HomeMy WebLinkAboutDAL_074-1A WWE_A5_land-other_03-13-2025_InitialForm ROW-A-5 (Rev. 08/11)
REAL ESTATE APPRAISAL REPORT - TEXAS DEPARTMENT OF TRANSPORTATION
Address of Property: N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas, Denton, TX 75065 District: Dallas Property Owner: Northbridge Realty Holdings LLC & TLB3A Investments LLC Parcel: 074-1A WWE Address of Property Owner: 212 S Elm Street, Denton TX 76201 ROW CSJ: N/A
Occupant’s Name: Vacant Federal Project No: N/A
Whole: Partial: Acquisition Highway: IH 35 County: Denton
Purpose of the Appraisal
The purpose of this appraisal is to estimate the market value of the fee simple title to the real property to be acquired, encumbered by any easements
not to be extinguished, less oil, gas and sulphur. If this acquisition is of less than the whole property, then any special benefits and /or damages to the
remainder property must be included in accordance with the laws of Texas.
Market Value
Market value is defined as follows: “Market Value is the price which the property would bring when it is offered for sale by one who desires, but is
not obliged to sell, and is bought by one who is under no necessity of buying it, taking into consideration all of the uses to which it is reasonably
adaptable and for which it either is or in all reasonable probability will become available within the reasonable future.”
Certificate of Appraiser
I hereby certify:
That it is my opinion the total compensation for the acquisition of the herein described property is $59,588 as of March 5, 2025 , based upon my
independent appraisal and the exercise of my professional judgment;
That on March 5, 2025, and July 6, 2023, I personally inspected in the field the property herein appraised; that I afforded the property owner or the
representative of the property owner the opportunity to accompany me at the time of the inspection; We contacted the owner who gave permission
to inspect the subject unaccompanied.
That the comparables relied upon in making said appraisal were as represented by the photographs contained in the appraisal report and were
inspected on March 5, 2025 and other dates;
That I have not revealed and will not reveal the findings and results of such appraisal to anyone other than the proper officials of the Texas
Department of Transportation or officials of the Federal Highway Administration until authorized by State officials to do so, or until I am required to
do so by due process of law, or until I am released from this obligation by having publicly testified to such findings;
That my compensation is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the
amount of the value estimate, the attainment of a stipulated result, or the occurrence of a subsequent event.
The appraiser has considered access damages in accordance with Section 21.042(d) of the Texas Property Code, as amended by SB18 of the Texas
82nd Regular Legislative Session and finds as follows:
1.Is there a denial of direct access on this parcel? No
2.If so, is the denial of direct access material? N/A
3.The lack of any access denial or the material impairment of direct access on or off the remaining property affects the market value of the
remaining property in the sum of $0 .
I certify to the best of my knowledge and belief:
That the statements of fact contained in this report are true and correct;
That the reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal,
unbiased professional analyses, opinions, and conclusions;
That I have no present or prospective interest in the property that is the subject of this report, and I have no personal interest or bias with respect
to the parties involved;
That my analyses, opinions and conclusions were developed, and this report has been prepared in conformity with the appropriate State laws,
regulations, and policies and procedures applicable to the appraisal of right of way for such purposes, and that to the best of my knowledge no portion
of the value assigned to such property consists of items which are noncompensable under the established law of said State, and any decrease or
increase in the fair market value of subject real property prior to the date of valuation caused by the public improvement for which such property is
to be acquired, or by the likelihood that the property would be acquired for such improvement, other than that due to the physical deterioration
within the reasonable control of the owner, has been disregarded in estimating the compensation for the property.
To the best of my knowledge, the value does not include any
items which are not compensable under State law.
Appraiser Signature
1380206 G Brent Pitts, MAI, AI-GRS, R/W-AC
Certification Number March 13, 2025
Date Reviewing Appraiser Date
Page 1
03/13/2025
Subject Aerial
Page 1.1
Proposed easement outlined in yellow. The whole property is outlined in red/yellow.
Parcel 074-1A WWE
N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas
Denton, Texas
Executive Summary
Page 1.2
Executive Summary
Property Name
Address
Property Type
Owner of Record
Tax ID
Land Area 7.54 acres; 328,442 SF
Zoning Designation
Highest and Best Use
Exposure Time; Marketing Period 6-9 months; 6-9 months
Effective Date of the Appraisal March 5, 2025
Date of the Report March 13, 2025
Property Interest Appraised
The values reported above are subject to the definitions, assumptions, and limiting conditions set forth in the accompanying report of which this
summary is a part. No party other than Cobb, Fendley & Associates may use or rely on the information, opinions, and conclusions contained in the
report. It is assumed that the users of the report have read the entire report, including all of the definitions, assumptions, and limiting conditions
contained therein.
GO, General Office
Commercial use
Fee Simple / Easement
Northbridge Realty Holdings LLC & TLB3A Investments LLC
315333
074-1A WWE
N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas
Denton, Denton County, Texas 75065
Land
Identification of Assignment
Page 1.3
Identification of Assignment
Subject Description
The subject is a parcel of vacant land containing an area of 7.54 acres or 328,442 square feet. The property
is zoned GO, General Office, which permits office, industrial, and commercial uses. The proposed
acquisition represents a water and wastewater easement that is generally rectangular in shape and
measures 23,835 square feet. The proposed acquisition is located along the southern boundary of the
subject. A legal description of the property is provided in the Addenda.
Property Identification
Property Name 074-1A WWE
Address N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas
Denton, Texas 75065
Tax ID 315333
Owner of Record Northbridge Realty Holdings LLC & TLB3A Investments LLC
Sale History
The current owner of record is Northbridge Realty Holdings LLC & TLB3A Investments LLC. The most
recent closed sales of the subject are summarized as follows:
Sale 1 Sale 2
Sale Date August 4, 2022 August 31, 2022
Seller Blue Beacon International Inc Northbridge Realty Holdings LLC
Buyer Northbridge Realty Holdings LLC Northbridge Realty Holdings LLC &
TLB3A Investments LLC
Sale Price Not Known Not Known
Recording Instrument Number -128054
Expenditures Since Purchase Not Known Not Known
No additional information was provided on these transactions. Based on a review of available information,
no other sale or transfer of ownership has taken place within a five-year period prior to the effective
appraisal date.
Pending Transactions
Based on discussions with the appropriate contacts, the property is not subject to an agreement of sale
or an option to buy, nor is it listed for sale, as of the effective appraisal date.
Appraisal Purpose
The purpose of the appraisal is to develop an opinion of the as-is market value of the subject property as
of the effective date of the appraisal, March 5, 2025.
The date of the report is March 13, 2025. The appraisal is valid only as of the stated effective date or
dates.
Identification of Assignment
Page 1.4
Value Type Definitions
The definitions of the value types applicable to this assignment are summarized below.
Market Value
Market Value is the price which the property would bring when it is offered for sale by one who desires,
but is not obliged to sell, and is bought by one who is under no necessity of buying it, taking into
consideration all of the uses to which it is reasonably adaptable and for which it either is or in all
reasonable probability will become available within the reasonable future.1
Easement
The International Right of Way Association’s Principles of Right of Way Glossary defines the term
“easement” as:
A nonpossessory interest held by one person in property of another where the first person is
accorded partial use of the property for a specific purpose. An easement restricts but does not abrogate
the fee owner’s rights to use and enjoyment of the property.
Appraisal Premise Definitions
The definitions of the appraisal premises applicable to this assignment are specified as follows.
As Is Market Value
The estimate of the market value of real property in its current physical condition, use, and zoning as of
the appraisal date.2
Property Rights Definitions
The property rights appraised which are applicable to this assignment are defined as follows.
Fee Simple Estate
Absolute ownership unencumbered by any other interest or estate, subject only to the limitations
imposed by the governmental powers of taxation, eminent domain, police power, and escheat.3
Client and Intended User(s)
The appraisal may be used in connection with the utility relocation along IH35 and the associated
compensation of the acquisition associated with the subject property. Intended users include the client,
Cobb, Fendley & Associates on behalf of the City of Denton, and assigns. This report may also be used by
an outside entity hired by the client to assist in the assignment. The intended use of this appraisal is to
estimate the market value and assist the City of Denton in their determination of adequate compensation
to the real property owner in compliance with the Texas Constitution, Article 1, Section 17. No liability is
assumed by the appraiser for unauthorized use of this appraisal report.
1 Texas Supreme Court, City of Austin v. Cannizzo, 267 S.W.2d 808 (Tex. 1954).
2 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed. (Chicago: Appraisal Institute, 2022)
3 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed. (Chicago: Appraisal Institute, 2022)
Identification of Assignment
Page 1.5
Intended Use
The intended use of the appraisal is to assist the client in the estimation of compensation due to the
property owner resulting from the proposed acquisition related to the subject property. The appraisal is
not intended for any other use.
Applicable Requirements
This appraisal report conforms to the following requirements and regulations:
• Uniform Standards of Professional Appraisal Practice (USPAP);
• Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute;
• Applicable state appraisal regulations;
• TxDOT ROW Appraisal and Review Manual
Report Format
Standards Rule 2-2 (Content of a Real Property Appraisal Report) contained in the Uniform Standards of
Professional Appraisal Practice (USPAP) requires each written real property appraisal report to be
prepared as either an Appraisal Report or a Restricted Appraisal Report. This report is prepared as an
Appraisal Report as defined by USPAP under Standards Rule 2-2(a), and incorporates practical explanation
of the data, reasoning, and analysis used to develop the opinion of value. The narrative report is
incorporated into a TxDOT Form A5.
Prior Services
USPAP requires appraisers to disclose to the client any other services they have provided in connection
with the subject property in the prior three years, including valuation, consulting, property management,
brokerage, or any other services. We have previously appraised the property that is the subject of this
report for the current client on August 2, 2023. We have provided no other services, as an appraiser or in
any other capacity, regarding the property that is the subject of this report within the three-year period
immediately preceding the agreement to perform this assignment.
