HomeMy WebLinkAboutM081604
1820 Jefferson Street
P.O. Box 1220
Port Townsend, WA 98368
James A. DeLeo
WllIlam S. Marlow
Richard A. Broden
MINUTES
August 16, 2004
William S. Marlow
Richard A. Broders
James A. DeLeo
Chairman
Vice-Chairman
Member
Chairman William S. Marlow called the meeting to order at 9:00 a.m. in the presence of Vice-Chairman
Richard A. Broders and Member James A. DeLeo.
APPROVAL OF MINUTES
Member DeLeo moved to approve the minutes of July 15, 2004 as presented. Vice-Chairman Broders
seconded the motion which carried by a unanimous vote.
HEARING W AIVERSI ASSESSMENT CORRECTIONS
Vice-Chairman Broders moved to accept the following assessment corrections and petition withdrawals.
Member DeLeo seconded the motion which carried by a unanimous vote.
APPELLANT
Joan Summers
" "
APPEAL NO.
BOE 04-02-LO
BOE 04-03-R
BOE 04-06-R
BOE 04-11-LO
PARCEL NO.
993 200 003
993 000 035
937200105
962 112201
Kenneth Ward
Patricia O'Meara
Phone (360)385-9100 Fax (360)385-9382 jeffbocC@Co.jefferson.wa.us
Board of Equalization Minutes - AU2ust 16, 2004
Allan Learned/Craig Learned/Susan Black
63 Cedar View Drive
Port Townsend, W A 98368
Pa2e: 2
HEARINGS
BOE: 04-16-LO
04-17-LO
04-18-LO
04-19-LO
PN: 961804302
961 804 303
961 804 304
961 804 306
Allan Learned was present. Appraiser Dennis Pownall represented the Assessor's office. Chairman
Marlow explained the hearing process and swore them in. The property under appeal consists of 4 bare
land parcels located in Irondale on a bluff overlooking Port Townsend Bay. Mr. Learned owns two of the
parcels and his son and daughter own the other two. He explained that these parcels were revalued by the
Assessor's office as of January 1, 2003, at which time they incorrectly combined the parcels as a method
to set the value. Combining the parcels is extremely inappropriate since the parcels are owned by two
separate entities. Additionally, Mr. Learned owns another parcel which fronts directly on the bluff and is
located in front of the four parcels under appeal. The value of this other parcel is not under appeal,
however, the Assessor's office combined it with the other four parcels in determining the current
assessment. By using the valuation method of combining all the parcels, the back four parcels are valued
as having have a good view. Mr. Learned contends that due to growth of trees and brush on the parcel
located on the bluff, the back parcels have no view and should not be valued as such. He attempted to
find sales of comparable property and while he was unsuccessful in finding any bare land sales in the
immediate area, he did locate some along Prospect A venue. He noted that he took into consideration that
properties in his neighborhood are not as well maintained as they are along Prospect Avenue and his
estimated value reflects a reduction for that. Following is the current assessed valuation and Mr.
Learned's estimated value for each parcel.
961 804 302
961 804 303
961 804 304
961 804306
Current Assessment
545,000
$156,000
$6,000
$24,000
Appellant's Estimated Value
$28,000
$96,000
$4,000
$14,000
Mr. Pownall presented the following information explaining how the property was valued: "The Learned
ownership of Iron dale lots encompasses five parcels and is composed of Lots 6 to 68 (63 lots) in Block
43; Lots 26 to 42 (17 lots) in Block 45; and a portion of vacated 2nd Street (approximately 12 lots).
Some of the lots are irregular in length and the total lot count equates to approximately 92 lots. This 92-
lot ownership is equivalent to 15-plus 6-lot sites counting the vacated street, or 15-plus 5-lot sites without
counting the vacated street. The total area appears to be approximately 5.3 acres.
In order to determine the fair market value ofthis (these) parcel(s), several scenarios were weighed. The
existing parcel configurations are not consistent with the ownership's highest and best use and were
therefore disregarded.
