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HomeMy WebLinkAboutCASCADE VILLAGE WESTHAVEN APPRAISAL 2000 LEGALC,^scadc, Vt\\q1€- A(ecr A'13)S t^lc$hc"ven 9c 5cptcrnbe,r )q>o AgPctr'so\ I I I I I I t T I I I I I T I t I I I SUMMARY APPRAISAL OF: A .85 Acre Parcel in SW1/4NEl/4 Section l2 Township 5 South, Range 8l West 1325 Westhaven Drive Town of Vail Eagle County, Colorado Prepared For: NinaTimm Town of Vail 75 S. Frontage Road Vail, CO 81657 Date of Value: September 13, 2000 Date of Report: September 14,2000 Prepared By: Pncr AppnnrsRt- Coupnruv Roger N. Pack, SRA Certifi ed General Appraiser #ccol3l3753 t I Pncx AppnRrsnl CoupnNv Real Estale Appnise6 & Consu,tanls I P.O. Box 266 Edwards, CO 81632 Tel: 970/926-1131 Fax: 9701 926-1134 I I I I I I I I T I I I I I I t September 14,2000 Nina Timm Town of Vail 75 S. Frontage Road Vail, CO 81657 Dear Ms. Timm, At your request and on behalf of your client, the Town of Vail, I have examined the following property for the purpose ofappraisal: A .85 Acre Parcel in SWl/4NE1/4 Section l2 Township 5 South, Range 8l West 1325 Westhaven Drive Town of Vail Eagle County, Colorado Parcel # 2103-l2l -00-017 Attached is a Complete Summary Appraisal Report which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice. As such, it presents only summary discussions of the data, reasoning, and analysis that were used in the appraisal process to develop the opinion ofvalue. This narrative appraisal contains 4l pages and 36 addenda. The purpose of this appraisal is to estimate the market value ofthe fee simple estate ofthe described property. The physical and legal descriptions ofthe property appraised have been included in this report. After analyzing all available information, it is my opinion that the market value of the fee simple estate ofthe subject property, "as-is", as ofSeptember 13, 2000 is: TWO MILLION THIRTEEN THOUSAND DOLLARS $2,013,000 The value assigned is subject to the Assumptions, Limiting Conditions, and Certification which precede this report. This letter is expressly stated to be a part of the attached report with supporting addenda and should not be used outside of this context. If you have any questions about the contents ofthis report or ifl can be offurther assistance, please feel free to contact me. One of the requirements for this assignment is to estimate the probable marketing time for the subject. If the property is competently and aggressively marketed, it is our opinion that the subject could sell at the appraised value within approximately twelve months from the date that marketing began. I t I I t I I I I I I I I I I I I PACK APPRAISAL COMPANY .-1,.1t , r{ Roger N. Pack, SRA Certifi ed General Appraiser #cco1313753 "2 The estimate of value and the associated financial estimates are intended solely for your information and may not be used for any purpose other than indicated in the appraisal. You have stated that the use ofthis appraisal is to assist the Town ofVail in the evaluation ofpurchasing the subject property. The report is based on estimates, assumptions and other information developed fiom our research of the market, knowledge of the industry and meetings during which certain information was provided to us. The basis of the estimates and assumptions are stated in the appropriate sections of the report. Under the terms of this engagement, we have no obligation to revise this report or the estimated financial results to reflect events or conditions which have occurred subsequent to the date of this report. However, we will be able to discuss the necessity for revision resulting from changes in economic or market factors affecting the property. The accompanying prospective financial analyses are based on estimates and assumptions developed in connection with the market study. However, some assumptions inevitably will not materialize, and anticipated events and circumstances may occur; therefore, actual results achieved during the period covered by our prospective financial analyses may vary from our estimates and the variations may be material. The estimate of value is intended solely for your information and may not be used for any purpose other than indicated in the appraisal. Neither the whole, nor part of this report, or any reference thereto may be included in any document, statement, or circular without prior written approval of the form and context in which it will appear. Any party who uses or relies upon any information in this report, without the preparer's written consent, does so at hisftrer own risk. Respectfully submitted, .85 Acre Parcel in Sec. 12. T5S, RSIIV PAC I I 9. 10. I I I I I I T t I I I t T I I I I ASSUMPTIONS AND LIMITING CONDITIONS: This appraisal report has been made with the following general assumptions: l. This is a complete appraisal report which does not invoke the departure rule. The appraiser did not utilize the cost or income comparison approaches to value, but these approaches are not typically used in the valuation ofresidential condominiums in the local marketplace. The exclusion ofthese approaches is not considered a departure, and this is a complete appraisal report. 2. This is a Summary Appraisal Report which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(b) ofthe Uniform Standards of Professional Appraisal Practice for a Summary Appraisal Report. As such, it presents only summary discussions ofthe data, reasoning, and analysis that were used in the appraisal process to develop the appraiser's opinion of value. Supporting documentation conceming the data, reasoning, and analysis is retained in the appraiser's file. The depth ofdiscussion contained in this report is specific to the needs ofthe client and for the intended use stated above. The appraiser is not responsible for the unauthorized use ofthis report. 3. No responsibility is assumed for the legal description or for matters including legal or title considerations. Title to the property is assumed to be good and marketable unless otherwise stated. 4. The property is appraised free and clear ofany or all liens or encumbrances unless otherwise stated. 5. Responsible ownership and competent property management are assumed unless otherwise stated in this report. 6. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy. 7 . All engineering is assumed to be correct. Plot plans, maps, or illustrative material in this report are included only to assist the reader in visualizing the property. Except as specifically stated, data relative to size or area ofthe subject and comparable properties has been obtained from sources deemed accurate and reliable. None of the exhibits are to be removed, reproduced, or used apart from this report. 8. It is assumed that there are no hidden or unapparent conditions ofthe property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for such conditions or for arranging for engineering studies that may be required to discover them. The appraisal is not prepared for the purpose ofdiscovering potential defects in the propety and neither the client nor any other party should rely upon the report for that purpose. It is assumed that there is full compliance with all applicable federal, state, and local environmental reeulations and laws unless noncomnliance is stated. defined and considered .85 Acre Parcel in Sec. | 2. T5S. R81l(PAC lllI I I I I I I I I I I I I I I I I I I in the appraisal report. 11. It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a nonconformity has been stated, defined and considered in the appraisal report. 12. It is assumed that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local state, or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based. 13. It is assumed that the utilization of the land and improvements is within the boundaries or property lines ofthe property described and that there is no encroachment or trespass unless noted in the report. This appraisal report has been made with the following general limiting conditions: l. Any sketch in this report may show approximate dimensions and is included to assist the reader in visualizing the property. Maps and exhibits found in this report are provided for reader reference purposes only. No guarantee as to accuracy is provided or implied unless otherwise stated in this report. No survey has been made for the purpose of this report. 2. The appraiser is not qualified to detect hazardous waste and/or toxic materials. Any comment by the appraiser that might suggest the possibility of the presence of such substances should not be taken as confirmation ofthe presence ofhazardous waste and/or toxic materials. Such determination would require investigation by a qualified expert in the field of environmental assessment. The presence of substances such as asbestos, urea- formaldehyde foam insulation, or other potentially hazardous materials may affect the value of the property. The appraiser's value estimate is predicated on the assumption that there is no such material on or in the property that would cause a loss in value unless otherwise stated in this report. No responsibility is assumed for any environmental conditions, or for any expertise or engineering knowledge required to discover them. The appraiser's descriptions and resulting comments are the result of the routine observations made during the appraisal process. 3. Unless otherwise stated in this report, the subject property is appraised without a specific compliance survey having been conducted to determine if the property is or is not in conformance with the requirements of the Americans with Disabilities Act. The presence of architectural and communications barriers that are structural in nature that would restrict access by disabled individuals may adversely affect the property's value, marketability, or utility. 4. Any proposed improvements are assumed to be completed in a good workmanlike manner in accordance with the submitted plans and specifications. 5. The distribution, if any, of the total valuation in this report between land and improvements applies only under the stated program ofutilization. The separate allocations for land and .85 Acre Parcel in Sec. 12. T5S. RSlry PAC lvt I 6. 7. 6. 9. 10. I I I I I I I I I I I I I I I I I buildings must not be used in conjunction with any other appraisal and are invalid if so used. Possession ofthis report, or a copy thereof, does not carry with it the right ofpublication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event, only with proper written qualification and only in its entirety. The appraiser herein by reason ofthis appraisal is not required to give further consultation, testimony, or be in attendance in court with reference to the property in question unless arrangements have been previously made. Neither all nor any part ofthe contents ofthis report (especially any conclusions as to value, the identity of the appraiser, or the frrm with which the appraiser is connected) shall be disseminated to the public through advertising, public relations, news, sales, or other media without the prior written consent and approval ofthe appraiser. The appraiser reserves the right to amend and/or alter statements, analysis, conclusions and value estimates if information pertinent to this assignment is made known after the completion of the report. Pack Appraisal Company, as well as any employee, agent, or officer thereof, shall be completely indemnified against any and all losses, claims, damages, liabilities, costs or expenses to which the recipient and/or third party user may become subject, but only if neither Pack Appraisal Company nor any other indemnified person shall have been grossly negligent or shall have taken or omitted to take any action in bad faith in connection with the preparation of this report. .85 Acre Parcel in Sec. l2.T5S.R8lll PAC I I ! I I I I I I I I I t t I I I I I I I I TABLE OF CONTENTS INTRODUCTION Letterof Transmittal . .. . .. . i AssumptionsandlimitingConditions ..... '.. ii TableofContents.... ..... vi SummaryoflmportantFactsandConclusions ........ vii DESCRIPTIONS, ANALYSES AND CONCLUSIONS Propedyldentification ......1 PurposeoftheAppraisal .... ...'.'.1 ExtentoftheAppraisalProcess ......2 RegionalArea. .........'.3 EagleCountyEconomicTrends&Statistics ... ' '... '.5TownofVail .....11 CascadeVillage&Glenlyon.. ....13 SubjectSite.. ....13 Subjectlmprovements ..... 15 Zoning ..........15 SubjectOwnership&SalesHistory ..'......18 PersonalProperty .......'.18 Assessed Valuation and Taxation ....18 Highest and Best Use As Vacant ' . . . l8 HighestandBestUse As Improved ..... '...20 The Valuation Process . '...21SalesComparisonApproach ... '...23AllocationMethodology .......... 3l Reconciliation ....35 Adjustnents to Land Value as Vacant .........35 FinalOpinionofValue .....38 ReasonableExposureTime. ....'..38 Certificationof theAppraiser..... .... '. '.. 39 QualificationsoftheAppraiser.... ....'...40 Addenda ..........41 .85 Acre Parcel in Sec. 12, T5S, RSlW PAC vl I I I I I I I I I I I I T I I I I I SUMMARY OF IMPORTANT FACTS AND CONCLUSIONS Property: Land size: lmprovements: lnterests Valued: Value Type: Date of Value: Assessor Parcel No: Zoning: Values of Vacant Lane: Contribution of lmprovements: Final Indicated Value: A .85 Acre Parcel in SWl/4NEl/4 Section l2 Township 5 South, Range 8l West 1325 Westhaven Drive Town of Vail Eagle County, Colorado ,849 acres 14,228 square foot foundation and parking garage along with site work that includes excavation and utilitv connections. Fee Simple Market Value September 13,2000 2t03-r2r-00-017 SDD - Special Development District $1,539,000 $s34,000 $2,013,000 .85 Acre Parcel in 9ec. 12, T5S. RSllll vll PAC I I I I t I I I I t I I I t I I I I I PROPERTY I DENTIFICATION A .85 Acre Parcel in SWI/4NEI/4 Section 12 Township 5 South, Range 8l West 1325 Westhaven Drive Town of Vail Eagle County, Colorado Parcel # 2103-l2l-00-0 I 7 PURPOSE OF THE APPRAISAL The purpose ofthis appraisal is to provide an opinion ofthe market value ofthe subject property in an as-is condition and a fee simple estate. The function of the appraisal is solely to provide a valuation ofthe designated real property relating to the potential purchase ofthe property by the client. The purpose of this appraisal is to estimate the market value of the fee simple estate as ofthe effective date ofthe appraisal. Market value means the most probable price in terms of money 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, knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale at a specified date and passing of title from a seller to a buyer under conditions whereby: l) buyer and seller are typically motivated; 2) both parties are well informed or well advised, and acting in what they consider their own best interests; 3) a reasonable time is allowed for exposure in the open market; 4) payment is made in 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. .85 Acre Parcel in Sec. 12. T5S. RSl rY PAC I I t I I I I I I t I I I t I I I t I Intended Use of Report: The client is the Town of Vail, who is utilizing the appraisal as a basis for the potential purchase ofthe property. There are no other intended users ofthe report. Interest Valued: The property rights appraised for the subject property are those ofa fee simple estate. Fee simple estate may be defrned as: "absolute ownership unencumbered by any other interest or estate, subj ect only to the limitations imposed by the govemmental powers of taxation, eminent domain, police power, and escheat." I Effective Date of Value: September 13,2000. Date of Report: September 14,2000. EXTENT OF THE APPRAISAL PROCESS My opinion of the subject's value includes a thorough search of available market data within the subject's competing marketplace. The data cited in the report is considered the best available, providing a reasonably reliable representation of the subject's position in the marketplace. The subject property has been inspected. At a minimum, the comparable sales have been inspected on the exterior, with interior inspections often being performed. Sales and factual information has been gathered from public record and other sources considered reliable. An effort has been made to confirm sales with a party involved in the transaction. Unless otherwise noted, each sale is believed to be arms-leneth and indicative of cunent market conditions. The appraisal is in conformance with the guidelines as set forth by: Uniform Standards of Professional Appraisal Practices (USPAP) Standards of Professional Practice of the Appraisal Institute. Appraisal Process: This is a complete appraisal report which does not invoke the departure rule. The appraiser did not utilize the income comparison or cost approaches to value, but these approaches are not typically used in the valuation ofvacant land in the local marketplace. The exclusion ofthese approaches is not considered a departure, and this is a complete appraisal report. No hypothetical conditions or extraordinary assumptions were utilized in this report. - The Dictionary of Real Estate Appraisal. Third Ed ition, Appraisal Institu te, | 993, page 140. .85 Acre Parcel in Sec. 12. T5S. R8l ll/PAC I I I I I I T T I I I I I I T T I I I Reporting Process: This is a Summary Appraisal Report which is intended to comply with the reporting requirements set forth under Standards Rule 2-2(b) of the Uniform Standards of Professional Appraisal Practice for a Summary Appraisal Report. As such, it presents only summary discussions of the data, reasoning, and analysis that were used in the appraisal process to develop the appraiser's opinion of value. Supporting documentation conceming the data, reasoning, and analysis is retained in the appraiser's file. The depth ofdiscussion contained in this report is specific to the needs of the client and for the intended use stated above. The appraiser is not responsible for the unauthorized use ofthis report. Gompetency: The appraiser has extensive knowledge, training, and experience to complete this assignment. Prohibited Influences: The appraisal assignment was not based upon a requested minimum valuation, specific valuation, or approval of a loan. Neither employment nor compensation is contingent upon the reporting ofa predetermined value, a direction ofthe value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result, or the occunence of a subsequent event. REGIONAL AREA Resort development in Eagle County began in 1962 with the opening of the Vail ski area on what was previously ranch lands, and has exhibited rapid growth and great popularity over the past thirty years. Development in the region has steadily expanded to the west, influenced by the opening of the Beaver Creek ski area in 1980. This has resulted in an area of development thirty miles long that contains three ski areas, nine championship golf courses, and extensive commercial and residential development. These factors have transformed the area into a four season resort, which has allowed for national and international appeal. The appeal and desirability ofthe area are influenced by the following factors: 0 Convenient location only 1.5 hours from Denver along Interstate 70 I Commercial & private air facilities at the VaiVBeaver Creek