Appraiser Competency
No steps were necessary to meet the competency provisions established under USPAP. The assignment
participants have appraised several properties similar to the subject in physical, locational, and economic
characteristics, and are familiar with market conditions and trends; therefore, appraiser competency
provisions are satisfied for this assignment. Appraiser qualifications and state credentials are included in
the addenda of this report.
Identification of Assignment
Page 1.6
Extraordinary Assumptions
An extraordinary assumption is an assumption that is directly related to a specific assignment, which if
found to be false, could alter the appraiser's opinions or conclusions. Extraordinary assumptions presume
as fact otherwise uncertain information about physical, legal, or economic characteristics of the subject
property; or about conditions external to the property such as market conditions or trends; or about the
integrity of data used in an analysis. An extraordinary assumption may be used in an assignment only if:
• It is required to properly develop credible opinions and conclusions;
• The appraiser has a reasonable basis for the extraordinary assumption;
• Use of the extraordinary assumption results in a credible analysis; and
• The appraiser complies with the disclosure requirements set forth in USPAP for extraordinary
assumptions.
No Extraordinary Assumptions were made for this assignment.
Hypothetical Conditions
Hypothetical conditions assume conditions contrary to known facts about physical, legal, or economic
characteristics of the subject property; or about conditions external to the property, such as market
conditions or trends; or about the integrity of data used in an analysis. A hypothetical condition may be
used in an assignment only if:
• Use of the hypothetical condition is clearly required for legal purposes, for purposes of reasonable
analysis, or for purposes of comparison;
• Use of the hypothetical condition results in a credible analysis; and
• The appraiser complies with the disclosure requirements set forth in USPAP for hypothetical
conditions.
The following Hypothetical Condition(s) were made for this assignment, which may have impacted
assignment results.
• The Before and After method of valuation involves the use of a hypothetical condition in both
scenarios. The appraisal of the whole property disregards any value-related impact of the project,
which constitutes a hypothetical condition. The appraisal of the remainder after assumes that the
project and all related improvements were complete as of the effective date of value, which also
constitutes a hypothetical condition.
Scope of Work
Page 1.7
Scope of Work
Introduction
The appraisal development and reporting processes require gathering and analyzing information about
the assignment elements necessary to properly identify the appraisal problem. The scope of work decision
includes the research and analyses necessary to develop credible assignment results, given the intended
use of the appraisal. Sufficient information includes disclosure of research and analyses performed and
might also include disclosure of research and analyses not performed.
To determine the appropriate scope of work for the assignment, the intended use of the appraisal, the
needs of the user, the complexity of the property, and other pertinent factors were considered. The
concluded scope of work is described below.
Research and Analysis
The type and extent of the research and analysis conducted are detailed in individual sections of the
report. The steps taken to verify comparable data are disclosed in the addenda of this report. Although
effort has been made to confirm the arms-length nature of each sale with a party to the transaction, it is
sometimes necessary to rely on secondary verification from sources deemed reliable.
Subject Property Data Sources
The legal and physical features of the subject property, including size of the site, flood plain data, seismic
zone designation, property zoning, existing easements and encumbrances, access and exposure, and
condition of the improvements (as applicable) were confirmed and analyzed.
Inspection
Details regarding the property inspection conducted as part of this appraisal assignment are summarized
as follows:
Property Inspection
Party Inspection Type Inspection Date
Brent Pitts, MAI, AI-GRS, R/W-AC None N/A
Andrew Everett On-site March 5, 2025
We contacted the owner, Brad Andrus, who gave us permission to inspect the subject. The subject was
inspected by Andrew Everett on March 5, 2025, without the owner or owner’s representative present.
Brent Pitts inspected the subject during a prior appraisal on July 6, 2023.
Scope of Work
Page 1.8
Valuation Methodology
Three approaches to value are typically considered when developing a market value opinion for real
property. These are the cost approach, the sales comparison approach, and the income capitalization
approach. Use of the approaches in this assignment is summarized as follows:
Marketing Period & Exposure Time
The term “marketing period” is defined as:
The time it takes an interest in real property to sell on the market subsequent to the date of an
appraisal. Reasonable marketing time is an estimate of the amount of time it might take to sell an
interest in real property at its estimated market value during the period immediately after the
effective date of the appraisal.
The term “exposure time” is defined as:
The time a property remains on the market. The estimated length of time the property interest
being appraised would have been offered on the market prior to the hypothetical consummation
of a sale at market value on the effective date of the appraisal; a retrospective estimate based on
an analysis of past events assuming a competitive and open market.
In the case of the subject, there is an active market for similar properties. The subject is not a highly
specialized property and does not have a limited market given its characteristics. Regarding the supply of
competing properties, there is not such an oversupply of property that an extended marketing time should
be forecasted. Our estimate of reasonable marketing period and exposure time is shown on the following
table.
Exposure Time and Marketing Period
Exposure Time (Months)6-9
Marketing Period (Months)6-9
Exposure times that exceed the above estimate are typically a result of overpricing rather than of
adequate exposure.
Approaches to Value
Approach Use in Assignment
Sales Comparison Approach (Land)Utilized
Cost Approach Not Utilized
Sales Comparison Approach (Improved)Not Utilized
Income Approach Not Utilized
Scope of Work
Page 1.9
Case Law & Non-Compensable Elements
There are several cases determined by the Supreme Court of Texas that considered compensable
elements as it relates to a right-of-way property acquisition. In the State of Texas vs. Schmidt, the Texas
Supreme Court “held that owners were not entitled to compensation for diminution in value of remainder
property due to diversion of traffic, increased circuitry of travel to property, lessened visibility to
passersby, or inconvenience of construction activities.” These types of damages are considered
community damages which are non-compensable based on case law.
The property appraised in this report does not contain a denial of access. Effective September 1, 2011,
SB18 which amends Texas law, establishes a new standard for determining whether a property owner is
entitled damages for impairment to access resulting from an access control acquisition. According to the
Texas Department of Transportation a “material impairment” is as follows:
• A “material impairment” is one that is significant or important in context of how the property is
or may be used. Although the change must be significant or important, it no longer must be
“substantial” (meaning considerable or large).
Personal Property & Trade Fixtures
The estimate of compensation in this report is for real property interest, or real estate which includes the
physical land and improvements attached to the land. This report does not include a value estimate for
personal property or trade fixtures. When non-realty items were included in sales and rentals adjustments
were applied to reflect real property only.
Certification
Page 1.10
Certification
We certify that, to the best of our knowledge and belief:
1. The statements of fact contained in this report are true and correct.
2. The reported analyses, opinions, and conclusions are limited only by the reported assumptions
and limiting conditions, and are our personal, impartial, and unbiased professional analyses,
opinions, and conclusions.
3. We have no present or prospective interest in the property that is the subject of this report and
no personal interest with respect to the parties involved.
4. We have previously appraised the property that is the subject of this report for the current client.
We have provided no other services, as an appraiser or in any other capacity, regarding the
property that is the subject of this report within the three-year period immediately preceding the
agreement to perform this assignment.
5. We have no bias with respect to the property that is the subject of this report or to the parties
involved with this assignment.
6. Our engagement in this assignment was not contingent upon developing or reporting
predetermined results.
7. Our compensation for completing this assignment is not contingent upon the development or
reporting of a predetermined value or direction in value that favors the cause of the client, the
amount of the value opinion, the attainment of a stipulated result, or the occurrence of a
subsequent event directly related to the intended use of this appraisal.
8. Our analyses, opinions, and conclusions were developed, and this report has been prepared, in
conformity with the Uniform Standards of Professional Appraisal Practice as well as applicable
state appraisal regulations.
9. The reported analyses, opinions, and conclusions were developed, and this report has been
prepared, in conformity with the requirements of the Code of Professional Ethics and Standards
of Professional Appraisal Practice of the Appraisal Institute.
10. The use of this report is subject to the requirements of the Appraisal Institute relating to review
by its duly authorized representatives.
11. Brent Pitts, MAI, AI-GRS, R/W-AC has not made a personal inspection of the property that is the
subject of this report. Andrew Everett has personally inspected the subject.
12. No one provided significant real property appraisal assistance to the persons signing this
certification.
13. We have experience in appraising properties similar to the subject and are in compliance with the
Competency Rule of USPAP.
14. As of the date of this report, Brent Pitts, MAI, AI-GRS, R/W-AC has completed the continuing
education program for Designated Members of the Appraisal Institute.
15. As of the date of this report, Andrew Everett has completed the continuing education program
for Practicing Affiliates of the Appraisal Institute.
Certification
Page 1.11
Brent Pitts, MAI, AI-GRS, R/W-AC
Certified General Real Estate Appraiser
Texas Certificate #1380206 G
Andrew Everett
Certified General Real Estate Appraiser
Texas Certificate #1380442 G
Form ROW-A-5 (Rev. 08/11)
Page 2.0
PHOTOGRAPHS OF SUBJECT PROPERTY
Include Each Major Improvement
Parcel No.: 074-1A WWE Local Address: N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas, Denton, TX 75065
Date Taken: March 5, 2025 Taken By: Andrew Everett
1. Point from which taken: Subject Looking: East along proposed acquisition.
2. Point from which taken: Subject Looking: West along proposed acquisition.
Form ROW-A-5 (Rev. 08/11)
Page 2.1
PHOTOGRAPHS OF SUBJECT PROPERTY
Include Each Major Improvement
Parcel No.: 074-1A WWE Local Address: N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas, Denton, TX 75065
Date Taken: March 5, 2025 Taken By: Andrew Everett
3. Point from which taken: Public ROW Looking: West along Barthold Road.
4. Point from which taken: Public ROW Looking: East along Barthold Road.
Form ROW-A-5 (Rev. 08/11)
Page 2.2
PHOTOGRAPHS OF SUBJECT PROPERTY
Include Each Major Improvement
Parcel No.: 074-1A WWE Local Address: N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas, Denton, TX 75065
Date Taken: March 5, 2025 Taken By: Andrew Everett
5. Point from which taken: Public ROW Looking: North at subject. Sign is for the building that was built directly north of the
subject.
