Mack Wilbourn, 4337-4379 Austell RD, Appraisal

Iberia Bank File #: 20 -000285 -01-1
6.56 Acres Located at

4337 -4379 Austell Ro ad SW (GA 5)
Austell , Cobb Count y, Georgia 30106
BASED ON MARKET CONDITIONS AS OF
February 14, 2020
PREPARED FOR
Mr. Steven Marcioni

Real Estate Appraisal Analyst
IBERIABank
1111 Brickell Avenue, 30th Floor
Miami , Florida 33131
George P. Galphin, Jr.,
MAI
David C. Ball, MAI, CCIM
J. Shelby Edwards, III, MAI
February 28, 2020
Mr. Steven Marcioni

Real Estate Appraisal Analyst
IBERIABank
1111 Brickell Avenue, 30th Floor
Miami, Florida 33131
Re: Iberia Bank File #: 20-000285-01-1 - A total of 6.56 acres of land located at 4337-4379 Austell Road
SW (GA 5) within northwestern metropolitan Atlanta in the Austell area of unincorporated Cobb
County, Georgia 30106
Dear Mr. Marcioni:
At your request, we have personally inspected the subject property referenced above for the purpose of
providing an opinion of the As Is Market Value of the fee simple interest in the property as of February
14, 2020. An appraisal utilizing the sales comparison approach to value in an Appraisal Report format
has been prepared.
AS IS MARKET VALUE OPINION

Based on the analyses within this report, we have developed an opinion of the As Is Market Value in fee
simple of the subject property, subject to the Basic Assumptions and Limiting Conditions contained
herein, and based on market conditions as of February 14, 2020, at:
$920,000
NINE HUNDRED TWENTY THOUSAND DOLLARS

MARKETABILITY, EXPOSURE TIME AND MARKETING PERIOD
In considering the marketability of the subject property, we have given consideration to the following
strengths and weaknesses:
Strengths
• The subject neighborhood is in a good established commercial and residential area located in
the Austell area of southern Cobb County. The area has had moderate growth in recent years
and is expected to have positive growth into the future.
• Access to the subject property is considered good along the eastern side of Austell Road SW
(GA 5). Exposure is considered good given its visibility along Austell Road SW (GA 5) which is a
major traffic artery. The subject neighborhood is considered to have good general access to
local and major traffic arteries in the area including I-75, I-20 and I-285.
Weaknesses
• The subject has a stream that extends through the tract. This will make the development of the
whole parcel more difficult.
• There is no immediate access to sewer for this property. According to Christopher Duggan at the
Cobb County Water Department, sewer will be difficult to access. There is a private sewer
system located to the north of the property belonging to the townhome subdivision, a public
gravity flow line located approximately 1,000 feet to the southeast and a gravity flow line located
across Austell Road that would require boring under the roadway and the installation of a lift
station. Based on a conversation with a civil engineer with experience in such issues, it could
cost upwards of $200,000 to $600,000 to make sewer available to the subject property.
The subject property has not been listed. According to area brokers, land such as the subject can
expect to sell within a year of establishing a listing price near the market value. We have developed an
opinion of the value of the subject at a level that should facilitate good marketability given current
market conditions and the subject’s access and location. Based on the foregoing, we feel a reasonable
exposure time as of the date of this appraisal is 12 months or less. While market conditions appear to
have improved recently, we don’t foresee any significant changes in the near-term future. Therefore, a
reasonable marketing period for the subject property is estimated at 12 months or less.
EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS

We do not employ any Hypothetical Conditions in developing our opinion of value. The following
Extraordinary Assumptions are made:
• A survey of the subject property was not made available and the legal description does not
report the acreage. According to the Cobb County Tax Assessor's site, the subject contains 6.56
acres, which an extraordinary assumption is made that this is correct. In the event the acreage is
different, the value could be impacted and this appraisal may require revision.
• According to officials with the Cobb County public utilities department, public sanitary sewer is
not immediately available to the subject property but that a line that could possibly be accessed
by gravity flow is located approximately 1,000 southeast of the subject property. Based on a
conversation with a civil engineer who has experience in obtaining access to sanitary sewer, the
cost to access this sewer line would likely be in the $200,000 range. We have made the
extraordinary assumption that sanitary sewer can be made available for $200,000. In the event
this is not the case, or if access to public sanitary sewer is not a requirement, the value could be
impacted and this appraisal may require revision.
The reader of this report is advised to review the Statement of Limiting Conditions, which may limit or
qualify the concluded value opinion.
TYPE OF REPORT
This is an Appraisal Report which is intended to comply with the reporting requirements set forth under
Standards Rule 2-2 (a) of the Uniform Standards of Professional Appraisal Practice for an Appraisal
Report.
Supporting documentation concerning the data, reasoning, and analyses is retained in the appraisers’
file. The depth of discussion contained in this report is specific to the needs of the client and for the
intended use stated herein. The appraisers are not responsible for the unauthorized use of this report.
This report has been prepared in compliance with our interpretation of the Uniform Standards of
Professional Appraisal Practice as set forth by the Appraisal Foundation.
APPRAISER INDEPENDENCE
Employment of the appraisers was not conditional upon the appraisers producing a specific value or a
value within a given range. Future employment prospects are not dependent upon the appraisers
producing a specified value. Employment of the appraisers and payment of the fee is not based upon a
specific outcome.
We appreciate the opportunity to be of service on this property. Please let us know if we can be of
further assistance in this or other matters.
Sincerely,
George P. Galphin, Jr., MAI Katherine R. Jarvis
President Associate Appraiser
Certified General Real Property Appraiser State Registered Real Property Appraiser
Georgia No. 2134 Georgia No. 376706
TABLE OF CONTENTS
CERTIFICATION 1
SUMMARY OF SALIENT DATA AND CONCLUSIONS 2
STATEMENT OF LIMITING CONDITION 3
INTRODUCTION 6
PROPERTY IDENTIFICATION 6
PROPERTY HISTORY 6
TERMS AND DEFINITIONS 6
CLIENT, INTENDED USER, PURPOSE AND INTENDED USE OF APPRAISAL 6
PROPERTY INTEREST APPRAISED 6
EFFECTIVE DATE OF THE APPRAISAL 6
REGULATORY COMPLIANCE AND REPORTING FORMAT 7
EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS 7
SCOPE OF THE APPRAISAL & ASSIGNMENT CONDITIONS 7
COMPETENCY 8
LEGAL DESCRIPTION 9
REGIONAL AND NEIGHBORHOOD DESCRIPTION 13
METROPOLITAN ATLANTA OVERVIEW 13
NEIGHBORHOOD/ACCESS 23
PROPERTY DESCRIPTION 26
SITE DESCRIPTION 26
ZONING 32
REAL ESTATE TAXES 33
MARKET ANALYSIS AND HIGHEST AND BEST USE 39
HIGHEST AND BEST USE 48
VALUATION 50
VALUATION PROCESS 50
SALES COMPARISON APPROACH 52
CONCLUSIONS 63
ADDENDA 64
1
CERTIFICATION
We certify that, to the best of my knowledge and belief:
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. We have no present or prospective interest in the property that is the subject of this report, and no personal
interest with respect to the parties involved.
4. We have performed no other 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. We have no bias with respect to the property that is the subject of this report or to the parties involved in this
assignment.
6. Our engagement in this assignment was not contingent upon developing or reporting predetermined results.
7. Our compensation for completing this assignment is not contingent upon the development or reporting of a
predetermined value or direction in value that favors the cause of the client, the amount of the value opinion,
the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended
use of this appraisal.
8. Our analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity
with the Uniform Standards of Professional Appraisal Practice, the Georgia Real Estate Appraiser
Classification and Regulation Act, and the Rules and Regulations of the Georgia Real Estate Appraisers
Board.
9. George P. Galphin, Jr., MAI and Katherine R. Jarvis have made personal inspections of the property that is
the subject of this report.
10. No one provided significant real property appraisal assistance to the persons signing this certificate.
11. The reported analyses, opinions and conclusions were developed, and this report has been prepared, in
conformity with the Code of Professional Ethics and Standards of Professional Appraisal Practice of the
Appraisal Institute.
12. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly
authorized representatives.
13. As of the date of this report George P. Galphin, Jr., MAI has completed the requirements of the continuing
education program for Designated Members of the Appraisal Institute and the state of Georgia.
George P. Galphin, Jr., MAI Katherine R. Jarvis

President Associate Appraiser
Certified General Real Property Appraiser State Registered Real Property Appraiser
Georgia No. 2134 Georgia No. 376706
2
SUMMARY OF SALIENT DATA AND CONCLUSIONS
Client Identification: Iberia Bank File #: 20-000285-01-1
Location: 4337-4379 Austell Road SW (GA 5), Northwestern Metropolitan

Atlanta, Austell Area Of Unincorporated Cobb County, Georgia
30106
Property Type: Land with dilapidated improvements of no value
Land Area: 6.56 Acres (285,754 Square Feet)
Current Zoning: LRO and NRC, Low Rise Office District and Neighborhood Retail
Commercial District
Flood Plain: Community Panel No. 13067C0201G, Dated December 16, 2008,
Zone X (unshaded), The Subject Is Located Outside Any Federally
Designated 100-Year Flood Hazard Area.
Highest and Best Use: Commercial Development
Property Rights Appraised: Fee Simple Interest
VALUE OPINIONS
As Is Market Value Opinion: $920,000
Exposure Time: 12 months or less
Marketing Period: 12 months or less
Inspection Date: February 14, 2020
Appraisal Date: February 14, 2020
Report Date: February 28, 2020

STATEMENT OF LIMITING CONDITION
This report is subject to the following limiting conditions:
1. Unless otherwise noted, all existing liens and/or encumbrances, if any, have been disregarded, and the
property has been appraised as though free and clear and under responsible ownership and competent
management. Typical financing as may be customarily secured for the type of property under analysis has
been considered, as has a favorable mortgage position, if any.
2. The appraiser did not search validity of title nor does he assume responsibility for corrections, which a survey
of the property may reveal.
3. The information contained herein is not guaranteed but it was gathered from reliable sources, which are
believed to be accurate.
3
4. No responsibility is assumed for matters legal in character.
5. Sketches are accurate only for purposes of approximation.
6. This report is not to be reproduced in part or as a whole without written consent of the appraiser.
7. The conclusions expressed herein assume competent and aggressive management and/or marketing of the
subject property.
8. The contents of this Appraisal are for limited private use only. If this report becomes the property of any party,
other than the addressee or the person who has paid the fee connected herewith, permission must be
obtained from the original addressee for reproduction or additional copies, and additional fees will be charged
for any further consultation, reappraisal, or review of the property.
9. Information regarding the location or existence of public utilities has been obtained through a verbal inquiry to
the appropriate utility, or has been ascertained from visual evidence. No warranty has been made regarding
the exact location or capabilities of public utility systems.
10. 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 the market study and/or the report (especially any
conclusions as to value, the identity of the appraiser or the firm with which he is connected, or any reference
to the Appraisal Institute or to the MAI or SRA designation) shall be disseminated to the public through
advertising media, public relations media, sales media, or any other public means of communication without
the prior written consent and approval of the undersigned.
11. Opinions of value contained herein are opinions and there are no guarantees, either written or implied. No
guarantee is warranted or intended that the property would sell for the expressed opinions of value.
12. The appraiser is not obligated to give testimony of any kind nor appear in any court as a result of having
completed this market study, unless arrangements to that effect were made prior to the initiation of the
appraisal assignment.
13. The property history has been provided by conversations with various individuals involved with the chain of
title, and if available, various documents such as contracts, deeds, leases, and closing statements. We have
not performed a title search, nor do we warrant that the history, as presented herein, is completely accurate.
Anyone contemplating an interest in the subject property should rely solely upon a title search and opinion
prepared by a qualified attorney-at-law.
14. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly
authorized representatives.
15. ACCEPTANCE AND OR USE OF THIS APPRAISAL REPORT BY THE CLIENT OR ANY THIRD PARTY
CONSTITUTES ACCEPTANCE OF THESE LIMITING CONDITIONS. APPRAISAL LIABILITY EXTENDS
ONLY TO THE STATED CLIENT, NOT SUBSEQUENT PARTIES OR USERS.
16. It is assumed that there are no hidden or non-apparent conditions of the property, sub-soil, or structures,
which would render it more or less valuable. No responsibility is assumed for such conditions or for
engineering, which may be required to discover such conditions. Unless otherwise stated in the report, the
existence of hazardous material, which may or may not be present on the property, was not observed by the
appraisers. The appraisers have no knowledge of the existence of such materials on or in the property and
we are not qualified to detect such substances. The presence of substances such as asbestos, urea-
formaldehyde, asbestos insulation, radon gas or other potentially hazardous materials may affect the value of
the property. The value opinion is predicated on the assumption that there is no such material on or in the
property that would cause a loss in value. No responsibility is assumed for any condition or for any expertise
or engineering knowledge required to discover them. The client is urged to retain an expert in this field if
desired.
4
17. The Americans with Disabilities Act (ADA) became effective January 26, 1992. We have not made a specific
compliance survey and analysis of this property to determine whether or not it is in conformity with the various
detailed requirements of the ADA. It is possible that a compliance survey of the property together with a
detailed analysis of the requirements of the ADA could reveal that the property is not in compliance with one
or more of the requirements of the act. If so, this fact could have a negative effect upon the value of the
property. Since we have no direct evidence relating to this issue, we did not consider possible noncompliance
with the requirements of the ADA in providing an opinion of the value of the property.
18. The description of improvements herein is based on information provided to and identified by the appraiser,
as well as visual inspection. We make no warranty for construction materials, manufacturers of construction
materials, construction quality, utility systems, nor any items related to the physical/legal property. Any user
of this report who has any concern about the physical/legal property is directed to utilize a property inspection
company for a detailed/warranted analysis or an attorney for all legal matters.
19. Extraordinary Assumption: A survey of the subject property was not made available and the legal
description does not report the acreage. According to the Cobb County Tax Assessor's site, the subject
contains 6.56 acres, which an extraordinary assumption is made that this is correct. In the event the acreage
is different, the value could be impacted and this appraisal may require revision.
20. Extraordinary Assumption: According to officials with the Cobb County public utilities department, public
sanitary sewer is not immediately available to the subject property but that a line that could possibly be
accessed by gravity flow is located approximately 1,000 southeast of the subject property. Based on a
conversation with a civil engineer who has experience in obtaining access to sanitary sewer, the cost to
access this sewer line would likely be in the $200,000 range. We have made the extraordinary assumption
that sanitary sewer can be made available for $200,000. In the event this is not the case, or if access to public
sanitary sewer is not a requirement, the value could be impacted and this appraisal may require revision.
4337-4379 AUSTELL ROAD SW (GA 5) INTRODUCTION 5
REPRESENTATIVE PHOTOGRAPH
REGIONAL AREA MAP AERIAL IMAGE

INTRODUCTION
PROPERTY IDENTIFICATION
The subject of this appraisal is a 6.56-acre tract comprised of four joining land parcels located at 4337-
4379 Austell Road SW (GA 5) within northwestern metropolitan Atlanta in the Austell area of
unincorporated Cobb County, Georgia. This location is approximately three miles northeast of the
Austell central business district (CBD), approximately eight miles southwest of the Marietta CBD, the
county seat, and approximately 14 miles northwest of the Atlanta CBD. The subject neighborhood is a
good established commercial and residential area. The subject is located in Land Lot 993 and 1006,
19th District, 2nd section, Cobb County, Georgia, and is identified as tax parcel numbers 19099300170,
19100600010, 19100600020 and 19100600470 by the Cobb County Tax Assessor. A representative
photograph, location map and aerial image are located on the preceding page. Additional exhibits and
photographs are located in the Property Description section of this report.
PROPERTY HISTORY
The subject is currently owned by Austell Cosmetic Dentistry, Pc which acquired the property on July 1,
2005 from Connie Lynn Bennett for $505,000. The subject is not being marketed for sale. According to
the property contact, they are in discussions with a party interested in the subject property for possible
residential development. However, no other details were shared with the appraiser.
No other sales, listings, offerings or transfers involving the subject are believed to have occurred during
the past three years. The property history has been provided by conversations with various individuals
involved with the chain of title, and if available, various documents such as contracts, deeds, leases,
and closing statements. We have not performed a title search, nor do we warrant that the history, as
presented herein, is completely accurate since we have relied upon the information of others. Any
person or entity contemplating an interest in the subject property should rely solely upon a title search
and opinion prepared by a qualified attorney-at-law.
TERMS AND DEFINITIONS

The Glossary of Terms in the Addenda provides for additional terms that are, and may be, used in this
appraisal.
CLIENT, INTENDED USER, PURPOSE AND INTENDED USE OF APPRAISAL

The client of the appraisal is IBERIABank. The intended user of the appraisal is IBERIABank and-or
affiliates. The purpose of this appraisal is to develop an opinion of the As Is Market Value of the fee
simple interest in the above-identified subject property as of the appraisal date. It is our understanding
the intended use of this appraisal is for loan underwriting and-or credit decisions by IBERIABANK and-
or participants..
PROPERTY INTEREST APPRAISED

