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HomeMy WebLinkAboutRes 2023-03-1399 Authorizing the City Manager to Execute Documents for the purchse of Right-of-Way for Leonard AvenueCITY OF ANNA, TEXAS RESOLUTION NO. 20 2-15- 0 3 — 13(lcl A RESOLUTION OF THE CITY OF ANNA, TEXAS AUTHORIZING THE CITY MANAGER TO EXECUTE A PURCHASE SALE AGREEMENT AND CLOSING DOCUMENTS, IN A FORM APPROVED BY THE CITY ATTORNEY, FOR THE PURCHASE OF REAL PROPERTY LOCATED AT WEST LINE OF LEONARD AVENUE (CR 422), ANNA, TEXAS 75409; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, The City of Anna Capital Improvement Plan includes proposed improvements to Leonard Avenue, North of East Foster Crossing Road; and, WHEREAS, the City of Anna is seeking to purchase a portion of real property (0.455 acres) located on the West Line of Leaonard Avenue (CR 422) for use as public right-of- way; and, WHEREAS, the City has determined it to be in the public interest for the City to purchase a portion of the 2.89 acres tract of land located at 3020 County Road 422; and, WHEREAS, the City Attorney shall review and approve all agreements and contracts for the purchase of 0.455 acres prior to execution by the City Manager; and, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ANNA, TEXAS THAT: Section 1. Recitals Incorporated The recitals above are incorporated herein as if set forth in full for all purposes. Section 2. Authorization of Agreement and Funding. That the City Council of the City of Anna hereby authorizes the City Manager to execute a purchase sale agreement and closing documents for the purchase of 0.455 acres on West Line of Leonard Avenue (CR 422) in the amount of $191,000 plus closing costs. That funding for the purchase shall come from Roadway Impact Fees. PASSED AND APPROVED by the City Council of the City of Anna, Texas on this day of March 2023. ATTEST: QJylzC' • C'xa'-e City Secretary, Carrie Land APPROVED: Mayor, Nate Pike DocuSign Envelope ID: SOCOF36B-C8EE-4CCF-AOEA-00228D17COCB 1Z TEXAS REALTORS REGISTRATION AGREEMENT BETWEEN BROKERS USE OF THIS FORMBY PERSONS WHO ARE NOT MEMBERS OF THE TE) SASSOCIATION OF REALTORSO, INC. IS NOT AUTHORIZED. OTexas Association of REALTORSO, Ind., M03 1. PARTIES: The parties to this agreement are: Listing/Principal Broker: HomeSmart Stars Address: 6717 Legacy Parkway, Suite 250 City, State, Zip: Plano, TX 76024 Phone:(972)965-7611 Fax: E-Mail: Malea.AdamskiCQgmail.com Cooperating Broker. SLS Specialty Land Services, LLC Address: 1341 S Preston Road City, State, Zip: Celina, TX 76009 Phone:(972)679-9488 Fax: E-Mail: buddy0specialtyland.com 2. PROPERTY: "Property" means the following real property In Texas, together with all its improvements and fixtures: Address: 3020 County Road 422 City: Anna County:Collin Zip: 75409 Legal Description (identify exhibit if described on attachment): ABS A0798 G Stark Survey, Sheet 2, Tract 65, 2.89 Acres. Easement right of way of 0.455 Acres 3. REGISTRATION: Broker registers SLS Specialty Land Services, LLC, Buddy Minett, Realtor, President (Prospect) with Listing/Principal Broker. Listing/Principal Broker represents the owner of the Property and Cooperating Broker represents Prospect. 4. COOPERATING BROKER'S FEE: Listing/Principal Broker is not obligated to pay Cooperating Broker a fee until such time as Cooperating Broker's fee is earned and payable. Cooperating Broker's fees are earned when Prospect enters into a binding agreement to buy or lease all or part of the Property at any price. Cooperating Broker's fees are payable in the amounts stated below at the specified times. A. Sales: (1) If Prospect enters into a binding agreement to buy all or part of the Property at any price on or before , Listing/Principal Broker will pay Cooperating Broker a fee equal to: B(a) % of the sales price. X (b) $0 from HomeSmart Stars to buyer agent, City of Anna will pay the buyer agent per the contract . (2) The fee is payable when Listing/Principal Broker receives Listing/Principal Broker's fee under a separate agreement with the owner of the Property. Any escrow or closing agent may pay Cooperating Broker's fee from Listing/Principal Broker's fee at closing. B. Leases: (1) Primary Lease: (a) If Prospect leases all or part of the Property on or before Listing/Principal Broker will pay Cooperating Broker a fee equal to: (1) % of all rents to be paid for the term of the lease. (2) /DDS BIT (TXR-2402) 1-2-03 t; k Page 1 of 2 IleneS.,151enRealln5717 U,.,, Ddve5d11350P1ane,7X75024 Phone: 972457611 Fat Al,nrmmr. mewr Alalen Ada,lnkl Pmdacedwidl Lane AW TranswiansolpFoan ES19m) 717 N Herod St, SWe 220q Betas, Tx 75201 w hYd(MM DocuSign Envelope ID: 8000F38B-C8EE-4CCF-AOEA-00228D17COCB 3020 County Road 422 Registration Agreement concerning (b) The fee under Paragraph 413(1) is payable when Listing/Principal Broker receives Listing/Principal Broker's fee under a separate agreement with the owner of the Property according to the following schedule: e(1) In one payment upon (2) in two payments as follows: one-half of the fee at the time the lease is executed and the remainder on the date the lease commences. ❑ (3) (2) Renewals: (a) If Prospect leases all or part of the Property and subsequently extends, renews, or expands the lease (including new leases for more, less, or different space In the same building or complex for commercial properties), Listing/Principal Broker will pay Cooperating Broker a fee equal to: (1) % of all rents to be paid for the term of the extension, renewal, or expansion. (2) (b) The fee under this Paragraph 4B(2) is payable when Listing/Principal Broker receives Listing/Principal Broker's fee for the extension, renewal, or expansion under a separate agreement with the owner of the Property. This Paragraph 4B(2) survives termination of this agreement. (3) Subsequent Sale to a Tenanl: (a) If Prospect leases all or part of the Property and later agrees to buy all or part of the Property within the term of the lease or within 180 days after the date the lease ends, Listing/Principal Broker will pay Cooperating Broker a fee equal � to: p (1) a of the gross sales price. (2) (b) The fee under this Paragraph 4B(3) is payable at the time Listing/Principal Broker receives Listing/Principal Broker's fee under a separate agreement with the owner of the Property. This provision survives termination of this agreement- C. Related Parties: If a related party of Prospect agrees to buy or lease all or part of the Property within the term of this agreement, Cooperating Broker will be entitled to all compensation under this agreement as if Prospect had acquired the Property. "Related party" means any assignee of Prospect, any family member or relation of Prospect, any officer, director, or partner of Prospect, any entity owned or controlled, in whole or part, by Prospect, and any entity that owns or controls Prospect, in whole or part. 6. ADDENDA: Addenda made part of this agreement are: Broker: HomeSmartStars Date: February 17, 2023 Cooperating Broker: SLS Specialty Land Services, LLC By: Printed Name & Title: Buddy Minett Realtor, President Date: February 17, 2023 (TXR-2402) 1-2-03 Page 2 of 2 nome Sianri Sinn Rutty, 0171x6nq Drive Suite 250 Plane. TX 75ON Phano: 9724667611 F. 616H.Imy-11n1er Maine Adn,nsid Produced vdih Lone Wolf Transedians(zipFw Edition) 717 N HemSi, Suite 220Q Wine, TX 76201 1Igagffixu DocuSign Envelope ID: BOCOF36B-C8EE-4CCF-AOEA-00228017COCB PURCHASE AND SALE AGREEMENT SELLER: RICHARD AND CATHERINE McMINIMY ADDRESS: 3020 County Rd 422 Anna, TX 75409 PURCHASER: City of Anna, Texas, a home -rule municipality ADDRESS: City of Anna TX 120 W. 7"' St. Anna TX 75409 PROPERTY: All of the property rights described and identified in the Conveyance Documents attached hereto in Exhibit A. and incorporated herein for all purposes, generally described as Fee Simple Right of 'Way (0.455f acres), together with all improvements thereon (if any), and all rights, titles and interests appurtenant to the foregoing. EFFECTIVE DATE: The Effective Date for purposes of this Agreement shall be the date this Purchase and Sale Agreement is executed by the later to sign of Purchaser or Seller. If either party fails to date this Agreement upon execution, the Effective Date shall be on the date indicated by the other party's signature to the Agreement. CLOSING DATE: 30 days after the Effective Date, or other date as determined by Purchaser. PURCHASE PRICE: $191,000.00 to be in immediately available funds for deposit to Seller's account provided that Seller submits appropriate wiring instructions to Purchaser. 1. Sale and Purchase. Seller agrees to sell, and Purchaser agrees to purchase, the Property as provided in this Agreement. 2. Closing. The closing of the purchase and sale of the Property (the "Closing") shall occur on the Closing Date in the offices of Independence Title of McKinney (Avery Warren, Escrow Officer and Signatory). (a) At the Closing, Seller shall deliver to Purchaser fully executed and notarized original of the Right of Way Deed, the "Conveyance Document") in the form attached hereto as Exhibit A, conveying title to the Property to Purchaser, subject to all easements, restrictions, reservations and covenants of record as of the date of Closing, with all necessary and appropriate lienholder consents as required by Purchaser in its sole discretion. (b) At the Closing, Purchaser shall deliver to Seller the Purchase Price. Purchase and Sale Agreement Page 1 of 6 329461 DocuSign Envelope ID: BOCOF36B-C8EE-4CCF-AOEA-002281)17COCB 3. Expenses. Each party shall bear the expenses of its own consultants, attorneys and advisors. 4. Representations and Covenants. Purchaser represents and warrants that: (a) Purchaser is the sole owner of the Property and no other person or entity is required to be a party to this Agreement for it to be binding and enforceable; (b) there are no liens, attachments or other encumbrances that affect the title or right of the Seller to sell and convey the property and interests in the Property for the purposes described herein; (c) Seller acknowledges that Purchaser prepared the form of the Conveyance Documents, but that Purchaser is not, under any circumstance, waiving or releasing its right to require Seller to convey the property and interests made the subject of the Conveyance Documents or any other property and interests pursuant to Purchaser's condemnation authority. The representation and covenants made in this Section 4 shall survive the Closing. S. Remedies. If Purchaser fails to consummate the acquisition of the Property in breach of this Agreement, Seller may seek specific performance as its sole and exclusive remedy. If Seller defaults, Purchaser may seek the following remedies, in addition to Purchaser's other rights and remedies: (a) to terminate this Agreement and recover all amounts paid by Purchaser to Seller hereunder, (b) to enforce specific performance of this Agreement, and/or (c) to waive such breach and proceed to Closing without any reduction in the Purchase Price. 6. Notices. All notices and other communications required and permitted hereunder shall be in writing and shall be deemed delivered, whether received or not, on the earlier of (a) actual receipt if delivered in person, or by messenger with receipt of delivery, or (b) receipt of an electronic facsimile transmission with confirmation of delivery; or (c) upon confirmation of delivery if sent by nationally -recognized overnight delivery service (e.g., Federal Express); or (d) three days after deposit with the United States Postal Service, registered or certified mail, postage prepaid, return receipt requested, addressed to the intended recipient, at the address for such party set forth above or at such other address as a party hereto may specify by notice in compliance with the requirements of this paragraph. 7. Condemnation Procedures/Rights Waiver. PROVIDED THE SALE OF THE PROPERTY IS CONSUMMATED PURSUANT TO THE TERMS OF THIS AGREEMENT, AS ADDITIONAL CONSIDERATION FOR THE BENEFITS SELLER IS, RECEIVING UNDER THIS AGREEMENT, SELLER HEREBY RELEASES PURCHASER FROM AND AGAINST, AND WAIVES, ANY ALL RIGHTS TO OR CLAIM FOR ANY RELIEF UNDER CHAPTER 2206 OF THE TEXAS GOVERNMENT CODE, AS AMENDED, AND/OR CHAPTER 21 OF THE TEXAS PROPERTY CODE, AS AMENDED, ARISING OUT OF ANY ACTS OR OMISSIONS UNDER THIS AGREEMENT. THIS SECTION 7 SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT. 8. Miscellaneous. (a) Entire Agreement. This Agreement embodies the entire agreement between the parties and supersedes all prior agreements and understandings relating to the Purchase and Sale Agreement Page 2 DocuSign Envelope ID: 8000F36B-C8EE-4CCF-AOEA-00228D17COCB Property. This Agreement may be amended or supplemented only by an instrument in writing executed by the party against whom enforcement is sought. All exhibits hereto are incorporated herein by this reference for all purposes. (b) Modifications. This Agreement may only be modified by a written document signed by both parties. (c) Assigns; Beneficiaries. This Agreement shall inure to the benefit of and be binding on the panties hereto and their respective heirs, legal representatives, successors, and permitted assigns. Neither party hereto may assign its rights under this Agreement without first obtaining the consent of the other party hereto. (d) Time of the Essence. Time is of the essence in the performance of each and every obligation and covenant contained in this Agreement. (e) .Attorneys' Fees. In the event either party hereto employs an attorney in connection with claims by one party against the other arising from the operation of this Agreement, the non -prevailing party shall pay the prevailing party all reasonable fees and expenses, including attorneys' fees, incurred in connection with such transaction. ( Governing Law. The laws of the State of Texas shall govern the interpretation, validity, performance and enforcement of this Agreement, without regard to conflict of law principles. This Agreement is performable in Collin County, Texas, and the exclusive venue for any action arising out of this Agreement shall be a court of appropriate jurisdiction in Collin County, Texas. (g) No Third Party Beneficiaries. The provisions of this Agreement and of the documents to be executed and delivered at Closing are and will be for the benefit of Seller and Purchaser only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Agreement or of the documents to be executed and delivered at Closing. (h) Brokers. Seller and Purchaser each represent and warrant to the other that any broker commissions are to be paid through separate agreement with Seller and Purchaser, and to the extent permitted by law, each agrees to and does hereby indemnify and hold the other harmless against the payment of any commission to any other person or entity claiming by, through or under the indemnifying party (provided that Purchaser's obligations shall not extend to any commission claimed by Brokers). This indemnification shall extend to any and all claims, liabilities, costs and expenses (including reasonable attorneys' fees and Iitigation costs) arising as a result of such claims and shall survive the Closing. (i) Invalidity. If any provision of this Agreement (except the provisions relating to Seller's obligation to convey the Property and Purchaser's obligation to pay the Purchase Price, the invalidity of either of which shall cause this Agreement to be null and void) is held to be illegal, invalid or unenforceable under present or future laws, such provision shall be fully severable; this Agreement shall be construed and Purchase and Sale Agreement Page 3 DocuSign Envelope ID: BOCOF36B-C8EE-4CCF-AOEA-00228D17COCB enforced as if such illegal, invalid or unenforceable provision had never comprised a part of this Agreement; and the remaining provisions of this Agreement shall remain in full force and effect and shall not be affected by the illegal, invalid or unenforceable provision or by its severance from this Agreement. (j) Counterparts. This Agreement may be executed in multiple counterparts, each of which shall constitute an original, but all of which shall constitute one document. The parties may exchange executed counterparts of this Agreement by facsimile or in portable document format (PDF) delivered by electronic mail. (k) Further Assurances. In addition to the acts and deeds recited herein and contemplated to be performed, executed and/or delivered by either party at Closing, each party agrees to perform, execute and deliver, but without any obligation to incur any additional liability or expense, on or after the Closing any further deliveries and assurances as may be reasonably necessary to consummate the transactions contemplated hereby or to further perfect the conveyance, transfer and assignment of the Property to Purchaser. (1) Authority to Execute. The individuals executing this Agreement on behalf of the respective parties below represent to each other and to others that all appropriate and necessary action has been taken to authorize the individual who is executing this Agreement to do so for and on behalf of the party for which his or her signature appears, that there are no other parties or entities required to execute this Agreement in order for the same to be an authorized and binding agreement on the party for whom the individual is signing this Agreement and that each individual affixing his or her signature hereto is authorized to do so, and such authorization is valid and effective on the Effective Date. (m) Immunity. It is expressly understood and agreed that, in the execution and performance of this Agreement, Purchaser has not waived, nor shall be deemed hereby to have waived, any defense or immunity, including governmental, sovereign and official immunity, that would otherwise be available to it against claims arising in the exercise of governmental powers and functions. By entering into this Agreement, the parties do not create any obligations, express or implied, other than those set forth herein. Purchase and Sale Agreement Page 4 DocuSign Envelope ID: 8000F36B-C8EE-4CCF-AOEA-00228D17COCB IN WITNESS WHEREOF, Purchaser and Seller execute this Agreement as of the dates written below. SELLER: vewsw�blr By A(AlIQA` uMtl Pri aiRichard Mc inimv Title: Date Executed: r� e..wio'w W. By:l I,�tuutlat, � I�IC�iNixlq Prin fiFdfPPPTC°dtherin McMmimv Title: Date Executed: 2/21/2023 PURCHASER: CITY OFANNA, TEXAS By: Name: Ky4LI.4 K � I It's �.h•�ir► Ci�iw �RN«'�!./' Date Executed: I Purchase and Sale Agreement Page 5 DocuSign Envelope ID: BOCOF36B-C8EE-4CCF-AOEA-00228Dl7COCB L, XHIBYT A, AGREED FORM OF CONVEYANCE DOCUMENTS Purchase and Sale Agreement Page A-1 3355414 An Appraisal Report of A Proposed Partial Acquisition of a 2.890 Acre Tract of Land Located on the West Line of Leonard Avenue (CR 422), Just North of East Foster Crossing Road in Anna's ETJ, Collin County, Texas 75409 TPA File #: 23.0120 Client File #: Anna.Leonard Ave. McMinimy. ROW..455ac as of January 30, 2023 Prepared for Specialty Land Services, LLC Attention: Mr. Buddy Minett & Mr. Matthew Hutto 1341 S. Preston Road, Suite A Celina, Texas 75009 Prepared by T Property Advisors' Beal pwgrty MtlYW. Inc. 2301 Ohio Drive, Suite 150 Plano, Texas 75093 (214)297-9000 www.ToddPropertyAdvisors.com T P A Real Property Analysts, Inc. January 31, 2023 Specialty Land Services, LLC Attention: Mr. Buddy Minett & Mr. Matthew Hutto 1341 S. Preston Road, Suite A Celina, Texas 75009 RE: Valuation of a proposed partial acquisition of a 2.890 acre tract of land located at the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas 75409. Dear Mr. Minett & Mr. Hutto: We have personally inspected the above -referenced property and have prepared a market value opinion for the property in accordance with your request. The purpose of this appraisal is to provide an opinion of the market value of the fee simple estate (land only) and recommended compensation for the part acquired of the subject property and damages to the remainder, if any, as of the date of appraisal. The property in question involves a proposed 0.455 acre (19,811 square foot) right-of-way dedication acquisition by the City of Anna. All data considered pertinent to the preparation of this appraisal has been investigated and analyzed unless otherwise stated in this report. The results of the analysis together with our conclusions may be found in the following report. The definition of market value has been included within the accompanying report. The definition of market value utilized in this report complies with Title 12, Code of Federal Regulations, Subpart C — Subsection 34.42(g), Department of the Treasury, Office of the Comptroller of the Currency; USPAP; and FIRREA. This appraisal report sets forth the identification of the subject property, information regarding the subject property and its surrounding area, comparable sales data, the results of the investigations and analyses, and the reasoning leading to our conclusions. This appraisal involves an appraisal report in compliance with the Scope of Work Rule of the 2020-2023 Edition of the Uniform Standards of Professional Appraisal Practice (USPAP) as provided by the Appraisal Foundation. All methodology utilized to arrive upon the opinion of market value can be found in The Appraisal of Real Estate, Fifteenth Edition, as published by The Appraisal Institute. 