2025_12_18 BOER Minutes - Laserfiche WebLink

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Docusign Envelope ID: D8F1F6B3-4E5C-46D1-9276-28B887499D7C Property Owner West Franklin Appellant(if different) Preservation Partners Property Address 200 West Franklin Street Parcel ID or Abstract 9788265985 Statement of Appeal: Request reduction in value based on the office and retail building being 73.5% vacant for the past 3 years. Current Assessed Value $8,130,300 County Opinion $6,565,900 Time of Hearin 1:18 PM Appellant Opinion $5,471,665 County Representative Roger Gunn Board Decision $6,565,900 Evidence submitted by the appellant: • The appellant's opinion of value is based on the office and retail building being 73.5%vacant for the past 3 years. Evidence submitted by the county representative: • The subject property is recorded as a 30,981 square foot retail and office building office built in 1998 on.41 acres located on W. Franklin Street in Chapel Hill. • The owner has not presented any evidence but has represented that the property is 73.5% vacant. It is clear that a new lease was signed for the entire third floor(or the vast majority of it) and has been occupied since mid-2025. However, it is not clear when the lease was committed to by the tenant(whether committed in 2024 or 2025). • The County's current recorded gross building area is incorrect. Leasing materials indicate a floor plan of around 14,361 for the third floor and GIS measurements seem to back this up. Thus, gross building area is estimated to be 43,083 square feet(14,361 x 3 stories). Leasing materials further indicate that there is at least 10,167 square feet of leasable area on the first floor. For the purposes of this appeal, a size of 38,000 leasable square feet has been utilized for calculation of value by the income approach. • An Income Approach is attached. Vacancy has been estimated at 25%,which is very high on Franklin Street and gives strong deference to the property's history of high vacancy. Beyond that,the other inputs used in the Income Approach are fairly standard for the market. • Based on the Income Approach,the indicated value is$6,555,392. As a result,the County recommends correcting the gross building area to 43,083 square feet and applying 5 1% economic depreciation. These changes would result in a revised value of$6,565,900. • GIS Map of Subject • Current Property Record Card • Proposed Property Record Card • Income Approach Motion of the Board Accept Coun 's Proposed Value: $6,565,900 Made the motion Richal Vanhook Seconded the motion Saru Salvi Voted For All BOER Members Voted Against Property Identification: