RALPH CLARK & ASSOCIATES
REAL ESTATE APPRAISERS & CONSULTANTS
P.O. BOX 548 * San Carlos, Cahfornia 94063
Tel: (650)369-xxxx * Fax: (650) 364-xxxx
 
 

ASSESSMENT OF THE VALUE
OF THE PROPERTY KNOWN AS

J. F. K. COLLEGE
WAHOO, NEBRASKA

AND

M.A.I. OPINION LETTER

Prepared for and Submitted to
Mr. Alvin A. McCollum
Greenway Environmental Services, Inc.
Mesa, Arizona

June 23,1998



RALPH CLARK & ASSOCIATES
REAL ESTATE APPRAISERS & CONSULTANTS
P.O. BOX 548 * San Carlos, California 94063
Tel: (650)369-xxxx * Fax: (650) 364-xxxx

June 23, 1998

. . .

RE: APPRAISAL ON JFK COLLEGE, WAHOO, NEBRASKA

Dear Rita:

This letter along with the enclosed data provided the background for my Opinion Letter of the Fair Market Value of the property commonly known as the J. F. K. College, located in Wahoo, Nebraska currently owned by Greenway Environmental Services Inc., Mesa, Arizona.

I have conducted interviews with several well-informed people who are familiar with the subject property. The property was described by statements such as "the best single piece of property in Saunders County, Nebraska" and "this is probably the most commercially-viable property in Wahoo, Nebraska," etc. Everyone that I spoke with was very high in their accolades of this piece of property. Those interviewed included, but not limited to, the President of a bank in Yahoo, a life-long resident of Wahoo who is now retired and living in the Southwest, the Realtor who reviewed the property and searched out the records of comparable sales in Saunders County, to name the three whose opinions were probably most valuable. The property was also reviewed by local insurers and others familiar with projects of this type in that area.

The Fair Market Value of the subject property as of June 23, 1998, is between $3,400,000 and $3,500,000 United States Dollars. Please refer to the following pages for a brief summary of a definition of Fair Market Value as well as some generally applicable conditions regarding the performance and conclusions ofthis appraisal.

If I may be of further assistance, please advise.

Respectfully submitted,

Ralph F. Clark
 

Qualifications of Ralph Clark


RALPH CLARK & ASSOCIATES
REAL ESTATE APPRAISERS & CONSULTANTS
P.O. BOX 548 * San Carlos, California 94063
Tel: (650)369-xxxx * Fax: (650) 364-xxxx

ANNEXURES

1. An appraisal by W. W. Hensrud, Real Estate Consultant, made on 9-30-88, which indicated the final valuation as estimated to be $3,200,000 for the property in its proposed use. This appraisal consists of over 50 pages of material along with colored photographs of the campus and buildings along with a map of the campus.

2. An appraisal review by James R. Phipps, Real Estate Consultant and President of C. P. Gold inc., of Mesa, Arizona, gave a final conservative value of the property to be $3,813,941, made in January 1996 (a copy of his resume is also included).

3. Title Certificate and Report of Title dated October 15, 1997, by James E. Lehr, Registered Abstractor, Certificate of Authority No.101.

4. 1997 Real Estate Tax Statement from James Fauver, Saunders County Treasurer.

5. Assessor's Statement from Betty V. Patzloff, Saunders County Assessor, establishing the actual dimensions of the property and the total acreage dated June 19, 1998.

6. A map of that part of Wahoo, Nebraska, showing the John R. Kennedy College along with the adjacent lots owned by and a part of the college. There is also a faxed copy of the same map but a condensed version on an 8 'A x I I page.

7. Comparisons. A series of documents from Larry Wrasse, Real Estate Appraiser affiliated with WHY USA, Lincoln, Nebraska, showing some of the most recent comparable sales. Total pages is 11.

8. Qualifications of Ralph F. Clark, MAI Appraiser.

9. Appointment of Ralph F. Clark as a lifetime member of the American Institute of Real Estate Appraisers.
 


DEFINITIONS

Fair Market Value is defined as the highest price in terms of U.S. Dollars for which a particular property can be sold in a competitive and open inarket based upon all conditions requisite to a fair sale, and the buyer and seller, each acting prudently, kuowledgeably and independently, and assuming the price is not unduly affected by any abnormal or special external stiinulus. Implicit in this definition is the consummation of a sale on a specified date whereby the title passes from seller to buyer under conditions whereby:
 

1. The buyer and seller are typically motivated.

2. Both parties are well informed or well advised and each acting in what he considers to be his own best interest.

3. A reasonable length of time was allowed for exposure in an open market place.

4. Payment is made in cash or its equivalent.

5. Financing is based upon terms generally available in the community at the specified date and typical for the property type in its locale; and

6. The price represents a normal consideration for the property sold wherein it is unaffected by special financing amounts and or terms, services, fees, costs or credits incurred as an internal component in the transaction..

ASSUMPTIONS

The foregoing Opinion of Value is based upon the following assumptions;
 

1.The Appraiser has relied upon the information given to him by the owners. In order to properly and completely evaluate the worth of the project, the Appraiser would require a complete Business Plan and Benefaction Program to be prepared by the owner with sufficient detail to permit an independent evaluation to be processed and completed.

2. All applicable governmental requirements will have been complied with and all appropriate requisite permits will have been obtained by the owners and/or developers or their duly authorized agents at the tirne of transfer of tide.

DECLARATION

I hereby certify that:

1. I have no interest in this property, past, present or prospective.

2. My fee for this investigation and preparation of this report is not contingent upon the amount of value herein reported.

3. This appraisal has been made in conformity with the Rule of Professional Ethics of the American Institute of Real Estate Appraisers and the American Society of Real Estate Counselors.

4. The reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions, and are based upon personal, unbiased, professional analyses, opinions and conclusions.

5. There exists no present or contemplated interest in the property that is the subject of this report and no personal interest or bias with respect to the parties involved.

6. Compensation is not contingent upon an action or event resulting from the analyses, opinions or conclusions in, or from the use of, this report.

7. The analyses, opinions and conclusions contained herein were developed, and this report has been prepared in conformity with the requirements of the Code of Professional Ethics and the Standards of Professional Practice of the Arnerican Institute of Real Estate Appraisers.

8. The use of this report is subject to the requirements of the American Institute of Real Estate Appraisers relating to review by its duly authoiized representatives.

9. No one provided any significant professional assistance in the compilation of this Opinion Letter to the undersigned other than general information about the subject property.

If I may be of further assistance, please advise.

Respectfully submitted,

Ralph Clark