6. Point from which taken: Public ROW Looking: Northeast at subject.
Denton County Area Analysis
Page 2.3
Economic Analysis
Denton County Area Analysis
Denton County is located in northern Texas approximately 40 miles north of Fort Worth. It is 878 square
miles in size and has a population density of 1,204 persons per square mile.
Population
Denton County has an estimated 2025 population of 1,057,826, which represents an average annual 3.1%
increase over the 2020 census of 906,422. Denton County added an average of 30,281 residents per year
over the 2020-2025 period, and its annual growth rate exceeded the State of Texas rate of 1.4%.
Looking forward, Denton County's population is projected to increase at a 2.1% annual rate from 2025-
2030, equivalent to the addition of an average of 23,394 residents per year. Denton County's growth rate
is expected to exceed that of Texas, which is projected to be 1.1%.
Population Compound Ann. % Chng
2020 Census 2025 Estimate 2030 Projection
Denton County 906,422 1,057,826 1,174,795 3.1% 2.1%
Texas 29,145,505 31,245,372 33,006,956 1.4% 1.1%
Source: Claritas
Population Trends
Employment
Total employment in Denton County was estimated at 311,551 jobs as of June 2024. Between year-end
2014 and 2024, employment rose by 100,069 jobs, equivalent to a 47.3% increase over the entire period.
There were gains in employment in nine out of the past ten years. Denton County's rate of employment
growth over the last decade surpassed that of Texas, which experienced an increase in employment of
19.1% or 2,232,744 jobs over this period.
A comparison of unemployment rates is another way of gauging an area’s economic health. Over the past
decade, the Denton County unemployment rate has been consistently lower than that of Texas, with an
average unemployment rate of 3.9% in comparison to a 4.7% rate for Texas. A lower unemployment rate
is a positive indicator.
Recent data shows that the Denton County unemployment rate is 3.5% in comparison to a 3.7% rate for
Texas, a positive sign that is consistent with the fact that Denton County has outperformed Texas in the
rate of job growth over the past two years.
Denton County Area Analysis
Page 2.4
Employment Trends
Total Employment (Year End)Unemployment Rate (Ann. Avg.)
Year Denton County
%
Change Texas
%
Change Denton County Texas
2014 211,482 11,672,985 4.5%5.2%
2015 224,936 6.4% 11,831,449 1.4% 3.6%4.5%
2016 233,551 3.8% 11,972,594 1.2% 3.4%4.6%
2017 244,353 4.6% 12,224,998 2.1% 3.4%4.4%
2018 253,596 3.8% 12,539,711 2.6% 3.2%3.9%
2019 267,253 5.4% 12,802,919 2.1% 3.0%3.5%
2020 267,588 0.1% 12,264,651 -4.2% 6.5%7.7%
2021 290,438 8.5% 13,025,292 6.2% 4.4%5.7%
2022 300,599 3.5% 13,591,394 4.3% 3.3%3.9%
2023 315,580 5.0% 13,915,979 2.4% 3.5%3.9%
2024*311,551 -1.3% 13,905,729 -0.1% 3.7%4.1%
Overall Change 2014-2024 100,069 47.3% 2,232,744 19.1%
Avg Unemp. Rate 2014-2024 3.9%4.7%
Unemployment Rate - December 2024 3.5%3.7%
Source: U.S. Bureau of Labor Statistics and Moody's Analytics. Employment figures are from the Quarterly Census of Employment and Wages (QCEW).
Unemployment rates are from the Current Population Survey (CPS). The figures are not seasonally adjusted.
*Total employment data is as of June 2024.
Major employers in Denton County are shown in the following table.
Name Number of Employees
1 University of North Texas 4,614
2 Denton ISD 4,417
3 Peterbilt Motors 3,075
4 Texas Woman's University 1,875
5 Denton State Supported Living Center 1,700
6 Denton County 1,681
7 City of Denton 1,623
8 Texas Health Presbyterian Hospital 1,076
9 Medical City - Denton 950
10 Sally Beauty Company 950
Major Employers - Denton County
Source: Denton County Economic Development Partnership
Denton County Area Analysis
Page 2.5
Gross Domestic Product
Gross Domestic Product (GDP) is a measure of economic activity based on the total value of goods and
services produced in a defined geographic area, and annual changes in Gross Domestic Product (GDP) are
a gauge of economic growth.
Economic growth, as measured by annual changes in GDP, has been considerably higher in Denton County
than Texas overall during the past decade. Denton County has grown at a 6.9% average annual rate while
the State of Texas has grown at a 3.3% rate. However, Denton County has recently underperformed Texas.
GDP for Denton County rose by 2.8% in 2023 while Texas's GDP rose by 7.4%.
Denton County has a per capita GDP of $47,907, which is 30% less than Texas's GDP of $68,750. This
means that Denton County industries and employers are adding relatively less value to the economy than
their counterparts in Texas.
Gross Domestic Product
Year
($,000s)
Denton County % Change
($,000s)
Texas % Change
2013 24,711,740 –1,511,806,500 –
2014 26,841,164 8.6% 1,559,636,100 3.2%
2015 28,956,599 7.9% 1,634,127,100 4.8%
2016 30,521,275 5.4% 1,633,863,300 0.0%
2017 32,503,089 6.5% 1,667,313,000 2.0%
2018 33,816,542 4.0% 1,746,543,300 4.8%
2019 36,317,647 7.4% 1,806,736,100 3.4%
2020 39,874,794 9.8% 1,773,657,100 -1.8%
2021 43,526,928 9.2% 1,879,101,300 5.9%
2022 46,954,267 7.9% 1,952,708,600 3.9%
2023 48,275,771 2.8% 2,097,090,400 7.4%
Compound % Chg (2013-2023)6.9%3.3%
GDP Per Capita 2023 $47,907 $68,750
Source: U.S. Bureau of Economic Analysis and Moody's Analytics; data released December 2024.
The release of state and local GDP data has a longer lag time than national data. The data represents inflation-adjusted "real"
GDP stated in 2017 dollars.
Denton County Area Analysis
Page 2.6
Income, Education and Age
Denton County is more affluent than Texas. Median household income for Denton County is $107,546,
which is 40.8% greater than the corresponding figure for Texas.
Median
Denton County $107,546
Texas $76,406
Comparison of Denton County to Texas + 40.8%
Source: Claritas
Median Household Income - 2025
Residents of Denton County have a higher level of educational attainment than those of Texas. An
estimated 49% of Denton County residents are college graduates with four-year degrees, versus 33% of
Texas residents. People in Denton County are older than their Texas counterparts. The median age for
Denton County is 38 years, while the median age for Texas is 36 years.
Education & Age - 2025
Source: Claritas
10%
20%
30%
40%
50%
60%
70%
80%
Denton County Texas
49%
33%
Percent College Graduate
10
15
20
25
30
35
40
45
50
Denton County Texas
38 36
Median Age
Conclusion
The Denton County economy will benefit from a growing population base and higher income and
education levels. Denton County experienced growth in the number of jobs and has maintained a
consistently lower unemployment rate than Texas over the past decade. It is anticipated that the Denton
County economy will improve and employment will grow, strengthening the demand for real estate.
Denton County Area Analysis
Page 2.7
Area Map
Surrounding Area Analysis
Page 2.8
Surrounding Area Analysis
Location
The subject is located in the northern portion of Denton County, within the City of Denton.
Access and Linkages
Primary access to the subject neighborhood is provided by IH35. IH35 is the central backbone of the
subject neighborhood and provides access to Fort Worth to the south and Oklahoma the north. Overall,
access to the subject neighborhood is considered average.
Demographics
A demographic profile of the surrounding area, including population, households, and income data, is
presented in the following table.
Surrounding Area Demographics
2025 Estimates 1-Mile Radius 3-Mile Radius 5-Mile Radius Denton County Texas
Population 2020 13 15,243 67,520 906,422 29,145,505
Population 2025 15 19,333 79,221 1,057,826 31,245,372
Population 2030 17 22,141 87,309 1,174,795 33,006,956
Compound % Change 2020-2025 2.9%4.9%3.2%3.1%1.4%
Compound % Change 2025-2030 2.5%2.7%2.0%2.1%1.1%
Households 2020 3 5,876 26,673 328,884 10,491,147
Households 2025 4 7,621 31,770 383,773 11,293,766
Households 2030 5 8,801 35,308 427,044 11,968,642
Compound % Change 2020-2025 5.9%5.3%3.6%3.1%1.5%
Compound % Change 2025-2030 4.6%2.9%2.1%2.2%1.2%
Median Household Income 2025 $125,000 $86,450 $62,327 $107,546 $76,406
Average Household Size 2.8 2.5 2.3 2.7 2.7
College Graduate %30%38%40%49%33%
Median Age 35 37 31 38 36
Owner Occupied %75%57%37%64%62%
Renter Occupied %25%43%63%36%38%
Median Owner Occupied Housing Value $0 $332,016 $328,229 $480,230 $308,343
Median Year Structure Built 1992
Average Travel Time to Work in Minutes 34 30 27 31 29
Source: Claritas
As shown above, the current population within a 3-mile radius of the subject is 19,333, and the average
household size is 2.5. Population in the area has grown since the 2020 census, and this trend is projected
to continue over the next five years. Compared to Denton County overall, the population within a 3-mile
radius is projected to grow at a faster rate.
Median household income is $86,450, which is lower than the household income for Denton County.
Residents within a 3-mile radius have a considerably lower level of educational attainment than those of
Denton County, while median owner-occupied home values are considerably lower.
Surrounding Area Analysis
Page 2.9
Land Use
Predominant land uses in the immediate vicinity of the subject include a mix of industrial and vacant
land. Land use characteristics of the area are summarized below.
Outlook and Conclusions
The area is in the growth stage of its life cycle. Given the history of the area and the growth trends, it is
anticipated that property values will remain stable in the near future. In comparison to other areas in
the region, the area is rated as follows:
Surrounding Area Land Uses
Character of Area Suburban
Predominant Age of Improvements (Years)10-30 years
Predominant Quality and Condition Average
Infrastructure and Planning Average
Immediate Surroundings
North Industrial
South Barthold Road / Commercial & Industrial
East Commercial
West Vacant Land
Surrounding Area Ratings
Highway Access Average
Demand Generators Average
Convenience to Support Services Average
Convenience to Medical Services Average
Convenience to Public Transit Average
Employment Stability Average
Neighborhood Amenities Average
Police and Fire Protection Average
Barriers to Competitive Entry Average
Price/Value Trends Average
Property Compatibility Average
Surrounding Area Analysis
Page 2.10
Surrounding Area Map
Land Description and Analysis
Page 2.11
Property Analysis
Land Description and Analysis
Location
The property is located on the north side of Barthold Road approximately 700 feet west of its intersection
with IH 35.
Land Area
The following table summarizes the subject’s land area.
Land Area Summary
Tax ID SF Acres
315333 328,442 7.54
Shape and Dimensions
The site is rectangular in shape, with dimensions of approximately 633 feet in width and 500 feet in depth.
Site utility based on shape and dimensions is average.
Topography
The site is generally level and at street grade. The topography does not result in any particular
development limitations.
Drainage
No particular drainage problems were observed or disclosed at the time of field inspection. This appraisal
assumes that surface water collection, both on-site and in public streets adjacent to the subject, is
adequate.
Flood Hazard Status
The following table indicates applicable flood hazard information for the subject property, as determined
by review of available flood maps obtained from the Federal Emergency Management Agency (FEMA).
Flood Hazard Status
Community Panel Number 48121C0220G
Date April 18, 2011
Zone X
Description Outside of 500-year floodplain
Insurance Required?No
Environmental Hazards
An environmental assessment report was not provided for review, and during the inspection, no obvious
signs of contamination on or near the subject were observed. However, environmental issues are beyond
Land Description and Analysis
Page 2.12
the scope of expertise of the assignment participants. It is assumed the property is not adversely affected
by environmental hazards.
Ground Stability
A soils report was not provided for review. Based on the inspection of the subject and observation of
development on nearby sites, there are no apparent ground stability problems. However, soils analyses
are beyond the scope of expertise of the assignment participants. It is assumed the subject’s soil bearing
capacity is sufficient to support a variety of uses, including those permitted by zoning.
Streets, Access and Frontage
Details pertaining to street access and frontage are provided in the following table.
Streets, Access and Frontage
Street Barthold Road
Frontage Feet 633
Paving Asphalt
Curbs No
Sidewalks No
Lanes 2 way, 1 lane each way
Direction of Traffic East/West
Condition Average
Traffic Levels Low
Signals/Traffic Control None
Access/Curb Cuts Two
Visibility Average
Utilities
Utilities available to the subject are summarized below.
Utilities
Service Provider
Water City of Denton
Sewer City of Denton
Electricity Various
Natural Gas Various
Local Phone Various
Land Description and Analysis
Page 2.13
Zoning
The subject is within the General Office zone, which is intended for office, industrial, and commercial uses.
The following table summarizes the applicable zoning requirements affecting the subject.
Zoning Summary
Zoning Jurisdiction City of Denton
Zoning Designation GO
Description General Office
Legally Conforming?Appears to be legally conforming
Zoning Change Likely?No
Permitted Uses Office, industrial, and commercial uses
According to the local planning department, there are no pending or prospective zoning changes.
Interpretation of zoning ordinances is beyond the scope of expertise of the assignment participants. An
appropriately qualified land use attorney should be engaged if a determination of compliance is required.
Easements, Encroachments and Restrictions
Based upon a review of the property survey, there are several easements along the western boundary of
the subject. These easements include a 30-foot access easement, a 15-foot sanitary sewer easement, a
20-foot road easement, and a 10-foot pipeline easement. There was a gas well on the southwestern
corner of the subject, but it has been removed as of the date of our inspection. Based on our research,
there are no other easements, encroachments, or restrictions that would adversely affect value. This
valuation assumes no adverse impacts from easements, encroachments, or restrictions, and further
assumes that the subject has clear and marketable title.
Improvements
The subject includes minor site improvements. There is concrete paving and concrete curbing along the
western boundary of the site. The concrete paving and curbing is for the access easement for the property
directly north of the subject.
Conclusion of Site Analysis
Overall, the physical characteristics and the availability of utilities result in a functional site, suitable for a
variety of uses including those permitted by zoning. Uses permitted by zoning include office, industrial,
and commercial uses. No other restrictions on development are apparent.
Land Description and Analysis
Page 2.14
Denton County Appraisal District - Aerial Photograph
Land Description and Analysis
Page 2.15
Denton County Appraisal District Tax Map
Land Description and Analysis
Page 2.16
Flood Hazard Map
Land Description and Analysis
Page 2.17
Zoning Map
Real Estate Taxes
Page 2.18
Real Estate Taxes
The subject is located in Denton County and assessed by the Denton County Appraisal District. Real estate
taxes in this state and this jurisdiction represent ad valorem taxes, meaning a tax applied in proportion to
value. The real estate taxes for an individual property may be determined by dividing the assessed value
for a property by $100, then multiplying the estimate by the composite rate. The composite rate is based
on a consistent state tax rate throughout the state, in addition to one or more local taxing district rates.
Real estate taxes and assessments for the current tax year are shown in the following table.
Taxes and Assessments - 2025
Assessed Value Taxes and Assessments
Tax ID Land Improvements Total Tax Rate
Ad Valorem
Taxes Total
315333 $950,000 $0 $950,000 1.799532% $17,096 $17,096
Based on the concluded market value of the subject, the assessed value appears low.
Form ROW-A-5 (Rev. 08/2011)
Page PVS 3.0
PROPERTY VALUATION SUMMARY
Part to be Acquired: ☐Remainder After: ☐
HIGHEST AND BEST USE ANALYSIS: See Page 3.1
VALUATION APPROACHES
Insert value estimate, then describe, analyze, and support each approach as required.
Sales Comparison Approach (Land).......................................................................................$1,642,210
Cost Approach........................................................................................................................N/A
Sales Comparison Approach (Improved)...............................................................................N/A
Income Approach....................................................................................................................N/A
Reconciliation of Approaches to Value...............................................................................$1,642,210
$0
Land Value 328,442 SF @ $5.00 /SF =$1,642,210
Reconciled Final Value............................................................................................................................................................$1,642,210
Each approach developed follows this page and is sequenced as Shown below.
Land Value,Cost Approach,Sales Comparison Approach,Income Approach,
pg. 3.4 pg. 3.16 pg. 3.17 pg. 3.18
Whole:
Contributory Value of Improvements (Itemized)
Total Contributory Value of Improvements
Highest and Best Use
Page 3.1
Highest and Best Use
The highest and best use of a property is the reasonably probable use resulting in the highest value, and
represents the use of an asset that maximizes its productivity.
Process
Before a property can be valued, an opinion of highest and best use must be developed for the subject
site, both as though vacant, and as improved or proposed. By definition, the highest and best use must
be:
• Physically possible.
• Legally permissible under the zoning regulations and other restrictions that apply to the site.
• Financially feasible.
• Maximally productive, i.e., capable of producing the highest value from among the permissible,
possible, and financially feasible uses.
As Though Vacant
First, the property is evaluated as though vacant, with no improvements.
Legally Permissible
The site is zoned GO, General Office. Permitted uses include office, industrial, and commercial uses. There
are no apparent legal restrictions, such as easements or deed restrictions, effectively limiting the use of
the property. Given prevailing land use patterns in the area, only commercial use is given further
consideration in determining highest and best use of the site, as though vacant.
Physically Possible
The site is 7.54 acres or 328,442 square feet of land located in the city of Denton within Denton County.
The site is rectangular in shape and generally level and at street grade. The subject is located within Flood
Zone X. The physical characteristics of the site do not appear to impose any unusual restrictions on
development. Overall, the physical characteristics of the site and the availability of utilities result in
functional utility suitable for a variety of uses.
Financially Feasible
Based on the accompanying analysis of the market, there is currently adequate demand for commercial
use in the subject’s area. It appears a newly developed commercial use on the site would have a value
commensurate with its cost. Therefore, commercial use is considered to be financially feasible.
Maximally Productive
There does not appear to be any reasonably probable use of the site that would generate a higher residual
land value than commercial use. Accordingly, commercial use, developed to the normal market density
level permitted by zoning, is the maximally productive use of the property.
Conclusion
Development of the site for commercial use is the only use which meets the four tests of highest and best
use. Therefore, it is concluded to be the highest and best use of the property as though vacant.
Highest and Best Use
Page 3.2
As Improved
The subject is vacant land and therefore a Highest and Best Use “As Improved” is not necessary.
Most Probable Buyer
Taking into account the size and characteristics of the property and its occupancy, the likely buyer is a
local investor.
Valuation Methodology
Page 3.3
Valuation Methodology
Appraisers usually consider three approaches to estimating the market value of real property. These are
the cost approach, sales comparison approach and the income capitalization approach.
The cost approach assumes that the informed purchaser would pay no more than the cost of producing
a substitute property with the same utility. This approach is particularly applicable when the
improvements being appraised are relatively new and represent the highest and best use of the land or
when the property has unique or specialized improvements for which there is little or no sales data from
comparable properties.