Jet Center 20 miles west of Avon, with daily air service during the ski season. Commercial service began in 1994, and has grown dramatically, with current estimates showing that 45-47o/o of Vail and Beaver Creek destination skiers are arriving via the Eagle County Regional Airport. The airport provides more convenient and timely air access than traveling through Denver, and the facility's ability to handle large commercialjets is acompetitive advantage in the destination resort marketolace. .85 Acre Parcel in Sec. 12. T5S. RSlW PAC I I t t I I I I I I t I I I I I I I t I I Outstanding terrain and snowfall for skiing, offering some of the best skiing in the world Large ski areas with outstanding ski lift and support facilities, providing a high quality ski experience Quality, well planned commercial base areas with a wide variety of shops and restaurants which attract a broad base of tourists from around the world Extensive cultural and recreational infrastructure considering the region's relatively small permanent population base. Relatively mild climate considering the area's mountainous location, particularly in the western portions of the Vail Valley. t 0 .85 Acre Porcel in Sec. 12, T5S, RSlW PAC I I I I I I I I I I I T I I t I I EAGLE COUNTY ECONOMIC TRENDS & STATISTICS Skier Days: This graph details the increases in use at each ofEagle County's ski areas during recent years. Total visits increased steadily until the 1998- 99 season. when a 14% decline occurred. The disappointing numbers have been blamed on extremely poor early season snowfall, along with a number of one-time events, including financial uncertainty last fall, an American Airlines sick-out, and arson on Vail Mountain which caused $12 million in damages. The entire state suffered similar declines. with overall visits down 5.3%. The recent 99-2000 season reflected stable numbers, with Vail posti ng a 2.48o/o increase and Beaver Creek a 4.97 decrease, resulting in a net increase of .23%o. 300 200 100 o >===o rlEagl6/Gyp.I I VailI County Building Permits: The accompanying graph details the explosive rate of growth Eagle County has experienced in recent years. These figures unincorporated areas of the county, along with the towns of Eagle, Gypsum, Avon, and Vail. The chart demonstrates the strong pace of the building industry influenced by tight supply and demand conditions and low interest rates. Retail Sales: This chart shows the steady increases in retail sales during the past 13 years. Year end figures for 1999 depict a leveling off of retail sales growth from the rapid increases in prior years. This is a result of the maturing local real estate market and economy. A continuation of stable to moderate increases in retail sales activity is expected in the near term future. Eagle County Building Permits I 400 Year " q qn a 6fl.fM t4t.. ot@ d vdi Eagle County Ski€r Days 2,500,000 2,OO0,000 i-I 500.000 o 19aa 19S'l 19S4 1997 20m Y€a r souttc: Calo.ado sti Coudtry ljSA 1990 1993 1996 1999 Eagle County Retail Sales s.d. cot .1* IrF .tk@ tw ntm' b.dt-dt*tr' dn 'dJr' 1400 1300 1200n 1199; E '555 =: 800 E= g8s 400 300200 1 .85 Acre Parcel in Sec. 12, T5S, R8lll PAC I I I I I I I I I t t t I t I I I I I Real Estate Sales Volume: This graph details the continually record settingpace ofreal estate sales in Eagle County during recent years. Sales activity for 1999 was 12.8o/o higher than that of 1998, with the number of sales up only 7.9%. Tltls trend has been evident over the past three years. This is indicative of the higher price levels observed in the marketplace under tight supply and demand conditions. This is intriguing because sales prices are at their highest levels since 1981, yet this has Eagle County Real Estate Sales .gPe Eg == 1600 1400 't200 't 000 800 600 400 200 3't o0 2400 1900 1600 1300 10001991 1993 1995 1997 ',l999 * # sales I Sales volume Sowce: Data ReJe.irchAs'etate! & PAC Research had no influence on sales activity. Inventories in most market segments are at low to balanced levels, and demand continues to be steady. With a limited supply of development land in the upper Eagle valley, one would expect price levels to continue to increase until demand slackens significantly. Western Movement: This graph demonstrates the sfong movement of real estate sales activity from Vail and the upper valley westward to the emerging communities of Avon, Edwards, and Eagle. While Vail remains quite popular, new developments to the west are athacting large segments of buyers. This trend is expected to continue in the future, particularly as the upper valley is built-out and the only new development opporhmities are down valley. Eagle County Real Estate SalesBy Area Source: Data Research Associales & PAc Rdearch There appears to be a number of interrelated forces behind this demand, none of which are showing signs of slackening at the present time. These are summarized as follows: The desirable and continually expanding recreational opportunities in the valley are attracting a broad group ofnational and intemational recreational home buyers. The impacts of the 5th migration, with a transfer of population from urban and suburban areas to rural locals is bringing in a substantial group of permanent residents. With improvements in communications, many professionals and executives are now calling the Vail Valley home, while doing business in other areas of the rvorld. In-migration from other less prosperous economic regions accounts for a sizable number ofnew home buyers in the area. The shength of the Front Range and Colorado economies is providing a strong influx ofbuyers with the means to purchase their mountain getaway. .85 Acre Parcel ia Sec. 12. T5S. RSlW PAC t T I I t I I I I I I I I I I t I I t DEMOGMPHIC DATA Below are the yearly population numbers as well as percentages of change for towns, subtotal of incorporated areas, unincorporated areas, and all ofEagle County from 1990 through 1998. The table also shows the difference in population numbers as a percentage of change between 1990 and 1998. The 55% increase during the past eight years has had a profound affect on both the local economy and the regional real estate market. Employment: The following table shows the total labor force, employment, and unemployment numbers for Eagle County and compares the unemployment percentages for Eagle County and Colorado. The low local unemployment rates are indicative of the tight labor markets, which are a major concem in continuing to provide quality services to visitors and local residents. Source: Colorodo Deparlmenl of Labor & Employnrcnl Wages & Income: The first table depicts the average wage per job in Eagle County, Colorado, and the U.S., while the second and third provide figures for the per capita income and the median family income. These tables also compare Eagle County to Colorado and the remainder of the country. The average wage data reflects the large number of low paying service jobs in the local economy. Population Growth Source: State Demographer's Ofrtce ail 3,716 f ncorp. 11,291 . Area 10,637 1,858 2,233 1,130 1,140 1 ,603 1,623 1 ,81 1 1,877 1,095 1,116298 298 3,742 3,812 11,537 12,099 't 1 ,533 12,076 2,366 2,433 1,199 1,252 1,647 1,711 1,946 2,139 1 134 1 ,135302 302 3,870 4,419 12,464 13,391 13,168 13,932 2,489 2,706 2,787 I ,362 1 ,549 1,668 2,070 2,194 2,468 2,215 2,368 2,758 1,107 1 ,099 ',l 143295 297 310 4,354 4,372 4,454 13,892 14,585'15,588 14,788 15,555 16,51 1 62Yo 1J23 64Yo 689 61Yo 961 65Yo 1,131 9% 100 5o/o 16 18Yo 670 42o/o 4,690 68% 7,264 2,921 1,773 2,54'l 2,881 1,166 313 4,386 '| 5,981 17,901 Unemployment Rates Labor Force 1998 19,781 1997 19,157 1996 17 ,9461995 17 ,4521994 1 6.316 Emolovment 19,127 18,634 17,393 16,884 Unemploved 654 523 553 568 J.J 2.7 3.1 3.3 3.8 3.3 4-Z 4.2 4.2 .85 Acre Parcel in Sec. 12. T5S. R8l W PAC I l t t I I I I I I I I I I I Source: U.S. Bureau of Economic Analysis Source: U.S. Bureou of Economic Anolysis Source: U.S. Dept. of HUD Housing: The data below depicts the dramatically increasing price levels of property in various locales during the past nine years. The lower chart compares the median prices of single family housing in Eagle County to Colorado and the U.S. median prices. Eagle County is outpacing these other benchmarks with an increase of l79yo during the past nine years. t I I Average Wage Per Job - Full & Part-Time by Place of Work Year Eaqle Cntv1990 $1 8,8141991 $19,7411992 $21,5051993 $22,0831994 $22,2631995 $23,3671996 $24,595 Colorado $22,557 $23,594 $24,619 $25,248 ozc, / oY $26,847 $28,1 15 U.S. $23,430 $24,215 $25,470 $25,905 $26,507 $27,419 $28,483 Colorado -20% -20% '14o/o -14% -16Yo -15% -14o/o Per Capita Income 1990 $21,4851991 $23,3181992 $24,4241993 $25,8001994 $27,4611995 $28,5741996 $30,398 Colorado $18,814 $19,744 $20,585 $21,498 $22,293 $23,9s8 $25,740 u.s. $18,666 $19,201 $20,173 $20,800 $21,699 $23,196 $24,436 Colorado 12o/o 15o/o 16Yo 17% 19% 16% 15o/o ,| 1 1 1 I 1 1997 $31.890 Median Family Income 1990 $37,1001991 $38,4001992 $41,3001993 $47,5001994 $50,6001995 $51,9001996 $56,8001997 $s9,300 Colorado $35,700 $36,900 $38,400 $41,400 $42,900 $42,900 $46,600 $48,700 U.S. $35,700 $38,000 $38,600 $39,700 $39,900 $40,200 $41,600 $43,500 Colorado 4"/o 4% 7% 13% 15% 17% 18% 18o/o 4 1 16 21 23 .65 Acre Psrcel in Sec. 12. T5S. R8l W PACt I I I I t I I t I I I I t t I I I I I Comparison of SFR Median Price $400,000 $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 1990 1992 '1994 1996 1998 * Eagle County . Colorado * U.S. Future Influences: In addition to the positive factors occurring in Eagle County today, a number of changes are on the horizon which will likely enhance the economic viability and desirability of the area. These include: 0 The Forest Service has ganted approval to a proposal by Vail Associates to expand the Vail ski area by over 1,000 acres into an area south of the back bowls. Known as the Category III expansion, and now named Blue Sky Basin, the area opened in January, 2000 with three new high speed quad chairlifts. A fourth lift will be installed in the summer of 2000. This expansion creates a large area of intermediate and advanced tenain with excellent snow conditions, which should help to maintain Vail's leadership position in the ski industry. An extensive array of capital improvements have been implemented on Vail and Beaver Creek Mountains. The Golden Peak base facility has been totally redeveloped with a new 83,000 square foot base lodge, underground parking faciiity, and new high speed quad chairlift which takes skiers to the bottom of Chair I l. This $3 1,000,000 improvement clearly improves the Median Pricing of AII Housing by Community Sources: Eogle County Assessor's Olfice and Housing Division owl the Federol Housing Finance Board Year El Jabel 1990 $114,750 1991 $116,300 1992 $124,500 1993 $135,000 1994 $127,500 1995 $173,700 1996 $173,558 1997 $211,500 1998 $232,500 Gvosum $69,150 $81,000 $87,500 $90,000 s82,000 $130,000 $150,000 $164,300 $179,250 Edwards $125,000 $127,700 $137,175 $167,450 $198,000 $184,000 $201,000 $235,500 s338,000 Arrowhead $521,500 $34s,950 $452,783 $396,220 $468,800 $620,000 $644,000 $710,000 $720,000 Redcliff $53,000 $88,500 $950,000 $55,000 $130,450 $63,503 s49,539 $220,000 $250,000 Avon Vail $92,500 $1s0,750 $99,800 s'l52,750 $101,900 $185,000 $104,500 $192,000 $124,000 $238,750 $15s,500 $265,000 $169,000 $299,000 $190,000 $281,900 $226,000 $330,000 Areas Countv $94,500 $127,000 $132,900 $135,000 $124,000 $141,900 $187,000 $'r56,000 $269,050 $168,s00 $188,650 $189,000 $358,750 $209,900 $245,000 $235,500 $300,000 $277,900 .85 Acre Parcel in Sec. 12, T5S, R8l ll'PAC I I t I I I t I I t I I I I I I I I I access and functionability ofthe mountain, providing an additional portal to the ski area, as well as representing needed infrastructure to facilitate the proposed Category III expansion. The firstphase ofredevelopment ofthe Lionshead base area began in 1996 with the construction ofa new l2 person gondola, at a cost of $12 million. Cars in this high tech lift are luxurious, including heat, music, and spacious compartments that take skiers up the mountain in less than eight minutes. Phase II of this project is still in a conceptual phase, but will likely involve the creation of a new base facility with a luxury hotel lodging facility which will replace the current gondola building and adjacent Sunbird Lodge. Vail Resorts, the owners & operators of Vail and Beaver Creek, purchased the remaining undeveloped real estate (2,300 acres) from Arrowhead, which includes the ski area and large tracts of development land in Bachelor Gulch. These lands are contiguous with Beaver Creek's western boundary, and this purchase has allowed the Beaver Creek and Arrowhead ski areas to be interconnected. The combined Beaver Creek/Arrowhead Mountain ski area has a vertical drop ofover 4,000 vertical feet, the largest in Colorado. Approval has been granted to develop a small village and 729 units of residential density in the Bachelor Gulch area. Numerous single family homes are under construction, and strong sales activity has been observed in eight new multiple family projects. Lifts to interconnect the three villages became operational for the 1996-97 ski season, adding 330 acres of terrain to the ski area. There has also been informal discussion about the construction ofa ski lift directly from the town of Avon to the Bachelor Gulch area. These developments have already had a profound affect on the local real estate market, and their influence is expected to increase over time. Vail was awarded the 1999 World Alpine Skiing Championships, a two week event which carries with it significant economic stimulus, and provides extensive marketing exposure to aficionados ofskiing from around the world. Vail also hosted this prestigious event in 1989, and its benefits have been felt for many years. rf Three large developments have received planning approvals in the county. The Vail Valley Cenhe (1,790 acres) is locatedjust east ofAvon, containing a large parcel on the valley floor along with mountainous terrain to the north ofI-70. The developer has received approvals to annex the lands into the town of Avon with a mixed use commercial, residential, and light industrial development. Current plans call for 2,400 residential units and about 650,000 square feet of commercial space. While development will likely extend over the next 20 to 30 years, this last large hact of undeveloped land in the upper valley will provide additional residential and commercial inventory for the strong current and anticipated future demand. .85 Acre Parcel in Sec. l2.T5S.R8lrY 10 PAC T I I I I I I t I I I I I I I I I I t Another major project which is undergoing initial development known as the Eagle Ranch. This 1,575 acre parcel is located just southwest of the existing town of Eagle on ranch land in the Brush Creek valley. Initial plans call for a total of 1 ,100 homes and an I 8-hole golf course, with 60 percent of the property to be open space, golf course, parks, and natural open space. A neighborhood center will include stores and shops for local neighborhood needs, but no extensive commercial development is planned. Eagle has also received a degree of speculative interest due to the proposed Adams Rib development situated in the Brush Creek valley, south of town. The developer had initially planned to build a large ski area with base village in the upper Brush Creek valley, but these plans have now been scuttled due to questions about the suitability of the site for ski area development. The developer is now pursuing approvals for the development of residential communities situated around solf courses. Future Challenges: With so many positive influences occurring in the valley, current problems and future challenges are sometimes overlooked. However, the dramatic growth within Eagle County has created its own set of problems which affect the desirability of the area. With a limited amount of developable land and spiraling real estate prices, affordable housing is scarce, forcing many of the valley's employees to find housing in more distant locales. Labor shortages are commonplace, impacting the area's ability to service its guests. Unfortunately, no easy solutions are available for these problems, and they will continue to plague the region in coming years. One should also remember that Eagle County is heavily dependent on the vitality of three interrelated industries, tourism, real estate, and construction. While it is presently difficult to envision, changes which affect the demand for real estate and the financial strength of typical visitors and second home buyers could bring on a decline in the local marketplace. Softening of supply and demand conditions would lower price levels and the construction industry would see large cut-backs. An associated decrease in recreational visitation would only contribute to a decline. There are presently no indications of such an occurrence, but the area's rulnerability to this situation should be recognized. TOWN OF VAIL The Town of Vail extends for about 10 miles through the narrow confines of the Gore Creek valley, beginning at the base of Vail Pass on the east, and extending west to Dowds Junction. Development initially centered around Vail Village and its ski and resort commercial facilities, but growth into surrounding areas occurred rapidly in the 1970's and 80's due to high demand for residential properties. Currently, ski area base facilities and primary commercial development are located in Vail Village, Lionshead, and Cascade Village, with the West Vail .85 Acre Parcel in Sec. 12. T5S. RSlly PAC llI I I t I I I I I I I I I I I t I t I area also containing a sizable commercial center. Vail Village and Lionshead contain large pedestrian malls which are particularly appealing to tourists. Overall, Vail is be about 95% built-out, with no large tracts of privately held lands available for future development. Nearly all of the higher density multiple family land is already improved; most remaining single family and duplex sites are being improved with good to excellent quality dwellings which typically maximize site coverage. This mountain valley is relatively narrow and sunounded by national forest lands, so the prospect ofadditional development over what is already approved is fairly minimal. This positive influence on the real estate marketplace has resulted in tight supply and demand conditions and higher price levels. Typical ofski resorts, properties within close proximity to the lifts and slopes exhibit the highest demand and value levels. As one heads farther away from values tend to drop off, although more scenic locales and higher quality developments still command high prices. Despite the fast pace of growth over the past 30 years, the town exhibits the effects of good planning, design, and governmental controls. Residential and commercial uses in the village cores' inter-mix well, and they are adequately segregated in outlying areas. The town handles the large influx of tourists during seasonal periods rather well. This is influenced by the well designed core areas, good transportation and traffic flow plans, and free year round bus service to all portions oftown. In fact, Vail's bus system is the second largest in the state and the largest free system in the country. The town's infrastructure is well developed and maintained, and fire and police services are top notch. An elementary school is located in the Sandstone area, with middle and high schools situated down-valley in the Mintum and Eagle-Vail areas. Retail Sales: This graph depicts yearly retail sales tax collections within the town of Vail. Collections have steadily increased every year over the past ten years due to increased visitation, population growth, and expansion and updating ofcommercial development. The figures for 1999 reflect a small 3.6% decline compared to 1998. This was influenced by lower than typical snowfall and visitation, but is Vail Retail Sales Tax 16 14 .