This is a valuation of the fee simple interest in the subject property.
EFFECTIVE DATE OF THE APPRAISAL

The effective date of this appraisal is February 14, 2020, which is the date of inspection of the subject
property.
REGULATORY COMPLIANCE AND REPORTING FORMAT

This is an Appraisal Report which is intended to comply with the reporting requirements set forth under
Standards Rule 2-2 (a) of the Uniform Standards of Professional Appraisal Practice for an Appraisal
Report. Supporting documentation concerning the data, reasoning and analyses is retained in our work
file. The depth of discussion contained in this report is specific to the needs of the client and for the
intended use stated herein. We are not responsible for the unauthorized use of this report.
This report has been prepared in compliance with our interpretation of the Uniform Standards of
Professional Appraisal Practice as set forth by the Appraisal Foundation.
EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS

We do not employ any Hypothetical Conditions in developing our opinion of value. The following
Extraordinary Assumptions are made:
• A survey of the subject property was not made available and the legal description does not
report the acreage. According to the Cobb County Tax Assessor's site, the subject contains 6.56
acres, which an extraordinary assumption is made that this is correct. In the event the acreage
is different, the value could be impacted and this appraisal may require revision.
• According to officials with the Cobb County public utilities department, public sanitary sewer is
not immediately available to the subject property but that a line that could possibly be accessed
by gravity flow is located approximately 1,000 southeast of the subject property. Based on a
conversation with a civil engineer who has experience in obtaining access to sanitary sewer, the
cost to access this sewer line would likely be in the $200,000 range. We have made the
extraordinary assumption that sanitary sewer can be made available for $200,000. In the event
this is not the case, or if access to public sanitary sewer is not a requirement, the value could be
impacted and this appraisal may require revision.
The reader of this report is advised to review the Statement of Limiting Conditions, which may limit or
qualify the concluded value opinion.
SCOPE OF THE APPRAISAL & ASSIGNMENT CONDITIONS

An appraisal is generally defined as an opinion of value based on the parameters of the assignment as
of a specified date. The appraisal of real estate is based on a process of data collection, analysis and
conclusions by a nonbiased third party.
The client, intended user, intended use, type of assignment, type of property, type of value, effective
date of this appraisal, the property rights being appraised and relevant characteristics of the subject
property have been defined previously. The scope of the appraisal based on these parameters includes
identification of the subject property through county tax records and a personal inspection of the
property was undertaken on February 14, 2020 of the readily accessible portions of the subject.
The initial step in the appraisal process is the market research phase, whereby basic data is collected
and refined from all available sources. We have researched the local region, county and immediate
neighborhood to understand the current economic and social climate within which the subject property
operates. Additionally, we have surveyed and analyzed the competition in order to understand the
demand and supply characteristics of the local area. Data sources include the local municipal
government, public records, chamber of commerce, private real estate professionals, owners of
comparable properties, the actual subject property history and real estate publications. This information
is verified and cross-checked for accuracy and applicability.
Information relating to the subject property also collected includes ad valorem tax data, zoning
information, utility availability, flood plain information, topography, frontage, access and existing
improvements. The relationship of the site and the improvements is studied. The improvements are
reviewed in order to determine their physical condition and functional utility. Other properties in the
neighborhood are inspected to develop an overall opinion of the character, composition, and trends of
the submarket. The consideration of all these factors, acting in concert, leads to a conclusion of the
highest and best use for the subject property, which is the basis of the valuation methodology.
We relied upon the sales comparison approach to develop an opinion of value of the subject property in
the valuation section of this report. The improvements on the site are delipidated and not considered to
contribute to the value of the tract, therefore, the Cost Approach is not applicable in the valuation of the
subject property. The Income Capitalization Approach is not typically employed to derive an indication
of the market value of properties such as the subject and, therefore, is not utilized.
We spoke to brokers, owners and investors active in the subject market and we utilized commercial
data services and public records to obtain information related to the investment and sales histories of
properties similar to the subject. This information was utilized to find an indication of an appropriate
value for the subject. I have presented my findings in an Appraisal Report format.
COMPETENCY
The appraisers have adequate competency to develop and report the market value indications and
opinions contained within this report. Katherine R. Jarvis is a State Registered Real Property Appraiser
with three years of residential sales experience and less than a year of appraisal experience. George
P. Galphin, Jr., MAI is a Certified General Real Property Appraiser with over 28 years of commercial
appraisal experience, having appraised a wide variety of properties located in the general subject
market area. The knowledge of the specific subject market area and subject property type is sufficient
for both appraisers to complete the herein described scope of work.
LEGAL DESCRIPTION
A legal description of the subject property obtained from deed records is below. For identification of the
subject, please refer to the exhibits included in the Property Description section of this report.
4337-4379 AUSTELL ROAD SW (GA 5) REGIONAL AND NEIGHBORHOOD OVERVIEW 10
REGIONAL AREA MAP

REGIONAL AND NEIGHBORHOOD DESCRIPTION
METROPOLITAN ATLANTA OVERVIEW
GENERAL DESCRIPTION
The Atlanta Metropolitan Statistical Area (Atlanta MSA) consists of 29 counties and is home to 26
Fortune 500/1000 Company headquarters. In 2018, Georgia was named the No. 1 State for Business
Climate for the sixth consecutive year by Site Selection magazine. The Atlanta Metropolitan Statistical
Area is presently a thriving economic ecosystem for entrepreneurs and new businesses. In midtown
Atlanta alone, more than $1 billion is being invested in an eight-block area known as Tech Square by
the Georgia Technology Institute Foundation and the private sector to fund innovative business growth.
Further, the Atlanta Regional
Commission recently approved a 25-year, $1 billion plan to make the area safer for cyclists and
pedestrians.
Atlanta is the capital of Georgia and boasts as the largest non-port city in the southeast as well as the
home to the world’s busiest airport. Metropolitan Atlanta is consistently rated in the top three US cities
with respect to governmental climate, access to domestic markets and quality of life, and in availability
of skilled workers. The area consists of nearly 8,800 square miles and is home to almost six million
people and over 150,000 businesses.
GOVERNMENT
The 29 counties that comprise metropolitan Atlanta are governed by boards of commissioners made up
of four to six elected officials. The charter of the City of Atlanta places all administrative responsibilities
under its mayor and all policy making and legislative functions under its 18-member city council. Small
municipalities in each county are also governed by city councils. Overall, the land-use controls in the
metropolitan counties is relatively modest and promotes commercial growth along primary traffic
arteries while sustaining the residential character of local neighborhoods.
DEMOGRAPHICS
Unquestionably the southeastern hub of commerce, transportation, communication, industry and
culture, the Atlanta Metropolitan Statistical area is the 9 th largest in the nation with nearly 6.3 million
people, according to 2016 US Labor Bureau Statistics.
According to the Atlanta Chamber of

Commerce, as of December 2018
“The Atlanta Metropolitan Statistical
Area (MSA) is the business capital of
the southeastern US and a global
business hub. Metropolitan Atlanta is
one of the fastest growing
metropolitan areas in the US and has
the 10th largest metropolitan
economy in the US as measured
by Gross Metropolitan
Product (GMP). The area is home to
5.9 million people and more than
150,000 business establishments.
The
Southeast’s population is 83.7 million,
and its economy is the largest of all
US regions. Gross Domestic
Product (GDP) in the Southeast
measured $4.1 trillion in 2017”.
The exhibit to the right indicates that

37.9% of the population holds a
Bachelor’s degree or higher and the
area’s median income is $65,381.
Median age is 36.4, according to
Metropolitan Atlanta Chamber of
Commerce.
Additionally, percentage trends for metropolitan Atlanta through 2021 indicate above average growth is
expected in population, households and income.
EMPLOYMENT
Employment for metropolitan Atlanta stood at nearly 2.8 million in February 2019, up 66,500 or 2.4
percent, over the previous year, as reported by the US Bureau of Labor Statistics. When compared to
national employment trends, metropolitan Atlanta was consistent with national rates as shown in the
following graphic.
The trade, transportation and utilities industry had the largest employment gain from February 2018
through February 2019, up 17,900, or 3.5 percent. Metropolitan Atlanta exceeds nationwide averages
in construction, education and health services, leisure and hospitality, and trade, transportation, and
utilities. Information, Mining/logging and “Other service’s” experienced employment declines over the
same 12month period. This comparison is illustrated in the following chart.
Metropolitan Atlanta’s six-year unemployment history and year-to-date 2019 figures for the 29 counties
that comprise the area are shown in the following table. In 2012, unemployment peaked with 31% of
total counties reporting double-digit unemployment rates. However, in 2013, that figure dropped to 13%
with just four counties reporting double-digit unemployment rates by 2014 and all counties in
metropolitan Atlanta reporting unemployment rates in the single digits by 2014. Rates have steadily
decreased for all 29 counties since 2012. As of February of 2019, unemployment for all counties was
3.86 percent, according to the US Bureau of Labor Statistics.
Atlanta MSA Unemployment 6-Year History and YTD

YTD
County 2013 2014 2015 2016 2017 2018 ( Feb % Change
2019)
Barrow 7.40% 6.30% 5.20% 4.64% 4.10% 3.60% 3.30% -9.09 %
Bartow 8.70% 7.10% 5.70% 5.00% 4.60% 4.20% 3.70% -13.51 %
Butts 8.00% 6.40% 5.90% 5.45% 4.80% 4.40% 4.10% -7.32 %
Carroll 9.60% 8.20% 6.60% 5.90% 5.00% 4.50% 4.00% -12.50 %
Cherokee 6.10% 5.50% 4.60% 3.85% 3.70% 3.40% 3.20% -6.25 %
Clayton 10.80% 9.30% 7.50% 6.49% 5.80% 5.40% 4.80% -12.50 %
Cobb 6.70% 5.90% 5.00% 4.48% 4.10% 3.80% 3.40% -11.76 %
Coweta 7.00% 6.10% 5.10% 4.85% 4.20% 3.80% 3.40% -11.76 %
Dawson 7.40% 6.10% 5.00% 4.58% 3.90% 3.60% 3.30% -9.09 %
DeKalb 8.40% 7.20% 5.90% 5.28% 4.80% 4.40% 3.90% -12.82 %
Douglas 8.60% 7.40% 6.20% 5.40% 4.90% 4.50% 4.00% -12.50 %
Fayette 6.70% 6.10% 5.10% 4.26% 4.10% 3.90% 3.50% -11.43 %
Forsyth 5.90% 5.20% 4.40% 4.07% 3.80% 3.50% 3.20% -9.38 %
Fulton 8.10% 7.10% 5.80% 5.25% 4.80% 4.50% 4.00% -12.50 %
Gwinnett 6.90% 6.00% 5.10% 4.65% 4.20% 3.90% 3.50% -11.43 %
Haralson 9.20% 7.80% 6.30% 5.67% 4.80% 4.30% 3.80% -13.16 %
Heard 9.40% 7.90% 6.20% 5.70% 5.00% 4.40% 3.80% -15.79 %
Henry 8.40% 7.20% 6.00% 5.38% 4.90% 4.50% 4.10% -9.76 %
Jasper 8.30% 6.60% 5.40% 4.70% 4.30% 3.70% 3.50% -5.71 %

Lamar 11.30% 9.50% 7.60% 6.47% 5.70% 4.90% 4.50% -8.89 %
Meriwether 10.80% 9.80% 7.80% 6.17% 5.90% 5.20% 5.40% 3.70 %
Morgan 8.00% 6.60% 5.40% 4.92% 4.50% 4.10% 3.70% -10.81 %
Newton 9.70% 5.20% 6.60% 5.58% 5.30% 4.90% 4.50% -8.89 %
Paulding 3.50% 6.10% 5.10% 4.50% 4.10% 3.80% 3.40% -11.76 %
Pickens 8.00% 6.60% 5.20% 4.78% 4.30% 4.00% 3.50% -14.29 %
Pike 8.50% 7.00% 5.60% 5.01% 4.50% 4.00% 3.60% -11.11 %
Rockdale 9.10% 7.80% 6.40% 5.60% 5.30% 4.90% 4.40% -11.36 %
Spalding 11.50% 9.40% 7.80% 6.70% 5.80% 5.00% 4.70% -6.38 %
Walton 7.80% 6.40% 5.30% 4.75% 4.30% 4.00% 3.60% -11.11 %
Atlanta MSA 8.27% 7.03% 5.86% 5.18% 4.67% 4.24% 3.86% -10.32%
Source: U.S. Bureau of Labor Statistics; prepared by Chattahoochee Valuation Group, LLC
As indicated by the table that follows, Atlanta is home to 16 Fortune 500 companies including Home
Depot, UPS, Delta Airlines, The Coca-Cola Company and financial giant NCR Corporation. In January
of 2018, NCR opened its new world headquarters in midtown Atlanta, which added 3,500 - 5,000 new
jobs to the area and this influx of workers supported the momentum of the region’s frenetic pace of
development.
Mercedes-Benz relocated its USA corporate headquarters and about 1,000 jobs to metropolitan Atlanta
from New Jersey in 2016. The company’s $93 million, 12-acre campus in Sandy Springs allows the
company tap into mass transit and millennial talent who live in the developing in-fill locations rapidly
entering the market. Similarly, State Farm Insurance consolidated its operations and brought
thousands of employees into one of the most transformative projects in metropolitan Atlanta – a 22-
story building in Dunwoody. The building represents a dramatic shift in suburban development with
direct access to mass transit serving as an incentive for employees in the tower. Mercedes-Benz move
to Atlanta may have been precipitated by the move made in 1998 by Porsche for its North American
Headquarters and the 2015 opening of its 27-acre, 260,000 square foot campus and test track adjacent
to Jackson-Hartsfield Atlanta Airport on the site of the former Hapeville Ford manufacturing plant.
Mercedes-Benz has since purchased the naming rights for Atlanta’s new mega-stadium, home to the
NFL Falcons and MLS United professional teams which was built by the City and Arthur Blank, the co-
founder of Home Depot.
In the healthcare arena, Children’s Healthcare of Atlanta announced in early 2017 plans to build a $1
billionplus pediatric hospital in northeast Atlanta. The non-profit organization filed a letter of intent in
June of 2018 for the $1.5 billion 70-acre campus making it the most expensive healthcare project ever
in Georgia. According to the Atlanta Business Chronical, this project is expected to create
approximately 16,500 construction jobs through 2025 and 3,600 permanent jobs when the facility
opens. Metropolitan Atlanta is the location of a large number of hospitals which includes WellStar
Kennestone Hospital, Northeast Georgia Medical Center Gainesville, Grady Memorial Hospital,
Northside Hospital-Atlanta, and Emory University Hospital. According to the healthcare company,
American Academy of Professional Coders and also the Bureau of Labor Statistics, the healthcare
sector created one in seven new jobs in the United States in 2018 and a growth of 18% is expected in
the healthcare sector employment by 2026.
Metropolitan Atlanta Fortune 500 Companies

Company Ranking Company Ranking
The Home Depot 27 Pulte Group 341 312
United Parcel Service 41 AGCO Corporation 335

Delta Air Lines 69 Veritiv 347
The Coca-Cola Company 100 Asbury Automotive Group, Inc. 439
The Southern Company 131 NCR Corporation 465
Genuine Parts Company 169Intercontinenal Exchange 469
WestRock 190HD Supply Holdings, Inc 479
SunTrust Banks Inc. 304 Graphic Packaging Holding 480
Company
Source: Metropolitan Atlanta Chamber of Commerce, May 2019
POPULATION
According to the US Bureau of Labor Statistics, population growth in metropolitan Atlanta is projected to
be modest at 1.16% annually through 2026. As shown in the table below, population numbers in the
area are expected to exceed 6.6 million by 2026. Additionally, Atlanta Regional Commission’s Series
15 forecasts, through 2040, shows just over 8 million people and about four million jobs will be added.
The Commission developed the new Series 15 of population and employment forecasts to support the
transportation project prioritization and land use planning that is the basis of Atlanta’s Regional Plan, a
long-range blueprint for sustainable growth over the next 30 years.
Atlanta Region Population By County