2301 Ohio Drive, Suite 150 A Plano, Texas 75093 A www.ToddPropertyAdvisors.com TELEPHONE: (214) 297-9000 ♦ E-MAIL: mitchell@toddpa.com Mr. Buddy Minett & Mr. Matthew Hutto January 31, 2023 Page Two In our professional opinion, and after careful consideration of the various factors influencing this appraisal, the following illustrates that the "as is" market value (land only) and the recommended compensation, as of the date of appraisal, January 30, 2023: Opinions of Recommended Compensation Value of the Whole Property: $1,007,104 Value of the Part Acquired (0.455 Acre Right -Of -Way): $158,488 Remainder Before Acquisition: $848,616 Remainder After Acquisition: $848,616 Enhancements: $0 Damages: $0 Cost to Cure: $0 Value of the Part Acquired (0.455 Acre Right -Of -Way): $158,488 Total Recommended Compensation: $158,488 Extraordinary Assumption: An extraordinary assumption has been made that the acquisition by the City of Anna will not limit ingress/egress to and from the subject property. The use of this assumption could affect the results of this assignment and if found to be incorrect could necessitate re -analysis. In conclusion of the foregoing, these opinions of value are contingent upon the subject property being free of any hazardous wastes deposited thereupon by the present or previous owners/tenants of the site which would adversely affect the value of the property. To the best of our knowledge, there was no information required or deemed pertinent to the completion of this appraisal, which was not available to the undersigned unless otherwise stated in this report. Additionally, the value conclusions found within this report are exclusive of any personal property, fixtures, or intangible items that are not real property. Thus, the reported values within this report pertain to the real property only. In order for the opinion of value set forth herein to be considered valid this letter of transmittal must not be considered separately or independently of the attached appraisal report, and this appraisal report must be used in its entirety and must not be separated into parts. Should any questions regarding this appraisal arise, please contact US. Mr. Buddy Minett & Mr. Matthew Hutto January 31, 2023 Page Three Respectfully submitted, Mitchell B. Todd, MAI President State Certification #TX-1323514-G mitchell@toddpa.com g 4 / 004�j t ATnanda V. Cooper Appraisal Associate State Certification #TX-1343609-Trainee amanda@toddpa.com WfWL Lauren N. Espey Vice President State Certification #TX-1381032-G lauren@toddpa.com TABLE OF CONTENTS Section I - Introduction Executive Summary ........................................................................................................2 Identification of the Property............................................................................................5 Identification of the Appraisal Problem............................................................................6 Dateof Value Opinion.....................................................................................................6 Dateof Report.................................................................................................................6 AppraisalReport Option..................................................................................................6 IntendedUse/Intended User............................................................................................6 Statement of Prior Services Rendered............................................................................6 PropertyRights Appraised...............................................................................................7 Definition of Market Value...............................................................................................7 Statement of Ownership..................................................................................................8 Scopeof Work.................................................................................................................8 Covid-19 Statement.........................................................................................................9 History of the Subject Property......................................................................................10 Estimateof Exposure Time...........................................................................................10 Estimate of Marketing Time...........................................................................................11 Section 11— External Influences RegionalAnalysis..........................................................................................................13 City/Neighborhood Analysis..........................................................................................23 Section III - Factual Descriptions and Analyses Site Description and Analysis........................................................................................29 Zoning and Other Land Use Restrictions.......................................................................36 TaxAnalysis..................................................................................................................37 Highest and Best Use Analysis.....................................................................................44 The Appraisal Process..................................................................................................47 Section IV — Land Valuation Comparable Land Sales Presentation...........................................................................50 LandSales Analysis...................................................................................................... 57 Conclusionof Land Value.............................................................................................62 Section V - Valuation Conclusion Value of the Whole Property.......................................................................................65 Valueof the Part Acquired..........................................................................................65 Value of the Right -of -Way Dedication Acquisition....................................................65 Damages/Enhancements............................................................................................65 Coststo Cure...............................................................................................................65 Section VI - Certification & Assumptions & Limiting Conditions Certification...................................................................................................................68 Assumptions and Limiting Conditions............................................................................70 Section VII — Addendum Qualifications & Certifications of Appraisers SECTION I - INTRODUCTION EXECUTIVE SUMMARY SALIENT FACTS & CONCLUSIONS TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Property Appraised: A 2.890 acre (125,888 square foot) tract of land located in Anna's ETJ, Collin County, Texas. The source of the total site size is from the Collin Central Appraisal District (Collin CAD). According to the surveys provided by North Texas Surveying, LLC, the City of Anna is acquiring a 0.455 acre (19,811 square foot) right-of- way dedication acquisition. Property Type: Single -Family Residence Location: The subject is located at the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in the City of Anna's ETJ, Collin County. It should be noted, the subject has a municipal address of 3020 County Road 422, Anna, Collin County, Texas 75409. Date of Inspection: January 30, 2023 Date of Valuation: Date of Report: Property Rights Appraised 23.0120 January 30, 2023 January 31, 2023 Fee Simple Estate TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Ownership: Richard A. McMinimy & Catherina E. McMinimy Land Size: 2.890 acres (125,888 square foot) Status of Property: As of the date of the appraisal, the subject property is physically located on the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas. It should be noted, the subject has a municipal address of 3020 County Road 422, Anna, Collin County, Texas 75409. According to the Collin County Appraisal District (Collin CAD), the subject property is a 2.890 acre, or 125,888 square feet, tract of land improved with a 1,982 square foot single-family residence with an attached garage, a detached carport, a covered patio, an enclosed porch, and site improvements (concrete driveway). There are two barns and a 1,344 square foot manufactured home located on the tract of land. The improvements were constructed in 1972 with the addition of the detached carport in 1975, the manufactured home in 1995, and the two barns in 2006. According to the surveys provided by North Texas Surveying, LLC, the proposed acquisition includes a 0.455 acre (19,811 square feet) right-of-way dedication acquisition. We determined that the use of the current improvements will not be affected by the proposed partial acquisition, as the acquisition is located a sufficient distance from the main improvements and will not negatively affect ingress/egress or utility of the remainder. The property has all utilities available to the site. Zoning: Not Zoned HIGHEST AND BEST USE: As If Vacant: Commercial Investment SCOPE OF WORK Appraisal Problem Identification: To provide a credible opinion of the market value of the fee simple estate (land only) and recommended compensation regarding the part acquired and damages to the remainder, if any, as of the date of appraisal (January 30, 2023). Purpose of the Appraisal: To provide the client with a current credible opinion of the market value of the fee simple estate (land only) and recommended compensation regarding the part acquired and damages to the remainder, if any, as of the date of appraisal (January 30, 2023). These opinions of value are intended to assist in determining 23.0120 3 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. compensation regarding the potential acquisition by Specialty Land Services, LLC and the City of Anna. Client: Specialty Land Services, LLC Intended User: Specialty Land Services, LLC & The City of Anna Relevant Approaches Used: Sales Comparison Approach Opinions of Recommended Compensation Value of the Whole Property: Value of the Part Acquired (0.455 Acre Right -Of -Way): Remainder Before Acquisition: Remainder After Acquisition: Enhancements: Damages: Cost to Cure: Value of the Part Acquired (0.455 Acre Right -Of -Way): Total Recommended Compensation: $1,007,104 $158,488 $848,616 $848,616 $0 $0 $0 $158,488 $158,488 23.0120 4 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. IDENTIFICATION OF THE PROPERTY As of the date of the appraisal, the subject property is physically located on the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas. It should be noted, the subject has a municipal address of 3020 County Road 422, Anna, Collin County, Texas 75409. According to the Collin County Appraisal District (Collin CAD), the subject property is a 2.890 acre, or 125,888 square feet, tract of land improved with a 1,982 square foot single-family residence with an attached garage, a detached carport, a covered patio, an enclosed porch, and site improvements (concrete driveway). There are two barns and a 1,344 square foot manufactured home located on the tract of land. The improvements were constructed in 1972 with the addition of the detached carport in 1975, the manufactured home in 1995, and the two barns in 2006. According to the surveys provided by North Texas Surveying, LLC, the proposed acquisition includes a 0.455 acre (19,811 square feet) right-of-way dedication acquisition. We determined that the use of the current improvements will not be affected by the proposed partial acquisition, as the acquisition is located a sufficient distance from the main improvements and will not negatively affect ingress/egress or utility of the remainder. The property has all utilities available to the site. A summary of the legal description of the subject property and an aerial photograph of the subject property is as follows: Abstract Number A0798 of the G. Stark Survey, Sheet Number 2, Tract 65, Collin County, Texas. 'Aerial photograph provided by the Collin Central Appraisal District. The purple shaded area depicts the boundaries of the subject property. The yellow lines depicts the boundaries for the proposed right-of-way dedication acquisition. These boundaries are approximations based upon our best estimates given the survey provided. 23.0120 5 TODD PROPERTY ADviSORS REAL PROPERTY ANALYSTS, INC. IDENTIFICATION OF THE APPRAISAL PROBLEM The objective of this appraisal is to provide the client with a current credible opinion of the market value of the fee simple estate of the subject property (land only) and recommended compensation regarding the part acquired and damages to the remainder, if any, as of the effective date of appraisal (January 30, 2023). These value opinions are intended to assist in determining compensation regarding a value for the potential acquisitions by the Specialty Land Services, LLC and the City of Anna. DATE OF VALUE OPINION An inspection of the property was conducted on January 30, 2023. The effective date of valuation is January 30, 2023. DATE OF REPORT The report date of this appraisal is January 31, 2023. APPRAISAL REPORT OPTION This is an Appraisal Report that complies with the reporting requirements set forth under Standards Rule 2-2 (a) of the Uniform Standards of Professional Appraisal Practice (USPAP). As such, it presents sufficient information to enable the client and other intended users, as identified, to properly understand it. The depth of discussion contained in this report is specific to the needs of the client and the intended use of the appraisal as noted herein. INTENDED USE/INTENDED USER This appraisal report has been prepared for and is intended to be used by Specialty Land Services, LLC and the City of Anna. The intended use of this appraisal report has been identified by the appraisers based on communications with the client, at the time of the assignment to assist in determining the market value and recommended compensation, of the subject property regarding the potential acquisition by the Specialty Land Services, LLC and the City of Anna. Therefore, the intended user of this report is the Specialty Land Services, LLC and the City of Anna. Use of this report by others is not intended by the appraisers. No one other than the intended users should rely on the opinion of value or any other conclusions contained in this report. STATEMENT OF PRIOR SERVICES RENDERED Todd Property Advisors, Mitchell B. Todd, MAI, Lauren N. Espey, and Amanda V. Cooper have rendered no services as an appraiser or in any other capacity regarding this property within the three-year period immediately preceding acceptance of this assignment. 23.0120 6 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. PROPERTY RIGHTS APPRAISED The fee simple estate is defined as "absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat" ' This differs from the leased fee estate. "in appraisal practice, the lessor's, or landlord's, position is referred to as the leased fee. The rights of the lessor (the leased fee owner) and the lessee (leaseholder) are specified by contract terms contained in the lease". 2 Acquisition ownership is defined as `Yhe right to use another's land for a stated purpose" 3 The fee simple estate has been appraised due to the subject not being currently encumbered by any long-term lease agreements. The fee simple estate of the subject property is being appraised, and a proposed acquisition interest is also being valued as well as any damages or enhancements to the remainder property. An acquisition interest is a non -possessory (incorporeal) interest in landed property conveying use, but not ownership, of a portion of that property. This ownership interest is subject to any zoning ordinances, acquisitions, restrictions of record and other applicable codes and ordinances of record. DEFINITION OF MARKET VALUE The definition of value which will be referred to in this report is "market value". The following definition of market value is used by agencies that regulate federally insured financial institutions in the United States. The definition of market value utilized in this report complies with Title 12, Code of Federal Regulations, Subpart C. — Subsection 34.42(g), Department of the Treasury, Office of the Comptroller of the Currency; USPAP; and FIRREA. According to Section 34 of Title 12, Code of Federal Regulations, "market value" means: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeable, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby.• 9) Buyer and seller are typically motivated, 2) Both parties are well informed or well advised and acting in what they consider their own best interest, 3) A reasonable time is allowed for exposure in the open market, 1 The Appraisal Institute, The Dictionary of Real Estate Appraisal (Sixth Edition), Chicago, Illinois, 2015, page 90. 2 The Appraisal Institute, The Appraisal of Real Estate (Fifteenth Edition), Chicago, Illinois, 2020, page 62. 3 The Appraisal Institute, The Dictionary of Real Estate Appraisal (Sixth Edition), Chicago, Illinois, 2015, page 71. 23.0120 7 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. 4) Payment is made in terms of cash in U. S. dollars or in terms of financial arrangements comparable thereto, and, 5) The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. 4 STATEMENT OF OWNERSHIP According to information provided by the Collin CAD and information provided by the client, title of the subject is vested in Richard A. McMinimy & Catherina E. McMinimy. SCOPE OF WORK The scope of work is defined as the type and extent of research and analysis in an assignment. The scope of this appraisal assignment is to provide a credible opinion of the market value of the subject property (land only) in "as is" condition and the recommended compensation for the proposed acquisition and damages to the remainder, if any, as of the effective date of appraisal (January 30, 2023). In compliance with the 2020-2023 Edition of the Uniform Standards of Professional Appraisal Practice (USPAP), and upon the request of the client, an appraisal report has been prepared utilizing the Scope of Work Rule. The Scope of Work Rule within USPAP emphasizes the requirements for problem identification, determining the appropriate scope of work, and disclosure of the scope of work that was performed in appraisal, appraisal review, and appraisal consulting assignments. The following is a discussion of the scope of work undertaken within the context of this report. The scope of work for this appraisal was determined by the complexity of the assignment and the reporting requirements of this appraisal report type, including: the definition of market value, real property interests valued, assumptions and limiting conditions, and certifications. The appraisers considered this scope of work to be adequate to complete a credible appraisal of the subject property which will satisfy its intended use. The appraisers believe that this scope of work would meet the expectations and needs of parties who are regular intended users for similar assignments and that this scope of work is substantially similar to what an appraiser's peers actions would be in performing the same or similar assignment. Our research began with a review of the three year history of the subject property prior to the date of appraisal by conducting research of the Collin County public records. This research was facilitated by several on-line sources including CoStancom, The Collin CAD, and Loopnet.com, as well as several other resources including owners, buyers, lenders, and other parties knowledgeable of the subject property. The Regional and Neighborhood Analyses include 4 The Appraisal Institute, The Appraisal of Real Estate (Fifteenth Edition), Chicago, Illinois, 2020, page 49. 