Since development costs and the availability of public water system taps required to serve 15 potential
sites is difficult to determine, the following methodology was employed.
Board of Equalization Minutes - AU2ust 16, 2004
Pa2e: 3
I believe it can be safely assumed that the possibility of establishing 5 one-acre sites is feasible. I believe
it fair to assume that all five sites would have very good marine views, similar to the views in Prospect
View Estates, which lies Northerly of the subject property.
The predominate sale price of "front row" sites in Prospect View Estates was $80,000 each for sites of 1/3
to Y2 acre with public water system and site preparation completed.
It seems both fair and reasonable to value the undeveloped Learned land, at approximately half of its
developed value. Therefore, the Learned land will be valued as one developed site ($80,000) and four
undeveloped sites (580,000 x 50% = $40,000 ea.). An additional25% for size will also be added,
bringing the developed site to $100,000 and the value of the undeveloped sites to $50,000 each.
The total value of the Learned property in its present condition is $300,000, plus utilities and structures. It
is recommended that the value be distributed proportionally among the existing five parcel numbers." Mr.
Pownall noted that the appellant only appealed 4 parcels, however, for equity purposes, there is a fifth
parcel which must also be considered, as the value of each parcel is a proportion of a single valuation.
In addition, restoration work on Chimacum Creek Beach is scheduled to begin soon which will improve
the area.
In a statement prepared for the Board he says: "It has come to my attention, while processing the pending
BOE case for the Learned's property, that only 4 ofthe 6 contiguous parcels are presented for appeal.
It appears that while the owners of the property protest of "inappropriate" appraisal methodology in their
appeals, they accept the valuation of the two parcels which benefitted the most by said methodology, and
have omitted those two from the appeal process.
I submit to you that the individual values of the four Learned-owned properties presently under appeal
cannot be accurately valued without equalization of value ofthe adjacent two properties under Learned
ownership.
One of the withheld properties was valued solely as a protective view corridor assemblage for the lots
rearward. The other property which was withheld is a parcel composed of high bank water view lots with
residence and outbuildings. Both parcels have values greater individually than they do when considered
as portions of, or influences to, the Learned ownerships as a whole. This reduced value is reflected in
their present state, and is not to be considered as a fair market value representation of their individual
values."
A map and an aerial photograph outlining the parcels was also presented along with a recommendation of
value for each parcel using the methodology similarly used in valuing adjacent properties. Sales of
comparable properties were discussed which show that the values are consistent.
Mr. Learned added that the reason he only appealed the value of the four parcels was because it is his
feeling that each parcel should be valued individually and not given a proportionate value of the parcels as
a whole. Especially when they are under different ownership. And the fact that Chimacum Creek Beach
is being improved has absolutely no bearing on the assessed value at this time.
Board of Equalization Minutes - AU2ust 16, 2004
Pa2e: 4
After reviewing all the information submitted and hearing the testimony of both parties, Chairman
;vIarlow closed the hearing. The Board will conduct a physical inspection of the property and make a
determination at a later date.
Richard McDonald
333 Montgomery Lane
Port Ludlow, W A 98365
BOE: 04-04-R
PN: 990600140
;vIr. McDonald was not present. Appraiser Robert Kingsley represented the Assessor's office and was
sworn in by Chairman Marlow. The property under appeal is a residence on a lot located at 333
Montgomery Lane in Port Ludlow. On his petition the appellant states: "Lot values have gone down. The
lot next door (2 - area 1 - 41) sold for 548,000. Home values have not increased $35,000 for tax
purposes." Currently the property is valued at $341,510 ($83,000 for the land and $258,510 for the
improvements). The Appellant estimates the value to be 5288,410 (563,000 for the land and $225,410 for
the improvements).
Mr. Kingsley presented and discussed two sales of comparable properties that were used in valuing this
parcel. He believes the current assessment reflects fair market value.