County 1980 1990 2000 2010 2018 2026 Annualized Growth
'80-'90 '90-'00 '00-'10 '10-'18 '18-'26
Barrow 21,354 29,721 46,144 69,367 80,809 100,036 3.92% 5.53% 5.03% 3.30% 2.38 %
Bartow 40,760 55,915 76,019 100,157 106,408 113,783 3.71% 3.59% 3.17% 1.25% 0.69 %
Butts 13,665 15,326 19,522 23,655 24,193 25,410 1.21% 2.73% 2.11% 0.45% 0.50 %
Carroll 56,346 71,422 87,268 110,527 118,121 131,562 2.67% 2.21% 2.66% 1.37% 1.14 %
Cherokee 51,699 91,000 141,903 214,346 254,149 296,634 7.60% 5.59% 5.10% 3.71% 1.67 %
Clayton 150,357 182,052 236,517 259,424 289,615 293,566 2.25% 2.99% 0.96% 2.33% 0.14 %
Cobb 297,718 447,745 607,751 688,078 756,865 823,935 5.03% 3.57% 1.33% 2.00% 0.89 %
Coweta 39,268 53,853 89,215 127,317 145,864 167,226 3.71% 6.57% 4.26% 2.91% 1.46 %
Dawson 4,774 9,429 15,999 22,330 25,083 27,977 9.75% 6.96% 3.95% 2.47% 1.15 %
DeKalb 483,024 545,837 665,865 691,893 756,558 780,837 1.30% 2.19% 0.39% 1.87% 0.32 %
Douglas 54,573 71,120 92,174 132,403 145,331 170,510 3.03% 2.96% 4.36% 1.95% 1.73 %
Fayette 29,043 62,415 91,263 107,567 113,459 118,762 11.49% 4.62% 1.78% 1.10% 0.47 %
Forsyth 27,958 44,083 98,407 175,511 236,612 287,240 5.76% 12.32% 7.80% 6.96% 2.14 %
Fulton 589,904 648,951 816,006 920,581 1,050,114 1,191,759 1.00% 2.57% 1.28% 2.81% 1.35 %
Gwinnett 166,808 352,910 588,448 805,321 927,781 1,079,546 11.15% 6.67% 3.68% 3.04% 1.64 %
Haralson 18,422 21,966 25,690 28,780 29,533 30,571 1.92% 1.69% 1.20% 0.52% 0.35 %
Heard 6,520 8,628 11,012 11,834 11,879 11,875 3.23% 2.76% 0.75% 0.08% 0.00 %
Henry 36,309 58,741 119,341 203,922 230,220 264,906 6.17% 10.31% 7.08% 2.58% 1.51 %
Jasper 7,553 8,453 11,426 13,900 14,040 14,489 1.19% 3.51% 2.16% 0.20% 0.32 %
Lamar 12,215 13,038 15,912 18,317 19,000 19,611 0.67% 2.20% 1.51% 0.75% 0.32 %
Meriwether 21,229 22,411 22,534 21,992 21,068 20,788 0.55% 0.05% -0.24% -0.84% -0.13 %
Morgan 11,572 12,883 15,534 17,686 18,853 19,734 1.13% 2.06% 1.39% 4.90% 0.47 %
Newton 34,666 41,808 62,001 99,958 109,541 128,095 2.06% 4.82% 6.12% 1.92% 1.69 %
Paulding 26,110 41,611 81,678 142,324 164,044 189,548 5.93% 9.62% 7.42% 3.05% 1.55 %
Pickens 11,652 14,432 22,983 29,431 31,980 33,262 2.38% 5.92% 2.80% 1.73% 0.40 %
Pike 8,937 10,224 13,688 17,869 18,634 20,050 1.44% 3.38% 3.05% 0.86% 0.76 %
Rockdale 36,747 54,091 70,111 85,215 90,594 101,263 4.71% 2.96% 2.15% 1.26% 1.18 %
Spalding 47,899 54,457 58,417 64,073 66,100 69,623 1.36% 0.72% 0.96% 0.63% 0.53 %
Walton 31,211 38,586 60,687 83,768 93,503 107,206 2.36% 5.72% 3.80% 2.32% 1.47 %
Atlanta MSA 2,338,293 3,083,108 4,263,515 5,287,546 5,949,951 6,639,804 3.75% 4.37% 3.03% 2.51% 1.16%
Source: U.S. Bureau of Labor Statistics; prepared by Chattahoochee Valuation Group, LLC
ATLANTA REAL ESTATE MARKETS

The following chart illustrates the 13-year absorption and vacancy rates in the retail, office, and
industrial markets in metropolitan Atlanta from 2005 to 2018. Also included are 10-year rates for
multifamily markets from 2008 to 2018, the most recent data available from CoStar Realty Information.
Reports for retail, office and industrial markets indicate vacancy rates peaked in 2010 and 2011 with
the office market at approximately 17%, or 24 million square feet, of vacant space. Net absorption for
the three markets reveals that at the height of the economic collapse (2008-2010), office and industrial
markets plummeted into negative territory with the industrial market taking the hardest hit at nearly 7
million square feet followed by both retail and office sinking to new lows.
Retail net absorption was the first to begin showing signs of recovery in 2010 when it edged back into
positive territory with office and industrial following suit in 2011. The three markets then began a slow
but steady climb in 2011 with industrial absorption achieving a 14-point net rebound in two years.
Industrial absorption then peaked in 2014 achieving approximately 20 million square feet, or 16
percent, which dropped to approximately 14 million feet in 2015. Retail and office absorption climbed
steadily during 2012 to 2015, showed a decline in 2016 and remained stable throughout 2018.
Multifamily absorption peaked at the height of the recession at 10 million square feet indicating more
people moving from single-family homes into multifamily units. Vacancy rates for multifamily units
declined during this time and continued to drop throughout 2015 with a slight increase during 2016-
2017 and thereafter a slight decrease in 2018.
Overall, the retail, office and industrial market vacancy and net absorption numbers have fully
recovered from their recessionary levels; however, with the exception of industrial, the markets have
not achieved pre-recessionary levels. Multi-family has remained somewhat steady in terms of
absorption and vacancy over the past 10 years.
TRANSPORTATION
Hartsfield-Jackson International Airport has captured the title of World’s Busiest Airport for 19
consecutive years. It became the first airport in the world to break the 100-million passenger mark in
2015. The city’s rapid transit system, known as the Metropolitan Atlanta Rapid Transit Authority
(MARTA), has a station inside the airport and operates 48-miles of track and 37 other stations. It is the
9th largest transit system in the country. MARTA also operates a network of bus routes linked to the rail
system. Average daily on-time performance was 97.2% as of January of 2019, the latest MARTA data
available, and ridership was recorded at 10.4 million unlinked passenger boardings. Ridership was
higher than Miami, Baltimore, and Los Angeles, according to the Fourth Quarter 2018 Ridership report
published by the American Public Transportation Association.
Atlanta is served by a system of six interstate highways, including I-285, a 64-mile, complete perimeter
highway, and three interstate systems intersecting near downtown: I-75, I-85, and I-20.
Further, Atlanta has become the nation’s only

“land-bound seaport” due largely to the proximity
of the Savannah seaport, located 248 miles
southeast, via its strategic investments in
intrastate railroads CSX Transportation and
Norfolk Southern Railway Company.
The number of containers arriving at US

seaports and departing by rail is a good
economic indicator of market growth or
contraction.
Savannah experienced more weekly trans-pacific services than the Ports of New York and New Jersey
with 22 weekly trans-pacific alliance vessel calls, up from 18, just clearing New York-New
Jersey’s 21, according to a 2017 Journal of Commerce.com report.
Additionally, the Georgia Ports Authority set records in 2018 for total cargo, moving 4.35 million twenty-
foot equivalent container units across all docks, which is a 7.5% increase over 2017. “Ocean carriers
have recognized the Port of Savannah as the must-call port to serve the southeastern US, according to
Griff Lynch, the authority’s executive director.
RECREATION AND CULTURE

Recreation, culture and geography play an important role in the character of metropolitan Atlanta. From
professional sports to arts and entertainment to outdoor activities, metropolitan Atlanta’s diverse
geography create a playground for most interests. Located within metropolitan Atlanta, and 45 minutes
north of city, is the tallest cascading waterfall in the southeast. Amicalola Falls and State Park is visited
annually by more than seven million people. The mountains, lakes and rivers of North Georgia are a
popular recreational destination for hiking, backpacking, hunting, fishing, whitewater rafting and
kayaking, leaf-looking and other popular seasonal activities. Many of these activities are located along
the Chattahoochee River and in protected area within the Chattahoochee National Forests. This river
system feeds the 38,000-acre Lake Lanier which serves as the water source for metropolitan Atlanta,
its nearest major recreational lake and home to thousands as well as the location of the 1996 Olympics.
Approximately 50 miles to the east of metropolitan Atlanta is the Athens-Clarke County area which is
home to the University of Georgia, the largest land grant university and oldest State University in the
US. This area has popular recreational destinations that includes the Oconee National Forest, nature
trails and centers, local parks, lakes, rivers, and golf courses.
Atlanta hosted Super Bowl LIII (53) in 2019. The game was played at the recently completed $1.4
billion Mercedes Benz Stadium, the new home of the NFL Atlanta Falcons football team and the MLS
Atlanta United soccer team. Construction was completed in August 2017. Joining the lineup of new
stadiums in the area, SunTrust Park, new home of the MLB Atlanta Braves baseball team, opened in
April 2017. At a cost of approximately $672 million, the
stadium seats 41,500. Development of an adjacent
entertainment district includes a hotel, office buildings,
and over 60 restaurants bringing the total area investment
to $1.1 billion. There are no other major league sports
teams with a 250-mile radius of the City.
Atlanta is also the site of the world’s largest aquarium at

10million gallons of water and featuring 120,000 different
aquatic species. Additionally, the City has a mature visual
and dramatic arts community. Well-known and highly
visible venues include the High Museum of Art, Alliance
Theatre, the Atlanta Symphony, Fox Theatre, and the
Atlanta Shakespeare Company.
Atlanta’s rich history is on display at more than 10 museums including the Center for Civil and Human
Rights, The King Center and Archives of Dr. Martin Luther King, Jr., the Atlanta History Center, the
World of Coca-Cola, and the Margaret Mitchell House.
HIGHER EDUCATION
Atlanta is home to one of largest concentrations of higher learning institutions compared to other U.S.
metropolitan areas. The Atlanta Regional Council for Higher Education analyzes the value of higher
education in the Atlanta region and its contributions to community development, quality of life, and
economic growth. Membership of the Atlanta Regional Council for Higher Education compromises of
nineteen public and private colleges and universities such as the University of Georgia, Georgia
Institute of Technology, Morehouse College, Emory University, Kennesaw State University, Georgia
State University, Clark Atlanta University, Mercer University, Spelman College, Brenau University,
Clayton State University, University of West Georgia, Oglethorpe University, Savannah College of Art
and Design-Atlanta and Georgia Gwinnett College. The Atlanta Regional Council for Higher Education
serves over 227,000 students in the metropolitan Atlanta area and awards approximately 45,000
degrees annually. This concentration of higher learning institutions has a great impact on the incentive
for the employers to be located in the metropolitan Atlanta area and is one of the factors for recent job
growth throughout the region.
CONCLUSION
Atlanta’s commercial markets remain healthy as billion-dollar investments are made by public and
private sectors, including NCR, the Georgia Institute of Technology foundation, Children’s Healthcare of
Atlanta, SunTrust Bank, Mercedes Benz and the City of Atlanta. As a result of steady gains in
employment and population, infrastructure investments, and the City’s $1 billion commitment to
creating more walkable communities, Atlanta is poised to continue to change and grow inside its core
areas as well as connecting to its suburban neighborhoods. Its ability to attract and create young,
talented, information technology, healthcare, and research and development workers appears to be a
worthwhile goal and one that is achievable with continued vision and strong leadership.
NEIGHBORHOOD MAP
NEIGHBORHOOD/ACCESS
BOUNDARY
The subject’s neighborhood is situated to the northwest of Atlanta within the Austell area of
unincorporated Cobb County. Specifically, the immediate neighborhood is considered to be those areas
bounded as follows:
Direction Boundary
North: Dallas Highwa y (GA 120)
South: I-20
East: Paulding/Cobb County Line
West: I-285 and S outh Cobb Drive
NEIGHBORHOOD PATTERNS AND TRENDS

This neighborhood is considered to be a good established commercial and residential area. Within the
neighborhood, commercial land uses are predominantly situated along Austell Road SW (GA 5), East
West Connector/Ernest W Barrett Parkway SW, US Highway 78, South Cobb Drive, Thornton Road
and Windy Hill Road. Areas of heavier commercial development concentration include the Austell
central business district, Mableton, Thornton Road and the East West Connector/Austell Road SW (GA
5) intersections.
Commercial development along these corridors include grocery-anchored shopping centers, small strip
retail buildings, quick-service restaurants, hotels/motels, mini-storage facilities, etc. A Walmart
Supercenter anchored shopping center is located approximately 1.5 miles to the northeast of the
subject along the EastWest Connector. A significant commercial node is oriented around the Austell
Road/East-West Connector interchange, which is located approximately 0.5 mile northeast of the
subject. This commercial node features several large retail centers with national tenants such as
Target, T.J. Maxx, OfficeMax, Kohl’s and a wide variety of other retail users. These developments also
feature outparcels that are occupied by restaurants, drug stores, financial institutions and other
freestanding retail uses. Other land uses along these corridors include new and used car dealerships,
convenience stores and offices.
Due to the good access and proximity to Atlanta, the area has seen good residential development. The
eastern portions of Cobb County have benefited significantly from the outward sprawl of Atlanta.
Planned residential communities were developed on available land and the population was attracted
due to a good school system. Home prices primarily range from the $100,000s to over $200,000 in this
portion of the county.
IMMEDIATE SUBJECT AREA

The land uses immediately surrounding the subject are as follows:
Direction Land Uses

North: Single-family townhouse subdivision
South: Single-family residential
East: Single-family residential
West: Commercial and vacant land
The subject is bordered to the north by a townhouse subdivision that was originally developed and
began construction around 2006 but sat largely idle until 2017 when construction resumed. Older
single-family development boarders the subject to the south and to the east. To the west across Austell
Road SW (GA 5) is an express carwash, Bruster’s ice-cream shop and RaceTrac convenience store as
well as a vacant tract and an older single-family residence.
REGIONAL ACCESS
General access to the subject area is considered to be average and is provided by a network of
interstate, state and local highways. Primary general access to this section of Cobb County is provided
via Interstate 75, Interstate 20 and Interstate 285. I-75 is the primary north/south thoroughfare to and
through the area and is located approximately nine miles northeast of the subject. It is an important
interstate highway that extends northward from Florida to Michigan and passes through Florida,
Georgia, Tennessee, Kentucky, Ohio and Michigan. I-20 is the Atlanta area's primary east/west
interstate highway, bisecting the city and state of Georgia. I-20 extends into the Atlanta central
business district and links the subject area with other portions of the metropolitan Atlanta via the
metropolitan Atlanta interstate system. I-20 intersects with I-285, Atlanta's circumferential expressway,
and with I-75/85 in the downtown Atlanta area. Access to I-20 is provided approximately five miles
south of the subject via Thornton Road. I-285 is a highway that encircles Atlanta and interchanges with
I-75, I-85, and I-20. Access to I-285 is provided by full interchanges located approximately seven miles
east to northeast of the subject via US 78.
GENERAL ACCESS
Significant roadways in the area include East-West Connector, Veterans Memorial Highway (US 78),
Powder Springs Road, Thornton Road and Austell Road. East-West Connector is a six-lane, divided
roadway that travels in an east-west direction through the subject neighborhood. East-West Connector
is a primary thoroughfare that services the subject neighborhood and provides access to a wide variety
of commercial development and secondary roadways the serve residential development in the area.
Veterans Memorial Highway (US 78) is a four-lane roadway through the subject neighborhood and
provides access to I-285 to the east. Powder Springs Road is a four-lane roadway that extends in a
northeast-west direction. Powder Springs Road travels northeast until it terminates at Windy Hill Road,
then travels West until it terminates at Marietta Street. Thornton Road (GA 6) is a six-lane roadway that
runs southeast to northwest direction. Thornton Road travel northwest until it terminates at Humphries
Hill Road and transitions into US 278, then it travels southeast until it terminates at Bakers Ferry Road
and continuous as Camp Creek Parkway. Austell Road is a primary north-south corridor within the
immediate area and is a four-lane divided roadway through the subject neighborhood. Austell Road
provides connection to the East-West Connector approximately 0.5 mile northeast of the subject.
SPECIFIC SUBJECT ACCESS

