Appraisal Journal

Browse past and current articles from this publication.

The Agency Relationships Involved in Hotel Appraisals Completed for the Resolution Trust Corporation and Institutional Lenders.
abstract This article examines the agency relationships and potential problems in the hotel appraisal process in order to compare differences between appraised hotel values and their market values . . .

Challenges In Appraising "Simple" Warehouse Properties.
abstract The appraisal of a warehouse can appear straightforward compared to other appraisal assignments. A warehouse appraisal involves comparing a building that is primarily an open shell to sim . . .

Appraising Industrial Special-Purpose Properties.
A Utilization-Based Measure for Estimating Economic Obsolescence abstract This article proposes a new technique, based on utilization rates, for estimating economic obsolescence in the appraisal . . .

Solving the Functional Obsolescence Calculation Question? Part II.
abstract A controversy exists as to the correct method to calculate functional obsolescence in the reproduction cost approach. One important question is whether functional obsolescence caused by a . . .

Liability Issues Facing Appraisers.
abstract The purpose of this article is to examine the legal exposure appraisers (valuers) face for their work when done in a negligent, fraudulent, or other inappropriate manner. The standards or . . .

Gated Communities and Residential Property Values.
abstract This study analyzes the sale prices of single-family homes located in six different neighborhoods in a medium-size metropolitan area. A traditional hedonic pricing model is used to study . . .

Real Estate Capital Markets Update, Settling into the Transitional Economic Environment.(Editorial)
Commentary As we predicted last fall, the United States economy has continued to slow. Indeed, the shift has been so dramatic that it has resulted in widespread use of the "R" word as fears of rec . . .

Valuation Committee Meeting Notes.
The NCREIF annual conferences are typically some of the better attended, and the October 18--20, 2000, conference in Palm Beach, Florida, was no exception. The Valuation Committee started the mornin . . .

Mortgage Lenders and the Institutionalization and Normalization of Environmental Risk Analysis.
Real Estate Markets, Uncertainty, Environmental Risk, and the Real Estate Appraiser Buyers and sellers of real estate, whether a personal residence, an income-producing investment, or a property u . . .

The Swango Award for Outstanding Residential Article.(Brief Article)
Donald P. Guarino, Jr., MAI, CRE, is the recipient of The Swango Award for Outstanding Residential Article (previously called the Editorial Board Award for Outstanding Residential Article). He is th . . .

Armstrong/Kahn Award.(Brief Article)
Bryan L. Goddard, MAI, is the recipient of the 2001 Armstrong/Kahn Award and a $1,000 honorarium. The award is a combination of the former Robert H. Armstrong Award and the former Sanders A. Kahn Aw . . .

Land Valuation: Adjustment Procedures and Assignments.(Brief Article)(Review)
Land Valuation: Adjustment Procedures and Assignments is a basic guidebook to help appraisers successfully complete new or difficult land valuation assignments. It provides benchmarks for property a . . .

The Appraisal of Rural Property, second edition.(Review)
A joint publication from the Appraisal Institute and the American Society of Farm Managers and Rural Appraisers Professionals involved in the appraisal of rural, agricultural, agri-business, and r . . .

Letters to the editor.
Clients Need Point Estimates. Comments on: "Appraising Linear Subordinate Easements in Utility Corridors" I appreciated the article by Messrs. Wayne C. Lusvardi, John G. Wright, and Todd Amspoker, . . .

Court admits appraisal expert's testimony as a consulting service.(Colorado Court of Appeals,Board of Assessment Appeals , First
The Colorado Court of Appeals allowed the introduction of testimony and written appraisal exhibits presented by a taxpayer's expert witness in a tax valuation case despite the witness's contingent f . . .

Corporation receives real estate tax exemption for property used only for charitable purposes.(True Christianity Evangelism)(Sup
The Supreme Court of Ohio held that a corporation was nor required to be a charitable institution to qualify for a teal property tax exemption. True Christianity Evangelism, an Ohio nonprofit corp . . .

Nonprofit fraternal group receives no tax exemptions for property used as private residences.(Zach Inc., Supreme Court of Georgi
Property used for purely residential purposes by a nonprofit fraternal organization does not come within the educational use exemption from ad valorem property taxes, even if college students or tea . . .

Valuing commercial property for tax purposes must address loss of value from obsolescence via cost approach.(Court of Appeals of
For tax purposes, a village board of review must, using the cost approach, consider a diminution in property value due to obsolescence, according to the Court of Appeals of Wisconsin. Walworth Aff . . .

Bridging the Gap: Marketability Discounts for Real Estate Interests.(analysis)(Statistical Data Included)
abstract This paper is about business valuation for real estate appraisers and about real estate interest valuation for business appraisers. It describes a practical approach for valuing marketabi . . .

The Globalization of Real Estate Appraisal: A European Perspective.
abstract It is often difficult to make a connection between the traditional local markets and the e-driven global market. The issues facing many national valuation and appraisal societies and thei . . .

Intangible Assets in an Operating First-Class Downtown Hotel: A Comparison of Sources of Information in a Profit Center Approach
abstract Since 1990, real estate appraisers in the United States have been required to consider the influence of both tangible personal property and intangible assets on the value of a property, e . . .

Psychiatric Hospitals.(valuation analysis)(Statistical Data Included)
abstract Psychiatric hospitals are limited purpose but moderately complicated medical treatment facilities that flourished in the 1970s and 1980s. However, during the 1990s they have been experien . . .

Comparison of Valuation Methods for Perennial Sugarcane Crops Associated With Eminent Domain Land Acquisition.(analysis)(Statist
abstract Valuation of perennial crops associated with eminent domain land acquisition presents a special challenge to rural appraisers. In this article, we compare two crop valuation methods for p . . .

Discounts in Real Estate Auction Prices: Evidence from South Florida.(Statistical Data Included)
abstract This study provides a detailed look at the mechanics of the auctions from the Department of Housing and Urban Development (HUD) and demonstrates how auction prices may differ sign ificant . . .

Liquidation Price and Semi-Forced Sellers.(real estate, analysis)
abstract This article analyzes the reasons owners liquidate real estate and why the liquidation price is often less than market value given reasonable market-oriented exposure time. While court-or . . .

Developer's Good Will as Significant Influence on Apartment Unit Prices.(Hong Kong study)(Statistical Data Included)
abstract This article discusses how apartment prices in Hong Kong are affected by a developer's good will. The homogeneous nature of apartment units there and the hedonic price model make it possi . . .

Interim Highest and Best Use: Condemnation Appraising.(analysis)(Statistical Data Included)
abstract When appraising partial takings of property for eminent domain, special situations often exist that make the recognition and understanding of interim usage critical to the proper estimati . . .

Implications of the Kumho Tire Case for Appraisal Expert Witnesses.(Kumho Tire v. Carmichael)
abstract The 1993 U.S. Supreme Court case of Daubert v. Merrill Dow Pharmaceuticals involved the admissibility of scientific evidence as presented by expert witnesses. Since that time, courts have . . .

Dividing the Pie: Compensating Landlords and Tenants in Takings of Leased Real Property.(legal analysis)
In a simple condemnation case, the government or some entity with the power of eminent domain takes property for public use that is owned by a single owner in fee simple absolute. Much of the real p . . .

A Guide to Appraisal Valuation Modeling.(Review)
Automation of the appraisal process expedites the underwriting process and is an attractive option for lenders, who have traditionally been appraisers' largest clients. In our increasingly competiti . . .

Capitalization Theory & Techniques Study Guide, second edition.(Review)
Since it was first published in 1973, Capitalization Theory and Techniques, Study Guide has served as an essential resource for students of the income capitalization approach to value. Throughout th . . .

Residential Sales Comparison Approach: Deriving, Documenting, and Defending Your Value Opinion.(Review)
Real estate professionals who deal with real property every day often develop a sixth sense about value, but have a difficult time explaining their thought processes and opinions to others. Resident . . .

Letters to the editor.
Valuing Special Use Properties in Court Proceedings We appreciate the input of Ahmed Kooros and Theodore Reynolds Smith regarding the asserted underuse of the opportunity cost approach in court pr . . .