^ 12z =10=^ 6 4 1 l '| 999 also influenced by the movement of population and businesses down valley. 1987 1991 1995 Y€aT Source: To\9n <'f r.ril Fi,r@rce DeP, .85 Acre Porcel in See. 12, T5S, RA I W t2 PAC I I I I I I I I I I I I I I I I I I I Sales Volume: This chart depicts the volume ofsales activity for various property types in the entire Vail marketplace during the past ten years. Evident is a steadily increasing amount of activity within all market segments, with 1997 representing the best year ever. With low inventory levels and higher prices in all market segments, it is expected that sales volume will not be able to keep pace with these recent peaks. But demand is anticipated to remain strong, and with low supplies, higher prices appear likely in the coming year. CASCADE VILLAGE & GLEN LYON Cascade Village and the Glen Lyon subdivision are located just west of the Lionshead portion of town, situated on both sides of Gore Creek. This area has been developing since the late 1970's and includes a Hotel along with associated commercial and entertainment uses, including restaurants, theater, and athletic club. Most important, though, relative to the Cascade Village area's appeal is the installation of a ski lift originating just east of the Cascade. In planning for several years, the lift's 1987 installation has served to heighten area marketability and enhance property values. Aside from the Cascade Hotel, five other condominium projects exist. These are all located off of Westhaven Drive on the north side of Gore Creek. Condominium price levels range from about $295,000 for a small one bedroom unit to $1,500,000 for large high end units with excellent locations. The Glen Lyon Subdivision is situated on the south side of Gore Creek and contains a mix of custom quality half duplex and single family homes appealing to affluent second home owners. Sites on the eastem end of the subdivision enjoy varying degrees of ski in, ski out access, enhancing appeal to recreational home buyers. Attached and detached single family homes typically range from about $700,000 to over $3,000,000. SUBJECT SITE Location: The subject site is situated in the Cascade Village area along the northem aspect of Westhaven Drive. The site backs to Interstate 70 on the north. with the Vail Cascade athletic club and a parking structure for the Cascade Village development situated to the east. A small tract of open space with a bike path adjoins to the west, with a high quality duplex home situated beyond overlooking Gore Creek. Improvements directly south of the site across Westhaven Drive include the Millrace Condominium project, with the a building containing the Colorado 300 a 2OO ='roo o Vail 1989 199'1 1993 1995 ',1997 1999 I condos ! lmproved sFR f Vacant sFR bN ttu R.'/ttt tu@d" & ?rc n',tdl ff Sales Volume .85 Acre Parcel in Sec. 12, TiS, REIW l3 PAC I I I I I I I t I I I I I t I I I I I Mountain Condominiums, the Colorado Mountain College, and the Cascade Village Theater adjoining Millrace to the east. These project serve to partially obstruct the favorable southem views from the subject site. The Vail Cascade resort hotel is situated about one block to the southeast. A ski lift and ski in trail offering access to and from Vail Mountain is located about two blocks to the southeast, offering convenient access to this desirable amenity. Other development in the immediate area includes Coldstream Condominiums, situated across Gore Creek southwest of the subject. The Glen Lyon subdivision exists on the south side of Gore Creek, offering a wide array of custom quality. half duplex and single family homes. The site is generally level along Westhaven Drive before sloping up rather steeply to the north where it adjoins the South Frontage Road and Interstate 70. The addenda to this report includes a plat map and photographs of the subject property, along with photos of a topographic map, site plan, Improvement Location Certificate and elevations of a 1998 proposal for improvements. The subject property has the following characteristics: Size: Shape: Dimensions: Topography: Vegetation: Address: Easements: Utilities: Access: 36,980 square feet, or.849 acres, according to Improvement Location Certifi cate dated 3 I 41 92 Rectangular in shape with approximately 200 feet of frontage along Westhaven Drive Irregular - See attached map Level on the southern portion before sloping steeply up to the north and west. The site contains no significant natural vegetation. 1325 Westhaven Drive The 1992Improvement Location Certihcate denotes a 25'wide gas line easement which crosses the northern and western portion of the site. A small 10 foot wide electrical easement crosses the extreme southeastem comer of the property. These easements are not considered to adversely affect the utility or appeal ofthe site, and no other unusual easements are adverse conditions were observed. The site is serviced by a complete complement of public utilities, including water, sewer, electricity, telephone, natural gas, and cable television. The site enjoys good access off of Westhaven Drive on the south side of the site. .85 Acre Porcel in Sec. 12. T5S. RSlW 14 PAC I t FEMA Flood Map: Hazard lD: FEMA flood map 0800054 0001 B, with an effective date of May l, 1985 shows that the subiect site lies within Zone C, an area of minimal flooding. None known Environmental Hazards: Please note that the existence ofhazardous 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 appraiser has no knowledge of the existence of such materials on or in the property unless othenvise stated. The appraiser, however, is not qualified to test such substances or conditions. Ifthe presence ofsuch substances, such as asbestos, ureaformaldehyde 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 no 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. SUBJECT IMPROVEMENTS The subject site was originally slated to be developed with apartments in 1982. Initial excavation and a concrete foundation with a 37 space lower level parking garage were constructed at that time. Construction was halted due to a declining real estate environment, and the parking structure foundation has been utilized for parking since then. The current owner reports that the improvement is structurally sound and can be utilized in the construction of a four story building. The owner reports that engineers have inspected the existing utility connections and drainage systems, and these are judged to be adequate and functional. The appraiser is aware of other concrete foundations which have sat exposed to the elements for similar time frames and have subsequently been utilized for new improvements with no problems. Therefore, it is assumed that the foundation is structurally sound and can be utilized in the construction of a four storybuilding which maximizes the available density on the subject site. Please note that any deviation from this assumption would have a significant negative influence on the final value conclusion of this reoort. .85 Acre Parcel in Sec. 12. T5S. REI ll/ 15 PAC I I T I t I I I t I I t I T I I T ZONING The subject property is currently zoned Special Development District (SDD) by the Town of Vail. The purpose of the Special Development District is to encourage flexibility and creativity in the development of land in order to promote its most appropriate use; to improve the design character and quality fo the new development with the Town; to facilitate the adequate and economical provision of streets and utilities; to preserve the natural and scenic features of open space areas; and to further the overall goals of the community as stated in the Vail Comprehensive Plan. An approved development plan for a Special Development District, in conjunction with the property's underlying zone district, shall establish the requirements for guiding development and uses of property included in the Special Development District. The SDD zoning inherently allows for a wide variety of uses, with no firm limitations on the type of uses allowed. The developer of a property under this designation must formulate a development plan for the property to be submitted to the town's Department of Community Department. A report of the Department of Community Development stafl's findings and recommendations shall be made at the initial formal hearing before the Planning and Environmental Commission. This commission shall provide a report to the Town Council stating its findings and recommendations. Determination of permitted uses is made by the Planning and Environmental Commission and Town Council as a part of the formal review of the proposed development plan. Furthermore, extensive design criteria and development standards are used as the principal criteria in evaluating the merits of the proposed development. A copy of the town's guidelines for Special Development Districts is included in the addenda to this report. Consideringthe subject's SDD zoning, awide range ofpotential uses and development densities are possible on the subject property. Included in the addenda to this report is a Memorandum dated January ll, 1999 from the Vail Community Development Department to the Planning and Environmental Commission. Page 5 of this document is included below, which provides a synopsis of three previous development plans which were approved for the property. The original SDD Approval was granted prior to issuance of a building permit in 1982. This proposal included 22,500 square feet of free market condominiums and 6,400 square feet of employee housing units (EHU's). The approval in 1995 allowed for 25,644 square feet of free market condominiums along with 8,296 square feet of EHU's. The 1998 proposal which was .85 Acre Parcel in Sec. l2.T5S.R8lll l6 PAC I I ! t I I I I I I I I I I I I I I I I I I approved withnumerous conditions, with the proposal including amix offractional fee units and accommodation units totaling 24,410 square feet, along with 10,731 square feet of EHU's. These prior approvals provide a reasonable basis for the maximum development potential of the site, which should correspond to a reasonable highest and best use for the propedy. Both the 1995 and 1998 development plans included a greater amount of free market or accommodation unit area, along with an increase in the amount of employee housing unit (EHU) area. This is a tradeoff which addresses the needs of the town of Vail for a greater number of employee housing units. The town was willing to allow a greater development density in exchange for a greater number of employee housing units. There is an extreme shortage of lower cost housing for employees in the town, and the current market environment reduces the feasibility for development of such units. Therefore, the town feels compelled to negotiate the construction of employee housing units into development plans whenever possible. -65 Acre Parcel in Sec. 12, TSS, R8l W t7 PAC I I I I I t I I I t I I I I I I Subject Property's Prior Development Proposals IV. ZONING ANALYSIS / DEVELOPMENT STATISTICS Lot Area: 0.85 acres or 37,026 sq. ft. Zoning: SDD #4 (Cascade Village) Development Standard Oriqinal SDD Aporoval Height: GRFA: Free Market: Accommodation. Fractional Fee: E HUs. Total. Common Area: De ns ity: Free Market: Accommodation. Fractronal Fee: EHUs. Setbacks: Site Coverage: Landscaping: Retaining Walls: Parking: Load ing/De live ry: Employce Housing: 55' 22.500 sq ft 0 sq. ft. 0 sq. ft. 6 400 sq. ft. 28,900 sq. ft. (78%) 10,115 sq. ft. (35%) 20 du's 0 a u's 0 ffu's 10 EHU's 30 total units (27.4 du's/ac) 20' 1995 Approval 1998 Proposal 55' 55' 25,644 sq. ft 0 sq. ft 0 sq. ft. 9,550 sq. fl. 0 sq ft 13,860 sq. ft. 8 296 sq. fi 10.731 sa. ft. 33,940 sq. ft. (92%) 34,141 sq. ft. (92%) 3,41 7 sq ft. (10.1%) 7,0s4 sq. ft. (2'l%) 14 du's 0 du's 0 au s 15 aLr's 0 ffu's 11 ffu s 17 EHU's 21 EHU's 31 total units 47 total units (23.2 du's/ac) (25.49du's/ac) 24' 21.' for density calculation purposes, accon.rmodation units are 0.5 du s, employee units are O 333 du s and fractional fee club units and free market units account are 1 du. each. 35% (12,959 sq ft.) 36.7olo (13,59E sq ft.) 38.3% (14,173 sq. ft.) 50%(18,513sq.ft) 47.9%(17J67sq tt)479%(17,767sq.fr.) 376' none proposed none proposeo 75% shall be enclosed 82% shall be 78% shall be enclosed en closed 44 total spaces 45 total spaces 46 total spaces one required one required one provided mrnimum of I units; 17 EHUS, similar to 21 EHUs, similar minimum of 648 sq. ft each, Type llt restrictions to Type lll should not count towards restrictions density or GRFA. .65 Acre Porcel h Scc. 12. T5S. RS llv t8 PACI I t I I I I I I I I I I I t I I I I I SUBJECT OWNERSHIP & SALES HISTORY Current Owner: Westhaven/Cascade LLC Last Safe: November 23. 1994 for a recorded price of S1,300,000. Listing or Gontractual Activity During the Past Year: None known. PERSONAL PROPERTY No contribution is given to any fumishings, personal property, or intangibles that are not real property that may have been on site during inspection. Fixtures, such as built-in appliances, wall and floor coverings, electrical and plumbing fixtures, and window coverings are typically considered as real property in the valuation ofresidential property, and are included in the value estimate. ASSESSED VALUATION AND TAXATION According to the office ofthe Eagle County Assessor, the subject property is presently assigned the following assessed value, based on29oh of the indicated "actual" value. With a current mill lew of 57.4853- 1999 taxes are due on or before April 2000. are as follows: This level ofvaluation does not appear reasonable for the property. The value assigned to the land appears somewhat low, and no contribution is assigned to the improvements on the site. HIGHEST & BEST USE Highest and best use may be defined as "the reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported,financiallyfeasible, and that results in the highest value. Thefour criteria the highest and best use must meet are 57.485 $24.660.49$ 1.479.280 .85 Acre Psrcel in Sec. 12. T5S. R8l ,l/ l9 PAC I t I I I t I I t t I I I I I I I I t legal permissibilily, physical possibility, financial feasibility, and maximum profitability" 2 Highest and best use as if vacant: Physically Possiile.' The subject site is of sufficient size and shape, and has good access, utilities, and visibility for the development of a wide variety of improvements. No environmental or hazards-related constraints are known to exist which would affect the property's developability. Legally Permissible: Zoning, private covenants, deed restrictions, building codes, and environmentaVpublic concerns each have a potentially limiting affect on usage. Under the subject's Special Development District (SDD) zoning, the development of a wide variety of residential,lodging, and commercial uses would be allowed. Considering the current zoning, the Town of Vail's desire for additional employee housing, and the fact that all three prior development proposals of the subject site included employee housing unit (EHU) components, the inclusion of EHU units is considered a requirement in any development plan. Financially Feasible: As discussed in the area and neighborhood sections ofthis report, the regional and local area is seeing rapid growth, demand, and absorption ofall types of real estate. The site enjoys a convenient location near the Cascade Village Hotel, Cascade Club athletic club, and skiing access to Vail Mountain. The site enjoys average to good views of the ski area and surrounding mountains, but the site receives negative visual and sonic influences from Interstate 70 and the South Frontage Road. Considering these influences, the development of a wide variety of residential condominium, apartment, or lodging uses, including accommodation units and fractional fee club units which are allowed under the current zoning appears feasible and viable. Maximally Productive: A variety of residential improvements are feasible for the subject site, including condominiums, apartments, accommodation units or fractional fee uses. Prior development approvals for the site in 1982 and 1995 included a mix of free market condominiums and EHU units, suggesting these are viable development plans for the site. 2 The Dictionary of Real Estate Aooraisal, ThirdAddition, Appraisal lnstitute, page l7l. .85 Acrc Parcel in Sec. 12, T5S, RSl rf I t 20 PAC I I t I I I t I I I t I I I I I I The 1998 proposal included a mix of accommodation, fractional fee, and EHU units. The town of Vail certainly encourages plans which add short term lodging uses that bring more guests into town. Other fractional fee projects have been successful in Vail, Beaver Creek, and Avon, although such projects are typically more difficult to finance and more costly to market. There is a higher degree of risk associated with fractional fee development, which is offset by a higher potential return ifthe development is successful. There are a number of limiting factors involved in a plan to develop the site with accommodation and fractional fee units. The parking requirements are significantly greater under this scenario. The 1998 proposal provided 52 parking spaces, but the towns guidelines require 74 parking spaces, whereas the 1995 proposal for free market condominiums required only 53 spaces. Structured parking spaces are estimated to cost about $25,000 per space, with the additional parking requirement associated with accommodation and fractional fee uses providing a considerable increase in the development costs ofthe project. It is very difficult to accurately assess the relative feasibility of feasibility of free market condominiums versus accommodation or fractional fee uses, particularly given the unique characteristics of the subject site and it's locational appeal. Therefore, it is concluded that development of the site with a good quality condominium, accommodation unit and/or fractional fee complex which includes a suitable employee housing unit component that mar<imizes available density while conforming to other criteria is the highest and best use ofthe site as ifvacant. HIGHEST AND BEST USE AS IMPROVED Thecunent subject improvements consistof 14,228 square footparking structure and foundation walls. The replacement cost of these improvements is considerable, currently estimated at $45 to $50 per square foot, or $640,000 to $711,500. If these improvements were not utilized in a development plan, additional demolition costs would also be incurred. These factors influence the feasibility of utilizing the existing foundation in a development plan of the subject property. From all indications, it appears that the existing foundation and parking structure are structurally sound, and this report assumes this to be the case. The foundation appears to be of sufficient size and design to accommodate uses which are consistent rvith the highest and best use as ifvacant. However, a number of negative factors are noted about the current design. The building has been placed near the southem setback ofthe site, and with the current foundation design, the front .85 Acre Porcel in Sec. 12. T5S, R8l Il 2l PAC I t I t I t I I I I I I I t T I I I I entrance to the project would need to be situated on the north side ofthe building. Any surface parking would also need to be situated on the north side of the building. The lack of southern exposure means that these areas will not receive any solar exposure, diminishing appeal. However, to it's benefit, this design maximizes the desirable southem views from the residential portion ofthe project, and it places the building farther away from Interstate 70 and the South Frontage Road. There are a number of limiting factors involved in a plan to develop the site with accommodation and fractional fee units. The parking requirements are significantly greater under this scenario. The 1998 proposal provided 52 parking spaces, but the towns guidelines require 74 parking spaces. One of the conditions of approval was for the applicant to explore altematives to the proposed parking plan and provide all ofthe required parking spaces (74) on-site. This appears to be a difficult objective to achieve while utilizing the existing foundation. Structured parking spaces are estimated to cost about $25,000 per space, with the additional parking requirement associated with accommodation and fractional fee uses providing a considerable increase of the development costs ofthe project. After consideration of these influences, it is concluded that the existing foundafion adds considerable value to the subject site, and it is the appraiser's opinion that any party developing the site would most likely utilize the existing foundation. The foundation's replacement cost and any demolition costs to remove it are sufficient to overcome any functionally deficient aspects of the existing design. Therefore, the highest and best use as improved would be to utilize the existing foundation in the development of a good quality condominium, accommodation unit and/or fractional fee complex which includes a suitable employee housing unit component that maximizes available density while conforming to other criteria. Considering the increased parking requirements associated with the development of accommodation and fractional fee units, it is the appraiser's opinion that these uses are less feasible and likely to gain approval from the town of Vail. THE VALUATION PROCESS The valuation process begins rvith the identification of the property to be appraised and a determination of the property rights involved. Investigation and research are performed to identify trends and determine interrelationships among the principles, forces, and factors that affect real property value in the marketplace. Data is gathered and analyzed with paired sales techniques to extract quantitative information and other evidence of market trends. .85 Acre Porcel in Sec. l2, T5S, RE I W 22 PAC I t I I t T t t I I I I I T I I I I I Highest and Best Use analysis is an important part of the process as it identifies comparable sales and recognizes any physical, functional, or extemal obsolescence associated with the property. A separate site valuation serves to quantify the impacts of differing locations and site/view characteristics among various properties. There are three basis approaches to estimating value; the cost approach, the sales comparison approach, and the income capitalization approach. Current appraisal standards require appraisers to use all three ofthese approaches for every appraisal, or provide adequate reasons why one or more of the approaches was not utilized. Each of the three approaches are intenelated through the analysis of sales, cost, and income data. Value indications are derived from any or all of these approaches, and through a process ofreconciliation, a final conclusion is determined. The appraisal is intended to provide a supported value conclusion that reflects all the factors that influence the market value of the property being appraised. The appraiser has made a reasonable effort to employ each ofthe three approaches to value. In the valuation ofindividual building sites, neither the cost nor income approaches are considered meaningful indicators of value. As a result, the sales comparison approach is exclusively relied upon herein. Land Value Estimate The valuation of vacant land is performed by one of the following methodologies: t Sales Comparison: Sales of similar, vacant parcels are analyzed, compared, and adjusted to provide a value indication for the land being appraised. ' Allocation: Sales of improved properties are analyzed and the prices paid are allocated between the land and the improvements. Allocation can be used to establish a typical value ratio of land value to total value, or to isolate the value contribution ofeither the land or the building from the sale for use in comparison analysis. > Extraction: Land value is estimated by subtracting the estimated value of the depreciated improvements from the known sale price of the property. ' Land Residual Technique: This technique capitalizes into value the residual income attributable to the land in an actual or new building improvement. .85 Acre Parcel in Sec. 12. T5S. R8l W z) PAC I I I I I T I T I t I I T > Ground rent capitalization: This procedure is used when land rents and land capitalization rates are readily available. This valuation utilizes the sales comparison approach along with sales which have incorporated allocation as the premise for valuing vacant multiple family development land. SALES COMPARISON APPROAGH This approach involves a comparison of the subject property with sales of similar competing properties. No recent sales of vacant development tracts have occurred in the Vail area during the past three years. Numerous sales have occurred in the Bachelor Gulch and Arrowhead locales. The sales prices of these transactions were all based on allocation methodology which is based on a percentage of the estimated gross retail sales generated from the proposed developments. These sales will be considered later in this report. The following comparable sales include an older sale from Vail Village, along with sales from the Avon and Edwards areas which are situated about l3 to l7 miles west of Vail. .85 Acre Parcel in Sec. 12, T5S, R8l lt 24 PACI T I I t t I I I t T I I I I I I I I I I t Sale No. 1 Vail Plaza Hotel tules Price: $6,555,900 BWPg 7lll259 *Efective Price: $7,556,000 Date of tule: llllU96 Grantor: Vail Village Inn Inc. Grantee: Daymer Corp. Terms: Cash to seller, no equivalency adjustnent required. Site Size: Ll3 acres or 49,223 s.f. Proximity: I mile east funing: Special Development District Utilities: Wder, sewer, natural gas, elecfic, phone, cable Silality of Access: Good Topography: Mostlylrvel This is the older sale ofthe Vail Village Hotol, one of Vail's first lodging establishments. The property was purchased with the intent of redevelopment and plans were recently improved for a new structure which will include 99 accommodation units, 50 fractional fee club units, 18 employee housing units, and one penltouse dwelling rmit. For density calculdion purposes, the town of Vail assigns accommodation units 0.5 density units, employee units 0.333 density units, and fractional fee club units are I density .E5 Acn Patrcl in Sec. 12, TSE, R81W 25 PAC J I I I I I T I I I T I I t I I I I I I unit. This provides for a total of 61.5 equivalent density units. Other uses include retail, lobby, restaunmt lounge, conference room, food & beverage facilities, ofEces, extensive recreational arnenities arrd 256 pa*ing spaces. This property enjoys a convenient and desirable location in Vail Village adjoining the pedestrian mall about three blocks from the ski lifu. While plans have been approved, redevelopment is currently stalled due to a lawsuit from adjoining prope4y owners conceming the blockage of views. Management rcports that preliminary estimates for demolition and removal of the existing structurc are about $1,000,000. This provides for an effective purchase price of $7,5 56,000. .65 Acn Parcel in Sec- 12, T5S. R8lW 26 PAC I- I I t I I t I I I I I t I I I I t I I Sale No.2 Lot C, Benchmark SuMivision, Ayon fules Pice: $3,300,000 Roopt#:72E123 *Effective Price: $3,300,000 Date of fule: 4l2ll2OOO Grantor: Vail Associaes Investnents, lnc. Grantee: Points of Colorado Terms: Cash to selleE no equivalency adjusfinent required. Site Size: 3.24 acres or 141,134 s.f. Prorimity: 13 miles west Tnning: Town Center Utilities: Water, sewer, nafural gas, electric, phone, cable Ouahtv of Access: Goodl-'Topography: level This is the sale of a large tract of land situaed in central Avon, just west of Avon Center and north of The Seasons d Avon project. Plans call for the site to be developed with 133 timeshare units, a 125 unit hotel, 20 employee housing units, and 31,850 square feet of commercial retail and office space. This provides for a total of 195 equivalent density units. Approvals have been grant€d for three phases of constuction. .85 Acrc Panel in Sec- I 2, Tss. R'I w 27 I I I I I T T I I I I I I I I I I t I Sale No.3 fules Price: *Efective Price: Date of fule: Grantor: Grantee: Terms: Site Size: Proximity: hning: Utilities: Suality of Accessi Lot 61, Block 2, Benchmark at Beaver Creek $1,100,000 $1,100,000 l/98 BWPg: 6451435 tlal Construction, lnc. IDG3 LLC Cash to seller, no equivalency adjustnent required. 1.00 acres or 43,560 s.f 13 miles west Town Center Water, sewer, ndural gas, electric, phone, cable Topography: Level This is the sale of a one acre site located just east of the Seasons at Avon mixed-use project. The parcel is approved for 34 dwelling units and additional commercial spacr could also be developed. This parcel is located across tle railroad sites from the VA owned site which could someday be improved with a gondola to access Bachelor Gulch and Beaver Creek. The site is within walking distmco ofdowntown Avon. The allowable development density suggost that this witl be s high-rise project and good views should be available in most directions. .85 Acn Panel in Sec. 12, T58, RS|W 28 I I I I I I I I t I Sale No.4 River Pines Site; Tract in Section 4, T5S, R82W r Sales Price: $1,375,000 BWPg: 7261827 *Elfective Price: $1,761,953 I Date of Sale: 5ll2l9'l Grantor: Archcr Trust I Grantee: Protrust fuver Pines I Terms: Cash to sellcr, no equivalency adjustment rcquircd. Site Size: 5.26 acres or 229-125 s.f. $/S.F.: $7.68 I Developable Site Size: 4.55 acres or 198.198 s.f $/S.F.: $8.90 Proximitv: l/4 mile west I Zoning Planned Unit Development approved for 72 units plus a multi-use building I Ufihries: Water, sewer, natural gas, elcctric, phone, cable _ Auahty of Access'. Good T'opography'. Level to sloping r This is the sale of a smaller site located l/4 milc wcst of thc subjcct rvith a similar location bordering the r Eagle River, while also being impactcd by Highway 6 to the south. An additional $236,000 was spent I as a settlement to relocate the existing mobile home occupants. There were also other miscellaneous chargcs associated with the acquisition of the sitc. According to information providcd by the developer, I the total acquisition cost for the site was $ 1,761,95 3. This sitc has been developed with a 72 :uurrit r condominium project to be known as fuver Pines. I .85 Acre Parcel in Sec. t2,T5S,R81rl 29 PAC I t I I I t t I t T I -.T I QualitY of Access: Good Sale No.5 Lots 2 & 3, Brookside Park I fules Price: $1,E50,000r *Effective Price: $1,850,000 r Date of kle: 414197 I Grantor: Riverview Part Assocides BWPg:7241165 Grantee: Appleby & Monson Inv. I Terms: Cash to seller, no equivalency adjustrnent required. I Site Size: 2.61acrcs or 113.69l s.f. $/S.F.: $16.72 Prorimity: I Mile West I Zoning: Residential High Density & Commercial; approved for40 condos & 14 townhomesr Utilities: Water, sewer, natural gas, electric, phone, cable Topography: Irvel to sloping This is the sale of a site that has been developed with the Indge d Brookside and Broolside Townhomes, t providing foratotal of54 units. The moderately sloping ndure ofthis site requires more site worlq r€quidngr a small adjustnent. This site enjoys a scenic setting bordering the Eagle River, along with a t convenient location across tlle street from parking lots and buses which access Beaver Creek. I I .E5 Actr Porcet in Ecc. 12, Tss, Rs r I t 30 I I I I I I I t I I I I Adjustment of Gomparable Land Sales Sale Price Date Size/ Acres Dens. Units S/Unit Date Size Location Net Adj.Indicated $/Unit I $7.556.000 ll-96 62 $ 122.862 Ll2 I .10 0.52 0.64 $78.359 2 $1,310,000 4-00 3.24 195 $17.077 1.00 1.25 1.60 3.20 $54,646 3 s1.100.000 l-98 l.00 34 $32.35J 1.08 | .00 1.60 $89.449 4 $1.761.953 5-97 4.05 s24.472 l .l0 l.r0 t.78 3.83 s93.818 5 $1,850,000 4-97 2.61 54 $34,259 |.t0 1.05 1.50 2.60 s89,01| I The adjustments utilized are based on observations within the marketplace. All of the sites are reasonably level and have good access to utilities and roadways. Upward time adjustments have t been assigned at a rate of .25%o per month. Size adjustments are based on the premise that larger projects typically sell at a reduced rate to account for the larger capital requirements and difficulties I in managing a project with a greater scope. Location adjustments are based on analysis of the I relative price points of condominium units within these various market segments compared to the subject property. I Summary of Comparable Land Sales Sale Location Sale Date Sale Pric€ Land Area (Acres) $/ Acre Density Units Units/ Acre $/ Unit I Vail Plaza Hotel, Vail |/96 $7,556,000 Ll3 s6,686,726 61.5 54.4 s122,862 2 Lot C, Benchmark,4/2W0 $1,330,000 3.24 $t,027,778 195 60.19 sl7 p77 3 Lot 6l, 82, Benchmark Avon I /98 s1,100,000 1.0 $1,100,000 34 34 $32,353 4 River Pines Site, N. Side of Hwy6 Edwards 5197 $1,701,953 4.05 $.ll5,05 0 72 I ?.78 s24,472 5 Lors2&3 Eaglewood Sub. Avon 4t97 $ l,850,000 2.61 $?08,812 54 20.69 $34,259 .85 Acre Parcel in Sec. 12.T5S.R8lIl/ JI PACI I I I I t I I I t I I t t I I I I I I The data serves to provide a rather wide range ofindications, ranging from about $54,500 to $94,000 per unit. Comparable 1 is most similar in it's Vail locational appeal, but Vail Village properties tend to sell at much higher price points than those in Cascade Village. This is a much larger project which includes extensive common amenities. The remaining sales serve to bracket the indication ofSale l, but all require substantial adjustment for their differing appeal characteristics. Based on this analysis, the subject site is assigned a value of$78,000 per equivalent density unit. For density calculation purposes, the town of Vail assigns accommodation units 0.5 density units, employee units 0.333 density units, and fractional fee club units are I density unit. Under the subject's lgg5approval,theprojectincluded2ldensityunits. Underthel998proposal,theprojectincluded 25.5 density units. However, the 1998 proposal clearly exceeded the recommended parking requirements, so it is not considered reasonable to utilize this higher figure. Therefore, the lower figure of 2l density units in utilized in the following calculations: 2l Units X $78,000 Per Unit = $1,638,000 ALLOCATION METHODOLOGY Considering the unique characteristics ofthe subject property, combined withvery diverse sales data, another valuation approach is appropriate to utilize in this appraisal. This methodology has been utilized extensively in the Beaver Creek, Arrowhead, Bachelor Gulch, and Cordillera resort areas in the sale of lands from the master developers (Vail Associates, Vail Resorts, Stag Gulch Partners) to the individual project developers of condominium, townhome, and cluster home projects. The key factor in this methodology is based on a percentage of the estimated gross sales of a particular project. The advantage of this methodology is that it is consistently applied to sites with different appeal characteristics, including development densities, location, and site/view characteristics. Although two sites exhibit different characteristics in terms of size and development density, they are priced according to the same formula. The purchase price of the site is based on a percentage of the projected gross sales from the sale of units in the proj ect. This provides a simplified manner to value properties which differ sigrificantly in appeal characteristics. This methodology is particularly appropriate for the subject property, considering it's unique characteristics and the lack ofsuitably similar sales data to estimate it's current site contribution. .85 Acre Porcel in Sec. l2,T5S,REllY 32 PAC I I I I I I I t I t t t I I I I I I I The analysis is based on a percentage ofthe projected gross sales from the sales ofunits. For many years, a rate of l5o/o of the projected gross sales was utilized in the allocation of land value calculations. In recent years, this percentage has been increased for better ski in, ski out sites in Beaver Creek, Arrowhead, and Bachelor Gulch. Rates from I 5olo to 1 80% have been utilized in recent years. This process is usually completed several months before the project is even started. In order to take into account the possibility of improving market conditions, they include a Contingency Land Cost component to the purchase price, rvhich is equal to the same percentage (15% to l8%) of the gross total revenues in excess of the base sales price. There is a third component to the purchase price called the Deferred Land Price. This figure is based on a rather complicated formula and it essentially allows for the seller to participate in the profit generated by the developer. This is a very difficuit figure to estimate because it cannot be determined until the project is completed and all of the units have been sold. This figure does not always come into play, and is completely dependent on the competency of the developer and the market conditions during the construction of the development. Therefore, it is given no consideration in this analysis. The following table provides a summary of recent sales which have utilized this pricing structure: Summary of Bachelor Gulch/Arrowhead Land Sales Sale Locrtion Sale Date Sale Price Land Area (Acres) $/Acre Units Units/ Acre $/Unit Est. $/sf Retail Sales Allocated Land Valu€ % / Rerail Sales I Tract K , Bachelor Oulch F3 Snowberry 5/00 $l,944,000 I .102 sl,?64,065 8 7.26 $24J,000 s600.00 | 8.00% 2 Tract J, Bachelor Gulch F3 Settlers Lodge 4/00 $2,?50,500 592 $4,646,1 I 5 t4 23.6 $196,464 $600.00 15.7 5% 3 Tract