Specific access to the subject is provided by two curb cut along the eastern side of Austell Road SW
(GA 5). At the subject, Austell Road SW (GA 5) is a four-lane roadway that extends in a north/south
direction through the subject neighborhood and serves as a commercial corridor in the immediate area.
There is a median in Austell Road SW (GA 5) that limits ingress and egress to the north-bound lanes.
However, median breaks are located approximately 200 feet to the south of the subject at Elmwood
Drive and approximately 250 feet to the north at Anderson Mill Road. Overall, this subject has good
access and good exposure.
CONCLUSION
In summary, the subject neighborhood is situated within a good established commercial and residential
area. The neighborhood is considered to have good access with ample amount of state and local
roadways providing access to the area. The area’s residential base and expected continued growth is
expected to reinforce demand for commercial properties in the area. Given the good access to the
neighborhood and the expected future growth around this area, we expect the subject area to continue
to see moderate demand in the near term.
4337-4379 AUSTELL ROAD SW (GA 5) PROPERTY DESCRIPTION 24
PROPERTY DESCRIPTION
4337-4379 AUSTELL ROAD SW (GA 5) 25
AERIAL IMAGE
PROPERTY DESCRIPTION
SITE DESCRIPTION
The subject consists of four adjoining parcels forming a 6.56-acre tract. The overall property has an
irregular shape, is gently rolling, is mostly wooded and dropping below road grade of Austell Road SW
(GA 5). The subject is accessed via two curb cuts along the eastern side of Austell Road SW (GA 5).
There is a median in Austell Road SW (GA 5) that limits ingress and egress to the north-bound lanes.
However, median breaks are located approximately 200 feet to the south of the subject at Elmwood
Drive and approximately 250 feet to the north at Anderson Mill Road. The overall property is considered
to have good access and good exposure. There are two dilapidated buildings on the subject tract but
due to their condition they contribute no value and the cost to remove is considered minimal.
There is no immediate access to sewer for this property. According to Christopher Duggan at the Cobb
County Water Department, sewer will be difficult to access. There is a private sewer system located to
the north of the property belonging to the townhome subdivision, a public gravity flow line located
approximately 1,000 feet to the southeast and a gravity flow line located across Austell Road that would
require boring under the roadway and the installation of a lift station. Based on a conversation with a
civil engineer with experience in such issues, it could cost upwards of $200,000 to $600,000 to make
sewer available to the subject property. We have made the extraordinary assumption sewer can be
made available for $200,000.
The subject property is physically suitable for a variety of developments but would likely require sewer
extension. An Aerial Image is located on the preceding page. Additional exhibits, maps and subject
photographs are located within this section. A summary of the tract is as follows:
Site Size: 6.56 Acres (285,754 square feet).
Shape: The overall property has an irregular but functionally adequate shape.
Frontage: Austell Road SW (GA 5) – approximately 627.00 feet.
Traffic Counts: Austell Road SW (GA 5) – 38,200 vehicles per day.
Access: The subject is accessed via two curb cuts along the eastern side of Austell
Road SW (GA 5). There is a median in Austell Road SW (GA 5) that limits
ingress and egress to the north-bound lanes. However, median breaks are
located approximately 200 feet to the south of the subject at Elmwood Drive
and approximately 250 feet to the north at Anderson Mill Road. The overall
property is considered to have good access.
Exposure: The overall property is considered to have good exposure along the eastern
side of Austell Road SW (GA 5).
Easements & No adverse easements or encroachments are believed to exist. Utility and
Encroachments: drainage easements are assumed.
SEWER MAP
Note that the green lines are public sewer and the light yellow is private sewer.
Utilities: All utilities are available to the tract except sewer. There is no immediate
access to sewer for this property. According to Christopher Duggan at the
Cobb County Water Department, sewer will be difficult to access. There is a
private sewer system located to the north of the property belonging to the
townhome subdivision, a public gravity flow line located approximately 1,000
feet to the southeast and a gravity flow line located across Austell Road that
would require boring under the roadway and the installation of a lift station. A
sewer line map is located on the facing page.
Based on a conversation with a civil engineer with experience in such issues,

it could cost upwards of $200,000 to $600,000 to make sewer available to the
subject property. We have made the extraordinary assumption sewer can be
Hazardous Materials: We are not qualified to detect the presence of hazardous materials or
conditions. However, the presence of hazardous materials or conditions was
not observed during our viewing of the property.
Soils and Subsurface: Soil conditions appear typical of the area and we are not aware of any
subsurface conditions that would preclude development to the highest and
best use. A report by a soil and subsurface engineer regarding the subject
tract has not been made available to the appraiser. Anyone contemplating the
construction of improvements on the subject tract is strongly encouraged to
obtain the services of a professional soil/subsurface engineer prior to
beginning such activity.
Forestation: The tract is mostly wooded.
Topography: The subject has a gently rolling topography that is dropping below road grade of Austell
Road SW (GA 5). The subject has a stream that extends from the northcentral
portion of the tract to the southeastern portion.
TOPOGRAPHY MAP
Floodplain: Community Panel No’s. 13067C0201G, Dated December 16, 2008, Zone X
(unshaded). The subject is located outside any federally designated 100-year
flood hazard area.
FLOOD PLAIN MAP

ZONING MAP
ZONING
The subject is zoned LRO and NRC, Low Rise Office District and Neighborhood Retail Commercial
District by Cobb County. Tax parcel numbers 19099300170, 19100600010 and 19100600020 each
have a portion of their property in both zoning classification. The LRO district “is established to provide
locations for low scale professional offices and other nonretail commercial uses such as offices and
nursery schools, which are on properties delineated within or on the edge of a neighborhood activity
center, community activity center or regional activity center as defined and shown on the Cobb County
Comprehensive Plan”. Allowable uses include financial institutions, religious institutions, community
fairs, cultural facilities, designated recycling collections locations, executive golf courses, funeral
homes, group homes, in-home daycare, nonprofit fishing lakes, child daycare centers, parking, private
parks, professional offices and communication towers.
Tax parcel number 19100600470 is zoned solely NRC. The NRC district “is established to provide
locations for convenience shopping facilities which are on properties delineated within a neighborhood
activity center, community activity center or regional activity center as defined and shown on the Cobb
County Comprehensive Plan.” Permitted uses include financial institutions, billiards and pool hall,
carwashes, religious institutions, commercial produce stands, community fairs, convenience food
stores, cultural facilities, designated recycling collections locations, restaurants, emissions or inspection
stations, executive golf courses, printing facilities, climate-controlled self-service storage facilities, gas
stations, funeral homes, group homes, in-home daycare, laundry establishments, light automotive
repair establishments, neighborhood retail uses, parking, professional offices and communication
towers. Development standards for the subject’s zoning classification are as follows:
Zoning Restrictions
LRO District NRC District
Minimum Lot Area: 20,000 square feet 20,000 square feet
Minimum Lot Width: 60 feet 40 or 50 feet
Front Setback: 40-50 feet 50 feet
Major Side Setback: 25 or 35 feet 25 or 35 feet
Minor Side Setback 15 feet 15 feet
Rear Setback: 30 feet 30 feet
Maximum Building Height 35 feet (2 stories) 35 feet (2 stories)
Based on the foregoing, commercial development of the subject property appears to be a legally
permissible use.
REAL ESTATE TAXES

The subject property is identified as tax parcel numbers 19099300170, 19100600010, 19100600020
and 19100600470 and is subject to real estate taxes by Cobb County. Property taxes for the county are
based on the appropriate millage rate and assessment ratio applied to the estimated fair market value
as estimated by the county tax assessor’s office. Cobb County taxes are based on a 40.0%
assessment ratio with an effective 2019 tax rate of $30.350 per $1,000 of assessed value. The 2020
tax rate has not yet been set but is not expected to change significantly. Based upon the foregoing, the
calculations for real estate taxes for the subject property are shown as follows:
Total Tax Value

Assessor’s Land Value: $1,052,870
Assessor’s Improvements Value: $0
Assessor’s Total Value: $1,052,870
Assessment Rate: 40.0%
Assessed Value: $421,148
Tax Rate (per $1,000): $30.350
Tax Amount: $12,782
Exemptions: $0
Net Taxes: $12,782
According to the Cobb County Tax Commissioner, taxes for tax parcels 19099300170, 19100600010
and 19100600020 are current. However, taxes for tax parcel 19100600470 are delinquent with $2,508
due.
SUBJECT PHOTOGRAPHS
View Looking North along Austell Road, Subject on the Right
View Looking South along Austell Road, Subject on the Left

View
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of the
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Subject
Austell
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Road
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Typical
of t he
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from
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Typical View of the Subject Tract
View of the Stream on the Subject Tract

View of Dilapidated Structure on the Subject Tract
View of Dilapida ted Structure on the Subject Tract

4337-4379 AUSTELL ROAD SW (GA 5) MARKET ANALYSIS AND HIGHEST AND BEST USE 39
MARKET ANALYSIS AND HIGHEST AND BEST USE
MARKET ANALYSIS
The marketability of real estate refers to how a particular piece of property will be absorbed, sold, or
leased within its marketplace relative to its competition under current or anticipated market conditions.
With regard to the subject’s marketability, consideration has been given to the overall economic
characteristics of the area, locational features, recent operating history of the subject, and the probable
near-term and long-term future market demand.
The subject property is a 6.56-acre tract of land located along the eastern side of Austell Road SW (GA
5) in northwestern metropolitan Atlanta within the Austell area of unincorporated Cobb County,
Georgia. The property has good access to primary traffic arteries in the area and good exposure. The
subject neighborhood is a good established commercial and residential area characterized by planned
subdivisions and supportive commercial development and institutional uses. An inspection of the area
did not reveal any adverse influences that would significantly detract from the marketability of the
property.
In order to understand the demographic trends within the subject neighborhood, we have obtained
population, housing, and employment data in the vicinity of the subject from STDBonline.com. The
following map illustrates the subject location and the 1-, 3-, and 5-mile rings within the subject
neighborhood:
Pertinent population data for the subject area is shown in the following chart:
Annual compounded growth rates within 1-, 3-, and 5-mile radii from the subject ranged from 1.08% to
2.29% from 2000 to 2010. From 2010 to 2019, population growth was 1.00% to 1.34%. Through 2024,
population growth is expected to range from 1.06% to 1.34% among the three radii. Overall, population
growth was impacted by poor economic conditions between 2007 and 2011 and is projected to see
relatively slow growth over the next five years. Growth rates have remained positive since 2010 and are
expected to continue this trend into the future.
The data provided by STDB indicates annual compounded growth rates for households from 2000 to
2010 for the 1-, 3-, and 5-mile radii from the subject ranged from 1.06% to 2.79%. From 2010 to 2019,
household growth ranged from 0.92% to 1.52%. As with population, a positive trend in household
growth is projected through 2024 at fairly stable rates.
The income data shows median household income within the subject area ranges from $46,534 to
$61,032 within a 1 to 5-mile radius. Median household income is projected to grow at positive rates
over the next five years for all areas. Overall, income statistics show that most residents within the
subject area are in the lower- to middle-income groups. The table also shows median home values
within the subject area in 2019 are $168,886 to $181,273. Median home values are projected to
increase steadily for all areas over the next five years.
Based on population, households and median household income, the subject area was impacted by the
recent economic recession. Overall, growth rates are projected to increase but remain relatively low.
Given the outward sprawl of Atlanta and the availability of land in the area, we expect the area could
exceed projected growth levels.
ATLANTA RETAIL MARKET

With regard to the Atlanta retail market, we have referenced The CoStar Retail Report published by
CoStar Group. This report provides existing square footages, occupancy rates, absorption rates,
development activity and other information regarding the retail markets in the metropolitan Atlanta area.
CoStar delineates the overall Atlanta retail market into 35 Submarket Clusters. The subject is located in
the Powder Springs/Austell Retail Submarket. Data for the overall retail market in metropolitan Atlanta
is shown in the following table.
The following table tracks historical trends in the Atlanta total retail market:
As indicated, the metropolitan Atlanta Retail Market is comprised of over 355 million square feet of
retail space. The overall average vacancy rate in the Atlanta Retail Market is 5.0% with quoted rental
rates of $17.56 per square foot. Total net absorption for the current quarter was 48,959 square feet.
Deliveries in for the current quarter were 170,566 square feet with 1,405,425 square feet of space
under construction.
The metropolitan Atlanta Retail Market has improved significantly over the past few years. Vacancy
rates have historically fluctuated between 4.1% and 10.4%. The high point for vacancy was 10.4% in
2010, but vacancy has since dropped to 5.0% and has continued a steady drop over the past few
years. Construction activity has generally increased and absorption has remained generally positive,
both positive signs for the market area. The overall metropolitan Atlanta Retail Market has continued to
improve and is considered relatively healthy. Overall, positive trends are expected to continue into the
future.
POWDER SPRINGS/AUSTELL RETAIL MARKET

The following chart reflects current trends for the Powder Springs/Austell Retail Market:
According to the table above, the Powder Springs/Austell Retail Market includes over 11.7 million
square feet of retail space. This market vacancy rate is 4.4%, which is below the overall metropolitan
Atlanta Retail vacancy rate of 5.9%. The average quoted rental rates are $14.41 per square foot, which
is also below the overall metropolitan Atlanta Retail Market average of $24.73 per square foot. The
market reportedly has 42,000 square feet under construction with zero square feet delivered in the
current quarter. Absorption was a positive 12,452 square feet. Overall, the Powder Springs/Austell
Retail Market appears to be healthy. Overall, demand is expected to continue to improve as economic
conditions continue to improve throughout the market.
IMMEDIATE AREA ANALYSIS

To analyze the subject’s immediate market area, the appraisers have utilized Costar’s Property
Analytics tool to create a study of comparable Retail properties within a three-mile radius of the subject.
A general analysis of the information is below.
The immediate area data indicates a total of approximately 5.4 million square feet of retail space.
Currently, the vacancy rate is 4.7% with approximately 251,000 square feet vacant and approximately
303,000 square feet listed as available. The average rental rate is $12.95 per square foot. There has
been a positive 145 thousand square feet of space absorbed over the past 12 months and 33,500
square feet are under construction. Given this data, the market appears to command slightly lower than
average rental rates but slightly higher vacancy rate compared to the wider Powder Springs/Austell
Retail Market.
ATLANTA OFFICE MARKET

With regard to the Atlanta office market specifically, we have referenced The CoStar Office Report,
published by CoStar Group. This report provides existing square footages, occupancy rates, absorption
rates, development activity and other information regarding the office markets in the metropolitan
Atlanta area. CoStar delineates the overall Atlanta office market into 10 Submarket Clusters. The
subject is located within the Kennesaw/Town Center Submarket. According to CoStar Group, Atlanta’s
office market is broken down into three separate segments, Class A (4 & 5 Star), Class B (3 Star), and
Class C (1 & 2 Star). Data for the overall office market in metropolitan Atlanta is shown in the following
table.
As indicated, the metropolitan Atlanta Office Market is comprised of over 316,597,289 million square
feet of office space. The overall average vacancy rate in the overall Atlanta office market is 11.5% with
quoted rental rates of $26.17 per square foot. Total net absorption for the past 12 months is quoted at
2,500,000 square feet with 3,000,000 square feet of space being delivered and 7,315,406 square feet
under construction.
The metropolitan Atlanta office market has improved over the past few years as economic conditions
have bettered within the market. Vacancy rates have historically fluctuated between 4.2% and 16.2%.
The low point for vacancy was 4.2% in 2000, but vacancy has since increased to 10.4% and this has
continued a steady climb in the past few years. The vacancy is currently at a low not experienced since
pre-recession. Construction activity has generally increased a positive sign for the market area. The
overall metropolitan Atlanta Office Market has continued to improve and is considered healthy. Overall,
positive trends are expected to continue into the future.
KENNESAW/TOWN CENTER OFFICE SUBMARKET
The following chart shows data for the Kennesaw/Town Center Office market:
According to the chart, the Kennesaw/Town Center Office Market reflects a vacancy rate of 7.9%,
which is substantially lower than the metropolitan Atlanta Market vacancy rate of 11.5%. Quoted rental
rates are at or near $20.78 per square foot, which is below the overall Atlanta Office Market average of
$26.17 per square foot. Overall, the Kennesaw/Town Center Office Market appears to have average
vacancy rates. The market has experienced positive absorption within the last 12 months of 25,100
square feet. The Kennesaw/Town Center Office Market reported no space delivered to the market and
177,962 square feet of space under construction for the current quarter. Overall, the appraisers expect
vacancy rates to remain low as the overall area continues to recover and experience redevelopment.
IMMEDIATE AREA ANALYSIS
In order to provide a more detailed analysis of the subject, we have utilized Costar’s Property Analytics
tool to create a study that consists of office buildings located within three miles of the subject property.
A summary of this information is located below with a general analysis of the information following:
The data for the immediate area indicates a total of approximately 980,000 existing square feet of
space contained within 143 buildings. Currently, the vacancy rate is 5.8% with approximately 56,400
square feet vacant. The average rental rate is $19.24 per square foot, which is a -0.7% decrease over
the prior period. There is currently no space under construction with positive absorption of 7,000 square
feet. The overall immediate area office market appears to be doing quite well with low vacancy and
increasing rents. Demand is considered good for office space in the subject market and will continue
into the foreseeable future.
MARKET CONCLUSION
The overall Atlanta Retail and Office Markets appear to have moved past the recovery phase and into
the expansion phase with the subject’s submarkets considered to be healthy with strong occupancy
and rental rates. The immediate area is projected to see positive growth rates in population and
households, which will create demand for supporting commercial uses. Given the areas proximity to I-
20 and I-285 and good supportive commercial development, the area should continue to experience
increased demand for retail and office properties. Given the overall economic characteristics of the
area and the locational and physical features of the subject property, the subject property is well-
positioned in the marketplace given the overall appeal of the location and good general access to the
areas' local traffic arteries. The subject currently has good marketability and the long-term marketability
of the subject is expected to be good.
HIGHEST AND BEST USE