23.0120 8 TODD PROPERTY ADvisoRs REAL PROPERTY ANALYSTS, INC. information gathered through inspection of the areas, review of published secondary data, such as that provided by the North Central Texas Council of Governments and a variety of resources available from the Cities of Fort Worth, Dallas, and other communities comprising the Metroplex. The site analysis included an inspection of the property by the appraisers, a review of the survey of the parts acquired, parcel map, zoning maps, and FEMA flood insurance rate maps. The subject was inspected on January 30, 2023. The effective date of the market value opinion is January 30, 2023. The applicable zoning ordinance of the subject property was verified with the zoning records of the city of Anna. The tax rates, assessed values, and information regarding the subject's tax debt were verified by the Collin CAD and the individual taxing jurisdictions via the appraisal district's website. Primary data regarding the subject submarket and the immediate surrounding area was verified by the appraisers through an inspection of the area, real estate brokers, and management company representatives. To complete this appraisal assignment, the Sales Comparison Approach was utilized to value the subject property (land only). As of the date of the appraisal, the subject property is physically located on the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas. It should be noted, the subject has a municipal address of 3020 County Road 422, Anna, Collin County, Texas 75409. According to the Collin County Appraisal District (Collin CAD), the subject property is a 2.890 acre, or 125,888 square feet, tract of land improved with a 1,982 square foot single-family residence with an attached garage, a detached carport, a covered patio, an enclosed porch, and site improvements (concrete driveway). There are two barns and a 1,344 square foot manufactured home located on the tract of land. The improvements were constructed in 1972 with the addition of the detached carport in 1975, the manufactured home in 1995, and the two barns in 2006. According to the surveys provided by North Texas Surveying, LLC, the proposed acquisition includes a 0.455 acre (19,811 square feet) right-of-way dedication acquisition and a 0.1885 acre (8,210 square foot) temporary construction acquisition for one year. We determined that the use of the current improvements will not be affected by the proposed partial acquisition, as the acquisition is located a sufficient distance from the main improvements and will not negatively affect ingress/egress or utility of the remainder. As permitted by Standard Rule 1-2(e)(v), only the land and affected site improvements are valued within this appraisal. Therefore, we have provided a value of land only via the Sales Comparison Approach. All data gathered within this approach regarding properties similar to the subject have been previously verified with either the Grantor, the Grantee, or their representatives through their respective sources. A more detailed explanation of the methods and techniques employed in these approaches is located in the Valuation Process section of this report. COVID-19 STATEMENT This report does not portend to fully quantify the impact of the COVID-19 pandemic and its potential impact on local and/or national economic conditions. Todd Property Advisors continues to strive to understand the potential impacts of COVID-19 on real property values. In performing 23.0120 9 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, Mc. due diligence in these extraordinary times, we have referred to the Appraisal Institute's Guide Note 10. Appraising in the Aftermath of a Disaster, and Guide Note 12, Analyzing Market Trends. Many of the suggestions within these two guide notes have been considered and applied when relevant within this appraisal. Given that an appraisal report's credibility relies on current market conditions, the COVID-19 pandemic's impact on market conditions must be considered. However, in most markets it is not yet clear to what extent, if any, market conditions are affected. Related and complicating factors include continued high demand for some product types in geographic submarkets as well as investor demand for stabilized investment properties and historically low mortgage interest rates and abundant equity capital pursuing yields and stability. Our client is encouraged to conduct their own due diligence and analysis regarding current market conditions which could be impacted by the COVID-19 pandemic and how these potential impacts may relate to the subject property and their interest in it. HISTORY OF THE SUBJECT PROPERTY The subject property sales history was researched thorough a search available from the Collin CAD property records, CoStar.com, and Loopnet.com among various other sources. According to Collin County Tax Records, title of the subject is vested in Richard A. McMinimy & Catherina E. McMinimy since January 31, 2007. The subject property is currently listed for sale. According to MLS, the subject property has been listed since June 7, 2022, and is listed for $2,350,000. The brokers on the deal were unable to be reached after multiple attempts by the appraisers. No other arm's length conveyances have been uncovered regarding the subject during the last three years. ESTIMATE OF EXPOSURE TIME A reasonable exposure period is the amount of time necessary to expose a property to the open market in order to achieve a sale. According to USPAP 2020-2023, exposure time is defined as, "an opinion, based on supporting market data, of the length of time that the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal." It is our opinion that a period of six to nine months, with a contract period of 90 days is reasonable. This results in a total exposure time until closing at a title company of nine to twelve months. We performed due diligence in estimating the exposure period for the subject property by surveying the marketing period for comparable properties which had recently sold or were placed under contract. Additionally, the brokers contacted in verifying the comparable improved sales within this report generally indicated that exposure times during the last twelve months have typically ranged from six to twelve months. It was observed that properties are often marketed for several months or years with very little interest shown in the property. However, they eventually sell after significant price reductions. A common tendency among the majority of these sales is that once these properties experience price reductions which are believed to bring them into alignment with the rest of the market, their 23.0120 10 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. exposure time was typically less than one year. The price reductions and recognition of market derived values is reflected in the comparables' sales prices. This is to the extent that the sales price as represented by the value conclusion for the subject is attractive to an investor today. Thus, this attractive price should result in a normal exposure of less than one year. Therefore, it is our opinion that had the subject property been marketed at or very near the "as is" value conclusion contained herein, it would have been sufficiently attractive to entice an investor to purchase the property within a nine to twelve month exposure period. ESTIMATE OF MARKETING TIME Marketing time is defined as "an opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value level during the period immediately after the effective date of an appraisal. Marketing time differs from exposure time, which is always presumed to precede the effective date of an appraisal."5 Thus, marketing time is an estimate of the amount of time necessary to sell a property after the date of appraisal, which differs from exposure time which is a retrospective estimate of the amount of time necessary to achieve a sale prior to the effective date of appraisal. ' EXPOSURE TIME I EFFECTIVE DATE I MARKETING TIME ' It is our opinion that a marketing period of six to nine months, with a contract period of 90 days is reasonable. This results in a total marketing time until closing at a title company of nine to twelve months. We performed due diligence in estimating the marketing period for the subject property by surveying the marketing period for comparable properties which had recently sold or were placed under contract. A common tendency among the majority of the sales is that once these properties experience price reductions which are believed to bring them into alignment with the rest of the market, their marketing period is typically less than one year. For example, properties are often marketed for several years with very little interest shown in the property. However, they eventually sell after significant price reductions. The price reductions and recognition of market derived values is reflected in the comparables' sales prices. This is to the extent that the sales price as represented by the value conclusion for the subject is attractive to an investor today. Thus, this attractive price should result in a normal marketing period of less than one year. Therefore, it is our opinion that if the subject property is marketed at or very near the value conclusion contained herein, it will be sufficiently attractive to entice an investor or user to purchase the property within a twelve month marketing period. 5 The Appraisal Institute, The Dictionary of Real Estate Aopraisal (Sixth Edition), Chicago, Illinois, 2015, pages 132-133. 6 The Appraisal Institute, The Dictionary of Real Estate Appraisal (Sixth Edition), Chicago, Illinois, 2015, page 140. 23.0120 11 SECTION II - EXTERNAL INFLUENCES TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. REGIONAL ANALYSIS Real Estate is an immobile asset, which is dependent upon the exterior environment for economic viability. The economic climate in which a property is located is both general (the region or area in which a property is located) and specific (the neighborhood). Four forces continually exert influence on real estate values within any environment: social, economic, environmental and governmental. The purpose of this section is to consider all pertinent forces that will have an effect on the use and value of the subject property. 10 Men!ee Qn (- d 4lemwme Pun O lemON ,.a SYN011 Boliw 3+BM G) - Subject Property f+:m BBkIM BIUO X!Ege Cela:te DOQ 1'li Cxnur `� aNwtlz PIBBPeI �` e::q,vnn D Ion a (i'} MBM C., 40 M Klltn¢y PcNe, Q Pmz ...Oor Puverse L ^ nkf. Fdrvlex F -1. emml!e Fti88O0 Pwrd Iti qM .dd C� B%d � Ju01n V Ieq (IX'L my I!r. �ta:ome Q cemo Mllle ® Lewisnlle - O flower Mound Has. 11L,,r. 1, lu,on .n. xTe LWnStrn � , O Certdllon (� Poy[puti ® Xmn Mcherd8on Gmpevinn n o n„n a"`tee^X,� � POOIn .ia'k Y�cnn x civ Irving }�L tvsi. :.,.,. VleatlwlwE W'Ikw Pxk w^ e F© Worth ® DdIIdS v Mes9uil f] 0 emnn ® Arlington a maaine .. ,xI Si [ >!mn 6 imp� ® _ EllOme:ta SeNX BavLroW twat Xlll`• IF, IR `atr O XmnMalr � P+:eanv e © Fa[^rs LB ga I I P O emdl X i vesme Lwxntw w me. Lome.. ili w:ezmn Mzrsliew Y d G.eam FE amoil Femz o:ksm ® 5[ury � 0 � LWlowan _ aUlncn "'�' Palniw .' GaogkM Ma 5 u. m'p The Dallas -Fort Worth -Arlington Consolidated Metropolitan Statistical Area (CMSA) encompasses approximately 9,289 square miles in north central Texas. The Dallas -Fort Worth - Arlington CMSA is comprised of 12 counties: Collin, Dallas, Denton, Tarrant, Johnson, Kaufman, Parker, Rockwall, Hunt, Wise, Delta and Ellis. This CMSA, which is also referred to as the D/FW area or Metroplex, is located 203 miles northeast of Austin, 240 miles northwest of Houston and 206 miles south of Oklahoma City. On a national level, the Metroplex is located in the southern central sector of the country. The Dallas/Fort Worth area is located approximately equidistant from both coasts and from the four major concentrations of population in North America: New York, Chicago, Los Angeles and Mexico City. The following is a discussion of the aforementioned forces that exert influence on property value. 23.0120 13 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Environmental The Dallas -Fort Worth climate is humid subtropical with hot summers. It is also considered to be continental, characterized by a wide annual temperature range. The amount of precipitation usually varies and ranges from less than 20" to more than 50". DIFW winters are somewhat mild, but occasionally there are sudden drops in temperature. Periods of extreme cold that occasionally occur are short-lived, so that even in January mild weather occurs frequently. During the summer, the high temperatures are associated with fair skies, westerly winds, and low humidity's. Average high and low temperatures range from 37 F in January to 98 F in August. Rainfall occurs throughout the year, but usually occurs more frequently during the night and also during the spring. Usually, periods of rainy weather last for only a day or two, and are followed by several days with fair skies. Moderate hail may occur on about two or three days a year, only causing slight and scattered damage. However, windstorms occurring during thunderstorm activity may be destructive. Snowfall is rare. The average length of the warm seasons (freeze -free period) is about 249 days, or about 8 months. Thus, the local climate is very conducive of real estate development. The area's topography is basically level in the northern sector to gently rolling in the southern portion. The rolling terrain of the southern sector is due to a geologic formation known as the escarpment. This escarpment consists of a chalky soil that rests on top of shales causing unstable building foundations. The shale soil presents shrink -swell problems for the foundations of buildings that are constructed on it, and the chalk is an unstable soil that crumbles easily, resulting in minor landslides. Transportation As stated above, on a national basis, the Dallas/Fort Worth Metroplex is centrally located, which has resulted in the development of a major transportation network that connects the Metroplex with the rest of the country. This network consists of major thoroughfares, railroad lines and air carriers. In regards to roadways, the Dallas/Fort Worth region is located at the convergence of four Interstate Highways: north -south access is provided by Interstate Highways 35 and 45 (IH- 35 and I H-45); east -west access is provided by I H-20 and I H-30. Two major outer loops provide internal accessibility to the region. LBJ Freeway (IH-635) surrounds Dallas, and IH-820 encompasses Fort Worth. Both of these arteries connect with the interstate highways as well as local streets, thus affording the cities regional as well as internal access. In recent years, greater access and mobility have been expanded to the Metroplex's surrounding communities. The President George Bush Toll Road (SH-190) is a loop encircling IH-635 that connects IH-30 in Garland/Rockwall to IH-20 in Grand Prairie traversing the communities of Rowlett, Mesquite, Garland, Richardson, Plano, Carrollton, Coppell, Irving, Arlington and Grand Prairie. Additionally, the North Texas Tollway Authority (NTTA) recently opened the Chisholm Trail Parkway connecting the Downtown Fort Worth Business District with communities to the south including Benbrook, Crowley, Joshua and connecting with SH-67 in Cleburne. 23.0120 14 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Two additional toll roads which serve the Metroplex are the Dallas North Tollway and the Sam Rayburn Tollway (SRT). SH-121(located north of SH-190) has expanded to incorporate and become the SRT. While SH-121 continues to run east -west from Fort Worth to McKinney connecting DFW Airport to other areas of the Metropolitan area, the SRT has provided a larger artery for traffic to flow between the communities of Grapevine, Coppell, Carrollton, Plano, Frisco, Allen and McKinney. The Dallas North Tollway connects downtown Dallas to the rapidly growing areas of Frisco and Prosper. The Sam Rayburn Tollway connects central Collin County to the vicinity of the DFW International Airport. Reference may be made to Mobility 2040 which was adopted by the Regional Transportation Council in March of 2016. This long range strategic plan aims to define the vision for the Region's transportation system and identify solutions and options. The goals of the plan are to improve mobility, quality of life, and air quality concerns for the cities of Dallas and Fort Worth as well as the surrounding areas. In addition, properties located along or near new or improved thoroughfares should benefit from this plan through better access and exposure. It is worthy to note that the region is also serviced by multiple public transportation services including bus, rail and light rail. These services include Dallas Area Rapid Transit (DART), DART Light Rail, the Fort Worth Transportation Authority (FWTA or The T), the Trinity Railway Express (TRE), and the Denton County Transportation Authority (DCTA). In addition to the various modes of ground transportation, the Metroplex is serviced by a major international airport as well as several other local and regional airports. D/FW International Airport, located midway between Dallas and Fort Worth, has the 2nd largest land area of any other airport in the nation with 17,207 acres and the fourth largest in the world. In 2016, D/FW was responsible for 65,670,697 passengers reaching their destinations, making it the world's 11th busiest airport in number of passengers, with service provided by 9 international and 11 domestic airlines. As of December 2018 DFW Airport provides transportation to more than 244 destinations including 62 international and 182 domestic destinations with the number of daily flights just under 3,000 including passenger and freight. Additionally, DFW is one of 3 domestic airports and 11 globally providing service to more than 200 destinations around the world. The City of Dallas owns and operates Dallas Love Field. The airfield is located six miles northwest of the downtown central business district and is managed by the City's Department of Aviation. Southwest Airlines is the predominant user of Love Field; however, Alaska Airlines and Delta Airlines also utilize Love Field. In 1963, several airlines had all agreed to seek full repeal of the Wright Amendment; which restricted direct flights to other states from Love Field. In 2008, the airport handled approximately 8,060,000 passengers. On October 13, 2014, the Wright Amendment had been repealed and new non-stop service to several cities began. This has led to significant increases in passenger traffic. Southwest Airlines added numerous other cities in the beginning of 2015. In 2016, the airport handled approximately 15,563,000 passengers. To accommodate the increase in traffic construction on a new parking garage was constructed and opened in 2018. 23.0120 15 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Commercial air freight service is provided to the region by the Alliance International Centre which is the first development of its type in the world. This Fort Worth based facility comprises a 3,000- acre cargo airport/industrial park. Meacham Field (Fort Worth), Addison Airport (North Dallas) and several other municipal airports, provide for the area's general aviation needs. Social According to The Appraisal of Real Estate, Fifteenth Edition, social forces studied by appraisers primarily relate to population characteristics. Because the demographic composition of the population reveals the potential demand for real estate, proper analysis and interpretation of demographic trends are required. Real property values are affected not only by population changes and characteristics, but also by the entire spectrum of human activity. The total population, its composition by age and gender, and the rate of household formation and dissolution strongly influence real property values. Social forces are also manifest in attitudes toward education, law and order, and lifestyle options. This section of the report will identify all social forces that may have an effect on the value of the subject property. According to the North Central Texas Council of Governments (NCTCOG) 2021 population estimates, North Central Texas estimated that the region had added approximately 1,335,000 new residents between 2010 and 2021 for a total population of 7,874,950. A chart detailing the individual county growth rates is located below included the most recent year over year data. Htse 2910 EWL 2011 Esc. 2m2 Esc ZM cam. 2MEA ZHa Est. 20iS EWL 201T Esc 20ta EEL 201 s Esc 2 Eft 2M ESL Pbp. Pq- PAIL PAW Pq;L p9w- POIL PDF. Pop. PbW PP- PolL ApL1 Jm1 aaL1 am1 aw.t am1 .m1 JW&I aa.t aaa.t .1aa.1 am1 roam 2M Abs. Conan >� to .m 2M % MmoW Cd Ha 782.341 M150 MAM W.= 861.= SrrAX0 901,170 = esa W 1,0tolm 1,03Bpa MR.= 43,2Z0 4.t6% Damn 2.868,139 2�80,5t0 A383,780 Z4151060 2.43k= A4W%O5O A47R970 2;W.X0 $520,1M 2.554.770 ZGU 1M 2,8t%= 25.470 0.98% Dmbo OOZA14 888.930 NT= 714.000 rA900 781ACO 7WM 814,'rM 844.2a0 874.ZM0 SA190 SU 31,030 144% H31Hs 149.0tO 151.030 M570 MR070 161.200 WWO 16%SW 173..410 183 188.680 198JM 2mkmo 4170 4.11% Eta18 ST.8B0 38" 3$340 4Q700 41.0t0 41.450 43„540 43AM 44.200 44.700 45AM 48.180 510 1.12% Hood 51.182 51.420 5 %= 58.590 61,680 K400 SOW 84JM 6%OW 55.980 08.980 68J= 80 0.04% Heat 80.129 88,ti80 87.840 94070 91.240 B? W 9C%110 84,= 9VW 07,00 99.= 101.00 2210 2M% t50P4 151.440 151.790 155.240 15R710 t5R880 161AM 184NO 16%180 173.700 178.2W t85.180 8820 IN% Kmdmm t03.350 103,440 IKOW 104400 100,120 108,300 113MO 1t8,140 1199M 124.OW 12R= 1=2 = A730 190% in - , 47.735 47JM 47.M 48.470 4%5W 4UW 49k0.90 4%170 4BJ40 W.2W WJM 51.8f0 SOO t.57% H41oHkw 2%111 21.1S0 25.290 28.420 26.580 2%710 2OW 20M 2AT10 MAN 25,880 29.380 400 1.38% MAW 11W 1VAM 11%M UOA40 121.830 124j= 12J.980 130,150 131.210 134.= 138.SW 138,180 2,580 1.88% Rockoml 78,337 78990 7%510 8%400 W%900 88,,110 90,5T0 93.130 97JM t01,020 107.750 113.= 5.570 &17% 2=0ewH 8.490 8,590 %5M 8.990 Raw SAM 9M 9,420 9,r64o e.