U, Bachcul.F3 Bcar Paw Phases I, ll, & lll 5/98 5/99 4/00 $8,502,800 4.251 $2,000,188 53 12.5 $160,430 $640.00 | 5.OOV, Lots 26 &.2'l Anowhead Fll Cresta at Anowhead l/00 Ph.t s3,600,000 N/A ,,l0 s360,000 $600.00 r5.00% )Tract Q, Bach.Gul.F3 Quartemoon TH 8t99 $3,744,000 3.43 $l,091,545 l3 3.'t9 $288,000 $600.00 t6.250/0 o Tracts F & C Bachelor Culch F3 Buckhom TH 5/9E 7 t98 5199 $5,213,200 2.32 $2,247,069 24 10.34 s2l'1,2t'1 $545.00 15.00% 1 Tracts R, S, & T Bachelor Gulch F3 Deer Trail 5r98 5/99 s8,820.500 7.413 $ 1 ,1 89,869 l6 2.16 $551,281 $647.00 18.00% .85 Acre Parcel h Sec. 12. T5S. RS llf JJ PACI I T I I I I t I t I I t I I T t I I Application of this methodology to the subject property requires the utilization of a number of assumptions concerning the quantity, quality, and type of improvements which rvould likely be built on the subject site. The 1995 approval for the site included approvals for 25,644 square feet of free market condominium space within the building, along with 8,296 square feet of employee housing units. The 1998 proposal included 23,410 square feet of fractional fee and accommodation units, along with 10,73 I square feet of employee housing units. As noted earlier in the highest and best use section, the 1998 scenario is dehcient 22 parking spaces, with no easy solution to this deficiency. The development of free market condominiums requires a lower parking requirement which is much more feasible for the project site. Therefore, the 1995 proposal is considered to represent the most reasonable development scenario for the site. The employee housing unit component is an anticipated requirement for development of the subject site. Employee housing units provide a signihcantly reduced level of profit compared to free market condominiums. The deed restrictions associated with EHU units places these units in a completely di fferent market segment which sells at lorver price levels. These units must by occupied by owners or tenants who are full time employees in Eagle County. While there is strong demand for affordable housing in the local market, the lower price points associated with EHU units makes them less feasible than building free market condominiums. This is why no new EHU projects have been built in the regional area unless they are subsidized by local governments, built by corporations for employee housing, or required as a concession for approval ofa development. Discussions with developers, brokers, and appraisers suggest that there is typically little to no profit associated with the EHU component of a project. The EHU units are considered a necessary "cost ofdoing business" by most developers. Therefore, in the following calculations, no contribution is assigned for the employee housing component associated with the subject property. A necessary component ofthis developmental methodology is to estimated the retail selling price of the subject units upon completion. Based on an analysis of the subject marketplace and the site/view characteristics ofthe subject site, it is the appraiser's opinion that the utilization of good quality construction represents the highest and best use for the improvement of the site. Development of higher quality construction would result in a higher price point which would be detrimental to the marketability of the project considering it's rather average location and view characteristics for the immediate neighborhood. A good construction quality is commensurate with that evident in the nearby Millrace, Coldstream, and Colorado Mountain Condominium projects. Therefore, it makes sense to compare the anticipated subject units with recent sales of .85 Acre Parcel in Sec. 12. T5S. RSll( .t /lJ+ PAC I I I I I I I I I I I I t I t t I I I units from these projects. A table in the addendum includes current listings, pending sales, and sales of units in these projects during the past year. These sales have been considered and analyzed relative to the anticipated improvements on the subject site. Adjustments have been made to account for the subject's new agelcondition as well as it's site/view characteristics and locational appeal relative to each of these units. After consideration of these factors, it is concluded that a rate of$400 per square foot is reasonable and supportable. The previously cited data of sales from the Bachelor Gulch and Arrowhead locales of vacant development land reflect land value allocation rates which range from l5o/o to 1 8% of the gross retail sales. The thought process behind these different rates is that better located properties command higher rates to account for the higher site contributions associated with these properties. Therefore, the subject site characteristics must be considered in the selection of an appropriate rate for the subject property. The subject is considered to have a rather average location for the immediate Cascade Village neighborhood due to it's location bordering the South Frontage Road and Interstate 70, views which are partially obstructed by adjoining development, and a location one to two blocks from the ski lift. As a result, it is considered appropriate to assign a rate near the lower end ofthe range ofcited allocated rates, and a rate of l5% is utilized in the followins calculations. Utilization of these rates with the anticipated free market condominium density of 25,644 square feet provides the following estimate of value of the subject site as if it were vacant: Free Market Condominium SF 25,644 Estimated Retail Sales Price/SF $400 Gross Retail Sales $10,257,600 Allocated Land Value Ratio 15.00% Land Value As Vacant $1,538,640 Rounded to:$l,539,000 .85 Acre Parcel in Sec. 12. T5S. R8!l| 35 PAC I T T I I I I T I I t t t I I T I I I RECONCILIATION As noted earlier, the Sales Comparison Approach and Allocation Methodology are considered the only viable methodology to value the subject property. The direct comparison of the subject site to alternative sales of multi-unit residential development sites provides a value conclusion of $1,638,000. The available sales data for this analysis is less than ideal, with many of the sales having older sales dates, and all but one of the sales are located outside of the town of Vail. Many of these sales include the potential for some commercial component. Additionally, the improvement type and unit sizes vary from sale to sale. All of the sales require substantial adjustment relative to the subject property. These factors serve to diminish the reliability and confidence in the hnal value conclusion. The allocation methodology utilizes a price structure which has been utilized extensively in the local marketplace to value vacant multiple family development land. This system has been demonstrated to be a popular way to property recognize and account for the interests ofthe buyer and seller and the unique aspects of a particular property. The limitations of this approach include the potential difficulty in estimating the gross retail sales ofthe project and the selection ofthe allocation percentage ofretail sales utilized to calculate the land value. The appraiser has relatively good confidence in the selected rates utilized herein. Certainly, the confidence level ofthese rates are much higher than the level ofconfidence in the data and rates utilized in the salescomparisonapproach. Therefore,thevalueof$l,539,000providedbythedevelopmental approach is selected as the final value ofthe subject site as ifvacant. Additional adjustments to this value need to be made to account for two items, the contribution of the existing foundation and site rvork, and the anticipated cost to relocate the existing overhead utility line along the northem property line ofthe subject site. ADJUSTMENTS TO LAND VALUE AS VACANT The subject property was partially improved with a foundation which includes a 36 space parking garage along with foundation rvalls and columns to support the second level floor. Site work and excavation was performed to accommodate this improvement before construction was halted due to the deteriorating real estate market back in 1982. The current owner has intended to utilize this foundation in past development plans for the property. The foundation and parking stnrcture appear to be of a functional design which conforms to the anticipated improvements under the highest and best use of the property as if vacant. Therefore, these improvements would .85 Acre Porcel in Sec. I 2, T5S, R8 Llt 36 PAC I I t t I I t I I t t I I I I I I I I most likely be utilized by any party developing the property, and they are considered to add considerable value to the property. The foundation and parking garage improvements were originally constructed in 1982 and have remained exposed to the elements since construction was halted. The parking garage has been utilized for parking and storage since then. The current owner reports that the improvement is structurally sound and can be utilized in the construction of a four story building. The appraiser is aware of other concrete foundations which have sat exposed to the elements for similar time frames and have subsequently been utilized fornew improvements with no problems. Therefore, it is assumed that the foundation is structurally sound and can be utilized in the construction of a four story building which maximizes the available density on the subject site. Please note that any deviation from this assumption would have a significant negative influence on the final value conclusion of this report. The owner ofthe subject property provided the appraiser with a cost breakdown prepared by Colorado First Construction Company for the proposed improvements that received conditional approval in 1998. This company reports that the replacement cost of the current improvements on the site would be about $50 per square foot of floor area. The appraiser has analyzed actual construction costs from other local projects rvhich suggest cost estimates for similar work in the Bachelor Gulch area ranging from $47 to $55 per square foot ofthe first floor area. This data lends credence to the figures provided by Colorado First Construction Company. It is anticipated that a purchaser ofthe subject property would utilize the existing foundation in any development plans. The existing foundation is considered to be of a suitably functional design, although it provides some limitations on the design of improvements. While older structural reports are reported to suggest the foundation is structurally sound, only needing minor repairs, there is risk associated with taking on a property with an exposed foundation which is l8 years old. It is the appraiser's opinion that any purchaser of the subject property would not pay full replacement cost for the existing foundation. The design limitations and risk associated with the foundation need to be discounted. Therefore. a 25o/o discount of the estimated foundation replacement cost is utilized in the following calculations. Colorado First Construction calculated the first floor area tobe 14,228 square feet. At a replacement cost of$50 per square foot, and a 25% discount, this provides an additional contribution to the site of: .85 Acre Parcel in Sec. 12. T5S. R81W )t PAC I t I I I I I I t I I I I I I I I First Level Floor Area ( square feet) X Replacement CosVSF Foundation/Site work Reolacement Cost Less25%o Discount Contribution of Foundation & Site Work Rounded to: 14,228 $50 $711,400 (sr77.850) $533,550 $s34,000 In the conditional approval of the 1998 development proposal for the subject site, the Town of Vail requested that the overhead utility line on the northern portion of the site be buried. Discussions with a Jeff Broom of Holy Cross Electric indicated that the cost of this work was estimated in August 1998 to be $33,700. Considering increasing construction costs since this time, the cost to perform this work at the present time is estimated to be $40,000. Any purchaser ofthe subject site would anticipate this cost and deduct it from the land cost calculations. After accounting for these additions and deletions, the following value of the subject property is suggested: Base Land Value $1,519,407 t ^''n"W;Y Plus Contribution of Current Improvements $534,000 Less Cost to Bury Utility Line ($40,000) Final Indicated Value $2,013,407 Rounded to: $2,013'000 .85 Acre Psrcel in Sec. 12, TSS, RSlW 38 PAC T T I I t t I F.NAL oPrNroN oF 'ALUEAfter considering the data and analysis herein, it is the opinion ofthe appraiser that the subject t property has a market value in a fee simple estate, as of September 12,2000 of: TWO MILLION THIRTEEN THOUSAND DOLLARS ($2,013,000) I This^value is all cash or its equivalent and is subject to the Assumptions, Limiting Conditions, and Certification included in this reoort. I REAS.NABLE EXPosuREtME Exposure time may be defined as "the estimated length of time the property interest being I 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". Exposure time is different for various I types of real estate and value ranges and under various market conditions. It is noted that the I overall concept ofreasonable exposure encompasses not only adequate, sufficient, and reasonable time, but also adequate, sufficient and reasonable effort.I An examination of recent sales activity within the subject marketplace reflects a wide range of I typical exposure for development property similar to the subject property. Considering the I market conditions within the Vail marketplace, it is anticipated that the subject property could sell r within a six to twelve month period. This marketing period is influenced by steady demand and I limited supplies, with a trend toward higher asking prices and increasing values. A complete line of purchase mortgage funds are available for properties within the subject area, with numerous I transactions closing under all cash terms as rvell. I I t I T .85 Acre Psrcel in Sec. 12. T5S. RSlll 39 PAC I I t I I I I I I I I I I t I I I I I CERTIFICATION OF THE APPRAISER I certif, that, to the best of my knowledge and belief: - The statements of fact contained in this report are true and correct. - The reported analvses. opinions. and conclusions are limited only by the reported assumptions and limitin!. conditions, and are my personal, impartial, and unbiased frofessional' analyses, opinions, and conclusl0ns. - I have no present or prospective interest in the property that is the subject ofthis repon, and no personal lnterest wlth respect to the partles lnvolved. - I have no bias with respect to the properry that is the subject of this report or to the parties involved in this assignment. - My engagement in this assignment was not contingent upon developing or reporting predetermined results. - Mv compensation for completins this assicnment was not contingent on the development or reporting of a riredetermined value or direction of valie that favors the causE of the client. thqamount of'the value ofinion, the. attainment of a stipulated result, or the occurrence of a subsequent event directly related to the rntended use ol tnrs apprarsal. - Tlir appraisal was not based on a requested minimum valuation, a specific valuation, or the approval of a loan- - My analyses, opinions, and conclusions were developed, and this repon has been prepared, in conformiry wiih the Uniioim Standards of Professional Appraisal Practice. - I have made a personal inspection ofthe property that is the subject of this report. - No other person provided significant professional assistance to the person signing this report. - The reoorted analvses. opinions. and conclusions were developed, and this report has been prepared, tn conforinity with the reqiiremenis of the Code of Pro fessional'Ethics and the Standards of Proiessional Appraisal Practice of tlie Appraisal Institute. - The use ofthis report is subject to the requirements ofthe Appraisal Institute relating toreviewby its duly authonzed representatlves. - As of the date of this report, I have completed the requirements ofthe continuing education program of the Appraisal lnstitute. ' - Mv analvses. oDinions and conclusions were developed. and this report has been prepared in conformiry wiih thetlnifoim Standards ofProfessional Appraisdl Piactice and tb the Code ofProlessional Ethics and Standards ofProfessional Practice of the Appiaisal Institute. - The use ofthis report is subject to the requirements ofthe Appraisal Institute relating to review by its duly autnonzeo reDresentatl ves. W Ceiified Geneial Appraiser #CGO l3 13753 .85 Acre Parcel in Sec. I2.T5S. R81W 40 PACI I I QUALI FICATIONS S UMMARY t EDU.ATI'N Roger N' Pack Successfully completed the following appraisal courses sponsored by the Appraisal Institute: I Year Course 2000 The Appraiser as an Expert Witness: Preparation and Testimony (700) I 1998 Standards ofProfessional Practice, Part C (1430) I 1994 Advanced Applications (11550) 1994 Standards ofProfessional Practice, Part B (1420) I 1994 Standards of Professional Practice, Part A (1410) I 1993 Report Writing & Valuation Analysis (540) 1991 Capitalization Theory & Techniques, Part A (1BA) l99l Capitalization Theory & Techniques, Part B (1BB) I l99l Basic Valuation Procedures (lA-2)r 1989 Residential Valuation (8-2) 1988 Standards ofProfessional Practice (SPP A & B) I 1987 Real Estate Appraisal Principals (1A1/8-1) T Continuing Education requirements of the Appraisal Institute and the Colorado Board of Real Estate I Appraisers are currently maintained through attendance at numerous real estate appraisal seminars. I Graduated from The Colorado College, Colorado Springs, Colorado rvith a B.A. in Biology. r Graduate of Roy J. Wasson High School, Colorado Springs, Colorado. I EXPERIENCE r Dec. 1994 - Founder & President of Pack Appraisal Company, specializing in a wide range of residential I & commercial appraisals in Eagle County. Experience includes residential, condominiums, high end resort properties, retail and office space, apartment buildrngs, subdivisions, I condominium projects, development land, and condemnation. Clients includes local and I ;:5",:1i]ii'11ffi:::i::?#'1?:l'ilf:;':i::',:te asents' attornevs ror administrative I 1997 - Founder & President of Pack Real Estate Services, a real estate brokerage company that I provides consulting and brokerage services to buyers and sellers of all types ofreal property in Eagle Counfy. t 1987 -1994 Employed by Valuation Consultants, Inc., Avon, CO, engaged in various types ofresidential and commercial appraisals in Eagle, Summit, Routt, and Grand Counties. I 1982-1994 Real Estate Sales, Wamer Properties, Avon, Colorado. PROFESSIONAL AFFILIATIONS I SRA - Member, Appraisal Institute - MAI Associate Member, #M940032, Appraisal Institute Certified General Appraiser, State of Colorado, License # CGO1313753, Expires 12/3112001 I Colorado Real Estate Broker, License #IC00097420: Realtorr Member of Colorado and Vail Board of Realtors Approved Appraiser of U.S. Department of Housing and Urban Development (HUD) I .85 Acre Parcel in Sec. 12, T5S, RS lll 4l PAC I I t I I I I I I I I I I I I ADDENDA I I I I T I .85 Acre ParuJtn &c 12, T5S, RSllf 42 PAC I PHOTOGRAPH ADDETDA Bonowe/Client rosD. of vail ftoHtv Addr€ss 132s t{egthaveD Driwe Clv vait Coudv eaole Stft crr Zio Code 815s7 Lender lront vlcr lroD th. g! ProD! Vl.r lEoD th. gW Forn LP|C06 * 'TOTAL 20$ fot Whdows' OpraM soltwre by a h mo&, lr. - 1-800-Al-Atyl0DE -- I I I PHOTOGRAPH ADDEilIIA Bomi{€d0bd TouD of vail no|HtAOCgs 1325 gfesthavcD Drive CIY vait Counlv nacre SEe co Zio Co& 816s? 