In cases where a site has existing improvements, the highest and best use of the site as if vacant may
very well be different from the existing use. However, the existing use will continue unless and until the
land value, in its highest and best use, minus the cost of demolition, exceeds the value of the
improvements. Also implied within these definitions is that the determination of highest and best use
results from the appraisers' judgment and analytical skill; i.e., that the highest and best use determined
from analysis represents an opinion, not a fact to be found. In appraisal practice, the concept of highest
and best use represents the premise upon which value is based.
AS THOUGH VACANT
The above definition is specifically applied to the highest and best use of land as though vacant. When
a tract contains improvements, it typically remains in use over its economic life. The discussion of
highest and best use under the assumption of a vacant tract should analyze what type and size
improvements should be constructed in accordance with the above definition and criteria. The purpose
of determining the highest and best use of the land as vacant is to define the criteria for the selection of
comparable sales to be used in the valuation of the tract, as well as to determine if the highest and best
use as though vacant differs from that as improved or proposed.
The subject property is located in a good established commercial and residential area. A variety of
commercial and residential developments are located in the general area.
LEGALLY PERMISSIBLE
As detailed in the Zoning section of this report, the subject property is zoned LRO and NRC, Low Rise
Office District and Neighborhood Retail Commercial District. The subject’s zoning permits commercial
uses, which is considered to be the most intensive zoning for the subject. Therefore, commercial uses
are considered to be legally permissible.
PHYSICALLY POSSIBLE
The physical characteristics of a tract that affect its possible uses include, but are not limited to,
location, street frontage, size, shape, street access, availability of utilities, easements, soils and
subsoil’s, and topography. The subject tract is 6.56 acres located along the eastern side of Austell
Road SW (GA 5). The tract has good specific access and good exposure. The tract has an irregular
shape and is mostly wooded. The tract has a gently rolling topography that is generally dropping below
road grade and below. No soils and subsoils are known to adversely affect the development potential of
the tract and the tract is outside any flood hazard zones. However, the tract does have a stream that
runs through a portion of the tract on the eastern side. Of the uses that are legally permissible,
commercial uses would be physically possible on the usable portions of the subject.
There is no immediate access to sewer for this property. According to Christopher Duggan at the Cobb
County Water Department, sewer will be difficult to access. There is a private sewer system located to
the north of the property belonging to the townhome subdivision, a public gravity flow line located
approximately 1,000 feet to the southeast and a gravity flow line located across Austell Road that would
require boring under the roadway and the installation of a lift station. Based on a conversation with a
civil engineer with experience in such issues, it could cost upwards of $200,000 to $600,000 to make
sewer available to the subject property. We have made the extraordinary assumption sewer can be
FINANCIALLY FEASIBLE
The subject is located in a good established commercial and residential area with a variety of
developments. Inspection of the neighborhood revealed that similar sites have been developed into
commercial uses. The subject market area has the necessary characteristics and infrastructure to
sustain continued growth and the rate of population growth and increased need for supporting
commercial facilities is anticipated to reinforce market demand for the subject tract. The subject is
considered to be suitable for commercial uses. Therefore, commercial development is considered to be

a financially feasible use of the subject tract.
MAXIMALLY PRODUCTIVE
After analyzing the financial feasibility for commercial development on the subject tract, current market
conditions reveal that development of such a property on the subject tract could produce a positive
cash flow and an adequate return to the cost of the investment. Therefore, commercial development is
considered to be maximally productive.
CONCLUSION
Given the subject's location and the socio-economic status of the neighborhood, demand for
commercial development would produce the highest net return to the subject tract over the longest
period. Therefore, the most productive, legally permitted, physically possible, and financially feasible
use of the subject tract is for commercial development.
MOST PROBABLE BUYER

The subject is zoned LRO and NRC, Low Rise Office District and Neighborhood Retail Commercial
District, which is ideal for commercial use. Therefore, the most probable buyer would be a local or
regional investor or developer.
4337-4379 AUSTELL ROAD SW (GA 5) VALUATION 50
VALUATION
VALUATION PROCESS
The Valuation Process is accomplished through specific steps. This section of the report applies one,
two or all three approaches to the analysis of data to derive a well-supported value conclusion.
Although the approaches are interrelated, the property type and use will determine which approach or
approaches are most appropriate. The Reconciliation Chapter following this chapter contains the final
analytical step in the Valuation Process, which is the reconciliation of the value indications into a single
dollar figure or a range into which the value will most likely fall.
COST APPROACH
The Cost Approach is based on the understanding that market participants relate value to cost. The
principle of substitution is basic to the Cost Approach. This principle is that no prudent buyer would pay
more for a property than for the cost to acquire a similar tract and construct improvements of equal
desirability and utility without undue delay. In the Cost Approach, the value of a property is derived by
adding the concluded value of the land to the current cost of constructing a reproduction or
replacement for the improvements and then subtracting the amount of depreciation (i.e., deterioration
and obsolescence) in the structures from all causes. Profit for coordination by the entrepreneur is
included in the value indication. This approach is particularly useful in evaluating new or nearly new
improvements and properties that are not frequently exchanged in the market.
INCOME CAPITALIZATION APPROACH

In the Income Capitalization Approach, present value of the future benefits of property ownership is
measured. Income-producing real estate is typically purchased as an investment, and from an
investor's point of view, earning power is the critical element affecting property value. One basic
investment premise is that the higher the earnings, the higher the value. An investor who purchases
income-producing real estate is essentially trading present dollars for the right to receive future dollars.
The Income Capitalization Approach to value consists of methods, techniques and mathematical
procedures that an appraiser uses to analyze a property's capacity to generate benefits (i.e., usually
the monetary benefits of income and reversion) and convert these benefits into an indication of present
value.
SALES COMPARISON APPROACH

In the sales comparison approach, an opinion of market value is developed by comparing the subject
property to similar properties that have recently sold or are listed for sale, or are under contract (i.e.,
recently drawn up purchase offers accompanied by a cash or equivalent deposit). A major premise of
the sales comparison approach is that the market value of the property is directly related to the prices
of comparable, competitive properties. The principle of substitution is applied in this approach and
holds that the value of a property tends to be set by the price that would be paid to acquire a substitute
property of similar utility and desirability within a reasonable amount of time. This principle implies that
the reliability of the sales comparison approach is diminished if substitute properties are not available in
the market. This approach is most useful when a number of similar properties have recently been sold
or are currently for sale in the subject property market.
METHODOLOGY
In this appraisal report, the sales comparison approach is utilized to develop an opinion of the value of
the subject tract. The subject has improvements that do not contribute any value; therefore, the Cost
Approach is not applicable to the valuation of the subject. The Income Capitalization Approach is
typically not employed in the derivation of value of tracts such as the subject.
COMPARABLE LAND SALES LOCATION MAP
SALES COMPARISON APPROACH

The subject contains 6.56 acres and the highest and best use is for Commercial development. In order
to develop an opinion of value of the subject tract, we have researched the local market area for recent
sales, contracts, and listings of similar vacant parcels. These comparable sales are compared to the
subject with respect to various transactional, physical and locational characteristics including date of
sale, conditions of sale, location, tract size, access, exposure, topography, utilities, zoning and overall
tract utility. The comparable land sales are analyzed on the basis of sale price per acre with prices
ranging from $74,227 to $364,146 per acre on tracts ranging from 2.00 to 6.89 acres. Detailed analyses
of the comparable sales and location map follow this discussion. Pertinent details of these comparable
sales are presented in the following table.
Land Sales Summar y
Sale Address Sale Date Price Land Acres Price/Acre

No.
#1 4780 Oakdale Road 9/7/2018 $873,950 2.400 $364,146
Smyrna, Cobb County, Georgia
#2 7039 Mableton Parkway 3/21/2018 $712,500 2.000 $356,250
Mableton, Cobb County, Georgia
#3 3099 Loring Road 2/1/2018 $1,800,000 6.890 $261,249
Kennesaw, Cobb County, Georgia
#4 1356 Trae Lane 9/28/2018 $460,200 2.360 $195,000
Lithia Springs, Douglas County, Georgia
#5 4967 Cowan Road 11/5/2018 $850,000 5.489 $154,855
Acworth, Cobb County, Georgia
#6 1465 Veterans Memorial Highway SE 12/13/2019 $360,000 4.850 $74,227
Mableton, Cobb County, Georgia
The sale price of each comparable land sale has been adjusted upward if the land sale is considered
inferior to the subject tract with respect to a particular item of comparison. Conversely, each
comparable land sale price was adjusted downward if that comparable was considered superior to the
subject tract. The upward and downward adjustments were then totaled and the net adjustment has
been applied to the sale price for each comparable land sale, indicating a current market value per acre
for the subject tract.
The adjustments in this analysis are subjective based on available knowledge of the properties and the
subject market as well as discussions with active brokers, developers, owners and buyers in the area.
The categories for potential adjustment items are as follows:
• Financing Terms The transaction price of one property may differ from that of an identical property
due to different financing arrangements. The terms of sale are analyzed individually on each
comparable sale included in this report. Cash equivalency adjustments for atypical financing, if
required, are made to the individual comparable sales; therefore, additional adjustments in this
analysis are not required.
• Conditions of Sale Adjustments for conditions of sale reflect the motivations of the buyer and
seller. When non-market conditions of sale are involved in a transaction such as seller duress, a
purchaser paying more for incremental value (plottage), or an internal sale due to a financial,
business or family relationship between the parties, adjustments are required.
• Market Conditions (Time) Adjustments to the comparables for market conditions or time (date of
sale) reflect changes in the market during the time period covered by the data. This adjustment is
based on observed sales prices by the appraiser, interviews of brokers, land owners and
developers in the area, and knowledge of current contracts and negotiations occurring in the market
at the moment.
• General Location An adjustment for location may be required when the locational characteristics
of a comparable property are different from those of the subject property. Location adjustments to
the sales consider various factors including the immediately surrounding land uses and the
subject's relative location (time and distance) with respect to employment centers, transportation
routes, shopping, schools, etc.
• Specific Access and/or Exposure An adjustment for access and exposure may be required. A
property may be located in a good area, but because of the lack of adequate access and/or
exposure, its success as a profitable development may be hampered. Factors such as road
frontage, corner influence, grade level, and ingress/egress can all have an effect on value.
• Size An adjustment for size of the comparables may be required. Size adjustments are based on
the premise that larger tracts typically sell for less per square foot.
• Shape An adjustment for shape may be required because significantly irregularly shaped tracts
typically have less site utility and limit development potential of a site. Thus, sell for less per square
foot.
• Topography and Soil Conditions The value of sites differ due to varying physical characteristics
including contour, grading, natural drainage and soil conditions. Adjustments for topography and
soil conditions reflect differences in the physical characteristics of the comparables as they relate to
the subject.
• Site Utility and/or Zoning An adjustment for site utility or zoning may be required if the
comparable
highest and best use is limited by undue governmental or market forces due to the site’s location.
Land Sale Adjustment s

Subject Sale # 1 Sale # 2 Sale # 3 Sale # 4 Sale # 5
4337-4379 Austell 4780 Oakdale 7039 Mableton 3099 Loring 4967 Cowan
Address 1356 Trae Lane
Road SW (GA 5) Road Parkway Road Road
County Cobb Cobb Cobb Cobb Douglas Cobb
Sale Price N/A $873,950 $712,500 $1,800,000 $460,200 $850,000
Adjusted Price/Acre $364,146 $356,250 $261,249 $195,000 $154,855
Property Rights Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple
Adjustment 0.0% 0.0% 0.0% 0.0% 0.0%
Terms/Financing Cash Cash Cash to Seller Cash Cash
Equivalent Equivalent Equivalent Equivalent
Adjustment 0.0% 0.0% 0.0% 0.0% 0.0%
Normal, Arms Normal, Arm's Normal, Arm's Normal, Arms Normal, Arm's
Conditions of Sale
Length Length Length length Length
Adjustment 0.0% 0.0% 0.0% 0.0% 0.0%

Time/Market Conditions N/A Sep-18 Mar-18 Feb-18 Sep-18 Nov-18
Adjustment 5.0% 5.0% 5.0% 5.0% 5.0 %
Adjusted Price/Acre N/A $382,353 $374,063 $274,311 $204,750 $162,598
Land Acres 6.56 2.40 2.00 6.89 2.36 5.49
Adjustment -10.0% -10.0% -10.0%
Location N/A Superior Similar Superior Inferior Similar
Adjustment N/A -10.0% -10.0% 5.0%
Access and Exposure Good Superior Superior Superior Superior Inferior
Adjustment -10.0% -15.0% -10.0% -5.0% 5.0 %
Property Topography gently rolling Superior Superior Superior Superior Superior
Adjustment -10.0% -10.0% -10.0% -10.0% -10.0 %
Property Shape irregular Superior Superior Superior Superior Similar
Adjustment -5.0% -5.0% -5.0% -5.0%
Utilities All available Similar Superior Superior Superior Superior
Adjustment -20.0% -10.0% -20.0% -10.0 %
Zoning LRO and NRC Similar Similar Similar Similar Similar
Adjustment
Other
Adjustment 0.0% 0.0% 0.0% 0.0% 0.0%
Total Adjustments
Net % Adjustments -45.0% -60.0% -45.0% -45.0% -15.0%
Total % Adjustments 45.0% 60.0% 45.0% 55.0% 25.0%
Adjusted Price/Acre N/A $210,294 $149,625 $150,871 $112,613 $138,208
AS IS MARKET VALUE OPINION

The comparables indicate a range in value from $74,227 to $210,294 per acre and average $139,306
per acre.
Sales 1 is adjusted upward initially due to the sale date to reflect improved market conditions. It is
adjusted downward to reflect its smaller size as smaller tracts typically sell for more per acre. This
property is located in a more heavily developed area of the county on two through streets with superior
access and exposure and is adjusted downward for these qualities. It is adjusted downward for having
a gently sloping topography and a generally rectangular shape which is considered superior. Overall,
this sale is considered superior to the subject requiring an overall downward adjustment.
property has superior access and exposure and is adjusted downward for these qualities. This sale has
a gently sloping topography and a generally square shape and these characteristics are considered
superior and downward adjustments are made. The property has access to sewer and is considered
superior and is given a downward adjustment. Overall, it is superior to the subject requiring an overall
downward adjustment.
Sales 3 is adjusted upward initially due to the sale date to reflect improved market conditions. This
property is located in a more heavily developed area of the county on a main roadway, US 41, with
superior exposure and is adjusted downward. This sale has a generally level topography and a
rectangular shape these characteristics are considered superior and adjusted downward. The property
has access to sewer and is considered superior and is given a downward adjustment. Overall, it is
superior to the subject requiring an overall downward adjustment.
property is located in a more lightly developed area of the county and is adjusted upward. Access is
considered superior and a downward adjustment is made. This sale has a gently sloping topography
and a generally square shape these characteristics are considered superior and adjusted downward.
The property has access to sewer and is considered superior and is given a downward adjustment.
Overall, it is superior to the subject requiring an overall downward adjustment.
Sales 5 is adjusted upward initially due to the sale date to reflect improved market conditions. This sale
is off a secondary roadway with limited exposure and is inferior and an upward adjustment is made.
This sale has a gently sloping topography and is adjusted downward. The property has access to
sewer and is considered superior and is given a downward adjustment. Overall, it is superior to the
subject requiring an overall downward adjustment.
Sales 6 is adjusted downward to reflect its smaller size as smaller tracts typically sell for more per acre.
This property is located in a more industrial area of the county that is less dense and is adjusted
upward. The property has a generally rectangular shape and is considered superior and a downward
adjustment was made. Overall, it is similar to the subject requiring no overall adjustment.
All the comparables are located within the general region. Sales 1 and 6 are considered outliers and
are given little consideration. The remaining sales represent a much tighter range between $112,613
and $150,891 per acre. With Sales 2, 3 and 5 ranging from $138,208 per acre. Sales 3 and 5 are
considered to be the most similar with regards to size. Given the difficulty associated with accessing
sewer, a value near the lower end of the range of these two sales is considered reasonable. Based on
the foregoing, it is our opinion the As Is Market Value of the subject land is $140,000 per acre. The
value of the subject property is calculated as follows:
Land Value Conclusion

6.560 Acres x $140,000 Per Acre = $918,400
Rounded $920,000
4337 -4379 A USTELL R OAD SW (GA 5) V ALUATION 65
Property Type:
L AND S ALE
Property Information
Property ID:
1
11020 Land
Property Sub Type: Commercial

Address: 4780 Oakdale Road, Smyrna, Cobb
County, Georgia, 30080
Tax ID #: 17069100120
Location: Westside, east side of S Cobb Drive (GA 280)
Legal Description: Land Lots 690, 691, 750 and 751 of
the 17th District, 2nd Section
Sale Information
Sale Status: Closed

Sale Date: 9/7/2018
Marketing Time: NA
Site Information
Deed Book/Page: 15572/4735
Site Size (AC/SF): 2.40 Acres 104,544 SF
Plat Book/Page:
Grantor: John Douglas Howser Grantee: TOPSC, LLC

