4. Tax Equalization Board reconvenes

J~~-13_-~007 WE~..1.~.:.~2.~~ C!!Y _2F _WEST FARGO FAX NO. 4335319 P. 02 ~cry.oJ , WEST FARGO l.\MIW.wes,tfargond ,gov Assessor's Department Wanda J Wilcox. City AssBssor Shane Marcuson, Property Appralsar PaulO Fracassi, Property Appraisar Anthony larson, Intern Appraiser June 13, 2007 Ron Odegard Oak street Apartments 3033 38 ~ Av S Fargo ND 58103 RE: Valuation of Property at 2322 Meadowridge Pkwy Dear Mr, Odegard: Thank you for taking the time to visit with Frank Klein and myself yesterday. We measured the building prior to leaving the property yesterday. Our measurements coincide with the square footage obtained during the reappraisal of 10,434 sq ft or 3,478 per floor. I have attached a sk8tch of the property for your records. Every apartment in West Fargo was part of a reappraIsal during the summer of 2005. The first step in the reappraisal was utilizing the Marshall-Swift cost approach to obtain the properties initial value of $486,000. This value was reviewed in relationship with other apartment values and found to be fair and equitable. Secondly, sales of comparable properties showing price per square foot and price per unit were also reviewed in relationship to your property. Four different 12 to 18 plex apartments in West Fargo had multiple sales. These apartments show a 12 - 21% increase in value during the two to three year span between sales. Your property was purchased in 2003 for $406,172. A permit for seven additional garage stalls and additional concrete drive was taken out in April of 2003 for $34,000. Taking into consideration the purchase price. the permit work and the multiple apartment sales; the $486,000 isa 10% increase over purchase price and permit cost four years ago. The 10% increase was considered reasonable based on the 12-21% span shown in the multiple sale apartments. Lastly, using the income and expense statements for your apartments; actual rent totals for the year are $69,780. Using a Gross Rent Multiplier (GRM) of 7 indicates a value of $488,460. This confirms that the $486,009 is a fair valuation on the property. I wlll be making the recommendation to the Cass County Board of Equalization when they reconvene on Monday, June 18th. that the value remain as certified by the City of West Fargo at $486.000. I hope that I have been able to provide you with a better understanding on how the City of West Fargo valued your property for 2007. If you have any other questions or concerns, please let me know. My telephone number is 433-5340. Sincerely, )\ ~~ !X&U>j Wanda J Wilcox, City Assessor Cc: Frank Klein, Cass County Director of Equalization 800 4'h AvenUB East ,. West Fargo, ND 68078.. 701-433-5300 · Fax 701-433"5319