The sales comparison approach assumes that an informed purchaser would pay no more for a property
than the cost of acquiring another existing property with the same utility. This approach is especially
appropriate when an active market provides sufficient reliable data. The sales comparison approach is
less reliable in an inactive market or when estimating the value of properties for which no directly
comparable sales data is available. The sales comparison approach is often relied upon for owner-user
properties.
The income capitalization approach reflects the market’s perception of a relationship between a
property’s potential income and its market value. This approach converts the anticipated net income from
ownership of a property into a value indication through capitalization. The primary methods are direct
capitalization and discounted cash flow analysis, with one or both methods applied, as appropriate. This
approach is widely used in appraising income-producing properties.
Reconciliation of the various indications into a conclusion of value is based on an evaluation of the
quantity and quality of available data in each approach and the applicability of each approach to the
property type.
The methodology employed in this assignment is summarized as follows:
Approaches to Value
Approach Use in Assignment
Sales Comparison Approach (Land)Utilized
Cost Approach Not Utilized
Sales Comparison Approach (Improved)Not Utilized
Income Approach Not Utilized
Form ROW-A-5 (Rev. 08/2011)
Page SCA 3.4
SALES COMPARISON APPROACH Whole: Part to be Acquired: ☐Remainder After: ☐
Land: Improved: ☐
VALUATION GRID Representative Comparable Sales
Subject Comp. No. 1 Comp. No. 2 Comp. No. 3 Comp. No. 4 Comp. No. 5GrantorTillar Denton Partners, LP Mary Kathleen Wallace Hugh Z Pruett Wendell Jo Mullins Phase 18 Investments, LP
Grantee Cycle Express, LLC, a Delaware limited company
RAK Real Estate Equities Corinth, LLC Series VII, A Series of Henry Property Development, LLC
Ring Power Corporation CCS Denton Devco, LLC
Date of Sale 10/10/2024 1/27/2023 1/13/2023 2/22/2023 6/11/2021
Unit Price ($/SF)$6.48 $4.03 $4.28 $3.90 $3.22
Relative Location E Line Masch Branch Rd, S of US 380, Denton, TX 2950 Sandy Shores Rd., Corinth, TX NE/C IH-35W and Old Justin Road, Argyle, TX South side of US-380, west of N. Western Blvd.,
Denton, TX
West side of IH-35, north of Barthold Rd.,
Denton, TX
Sale Transaction Adjustments
Financing Cash to Seller Similar Similar Similar Similar Similar
0%0%0%0%0%
Conditions of Sale Arm's Length Similar Similar Similar Similar Similar
0%0%0%0%0%
Market Conditions Improving Inferior Inferior Inferior Inferior Inferior
(5% annually)2%11%11%10%19%
Adjusted Unit Value $6.61 $4.47 $4.75 $4.29 $3.83
Physical Adjustments
Location Similar Similar Similar Similar Similar
0%0%0%0%0%
Size 7.5400 acres 14.530 acres 6.260 acres 46.710 acres 9.416 acres 23.617 acres
328,442 SF 632,926 SF 272,686 SF 2,034,688 SF 410,140 SF 1,028,757 SF
0%0%10%0%5%
Shape Similar Similar Similar Similar Similar
0%0%0%0%0%
Frontage/Access Similar Superior Superior Superior Superior
0%-5%-5%-5%-5%
Utilities Similar Similar Similar Similar Similar
0%0%0%0%0%
Topography Similar Similar Similar Similar Similar
0%0%0%0%0%
Floodplain Similar Similar Similar Inferior Similar
0%0%0%20%0%
Zoning/Use Similar Similar Similar Similar Similar
0%0%0%0%0%
Easements Similar Similar Similar Similar Similar
0%0%0%0%0%
Net Adjustment 0%-5%5%15%0%
Indicated Unit Value $6.61 $4.25 $4.99 $4.93 $3.83
Estimated Unit Value:$5.00
Estimated Value by Sales Comparison Approach................................................................................$1,642,210
GO
Standard
N/S Barthold Road, 700 ft. west of IH 35, Denton, Texas
Rectangular
Average
In Vicinity
Level
Flood Zone X
For the explanation of adjustments with Reconciliation, please see the following pages.
Sales Comparison Approach
Page 3.5
Sales Comparison Approach
To develop an opinion of the subject’s land value, as though vacant and available to be developed to its
highest and best use, the sales comparison approach is used. This approach develops an indication of
value by researching, verifying, and analyzing sales of similar properties.
For this analysis, price per square foot is used as the appropriate unit of comparison because market
participants typically compare sale prices and property values on this basis.
Comparable Land Sales Map
Page 3.6
Form ROW-A-5S
(Rev. 11/11)
Page 1 of 5 COMPARABLE DATA SUPPLEMENT
District:Parcel No.:Highway:IH 35
County:ROW CSJ:
Land Sale 1 Improved Sale N/A Rental Data:N/A
Grantor/Lessor:Grantee/Lessee:
Date:Lat/Long:33.227236, -97.196058
Recording Information:Zip Code:76207
Address:
Legal Description:
Confirmed Price:$4,100,000 Verified with:
Terms and Conditions of Sale:Cash to seller / Arm's-length
Rental Data:N/A
Land Size:632,926 SF 14.53 acres Unit Price as Vacant:$6.48
Type Street:Primary Roadway Utilities:
Improvement Description:N/A
Improvement(s) Size:N/A (GBA) N/A (NRA)Unit Price as Improved:N/A
Condition and Functional Design
Current Use:Land Highest & Best Use:Commercial:Industrial
Date of Inspection:3/5/2025 Zoning:Flood Plain:
Attach additional information as necessary.
Appraiser:Brent Pitts, MAI, AI-GRS, R/W-AC March 13, 2025
(Typed, not signed)Date
Dallas 074-1A WWE
Denton N/A
Tillar Denton Partners, LP Cycle Express, LLC, a Delaware limited company
N/A
LI Zone X
Property reportedly sold for $4,100,000, or $6.48/SF.
October 10, 2024
2024-110813
E Line Masch Branch Rd, S of US 380, Denton, Denton County, TX
Hemphill Yorlum Addition, Block A, Lot 1A, Denton, Denton County, Texas
Other / Nick Talley - Broker
All Available
Page 3.7
Form ROW-A-5S
(Rev. 11/11)
Page 2 of 5
COMPARABLE DATA SUPPLEMENT
District:Parcel No.:Highway:IH 35
County:ROW CSJ:
Land Sale 2 Improved Sale N/A Rental Data:N/A
Grantor/Lessor:Grantee/Lessee:
Date:Lat/Long:33.162503, -97.06206
Recording Information:2023-8742 Zip Code:76210
Address:
Legal Description:
Confirmed Price:$1,100,000 Verified with:
Terms and Conditions of Sale:Cash to seller / Arm's-length
Rental Data:N/A
Land Size:272,686 SF 6.26 acres Unit Price as Vacant:$4.03
Type Street:Secondary Roadway Utilities:
Improvement Description:N/A
Improvement(s) Size:N/A (GBA) N/A (NRA)Unit Price as Improved:N/A
Condition and Functional Design
Current Use:Land Highest & Best Use:Commercial:Industrial
Date of Inspection:3/5/2025 Zoning:Flood Plain:
Attach additional information as necessary.
Appraiser:Brent Pitts, MAI, AI-GRS, R/W-AC March 13, 2025
(Typed, not signed)Date
Dallas 074-1A WWE
Tracts 51 and 57MEP & PPR Survey, Abstract #911
Seller Broker / Phillip Gumbert (214) 769-
4653
All Available
N/A
I Zone X
Denton N/A
Mary Kathleen Wallace RAK Real Estate Equities Corinth, LLC
January 27, 2023
2950 Sandy Shores Rd., Corinth, Denton County, TX
This industrial zoned site was purchased for the development of a 60,000 square foot warehouse building. The sales price was renegotiated downward at the last minute due to the large amount of dirt work required for development due to the slope of the site. Property is located on the southwest corner of Corinth Street and Shady Shores Road.
Page 3.8
Form ROW-A-5S
(Rev. 11/11)
Page 3 of 5
COMPARABLE DATA SUPPLEMENT
District:Parcel No.:Highway:IH 35
County:ROW CSJ:
Land Sale 3 Improved Sale N/A Rental Data:N/A
Grantor/Lessor:Grantee/Lessee:
Date:Lat/Long:33.119631, -97.211725
Recording Information:2023-5675 Zip Code:76226
Address:
Legal Description:
Confirmed Price:$8,713,693 Verified with:
Terms and Conditions of Sale:Cash to seller / Arm's-length
Rental Data:N/A
Land Size:2,034,688 SF 46.71 acres Unit Price as Vacant:$4.28
Type Street:Interstate Highway Utilities:
Improvement Description:N/A
Improvement(s) Size:N/A (GBA) N/A (NRA)Unit Price as Improved:N/A
Condition and Functional Design
Current Use:Land Highest & Best Use:Commercial:Other
Date of Inspection:3/5/2025 Zoning:Flood Plain:
Attach additional information as necessary.
Appraiser:Brent Pitts, MAI, AI-GRS, R/W-AC March 13, 2025
(Typed, not signed)Date
January 13, 2023
NE/C IH-35W and Old Justin Road, Argyle, Denton County, TX
Lot 1, Block 1, Salmon Estates
Buyer Broker / Everette Newland
All available
N/A
Dallas 074-1A WWE
Denton N/A
Hugh Z Pruett Series VII, A Series of Henry Property
Development, LLC
CF Zone X
Rectangular shaped tract located north of Downtown Fort Worth along I35W. Site is zoned for community facilities which includes uses that are
open to the public like government offices, medical offices, school, recreational uses, and churches. Tract is located outside of the floodplain. This commercial tract has road frontage on three sides and has Argyle water available onsite.
Page 3.9
Form ROW-A-5S
(Rev. 11/11)
Page 4 of 5
COMPARABLE DATA SUPPLEMENT
District:Parcel No.:Highway:IH 35
County:ROW CSJ:
Land Sale 4 Improved Sale N/A Rental Data:N/A
Grantor/Lessor:Grantee/Lessee:
Date:Lat/Long:33.230173, -97.191466
Recording Information:2023-1051 Zip Code:76208
Address:
Legal Description:
Confirmed Price:$1,600,000 Verified with:
Terms and Conditions of Sale:Cash to seller / Arm's-length
Rental Data:N/A
Land Size:410,140 SF 9.4155 acres Unit Price as Vacant:$3.90
Type Street:Secondary Roadway Utilities:
Improvement Description:N/A
Improvement(s) Size:N/A (GBA) N/A (NRA)Unit Price as Improved:N/A
Condition and Functional Design
Current Use:Land Highest & Best Use:Commercial:Industrial
Date of Inspection:3/5/2025 Flood Plain:
Attach additional information as necessary.
Appraiser:Brent Pitts, MAI, AI-GRS, R/W-AC March 13, 2025
(Typed, not signed)Date
Wendell Jo Mullins Ring Power Corporation
February 22, 2023
South side of US-380, west of N. Western Blvd., Denton, Denton County, TX
Tract 16, Abstract A0148A, WM Bryan
Seller Broker / Gary Bisha (713) 683-0054
Dallas 074-1A WWE
Denton N/A
All Available
N/A
Zoning:Zone AE
This comparable represents a sale of vacant land for future commercial development.
LI
Page 3.10
Form ROW-A-5S
(Rev. 11/11)
Page 5 of 5
COMPARABLE DATA SUPPLEMENT
District:Parcel No.:Highway:IH 35
County:ROW CSJ:
Land Sale 5 Improved Sale N/A Rental Data:N/A
Grantor/Lessor:Grantee/Lessee:
Date:Lat/Long:33.267378, -97.180413
Recording Information:2021-106106 Zip Code:76240
Address:
Legal Description:
Confirmed Price:$3,307,858 Verified with:
Terms and Conditions of Sale:Cash to seller / Arm's-length
Rental Data:N/A
Land Size:1,028,757 SF 23.617 acres Unit Price as Vacant:$3.22
Type Street:Primary Roadway Utilities:
Improvement Description:N/A
Improvement(s) Size:N/A (GBA) N/A (NRA)Unit Price as Improved:N/A
Condition and Functional Design
Current Use:Land Highest & Best Use:Commercial:Industrial
Date of Inspection:3/5/2025 Zoning:Flood Plain:
Attach additional information as necessary.
Appraiser:Brent Pitts, MAI, AI-GRS, R/W-AC March 13, 2025
(Typed, not signed)Date
Denton N/A
Phase 18 Investments, LP CCS Denton Devco, LLC
June 11, 2021
West side of IH-35, north of Barthold Rd., Denton, Denton County, TX
Dallas 074-1A WWE
Property is located on the west side of IH35 in northern Denton. This comparable represents a purchase of two (2) adjoining tracts of vacant land for future commercial development. The property possesses level terrain and open pasture area.
Lot 1, Block A, I-35 Warehouse Addition
Seller Broker / Randall Schwimmer (214)
433-6408
All Available
N/A
GO Zone X
Sales Comparison Approach
Page 3.11
Analysis and Adjustment of Sales
Adjustments are based on a rating of each comparable sale in relation to the subject. The adjustment
process is typically applied through either quantitative or qualitative analysis, or a combination of both
analyses. Quantitative adjustments are often developed as dollar or percentage amounts, and are most
credible when there is sufficient data to perform a paired sales analysis.
While percentage adjustments are presented in the adjustment grid, they are based on qualitative
judgment rather than empirical research, as there is not sufficient data to develop a sound quantitative
estimate. Although the adjustments appear to be mathematically precise, they are merely intended to
illustrate an opinion of typical market activity and perception. With the exception of market conditions,
the adjustments are based on a scale, with a minor adjustment in the range of 5-10% and a substantial
adjustment considered to be 20% or greater.
The rating of each comparable sale in relation to the subject is the basis for the adjustments. If the
comparable is superior to the subject, its sale price is adjusted downward to reflect the subject’s relative
attributes; if the comparable is inferior, its price is adjusted upward.
Transactional adjustments are applied for property rights conveyed, financing, conditions of sale,
expenditures made immediately after purchase, and market conditions. In addition, property adjustments
include – but are not limited to – location, access/exposure, size, quality, effective age, economic and
legal characteristics, and non-realty components of value. Adjustments are considered for the following
factors, in the sequence shown below.
Transactional Adjustments
Real Property Rights Conveyed
The opinion of value in this report is based on a fee simple estate, subject only to the limitations imposed
by the governmental powers of taxation, eminent domain, police power and escheat, as well as non-
detrimental easements, community facility districts, and conditions, covenants and restrictions (CC&Rs).
No adjustments for this characteristic were required.
Financing Terms
In analyzing the comparables, it is necessary to adjust for financing terms that differ from market terms.
Typically, if the buyer retained third-party financing (other than the seller) for the purpose of purchasing
the property, a cash price is presumed and no adjustment is required. However, in instances where the
seller provides financing as a debt instrument, a premium may have been paid by the buyer for below-
market financing terms, or a discount may have been demanded by the buyer if the financing terms were
above market. The premium or discounted price must then be adjusted to a cash equivalent basis. The
comparable sales represented cash-to-seller transactions and, therefore, do not require adjustment.
Sales Comparison Approach
Page 3.12
Conditions of Sale
Adverse conditions of sale can account for a significant discrepancy from the sale price actually paid,
compared to that of the market. This discrepancy in price is generally attributed to the motivations of the
buyer and the seller. Certain conditions of sale are considered non-market and may include the following:
• a seller acting under duress (e.g., eminent domain, foreclosure);
• buyer motivation (e.g., premium paid for assemblage, certain 1031 exchanges);
• a lack of exposure to the open market;
• an unusual tax consideration;
• a sale at legal auction.
None of the comparable sales had atypical or unusual conditions of sale. Thus, adjustments are not
necessary.
Expenditures Made Immediately After Purchase
This category considers expenditures incurred immediately after the purchase of a property. The sales are
adjusted as necessary for expenditures after sale. Please refer to the comparable data supplement sheets
for additional information.
Market Conditions
A market conditions adjustment is applied when market conditions at the time of sale differ from market
conditions as of the effective date of value. Adjustments can be positive when prices are rising, or negative
when markets are challenged by factors such as a deterioration of the economy or adverse changes in
supply and/or demand in the market area.
In evaluating market conditions, changes between the comparable sale date and the effective date of this
appraisal may warrant adjustment; however, if market conditions have not changed, then no adjustment
is required.
The sales took place from June 2021 to October 2024. Market conditions have generally been
strengthening. The adjustment grid accounts for this trend with upward adjustments of 5% annually over
this period through the effective date of value.
Sales Comparison Approach
Page 3.13
Property Adjustments
Location
Factors considered in evaluating location include, but are not limited to, demographics, growth rates,
surrounding uses and property values.
All of the comparables are similar to the subject. No adjustments are necessary.
Size
Due to economies of scale, the market exhibits an inverse relationship between land area and price per
square foot, such that larger sites generally sell for a lower price per square foot than smaller lots, all else
being equal. To account for this relationship, applicable adjustments are applied for differences in land
area. The comparables that are larger than the subject are adjusted upward, and vice versa.
Sales 3 and 5 are adjusted upward for larger size.
Shape
This category accounts for the shape of the site influencing its overall utility and/or development
potential.
All of the comparables are similar to the subject. No adjustments are necessary.
Frontage/Access
Convenience to transportation facilities, ease of site access, and overall visibility of a property can have a
direct impact on property value. High visibility, however, may not translate into higher value if it is not
accompanied by good access. In general, high visibility and convenient access, including proximity to
major linkages, are considered positive amenities when compared to properties with inferior attributes.
Sales 2, 3, 4, and 5 are slightly superior to the subject with respect to frontage/access and are adjusted
downward.
Utilities
Sites with public utilities available are considered more desirable relative to properties requiring utility
extensions, or those that need a private well and/or septic system. Properties without public utilities
available typically require higher development costs, all else being equal.
All of the comparables are similar to the subject. No adjustments are necessary.
Topography
This category accounts for the grade of the land influencing its overall utility and/or development
potential.
All of the comparables are similar to the subject. No adjustments are necessary.
Floodplain
This category accounts for the impact of any flood plain influencing the overall development potential.
Sale 4 is adjusted upward for inferior floodplain characteristics.
Sales Comparison Approach
Page 3.14
Zoning/Use
This element of comparison accounts for government regulations that can affect the types and intensities
of uses allowable on a site. Moreover, this category includes considerations such as allowable density of
floor area ratio, structure height, setbacks, parking requirements, landscaping, and other development
standards.
All of the comparables are similar to the subject and no adjustments are necessary.
Easements
This category accounts for any easements or encumbrances that detrimentally impact the development
of a site.
All of the comparables are similar to the subject and no adjustments are necessary.
Based on our conversation with the neighboring owner, a portion of the property to the west was
previously under contract. A net land area of 3,452,110 square feet (79.250 acres) was under contract for
a reported contract price of $182,965.30/acre or $4.20 per square foot. The buyer planned on
constructing a distribution warehouse on this site; however, this contract has not closed after reportedly
being scheduled to close by March 2024. The area that was under contract is outlined in yellow on the
aerial map below.