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I'l I I I I I I TO: FROM: DATE: MEMORANDUM Planning and Environmental Commission Community Development Department January 11,1999 sUBJECT: A request for a major amendment to special Developme-nt District #4' cascade Village, to allow foi the construction of eleven fractional fee club units, fifteen accommodation units and twenty-one employee housing units, to be located at 1325 Westhaven Drive, Westhaven Condominiums/Cascade Village Area A. Applicant: Planner: Gerald L. Wurhmann George Ruthert t I I I I I I I I I I t ll. BACKGROUND on August 24, 1998, Jerry Wurhman appeared before the Planning & Environmental Commission with a request for a final review of a proposed major amendment to SDD#4' The proposed major amendment would allow for the construction of eleven fractional fee club units, fifteen accommodation units and twenty-one employee housing units, to be located at 1325 Westhaven Drive, Westhaven Condominiums/Cascade Village Area A. Upon consideration of the applicant's request, the Planning and Environmental Commission voted unanimously to recommend approval of the major amendment to the Vail Town Council. Prior to appearing before the Vail Town Council for approval of the proposed amendments to SDD #4, the applicant appeared before the Design Review Board for a conceptual review of the design of the newly proposed Westhaven Club & Lodge' Upon consideration of the design oithe new building, the Design Review Board- directed the applicant to make several substantial changes to the design and layout of the building The most significant changes included inteinalizing the proposed external walkways and relocating the entrance an-O toOOy to the street side (south) of the building. As a result of these ch-nges, the proposal previously recommended for approval by the Planning and Environmental Commission, has changed. DESCRIPTION OF THE REQUEST The applicant, Jerry Wurhman, is requesting a major amendment to Special Development District #4 (Cascade Village) pursuant to Title 'l 2, Chapter 9A of the Town of Vail Zoning Regulations. The major amendment is intended to modify a 1995 major amendment ipprovat and the August 24, 1998 Planning and Environmental Commission recommendation for the Westhaven Club & Lodge, located al 1325 Westhaven Drive (the "Ruins"). The applicant is proposing to amend the 1995 Westhaven Condominium approval and the August 24, 1998 Planning and Environmental commission I I t I I I I I I I I I I t I I I I I recommednation to allow for the operation of a fractional fee club The new fractional fee club is proposed to include: X eleven, two-bedroom, fractional fee club units' X seventeen, one-bedroom accommodation units' and X twenty-one, one-bedroom employee housing units' The proposed fractional fee club units range in size from 1,285 to 1,975 square feet. The accommodation units are to be 605 square feet to 700 square feet in size with the majority being the smaller size. The employee housing units are proposed to be Type lll uniis and arqbetween 450 and 500 square-feet each. The on-site manager's unit is more than twice the size of the other employee units and is 1 ,1 85 square feet in size' All of the employee units are intended to be one bedroom units' The applicant is proposing to meet the anticipated parking deman.d on-site. To meet this need,'tire applicant i'ras pioposed to utilize the existing lower level parking garage as well as provide surface parking on the north side of the building. At this time, the applicant is proposing 37 enclosed ga-rage parking spaces and 15 surface parking spaces. ofthe 52 iotal spaces, three parking "-p"ces wi[be handicapped accessible. The anticipated parking need as projecteJ by the applicant differs from the parking requirement prescribed for the virious uses outiined w1hin the Municipal Code. The Municipal Code requires 74 parking spaces total. The discrepancy between proposed spaces and required is a total of 22 sPaces. The applicant has proposed to meet the loading and delivery requirement on-site. According to the Zoning Regulations, one loading and delivery berth is required to be providedi The applicarit hai provided the one berth on the north side of the building at the west end of the surface parking lot. Minor modifications are required to the site plan to adequately accommodate the berth in the location proposed' As this request is for an amendment to an existing Special Development District' the applicant is proposing various deviations from the required development standards. Some of the deviations are unchanged from the existing Special Development District approval, while other are to be modified as a result of the current request. The develooment standards that will be modified as a result of this request are: X Density (dwelling units/acre) X Parking X Site Coverage X Common Area All other development standards are generally the same. A complete analysis of the zoning statistics is provided in Section lll of this memorandum. ADDITIONAL BACKGROUND On March 2, 1976, the Vail Town Council approved Ordinance #5, Series of 1976 il1. I I I I I I I I I I I I t I t t I I t establishing Special Development District #4, Cascade Village. special Development District #4, Cascade Village, is made up of four development areas Area A is made up of the Cascade Hotel, CaJcade Club, CMC, Millrace Phases I through lV, Westhaven condominiums, LiftsideMaterford, and cornerstone. Area B is the coldstream Condominiums. Area C is made up of the Glen Lyon residential duplex lots Area D is the Glen Lyon Office Building. According to the original ordinance, development statistrcs are prescribed for each developrient area, As a result, the site coverage stipulated for Area A, which is 35%' applies to approximately 18 acres. Rather than require the applicant to provide a site coverage analysis of approximately 18 acres, in the past, staff has applied the development statistics to each lot individually This has been the practice since approximately 1990 The prolects that have been reviewed under this method include Cornerstone,'Waterford, Mlttti." Phase lll and Millrace Phase lV The advantage to this method is that it allows a calculation of the development statistics on the land that is being reviewed and does not require off-site analysis. In the previous examples, the proplsals complied with the development statistics when calculated for the individual lots and the proposed drawings clearly conformed with the maximum development allowances provided for in the SDD. When the staff reviewed the development standards on the individual parcel for this project, there are four development standards which the applicant's proposal exceeds' These include density, parking, site coverage, and common area The developer agrees that the request for additional GRFA is above what the SDD allowed' Staff continues to believe that it is most reasonable and appropriate to evaluate each parcel within each development area individually. From a record keeprng point of view, staff believes that the development standards for each parcel should be calculated based on the area of the land under the proposed development site. This has been the method used historically. Notwithstanding the simplicity of this method, staff acknowledges that the iite "ouerage and landscaping discrepancies identified in the nremo should not be viewed as significant issues as, elsewhere within Area A, there is excess site coverage and landscaping which could hypothetically be shared In 1982, the Town of Varl issued a building permit allowing for construction on the then undeveloped site. Construction continued through the partial completion of the foundation and lower level parking garage. No new construction has occurred since' on April '19, 1995, the Vail Town council approved a malor amendment to special Development District #4. This amendment approval granted the applicant the ability to construct fourteen free-market condominiums and seventeen employee housing units. Additional deviations granted allowed for increases in GRFA, site coverage and landscaping. No action has been taken on this approval. This approval shall lapse and become void pending the outcome of the current application. on March 3, 1998, staff met with the Vail Town Council to discuss the proposed development review process and to provide the Council with an opportunity to provide initial feedback and direction to the applicant, staff and Planning and Environmental Commission regarding the major amendment request. The Council provided the I I I I I I I I I I t I I I I I I I t t following directron and feedback: 1 What is the anticipated construction timeline? lf the site is not to be developed in a reasonable time period, the existing improvements needs to be removed' 2 The parking requirement for the development shall be provided on-slte' 3 A detailed plan outlining the proposed fractional fee club ownership pattern and operation shall be provide for review and consideration' 4. The proposed review process is acceptable. On March 8, 1998, the applicant appeared before the Planning and Environmental Commission for a worksession meeting to discuss the current proposal The purpose of this worksession was to discuss the following issues: X The proposal's compliance with the Town's land use regulations' X The combination and integration of the three differing types of residential u>E). X The completeness of the major amendment application X The relationship of the proposed development with the exrstlng rmDrovemenIS. \ The Town Council's initial thoughts and comments as received on Tuesday, March 3 regarding the applicant's request During this first worksession, the Commisston members expressed their general satisfaction with the major amendment aS proposed. The Commission did however rndicate their concerns regarding the lack of an on-site front registration and reservatlon desk. The Commission requested that the applicant appear at a future meeting with detailed information indicating how the on-site front desk issue was to be addressed According to Sectron 12-2-2 of the Municipal Code, a Fractional Fee Club is defined as, ..A fractional fee project in which each condominium unit, pursuant to recorded project documentation as approved by the Town of Vail, has no fewer than six (6) and no more than twelve (12) owners per unit and whose use is established by a reservation system. Each of the fractional fee club units are made available for short-term rental in a managed program when not rn use by the club members The project is managed on- site with a front desk operating twenty-four (24) hours a day, seven (7) days a week providing reservation and registration capabilities. The project shall include or be proximate to transportation, retail shops, eating and drinking establishments, and recreational facilrties." On Aprrl 27, 1998, the applicant again appeared before the Planning and Environmental Commission for a worksession meeting to discuss the current proposal and the on-site front desk component. At that meeting, the applicant agreed to revised the proposal to provide an on-site front desk operation as required by Section 12-2-2 al the Town of Vail Municipal Code. On August 24, 1998, the Planning and Environmental Commission revtewed the previous 4 I t - t I I t t t I I t I I I I I T proposal and unanimously recommended approval of the major amendment to the Vail Town Council. The amended development standards approved by the Town council are compared to the original SDD appioval, the August 24,1998 recommended proposal, and the current amended proposal and are listed below: IV. ZONING ANALYSIS / DEVELOPMENT STATISTICS Lot Area: 0.85 acres or 37,026 sq. ft. Zoning: SDD #4 (Cascade Village) Development Standard Oriqinal SDD Approval 1995 Approval 1998 ProPosal 55' 55'Height: GRFA: 55' Free Market: 22,500 sq. ft. Accommodation: 0 sq. ft. Fractional Fee: 0 sq. ft. 25,644 sq. ft. 0 sq ft 0 sq. ft 9,550 sq. ft' 0 sq. ft. 13,860 sq. ft. 8,296 sq. fl. 10.731 sq. ft. 33,940 sq. ft. (92%) 34,141 sq. ft. (92%) 3,417 sq. ft. (10.1%) 7,054 sq. ft. (2'l%l 14 du's 0 du's 0 au's 15 au's 0 ffu's 'l 1 tfu's 17 EHU's 21 EHU's 31 total units 47 total units (23.2 du's/ac) (25.49du's/ac) 24'24', 36.7% (13,598 sq. ft.) 38.3% (14,173 sq. ft.) 47.9% (17,767 sq ft.) 47.9% (17,767 sq. ft.) none proposeo none proposed 78% shall be enc losed EHUs: Total: Common Area: Density: Setbacks: Site Coverage: Landscaping: Retaining Walls: Parking: 6.400 sq. ft. 28,900 sq. ft. (78%) 10,1 15 sq. ft. (35%) 20' 35% (12,959 sq. ft.) 50% (18,513 sq. ft.) Free Market: 20 du's Accommodation: 0 au's Fractional Fee: 0 ffu's EHUs: 10 EHU's 30 total units (27.4 du's/ac) 75% shall be enclosed 82% shall be enclosed 44 total soaces Loading/Delivery: one required Employee Housing: minimum of 8 units; mrnimum of 648 sq. ft. each, 45 total spaces 46 total sPaces one required one Provided 17 EHUs, similarto 21 EHUs, similar Type lll restrictions to TYPe lll I I should not count towards density or GRFA. for density calculation purposes, accommodation units are 0.5 du's, employee unlts are 0.333 du'i and fractional iee club units and free market units account are 1 du' each' Westhaven Club & Lodoe Square Footaqe Analvsis DEVELOPMENT REVIEW PROCESS Pursuant to Section 12-gA-2 of the Municipal Code, in part, a major amendment is defined as, "Any proposal to change uses, increase gross residential floor area; change the number of dwelling or accommodation units; modify, enlarge or expand any approved special development district." Since the applicant proposes to change the uses and change the number of dwelling and accommodation units. staff has identified the applicant's request as a major amendment. In accordance with Section 12-94-4, A-C of the Munrcipal Code, an approved development plan shall be required prlor to construction. The approved development plan shall establish requirements regulating development, uses and other activities in the special development district. The Planning and Environmental Commission shall conduct the initial review of the amendment to the special development district. The review shall take place at a regularly scheduled meeting. Following the Planning and Environmental Commission's restrictions v. t Parking Area Common Area Employee Housing Accommodatio n Unit Fractio n a I Fee Unit Total 4th Floor 603 sq. ft 2,089 sq. ft.? Q7A s.n ft 6,668 sq ft. 3rd Floor 925 sq ft 3,609 sq. ft.6,326 sq ft '10,860 sq. ft. 2nd Floor 2,019 sq. ft.1,084 sq, ft.3,852 sq. ft.3,558 sq. ft.10,5'13 sq. ft. 1st Floor 1,492 sq. ft.9,647 sq. ft.11,139 sq. ft. Parking Level 11,180 sq ft 2,0'15 sq. ft.'13, 195 sq. ft. Total 11,180 sq ft 7,054 sq. ft.10,731 sq. ft.9,550 sq. ft.13,860 sq. ft.52,375 sq. ft. A, I I I t T I T t I t I I I I I I I I I review, the Community Development Department shall forward a report to the Town Council stating the PEC's findings and recommendations on the amendment request' The Town Council shall then review the application based upon the information submitted. An approval of the application by the Town Council shall require two readinos of an ordinance. vt.SPECIAL DEVELOPMENT DISTRICT REVIEW!zuERIA Trtle12, Chapter 9 of the Town of Vail Municipal Code provides for the establishment of Special Development Districts in the Town of Vail. According to Section 12-9A-'1 , the purpose of a Special Development District is, aTo encourage flexibility and creativity in the development of land, in order to promote its most appropriate use; to improve the design character and quality of ihe ne* development within the Town; to facilitate the adequate and economical provision of streets and utilities; to preserve the natural and scenic features of open space areas; and to further the overall goals of the community as stated in the Vail Gomprehensive Plan. An approved development plan for a Special Development District, in conjunction with the properties underlying zone district, shalt establish the requirements for guiding development and uses of property included in the Special Development Oistrict." The Municipal Code provides nine design criteria, which shall be used as the principal criteria in evaluating the merits of the proposed Special Development District. lt shall be the burden of the applicant to demonstrate that submittal material and the proposed development plan comply with each of the following standards, or demonstrate that one or more of them is not applicable, or that a practical solution consistent with the public interest has been achieved. The staff has addressed each of the nine SDD review criteria below Design compatibility and sensitivity to the immediate environment, neighborhood and adjacent properties relative to architectural design, scale, bulk, building height, buffer zones, identity, character, visual integrity and orientation. Staff continues to believe that the applicant has designed a structure whrch relates well to the site and the surrounding neighborhood. The mass of the Westhaven Club & Lodge is approprrate for the site and takes into consideration the massrng of the buildings on the adjoining properties The bullding could step down more on the east and west ends to insure a smooth transition between properties and does not creale an imposing "canyon" along property lines. The redesigned building with the front entry at the street should provide a more pleasant and identifiable entrance to the building. The exterior building materials of the Westhaven Club & Lodge are a mrxture of stucco, stone and metal. The roof material is proposed to be a dark green starding seam metal roof The applicant has shown flower boxes on the decks and balconies on the rendering. Staff would recommend that the flower boxes be a required accent element on the burlding. The window and door trim is proposed to be bronze metal cladding. The proposed balconies will be constructed of metal rails and pickets. Staff believes that the combination of building materials has been well incorporated into the design of the Westhaven Club & Lodge. The applrcant has proposed that the exterior stucco color be an off-white to vellowish/cream color to blend in with the exteriors of the other B. c. I I I I I I I I I I I I I I I I I I I buildings and structures tn the area. The final color shall be approved by the Design Review Board. The development standards for the original SDD indicate that the maximum heigflt for buildings with sloping roofs shall be Sdfeet. The applicant is continuing to request that the ma-ximum UuiiOing height for the Westhaven Club & Lodge be 55 feet, from finish grade. Staff believes-that in" n"ignt proposed by the applicant is compatible with the development and the development objectives of the Town' uses, activity and density which provide a compatible, efficient and workable relationship with surrounding uses and