®0 9.880 10.180 2W 2t0% 'tiQaot 1�.034 1.St8.240 1,MZ M 1. Spo 1.888.800 IJM470 IP45AM 1PA440 1.989`810 2.024,000 7,0000 2.0WAW 25,980 L31% 59 W SHE W MOW 6U= 01.090 SINO M240 GZ4W WM 84 080 GUM Sk= T1O LOB% 11540MVP40=1130 AMR= 8B0 tWk3W 7,123,00 7 7 4W 7XQk4W J71410 -rJU4JW IfiRM Z051A According to NCTCOG's 2021 Population Estimates document: "The estimated January 1, 2021 population for the NCTCOG region is 7,874,950. Last year the region added 158,540 people. Even though the north central Texas region, as well as the rest of the country faced a big challenge due to the pandemic, the region still managed to grow by almost the same amount as it did in 2019. In 2020, 12 cities grew by 10% or more. Fort Worth led the region in growth, adding almost 17,000 people last year while Frisco added close to 16,000, followed by McKinney with 6,100 and Dallas with 5,560. Collin, Denton, Dallas, and Tarrant Counties each added more than 25,000 people last year, with Collin County leading the way with 43,000 new residents. The region has added more than 1.3 million new residents since 2010." 23.0120 16 TODD PROPERTY ADVIsORs REAL PROPERTY ANALYSTS, INC. Economic Economic forces have a direct and obvious effect on property values. The condition of an area's economy in great measure determines the growth or decline of the population, as well as its purchasing power, which affect the demand for goods and services. If an area's economy is in a growth stage, construction of new housing, retail centers and expansions of employment centers occur to accommodate the needs of the population. Conversely, as the unemployment rate rises because of an area's declining economy, some residents move from the area, and those who remain may have decreased disposable incomes, both of which result in a diminished demand for housing as well as goods and services. As occupancy rates for housing, retail facilities, and employment centers decrease, demand for new construction either decreases or may even cease altogether. Characteristics that are considered to be demand -oriented include employment levels, the number and size of basic industries, and the availability of mortgage credit. Economic characteristics that are considered to be supply -oriented include the stock of available vacant and improved properties, occupancy rates, and rental rates. Apartment markets continue to fare better than expected, with occupancy and rents improving in most Texas metros. According to the 3'd Quarter 2022 Costar analytics report, the Dallas/Fort Worth area apartment asking rent has increased approximately 7.6% (YOY). Additionally, CoStar reports "The Dallas -Fort Worth apartment remains on solid footing after establishing record - setting performances over the past year. Demand is cooling, allowing vacancy rates to drift higher. The trend comes after a wave of demand pushed vacancy rates to new lows last year. The pace of rent growth is softening through late 2022 but remains above pre -crisis norms." The D/FW Metroplex has an excellent transportation network, a good central U.S. location, and a relatively low cost of living compared to other parts of the U.S., which attracts major corporate employers. D/FW is a major product distribution center and it is a major trade hub with Mexico and other sectors across Latin America. The Emerging Trends in Real Estate markets -to -watch survey for 2018 revealed the Dallas/Fort Worth market as the number -five market to watch. The area is considered to continue strong growth due to projected population increases and corporate relocations. Multiple survey respondents and interviewees mentioned the strong job growth driving the local economy. (Emerging Trends in Real Estate, United States and Canada 2018, PricewaterhouseCoopers LLP and Urban Land Institute). D/FW is also known for its large technology influence, and provides business services such as advertising, data processing, telecommunications, and other computer services. As mentioned previously, the transportation industry will continue to play an important part of the economy, due to D/FW International Airport's large influence. According to the NCTCOG Forecast 2040, total employment for the region is anticipated to grow in excess of 2,750,000 jobs between 2010 and 2040. Dallas County alone is expected to encounter over 1.3 million new jobs during this time period accounting for more than 45% of the projected growth. Collin and Denton counties will account for 18% of the region's total growth by adding approximately 314,000 and 196,000 new jobs respectively between 2010 and 2040. 23.0120 17 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Tarrant County is anticipated to add approximately 713,000 new jobs during this time period as well. Employment is expected to increase tremendously over the next 20+ years which will only continue to contribute to the growing economy of the region. The following page contains an economic snapshot of the Dallas -Fort Worth -Arlington Metropolitan District (Dallas, Tarrant, Collin, Denton, Rockwall, Johnson, Ellis, Hunt, Kaufman, Wise, Parker, Hood, and Somervell Counties). This information was provided by the Texas Workforce Commission from their November 2022 Economic Profiles and is currently the most recent available. 23.0120 18 TODD PROPERTY ADVISORS REAL PRopP AwLLr , INc. TEXAS Labor Market ]nformation Nallas-Fort twnh-Arlington LISA IJovemUOr 2022 I - �' cnanpe � {L1 I�(Y 2 '11001 4ia , �V r.W M1rr I pp. - .I. Cxnpe ]11]W I I I I .1azs "N 1 TL 100'm ��,-� a manpx cl.lxan Lana Fau xn1122ooa tfia.rupm _ ;nv 2e 2na,Oc 6nnm,ep ee uaov amanyp smwe =coa on, ,_ .2N,919 IMlmpbymxnl R.rlt 6 AI 16% 10% 12% 10% 81h 2% 0 — __— aRRRRR rrrrr�rr D>rNp cue ��gg l'1.M.^io£i.i Z£:. N2lgg N g$1N IEE�N �gg� g N g NZ ig N '1gg�N 'lgg r�� W. ■Tmrasc US D911as-Fon Worth -Arlington 0.06% tauMRewoa t0daa0x0561e1 sw —_t�sgl.9 Gmemme61.15616. Ca�lnu� % oo Umm t0.t9 '.53% 6mns6120)S1 MrJamvg36.15f 21 t000m0 we 356% M19 .93% lecaewM \ FCucvm� aW 189 ' TrMe Tmvpwlsnn - '-90.99 13% Heea SN.tn6109593 wk U10ea01131185 , PNaffio-W aM Hwmr W.30]21 100$l9 IR 55: 6umaa5em¢s615816a5 __ F.-I 600999'100% L_250,99 99% Ocavno69.31962 Mnual Growth Rate TOlal NOnagncvlturAl employ 16% 0% 5% -10% I mio}o♦♦>er -�a�eee_mrte.fi's^2,tn}m nm awam Qsebq� }tl �.�e # ��gg��A �iig�N�9.i yi� 2'igg�e 9Lj2 g���G�g SjN�ig��N�-�gg�N2IDig E�N'Lig g�ia�igg ■Rate Fmployment by Industry (November 2022) Empl Oymeml by 1,W.M,y INOvemOer 2022) Cw�mrtlemn-r.,on,M� Inau;,rt Errvlormml Cnanae °[Mnpa Grvartunvloa% M11nn9 La99ry aM Lmwuym56% iolal Ntl,larm 42346W Ic': 61% ha SenvaJ2% MaWam'm2T2% LaaneaM r6+ap1aYy102% aq COIRW<1w1 MAW 1.n 91% Almuts4rug 306000 07% 63`. mY. Trmapatmv,. RaUW!] 921,900 Z2 3.N —TaM.Trm¢pwam. M UNn 219% ,nlw 67 2 ] ]`: EaKpMyy Neaa�Serwp119%- ween21% FYWSWIIaIUWIks 9Y1.m JW 0.5% 81% mreszvvlalaM9usmsz MGM 0a% 21% 6wVKb plaa»amwa�. ENadIIwlBM Neda15ewrb 505.fi00 06% 73% mess `.aw`ws IBJ% - Aav1ev 90% Lesuream nospnawy 131600 15°e 125% qhc 3¢mab 136.000 e6% r.a% Wvemmenl 150 06% P.50 11% Page 1911 1'!/1wF 112e::WU 23.0120 19 TODD PROPERTY ADvisoRs REAL PROPERTY ANALYSTS, INc. Governmental Although the Metroplex is governed by state and county agencies, the most direct influence on properties lies with the municipalities. The majority of the cities within the nine county area have council-manager forms of government. County and city governments are financed by a combination of property taxes, sales taxes, and miscellaneous taxes, fees, and fines. Property taxes are collected by the various taxing districts based upon market value assessments determined each year by county appraisal districts. No personal or corporate income taxes are levied by any city or county in the CMSA. The state of Texas does impose Franchise Taxes which are an indirect form of corporate income tax. The City of Dallas has a council-manager form of government with the mayor selected at -large, 14 single member district council members, and one city manager. In a council -city management form of government, council members represent the people in their geographic districts. The City Manager is responsible to the council for the administration of business policies that the council has established. Services provided by the city include complete fire protection, police protection, water, sewer and garbage disposal. Electric service is provided by Oncor Electric Company while natural gas is provided by Atmos Energy. Telephone service is provided by AT&T. Fort Worth, like Dallas, utilizes a Council -City Management form of government. The Fort Worth City Council consists of an appointed City Manager, an at -large elected mayor and eight council members. The City manager is the Chief Administrator of the city and is appointed by and accountable to the council. Also, like Dallas, water, sanitation, sewer services, and police and fire protection, as well as street and bridge maintenance are all provided by the City government. The other utility carriers of electricity, gas and telephone are all provided by the companies serving Dallas. Conclusion Total Nonfarm employment increased by 33,600 jobs in November, following a revised October gain of 58,800 jobs to reach 13,672,900 positions. The November employment level marked the 13th record high in as many months with seven of 11 major industries growing on a monthly basis. Since November 2021, employment expanded by 657,600 positions, with the private sector contributing 635,100. As of November 2022, Total Nonfarm employment exceeded the pre - pandemic level set in February 2020 by 706,700 positions. All 11 major industries achieved positive annual growth for 14 consecutive months. The Leisure and Hospitality industry reached a seventh consecutive employment high by adding 20,200 positions in November. After a revised increase of 6,500 jobs in October, Education and Health Services employment climbed another 5,400 jobs to reach a new series high for the seventh time in nine months. Mining and Logging employment registered the largest monthly increase since June 2022 with 3,800 positions for November. The Texas unemployment rate remained at 4.0 percent for the third consecutive month in November, the lowest level since the February 2020 pre -pandemic rate of 3.5 percent. The 23.0120 20 TODD PROPERTY ADvison REAL PROPERTY ANALYSTS, iNc. monthly rate also remained steady or decreased in 30 of the last 31 months. Since November 2021, the unemployment rate fell by 0.9 percentage points from a reading of 4.9 percent for November 2021. The rate decreased annually in each of the last 20 months, beginning April 2021. The U.S. rate remained unchanged at 3.7 in November. So far in 2022 the rate has decreased or remained steady in eight of 11 months. Annually, the U.S. unemployment rate decreased 0.5 percentage points from a November 2021 level of 4.2 percent. Chian Labor Fome Estimated for Texas and the United States Seasonally Adjusted (In Thousands) Tx LaborForoeSUnstics US Labor Form SteNsfin Yewv Yearly Norr622 Oct-22 Now21 Cmmge HOv-22 odM Novo-21 Chano E3= Labor Force 14.584.428 A602.133 14W,948 30E%482 pvi m LaborForce IK481.000 164.667.000 IR128,000 2,366.ODD Employed 14.014544 140MPS 13.58 OOD 422.484 B uployed MA470.000 158.808.00D 15432A OOD 3614%OOD Unemployed 578864 B99.Z7 6EK888 -11%002 Un8MpkVW %011.000 6.0FA00D %MOOD 791,ODD Unem eat Rate 4,0% 4,096 4k9% -0.9% Unemployment Rabe 3.7% 17% 42% -0 5X Texas Employment by Industry Seasonally Adjusted (in Thousands) E1IDU87RY 7rILE mpioyymeat X of Tdd X of TOM! npioym X d Tabi age � ! ad nt ummonnoftdiuld 13.121.568 100.0% 12.8D7.470 100.0X 1Z.404,842 100 OX 1.7% S 8% Told Mae 12.BEB IM 98..996 12.444.679 OEM 11,SX423 982% 1.7% 6.09E Goods Road" 1,9A892 1S1% 1,9X615 110% 1.871.517 1S1% 2.3% 8.0% 110hzd Resoaroes and Ndn9 2S%200 1.99E 248;w 1.9% 234,429 1.9% 289E &0% Constntdlon 80%480 62% 787,331 a1% 787.= 62% 27% 5.3% Minufachn1bg 922,232 7.07E 9AC12D 7.0% SK40D 7.09E 12% 6.1% SmIceftwAdIng 11.137.GM 84.876 10.96T W 8%0% 10=325 84.89E 1.5% S7% Tra ft 7tanspartatlon and UtBiies Z75NI45 21.0% Z73%118 212% 2.806 M 21.07E, O.S% S 3% Iloanatbn 235`014 1.8% 227.799 12% 211,389 1.79E 32% 112% Fammdd ArlwRles 851.80 8.S% 839?B1 CLB% 80S;" B.SX 1.6% S7% Pratesslond and Business Servloes 2,081.628 1 &7% 2.02rkM S 15.7% 1.884,806 152X 1.8% 94% Mucallon and Heath Services ZOMOOD 22.7% 2.9E38.925 2&0% Z,90 O60 23.4% O:S% 27% LelsureandliosplU tly 1,438,673 11.0% 1,3EE4,9BS 102% 1=426 10.7% S4% 8.8% CWwrSenfim 349.365 27% 33%983 26% 3AM4 27% 2.8% 6.0% PublIcAdhdalsballon =1 3LS%l 4GZ7M 1 16%1 4W9.3.6% 0.69E -aft As illustrated in the recent statistics, the Dallas -Fort Worth -Arlington Metroplex continues to be one of the fastest growing areas of the United States prior to the COVID-19 pandemic. This trend is expected to continue in the future and through the year 2030, as population is expected to reach 9.1 million. More employers are expected to migrate to D/FW, and therefore provide an increased number of jobs. Dallas/Fort Worth accounts for over 30 percent of the State's gross regional product and is a national leader in the creation of new jobs, corporate relocations, and technology -related businesses. One of the primary factors in maintaining this employment growth is excellent access to the area provided by a well -developed highway system and D/FW International Airport, as well as an extensive rail transportation system. Since the late 1990s, the D/FW economy has shown good signs of growth and stability. Many experts are guardedly optimistic about the current economic outlook as it compares favorably to a softening national economy and the last two years of erratic energy prices. Dallas/Fort Worth is larger today in population than 27 states, and is a major economic, social, and political center of both Texas and 23.0120 21 TODD PROPERTY ADVISORS REAL. PROPERTY ANALYSTS, INC. the United States. Due to the changing demographics, the regional economy in general, and the continued stability of the local government, expectations for the region's future are optimistic. At the beginning of 2020, the Dallas/Fort Worth region had been impacted positively by a resurgence in the national economy since the Great Recession of 2008. The resurgence appears to have continued into 2022, despite the impact of the COVID-19 pandemic, as the D/FW market in general has gained economic growth and remained attractive for investment opportunities. Given this, indications are that market conditions within this region are moving in a positive direction; however, the forgoing is subject to the COVID-19 statement discussed previously in this report. It remains our contention at this time it is impossible to fully quantify the impact of the COVID-19 pandemic, subsequent lockdowns and economic disruptions on the commercial real estate market. However, it is our opinion that if there were to be a quick rebounding of the local and national economies post COVID-19, it would result in only a minimal loss in value, if any, to the subject, due to the strong Dallas/Fort Worth economy leading into the pandemic. 23.0120 22 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. CITY/NEIGHBORHOOD ANALYSIS A neighborhood is defined in The Appraisal of Real Estate, Fifteenth Edition, published by the Appraisal Institute, as a group of complementary land uses. Land uses within a neighborhood are not necessarily homogeneous, as in a district, but are related in that property values are affected by the same factors. Neighborhood boundaries identify the physical area that influences the value of a subject property. These boundaries may coincide with observable changes in prevailing land use or occupant characteristics. Physical features such as the type of structures, street patterns, terrain, vegetation, and lot sizes tend to identify land use districts. Transportation arteries, bodies of water, and changing elevation can also be significant boundaries. To identify the neighborhood boundaries, we have followed the following four steps (summarized), as recommended within The Appraisal of Real Estate: 1) Examine the subject property, 2) Examine the area's physical characteristics, 3) Determine preliminary boundaries on a map; and 4) Determine how well the preliminary boundaries correspond to the demographic data. coi 919 ir,n ere. 1 wasior� - A" i. _ Subject Property `2 �r J t� r,. ❑lue Rltlt� V Valdasla Fay:'. tdnlas.+ .13)r Slln'd' A F �^ The following neighborhood description will include a definition of the boundaries of the subject neighborhood, a discussion of the primary thoroughfares, types of improvements along these thoroughfares, the density of development, secondary street infrastructure, and a discussion of the type of commercial uses within the neighborhood. The subject neighborhood, as defined 23.0120 23 TODD PROPERTY ADvisoRs REAL PROPERTY ANALYSTS, INC. herein, is considered to be the immediate competing trade area for the subject property, taking into account the various types of land uses present or reasonably probable in the neighborhood, patterns and rates of growth, traffic patterns and density, and the density of land use, among other factors considered in the previously suggested steps. All of these factors are considered influential in the determination of the value of the subject. Neighborhood Boundaries The subject site is physically located along the west line of County Road 422 (Leonard Avenue), just north of Foster Crossing Road. The neighborhood is defined as the zip code 75409. The neighborhood has good accessibility given its proximity to U.S. Highway 75 and Texas Highway 121 and the major transportation nodes. Location The subject property is located in Anna's ETJ, Texas, in Collin County. The site is heavily influenced by the Dallas/Forth Worth Metroplex. The subject property is located approximately 40 miles north of the Dallas Central Business District. Primary north/south roadways within the neighborhood include the following: U.S. Highway 75, North Powell Parkway, Texas Highway 121, and County Road 3356. Primary east/west roadways include the following: Outer Loop Road, County Road 455, and County Road 2862. Population As can be seen in the following charts provided via the Site to do Business, the 2022 population estimate was 26,036. The population has grown at a steady rate of 9.49 percent annually since 2020. Population between 2022 and 2027 is expected to grow at a steady rate of 3.04 percent annually. The charts for population and household growth are located below. Population on 2010 Population 11,778 2020 Population 21,232 2022 Population 26,036 2027 Population 30,246 2010-2020 Annual Rate 6.07% 2020-2022 Annual Rate 9.49% 2022-2027 Annual Rate 3.04% 2022 Male Population 49.4% 2022 Female Population 50.6% 2022 Medlan Age 33.8 In the Identified area, the current year population Is 26,036. In 2020, the Census count in the area was 21,232. The rate of change since 2020 was 9.49% annually. The five-year projection for the population in the area Is 30,246 representing a change of 3.04% annually from 2022 to 2027. Current!y, the population Is 49.4% male and 50.6% female. 23.0120 24 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Households 2022 Wealth Index 98 2010 Households 3,845 2020 Households 6,759 2022 Households 8,317 2027 Households 9,722 2010-2020 Annual Rate 5.80% 2020-2022 Annual Rate 9.66% 2022-2027 Annual Rate 3.17% 2022 Average Household Size 3.13 The household count in this area has changed from 6,759 In 2020 to 8,317 In the current year, a change of 9.66% annually. The five-year projection of households is 9,722, a change of 3.17% annually from the current year total. Average household size is currently 3.13, compared to 3.14 In the year 2020. The number of families In the current year Is 6,5151n the specified area. Income According to the Site to do Business, the 2022 median household income within the neighborhood was $97,134, which is above the national average of $72,414. Income is projected to grow at a relatively steady rate of 2.00% over the next five years. Located below is a chart detailing the median, average and per capita income for the subject neighborhood. Median Household Income 2022 Median Household Income $97,134 2027 Median Household Income $207,264 2022-2027 Annual Rate 2.00% Average Household Income 2022 Average Household Income $112,527 2027 Average Household Income $132,146 2022.2027 Annual Rate 3.27% Per Capita Income 2022 Per Capita Income $36,295 2027 Per Capita Income $42,979 2022-2027 Annual Rate 3.44% Households by Income Current median household Income Is $97,134 In the area, compared to $72,414 for all U.S. households. Median household Income Is projected to be $107,264 in five years, compared to $84,445 for all U.S. households Current average household Income is $112,527 in this area, compared to $105,029 for all U.S. households. Average household Income is projected to be $132,146 in five years, compared to $122,155 for all U.S. households Current per capita Income is $36,295 In the area, compared to the U.S. per capita Income of $40,363. The per capita Income is projected to be $42,979 in five years, compared to $47,064 for all U.S. households Household Income 35 30 25 ■ 2022 V20 1$ 2027 y 15 10 5 g <$ISK $15K425K $25K435K $35K'$SOK $50K-$75K $75K-$300K $100K-$t50K $15014-S200K $200K; 23.0120 25 TODD PROPERTY AOvisORS REAL PROPERTY ANALYSTS, INC. Employment According to the Site to do Business, employment was relatively high with a low unemployment rate of 2.8%. The main industries within the city include Professional, Management/Business/Financial, and Administrative Support. Approximately 66.4% of residents work in white-collar jobs. Civilian Population 16+ Population 16+ Employed Population 16+ Unemployment rate Population 16-24 Employed Population 16-24 Unemployment rate Population 25-54 Employed Population 25-54 Unemployment rate Population 55-64 Employed Population SS-69 Unemployment rate Population 6S+ Employed Population 65+ Unemployment rate 2022 Employed Population 16+ by Industry Total Agriculture/Mining Construction Manufacturing Wholesale Trade Retail Trade Transportation/Utilities Information Finance/Insurance/Real Estate Services Public Administration 2022 Employed Population 16+ by Occupation Total White Collar Management/Business/Financial Professional Sales Administrative Support Services Blue Collar Fanning/Forestry/Fishing Construction/Extraction Installatiory Maintenance/Repalr Production Transportation/Materlal Moving Conclusion 23.0120 26 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. The neighborhood has been impacted positively by a recovery and growth in the national economy since the end of the Great Recession. The progress continued throughout 2019, 2020, 2021, 2022, and into the first quarter of 2023 and was anticipated to continue into the near future. The D/FW market in general experienced economic growth and remained attractive for investment opportunities. Given this, indications were that market conditions within this neighborhood were moving in a positive direction; however, the forgoing is subject to the COVID- 19 statement discussed previously in this report. 