled into a single value indication by arranging the five comparables in an array relative to the subject. 479 44 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA BRACKETING THE SUBJECT PROPERTY I will analyze the comparables on a price/SF basis as well as a price/allowable unit. Analyzing the price/SF information and giving all five comparables consideration a conservative conclusion at $6.00/SF for the subject property appears reasonable. Multiplying the subject site size of 20,695 SF x $6.00/SF indicates a value of $124,170. When comparing this value indication to the overall price of the comparables it appears to overstate the value of the subject property. As shown in the bracketing chart above the price/allowable unit of Comparables No. 1 through No. 4 indicates a range of $18,333 to $22,000/allowable unit and in my opinion using this data I can reasonably conclude at a value estimate of $21,000/allowable unit for the subject property. Knowing 4 units could be developed on the subject site if it were vacant indicates a value of $21,000/allowable unit x 4 units or $84,000. One coincidence should be discussed when comparing these two market valuation estimates of the subject property. Using the market value indication derived from the price/SF analysis indicated a value of $124,170. Dividing this value indication by 6 units, a potential number of units allowed on the subject property if a site plan were approved, indicates a value of $20,695/unit. This coincides with my preceding market value estimate of $21,000/allowable unit using the other technique. Without knowing exactly how many units would be allowed on the subject site, because a site plan would have to be submitted and approved for any development over 4 units, I cannot give all emphasis to Comparable Adjusted Price/SF Price/ Allowable Unit Overall Comparability 4 $6.81 $21,875 Superior 3 $7.06 $18,333 to $22,000 Slightly Superior 2 $6.08 $20,625 Similar 1 $6.03 $21,018 Similar Subject Property 5 $4.90 N/A Inferior 480 45 J. MICHAEL JOKI, MAI, SRA HELENA, MONTANA the value indication derived by the price/allowable unit technique. However, I do not see additional units being unreasonable on this site considering the size is 20,695 SF. Therefore, I have given both the price/SF and the price/allowable unit techniques equal emphasis and have concluded to a current market value estimate for the subject property at $100,000. 481 J. Michael Joki, MAI, SRA HELENA, MONTANA TABLE OF CONTENTS INTRODUCTION Page Letter of Transmittal Certification Assumptions and Limiting Conditions 5 Summary of Important Facts and Conclusions 7 Subject Property Photograph 8 DESCRIPTION, ANALYSIS AND CONCLUSION: Definition of Market Value 9 Purpose of Appraisal 9 Intended Use of the Appraisal and Intended Client 10 Scope of Appraisal 10 Summary of the Appraisal Problem 12 Property Rights Appraised 12 Identification of Property and Legal Description 12 History of the Property 14 Regional Map 15 Regional and City Analysis 16 Neighborhood Analysis 22 Aerial Map 24 Property Description 25 Subject Property Photographs 27 Zoning 32 Highest and Best Use Before 33 The Valuation Process 37 Site Valuation 37 Land Sale Location Map 40 Land Sale Adjustment Grid 41 Bracketing the Subject Property 44 482 J. Michael Joki, MAI, SRA HELENA, MONTANA ADDENDA: Property Record Card Quit Claim Deed Land Swap Illustration Zoning Ordinance and Map Comparable Land Sale Sheets with Photographs Qualifications of the Appraiser State License 483 J. Michael Joki, MAI, SRA HELENA, MONTANA ADDENDA 484 485 486 487 488 489 490 491 492 493 494 495 496 497 498 499 500 501 502 503 504 505 506 507 508 509 510 511 512 513 514 515 516 517 518 519 520 521 522 523 524 525 526 527 528 529 530 531 532 533 534 535 536 537 538 539 540 541 542 543 544 545 546 547 548 549 550 551 552 553 554 555 556 557 558 559 560 561 562 563 564 565 566 567 568 569 570 571 572 573 574 575 576 577 578 579 580 581 582 583 584 585 586 587 588 589 590 591 592 593 594 595 596 597 598 599 600 601 602