Usable Acres/SF: 2.400 Acres 104,544 SF
Conditions of Sale: Normal, Arms Length
Financing: Cash Equivalent
Sale Price: $873,950 Access/Exposure: Good/Good
Other Consideration: $0 Shape: Generally Rectangular
Adjusted Sale Price: $873,950 Topography: Gently Sloping
Land Cover: Wooded
Gross PPA: $364,146 Flood Plain: No
Gross PSF: $8.36 Zoning: NRC, Neighborhood Retail
Commercial
Usable PPA/PSF: $364,146 Utilities: All available (sewer nearby)
Usable PSF: $8.36
Verification: Deed, Broker, Field
Sale Remarks
This is the sale of a 2.40-acre commercial tract located in the Smyrna area of Cobb County, Georgia. The property is
considered to have good access and exposure along Oakdale Road and S Cobb Drive (GA 280). The tract is wooded
throughout with a gently sloping topography and all utilities available except sewer. The broker commented that the buyer
intends to use the property for self-storage facility and that the buyer went through rezoning to do so. The subject property is
on septic. However, access to sewer is on the other side of South Cobb Drive.
a
Property Type:
L AND S ALE
Property ID:
2
11021 Land

Address: 7039 Mableton Parkway, Mableton,
Cobb County, Georgia, 30126
Tax ID #: 18049900340
Location: North side, west side of Discovery
Boulevard
Legal Description: Land Lots 499 & 503 of the 18th
Sale Information
District, 2nd Section

Sale Status: Closed
Sale Date: 3/21/2018
Site Information
Marketing Time: NA
Plat Book/Page:
Grantor: Shares Holding, LLC & ORF Investments, LLC Grantee: RaceTrac Petroleum, Inc.
Conditions of Sale: Normal, Arm's Length
Sale Price: $712,500 Access/Exposure: Very Good/Very Good
Other Consideration: $0 Shape: Generally square
Adjusted Sale Price: $712,500 Topography: gently sloping
Land Cover: Wooded
Gross PSF: $8.18 Zoning: GC, General Commercial
Usable PPA/PSF: $356,250 Utilities: All available
Usable PSF: $8.18
Verification: Deed, Broker, Field
Sale Remarks
This is the sale of a 2.0-acre commercial tract located in the Mableton area of Cobb County, Georgia. The property
is considered to have very good access and very good exposure via a corner location along Mableton Parkway
and Discovery Boulevard. The tract is wooded throughout with a gently sloping topography and all utilities
LAND SALE
available. The tract was purchased by RaceTrac and is to be developed with a gas station.
11233 Land

Address: 3099 Loring Road, Kennesaw, Cobb
County, Georgia, 30152
Tax ID #: 20-0123-0-070-0
Location: Southside of the road at U.S. 41 North
Legal Description: Land Lot 123, 20th District
Sale Information Sale
Status: Closed
Sale Date: 2/1/2018
Marketing Time: 856
Site Information
Plat Book/Page: 500 Pirkle Ferry Road
Grantor: Wayne Feuerhern

Grantee: SAFStor Loring LLC
Financing: Cash to Seller
Sale Price: $1,800,000 Access/Exposure: Good/Good
Other Consideration: $0 Shape: Rectangular
Adjusted Sale Price: $1,800,000 Topography: generally level
Land Cover: Mostly cleared
Gross PSF: $6.00 Zoning: C-2, General Commercial
Usable PPA/PSF: $261,249 Utilities: All Available (sewer nearby)
Usable PSF: $6.00
Verification: Listing Agent, Deed, Public Records
Sale Remarks
The subject has a Loring Road address just inside the Acworth city limits. However, Loring Road veers eastward at
Property Type:
L AND S ALE
Property ID:
this property and crosses over US 41. Therefore, this tract does not have direct access to US 41. It does have US
41 exposure. It has a relatively flat topo and is mostly clear of shrubs or trees. This parcel does not have sewer
service, but sewer was nearby and was extended to the subject. The buyer improved the site after the purchase
with a mini-storage facility.
4
Corporate Ridge Business Park
Property ID: 11929
Property Type: Land
Property Sub Type: Office Land
Address: 1356 Trae Lane , Lithia Springs ,
Douglas County, Georgia , 30122
Tax ID #: 07081820004
Location: along the southeastern side of Trae
Lane, along the southern side of Bob
Arnold Boulevard and 0.60 Miles
south of I -20
Legal Description: Land Lot 708, 18th District 2nd
Section
Sale Information
Sale Status: Closed
Sale Date: 9/28/2018
Marketing Time: N/A
Plat Book/Page: N/A
Grantor: LLP
Site Information
Russell
Wallace, L
Grantee: Cnl Lithia
LLC
Conditions of Sale: Normal, Arms length

Sale Price: $460,200 Access/Exposure Good/Good
:
Other Shape: Irregular
LAND SALE
Consideration:
Adjusted Sale $460,200 Topography: Gently Sloping
Price:
Land Cover: mostly wooded
Gross PSF: $4.48 Zoning: C-H, Heavy Commerci al
Usable PPA/PSF: $194,999 Utilities: All available
Usable PSF: $4.48
Verification: Deed, Tax Records, Party
Familiar with the Sale
Sale Remarks
This sale is in a good commercial, residential and light industrial neighborhood located along the southeastern side of Trae
Lane, along the southern side of Bob Arnold Boulevard and 0.60 Miles south of I-20. The property is considered to have good
access and exposure. The tract was wooded at the time of sale with gently sloping topography and all utilities available. The
property was purchased for a hotel/motel called WoodSprings Suites.
LAND SALE
Property ID: 11234
Property Type: Land
Address: 4967 Cowan Road , Acworth, Cobb
County, Georgia , 30101
Tax ID #: 20-0010 -0-097 -0
Loca tion: Westside of the road just south of GA
92 and I -75
Legal Description: Land Lot 10, 20th District
Sale Information
Sale Status: Closed
Sale Date: 11 /5/2018
Marketing Time: Not Available
Plat Book/Page: N/A
Grantor: Socoloff Properties, LLC Site Information

Grantee: Quick Trip Mart, LLC Site Size (AC/SF): 5.49 Acres 239,101 SF
Sale Price: $850,000 Access/Exposure: Good/Good
Other Consideration: Shape: Irregular
Adjusted Sale Price: $850,000 Topography: gently sloping
Land Cover: Wooded
Gross PSF: $3.55 Zoning: C-2, Commercial
Usable PPA/PSF: $154,855 Utilities: All available (sewer nearby)
Usable PSF: $3.55
Verification: Listing Agent, Deed, Public Records
Sale Remarks
This property is located just south of the Cowan Road/Lake Acworth Road intersection with the immediate area
primarily developed commercially. This tract has approximately 320 feet fronting Cowan Rod. The tract is wooded
with an overall downhill slope from north to south. It was improved with a house that added no value to the site. All
LAND SALE
utilities (except sewer) are available at the tract. Sewer is located across the road. The listing agent reports the tract
was originally listed at $1,250,000. A prospective buyer offered $1,000,000 to be developed with a motel, which was
acceptable to the seller but the buyer added several contingencies not acceptable to the seller. While negotiating,
another buyer offered $850,000 with no contingencies and could close in one week. The seller accepted the second
offer.
Property ID: 11928
Property Type: Land
Address: 1465 Veterans Memorial Highway SE ,
Mableton, Cobb County, Georgia ,
30126
Tax ID #: 18028200030 and 18028200040
Location: along the northern side of Veterans
Memorial Highway 0.11 miles east of
Disc overy Boulevard.
Legal Description: Land Lot 176, 177, 282 and 283 of the
18th District 2nd Section
Sale Information
Sale Status: Closed
Sale Date: 12/13/2019
Marketing Time: 744
Plat
Book/Page:
Site Information
Grantor:
Site Size (AC/SF): 4.85 Acres 211,266
James Reed
Grantee: SF
Laesk Usable Acres/SF: 4.850 211,266
Development, Acres SF
LLC
Conditions of Normal, Arms

4337-4379 AUSTELL ROAD SW (GA 5) 65
Sale: length
Sale Price: $360,000 Access/Exposure Good/Good
:
Other Shape: Generally Rectangular
Consideration
:
Adjusted Sale $360,000 Topography: Moderately Rolling
Price:
Land Cover: Wooded
Gross PSF: $1.70 Zoning: GC, General Commercial
Usable $74,227 Utilities: All available except sewer
PPA/PSF:
Usable PSF: $1.70
Verification: Deed, Tax
Records, Field,
Selling Agent
Sale Remarks
This sale is in a good commercial, residential and light industrial neighborhood. This sale is located along the northern side of
Veterans Memorial Highway 0.11 miles east of Discovery Boulevard. The property is considered to have good access and
exposure along the fronting roadway. The tract is wooded throughout with a moderately rolling topography and all utilities
available except sewer. However, sewer is nearby. The tract was purchased for retail development.
CONCLUSIONS
CONCLUSIONS
FINAL RECONCILIATION OF VALUE

Based on the analyses within this report, we have developed an opinion of the As Is Market Value in
fee simple of the subject property, subject to the Basic Assumptions and Limiting Conditions contained
herein, and based on market conditions as of February 14, 2020, at:
$920,000
NINE HUNDRED TWENTY THOUSAND DOLLARS

4337-4379 AUSTELL ROAD SW (GA 5) ADDENDA 66
ADDENDA
Absorption: 1) Broadly, the process whereby vacant Institute, Uniform Standards of Professional
space in a property, a group of properties, or a Appraisal
market becomes occupied, either by leasing or by Practice, or International Valuation Standards.i
sales to ownerusers. 2) In subdivision analysis, the
process whereby lots or units in a subdivision are Assessed Value: The value of a property according
sold off. 3) In market analysis, short-term capture.i to the tax rolls in ad valorem taxation; may be higher
See also market share. or lower than market value, or based on an
assessment ratio that is a percentage of market
Appraisal Report: Any communication, written or value.i
oral, of an appraisal or appraisal review that is
transmitted to the Asset: 1) Any item, the rights to which may have
client upon completion of an assignment.ii economic value, including financial assets (cash or
bonds), business interests, intangible assets
Arm’s-Length Transaction: A transaction between (copyrights and trademarks), and physical assets
unrelated parties who are each acting in his or her (real and personal property). 2) In general business
own best interest.i` usage, something owned by a business and reflected
in the owner’s balance
As Is Market Value: The estimate of the market sheet.i
value of real property in its current physical condition,
use, and zoning as of the appraisal date. (Proposed Bondable Net Lease: A lease in which the tenant
Interagency Appraisal and Evaluation Guidelines, assumes nearly all of the obligations of ownership of
OCC-4810-33-P 20%). Note that the use of the “as the property, therefore making the lease payments
is” phrase is specific to appraisal regulations net of any offsets or deductions and net to the lessor
pursuant to FIRREA applying to appraisals prepared or owner. In other words, the tenant pays rent for the
for regulated lenders in the United States. The entire term of the lease regardless of what happens
concept of an “as is” value is not included in the to the building, e.g.,
Standards of Valuation Practice of the Appraisal condemnation. Also called a bond-type lease.i
Bulk Warehouse Space: Industrial properties that

have less than 10 percent office space, dock high Credible: Worthy of belief. Credible assignment
doors, bay depths of 190’ and up, and ceiling heights results require support, by relevant evidence and
of 24' or greater. These facilities are typically used logic, to the degree necessary for the intended use. ii
for bulk storage, heavy manufacturing, or as large
industrial plants. Deferred Maintenance: Items of wear and tear on a
property that should be fixed now to protect the value
or income-producing ability of the property, such as a
Capital Expenditure: Investments of cash (or the broken window, a dead tree, a leak in the roof, or a
creation of liability) to acquire or improve an asset, faulty roof that must be completely replaced. These
e.g., land, buildings, building additions, site items are almost
improvements, machinery, equipment; as always curable.i
distinguished from cash outflows for expense items
that are normally considered part of the current Disposition Value: The most probable price that a
period’s operations. Also referred to as cap ex.i specified interest in property should bring under the
following conditions: 1) Consummation of a sale
Cash Equivalency: An analytical process in which within a specified time, which is shorter than the
the sale price of a transaction with nonmarket typical exposure time for such a property in that
financing or financing with unusual conditions or market. 2) The property is subjected to market
incentives is converted into a price expressed in conditions prevailing as of the date of valuation. 3)
terms of cash or its Both the buyer and seller are acting prudently and
equivalent.i knowledgeably. 4) The seller is under compulsion to
sell. 5) The buyer is typically motivated. 6) Both
Client: The party or parties who engage, by parties are acting in what they consider to be their
employment or contract, an appraiser in a specific best interests. 7) An adequate marketing effort will
assignment. The client may be an individual, group, be made during the exposure time. 8) Payment will
or entity, and may engage and communicate with the be made in cash in U.S. dollars (or the local
appraiser directly or currency) or in terms of financial arrangements
through an agent.ii comparable thereto. 9) The price represents the
normal consideration for the property sold,
Condominium: A multiunit structure, or a unit within unaffected by special or creative financing or sales
such concessions granted by anyone associated with the
a structure, with a condominium form of ownership.i sale. This definition can also be modified to provide
for valuation with specified financing terms. See also
distress sale; forced-sale price; liquidation value;
Conservation Easement: An interest in real estate market
restricting future land use to preservation, value.i
conservation, wildlife habitat, or some combination of
those uses. A conservation easement may permit
farming, timber harvesting, or other uses of a rural Distribution Space: Industrial properties that have
nature as well as some types of conservation- less than 50 percent office space, dock high doors,
oriented development to continue, subject to the and ceiling heights of 17' or greater.
easement.i
Economic Life: The period over which
Contract rent: The actual rental income specified in improvements to real estate contribute to property
a value.i
lease.i
Effective Date: 1) The date on which the appraisal
Cost Approach: A set of procedures through which or review opinion applies. (SVP) 2) In a lease
a value indication is derived for the fee simple estate document, the date upon which the lease goes into
by estimating the current cost to construct a effect.i
reproduction of (or replacement for) the existing
structure, including an entrepreneurial incentive or Effective Gross Income Multiplier (EGIM): The
profit; deducting depreciation from the total cost, and ratio between the sale price (or value) of a property
adding the estimated land value. Adjustments may and its
then be made to the indicated value of the fee simple effective gross income.i
estate in the subject property to reflect the value of
the property interest being appraised.i
Effective Rent: 1) Total base rent, or minimum rent the highest and best use of the improved parcel.
stipulated in a lease, over the specified lease term Excess land has the potential to be sold separately
minus rent concessions; the rent that is effectively and is valued separately. See also
paid by a tenant net of financial concessions provide surplus land.i
by a landlord. See also market renti; 2) The
economic rent paid by the lessee when normalized to Exposure Time: 1) The time a property remains on
account for financial concessions, such as escalation the market. 2) [The] estimated length of time the
clauses, and other factors. Contract, or normal, rents property interest being appraised would have been
must be converted to effective rents to form a offered on the market prior to the hypothetical
consistent basis of comparison between comparable consummation of a sale at market value on the
properties. effective date of the appraisal. Comment: Exposure
time is a retrospective opinion based on an analysis
Entitlement: In the context of ownership, use, or of past events assuming a competitive and open
development of estate, governmental approval for market. (USPAP, 2016-2017 ed.)
annexation, zoning, utility extensions, number of lots, See also marketing time.i
total floor area, construction permits, and
occupancy/use permits.i Extraordinary Assumption: An assumption, directly
related to a specific assignment, as of the effective
date of the assignment results, which, if found to be
Entrepreneurial Incentive: The amount an false, could alter the appraiser’s opinions or
entrepreneur expects to receive for his or her conclusions. Comment: Extraordinary assumptions
contribution to a project. Entrepreneurial incentive presume as fact otherwise uncertain information
may be distinguished from entrepreneurial profit about physical, legal, or economic characteristics of
(often called developer’s profit) in that it is the the subject property; or about conditions external to
expectation of future profit as opposed to the profit the property, such as market conditions or trends; or
actually earned on a development or improvement. about the integrity of data used in an analysis.
The amount of entrepreneurial incentive required for (USPAP, 2016-2017ed.) See also special
a project represents the economic reward sufficient assumption.i
to motivate an entrepreneur to accept the risk of the
project and to invest the time and money necessary Fair Share: That portion of total market supply
in seeing the project through to completion. See also accounted for by a subject property. For example, a
entrepreneurial profit.i 100-key hotel in
a 1,000-key market has a fair share of 10%.i
Entrepreneurial Profit: 1) A market-derived figure
that represents the amount an entrepreneur receives Fair Market Value: The fair market value is the price
for his or her contribution to a project and risk; the at which the property would change hands between
difference between the total cost of a property (cost a willing buyer and a willing seller, neither being
of development) and its market value (property value under any compulsion to buy or sell and both having
after completion), which represents the reasonable
entrepreneur’s compensation for the risk and knowledge of relevant facts. iii
expertise associated with development. An
entrepreneur is motivated by the prospect of future Fair Value: The price that would be received to sell
value enhancement (i.e., the entrepreneurial an asset or paid to transfer a liability in an orderly
incentive). An entrepreneur who successfully creates transaction between market participants at the
value through new development, expansion, measurement date. (FASB).i "Fair Value" is the cash
renovation, or an innovative change of use is price that might reasonably be anticipated in a
rewarded by entrepreneurial profit. Entrepreneurs current sale under all conditions requisite for a fair
may also fail and suffer losses. 2) In economics, the sale. A fair sale means that buyer and seller are
actual return on successful management practices; each acting prudently, knowledgeably, and under no
often identified with coordination, the fourth factor of necessity to buy or sell, other than in a forced or
production following land, labor, and capital; also liquidation sale. The appraiser should estimate the
called entrepreneurial return or entrepreneurial cash price that might be received upon exposure to
reward. the open market for a reasonable time, considering
Also see entrepreneurial incentive.i the property type and local market conditions. When
a current sale is unlikely, i.e., when it is unlikely that
Excess Land: Land that is not needed to serve or the sale can be completed within 12 months, the
support the existing use. The highest and best use appraiser must discount all cash flows generated by
of the excess land may or may not be the same as the property to obtain the estimate for fair value. The
cash flows include, but are not limited to, those structure and substructure basement; typically does
arising from ownership, development, operation, and not include garage space.i
sale of property. The discount applied shall reflect
the appraisers' judgment of what a prudent, Gross Lease: A lease in which the landlord receives
knowledgeable purchaser under no necessity to buy stipulated rent and is obligated to pay all of the
would be willing to pay to purchase the property in a property’s operating and fixed expenses; also called
current sale.iv full-service
lease.i
Fee Simple Estate: Absolute ownership
unencumbered by any other interest or estate, Highest and Best Use: 1) The reasonably probable
subject only to the limitations imposed by the use of property that results in the highest value. The
governmental powers of four criteria that the highest and best use must meet
taxation, eminent domain, police power, and are legal permissibility, physically possibility,
escheat.i financially feasibility, and maximum productivity. 2)
The use of an asset that maximizes its potential and
Floor Area Ratio (FAR): The relationship between that is possible, legally permissible, and financially
the above-ground floor area of a building, as feasible. The highest and best use may be for
described by the zoning or building code, and the continuation of an asset’s existing use or for some
area of the plot on which it stands; in planning and alternative use. This is determined by the use that a
zoning, often expressed as a decimal, e.g., a ratio of market participant would have in mind for the asset
2.0 indicates that the permissible floor area of a when formulating the price that I would be willing to
building is twice the total land area; also bid. (IVS). 3) [The] highest and most profitable use
called building-to-land ratio.i for which the property is adaptable and needed or
likely to be needed in the reasonably near future.
Going Concern Value: 1) An outdated label for the (Uniform Appraisal
market value of all the tangible and intangible assets Standards for Federal Land Acquisitions)i
of an established and operating business with an
indefinite life, as if sold in aggregate; more accurately Hypothetical Condition: A condition, directly related
termed the market value of the going concern or to a specific assignment, which is contrary to what is
market value of the total assets of the business.i 2) known by the appraiser to exist on the effective date
The value of an operating business enterprise. of the assignment results, but is used for the purpose
Goodwill may be separately measured but is an of analysis. Hypothetical conditions are contrary to
integral component of going –concern value when it known facts about physical, legal, or economic
exists and is recognizable. 3) Going concern value characteristics of the subject property; or about
is the value of a proven property operation. It conditions external to the property, such as market
includes the incremental value associated with the conditions or trends; or about the integrity of data
business concern, which is distinct from the value of used in an analysis.ii
the real estate only. Going concern value includes an
intangible enhancement of the value of an operating Income Capitalization Approach: Specific
business enterprise which is produced by the appraisal techniques applied to develop a value
assemblage of the land, building, labor, equipment, indication for an income-producing property based
and marketing operation. This process creates an on its earning capability and calculated by the
economically viable business that is expected to capitalization of property income.i
continue. Going concern value refers to the total
value of a property, including both real property and Inspection: Personal observation of the exterior or
intangible personal property attributed to the interior of the real estate that is the subject of an
business value. assignment performed to identify the property
characteristics that are relevant to the assignment,
Gross Building Area (GBA): 1) Total floor area of a such as amenities, general physical condition, and
building, excluding unenclosed areas, measured functional utility. Note that this is not the inspection
from the exterior of the walls of the above-grade process
area. This includes mezzanines and basements if performed by a licensed or certified building
and when typically included in the market area of the inspector.i
type of property involved. 2) Gross leasable area
plus all common areas. 3) For residential space, the Insurable Replacement Cost: See replacement
total space, the total area of all floor levels measured
cost
from the exterior of the walls and including the super-
for insurance purposes.i
capital associated with a projected or pro forma