23.0120 27 SECTION III - FACTUAL DESCRIPTIONS AND ANALYSES TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. SITE DESCRIPTION AND ANALYSIS Site description consists of comprehensive factual data, information on land use restrictions, a legal description, other title and record data, and information on pertinent physical characteristics. Site analysis goes further. It is a careful study of factual data in relation to the market area characteristics that create, enhance, or detract from the utility and marketability of specific land or a given site as compared with other sites that it competes with. 6 Location and Legal Description The subject property consists of a 2.890 acre (125,888 square foot) tract. The subject tract is located on the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas. It should be noted, the tract has a municipal address 3020 Leonard Avenue, Anna, Collin County, Texas. A summarized legal description of the subject tract is as follows: Abstract Number A0798 of the G. Stark Survey, Sheet Number 2, Tract 65, Collin County, Texas. Size and Shape A survey of the parts acquired and a parcel map for the subject tract is located on the following pages. The subject tract consists of land totaling 2.890 acres, or 125,888 square feet, of land improved with a single-family residence, a manufactured home, two barns, a detached carport, and site improvements. The tract is near rectangular in shape. The portion of the site from which property rights are proposed to be acquired by the City of Anna's is a 0.455 acre (19,811 square foot) tract for a right-of-way dedication acquisition. 7 The Appraisal Institute, The Appraisal of Real Estate (Fifteenth Edition), Chicago, Illinois, 2020, page 138. 6 Ibid. page 141-142. 9 The Appraisal Institute, The Appraisal of Real Estate (Fifteenth Edition), Chicago, Illinois, 2020, page 165. 23.0120 29 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Parcel Map 2513 7T1i6Z.•- 63., 7i�643 2511 p BROOK -tG71 1 2625 2 is Z B22 NP'263320 63 a �W' 5S\ 33 X31 2'0 �J X41 w BROOK - - 1+e w U Q 798 ra IS . �J CJ V 0 Q 3031 70� I 3122 Z — — 0 V Subject Property Subject is outlined in purple. Parcel Map Courtesy of Collin Central Appraisal District (Collin CAD). 23.0120 30 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSES, INC. Survey of the Right -of -Way Dedication Acquisition EXHIBIT"A" RIGHT-OF-WAY DEDICATION CITY OF ANNA, COWN COUNTY. TEXAS Being a tract of land, situated In the G. Stark Survey, Abstract No. 798. In the City of Anna, Collin County, Texas, and being a part of that called 2.89 acre tract of land, described in deed to Richard A. McMlnlmy and wife. Catherine F. McMinlmy, as recorded under Document No. 20070206000169410, of the Official Public Records. Collin County, Texas (O.P.R.C.C.T.). said tract being more particularly described, a, follows: BEGINNING at a point for corner, being the southeasterly tamer of said 2B9 acre tract, and being the northeasterly comer of a called 16.426 acre tract of land, described In deed to Canvas Anna Owner, I.I.C. as recorded under Document Na 202200DO69950. O.P.R.C.C.T, and being In Leonard Avenue (County Road No. 422). from which a 3/8" Iran rod found bears. South 06'43'02' East, a distance of 21S': THENCE North 89'39'00' West, along the common line between sold 2.89 acre and 16.426 acre tracts, a distance of SOW to a 5/8" Iron rod with a yellow plastic cap stamped "RPLS 5686' set for the southwesterly comer of the herein described tract; THENCE North OOW'56' East, over and across sold 2.89 acre tract, a distance of 326.21' to a 1/2' Iran rod farad In the northerly line of sold 2.89 acre tract, some being the southeasterly comer of Lot 1. Block 1, of ANNA Is7.E1DiNTdRY NO. 9, an addition to the City of Anna, as recorded In Vdume 2018, Page 253, O.P.R.C.C.T., said comer also being the southwesterly comer of a called 60' right—of—woy, dedication of said addition, from which a 1/2" Iron rod found bears, North 8735'47" West, a distance of 297.25% THENCE South 8735'47' East, along the northerly line of sold 289 acre tract, some being over and across said Leonard Avenue, a distance of 61.90' to a point for corner, being the northeasterly comer of said 289 acre tract; THENCE South 00'49'42' West, over and across sold Leonard Avenue, same being the casterly line of sold 289 acre tract, a distance of 324.00' to the POINT OF BEGINNING and cantaining 19.811 square feet or 0.455 acres of land. more or less. ABBREVIATIONS I.R.F. Iron Rod Found (R.N.) Record Monument C.I.R.F. = Capped Iron Rod Found C.I.R.S. = 5/0' Iron rod with yellow plastic cap stumped "RPLS 5686" set M.R.C.C.T. — Map Records, Collin County, Texas D.R.C.C.T. = Deed Records, Collin County, Texas O.P.R.C.C.T. = Official Public Records, Collin County, Texas The mete and bounds descr(sb'arn is vacmnpenisd by a survey plat of even date. d 111CHAEL H. ARTHUR N \ 5688 DATE: 01/18/2020 RIGU,pF WAY DEDICATION NOrth Texas Surveying, L.L.C. BEVEM: 0.455 ACRES IN THE STARg SI1AVBY O � � � Rl&G. 1010 treat Oiveratty Drive SCALE: 1' = 100' ABSTRACPNO.799 KuYdnary. Tx. 75059 CHILD. Br: tuaA MY OF ANNA, Pa. (MO) 42a-2m4 I=: (4m) a —Isar 70B NO.: 2-0004 028 COLLIN COUNTY, www.aarthtesemurreylvg.com IYrm Registration No. 10074200 23.0120 31 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. I 1 l I � 1 (V j I 1 1 -W Z zr Lot 1 Bloek 1 EMARV v �+n Q m o $� ANNA NO. 0� �p �_ In: Vol. 2018, Pg. 253, C 5 �? OP.R.C.C.T. cQN 13 c t abo SBrW4T`E 61.90" I (R fit.) h18i'35'4 112' Lim 297.25* 0? A0 I � N 4 � Called 2.e9 Acme 1 1 I Richard A. MdWrtimy and d +rnTe, Catherine IItcRJI mny )u DNo. 2007020ur00020500 0169410. I -'w QP.I�C.C.t. 19 S a POINT OF Z BEG9KNO I � 1 1J8939'00'W 34a9l' — i-MM — — Part of 1�. M Called 360.M Acres (RAL) , Harlan PraWUe% Inc. NB9U9'23'W (:89039=V 60.Oa' .1" Document No. 2012122BOOM0300, QP. P-QC.T. I6 SCOT 1'14'W 800.79' Called 16,426 Acm I ' K Canvas Anna Owner. LLC T2022000069250, (g Document No. , o �'� GRAPHICSCALE 0. 06tl 100 I O.P.R.C.C.T. ( � I VAG NAIL I'► 1 inch — 100 f. FWD. (&A() I Bacrihi are based an ft Texas State Pima Coordinate System, North 7hrs survey plat is accempanled by o metes end bounds desniption of even date. Central Zone (4202). NAD83 (20111 DAM: 01/18/2023 '-OF-WAY DHDM10N OASS ACRES INTBB G. STAW SMVEY ABSTBALTNO. 798 CITY OF ArNNA, OOLidN OOUNt'Y 1ffi�AS � North Tom Smveyin& L.L.C. Rq tWndPr &ed=dL adMzvMyM 1010 vest IIniv= It!yy Drlive Mazinnor. Tz. 75M Is.n. (as9) 4W-2074 ram(450) aa.�IM www.aartbt�urveylag.com r1rm Rogistral1an No. 10074M HMMM: SCAM: 1" o i0O' QW0. 33Y: YB.A. JOB NO-.OM-0004 23.0120 32 TODD PROPERTY ADVISORS RmLfton TYAN yws,INC. Access and Exposure The subject parcel can be accessed by traveling north along U.S. Highway 75, then east on West Outer Loop Road, then north on County Road 5, then east on East Foster Crossing before arriving at the subject on the east line of Leonard Avenue (County Road 422). Given the subject property's proximity to U.S. Highway 75 and West Outer Loop Road, access and exposure to the site is considered to be good. Flood Zone Our analysis of flood plain considerations was conducted through a review of Community -Panel Number 48085C0160J, dated June 2, 2009 as prepared by the Federal Emergency Management Agency (FEMA) National Flood Insurance Program. A copy of the FEMA map for the subject property is located as follows. After careful inspection of the property and analysis of flood plain maps, it appears that none of the subject lies within the 100 or 500 year floodplain. National Flood Hazard Layer FIRMette 0 250 B00 1 000 Subject Property HMA Legend wr�um�xw� .•w.,d. r.ea..p ... ommrnw 4eeaue:E, rwe,mn.=... wiuAn — mn ar W^YM ,rgOwpe O11Y1 iEplVlm ,M1enW^^.Irwure .= d0Y1pYMeYN e p.eel4ru Ms0Y - I.W MfEIi, 4nupMa 4 neppmnY aaequ M 23.0120 33 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSIS, INC. Topography The site topography is generally considered mostly level and cleared. Furthermore, the topography should not limit the use of the property. Drainage of the site appears to be adequate. Surrounding Land Uses The land usage surrounding the subject property consists of a public elementary and middle school to the north and west, a multi -family housing development to the south, and vacant land to the east. Predominant uses in the vicinity of the subject are commercial uses along major thoroughfares and residential uses along secondary thoroughfares. An aerial photograph depicting the subject in relation to surrounding properties is located as follows: Subject Property 23.0120 34 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Solis Strict attention should be taken to the soils, insofar as preliminary site work preparation and excavation is concerned, as damage may occur to the improvements if proper precautions are not undertaken. However, these soil characteristics are common throughout the Metroplex and should not seriously hinder the development potential of the site, provided proper site preparation and planning is undertaken. Based upon the extent of development in the subject neighborhood, there is no anticipated difficulty with improvements built upon these subsoil conditions, assuming proper design and workmanship. Existing Acquisitions We were not furnished, and it is beyond the defined scope of our assignment to obtain title work for the subject property. For purposes of this analysis we are assuming that only typical utility easements, exist and that they would not, and/or have not adversely affected development of the subject property. If this assumption is not correct it could necessitate re -analysis. Utilities and Public Services The subject property appears to have access to all utilities. Telephone and electricity service are available from multiple providers, and natural gas is provided to the area from Atmos Energy. The subject is also serviced by public utility services, including police and fire protection. Conclusion The subject property is located on the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas and has a municipal address of 3020 Leonard Avenue, Anna, Collin County, Texas. The subject consists of a 2.890 acre (125,888 square foot) tract of land that is improved with a single family residence, a manufactured home, two barns, a detached carport, and site improvements and site improvements. The subject property of this report is near rectangular in shape and has road frontage along Leonard Avenue (CR 422). The subject property has good access and exposure. The subject has a level topography and adequate drainage. Soil and subsoil conditions are not anticipated to severely restrict the development potential of the site. 23.0120 35 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. ZONING AND OTHER LAND USE RESTRICTIONS The subject tract is located within Anna's ETJ and is not subject to the Anna's zoning ordinance. Furthermore, to the best of the appraisers' knowledge, there are no known deed restrictions, either public or private, that would further limit the utilization of the subject property. This statement should not be taken as a guarantee or warranty that no such restrictions exist. Deed and title examination by a competent attorney on the property appraised is recommended if any questions regarding such restrictions should arise. Zoning Map Subject Property Zoning Map courtesy of the City of Anna. 23.0120 36 TODD PROPERTY ADVISORS RE LPmPERT AN yus,INC. TAX ANALYSIS The Texas legislature has provided for a unified system of taxation for the assessment and collection of real property taxes. In each county an appraisal district is established for the purpose of listing and assessing all real estate within the county. Real property is presumably assessed at 100 percent of market value. Once the taxable value ofthe property is established bythe appraisal district, each of the individual taxing authorities within the county set their own tax rates. The subject property is taxed by the following taxing jurisdictions. The subject property is assessed by the Collin CAD. The following table depicts historical property tax rates for the taxing authorities. Collin County Tax Rates Compound Rate of Change Tax Authority 2018 2019 2020 2021 2022 2018-2022 Collin County $0.1807850 $0.1749510 $0.1725310 $0.1680870 $0.1524430 4.17% Collin County Community $0.0812220 $0.0812220 $0.0812220 $0.0812220 $0.0812200 0.00% College Anna ISD $1.6700000 $1.5683500 $1.4746000 $1.4603000 $1.4429000 -3.59% Total Tax Rate $1.932007 $1.824523 $1.720531 $1.709609 $1.676563 -3.48% As the table above indicates, the overall tax rate for property located within this portion of Collin County have been decreasing by 3.48 percent per year during the five-year period. Tax rates are anticipated to remain fairly stable in subsequent years. According to the Collin CAD records, the subject has an assessed value as follows: Tax Summary Tax I.D. Number land Value Improvement Value Total Market Value 2550532 $86,700 $180,265 $266,965 Total Assessment $86,700 $180,265 $266,965 Assessment PSF: $0.69 $54.20 $80.27 Tax Summary Tax Authority Tax Rate Per $100 Assessed Value Homestead Cap Loss Taxable Value Estimated Taxes Collin County $0.152443 S266,965 $28,326 $238,639 $364 Collin County Community College $0.081220 $266,965 $28,326 $238,639 $194 Anna ISD $1.442900 $266,965 $28,326 $238,639 S3,443 Total Taxes: $4,001 Based upon the 2022 tax rate of $1.676563 per $100 of assessed value and the subject property's 23.0120 37 TODD PROPERTY ADvisORs REAL PROPERTY ANALYSTS, INC. proposed 2022 assessed value of $238,639 (including the homestead cap loss) for the subject property. The subject property has a 2022 tax expense after homestead reductions of $4,001. Lastly, based upon the market value conclusion of this report for the land only, the subject property appears to be under assessed. 23.0120 38 I x a _ TODD PROPERTY ADVISORS REAL PROPERLY ANA ms, INC. SUBJECT PROPERTY PHOTOGRAPHS Looking West Across the Subject (Improvements Not Within Acquisition) Looking West Across the Subject (Improvements Not Within Acquisition) 23.0120 40 r y t i �'. a �. •.Il. k � 1 -°� >§ �\��� , » � \�»�� ®«« \\<� .©»» � � � � �»� 2 } ~ \ � « - .\ . < _� � : \ ���� d5� ��\�\>^ �� � � � � � � > r ., . �� y��� «��� � � � ��f\ TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. HIGHEST AND BEST USE ANALYSIS The economic principles which affect the market value of real property also play a significant role in forming the property's highest and best use. In all valuation assignments, value opinions are based upon use. The highest and best use of a property provides the foundation for a thorough investigation of the competitive positions of market participants. Consequently, highest and best use can be described as the foundation upon which market value rests. The highest and best use of a property is defined as follows: The reasonably probable use of property that results in the highest value. The four criteria that the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum productivity. ' With regard to vacant land, the highest and best use is generally regarded as that use among all reasonable, alternative uses, which yields the highest present land value, after payments are made for labor, capital, and coordination. It is to be recognized that in cases where a site has existing improvements on it, the highest and best use may very well be determined to be different from the existing use. Analysis of the highest and the best use of a property as improved implies that the existing improvement should be renovated or retained as is so long as it continues to contribute to the total market value of the property, or until the return from a new improvement would more than offset the cost of demolishing the existing building and constructing a new one. Furthermore, the existing use will continue, unless and until land value in its highest and best use exceeds the total value of the property in its existing use. Implied within this definition is recognition of the contribution of that specific use to community environment or to community development goals in addition to wealth maximization of individual property owners. In appraisal practice, the concept of highest and best use represents the premise upon which value is based. In the context of most probable selling price (market value) another appropriate term to reflect highest and best use would be most probable use. The most probable use is defined as follows: 1) The use to which a property will most likely be put based on market analysis and the highest and best use conclusion. The most probable use is the basis for the most probable selling price of the property. 2) Highest and best use in the context of market value. 8 7 The Appraisal Institute, The Dictionary of Real Estate Appraisal (Sixth Edition), Chicago, Illinois, 2015, page 109. 8 Ibid. page 152. 23.0120 44 TODD PROPERTY ADvisoRs REAL PROPERTY ANALYSTS, INC. To test for the most feasible or the highest and best use for land as vacant all logical and feasible alternatives must be analyzed. All alternative uses must meet four criteria. The criteria are as follows: 1) The legal use of the site — what uses of the site are permitted under applicable zoning ordinances and other legal restrictions. 2) The physical use of the site — what potential uses of the site are physically possible. 3) The feasible use of the site — what possible and legally permissible use of the site will produce a positive return. 