Sales Comparison Approach
Page 3.15
Land Value Conclusion
Prior to adjustments, the sales reflect a range of $3.22 - $6.48 per square foot. After adjustment, the range
is $3.83 - $6.61 per square foot, with an average of $4.79 per square foot. Based on the subject’s overall
locational and physical features, a unit value conclusion of $5.00 is reasonable and supported. The
following table summarizes the conclusion of land value for the subject property.
Whole Property Land Value
Unit Price ($/SF)$5.00/SF
Land Area (SF)x 328,442 SF
Concluded Land Value $1,642,210
Form ROW-A-5 (Rev. 08/11)
Page CA 3.16
COST APPROACH
Estimated Replacement/Reproduction Cost
Improvement Number of Units $ per unit Cost New Value
$
Contributory Value of the Buildings $0
Accessory Improvements
$
Contributory Value of the Accessory Improvements $0
Site Improvements
Contributory Value of the Site Improvements $0
Contributory Value of All Improvements $0
Land Value 328442 SF @ 5 /SF=$1,642,210
Estimated Value by Cost Approach $N/A
<Depreciation>
Whole: Part to be Acquired: ☐Remainder After: ☐
The Cost Approach is not applicable in the valuation of the Whole Property.
Form ROW-A-5 (Rev. 08/11)
Page SCA 3.17
SALES COMPARISON APPROACH Whole: Part to be Acquired: ☐Remainder After: ☐
Land: ☐Improved:
VALUATION GRID Representative Comparable Sales
Subject Comp. No. 1 Comp. No. 2 Comp. No. 3 Comp. No. 4 Comp. No. 5
Grantor Grantor Grantor Grantor Grantor Grantor
Grantee Grantee Grantee Grantee Grantee Grantee
Date of Sale Sale Close Date Sale Close Date Sale Close Date Sale Close Date Sale Close Date
Unit Price ($/SF
GBA)#VALUE! #VALUE! #VALUE! #VALUE! #VALUE!
Relative Location Address, City, State Address, City, State Address, City, State Address, City, State Address, City, State
Sale Transaction Adjustments
Financing Cash to Seller Financing Financing Financing Financing Financing
0%0%0%0%0%
Conditions of Sale Arm's Length Conditions of Sale Conditions of Sale Conditions of Sale Conditions of Sale Conditions of Sale
0%0%0%0%0%
Market Conditions Stable Similar Similar Similar Similar Similar
0%0%0%0%0%0%
Adjusted Unit Value #VALUE! #VALUE! #VALUE! #VALUE! #VALUE!
Physical Adjustments
Similar Similar Similar Similar Similar
0%0%0%0%0%
Gross SF Gross SF Gross SF Gross SF Gross SF
0%0%0%0%0%
Similar Similar Similar Similar Similar
0%0%0%0%0%
Year Built Year Built Year Built Year Built Year Built
0%0%0%0%0%
Similar Similar Similar Similar Similar
0%0%0%0%0%
#VALUE! #VALUE! #VALUE! #VALUE! #VALUE!
0%0%0%0%0%
Parking Ratio Parking Ratio Parking Ratio Parking Ratio Parking Ratio
0%0%0%0%0%
Net Adjustment 0%0%0%0%0%
Indicated Unit Value #VALUE! #VALUE! #VALUE! #VALUE! #VALUE!
Estimated Unit Value:
Estimated Value by Sales Comparison Approach..................................................................N/A
Location N/S Barthold Road, 700
ft. west of IH 35,
D T D Size (GBA)10,062
Quality Average
Age / Condition –
Frontage / Access Average
Land to Building Ratio 32.64 to 1.0
Parking Ratio –
The Sales Comparison Approach is not applicable in the valuation of the Whole Property.
Form ROW-A-5 (Rev. 08/11)
Page IA 3.18
INCOME APPROACH
Rental Revenue $$
Reimbursements $
Other Income $
Potential Gross Income $
Vacancy 5.0%$$
Effective Gross Income $
Expenses
Taxes $/SF $
Insurance $/SF $
Repairs & Maintenance $/SF $
Management of EGI $
Reserves $/SF $
Other $/SF $
Total Expenses $
Net Operating Income $
Income Capitalized @ $
Plus: Value of Excess Land (if any)$
Estimated Value by Income Approach $N/A
Whole: Part to be Acquired: ☐Remainder After: ☐
The Income Capitalization Approach is not applicable in the valuation of the Whole Property.
Reconciliation and Conclusion of Value – Whole Property
Page 3.19
Reconciliation and Conclusion of Value – Whole Property
Reconciliation is the process of analyzing the relevance of the indicated values, resulting in a final value
estimate. The appraisers have documented all of the input data and briefly explained the methodology in
processing and/or analyzing this data. Insofar as the appraisers were able to determine, the data furnished
is from reliable sources and has been accepted as being accurate.
The Cost Approach assumes that an informed purchaser would pay no more than the cost of producing a
substitute property with the same utility. This approach is particularly applicable when the improvements
are relatively new and represent the highest and best use of the land, or when the property has unique
or specialized improvements for which there are few or no sales or rentals of comparable properties.
The Sales Comparison Approach is a comparison of known market transactions of similar properties.
When sufficient information is available in order to make a unit comparison, a supportable indication of
value can be obtained. The underlying economic factor in this approach is the Principle of Substitution,
which states that a prudent purchaser would pay no more for a property than the cost of acquiring an
equally desirable substitute property. This approach to value is most applicable when a sufficient number
of comparable sales are available.
The Income Capitalization Approach reflects the market’s perception of a relationship between a
property’s potential income and its market value, a relationship expressed as a capitalization rate. Direct
income capitalization is a method of converting a single year’s estimate of net operating income into an
indicated present value. This approach converts the anticipated benefits to be derived from the ownership
of property into a value indication through capitalization.
Applicability of Valuation Approaches
The value indications via each applicable approach and the final reconciliation of value for the whole
property is summarized in the following table.
Reconciliation - Whole Property
Sales Comparison Approach (Land)$1,642,210
Cost Approach N/A
Sales Comparison Approach (Improved)N/A
Income Approach N/A
Conclusion $1,642,210
Form ROW-A-5 (Rev. 08/11)
Page 4.0
PART TO BE ACQUIRED
Contributory Value of Improvements (Itemized)
Total Contributory Value of Improvements $
Easement 23,835 SF @ $2.50 /SF =$59,588
Fee 0 SF @ $5.00 /SF =$0
Total Land $
TOTAL VALUE AS A UNIT $
Highest and Best Use: Due to the shape and size of the partial acquisition, its use is limited to use in conjunction with the subject whole property. Because of this, the
highest and best use of the partial acquisition, as vacant, is for use in conjunction with the subject whole property.
0
59,588.00
59,588
REMAINDER BEFORE THE ACQUISITION
Contributory Value of Improvements (Itemized)
Total Contributory Value of Improvements $
Easement 23,835 SF @ $2.50 /SF =$59,587
Fee 304,607 SF @ $5.00 /SF =$1,523,035
Total Land $
TOTAL VALUE AS A UNIT $
1,582,622
1,582,622
0
Part Acquired
Page 4.1
Part Acquired
The following portion of the appraisal process deals directly with the valuation of the subject part
acquired. The part acquired is the portion of the subject that is acquired by eminent domain from the
whole property. The valuation of the part acquired is predicated on the market value of the property prior
to any acquisition and excludes the influence of the subject project.
Partial Acquisition Description
The easement is an area of 0.5472 acres or 23,835 square feet of land along the southern boundary of the
subject site. The easement has a maximum depth of 55.02 feet and length of 627.80 feet. There are minor
site improvements located within the proposed easement area. The site improvements include concrete
paving and concrete curbing. According to the client, these improvements will be replaced to an
equivalent or superior condition directly by the City of Denton as part of construction. Therefore, these
items are not included in the value of the part acquired and a cost to cure is not necessary. An aerial
exhibit and survey of the Part Acquired follows.
Part Acquired
Page 4.2
Aerial Photograph Showing Part Acquired
Part Acquired
Page 4.3
Survey
Part Acquired
Page 4.4
Survey
Highest and Best Use – Part Acquired
Page 4.5
Highest and Best Use – Part Acquired
Highest and best use may be defined as that reasonably probable and legal use of vacant land or improved
property that is physically possible, appropriately supported, and financially feasible that results in the
highest value. The four tests to develop adequate support for an opinion of highest and best use, applied
in order, are legal permissibility, physical possibility, financial feasibility, and maximum productivity.
As Vacant Analysis – Part Acquired
Due to its limited size, the area of the partial acquisition could not stand alone as a separate and
independent economic unit. The partial acquisition’s use is essentially limited to use in conjunction with
the whole property. As such, the highest and best use of the part acquired, as vacant, is for use in
conjunction with the subject whole property.
As Improved Analysis – Part Acquired
The highest and best use of the part acquired, as improved, is the same as that of the subject whole
property.
Valuation Methodology
In this instance, the subject part acquired consists of land only. As an integral part of the whole property,
the part acquired shares the same physical and economic characteristics. Because the highest and best
use of the part acquired is for use in conjunction with the subject whole property, the part acquired shares
the same per unit land value concluded in the valuation of the subject whole property and applied in the
valuation of the part acquired. The calculation of the value of the part acquired is summarized in the
following reconciliation discussion.
Land Value - Part Acquired
Since the economic unit analyzed to derive a value estimate for the Part Acquired is the same size as the
subject Whole Property, the same set of land sales are utilized in estimating the value of the Part Acquired
as were used in the analysis of the Whole Property. Therefore, the fee value of the Part Acquired is
estimated at $5.00 per square foot.
Since the subject acquisition is an easement and not a fee simple acquisition, a percentage of the fee
simple interest will remain with the property owner after the acquisition.