activity. The Westhaven Club & Lodge is located at the perimeter of the Cascade Village Development. The Westhaven Club & Lodge is bound on the east by the Cascade Health blub, on the west by open space and residential development and on the south by the Mil| Race Condominiums, CMC' and the Vai| Cascade Hotel & C|ub. The applicant is proposing a lodging, short term accommodation and residential development that is in coirplianJe *itn tne uses allowed in the original SDD and as amended . The applicant is proposing to develop the westhaven c-lub & Lodge at a density ot ??????? dwelling uniis perl"re. Included in the density figure are the eleven member-owned club units [fractional fee), the seventeen hotel rooms (accommodation units) and the twenty-one employee housing units including the on-site manager's residence. Each of the ehu's are to be Type lll Employee Housing Units' The applicant's proposal differs greatly from the original sDD approval. The original approval allowed the applicant td conitruct twenty free ma.rket condominiums and only ten employee housing units. The currently proposal significantly alters the use of the property from mainly iecond homeowner condominiums to a lodging and short term accommodation use of the site. Given the proximity of the development site to the amenities in the area, the Westhaven Club & Lodge is ideally located and suited for the proposed development. Overall, staff believes that the density and uses proposed by the applicant for the Westhaven Club & Lodge do not conflict with the compatibility, efficiency or workability of the surrounding useJand/or activities. In fact, staff feels that the proposed Westhaven Club & Lodge will enhance the existing uses and activities in the area.. Compliance with parking and loading requirements as outlined in Title 12' Chapter 10, of the Town of Vail Municipal Code. Parking and loading requirements for development are established in Section 1 2-1 0-10 of the Municipal Code. The parking and loading requirements are based on the square footage of the uses proposed within a building. Based on the square footage of the uses proposed by the applicant, 74 parking spaces and one loading/delivery berth are required on-site. The applicant is proposing an enclosed parking structure on the lowest level of the building designed to accommodate 37 parking spaces and'15 surface parking spaces on the north side of the building (52 spaces total). On March 3, 1998, the applicant appeared before the Vail Town Council for a conceotual review and discussion of the current proposal. The Council indicated that 1A q D. t I I I I I I I I t I I I I t I I I I the parking requirement for the development shall be met entirely on-site' The applicant is deficient 22 parkrng spaces on-site (52 rp".". vs, 74 spaces). The applicant has indicated that amble parking will be provided to accommodate the anticipated demand The anticipated demand isihought to be less than projected by the Munrcipal Code since it is believed many guests will arrive via shuttle services and that the parklng standards address the fractional fee clubs as dwelling units instead of than accommodation units. Given council's direction, staff would recommend that the applicant explore alternatives to the proposed parking situation and provide all of the required parking on-site. The applicant is now proposing one loading/delivery berth for service vehicles on the west end of the surface parkirig lot, located on the north side of the building' Staff feels that the newly proposed loadingidelivery berth for service vehicles is a positive change' though we believe additional visual screening may be necessary' conformity with the applicable elements of the Vail comprehensive Plan, Town policies and Urban Design Plan. Vail Land Use Plan The goals contained in the Vail Land Use Plan are to be used as the Town's policy guidJlines during the review process of establishing or amending Special Development Districts, Staff has reviewed the Vail Land Use Plan and believes the following policies are relevant to the review of this proposal: 1. GeneralGrowth/DeveloPment 1.1 Vait should continue to grow in a controlled environment, maintaining a oatance between residential, commercial and recreational uses lo serve both the vrsrtor and the permanent resident. 1 2 The quality of the environment including air, water, and other natural resources should be protected as the Town grows' 1 3 The quality of development should be maintained and upgrade whenever Possible 1.12 Vail should accommodate most of the additional groMh in existing develooed areas (infill). 3. Commercial 3 1 The hotel bed base should be preserved and used more efficiently. 3.2 The Village and Lionshead are the best locatron for hotels to serve the future needs of the destinatron skier' commercial groMh should be concentrated rn existing commerclal areas to accommodate both local and vrsitor needs' Res ide ntia I G. E. F. T I I I I I I I I I I t I I I I t I t 5.1 Quality timeshare units should be accommodated to help keep occuPancy rates uP. Staff believes the proposed amendment of Special Development Drstrict #4 is in concert with the goals and policies of the Vail Land Use Plan as outlined above' ldentification and mitigation of natural and/or geologic hazards.that affect the property on which the special development district is proposed' There are no natural and/or geologic hazards, including the Gore creek floodplain, that effect the apPlicant's ProPertY. Site plan, building design and location and open space provisions designed to produce a functiJnal dJvelopment responsive and sensitive to natural features' vegetation and overall aesthetic quality of the community' The site plan currently proposed has remained relatively unchanged from the previous major amendment proposal. The applicant has altered the surface parking area to compty with our recenily amended development standards. The alterations to the part<ing area resulted in minor changes to the landscape plan. The changes made to the landscape plan do not effect thJsouth side of the building which was highly scrutinized during the review process in 1995. The changes to the plan essentially result in better accommodations for snow storage on the site A condition of the 1995 approval required the applicant to remove or underground the overhead utility line adjacent to the development site and to regrade and revegetate the road cut at the northwest corner of the property. Pursuant to a general note on the Site plan, the applicant has indicated a commitment to regrading the road cut after Holy Cross or others bury or remove the line. Staff believes that road cut and revegetataon needs to take place at the time of construction of the Westhaven Club & Lodge Staff would recommend that the applicant be required to etther relocate the utility line or remove the line and complete the grading and revegetation. The applicant is proposing to utilize the existing street cut and entrance on the east side of the property adjacent to the cascade club. currently, a boulder retaining wall is constructed aiong the entrance driveway. Staff would recommend that the applicant revise the site plJn, grading plan, and landscape plan to reflect proposed tmprovements to the retaining wall. The existing wall is in disrepair and in need of work. This is especially important since this entrance will be the "front door" to the project Staff would recommend that the proposed improvements to the wall be reviewed and approved by the Town Engineer and the Design Review Board. A circulation system designed for both vehicles and pedestrians addressing on and off-site traffic circulation. The Westhaven Club & Lodge will have major rmpacts on the amount of pedestrian and vehicular traffic in the area. ln light of the increase in traffic, the applicant has proposed off-site and on-site vehicle and pLdestrian traffic systems surrounding the property. This l0 H. I I t I I t I I t I I t I t I I I I I t. includes internal sidewalks on the property which enable safe and efficient traffic flow as well as a five-foot wide sidewalk from the Westhaven Club & Lodge to the entrance to the cascade club Staff believes that pedestrian circulatron will be substantially improved as result of the proposal. There is an existing portion of the Town of Vail bike path which cros-.ses the south west corner of the appliJant's property. At this time there is not an established easement for the bike patn. 'staff would recommend that the applicant be required to provide an easement for the bike path. The exact language and location of the easement shall be reviewed and approved by the Town Attorney and Town Engineer prior to recordation with the Eagle County Clerk and Recorder's office. Functional and aesthetic landscaping and open space in order to optimize and preserve natural features, recreation, views and functions' The proposed landscape plan will have important beneficial impacts on the quality of the development site and ihe surrounding area The existing site has been termed the ,,ruins" due to the dilapidated condition of the site. Staff would recommend that the final landscape plan be reviewed and approved by the Design Review Board staff believes the proposed streetscape improvements will improve and enhance the aesthetrc quality of the area dramatically. Phasing plan or subdivision plan that will maintain a workable, functional and efficient relationship throughout the development of the special development district. Phasing of development is not proposed. The applicant is required to submit a construition phasing and staging plan to the Town prior to receiving a building permit. The plan will be used to ensuie ln efficient and workable relationship with surrounding uses during the development of the Westhaven Club & Lodge. At the time of the Town Council's conceptual review, the Council expressed there concern and dissatisfaction with the current condition of the site. The existing 1995 amendment approval is due to lapse and become void pending the outcome of the current proposal. The lapse of the approval is in accordance with the Municipal Code which limits SDD approvals to a maximum of three years unless the project is diligently oursued towards completion Staff would recommend that a maximum of a one year approval be granted for the current application. Unless work is diligentty pursued on the project, the existing "ruins" shall be removed and the site restored by October 31, 1999. VI. STAFF RECOMMENDATION The Community Development Department staff recommends that the Planning and Environmental Commission recommend approval of the request for a major amendment to Special Development District #4, Cascade Village, Iocated at 1325 Westhaven Drive to the Vail Town Council. The staff believes that each of the SDD design criteria continue to be met, as identified in Section V of this memorandum. ll t I I I I I I I I I I T I I t I I t I Should the Planning and Environmental Commisston choose to continue to recommeno approval of the major amendment to special Development District #4, staff would recommend that the following finding be made: The Planning and Environmental Commission has held a public hearing on the major amendment-to Special Development District #4 request to allow for a fractional fee club and a change to the approved Development Plan, located at 1325 Westhaven Dr., Westhaven Condominiums/ Cascade Village Area A, pursuant to Section 12-9A-4 of the Municipal Code of the Town of Vail, and finds thai the proposed ma.ior amendment complies with the design criteria ou|ined in Section 12-94-8 of the Municipal Code, meets the definition of a fractional fee club as defined in Section 12-2-2 of the Municipal Code, and furthers the development goals and ob'1ectives of the Town of Vail. The staff has identified the following conditions of approval, which we recommend be included in a Planning and Environmental Commisston motton. 1. That the applicant appear before the Town of Vail Design Review Board for a conceptual review oi ihe proposed ma.jor amendment prior lo appearing before the Vail Town Council for final consideration of the request Any and all issues identified by the Design Review Board at the time of the conceptual review shall be addressed prior to appearing before the Town Council. Z That the applicant submit a detailed contractor's cost estimate identifying the costs necessary to relocate the existing overhead utility line along the applicant's north property line underground, and that the applicant establish a financial bond with the Town of Vail in the sum of 125o/o of the said relocating costs to insure the undergrounding of the utility line. 3. That the applicant regrade and revegetate the knoll located at the northwest corner of the development site at the time of the final grading of the Westhaven Club & Lodge. Due to the exposure and aspect of the hillside, the knoll shall be regrading to slopes not exceeding 3: 1 The regrading shall be reviewed and approved by the Town Engineer' 4. That the applicant provide Type lll Employee Housing Unit deed-restrictions , which comply with the Town of Vail Employee Housing Requirements (Title 12, Chapter 13, of the Town of Vail Municipal Code) for each of the 21 employee housing units, and that said deed-restricted housing be made available for occupancy, and that the deed restrictions be recorded at the Office of the Eagle County Clerk & Recorder. prior to requesting a Temporary Certificate of Occupancy for the Westhaven Clr.rb & Lodge 5. That the applicant submit detailed civil engineering drawings of the required off-site tmprovemenrs (street lights, drainage, curb and gutter, sidewalks, gradrng, etc.) to the Town of Vail Public Works Department for review and approval prior to the issuance of a building permit. 6 That the applicant record a twenty foot (20') wide pedestrian/bike easement for that portion of pedestrian/bike path traversing the applicant's property and as identified on the Topographic Map prepared by Intermountain Engineering Ltd., dated 12122194, and that said easement be recorded at the Office of the Eagle County Clerk & Recorder, prior to the issuance of a building permit The exact location and language of the easement shall be reviewed and approved by the Town Attorney and Town Engineer tl B I 10. 11 I I I I I I I I I I I I I t t T t I I 7. prior to recordation. That the applicant provide written documentation from the Public Service Company granting approval of the construction of the Westhaven Club & Lodge in the location identified on the site plan relative to the high pressure gas line. Written approval shall be granted prior to the issuance of a building permit. That the applicant record an access easement along the east property line for that portion of the driveway and access and trash enclosure which encroaches upon the adjoining property and that said easement be recorded at the Office of the Eagle County Clerk Recorder The exact location and language of the easement shall be reviewed and approved by the Town Attorney and Town Engineer praor to recordatron. That the applicant explore alternatives to the proposed parking plan and provide all of the required parking spaces (74) on-site as requested by the Vail Town Council. That the final landscape plan and architectural elevations be reviewed and approved by the Town of Vail Design Review Board. That the approval of this major amendment to Special Development District #4 shall become lapsed and void one year from the date of a second reading of an ordinance amending the district, and that should the approval lapse, the applicant shall be required to remove the "ruins" and restore and revegetate the site by no later than October 3'l , 1999 A bond providing financial security to ensure that said removal occurs shall be required following second reading of an amending ordinance. lt shall be the applicant's responsibility to provide a cost estimate of the removal work. The bond shall be a mininrum of 125'k of the removal costs. That the applicant revise and submrt an amended site plan, landscape plan, and grading plan indicating improvements to the existing boulder retaining wall along the east side of the access driveway. Each of the plans shall be reviewed and approved by the Town staff and the Design Review Board ll I l^ t Iz-Jl - | SECTION: 12-9A- 1: Purpose 12-9A- 2: Deiinitions 12-9A- 3: Apolication 12-9A- 4: Development Review Procedures 12-9A- 5: Submittal Requtrements 12-9A- 6: Derrelopment Plan 12-9A- 7: Uses 12-9A- 8: Design Criteria 1 2-9A- 9: Develooment Standards 1 2-9A-1 0: Amendment Procedures 12-9A- 11 : Recreation Amenrties Tax 12-9A-12: Time Rea uirements i2-9A-13: Fees 12-9A-14: E.risiing Special Development D istricts 12-9A-15: Bed And Ereakiast: Condiiional Use Permit 12-9A-l: PURPOSE: The ouroose of the Special Development Disirict is to encourage flexibility and ci'eativity in the Cevelopment of land in order to promote its most appropriate use; to improve the de- sign character and quality of the new devel- opment with the Town; to facilitate the ade- quate and eccnomical provision of streets and utilities; to preserve the natural and scenic features ol open space areas; and io further the overall goals ol the community as stated in the Vail Comprehensive Plan. An approved development plan lor a Spe- cial Development Districl, in conjunction with the property's underlying zone district, shall establish the requirements for guiding I Z'Jr 'Z development and uses of property included in the Special Developrnent District. The Specral Development Districl does not ap- ply to and is not available in the following zone districts: Hillside Residential, Single- Family, Duplex, Primary/Secondary. The elements of the development plan shall be as outlined in Section 12-g4-6 of this Arti- cle. (Ord. 9(1994) $ 1: Ord. 21(1988) 5 1) 12-9A.2.. DEFINITIONS: AFFECTED PBOPEFITY: Propeny within a special development district that, by vlrtue of its proximity or relalionshlp io a p'ooosed amendment request to an aoproved deve!