4) The maximum productive use of the site — among the highest financially feasible uses, the use that provides the highest rate of return, or value (given a constant rate of return), is the highest and best use. While some investors/developers seek to maximize their returns, most seem to operate on the belief that the available information is too imperfect to permit optimization or maximization. It appears that the typical investor is satisfied if their investment can be expected to return a yield that will meet their standards. Thus, it is possible for more than one single use to be feasible for a site if the uses meet an investment criteria of the typical investor/developer for a property. Generally accepted professional appraisal practice dictates that in appraising improved property, the highest and best use be estimated under two different premises. First, the highest and best use of the site "as vacant and available" must be estimated. The second analysis estimates the highest and best use of the property "as improved" or "proposed to be improved." Highest and Best Use, as if Vacant The first question to be answered, What uses are legally permissible? requires a review of the zoning restrictions applicable to the site. As indicated in the Zoning and Land Use Restrictions section of this report, the subject is currently not zoned and is not subject to any zoning ordinances. Given the property's location and its configuration and surrounding land uses, future commercial use appears to be the most logical use for the site. Addressing the second question, What uses of the site are physically possible? requires a review of the physical characteristics of the site. The subject site consists of a total of 2.890 acres (125,888 square feet). The subject property is physically located at the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road in Anna's ETJ, Collin County, Texas. The size of a parcel of land is important in terms of feasible development alternatives, and, ultimately, the value of the land. Optimal size is that which allows the highest marginal returns on investment after development. A tract of land which is too large is worth more in subdivided parcels whereas a tract which is too small for development is worth more when combined with contiguous sites. A less than optimally sized small tract may be further constrained if contiguous tracts are 23.0120 45 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. currently developed to their highest and best use. In such a case, assemblage may not be a viable alternative. The subject is considered to have good exposure and good access. The immediately surrounding area is predominantly commercial development along primary roadways and vacant land and residential development along secondary roadways. The subject property has good ingress and egress from Leonard Avenue (CR 422). At the subject, Leonard Avenue (CR 422) is a two-lane, bi-directional, secondary thoroughfare. Thus, the subject is considered to have good exposure for a future commercial development. The subject tract is surrounded by a school, multi -family residential, and vacant land uses. The site has a level topography and drainage appears to be adequate. This topography is conducive for residential use. Thus, the topography of the site does not significantly limit its use. The site does not appear to be adversely affected by acquisitions, or encroachments. None of the subject property is located in a flood prone area. Additionally, soil and subsoil conditions are not considered to significantly hinder the development potential of the site. Answering the third and fourth questions, What uses are pnancially feasible? and What uses are maximally productive? requires an analysis of potential income based on demand that could be expected from all physically possible and legally permissible uses. Upon inspection of the surrounding neighborhood, there is currently a fairly significant amount of vacant land within the immediate vicinity of the subject tract. The current land sales within the subject neighborhood have been acquired for multi -family residential development, single family residential development, and commercial development. Given the location and surrounding/future land uses and the subject's proximity to the school and multi -family residential development, the highest and best use of the subject tract is for commercial development. The most likely purchaser would be an investor. 23.0120 46 TODD PROPERTY ADvlsoRs REAL PROPERTY ANALYSTS, INC. THE APPRAISAL PROCESS The appraisal process represents a logical analysis of the factors that bear upon the present value of real estate. In this process, three basic approaches are typically used by appraisers: 1) the Cost Approach, 2) the Income Capitalization Approach, and 3) the Sales Comparison Approach. The Cost Approach is based upon the proposition that an informed purchaser would pay no more than the cost of producing a substitute property with the same utility as the subject. First, the subject's site is valued (as if vacant) by comparing it to the sale of similar sites using the Direct Sales Comparison Approach. The reproduction cost new is then estimated for the subject improvements, and from this, an amount is deducted for depreciation from all causes to arrive at a value via the Cost Approach. The Income Capitalization Approach is the process in which the anticipated flow of future benefits (dollar income or amenities) is discounted to a present worth figure through a capitalization or direct discount procedure. All expenses attributable to the real estate are deducted from an effective gross income estimate to arrive at forecasts of applicable net income streams. The net income streams are then "capitalized" or discounted into value by market abstracted rates. Facilities similar to the subject are often developed and/or acquired by investors and as a result, the income potential of the property is given significant emphasis. The Sales Comparison Approach is based upon the proposition that an informed purchaser would pay no more for a property than the cost to him of acquiring a similar property with the same utility. In this approach, similar properties that have recently sold are compared to the subject. Notable differences in the utilized comparables are adjusted to the subject in the process. Comparisons are made and are typically based upon the terms of sale, age, location, size, financing, and physical characteristics. Adjustments are abstracted from the market and/or otherwise supported to represent the actions of buyers and sellers in the market. The value range that is indicated by the adjusted comparable sales is correlated or reconciled into a final value. The subject property is a tract of land consisting of 2.890 acres, or 125,888 square feet. Additionally, the subject is improved with a 1,982 square foot single-family residence with an attached garage, a detached carport, a covered patio, an enclosed porch, and site improvements (concrete driveway). There are two barns and a 1,344 square foot manufactured home located on the tract of land. However, as permitted by Standard Rule 1-2(e)(v), only the land and affected site improvements are valued within this appraisal. Therefore, we have provided a value of land only via the Sales Comparison Approach. 23.0120 47 SECTION IV - LAND VALUATION TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. LAND VALUATION "Sales comparison is usually the preferred methodology for developing an opinion of site value. When this method is used, most of the techniques for selecting comparable sales and making adjustments that are described in Chapter 20 [of The Appraisal of Real Estate, Fifteenth Edition] can be applied to site valuation. When there are not enough sales of similar parcels for the application of sales comparison, alternative methods such as market extraction, allocation, land residual analysis, and various income capitalization techniques may be used. "9 All of these land valuation procedures, which are summarized below, are derived from the three traditional approaches to value. — Sales Comparison — Sales of similar, vacant parcels are analyzed, compared, and adjusted to provide a value indication for the land being appraised. — Market Extraction —An estimate of the contributory value of improvements is deducted from the total sale price of a property to arrive at an indicated land value for the comparable. The indicated land values of the comparables are then compared to provide a value indication for the land being appraised. — Allocation —A ratio of site value to property value is extracted from comparable sales in competitive locations and applied to the value of the improved subject property or comparable properties to develop the site value. — Direct Capitalization: Land Residual Analysis — The net operating income attributable to the land is capitalized or the cost to construct an improvement is deducted from the value as if completed to produce an indication of the land's contribution to the total property. — Direct Capitalization: Ground Rent Capitalization —A market -derived capitalization rate is applied to the ground rent of the subject property. — Yield Capitalization: Discounted Cash Flow Analysis -Subdivision Development Analysis — Direct and indirect costs and entrepreneurial incentive are deducted from an estimate of the anticipated gross sales price of the finished lots or units, and the net sales proceeds are discounted to present value at a market -derived rate over the development and absorption period. If entrepreneurial incentive is not deducted as a line -item expense, then the discount rate must reflect the full effect of any profit. When sufficient market data is available, the best method of site valuation is the Sales Comparison Approach. This method calls for comparison weighing and relating sales data to the site being appraised. The data can be analyzed and the indications of adjustments for time, location, physical utility and conditions of sale, can then be applied so as to result in a meaningful value opinion for the subject site. For a sale to be truly comparable, the highest and best use of the comparable land should be the same or similar to the appraised site. This is the method of site valuation, which will be utilized in this report. 9 The Appraisal Institute, The Appraisal of Real Estate (Fifteenth Edition), Chicago, Illinois, 2020, pages 339. 23.0120 49 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. COMPARABLE LAND SALES PRESENTATION The subject market was searched for sales of tracts of land most comparable to the subject. After sales were selected for more analysis, the public records were researched and verification of the details of the sales was obtained from parties knowledgeable concerning the sales. We then analyzed the specific differences and made appropriate adjustments, abstracting these adjustments from the market whenever possible. The final reconciliation of these adjusted sales indicated a value of the subject property. A map depicting the location of the sales in comparison to the subject property is located below. 1]I 127 EE Weston _ Anna :ev r?D nes Celina Pink ® - © Calf 20 n EM J • 1 EE I �J 91 7-1 y O o „a o 0 Melt as> O Roland tier, Park n o � 0 o ® ll9 ILl 21B O O O Map Comparable Summary Map # Date Size of Sale (Acres) Sales PrlcelSF 1 8/15/22 9.951 $5.80 2 3/15/22 0.863 $13.75 3 12/23/21 9A30 $6.50 4 6/23121 1.163 $8.19 5 9/15/20 1.140 $15.25 6 4/29/20 2.711 $3.90 © 2.890 Subject 23.0120 50 PROPERTY IDENTIFICATION Location (Physical): Legal Description: DATA COMPARABLE LAND SALE NUMBER 1 N Line of E Foster Crossing Rd, E Powell Pkwy Collin County, Texas Abstract Number A0798 of the G. Stark Survey, Sheet 2, Tract 104, City of Anna's ETJ, Collin County, Texas Grantor Robert W. Price Grantee: 615 Foster Crossing Investment, LLC Date of Sale: August 15, 2022 Recording Information: Doc#2022000125116 Property Rights Conveyed: Fee Simple Estate Conditions of Sale: Arm's Length Transaction TODD PROPERTY ADVISORS REALPROPEm ANALYSra,INC. Sales Price: $2,500,000 Participant's Sale Terms: Cash to Seller Cash Equivalent Price: $2,515,000 Intended Use: Investment Road Frontage: East Foster Crossing Size of the Tract: 9.951 acres Configuration: Irregular 433,476 square feet Flood Plain: None Improvements: House & Barn Topography: Level & Mostly Cleared Utilities: All Available Zoning: Not Zoned UNITS OF COMPARISON Actual Sales Price Per Sq. FL: S5.77 Cash Equivalent Price Per Sq. Ft.: $5,80 Contact Person: Males Fray Adamskl Telephone Number: (972) 965-7611 Position: Listing Broker Property is located along the north line of East Foster Crossing Road, Just east of Powell Parkway in Anna's ETJ (extm-territorial fiction), Texas. The property reportedly sold for $2,500,000, or $5.74 per square foot. There was a 2,400 square foot single-family e and a 600 square foot bam that did not contribute value to the sale; therefore, demolition costs of $5.00 per square fool, or 000, will be added to the sales price. 23.0120 51 IPERTY IDENTIFICATION Location (Physical): Legal Description: SWC of E Melissa Rd & Miller Rd Collin County, Texas Melissa Division, Block 7, Lots 1-2, City of Melissa, Collin County, Taxi RANSACTION DATA Grantor: Ofelia Sanchez Grantee: Drew & Crystal Worth Date of Sale: March 15, 2022 Recording Information: Doc #20220321000445110 Property Rights Conveyed: Fee Simple Estate Conditions of Sale: Arm's Length TransactIon TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Sales Price: $495,000 Participant's Sale Terms: Cash to Seller Cash Equivalent Price: $516,805 Intended Use: Investment 'HYSICAL CHARACTERISTICS Road Frontage: East Melissa Road & Miller Road Size of the Tract: Configuration: Near Rectangular Flood Plain: None Improvements: Topography: Level & Mostly Cleared Utilities: Zoning: Agricultural UNITS OF COMPARISON Actual Sales Price Per Sq. FL: Cash Equivalent Price Per Sq. Ft.: Contact Person: Jessica Dansby Position: Listing Broker 0.863 acres 37,596 square feet 2 Houses, Carport, Garage, & Barn All Available $13.17 $13.75 Telephone Number: (214) 578-5747 property Is located at the southwest comer of Melissa Road and Miller Road in Melissa, Texas. The property reportedly sold for ,,000, or $13.17 per square foot. There was a 1,542 square foot single-family home, a 1,743 square foot single-family home, a 260 ire foot detached carport, a 648 square foot detached garage, and a 168 square foot bam that did not contribute value to the sale; :fore, demolition costs of $5.00 per square foot, or $21,805, will be added to the sales price. 23.0120 52 Location (Physical): NEC of E Melissa Rd & Milrany Ln Collin County, Texas Legal Description: Abstract Number A0033 of the D. E. W. Babb Survey, Sheet 5, Tract 156, City of Melissa, Collin County, Texas WSACTION DATA Grantor: John T. & Karen P. Allison Grantee: MRM Melissa Investments, LLC Date of Sale: December 23, 2021 Recording Information: Doc#20211228002603030 Property Rights Conveyed: Fee Simple Estate Conditions of Sale: Arm's Length Transaction rSICAL CHARACTERISTICS Road Frontage: Configuration: Flood Plain: Topography: Zoning: Contact Person: Position: TODD PROPERTY ADVISORS REAL PROPEmY ANALYSTS, INC. Sales Price: $2,668,708 Participant's Sale Terms: Cash to Seller Cash Equivalent Price: $2,668,708 Intended Use: Investment East Melissa Road & Milrany Lane Size of the Tract: Near Rectangular None Improvements: Level & Mostly Cleared Utilities: Agricultural UNITS OF COMPARISON Actual Sales Price Per Sq. Ft.: Cash Equivalent Price Per Sq. Ft.: Jessica Dansby Listing Broker 9.430 acres 410,771 square feet None Electric & Water $6.50 $6.50 Telephone Number: (214) 578-5747 property Is located at the northeast comer of East Melissa Road and Milrany Lane in Melissa, Texas. The property reportedly sold 2,668,708, or $6.50 per square foot. 23.0120 53 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. COMPARABLE LAND SALE NUMBER 4 rROPERTY IDENTIFICATION Location (Physical): E Une of Oklahoma Dr, S of Ash St Collin County, Texas Legal Description: Abstract Number A0167 of the Collin County School Land Number 14 - Survey, Sheet 1, Tract 90, City of Celina, Collin County, Texas DATA Grantor: Mohammad A. Dalaki Grantee: Seven R. Frisco, LLC Date of Sale: June 23, 2021 Recording Information: Doc #20210813001631870 Property Rights Conveyed: Fee Simple Estate Conditions of Sale: Arm's Length Transaction n � n Sales Price: $415,000 Participant's Sale Toms: Cash to Sailer Cash Equivalent Price: $415,000 Intended Use: Investment PHYSICAL CHARACTERISTICS Road Frontage: South Oklahoma Drive Size of the Tract: 1.163 acres Configuration: Slightly Irregular 50,678 square feel Flood Plain: None Improvements: None Topography: Level &Mostly Cleared Utilities: All Available Zoning: Commerical UNITS OF COMPARISON Actual Sales Price Per Sq. Ft.: Cash Equivalent Price Per Sq. Ft.: TRIFICATION Contact Person: Bobby Apple Position: Listing Broker $8.19 $8.19 Telephone Number. (214) 762-5500 COMMENTS This property Is located along the east line of South Oklahoma Drive, Just south of East Ash Street in Celina, Texas. The property reportedly sold for S415,000, or $8.19 per square toot. 23.0120 54 PROPERTY IDENTIFICATION Location (Physical): Legal Description: DATA SEC Bucees Blvd & Central Expy Collin County, Texas Abstract Number 894 of the Andrew Thomas Survey, City of Melissa, Collin County, Texas Grantor. Baxter, Fowler, Powell Families Grantee: Group Pacific Holdings, LLC Date of Sale: September 15, 2020 Recording Information: Doc#20200915001558340 Property Rights Conveyed: Fee Simple Estate Conditions of Sale: Arm's Length Transaction TODD PROPERTY ADVISORS REAL PROPeNTY ANALYSTS, INC. 5 Sales Price: $750,000 Participant's Sale Terms: Cash to Seller Cash Equivalent Price: $757,360 Intended Use: Investment Road Frontage: Bucees Boulevard & Central Express Size of the Tract. Configuration: Near Rectangular Flood Plain: None Improvements: Topography: Level & Mostly Cleared Utilities: Zoning: PD Commercial UNITS OF COMPARISON Actual Sales Price Per Sq. FL: $15.10 Cash Equivalent Price Per Sq. FL: $15.25 1.140 acres 49,658 square feet House All Available Contact Person: Charles McKissock Telephone Number: (972) 562-9D90 Position: Listing Broker iis property is located at the southeast corner of Bucees Boulevard and Central Expressway In Melissa, Texas. The property Dortedly sold for $750,000, or $15.10 per square fool. There was a 1,472 square foot single-family home that did not contribute value the sale; therefore, demolition costs of $5.00 per square fool, or $7,360, will be added to the sales price. The property was purchased the development of a Taco Casa restaurant. 23.0120 55 )PERTY IDENTIFICATION 'S^/� Location (Physical): SWC of Sharp St & Leonard Ave Calling County, Texas Legal Description: Abstract Numnber 798 of the Granderson Stark Survey, Tract 4, Parcel A, Portion of the Anna Town Center Number 4, City of Anna, Collin County, Texas DATA Grantor: Anna Town Center, LTD. Grantee: Anna Sharp Realties, LLC Date of Sale: April 29, 2020 Recording Information: Doc#202004900022240 Property Rights Conveyed: Fee Simple Estate Conditions of Sale: Arm's Length Transaction TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Sales Price: $460,000 Participant's Sale Terms: Cash to Seller Cash Equivalent Price: $460,000 Intended Use: Investment 'HYSICAL CHARACTERISTICS Road Frontage: Sharp Street & Leonard Avenue Size of the Tract: Configuration: Slightly Irregular Flood Plain: None Improvements: Topography: Level & Mostly Cleared Utilities: Zoning: PD Commerical UNITS OF COMPARISON Actual Sales Price Per Sq. FL: Cash Equivalent Price Per Sq. Ft.: Contact Person: Appraisal Files Position: N/A 2.711 acres 118,093 square feet None Al Available $3.90 $3.90 Telephone Number: NIA roperty, is located at the southwest corner of Sharp Street and Leonard Avenue in Anna, Texas. The property sold for $460,000, or per square foot. Furthermore, since the time of sale a portion of the tract has been improved with a daycare facility. 23.0120 56 TODD PROPERTY ADVISORS RBAL PROPERTY ANALYSTS, INC. LAND SALES ANALYSIS Elements of comparison are the characteristics of properties and transactions that cause the prices paid for real estate to vary. The array of data suggests possible adjustments for various characteristics of each transaction in comparison with the subject site. The sales have been compared to the subject for dissimilar characteristics and adjustments are made on a price per square foot basis. Following is a summary table of the comparable land sales. Summary of Comparable Sales Sale Location Date Size Flood Price 1 N Line of E Foster Crossing Rd. E of Powell M SIIS 2 9.951 Al Available Not Zoned Level & Mostly Cleared None 55.80 Investment Colin County. Texas 2 SWC of E Melissa Rd & Miller Rd 3115122 0.863 AN Available Agricultural Level & Mostly Cleared None $13.75 Investment Colin County. Texas 3 NEC of E Melssa Rd & Many Ln 122321 9.430 Electric & Water Agricultural Level & Mostly Cleared None $6.50 Investment Colin County, Texas 4 E Law of Oldahoma Dr, S of Ash St 612321 1.163 AN Available Commerical Level & Mostly Cleared None $8.19 Investment Colin County, Texas 5 SEC Bucees Blvd & Cenral Expy 911520 1.140 All Available PD CommemolLevel B Mostly Cleared None $15.25 Investment Colin County, Texas 6 SWC of Sharp St & Leonard Ave 42920 2.711 AA Available PD CommericalLevel & Mostly Cleared None $3.90 Investment Coling County. Texas We were able to identify and verify several sales considered to be comparable to the subject tract. The analyses of the adjustments believed to be relevant are found in the following paragraphs. Financing Terms All of the sales were consummated with the sellers effectively receiving cash in exchange for their consideration in the property and no adjustments were required for advantageous seller financing. Real Property Rights Conveyed This adjustment involves the type of real property interest that is conveyed in a sales transaction. All of the Comparable transactions conveyed fee simple ownership rights; thus, no adjustments were required for this factor. Conditions of Sale Adjustments for this item usually reflect the motivation of the buyer and seller involved with a transaction. Adjustments would be necessary for transactions where the seller wants to quickly liquidate his assets or where there is an atypical financial, business, friend or family relationship between the principals involved which affect the selling price of the property. All of the 23.0120 57 TODD PROPERTY ADVISORS ReA PROPEm ANALYSTS, INC. Comparables were reported to be arm's-length sales and did not involve any unusual conditions. Thus, no adjustments are necessary for these sales. Expenditures After Sale This adjustment accounts for any expenses the purchaser of the property occurs immediately after the purchase of the property. Some examples of these items could include environmental clean-up, demolition costs, deferred maintenance, HVAC replacement/repair, renovations, parking lot repair/replacement, cosmetic upgrades, etc... Adjustments for this item usually reflect the motivation of the buyer and seller involved with a transaction. Adjustments would be necessary for transactions where the buyer is aware that such expenditures after the sale must occur in order to operate the