The Handbook of Advanced Business Valuation.(Review)
Edited by Robert F. Reilly and Robert P. Schweihs. McGraw-Hill, a division of the McGraw-Hill Companies, New York, NY 512 pages, hardbound. $95.00 Business appraisers do a lot more than value re . . .

Inspecting Apartment Buildings.(Review)
Dan O'Connell, MAI. Groundwork Publishing, Encino, California, 164 pages $24.95 The journey from learning appraisal methodology to actually completing an appraisal is often impeded by the need t . . .

What's It Worth? A Guide to Valuing a Small Business.(Brief Article)(Review)
Lloyd R. Manning. The Oasis Press, P.O. Box 3727, Central Point, Oregon 97502, 294 pages $22.95 I chose to review this book because I am considering expanding into the field of business appraisa . . .

Public Interest Value gains support in court decision.(Northern California case)(Brief Article)
The U.S. District Court for the Northern District of California issued a verdict on July 27, 2000 that raises the perceived legitimacy of the concept of public interest value. Judge Charles Breyer . . .

Bankruptcy sale price not appropriate tax value.(North Carolina case)(Brief Article)
A property's sale price at a bankruptcy sale was not the property's appropriate tax value, according to the Court of Appeals of North Carolina. Phoenix Limited Partnership disputed the 1993 tax va . . .

Portion of use qualifies facility for partial tax exemption.(Streeterville Corp. granted partial exemption for hospital use)(Bri
Even where a nonexempt use of property is more than merely incidental, the property may nonetheless qualify for a partial real estate tax exemption where an identifiable portion of the property is u . . .

Possibility of rezoning relevant to value of condemned property.(Supreme Court of Michigan decision)(Brief Article)
An appraisal based on the possibility of obtaining a rezoning variance is relevant and admissible in a condemnation action, according to the Supreme Court of Michigan. The Department of Transporta . . .

Value of contaminated land ruled on by state supreme court.(Utah case)(Brief Article)
The state tax commission properly determined the assessed value of a residential property by valuing contaminated land at zero and the home at its value-in-use, according to the Supreme Court of Uta . . .

Several Papers of Note from the American Real Estate Society Annual Meeting.(abstracts)
The Sixteenth Annual ARES Meeting was held in Santa Barbara, California last March. Over one hundred papers and panels were presented by academicians, PhD students, and researchers, as well as by pr . . .

A Survey of the Technology Astuteness of the Appraisal Industry.(analysis of results)
The multiple tentacles of technology have opened numerous doors of opportunity through increased savings and improved productivity. This effect is certainly evident in the real estate appraisal indu . . .

The Valuation of Permanent Plantings.(orchards, groves, vineyards)
Chapter 20, The Appraisal of Rural Property abstract An orchard or vineyard is a permanent planting, a specialized property that presents a unique appraisal situation. The appraiser must focus o . . .

Land Use: The Second Battle of Gettysburg.(Private vs. public development at a national park)
abstract Located within 400 miles of 75% of the nation's population, Gettysburg attracts nearly 4.5 million visitors annually. The federally owned, tax-exempt park that virtually surrounds Gettysb . . .

How Australian Appraisers Assess Contaminated Land.(technique)
abstract The availability of more information about land contamination, the short supply of development worthy land in urban areas, and the relatively low value of contaminated land have created a . . .

Analyzing the Market for Convenience Stores: The Changing Convenience Store Industry.(Techniques)
abstract The location quotient is a useful tool for measuring the supply and demand for convenience stores in a local market. The calculation is simple and the concept is easy for the reader of an . . .

Valuing Scenic Land Conservation Easements.(Tax implications)
abstract Most easements grant to nonproperty owners access rights over a parcel of property or the right to transport gas or electricity from one point to another. In contrast, conservation easeme . . .

Understanding the Evolution of Conservation Easement Appraisal Through Case Law.(Estate planning for natural spaces)
abstract The conservation easement has become an increasingly popular approach to tax reduction and land conservation. A conservation easement provides income and estate tax benefits to landowners . . .

Valuation of Affordable Housing with Tax Credits.(Low Income Housing Tax Credit)
abstract This article attempts to link the various interests in a Low Income Housing Tax Credit (LIHTC) project to provide a methodology for determining the most probable price to the typical inve . . .