Insurable Value: Insurable Value is based on the income stream. See also equity yield rate (YE);
replacement and/or reproduction cost of physical financial management rate of return (FMRR);
items that are subject to loss from hazards. Insurable modified internal rate of return (MIRR); yield rate
value is that portion of the value of an asset or asset (Y).i
group that is acknowledged or recognized under the
provisions of an applicable loss insurance policy. Investment Value: Investment value is the value of
This value is often controlled by state law and varies an investment to a particular investor based on his or
from state to state.v 2) her investment requirements. In contrast to market
A type of value for insurance purposes.i value, investment value is value to an individual, not
value in the marketplace. Investment value reflects
Intangible Assets: 1) a nonmonetary asset that the subjective relationship between a particular
manifests by its economic properties. It does not investor and a given investment. When measured in
have physical substance but grants rights and dollars, investment value is the price an investor
economic benefits to its owner. (IVS). i 2) A would pay for an investment in light of its perceived
nonphysical asset such as a franchise, trademark, capacity to satisfy his or her desires, needs, or
patent, copy-right, goodwill, equity, mineral right, investment goals. To estimate investment value,
security, and contract (as distinguished from physical specific investment criteria must be known. Criteria
assets) that grant rights and privileges, and have to evaluate a real estate investment are not
value for the owner. (ASA) i..3) An identifiable necessarily set down by the individual investor; they
nonmonetary asset without physical substance. An may be established by an expert on real estate and
asset is a resource that is controlled by the entity as its value, that is, an appraiser.v
a result of past events (For example, purchase or
self-creation) and from which future economic Just Compensation: In condemnation, the amount
benefits (inflows of cash or other assets) are of loss for which a property owner is compensated
expected. [IAS 83.8] when his or her property is taken. Just compensation
Thus, the three critical attributes of an intangible should put the owner in as good a position
asset are pecuniarily as he or she
• identifiability, would have been if the property had not been taken. i
• control (power to obtain benefits from the
asset), Lease: A contract in which rights to use and occupy
• future economic benefits (such as revenues land, space or structures are transferred by the
or reduced future costs). (IAS 38) i owner to another for a specified period of time in
return for a specified rent. See also gross lease;
Intended Use: 1) The valuer’s intent as to how the modified gross
report will be used. (SVP).ii 2) The use or uses of an lease; net lease.i
appraiser’s reported appraisal or appraisal review
assignment opinions and conclusions, as identified Leased Fee Interest: The ownership interest held by
by the appraiser based on communication with the the lessor, which includes the right to receive the
client at the time of the assignment. (USPAP, 2016- contract rent specified in the lease plus the
2017 ed.)i reversionary right when the lease expires.i
Intended User: 1) The client and any other party as

identified, by name or type, as users of the appraisal
or appraisal review report by the appraiser on the
basis of communication with the client at the time of Leasehold Interest: The right held by the lessee to
the assignment.ii 2) The party or parties the valuer use and occupy real estate for a stated term and
intends will use the report. (SVP) i 3) The client and under the conditions specified in the lease. See also
any other party as identified, by name or type, as negative
users of the appraisal or appraisal review report by
leasehold; positive leasehold.i
the appraiser on the basis of communication with the
client at the time of
the assignment. (USPAP, 2016-2017 ed.) i Liquidation Value: The most probable price that a
specified interest in real property should bring under
all of the following conditions: 1) Consummation of a
Internal Rate of Return (“IRR”): The annualized sale within a short time period. 2) The property is
yield rate or rate of return on capital that is generated subjected to market conditions prevailing as of the
within an investment or portfolio over a period of date of valuation. 3) Both the buyer and seller are
ownership. Alternatively, the indicated return on
acting prudently and knowledgeably. 4) The seller is Professional Appraisal Practice (USPAP) as follows:
under extreme compulsion to sell. 5) The buyer is A type of value, stated as an opinion, that presumes
typically motivated. 6) Both parties are acting in the transfer of a property (i.e., a right of ownership or
what they consider to be their best interests. 7) A a bundle of such rights), as of a certain date, under
normal marketing effort is not possible due to the specific conditions set forth in the definition of the
brief exposure time. 8) Payment will be made in term identified by the appraiser as applicable in an
cash in U.S. dollars (or the local currency) or in terms appraisal. Comment: Forming an opinion of market
of financial arrangements comparable thereto. 9) value is the purpose of many real property appraisal
The price represents the normal consideration for the assignments, particularly when the client’s intended
property sold, unaffected by special or creative use includes more than one intended user. The
financing or sales concessions granted by anyone conditions included in market value definitions
associated with the sale. This definition can also be establish market perspectives for development of the
modified to provide for valuation with specified opinion. These conditions may vary from definition to
financing terms.i definition but generally fall into the three categories:
1. the relationship, knowledge, and motivation of the
Load Factor: A measure of the relationship of parties (i.e., seller and buyer); 2. the terms of sale
common area to usable area and therefore the (e.g. cash, cash equivalent, or other terms); and 3.
quality and efficiency of building area layout, with the conditions of sale (e.g., exposure in a competitive
higher load factors indicating a higher percentage of market for a reasonable time prior to sale).
common area to overall rentable space than lower Appraisers are cautioned to identity the exact
load factors; calculated by subtracting the amount of definition of market value, and its authority,
usable area from the rentable area and then dividing applicable in each appraisal completed for the
the difference by the usable area: purpose of market value. (USPAP, 2016-2017 ed)
USPAP also requires that certain items be included
Load Factor = (Rentable Area – Usable Area) in every appraisal report. Among these items, the
Usable Area following are directly related to the definition of
market value:
- Identifications of the specific property rights
Also known as add-on factor.i to be appraised.
- Statement of the effective date of the value
Market Rent: The most probable rent that a property opinion.
should bring in a competitive and open market - Specification as to whether cash, terms
reflecting all conditions and restrictions of a specified equivalent to cash, or other precisely
lease agreement, including the rental adjustment and described financing terms are assumed as
revaluation, permitted uses, use restrictions, the basis of the appraisal.
expense obligations; term, concessions, renewal and - If the appraisal is conditioned upon financing
purchase options, and tenant improvements (TIs). i or other terms, specification as to whether
the financing or terms are at, below, or
Market Share: The portion of a trade area’s potential above market interest rates and/or contain
(e.g., retail sales to be generated, office space to be unusual conditions or incentives. The terms
absorbed) that can be attributed to a particular of above- or belowmarket interest rates
property; based on the property’s competitive and/or other special incentives must be
strength relative to its competitors. clearly set forth; their contribution to, or
negative influence on, value must be
Market Value. A type of value that is the major focus described and estimated; and the market
of most real property appraisal assignments. Both data supporting the opinion of value must be
economic and legal definitions of market value have described and explained.
been developed and refined, such as the following.* 3) The following definition of market value is
1) The most widely accepted components of market used by agencies that regulate federally insured
value are incorporated in the following definition: The financial institutions in the United States: The most
most probable price, as of a specified date, in cash, probable price that a property should bring in a
or in terms equivalent to cash, or in other precisely competitive and open market under all conditions
revealed terms, for which the specified property requisite to a fair sale, the buyer and seller each
rights should sell after reasonable exposure in a acting prudently and knowledgeably, and assuming
competitive market under all conditions requisite to a the price is not affected by undue stimulus. Implicit in
fair sale, with the buyer and seller each acting this definition is the consummation of a sale as of a
prudently, knowledgeably, and for selfinterest, and specified date and the passing of title from seller to
assuming that neither is under duress. 2) Market buyer under conditions whereby:
value is described in the Uniform Standards of - Buyer and seller are typically motivated;
- Both parties are well informed or well physically and legally exists without hypothetical
advised, and acting in what they consider conditions, assumptions, or qualifications as of the
their best interests; date of appraisal.
- A reasonable time is allowed for exposure in
the open market; Market Value of the Total Assets of the Business
- Payment is made in terms of cash in U.S. (MVTAB): The market value of all of the tangible and
dollars or in terms of financial arrangements intangible assets of a business as if sold in
comparable thereto; and aggregate as a going concern. i
- The price represents the normal
consideration for the property sold Marketing Time: An opinion of the amount of time it
unaffected by special or creative financing or might take to sell a real or personal property interest
sales concessions granted by anyone at the concluded market value level during the period
associated with the sale. (12 C.F.R. Part immediately after the effective date of an appraisal.
34.42(g); 55 Federal Register 34696, August Marketing time differs from exposure time, which is
24, 1990, as amended at 57 Federal always presumed to precede the effective date of an
Register 12202, April 9, 1992; 59 Federal appraisal. (Advisory Opinion 7 of the Appraisal
Register 29499, June 7, 1994). Standards Board of The Appraisal Foundation and
4) The International Valuation Standards Statement on Appraisal Standards No. 6,
Council defines market value for the purpose of “Reasonable Exposure Time in Real Property and
international standards as follows: The estimated Personal Property Market Value Opinions” address
amount for which an asset or liability should the determination of reasonable exposure and
exchange on the valuation date between a willing marketing time.) See also exposure time.i
buyer and a willing seller in an arm’s-length
transaction, after proper marketing where the parties Modified Gross Lease: A lease in which the
had each acted knowledgeably, prudently, and landlord receives stipulated rent and is obligated to
without compulsion. (IVS) 5) The Uniform Standards pay some, but not all, of the property’s operating and
for Federal Land Acquisitions defines market value fixed expenses. Since assignment of expenses
as follows: Market value is the amount in cash, or in varies among modified gross leases, expense
terms reasonably equivalent to cash, for which in all responsibility must always be specified. In some
probability the property would have sold on the markets, a modified gross lease may be called a
effective date of the appraisal, after a reasonable double net lease, net net lease, partial net lease, or
exposure time on the open competitive market, from semi-gross lease. See also gross lease; lease;
a willing and reasonably knowledgeable seller to a net lease.i
willing and reasonably knowledgeable buyer, with
neither acting under any compulsion to buy or sell,
giving due consideration to all available economic Net Lease: A lease in which the landlord passes on
uses of the property at the time of the appraisal. all expenses to the tenant. See also gross lease;
(Uniform Standards for Federal Land modified
Acquisitions)i *For further discussion of this term, see gross lease.i
The Appraisal of Real Estate, 14th ed. (Chicago: Appraisal
Institute 2013), 58-60. Net Rentable Area (NRA): 1) The area on which
rent is computed. 2) The Rentable Area of a floor
Market Value "As If Complete" On The Appraisal shall be computed by measuring to the inside
Date: Market value as if complete on the appraisal finished surface of the dominant portion of the
date is an estimate of the market value of a property permanent outer building walls, excluding any major
with all construction, conversion, or rehabilitation vertical penetrations of the floor. No deductions shall
hypothetically completed, or under other specified be made for columns and projections necessary to
hypothetical conditions as of the date of the the building. Include space such as mechanical
appraisal. With regard to properties wherein room, janitorial room, restrooms, and lobby of the
anticipated market conditions indicate that stabilized floor.vi
occupancy is not likely as of the date of completion,
this estimate of value should reflect the market value Occupancy Rate: 1) The relationship or ratio
of the property as if complete and prepared for between the potential income from the currently
occupancy by tenants. rented units in a property and the income that would
be received if all the units were occupied. 2) The
Market Value "As Is" On The Appraisal Date: ratio of occupied space to
Market value “as is” on the appraisal date is an total rentable space in a building.i
estimate of the market value of a property in the
condition observed upon observation and as it
Penetration Ratio (Rate): The rate at which stores Real Property: 1) An interest or interests in real
obtain sales from within a trade area or sector estate. 2) The interests, benefits, and rights inherent
relative to the number of potential sales generated; in the ownership of real state. Comment: In some
usually applied to jurisdictions, the terms real estate and real property
existing facilities; also called penetration factor.i have the same legal meaning. The separate
definitions recognize the traditional distinction
Personal Property: 1) The interests, benefits, and between the two concepts in appraisal theory.
rights inherent in the ownership of tangible objects (USPAP, 2016-2017 ed.) 3) all rights, interests, and
that are considered by the public as being personal; benefits related to the ownership of real estate. (IVS)
also called tangible personal property. 2) Identifiable See also personal property; real estate.i
tangible objects that are considered by the general
public as being “personal” -for example, furnishings, Reconciliation: A phase of a valuation assignment
artwork, antiques, gems and jewelry, collectibles, in which two or more value indications are processed
machinery and equipment; all tangible property that into a value opinion, which may be a range of value,
is not classified as real estate. (USPAP, 2016-2017 a single point estimate, or a reference to a
ed.)i benchmark value. See
also final reconciliation.i
Prospective Market Value “As Completed” and
“As Stabilized”: A prospective market value may be Remaining Economic Life: The estimated period
appropriate for the valuation of a property interest during which existing improvements are expected to
related to a credit decision for a proposed contribute economically to a property; an estimate of
development or renovation project. According to the number of years remaining in the economic life of
USPAP, an appraisal with a prospective market the structure or structural components as of the
value reflects an effective date that is subsequent to effective date of the appraisal; used in the economic
the date of the appraisal report. Prospective value age-life method of
opinions are intended to reflect the current estimating depreciation.i
expectations and perceptions of the market
participants, based on available data. Two Rentable Area: For office buildings, the tenant’s pro
prospective value opinions may be required to reflect rata portion of the entire office floor, excluding
the time frame during which development, elements of the building that penetrate through the
construction, and occupancy will occur. The floor to the areas below. The rentable area of a floor
prospective market value -as completed- reflects the is computed by measuring to the inside finished
property’s market value as of the time that surface of the dominant portion of the permanent
development is expected to be completed. The building walls, excluding any major vertical
prospective market value -as stabilized- reflects the penetrations of the floor. Alternatively, the amount of
property’s market value as of the time the property is space on which the rent is based; calculated
projected to achieve stabilized occupancy. For an according to local practice.i
income-producing property, stabilized occupancy is
the occupancy level that a property is expected to
Replacement Cost: The estimated cost to construct,
achieve after the property is exposed to the market
at current prices as of a specified date, a substitute
for lease over a reasonable period of time and at
for a building or other improvements, using modern
comparable terms and conditions to other similar
materials and current standards, design, and layout. i
properties. (See USPAP Statement 4* and Advisory
Opinion 17.) (Interagency
Appraisal and Evaluation Guidelines).i Replacement Cost For Insurance Purposes: The
estimated cost, at current prices as of the effective
date of valuation, of a substitute for the building
Real Estate: 1) An identified parcel or tract of land, being valued, using modern materials and current
including improvements, if any. (USPAP, 2016-2017 standards, design, and layout for insurance coverage
ed) 2) Land and all things that are a natural part of purposes guaranteeing that damaged property is
the land (e.g., trees, mineral) and things that have replaced with new
been attached to the land (e.g., buildings and site
property (i.e., depreciation is not deducted).i
improvements) and all permanent building
attachments (e.g., mechanical and electrical plant
providing services to a building) that are both below Reproduction Cost: The estimated cost to
and above ground. (IVS) See also real construct, at current prices as of the effective date of
property.i the appraisal, an exact duplicate or replica of the
building being appraised, using the same materials,
construction standards, design, layout, and quality of
workmanship and embodying all the deficiencies,
superadequacies, and obsolescence of the subject excessive construction costs, e.g., a premium paid
building.i due to a temporary shortage of supply.
Restricted Use Appraisal Report: A written report Stabilized Income: 1) An estimate of income, either
prepared under Standards Rule 2-2(b) 8-2(b), or 10- current or forecasted, that presumes the property is
2(b) of the Uniform Standards of Professional at stabilized occupancy. 2) The forecast of the
Appraisal subject property’s yearly average income (or
Practice.ii average-equivalent income) expected for the
economic life of the subject property; 3) projected
Retrospective Value Opinion: A value opinion income that is subject to change but has been
effective as of a specified historical date. The term adjusted to reflect an equivalent, stable annual
retrospective does not define a type of value. income.i
Instead, it identifies a value opinion as being
effective at some specific prior date. Value as of a Substitution: The appraisal principle that states that
historical date is frequently sought in connection with when several similar or commensurate commodities,
property tax appeals, damage models, lease goods, or services are available, the one with the
renegotiation, deficiency judgments, estate tax, and lowest price will attract the greatest demand and
condemnation. Inclusion of the type of value with this widest distribution. This is the primary principle upon
term is appropriate, e.g., “retrospective market value which the
opinion”.i cost and sales comparison approaches are based.i
Sales Comparison Approach: The process of Superadequacy: An excess in the capacity or