property sufficiently. Any necessary adjustments for Expenditures After Sale have been made within the individual Comparable write-ups. Therefore, no further adjustments are necessary. Market Conditions This adjustment is generally made after adjustments for property rights conveyed, financing, and conditions of sale have been made. This adjustment addresses potentially differing market conditions between the subject property (date of appraisal), and the sales dates of the Comparables. As a test, the sales adjusted prices when compared to the subject were chronologically arrayed by sale date and only adjusted for the appropriate physical conditions in order to determine if adjustments for changing market conditions is warranted. The following table depicts the price per unit for each comparable after being adjusted for the previous transactional characteristics (Unadjusted Price/Unit). The % Adjustment column indicates the total adjustments made for all physical characteristics as shown in the adjustment grid in the conclusion of this section of the report. By analyzing the comparable sales adjusted prices per unit after all other adjustments have been made, trends in prices over the time period may become apparent. However, given the small sample size, the appraisers' judgment is also relied upon based upon knowledge gained from experience in the market over this time period. Market Conditions Comparison Comparable Number Data of Sale Unadjusted Price/Sq. Ft* Physical % Adjustment Adjusted Price/Sq. Ft. Comparable 1 August 15, 2022 $5.80 9% $6.32 Comparable 2 March 15, 2022 $13.75 -24% $10.45 Comparable 3 December 23, 2021 $6.50 8% $7.02 Comparable 4 June 23, 2021 $8.19 -7% Comparable 5 September 15, 2020 $15.25 -32% $10.37 Comparable 6 April 29, 2020 $3.90 -6% $3.67 Inclusive of any necessary transactional adjustments 23.0120 5B TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. In closely analyzing the market comparables, there does not appear to have been a substantial increase or decrease in market prices over this time period for this property type. However, after conversations with market participants in the area, they indicate market conditions are increasing. Therefore, each Comparable will be adjusted upwards by 5 percent per year. This is subject to the COVID-19 statement discussed previously in this report. Therefore, in our opinion, the market conditions adjustments are considered reasonable. Location Location is considered to be one of the most important characteristics of real estate; therefore, the location of the Comparables is the first of the physical characteristics to be considered. The following adjustments have been made based upon our professional opinion and experience. The subject property is located at the west line of Leonard Avenue (CR 422), just north of East Foster Crossing Road and has a municipal address of 3020 Leonard Avenue, Anna, Texas. Comparables 1, 2, 3, 4, and 6 have similar locations and frontage as the subject property and will not be adjusted. Comparable 5 is located along Central Expressway in superior area of development when compared to the subject. Therefore, Comparable 5 will be adjusted downward 20 percent. Size The economic unit of the subject property is 2.890 acres. Typically, smaller tracts sell for more per unit than larger sites. In reviewing market trends and the data set, the market appears to recognize a difference in price for tracts substantially different in size. A market observation witnessed throughout the Texas market area and most metropolitan areas in the southwest supports an adjustment of 5 to 15 percent for each halving/doubling in size. In this instance a 5 percent adjustment for each halving/doubling in size will be utilized. Indicated Size Adjustments with a 5% Adjustment per Doubling / Halving Variance of Comp Indicated Adjustment from Subject Range 0% - 25% 0.00% - 125% 25% - 50% 125% - 2.50% m 50% - 100% 2.50% - 5.00% 100% - 200% 5.00% - 7.50% 200% - 300% 7.50% - 10.00% 300% - 500% 10.00% - 12.50% 0% - 25% 0.00% - -2.50% m 25% - 50% -2.50% - -5.00% m 50% - 75% 5.00% - -10.00% 75% - more than -10.00°% - or more 23.0120 59 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. The following table illustrates the size adjustments based upon a market derived 5 percent adjustment per each doubling/halving in size for the area land market. Adjustment for Size Comparable Number Comparable Size (Acres) Subject Size (Acres) % Difference In Size Adj. Per Halving/Doubling Indicated Adjustment Comparable 1 9.951 2.890 244% 5% 9% Comparable 2 0.863 2.890 -70% 5% .9% Comparable 3 9.430 2.890 226% 5% 8% Comparable 4 1.163 2.890 -60% 5% -7% Comparable 1.140 2.890 -61% 5% -7% Comparable 2.711 2.890 -6% 5% -1% Corner A tract of land with corner influence can, in many cases, command a higher price per unit than a tract without corner influence. Comer influence typically becomes a more significant factor on price with retail and commercial properties situated along two primary thoroughfares in significantly developed urban areas. The subject and Comparables 1 and 4 are not located on a comer. Therefore, Comparables 1 and 4 will not be adjusted. Comparables 2, 3, 5 and 6 are situated on a corner and will be adjusted downward 5 percent. Utilities The subject property has all utilities available. Comparables 1, 2, 4, 5, and 6 have all utilities available and will not be adjusted. Comparable 3 reportedly had electric and water available and will be adjusted upward 5 percent. Topography This adjustment takes into consideration the topography (terrain) of the subject property and how developable the site is. The subject has a level topography and is slightly rectangular in shape. All of the Comparable Sales have similar topographical considerations and will not be adjusted. Zoning The zoning a property possesses dictates the legally permissible use(s) to which it can be developed. Consequently, the value of a property can be significantly influenced by its zoning classification. The subject tract is currently not zoned and has a highest and best use for commercial development. All of the Comparables have similar zoning and/or similar highest and best uses to the subject and will not require adjustments. 23.0120 60 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Flood Plain The next consideration is for the adverse influence of a tract being situated within the 100 or 500 year flood plain. The subject tract and all Comparables are located outside of the 100 to 500 year flood plain and will not be adjusted. 23.0120 61 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. CONCLUSION OF LAND VALUE An adjustment grid for the Comparable Sales is located below. The range, mean (average), and standard deviation of the adjusted sales prices per square foot are presented following the adjustment grid. Adjustment Grid for Comparable Sales Sale Number 1 2 3 4 5 6 Sales Price/SF $5.80 $13.75 $6.50 $8.19 $15.25 $3.90 Financing Terms 0.00 0.00 0.00 0.00 0.00 0.00 Property Rights Conveyed 0.00 0.00 0.00 0.00 0.00 0.00 Conditions of Sale 0.00 0.00 0.00 0.00 0.00 0.00 Expenditures After Sale 0.00 0.00 0.00 0.00 0.00 0.00 Market Conditions 0.12 0.55 0.39 0.66 1.83 0.55 Conditions Adj. Price/SF $5.92 $14.30 $6.89 $8.85 $17.08 $4.45 Location 0% -10% 0% 0% -20% 0% Size 9% -9% 8% -7% -7% -1% Corner 0% -5% -5% 0% -5% -5% Utilities 0% 0% 5% 0% 0% 0% Topography 0% 0% 0% 0% 0% 0% Zoning 0% 0% 0% 0% 0% 0% Flood Plain 0% 0% 0% 0% 0% 0% Total Adjustment 9% -24% 8% -7% -32% -6% Adjusted Price/SF $6.45 $10.87 $7.44 $8.23 $11.61 $4.18 Data Without Data with Absolute $/SF All Data High and Low Extremes Adjustments < 25% Range $4.18 - $11.61 $6.45 - $10.87 $4.18 - $10.87 Mean (Average) $8.13 $8.25 $7.43 Standard Deviation $2.78 $1.89 $2.45 23.0120 62 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. All of the Comparables had a mean of $8.13 per square foot, while the mean of data without high and low extremes is $8.25 per square foot, and the data with the least absolute adjustments (<= 25%) had a mean of $7.43 per square foot. Therefore, a market value opinion $8.00 per square foot is considered reasonable. The market value of the economic unit, as of the effective date of the appraisal, is calculated below: 2.890 acres (125,888 SF) x $8.001SF = $1,007,104 23.0120 63 SECTION V -VALUATION CONCLUSION FINAL OPINION OF VALUE Value of the Whole Property TODD PROPERTY ADvisoRs REAL PROPERTY ANALYSTS, INC. The subject property consists of 2.890 acres of land. Thus, the market value of the whole property before the proposed acquisition, as of the effective date of appraisal (January 30, 2023) is: "As Is" Market Value of the Whole Property ($1,0079104) Value of the Part Acquired The portion of the site from which property rights are proposed to be acquired by the City of Anna is a 0.455 acre (19,811 square feet) permanent right-of-way dedication acquisition. Value of the Right -of -Way Dedication Acquisition The portion of the subject property that is being acquired by the City of Anna for the right-of-way dedication acquisition is 0.455 acres or 19,811 square feet. This acquisition is assumed to permit ingress/egress by the property owner after the acquisition. The acquisition is not located across a non -usable area of the tract, but is located along a property line, and may be used as required open space and building set back areas. Thus, the value of the acquisition is calculated as follows: $8.00 per square foot x 19,811 square feet = $158,488 Damages/Enhancements State law requires that enhancements to a remainder property in a condemnation acquisition be determined and used as an offset to any damages to the remainder property to calculate net damages. The highest and best use is for future commercial development of the site. The proposed acquisition does not damage the remainder of the site. Further, any potential limitations to use would be outweighed by the enhancement of value of the site by the infrastructure improvements. Thus, the highest and best use after the proposed acquisition is considered to be commercial development. State law requires that damages/enhancements to a remainder property in a condemnation acquisition be determined and used as an offset to any damages to the remainder property to calculate net damages. Costs to Cure Given, that no site improvements will required to be restored after the acquisition, no costs to cure have been estimated for the subject property. 23.0120 65 TODD PROPERTY ADVISORS REAL PROPERTY ANALYSTS, INC. Opinions of Recommended Compensation Value of the Whole Property: $1,007,104 Value of the Part Acquired (0.455 Acre Right -Of -Way): $158,488 Remainder Before Acquisition: $848,616 Remainder After Acquisition: $848,616 Enhancements: $0 Damages: $0 Cost to Cure: $0 Value of the Part Acquired (0.455 Acre Right -Of -Way): $158,488 Total Recommended Compensation: $158,488 23.0120 66 SECTION VI - CERTIFICATION & ASSUMPTIONS & LIMITING CONDITIONS CERTIFICATION The undersigned hereby certifies that, to the best of their 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 the personal, impartial unbiased- professional analyses, opinions, and conclusions of the undersigned. 3) Neither the undersigned, nor any associate of the appraiser, have any present or prospective interest in the property that is the subject of this report, and have no personal interest with respect to the parties involved. 4) The undersigned have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment. 5) The engagement of the undersigned in this assignment was not contingent upon developing or reporting predetermined results. 6) All analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice. 7) All analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with Title XI of the Federal Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA) and its regulations; in conformity with the Interagency Appraisal and Evaluation guidelines issued by the Office of the Comptroller of the Currency (OCC), the Board of Governors of the Federal Reserve System (FRB), the Federal Deposit Insurance Corporation (FDIC), the Office of Thrift Supervisions (OTS), and the National Credit Union Administration (NCUA) on December 2, 2010. 8) 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. 9) The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives. 10) No one provided significant real property appraisal assistance in the preparation of this appraisal report to the person(s) signing this certification. 11) As of the date of this report, Mitchell B. Todd, MAI has completed the continuing education program for Designated Members of The Appraisal Institute. 12) The undersigned's 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. 13) The appraisal report was not based on a requested minimum valuation, a specific valuation, or the approval of a loan. 23.0120 68 14) Neither the undersigned nor any associate of the appraisers considered race, color, religion, sex, national origin, handicap, or familial status in determining the value of the subject property. 15) Todd Property Advisors, and Mitchell B. Todd, MAI, Lauren N. Espey, and Amanda V. Cooper have rendered no services as an appraiser or in any other capacity regarding this property within the three-year period immediately preceding acceptance of this assignment. 16) Amanda V. Cooper made a personal inspection of the property that is the subject of this report on January 30, 2023. Mitchell B. Todd, MAI and Lauren N. Espey did not conduct a physical inspection of the subject property. 17) In our opinion, and after careful consideration of the various factors entering into this appraisal, the following illustrates the "as is" market value for the subject property as of the effective date of appraisal, January 30, 2023: Opinions of Recommended Compensation Value of the Whole Property: $1,007,104 Value of the Part Acquired (0.455 Acre Right -Of -Way): $158,488 Remainder Before Acquisition: $848,616 Remainder After Acquisition: $848,616 Enhancements: $0 Damages: $0 Cost to Cure: $0 Value of the Part Acquired (0.455 Acre Right -Of -Way): $158,488 Total Recommended Compensation: $158,488 18) Extraordinary Assumption: An extraordinary assumption has been made that the acquisition by the City of Anna will not limit ingress/egress to and from the subject property. The use of this assumption could affect the results of this assignment and if found to be incorrect could necessitate re -analysis. Respectfully submitted, Mitchell B. Todd, MAI President State Certification #TX-1323514-G mitchell@toddpa.com w. V Atnanda V. Cooper Appraisal Associate State Certification #TX-1343609-Trainee amanda@toddpa.com WJY�K f:?fT Lauren N. Espey Vice President State Certification #TX-1381032-G lauren@toddpa.com 23.0120 69 ASSUMPTIONS AND LIMITING CONDITIONS 1) No responsibility is assumed for matters legal in character or nature, nor matters of survey, nor of any architectural, structural, mechanical or engineering nature. No opinion is rendered as to the title of the subject properly, which is presumed to be good and marketable. The legal description is assumed to be correct as used in this report. 2) The property is appraised as though free and clear of any or all liens or encumbrances unless stated. 3) The property is assumed to be under responsible ownership and competent management. 4) The appraisers have not independently verified all of the information furnished or assumptions made with respect to the appraisal unless otherwise indicated and therefore is not responsible for their content or their effect on the market value of the property. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 5) All engineering is assumed to be correct. The maps or other illustrative materials included in this report are intended only to depict spatial relationships. They are not measured surveys nor measured maps, and the appraiser is not responsible for cartographic or surveying errors. Dimensions and areas of the subject property and of the comparables were obtained by various means and are not guaranteed to be exact. 6) The appraisal is based on there being no hidden, unapparent, or apparent conditions of the property site, subsoil, or structures or toxic materials which would render it more or less valuable. No responsibility is assumed for any such conditions or for any expertise or engineering to discover them. 7) The appraisal is based on the premise that there is full compliance with all applicable federal, state and local environmental regulations and laws unless otherwise stated in this report. 8) This appraisal is based on the assumption that all applicable zoning, building, and use restrictions for all types have been complied with, unless a nonconformity has been stated, defined, and considered in report. 9) The assumption has been made that all required licenses, consents, permits or other legislative or administrative authority, local, state, federal and/or private entity or organization have been or can be obtained or renewed for any use considered in the value estimate. 10) Unless otherwise stated in this report, the existence of hazardous substances, including without limitation asbestos, polychlorinated biphenyls, petroleum leakage, or agricultural chemicals, which may or may not be present on the property, or other environmental conditions, were not called to the attention of nor did the appraiser become aware of such during the appraiser's inspection. The appraisers have no knowledge of the existence of such materials on or in the property unless otherwise stated. The appraisers, however, are not qualified to test such substances or conditions. If the presence of such substances, such as asbestos, urea formaldehyde, foam insulation, or other hazardous substances or environmental conditions, may affect the value of the property, the value estimated is predicated on the assumption that there is not such condition on or in the property or in such proximity thereto that it would cause a loss in value. No responsibility is assumed for any such conditions, nor for any expertise or engineering knowledge required to discover them. The client is urged to retain an expert in the filed of environmental impacts upon real estate if so desired. 11) This appraisal is based on the assumption that the use of the land and improvements is within the boundaries of the subject property and there is no trespass or encroachment unless otherwise noted in the report. 12) The distribution of the total valuation in this report between land and improvements applies only under the existing program of utilization. The separate valuations for land and building must not be used in conjunction with any other appraisal and are invalid if so used. 13) Possession of this report or any copy thereof does not carry with it the right of publication, nor may it be used for other than its intended use. The Bylaws and Regulations of the Appraisal Institute require each Member and Candidate to control the use and distribution of each appraisal report signed by such Member or Candidate; this appraisal report shall not be given to third parties without the prior written consent of the signatory of this appraisal report. Neither all nor any part of this appraisal report shall be disseminated to the general public by use of advertising media, public relations, news, sales or other media for public communication without the prior written consent of the appraisers. 14) The appraisers are not obligated to provide any other services, including but not limited to, testimony in court or before any other body charged with interpretation of enforcement of the appraisal. 15) No portion of the appraisal may be reproduced in whole or in part without the prior written consent of the appraisers. The validity of the appraisal is expressly conditioned upon consideration of its entirety. 23.0120 70 16) Due to the nature of real estate valuation and the complexities of external and internal factors which dictate the market value of any real estate, and the rapid changes and fluctuations with respect to the valuation of real estate, the opinion of the appraisers set forth in the appraisal concerning the market value of the property is reliable as of the effective date and should not be considered as reliable at any time thereafter. 17) The appraisers make no guarantee or warranty, whether implied or expressed, concerning the market value set forth in the appraisal. The appraisal merely sets forth the appraisers opinion of such market value based upon information obtained by the appraisers and assumptions made by the appraisers with respect to the property. 18) The appraisers assume no responsibility for any costs or consequences arising due to the need, or the lack of need for flood hazard insurance. An agent for the Federal Flood Insurance Program should be contacted to determine the actual need for flood hazard insurance. 19) Subsurface Rights (minerals and oil) were not considered in this appraisal unless otherwise specifically stated. 20) The State of Texas does not have full disclosure laws regarding real estate transactions. Therefore, the appraisers necessarily confirmed all sales and rental comparables with brokers, property managers, mortgage brokers, grantors, grantees and other parties familiar with the transaction. The appraiser's data is limited by the accuracy of the information supplied by the aforementioned individuals. Whenever possible, the information was verified by county records. 