After reviewing all the information submitted and hearing the testimony of the Assessor's representative,
Chairman Marlow closed the hearing. The Board will conduct a physical inspection of the property and
make a determination at a later date.
James & Sharon Walker
71 Timber Heights Drive
Port Ludlow, W A 98365
BOE: 04-01-R
PN: 998 500 060
Mr. and Mrs. Walker were not present. Assessor Jack Westerman represented the Assessor's office and
was sworn in by Chairman Marlow. The property under appeal consists of a residence on a lot located at
71 Timber Heights Drive in Port Ludlow. Reasons for appealing the property value were listed on the
petition as: "We had extensive changes in the interior layout and materials that added to the sales price,
but, didn't add to the additional value of the home. Here are sales of the same home with the same view
on Timber Heights Drive: Lots 61, $369,950; 62, $335,800; 64, $348,600; 66, $393,500; and 68,
$395,000. The property is currently assessed at $423,050 ($143,000 for the land and $280,050 for the
improvements). The appellants' estimate of value is $375,000 ($135,000 for the land and $240,000 for
the improvements).
Mr. Westerman explained that the parcel under appeal is lot 60 at Timberton Village #3. Currently it is
assessed at $423,050 and the appellants believe it should be valued at $375,000. On the petition form the
appellants reported that they purchased the property for $429,442 in 2002. He presented to the Board a
copy of the interior and exterior layout of the residence, a map of the area showing the location of the lot,
the Assessor's computer worksheet, and two mortgage documents. The first mortgage document shows
the appellant's obtained a loan in the amount of$386,450. Most banks in our area provide loans for up to
a maximum of 90% ofthe collateral value. If the amount oftheir loan is 90% of their property value, then
their property value is 5429,390 which is very close to the appellant's purchase price. The second
.
Board of Equalization Minutes - AU2ust 16, 2004
Pa2e: 5
mortgage document shows that the appellants refmanced their loan in the amount of $390,000 and the
security for the loan was solely lot 60. Again, if the bank provided the loan at 90% of the property value,
then the property value is $433,333. Mr. Westerman stated that two banks have estimated the value to be
very close to the purchase amount. He noted that the current assessment is approximately $10,000 less.
After reviewing all the information submitted and hearing the testimony ofthe Assessor's representative,
Chairman Marlow closed the hearing. The Board will conduct a physical inspection of the property and
make a determination at a later date.
Arthur E. Moyer
72 Harms Lane
Port Ludlow, W A 98365
BOE: 04-15-R
PN: 990603164
Mr. Moyer was present. Appraiser Robert Kingsley represented the Assessor's office. After explaining
the hearing process, Chairman Marlow swore them in. The property under appeal is a lot with a residence
located at 72 Harms Lane, Port Ludlow. Mr. Moyer stated that he is only contesting the land value and
not the value of the improvements. The basis of his appeal is that the view from his property has
considerably diminished due to tree growth in the area. He presented a Real Estate property brochure
listing for sale a neighboring lot for $69,900. This is evidence that property values have gone down.
Especially those which are losing views because of tree growth. Lots located across the street are
significantly lower in Assessed value, yet are similar to his property. The current assessment of his land
value is $100,000. He estimates the land value to be $83,000.
Mr. Kingsley discussed comparable property sales and explained that views in the North Bay development
can vary from one lot to the next. He noted that property owners seek reduced values when trees have
grown and blocked their view, however, when trees are cut and their views are improved, property owners
do not seek to have their values increased.
After reviewing all the information submitted and hearing the testimony of both parties, Chairman
Marlow closed the hearing. The Board will conduct a physical inspection of the property and make a
determination at a later date.
Meeting adjourned.
Aty::st:
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Erin K. Lundgren, Clerk oDl'be Board
JEFFERSON COUNTY
BOARD OF EQUALIZATION
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Richard A. Broders, Vice-Chairman
~4s~o:*mber