- opment plan, may be aifeclei by redesign' density inci'ease, change in uses, or olher modifications changing the impacts, or character of the approved special develop- ment district. AGENT OR AUTHORIZED REPFIESENTA- TIVE: Any individual or association autho- rized or empowered in writing by the prop- erty owner to act on his (her) stead. ll any oJ the property to be included in the special de..relooment district is a condominiumized development, the pe rtinent condominiurn association may be considered the agent or authorized representative for the individual un it owners if authorized in conformity with all peninent requiremenls of the condomini- um association's declarations and all other reeuirements of the condominium declara- tions are met. unAr ltrn Y SPECiAL AND MISCELLANEOUS DISTRICTS AFTTICLE A. SPECIAL DEVELOPMENT (SDD) DISTRICT t I I I I I I I t I t I I I I t Toun of Vail I I T I T I t I I I I I I I T I I I I I z-=t -z IV1AJOF AMENDMENT (PEC AND/OFI COUNCIL FEVIEW): AnY Proposal tc change uses; inci'ease gross residenlial floor area; change the number of dwelling or accommodation units; ,itodify,en large or expand any appro\/ed special development district (other than "minor amendments" as defined in ihis Section), except as provided under Sections 12-15-4, "!ntericr Conver- sions", .t 12-15-5, "Gross Residential Ficor Area (250 Ordinance)" cf th's Title. MINOF AMENDIVIE\IT (S-,AFF FEVIEW): fulodifications io builcing plans, site or land- scaoe plans that do not alter the basic intent and character of the approved speciai cevelooment ciistfict, anC are consisieni with the design criteria of ihis Chapter. l,/inor arnendments may incluCe, but not be timited to. vaiiations cf not more than five feet (5') to approvecj setbacks and/or build- ing footprints; changes to landscape or site plar:s that do not acversely impacl pecjestrl- an or venicular circulation throughout the scecial oevelopment district; or changes io gross floor area (excluding residential uses) ci nct more ihan five percent (5%) ol ihe aoproved sqLare foctage of retail, office, ccmmon areas and other nonresidential {loor area. except as provided under Sec- tions 12-15-4 (lnterrcr Conversions) or 12-15-5 (2so Additional GRFA) oi this Title. UNDEFLYINIG ZONE DISTRICT The zone Cistrict existing on the property, or impos€d on the property at the trme the special Ce- veiopment district rs approved. The lollow- ing Zone Districts are prohibited from spe- cial develooment districts being used: Hill- side ResiCential, Single-Family, Duplex, Primary/Secondary. (Ord. 13(1997) S 2: Ord s(19s4) $ 2: ord.21(1988)S 1) 12-9A-3: APPLIC:\TION: An application tor approval of a special devel- .^ ^t , I z-'Jl '' opment district may be fileC by any owner of prope..ty io be includeo in tlre special oe,/elooment district or his (her) ageni or authorized representative. The applicaiion shall be made on a iorm provided by the Depart!'nent of Communily Develcpment and shail tnclude: a Iegal descrlption oi the property, a list of names and mailing ad- Cresses. of all adjacent property owners and '.vrjtten ccnsent of owners of all proper:y to be inc:uCed in the special development Cistnct, or their aEents or authorized repre- sentalives. The apolication shall be acccm- panied by submittal requirements outlined rn Section 12-9A-5 of this Articte and a develcoment plan as outlined in Seciion 'i2-9A-6 ot this Article. (OrC. 21(198e) $ i) 12-9A-4: DEVELOPMENT REVIEW PRO- CEDURES: A. Approval Of Plan Feouired: Prior to s;ie preparation, building construction, cr other improvements to land within a soecial develooment distrlct, ihere shall be an aPProveC development olan for said District. The approved development plan shall establish re- quirements regulating development' uses and activitY within a sPeclal develoPment district. E. Pre-Application Conlerence: Prior to submiltal of a fcrmal application for a special development district, the appli- cant shall hold a preapplication ccn- ierence with the Department of Com- munity Development. The purpose of this meeting shall be to discuss the goals of the proposed special devel- opment district, the relationship of the proposal to applicable elements of the Town's Master Plan, and the review orocedure that will be tollowed {or the aP P licatio n. Tou.sn of Vail I Iz-vt -+ C. PEC Conducls Initial Feview: The initial review of a prooosed special develooment oistrict shall be held by the Planning and Environmental Com- mrssion at a regularly scheduled meeting. Frior to this meeting, and at the ciiscretion of the Aciminrstrator. a work session may be held with the aoplicant, staff and the Fianning and Envrronmental Commission to discuss speclal development district. A report of the Department of Community De- velopment staft's findings and recom- menCations shall be made at the initial {ormal hearing before the Planning anci Environ mental Commission. \ report of the Planning and Environ- mental Commi:sion stating its findings and recc m rnendations, and the staif report shall then be transmiited to the Town Council in accordance with the applicable provisions oi Section '1 2-16-6 of this Title. The Town Coun- crl shall consider the special develop- ment dislrici in acccrdance with the provrsion of subsections 12-3-7D through G of this Title. (Ord. 21(1988) s 1) 12-9A-5: SUBNIITTAL REQUIREIIMTS: A. Information And Materials Required: The lollowing informatron and materi- als shall be submitted with the initial application for a special development district. Certain submittal requirements may be waived or modified by the Department of Community Develop- ment if it is demonstrated that the material to be waived or modified is not applicable to the design criteria (Section 12-9A-8 of this Article), or other practical solutions have been reached: IZ-JA.J 1. Application form and fiiing lee. 2. A written statement describing the nature of the proiect to include inJor- mation on proPosed uses, oensities, nature of the oeveloornent proposed, contemplated owne rs h ic patterns and phasing plans, and a siatement outlin- ing how and where the ProposeC de- velopment deviates irom the develoo- ment standards Prescribed in the property's underlying zcne district. 3. A survey stamped bY a licensed surveyor indicating existing ccndilions of the propeny to be included in the special development district, to in- clude the location of improvements, existing contour Iines, natural fea- tures, exjsting vegetation, waterccurs- es, and perimeter p,'operty lines of the parce L 4. A complete set of plans depicting existing conditions oi the parcel (site plan, floor plans, elevations), if appii- n:hla 5. A complete zoning analysis of exist- ing and prcposed develoPment to inciucje a square footage breakdown of all proposed uses, parking provid- ed, and proposed densities. 6. Proposed site Plan at a scale not smaller ihan one inch equals twenty teet (1 ' = 20'), showing the approxi- mate locations and dimensions of all buildings and struciures and all princi- pal site development features. T.Preliminary building elevations, sections and floor plans at a scale not smaller than one-eignth inch equals one foot (r/8" = 1') in suif icient detail to determine floor area, circulation, loca- l- I I I I I I T I t t I I I I I T t Tousn of Vail I I I t I t I t I t t t t I I I I I t 12-94-5 tio;r of uses, and generat scale anC appearance of the propcseo de'/elop- menI. 8. A vicinity plan showing the Pro- posed improvements in relaticn to all ad.lacenl properiies at a scale not smaller than cne inch equals fiity feet (1" = s0'). 9. Fhoto ovetlays and/or other accept- able techniques for de,'nonsti'attng a visuai analysis cl the propcsed devel- opment in i'€ratjonship to existing conditicns. 10. A massing mcCel depicting the prcposed development in relationship to developmeni cn adjaceni parcels. 1i . A preliminary landscaoe plan at a scale not smailer than one inch equals iwenty teet (1" = 20'), showing exist- ing landscape features to be retained and remcved, prcposeC landscaping and lanciscaped siie development features sucn as rec:'aation lacilities, brke paths and trails, pedestrian pla- zas and walkways, water ieatures and other elements. 12. Environmental impact report in accordance wiih Chapter 12 oi this I rtle, r:nless waived by Section 12-12-3 of this Title. 13. Any additional inf ormation or ma- terial as deemed necessary by the Director oi the Deoartment of Cornmu- nrt / Development. E. Cooies Submitted To Town Officials: With the exception oi the massing model, four (4) complete copies of the above in{ormation shall be submitted with an application f or a special devel- I z--'t\'I cpment districi. At the discreticn of the Administrator. reduced ccpies in eight and one-half inch by eleven inch (Bt/r" x 1i ") format oi all cf the above informaiion and additjonal copies for ciistribution to the Planning and Envi- ronmental Commission and Town Council may be requrred. (OrC. 21(1s88) S 1) 12-94-6: DEVELOPIvIENT PLAN: An apProved develooment Plan is the princioai document in guiding the devel- oDment. uses and activities ol a special development Cistrict. A development pli.n shall be app''oved by ordinance by the Town Council in conjunction with the review and approval of any special development district. The de,relopment plan shall be comprised oi materials submitted in acccr- ciance with Section 12-9A-5 ot this Article. The developrnenl plan shall ccntain all relevant marerial and information necessary to establish the parameters with wh ich the special deveiopment disirict shall develop. Tire developmenr plan may consist of, but not be limited to, the approved siie plan' floor plans, building secticns and eleva- tions, viciniiy plan, parking plan, preliminary open spaceilandscape plan, densittes and permitied, conditional and accessory uses. (ord.21(1s88) S 1) 12-gA-7'. USES: Determination of permit- ted, conditional and accessory uses shall be made by the Planning and Environ mental Commission and Town Council as a part of the formal review of the proposed development plan. Unless further restricted through the review of the pro- posed special development district, permit- ted, conditional and accessory uses shall be limited to those permitted, conditional and accessory uses in a property's underly- Town of VuiI I I I I l t I I I I I I t I I I I I I 12-94-7 ing zone district. Under certain conditions, ccmmerc:at uses may be permitted .n resi- denrial special development districts if, in ihe opinion of the Town Councii, such uses are primarily for the service and conve- nience of the residents of the development and the immediate neighborhood. Such uses, lt any, shall not cnange or desiroy the predomrnantly residential character of the special develooment district. The amount of area and type of such uses, if any, to be allowed in a residential specral develop- ment district shall be established by the ;, own Council as a part of the approved Cevelcpment plan. (Ord. 21(19e8) 5 1) 12-9A-8: DESIGN CRITERIA: The toilow- ing design criteria shall be used as the princtoal criteria in evaluating the merits of the proposed special development oisirict. lt shall be the burden of the appli- cant to demonstrate that submittal material and the proposed development plan comply wiih each oi the fcilcwing siandards, or demonsirate ihat one or more of them is not aoplicacle, or that a practicai solution ccnsisient with the public interest has been ac h ieved: A. Compatibiiity: Design compatibility and sensitivity to the rmmediate envi- ronment, neighborhood and adjacent orooerties reiative to a rchitectu ral desrgn, scale, bulk, builoing height, buff e r zones. identity, character, visu- al integ rity and orientation. B. Relationship: Uses, activity and densi- ty which provide a compatible, efli- crent and workable relationship with surrounding uses and aciivity. C. Parking And Loading: Compliance with parking and loading requirements as cutlined in Chapter 10 of this Tit!e. 12-9A-? D. Comprehensive Plan: Ooniormity with applicabie elements oi ihe t/ail Com- prehensive Plan, Town Policies and u r5an deslgn Plans. E. Natural AndiOr Geoiogic P'azard:. ldentification and miligation of natural and/or geclogic hazards that affect the property on which ihe soecial develcD- ment disirict ls Propcseo. F. Design Features: Site plan, building design and locatton and open sPace provisions designed to Produce a lunciional develcornent responslve a:rd sensitive to natu,'al features, veg- etation and overall .:esthetic quality cf the communitY. G. Traific: A circulation systern designed for both vehicles and Pedestrlans addressing on and off-site tralfic circu- lation. H. Landscaping: Functional and aesthelic iandscaping and ooen space tn order to ootimize and preserve natural iea- lures. recreation, vie"vs and function. l. Workable Plan: Phasing plan or subdi- vision olan that will maintain a work- able, functional and efticient relatron- ship throughout the development of the special developme nt district' (Ord' 21(1s88) S 1) 12-9A-9: DEVELOPIIENT S't.\NDARDS: DeveloPment standards including lot area, site dimensions, setbacks' height' density control, site coverages. landscaping and parking shall be determined by the Town Councrl as part oi the approved de- velooment olan with consideration of the recommendations of the Planning and Envi- ronmental Commission. Before the Town Tou:n of Yoil t I I I I t I I I I I I I t I I I I I 'r2-9A-9 Councll aoproves deveicpment siandards thal cjeviate from the underlying zone dis- t;'icl. it should be Ceierrnined that such deviation provides benefits to the Town that cutweigh the adverse eff ects of such devia- iion. This dete'mination is to be made based on evaluation of the proposed spe- cial developrnent distric'i's :ompliance with ihe design :riteria outlined in Section i2-9A-8 of this Article. (Ord. 21(19e8) S 1) '1 2-9A-1 0: ..\TUENDNIEN'I I'ROCEDURIS: A. Minor Amendments: ''| . Min:r modifications cansistent wiih thp dFsinn c:iter!2 Outlined in Subsec- ticn 12-9A-2 (definiticn ol "minor aniendment") of this Article, may be app rove..J by the Department of Com- munity Development. All minor rnodiii- cations shall be indicated on a com- pietely 'evrsed oevelopment plan. Approvec cnanges shall be notec, signed, daied and filed by the Depart- ment oi C;,-nmuniiv Develooment. 2. Nctiiicaticn of a proposed minor amendment, and a repcrt of staif aclion oi said req uest, shall be p rovid- ed to all property owners withrn or acjacent to ihe special developmenr distrcr thar may be affected by the ai"nendment. Aif ected properties shall be as determined by the Department oJ Community Development. Notiiica- tions shall be postmarked no later than five (5) days following staff action on the amendment request and shall include a brief statement describing the amendment and the tirne and date of when the Planning and Environ- mental Commission will be in{ormed of the staff decision. In all cases the report to the Planning and Environ- r Z-:A- I I mental Commission shall be made within lwenty (20) days trom the cate oi the stalf's decision on the request- ed amendment. 3. Appeals of stalf decisions may be filed by adjacent PrcPenY owners' owners of property within the special development disirict, the applicant' Planning and Environmental Ccmmis- sion members or members of the Town C.:uncil as outlined in Seciicn 12-3-3 ot this Title. E. Major Amendments: i. Fequests icr' maicr amendments to an approved sPec:al CevelcPment distric: shall be reviewec in accor- cance wjth the procedures described in Section 12'9A-4 of this Article. 2. Owners of all property i'eauesting the amencment, or their agents or authorized representatives, shall sign the applicalicn. Notiiication of the proposed amendment shail be made to owners of ail property adjacent to the prcperty requesting the proposed amendment, owners of all PrcPertlr adjacent to the special development districl, and owners of all property within the special de'relopment districi ihat may be afiected by the proposed amendment (as determined bY the Department of Community Develop- r"nent). Notification procedures shall be as outlined in subsection 12-3-6C of this Title. (Crd. 21(1988) 5 1) 12.9A-11: RECRE.\.iION A}IENITIES Tr\X: A recreation amenities tax shall be assessed on all special develop- ment districts in accordance with Title 2, Chaoter 5 of this Code at a rate to be deter- Tousn of' Vail It I I I I I I I I I T I I I I I I i 12-9A-1 1 mrned by the Planning and Environmental Commission. This rate shall be based on the rate of ihe soecral oevelopment unde rly- ing zone disiric: or the rate whtcn most closely resembles the denstty plan for the oistric:. wnrchevef ls greater. (Oro. 21(1s88) S 1) 12-3A- 12: TIIIE RtrQUIREIII,N'I'S: A. Start Of Construction; Compietion: The developer musi begin initral ccn- struction of the special cievelopment oistrict within three (3) years from the time ci its iinal aoproval, and continue diiigently toward the completion of the project. lf the special development disirict is to be developed in phases, the developer must begin construction of subsequent phases within one year of the compretion cf the previous ohase. B. Approval Vcided: lt the applicant does nct begin and diligently work to'i,vard the completion of lhe special oevelop- ment district or any stage of the spe- cial development oistrict within the time llmits imposed by the prececjing subsectron, the approval of said spe- cial development distnct shall be void. The Flanning and Environmental Commission and Town Council shall review the special development dis- trici upon submittal of an application to reestablisn the soecial develooment district tollowing the procedures out- lined in Section 12-94-4 of this Article. (Ord- 21(1s88) 5 1) 12-9A-13: FEES: The filing fee ior special development district applications and for major and minor amendments to soecial develooment districts shall be set 12-9A-14 by the Town Council by resolutron. Applica- tions deemed by ihe Depanment of Com- munity Oevelopment to have significant design, land use, cr other issues which rnay have a signiiicant imoacl on ti-e comrnunlty may require review by ccnsultants other than Town staif. Should a determination be made by the Town sia{f that an outslce ccnsultant is needed to review any speciai development district appricat on, the Oe- partment of Community De'reiooment shall obtain the aoprovai of the Town Council for the hrring of such a ccnsultant. Upon ap- proval of the Town Council to hire an out- side consultant. the Department of Commu- nity Development shall estimaie the amount of money necessary to pay the outside consultant, and this amounl shall be lor- waroed to the Town by the applicant at the time the special development Cistr:ct appli- cation is submitted to the Department of Community Development. Upon completion of the review of the application by the ccn- sultant, any of the funds forwarded by the appiicent for payment of the ccnsultani which have not been paid io the ccnsultant' shall be returned to the applicant. Expenses incurred by the Town in excess of the amount torwarded by the applicant shall be paid io the Town by the applicant within thirly (30) days of notification by the Town. (ord.5(1e91)$ 1: ord.21(1eBB) S 1) 12-9A- 14: EXIS-I'ING SPECI.\L DEVELOP- IIENT DISTRICTS: Nothing in this Article shall be construed to limit' re- place or diminish the requirements, respon- sibiiities, and specifications of Special De- velopment Districts 2 through 21. The Town Council specifically fincjs that said Special Development Districts 2 through 21 shall remain in full force and eifect, and the terms, conditions, and agreements con- tained therein shall continue to be binding upon the applicants thereof and the Town. Town of Vail I I I t I I I I I I I I I I I I I I I 12-9A-1512-94-14 These districts, if not ccmmenced at the present time, shall comply with Section 12-9A-12 of this Anicle. (Ord.21(1988)S 1) '12-9A-15: BED .{ND BRf,AKFAST; CON' DITIONAL USE PERilIIT: Any speciat development district containing multi-family, single-iamiiy or two-family dweilings shall be allowec to apply lor a bed and breakfast concjitional use permit according to Chapter 16 ol this Title and as further regulated by Seclion 12-l4-18 of this Tile. (ord. 31(1989) S 14) Toutn of Vail