21) The value conclusion within this report is contingent upon the site being in full compliance with city codes, and that no contamination has occurred at the site. A Phase I Environmental Study was not provided, and the appraisers accept no responsibility as to the current status of property with respect to environmental contaminants. It is recommended that if a Phase I study has not been performed, that an expert in this field be engaged to identify any hazardous materials and substances existing on the property. 22) It is assumed there is full compliance with all requirements of Title III, of the Americans with Disabilities Act (ADA) which became effective January 26, 1992 unless non-compliance is stated, defined, and considered in the appraisal report. No responsibility is assumed by the appraisers for any such conditions, or for any expertise or architectural/design knowledge and cost required to identify such non-compliance. 23) As used in professional appraisal practice the term "inspection" is "a personal observation of the exterior and/or interior of the real property that is the subject of an assignment. The purpose of an appraiser's inspection is to identify the property characteristics that are relevant to the assignment, such as amenities, general physical condition, and functional utility." Inspection is considered a term of art in the appraisal profession and does not have the same meaning as it might have in other professions such as engineering or architecture or in other design or construction related professions. Additionally, it does not infer any obligation to Investigate. 24) Extraordinary Assumption: An extraordinary assumption has been made that the acquisition by the City of Anna will not limit ingress/egress to and from the subject property. The use of this assumption could affect the results of this assignment and if found to be incorrect could necessitate re -analysis. 23.0120 71 SECTION VIl -ADDENDUM QUALIFICATIONS OF MITCHELL B. TODD, MAI EXPERIENCE 1/94 to Present President — Todd Property Advisors, Real Property Analysts, Inc.; Dallas, Texas 7/92 to 1/94 Vice President - Beer -Wells -Vaughan, Commercial Property Analysts; Dallas, Texas 6/86 to 7/92 Vice President - Noyd & O'Connell, Inc.; Real Estate Appraisers & Consultants; Dallas, Texas (2/90-7/92); Houston, Texas (6/86-1 /90) During Mr. Todd's tenure as a real estate appraiser, he has prepared numerous valuations on a variety of high profile and complex income producing real estate developments. Additionally, Mr. Todd has been involved In the valuation of numerous single family and multi -family residential properties during his career. These assignments required analytical, communication, and problem -solving skills which Mr. Todd has continually enhanced since his inception into the profession. During the last several years, as the Dallas/Fort Worth residential market has expanded and mortgage interest rates have been at attractive levels, Mr. Todd has gained significant experience in the appraisal of single family residential properties for the purpose of obtaining mortgage financing. Some of the more complex assignments in which Mr. Todd has completed appraisals involve numerous parcels assembled by the City of Dallas for the American Airlines Center and the new performing arts center in the Arts District; Reunion Arena and adjacent parking facilities, The Grand Hotel and the Mercantile Complex in the Dallas CBD; the proposed Bank One Building in the Fort Worth CBD; the Hughes Aircraft Facility in Las Cruces, New Mexico; the Stephens Graphics Manufacturing Facility in Dallas, Texas; the Radisson Inn Tulsa Airport in Tulsa, Oklahoma, the Trophy Club Development (all remaining lots, acreage, and disputed acreage) of Denton County, Texas; the Eldorado Subdivision (all remaining lots and acreage) in McKinney, Texas; the Stonebriar Community Church in Frisco, Texas; the Trinity Terrace Retirement Center in Fort Worth, Texas; the San Antonio Savings Association Headquarters Building in San Antonio, Texas and numerous portfolios of credit tenant retail projects, office buildings, charter schools, full service car washes and extended stay lodging facilities across Texas and the United States. PROFESSIONAL LICENSE AND AFFILIATIONS Designated member of The Appraisal Institute - MAI #9379. State Certified General Real Estate Appraiser Texas Certificate # TX-1323514-G Oklahoma Certificate # 1287CGA Louisiana Certificate # G4174 Arkansas Certificate # CG3379 Registered Property Tax Consultant, State of Texas (Registration #00002555). Licensed Broker by the Texas Real Estate Commission (License #0364803) Member - Society of Texas A&M Real Estate Professionals EDUCATION Master's Degree - Land Economics and Real Estate, Texas A&M University, 1986. Bachelor of Science Degree - Agricultural Economics, Texas A&M University, 1984. The Land Economics and Real Estate curriculum at Texas A&M University is one of only three degree programs in the United States which have been sanctioned by The Appraisal Institute for post -graduate studies in commercial real estate appraisal. During his pursuit of the Master's degree, Mr. Todd served as a graduate teaching assistant for several undergraduate courses, including real estate appraisal curriculum. Mr. Todd received the Master's degree in May 1986. Prior to his post -graduate studies, Mr. Todd received a Bachelor of Science Degree in December 1984, graduating with Magna Cum Laude honors. The Appraisal Institute courses completed by Mr. Todd include: Standards of Professional Appraisal Practice, Principles of Appraisal, Basic Valuation, Capitalization Theory - Part A, Capitalization Theory - Part B, Case Studies in Real Estate Valuation, Report Writing and Valuation Analysis, and received a passing grade on both the Comprehensive Examination and the Demonstration Report. Mr. Todd was awarded the designation of MAI in May 1992. The Appraisal Institute conducts a program of continuing professional education for its designated members. MAI and SRA members who meet the minimum standards of the program are awarded periodic educational certification. Mr. Todd is currently certified under this program. Mr. Todd serves on the Region 8 Ethics and Counseling Regional Panel of the Appraisal Institute. Other college level real estate courses and seminars completed by Mr. Todd include: Real Estate Development Analysis, Real Property Valuation, Building Construction Practices, Rural Real Estate Appraisal, Understanding Limited Appraisals and Reporting Options, ASB Informational Meeting, and Texas Property Tax Law. Certified General TALCB Real Estate Appraiser A.. Appraiser: Mitchell Brian Todd License #: TX 1323514 G License Expires: 08/31/2024 Having provided satisfactory evidence of the qualifications required by the Texas Appraiser Licensing and Certification Act, Occupations Code, Chapter 1103, authorization is granted to use this title: Certified General Real Estate Appraiser Chelsea Buchholtx For additional information or to file a complaint please contact TALCB commissioner at www.talcb.texas.gov. QUALIFICATIONS OF Lauren N. Espey EXPERIENCE 8/19 to Present Associate Vice President Todd Property Advisors, Real Property Analysts, Inc.; Frisco, Texas 6/17 - 8/19 Appraisal Associate — Todd Property Advisors, Real Property Analysts, Inc.; Frisco, Texas During Lauren's tenure as a real estate appraiser, she has prepared numerous valuations on a variety of commercial real estate developments. These properties consisted of various single and multiple tenant industrial, office, and retail facilities as well as residential subdivision developments, multifamily developments, and several user specific and special purpose properties. Lauren has gained experience in analyzing market trends, collecting and analyzing market data, analyzing subject property income and expense information, and estimating reproduction costs and depreciation. Lauren has also completed more complex/special purpose property assignments such as automotive repair/service, church, heavy industrial, office/warehouse subdivision, game ranch, archery range with a meat processing center, rock mining facility, outdoor gun range facility, car dealership, and bill board properties Additionally, Lauren has performed numerous appraisal assignments for TxDOT as well as a number of local municipalities pertaining to right-of-way and other acquisitions for public use. These appraisal assignments have involved both partial and whole acquisitions of various properties including vacant land, offices, retail, billboards, and office/warehouses. Lauren has also assisted in the preparation of appraisal reports for the purpose of Special Commissioner Hearings and Jury Trials related to condemnation proceedings. PROFESSIONAL LICENSE AND AFFILIATIONS State Certified General Real Estate Appraiser Texas Certificate # TX-1381032-G EDUCATION Bachelor of Business Administration — Finance, Texas A&M University, 2017. Lauren completed her Finance Degree in the May's Business School at Texas A&M University in 2017. During the pursuit of his degree, Lauren completed various finance, economic, and business oriented courses including Business Finance (1 and 2), Financial Reporting (1 and 2), Statistical Methods, Investment Analysis, Managerial Finance, Money and Capital Markets, Private Equity, and Real Estate Decisions Making. Lauren received a Bachelor of Business Administration Degree in May 2017. The appraisal courses completed by Lauren include: Appraisal Principles; Appraisal Procedures; Uniform Standards of Professional Appraisal Practice; General Appraiser Market Analysis and Highest & Best Use; General Appraiser Income Approach (Parts 1 & 2); General Appraiser Report Writing and Case Studies; General Appraiser Sales Comparison Approach; General Appraiser Site Valuation and Cost Approach; Commercial Appraisal Review; Expert Witness for Commercial Appraisers; Statistics, Modeling, and Finance; and received a passing score on the Certified General comprehensive exam. Certified General TALCB Real Estate Appraiser TEXAS APPRAISER LICENSING A CERTIFICATION BOARD Appraiser: Lauren Nicole Espey License #: TX 1381032 G License Expires: 09/30/2024 Having provided satisfactory evidence of the qualifications required by the Texas Appraiser Licensing and Certification Act, Occupations Code, Chapter 1103, authorization is granted to use this title: Certified General Real Estate Appraiser�`a� Chelsea Buchholtz For additional information or to file a complaint please contact TALCB Commissioner at www.talcb.texas.gov. n TALCB Appraiser Trainee TEXAS APPRAISER LICENSING 6 CERTIFICATION BOARD Trainee: Amanda Violet Cooper Authorization #: TX 1343609 Trainee Expires: 10/31/2024 Review the list of the above Trainee's Supervisors on the License Holder Search at www.taicb.texas.gov. Having provided satisfactory evidence of the qualifications required by the Texas Appraiser Licensing and Certification Act, Occupations Code, Chapter 1103, authorization is granted to use this title: Appraiser Trainee For additional information or to file a complaint please contact TALCB at Chelsea Buchholtz www.talcb.texas.gov. Commissioner EXHIBIT "A" RIGHT-OF-WAY DEDICATION CITY OF ANNA, COLLIN COUNTY. TEXAS Being a tract of land, situated in the G. Stark Survey, Abstract No. 798, in the City of Anna, Collin County, Texas, and being a part of that called 2.89 acre tract of land, described in deed to Richard A. McMinimy and wife, Catherine F. McMinimy, as recorded under Document No. 20070205000169410, of the Official Public Records, Collin County, Texas (O.P.R.C.C.T.), said tract being more particularly described, as follows: BEGINNING at a point for corner, being the southeasterly corner of said 2.89 acre tract, and being the northeasterly corner of a called 16.426 acre tract of land, described in deed to Canvas Anna Owner, LLC, as recorded under Document No. 2022000069950, O.P.R.C.C.T., and being in Leonard Avenue (County Road No. 422), from which a 3/8" iron rod found bears, South 06'43'02" East, a distance of 2.15'; THENCE North 89'39'00" West, along the common line between said 2.89 acre and 16.426 acre tracts, a distance of 60.00' to a 5/8" iron rod with a yellow plastic cap stamped "RPLS 5686" set for the southwesterly comer of the herein described tract; THENCE North 00'29'56" East, over and across said 2.89 acre tract, a distance of 326.21' to a 1/2" iron rod found in the northerly line of said 2.89 acre tract, some being the southeasterly corner of Lot 1, Block 1, of ANNA ELEMENTARY NO. 3, an addition to the City of Anna, as recorded in Volume 2018, Page 253, O.P.R.C.C.T., said corner also being the southwesterly corner of a called 60' right—of—way dedication of said addition, from which a 1/2" iron rod found bears, North 87'35'47" West, a distance of 297.25; THENCE South 87'35'47" East, along the northerly line of said 2.89 acre tract, same being over and across said Leonard Avenue, a distance of 61.90' to a point for corner, being the northeasterly corner of said 2.89 acre tract; THENCE South 00'49'42" West, over and across said Leonard Avenue, same being the easterly line of said 2.89 acre tract, a distance of 324.00' to the POINT OF BEGINNING and containing 19,811 square feet or 0.455 acres of land, more or less. ABBREVIATIONS I.R.F. = Iron Rod Found (R.M.) = Record Monument C.I.R.F. = Capped Iron Rod Found C.I.R.S. = 5/8" iron rod with yellow plastic cap stamped "RPLS 5686" set M.R.C.C.T. = Map Records, Collin County, Texas D.R.C.C.T. = Deed Records, Collin County, Texas O.P.R.C.C.T. = Official Public Records, Collin County, Texas This metes and bounds description is accompanied by a survey plat of even date. SF:.QF T� MICHAEL B. ARTHUR 5686 �P'vr0 DATE: 01/1B/2023 RIGHT-OF-WAY DEDICATION 0.455 ACRES IN THE G. STARK SURVEY North Texas Surveying, L.L.C. Registered Professional Land Surveyors 1010 West University Drive (9Ph. REVISED: SCALE: 1" = 100' ABSTRACT NO.798 CITY OF ANNA, McKinney, Tx. 75069 (469) 424-2074 Fax: (469) 424-1997 CHK'D. BY: M.B.A. COLLIN COUNTYTEXAS , www.northtexassurveying.com Firm Registration No. 10074200 JOB NO.: 2023-0004 I I I Q N d' C .0 . O a C 0 to LO D N > Z Q uizm~ Lot 1, Block 1 ANNA ELEMENTARY I v a I of o E N� NO. 3 3 0 '� 0 co Vol. 2018, Pg. 253, •! L.. u o ci o 2100 O.P.R.C.C.T. 1 N a I I a+ o I C+ caj N Lv co co WJ O U S87035'47"E 61.90' 112N I.R.F. N87'35'47"W — -' - (R.M.) 112" I.R.F. 297.25' (R.M.) 1 � M� =1 �M Called 2.89 Acres 6 to I Richard A. McMinimy and 0 wife, Catherine McMinimy Document No. LV eI- 20070205000169410. co 3 �: C N O.P.R.C.C.T. to c N dam' c o0 Zi2 � °oo POINT OF C0 01 BEGINNING I 1 i N8939'00"W 343.91' _ C.i.R.S. Part of 112" I.R.F. cii ;n Called 360.545 Acres (R.M.) , W N Harlan Properties, Inc. N89.39'23"W N89°39'00"W 60.00' CO W Document No. I 20121228001650300, 539.17' I LC o O.P.R.C.C.T. �(o a �i N SOO 21'14W o 800.79' Called 16.426 Acres c o I Canvas Anna Owner, LLC a Document No. , o �GRAPHIC SCALE 2022000069950, ° I O.P.R.C.C.T. r E 1 0 60 100 Ic `a I MAC NAIL , 1 inch = 100 ft. FND. (R.M.) I Bearings are based on the Texas State Plane Coordinate System, North This survey plat is accompanied by a metes and bounds description of even date. Central Zone (4202), NAD83 (2011). DATE: 01/18/2023 RIGHT-OF-WAY DEDICATION North Texas Surveying, L.L.C. REVISED: 0.455 ACRES IN THE Registered professional Land Surveyors SCALE: 1" = 100' G. STARK SURVEY 1010 West University Drive ABSTRACT NO.798 McKinney, Tx. 75069 CHK'D. BY: M.B.A. CITY OF ANNA, Ph. (469) 424-2074 Fax: (469) 424-1997 COLLIN COUNTY TEXAS www.northtexassurveying.com JOB NO.: 2023-0004 ' Firm Registration No. 10074200 DocuSign Envelope ID: 8D03F5D6-14DB-43CO-88AA-7D59D34FDBAF 1" AMENDMENT TO PURCHASE SALE AGREEMENT BETWEEN McMINIMY AND CITY ANNA TEXAS. See Exhibit "A" attached hereto and incorporated herein for all purposes. Seller and Buyer amend the contract as follows: Paragraph 3 of the contract is amended to read: 3. Expenses. A) Each party shall bear the expenses of its own consultants, attorneys and advisors. B) Cost of Sellers Title Policy shall be borne by the Seller. EXECUTED the L day of MA��-� , 2023 (BROKER: FILL IN THE DATE OF FINAL ACCEPTANCE). BUYER City Anna, X, ex ome Rule Municipality K Int m City Manager SELLER(S) oo.�wnw w: By: Klt(k� M.(,MI mg Printe Oieikard McMmimv Title: 23 Date Executed ooewie•.+w: � Ik �tiwvAj BY' anc��aeee�ssoc Printed Name: Catherine McMinimv Title: Date Executed: 1 DocuSign Envelope ID: 8D03F5D6-14DB-43CO-88AA-7D59D34FDBAF EXHIBIT "A" RIGHT-OF-WAY DEDICATION CITY OF ANNA, COLLIN COUNTY, TEXAS Being a tract of land, situated in the G. Stark Survey, Abstract No. 798, in the City of Anna, Collin County, Texas, and being a part of that called 2.89 acre tract of land, described in deed to Richard A. McMinimy and wife, Catherine F. McMinimy, as recorded under Document No. 20070205000169410, of the Official Public Records, Collin County, Texas (O.P.R.C.C.T.), said tract being more particularly described, as follows: BEGINNING at a point for corner, being the southeasterly corner of said 2.89 acre tract, and being the northeasterly corner of a called 16.426 acre tract of land, described in deed to Canvas Anna Owner, LLC, as recorded under Document No. 2022000069950, O.P.R.C.C.T., and being in Leonard Avenue (County Road No. 422), from which a 3/8" iron rod found bears, South 06'43'02" East, a distance of 2.15'; THENCE North 89'39'00" West, along the common line between said 2.89 acre and 16.426 acre tracts, a distance of 60.00' to a 5/8" iron rod with a yellow plastic cap stamped "RPLS 5686" set for the southwesterly corner of the herein described tract; THENCE North 00'29'56" East, over and across said 2.89 acre tract, a distance of 326.21' to a 1/2" iron rod found in the northerly line of said 2.89 acre tract, same being the southeasterly corner of Lot 1, Block 1, of ANNA ELEMENTARY NO. 3, an addition to the City of Anna, as recorded in Volume 2018, Page 253, O.P.R.C.C.T., said corner also being the southwesterly corner of a called 60' right—of—way dedication of said addition, from which a 1/2" iron rod found bears, North 87'35'47" West, a distance of 297.25'; THENCE South 8735'47" East, along the northerly line of said 2.89 acre tract, some being over and across said Leonard Avenue, a distance of 61.90' to a point for corner, being the northeasterly corner of said 2.89 acre tract; THENCE South 00'49'42" West, over and across said Leonard Avenue, some being the easterly line of said 2.89 acre tract, a distance of 324.00' to the POINT OF BEGINNING and containing 19,811 square feet or 0.455 acres of land, more or less. ABBREVIATIONS I.R.F. = Iron Rod Found (R.M.) = Record Monument C.I.R.F. = Capped Iron Rod Found C.I.R.S. = 5/8" iron rod with yellow plastic cap stamped "RPLS 5686" set M.R.C.C.T. = Map Records, Collin County, Texas D.R.C.C.T. = Deed Records, Collin County, Texas O.P.R.C.C.T. = Official Public Records, Collin County, Texas This metes and bounds description is accompanied by a survey plat of even date yAo3 r OF T�R HU�T 5686 .�N .4z, DATE: 01/18/2023 RIGHT-OF-WAY DEDICATION 0.455 ACRES IN THE G. STARK SURVEY ABSTRACT N0.798 CITY OF ANNA, COLLIN COUNTY TEXAS North Texas Surveying, L.L.C. Registered Professional Land Surveyors 1010 West University Drive McIGnney, 7x. 76089 Ph. (469) 424-2074 Fea: (469) 424-1997 www.northtesassurveying.com Firm Registration No. 10074200 REVISED: SCALE: 1" = 100' CHK'D. BY: M.B.A. JOB NO.: 2023-0004 Envelope ID: 8D03F5D6-14DB-43C0-88AA-7D59D34FDBAF C C yN � V a CO ^` �V 0J aN .2'n W z Lot 1, Block 1 I v u? ^ ci ANNA ELEMENTARY o a (E m o w o rc NO. 8 Vol. 2018. Pg. 253, 3 a m 't_ � O � v c o 6 0 O.P.R.C.C.T. I (u v06 0 I I mo I O C �o N ) O by U S87035'47"E 61.90' 112" I.R.F. N8735'47"W 112" I.R.F. (R'M') — 297.25' (R-M.) I 1 0 N to c �a (moo M 1 Cl)"1 1 Called 2 Acres Richard A. McMinimy and u v wife, Catherine McMinimy 06 1pi W Document No. W 3: v 20070205000169410, co 3 O.P.R.C.C.T. if 1p IL �'' N I N NI oN 0)) as om a rn� Z of �m o POINT OF (,rat I Z a) BEGINNING I 1 N8939'00"W 343.91' C.I.R.s. _ 1/(R I.R.F. — Part of ui � Called 360.545 Acres (R.M.) o' N Harlan Properties, Inc. N8939'23"W N89039'00'W 60.00' EaDocument No. w 20121228001650300, 539.17' I n O.P.R.C.C.T. v � b SOO*21'14"W I S. 800. 79' Called 16.426 Acres Canvas Anna Owner, LLC 3a Document No. o �• GRAPHIC SCALE 2022000069950, I O.P.R.C.C.T. cT 2' I MAG NAIL 4 1 inch = 100 ft. FND. (R.M.) I Bearings are based on the Texas State Plane Coordinate System, North This survey plat is accompanied by a metes and bounds description of even date. Central Zone (4202), NAD83 (2011). DATE: 01/18/2023 RIGHT-OF-WAY DEDICATION North Texas Surveying, L.L.C. REVISED: 0.455 ACRES IN THE G. STARK SURVEY Registered Professional Land Surveyors SCALE: 1" = 100' ABSTRACT N0. 798 CITY OF ANNA, Ph. 1010 West University Drive McKinney, Tx. 75089 (469) 424-2074 Fax: (469) 424-1997 CHI('D. BY: M.H.A. C,OLLIN COUNTY TEXAS w .northtexessnrveying corn JOB NO.: 2023-0004 ' Firm Registration No. 10074200