deriving a value indication for the subject property by quality of a structure or structural component;
comparing sales of similar properties to the property determined by
being appraised, identifying appropriate units of market standards.i
comparison, and making adjustments to the sale
prices (or unit prices, as appropriate) of the Surplus Land: Land that is not currently needed to
comparable properties based on relevant, market- support the existing use but cannot be separated
derived elements of comparison. The sales from the property and sold off for another use.
comparison approach may be used to value Surplus land does not have an independent highest
improved properties, vacant land, or land being and best use and may or may not contribute value to
considered as though vacant when an adequate the improved parcel. See
supply also excess land.i
of comparable sales is available.i
Triple-Net Lease: A lease in which the tenant
Scope of Work: The type and extent of research assumes all expenses (fixed and variable) of
and analyses in an appraisal or appraisal review operating a property except that the landlord is
assignment.ii responsible for structural maintenance, building
reserves and management. Also called NNN, net net
Shell Rent: The typical rent paid for retail, office, or net lease, or fully net lease. See also lease; net
industrial tenant space based on minimal “shell” lease.i
interior finishes (called vanilla finish or white wall in
some areas). Usually the landlord delivers the main Usable Area: 1) The area actually used by individual
building shell space or some minimum level of tenants. 2) The Usable Area of an office building is
interior build-out, and the tenant completes the computed by measuring to the finished surface of the
interior finish, which can include wall, ceiling, and office side of corridor and other permanent walls, to
floor finishes; mechanical systems, interior electricity, the center of partitions that separate the office from
and plumbing. Typically these are longterm leases adjoining usable areas, and to the inside finished
with tenants paying all or most property expenses.i surface of the dominant portion of the permanent
outer building walls. Excludes areas such as
Stabilized Value: A value opinion that excludes from mechanical rooms, janitorial room, restrooms, lobby,
consideration any abnormal relationship between and any major vertical
supply and demand such as is experienced in boom penetrations of a multi-tenant floor.vii
periods when cost and sale price may exceed the
long-term value, or during periods of depression, Use Value: The value of a property assuming a
when cost and sale price may fall short of long-term specific use; which may or may not be the property’s
value. It is also a value opinion that excludes from highest and best use on the effective date of the
consideration any transitory condition that may cause
appraisal. Use value may or may not be equal to

market value but is different conceptually. See also
value in use.i
Value Indication: A valuer’s conclusion of value

resulting from the application of an approach to
value, e.g., the
value indication by the sales comparison approach. i
Value in Use: The value of a property assuming a

specific use; which may or may not be the property’s
highest and best use on the effective date of the
appraisal. Value in use may or may not be equal to
market value but is different conceptually. See also
use value.i
i
The Dictionary of Real Estate Appraisal,
Sixth Ed. (Chicago: Appraisal Institute,
2015) ii Uniform Standards of Professional
Appraisal Practice, 2018-2019, The
Appraisal Foundation,
p.U-4 iii Section 1.170A-1 (c)(2), Income
Tax Regulations
iv
Section 1.170A-1 (c)(2), Income Tax
Regulations
v
The Appraisal of Real Estate, 10th ed.
(Chicago: Appraisal Institute, 1992) vi
1990 BOMA Experience Exchange Report,
Income/Expense Analysis for Office
Buildings (Building Owners and Managers
Association,
1990) vii 2000 BOMA Experience Exchange
Report, Income/Expense Analysis for Office
Buildings (Building Owners and Managers
Association,
2000)
PROFESSIONAL QUALIFICATIONS
George P. Galphin, Jr., MAI

Chattahoochee Valuation Group, LLC
500 Pirkle Ferry Road, Suite A Cumming,
Georgia 30040
770-886-4454, Ext. 22
PROFESSIONAL AFFILIATIONS
MAI, The Appraisal Institute (No. 11350)
Georgia Certified Real Estate Appraiser (No. 2134)
State of Alabama Certified General Real Property Appraiser (No. G01240)
State of North Carolina Certified General Real Property Appraiser (No. A7948)
State of South Carolina Certified General Real Property Appraiser (No. 7294)
State of Tennessee Certified General Real Property Appraiser (No. 4312)
Georgia Environmental Restoration Association
Georgia Licensed Real Estate Salesperson (Inactive)
EXPERIENCE
July 2013 to Present President
Chattahoochee Valuation Group, LLC, Cumming, Georgia
Oct. 1996 to July 2013 President – GA 400 Office

Metro Appraisals, Inc. – GA 400 Office, Cumming, Georgia
Oct. 1991 to Oct. 1996 Associate Appraiser

Weibel & Associates, Inc., Atlanta, Georgia
Jan. 1990 to Oct. 1991 Vice President Land Brokerage

Property Systems Land Corporation, Atlanta, Georgia
Aug. 1989 to Dec. 1989 Sales Associate

Wood & Company, Atlanta, Georgia
June 1988 to Aug. 1989 Sales Associate/Research Coordinator

Property Systems Corp., Atlanta, Georgia
Experience includes appraisals, review analyses, consultations, expert testimony, litigation support and
marketability/feasibility studies for the following property types:
apartments, automotive sales and service facilities, branch banks, churches, commercial buildings, conservation
easements, day care centers, gas/convenience stores, golf courses, hotels/motels, industrial buildings, industrial
parks, marinas, medical buildings, mini-warehouses, mitigation banks, mixed and planned use developments,
office parks/buildings, poultry farms, recreational facilities, residential subdivisions, restaurants, right-of-way
acquisitions, senior housing, shopping centers, single-family residential, timber land, vacant land, warehouses.
EDUCATION
BBA in Real Estate, University of Georgia
The Appraisal Institute:
Course 110-Appraisal Principles Business Practices and Ethics

Course 120-Appraisal Procedures Analyzing Distressed Real Estate
Course 310-Basic Income Capitalization Real Estate Finance, Value, and Investment
Performance
Course 410-Standards of Professional Practice, Introduction to GIS Applications for Real
USPAP Part A Estate Appraisal
Course 420-Standards of Professional Practice, Separating Real & Personal Property from
USPAP Part B Intangible Business Assets
Course 430-Standards of Professional Practice, Partial Interest Valuation – Divided
USPAP Part C
Course 510-Advanced Income Eminent Domain and Condemnation
Capitalization
Course 540-Report Writing and Valuation Residential Development: Valuation Trends,
Analysis Issues, Challenges
Course 550-Advanced Applications Subdivision Valuation
Course 720-Condemnation Appraising: Apartment Appraisal, Concepts &
Advanced Topics and Applications Applications
Litigation Appraising: Specialized Topics and Small Hotel/Motel Valuation
Applications
Appraising Convenience Stores Analyzing Commercial Lease Clauses
Feasibility Analysis, Market Value & Fundamentals of Separating Real
Investment Timing Property, Personal Property & Intangible
Business Assets
Valuation of Conservation Easements Federal Land Exchanges and Acquisitions
Marketability Studies: Six-Step Process & Basic Complex Litigation Appraisal Case Studies
Applications
Analyzing Operating Expenses Condemnation Appraising: Principles &
Applications
Forest Valuation for Non-Foresters Supervisory Appraiser/Trainee Appraiser
Course
STATE OF GEORGIA
REAL ESTATE APPRAISERS BOARD
GEORGE P GALPHIN, JR
2134
IS AUTHORIZED TO TRANSACT BUSINESS IN GEORGIA AS A
CERTIFIED GENERAL REAL PROPERTY APPRAISER
THE PRIVILEGE AND RESPONSIBILITIES OF THIS APPRAISER CLASSIFICATION SHALL CONTINUE IN EFFECT AS LONG
AS THE APPRAISER PAYS REQUIRED APPRAISER FEES AND COMPLIES WITH ALL OTHER REQUIREMENTS OF THE
OFFICIAL CODE OF GEORGIA ANNOTATED, CHAPTER 43-39-A. THE APPRAISER IS SOLELY RESPONSIBLE FOR THE
PAYMENT OF ALL FEES ON A TIMELY BASIS.
D. SCOTT MURPHY JEANMARIE HOLMES
Chairperson WILLIAM A. MURRAY
KEITH STONE
JEFF A. LAWSON
Vice Chairperson
53532737
GEORGE P GALPHIN, JR ORIGINALLY LICENSED

12/06/1991
# 2134
Status ACTIVE END OF RENEWAL
11/30/2020
CERTIFIED GENERAL REAL PROPERTY
APPRAISER
THIS LICENSE EXPIRES IF YOU FAIL TO PAY

RENEWAL FEES OR IF YOU FAIL TO COMPLETE ANY
REQUIRED EDUCATION IN A TIMELY MANNER.
State of Georgia
Real Estate Commission
Suite 1000 - International Tower
229Peachtree Street, N.E.
Atlanta, GA 30303-1605 LYNN DEMPSEY
Real Estate Commissioner
53532737
GEORGE P GALPHIN, JR ORIGINALLY LICENSED

12/06/1991
# 2134
Status ACTIVE END OF RENEWAL
11/30/2020
CERTIFIED GENERAL REAL PROPERTY
APPRAISER
THIS LICENSE EXPIRES IF YOU FAIL TO PAY

RENEWAL FEES OR IF YOU FAIL TO COMPLETE ANY
REQUIRED EDUCATION IN A TIMELY MANNER.
State of Georgia
Real Estate Commission
Suite 1000 - International Tower
229Peachtree Street, N.E.
Atlanta, GA 30303-1605 LYNN DEMPSEY
Real Estate Commissioner
53532737
Report Version 8 Generated on 10/2/2019 at 3:57:45 PM
PROFESSIONAL QUALIFICATIONS
Katherine Jarvis
Chattahoochee Valuation Group, LLC
500 Pirkle Ferry Road, Suite A
Cumming, Georgia 30040
770-886-4454, Ext. 21
PROFESSIONAL ORGANIZATIONS
State Trainee Registered Real Estate Property Appraiser – Georgia License No. 376706
EXPERIENCE
Nov. 2019 to Present Chattahoochee Valuation Group, LLC, Cumming, GA
Trainee Appraiser
2017 to Nov. 2019 Atlanta Fine Homes and Sotheby’s International

Realty Marietta, GA; Licensed Real Estate Specialist
2017 to Nov. 2019 Re/Max Around Atlanta, Sandy Springs, GA

Licensed Real Estate Specialist
2017 to 2018 Rego Appraisals, Atlanta, GA

Registered Residential Appraiser
2017 to 2018 Baldwin & Hufstetler Real Estate Appraiser, Atlanta,

GA
Registered Residential Appraiser
EDUCATION
Kennesaw State University, Kennesaw, Georgia, Bachelor's Degree
Dean's List - 2010

Mack Wilbourn, 4337-4379 Austell RD, Appraisal

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Iberia Bank File #: 20 -000285 -01-1

6.56 Acres Located at

BASED ON MARKET CONDITIONS AS OF

February 14, 2020

Mr. Steven Marcioni

February 28, 2020

Mr. Steven Marcioni

Dear Mr. Marcioni:

AS IS MARKET VALUE OPINION

NINE HUNDRED TWENTY THOUSAND DOLLARS

EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS

We certify that, to the best of my knowledge and belief:

George P. Galphin, Jr., MAI Katherine R. Jarvis

SUMMARY OF SALIENT DATA AND CONCLUSIONS

Client Identification: Iberia Bank File #: 20-000285-01-1

Location: 4337-4379 Austell Road SW (GA 5), Northwestern Metropolitan

Land Area: 6.56 Acres (285,754 Square Feet)

Property Rights Appraised: Fee Simple Interest

As Is Market Value Opinion: $920,000

Exposure Time: 12 months or less

Marketing Period: 12 months or less

Inspection Date: February 14, 2020

Appraisal Date: February 14, 2020

Report Date: February 28, 2020

This report is subject to the following limiting conditions:

4. No responsibility is assumed for matters legal in character.

5. Sketches are accurate only for purposes of approximation.

REGIONAL AREA MAP AERIAL IMAGE

TERMS AND DEFINITIONS

CLIENT, INTENDED USER, PURPOSE AND INTENDED USE OF APPRAISAL

PROPERTY INTEREST APPRAISED

EFFECTIVE DATE OF THE APPRAISAL

REGULATORY COMPLIANCE AND REPORTING FORMAT

EXTRAORDINARY ASSUMPTIONS AND HYPOTHETICAL CONDITIONS

SCOPE OF THE APPRAISAL & ASSIGNMENT CONDITIONS

REGIONAL AREA MAP

REGIONAL AND NEIGHBORHOOD DESCRIPTION

METROPOLITAN ATLANTA OVERVIEW

According to the Atlanta Chamber of

The exhibit to the right indicates that

Atlanta MSA Unemployment 6-Year History and YTD

Jasper 8.30% 6.60% 5.40% 4.70% 4.30% 3.70% 3.50% -5.71 %

Metropolitan Atlanta Fortune 500 Companies

United Parcel Service 41 AGCO Corporation 335

Atlanta Region Population By County

ATLANTA REAL ESTATE MARKETS

Further, Atlanta has become the nation’s only

The number of containers arriving at US

RECREATION AND CULTURE

Atlanta is also the site of the world’s largest aquarium at

NEIGHBORHOOD PATTERNS AND TRENDS

IMMEDIATE SUBJECT AREA

Direction Land Uses

SPECIFIC SUBJECT ACCESS

Site Size: 6.56 Acres (285,754 square feet).

Frontage: Austell Road SW (GA 5) – approximately 627.00 feet.

Traffic Counts: Austell Road SW (GA 5) – 38,200 vehicles per day.

Based on a conversation with a civil engineer with experience in such issues,

Forestation: The tract is mostly wooded.

FLOOD PLAIN MAP

REAL ESTATE TAXES

Total Tax Value

View Looking North along Austell Road, Subject on the Right