Valuation Methodology
Page 4.6
EASEMENT VALUATION MATRIX
As noted, the part to be acquired contains fee acquisitions and easement areas. The following chart (Right
of Way Magazine, “Easement Valuation”, Sherwood, May 2006) outlines a very basic analysis of typical
easement encumbrances. It can be used as a generic guide to analyze the extent of ownership the fee
owner loses as a result of the encumbrance brought about by an easement.
The subject Part Acquired is a proposed water and wastewater easement. The area within easement will
be accessible and site improvements will be permitted except for fencing. Therefore, a reasonable
percentage of the fee value attributable to the easement is 26% to 50%, leaving 74% to 50% of the fee
value with the property owner. In this case, 50% of the fee value has been attributed to the easement.
The combined Part Acquired contains a total of 0.5472 acres or 23,835 square feet. Therefore, the fee
land value of the Part Acquired is estimated at $59,588.
23,835 square feet X 50% X $5.00 per square foot = $59,588
Reconciliation – Part Acquired
The part acquired was valued as an integral component of the whole property. The value is based on its
pro rata contribution to the whole. As previously mentioned, the per unit value for the land and
improvements (if applicable) were previously calculated in the valuation of the whole property and are
applied in the valuation of the part acquired as follows.
Part Acquired
Land - Easement 23,835 SF @ $2.50 /SF =$59,588
Depreciated Value of Improvements $0
Total $59,588
Remainder Before
Page 4.7
Remainder Before
The remainder before is a mathematical calculation of the value of the whole property less the value of
the part acquired. The remainder before is compared to the value of the remainder after to determine
the amount of damages resulting from the acquisition, if any. The remainder before value is calculated
as follows.
Remainder Before
Whole Property $1,642,210
Less: Part Acquired ($59,588)
Value of Remainder Before Taking $1,582,622
Form ROW-A-5 (Rev. 08/11)
Page PVS 5.0
PROPERTY VALUATION SUMMARY
Part to be Acquired: ☐Remainder After:
HIGHEST AND BEST USE ANALYSIS: See Page 5.2
VALUATION APPROACHES
Insert value estimate, then describe, analyze, and support each approach as required.
Sales Comparison Approach (Land).......................................................................................$1,582,622
Cost Approach........................................................................................................................N/A
Sales Comparison Approach (Improved)...............................................................................N/A
Income Approach....................................................................................................................N/A
Reconciliation of Approaches to Value...............................................................................$1,582,622
$ -
Easement Value:23,835 SF @ $2.50 /SF =$59,587
Land Value:304,607 SF @ $5.00 /SF =$1,523,035
Reconciled Final Value............................................................................................................................................................$1,582,622
Each approach developed follows this page and is sequenced as Shown below.
Land Value,Cost Approach,Sales Comparison Approach, Income Approach,
pg. 5.3 pg. 5.4 pg. 5.5 pg. 5.6
Whole: ☐
Contributory Value of Improvements (Itemized)
Total Contributory Value of Improvements
Remainder After Valuation
Parcel 074-1A WWE Page 5.1
Remainder After Valuation
Following the acquisition, the remainder property will consist of 6.9928 acres (304,607 SF) of fee land and
23,835 square feet of water and wastewater easement for a total of 328,442 square feet. The remainder
after will have similar shape, frontage, and other physical characteristics as the subject whole property.
There will be no known denial of access on the remainder property according to the survey provided. The
aerial below represents the remainder property with the yellow outline being the easement and the red
outline as the remainder.
Highest & Best Use – Remainder After
Parcel 074-1A WWE Page 5.2
Highest & Best Use – Remainder After
Highest and best use may be defined as the reasonably probable and legal use of vacant land or an
improved property that is physically possible, appropriately supported, and financially feasible and that
results in the highest value. The four tests, applied in order, to develop adequate support for an opinion
of highest and best use are legal permissibility, physical possibility, financial feasibility and maximum
productivity.
As Vacant Analysis – Remainder After
The remainder is similar to the whole property with regard to location and physical characteristics. The
acquisition does not result in a change in highest and best use for the property as vacant. Therefore, the
highest and best use of the remainder is the same as that of the whole property, or commercial use.
As Improved Analysis – Remainder After
The subject property is appraised as vacant land and a highest and best-use “as improved” is not
warranted.
Valuation Methodology – Remainder After
The remainder after property will have similar size, physical characteristics, and highest and best use as
the subject whole property. As such, the valuation of the remainder after uses the same fundamental data
as the subject whole property valuation. The remainder after is valued on the following pages.
Form ROW-A-5 (Rev. 08/11)
Page SCA 5.3
SALES COMPARISON APPROACH Whole: ☐Part to be Acquired: ☐Remainder After:
Land: Improved: ☐
VALUATION GRID Representative Comparable Sales
Subject Comp. No. 1 Comp. No. 2 Comp. No. 3 Comp. No. 4 Comp. No. 5
Grantor Tillar Denton Partners, LP Mary Kathleen Wallace Hugh Z Pruett Wendell Jo Mullins Phase 18 Investments,
LP
Grantee Cycle Express, LLC, a
Delaware limited company
RAK Real Estate Equities
Corinth, LLC
Series VII, A Series of
Henry Property Development, LLC
Ring Power Corporation CCS Denton Devco,
LLC
Date of Sale 10/10/2024 1/27/2023 1/13/2023 2/22/2023 6/11/2021
Unit Price ($/SF)$6.48 $4.03 $4.28 $3.90 $3.22
Relative Location E Line Masch Branch Rd, S of US 380, Denton, TX 2950 Sandy Shores Rd., Corinth, TX NE/C IH-35W and Old Justin Road, Argyle, TX South side of US-380, west of N. Western Blvd.,
Denton, TX
West side of IH-35, north of Barthold Rd.,
Denton, TX
Sale Transaction AdjustmentsFinancingCash to Seller Similar Similar Similar Similar Similar0%0%0%0%0%Conditions of Sale Arm's Length Similar Similar Similar Similar Similar
0%0%0%0%0%
Market Conditions Improving Inferior Inferior Inferior Inferior Inferior
(5% annually)2%11%11%10%19%
Adjusted Unit Value $6.61 $4.47 $4.75 $4.29 $3.83
Physical Adjustments
Location Similar Similar Similar Similar Similar
0%0%0%0%0%
Size 7.5400 acres 14.530 acres 6.260 acres 46.710 acres 9.416 acres 23.617 acres
328,442 SF 632,926 SF 272,686 SF 2,034,688 SF 410,140 SF 1,028,757 SF
0%0%10%0%5%
Shape Similar Similar Similar Similar Similar0%0%0%0%0%Frontage/Access Similar Superior Superior Superior Superior0%-5%-5%-5%-5%Utilities Similar Similar Similar Similar Similar
0%0%0%0%0%
Topography Similar Similar Similar Similar Similar
0%0%0%0%0%
Floodplain Similar Similar Similar Inferior Similar
0%0%0%20%0%
Zoning/Use Similar Similar Similar Similar Similar
0%0%0%0%0%
Easements Similar Similar Similar Similar Similar
0%0%0%0%0%Net Adjustment 0%-5%5%15%0%Indicated Unit Value $6.61 $4.25 $4.99 $4.93 $3.83
Estimated Unit Value - Fee:$5.00
Remainder Size - Fee:x 304,607 SF
Remainder Land Value - Fee:$1,523,035
Estimated Unite Value - Easement:$2.50
Remainder Size - Easement:x 23,835 SF
Remainder Land Value - Easement:$59,587
Estimated Value by Sales Comparison Approach.......................................................................................$1,582,622
GO
Standard
N/S Barthold Road, 700
ft. west of IH 35, Denton, Texas
Rectangular
Average
In Vicinity
Level
Flood Zone X
The Remainder will have the same general locational and physical characteristics as existed in the Whole
Property. The same land sales and adjustments applicable for the Whole Property are applicable for the
remainder. For an explanation of Adjustments with Reconciliation, please see Section 3 for land sale
adjustment discussion which is applicable for the remainder after.
Form ROW-A-5 (Rev. 08/11)
Page CA 5.4
COST APPROACH
Estimated Replacement/Reproduction Cost
Improvement Number of Units $ per unit Cost New Value
SF @ /SF =$
Contributory Value of the Buildings $0
Accessory Improvements
SF @ /SF =$
Contributory Value of the Accessory Improvements $0
Site Improvements
SF @ /SF =$
Contributory Value of the Site Improvements $0
Contributory Value of All Improvements $0
Land Value 304,607 SF @ 5 /SF=$1,582,622
Estimated Value by Cost Approach $N/A
<Depreciation>
Whole: ☐Part to be Acquired: ☐Remainder After:
The Cost Approach is not applicable in the valuation of the Remainder After.
Form ROW-A-5 (Rev. 08/11)
Page SCA 5.5
SALES COMPARISON APPROACH Whole: ☐Part to be Acquired: ☐Remainder After:
Land: ☐Improved:
VALUATION GRID Representative Comparable Sales
Subject Comp. No. 1 Comp. No. 2 Comp. No. 3 Comp. No. 4 Comp. No. 5
Grantor Grantor Grantor Grantor Grantor Grantor
Grantee Grantee Grantee Grantee Grantee Grantee
Date of Sale Sale Close Date Sale Close Date Sale Close Date Sale Close Date Sale Close Date
Unit Price #VALUE! #VALUE! #VALUE! #VALUE! #VALUE!
Relative Location Address, City, State Address, City, State Address, City, State Address, City, State Address, City, State
Sale Transaction Adjustments
Financing Cash to Seller Similar Similar Similar Similar Similar
0%0%0%0%0%
Conditions of Sale Arm's Length Similar Similar Similar Similar Similar
0%0%0%0%0%
Market Conditions Stable Similar Similar Similar Similar Similar
0%0%0%0%0%0%
Adjusted Unit Value
Physical Adjustments
Similar Similar Similar Similar Similar
0%0%0%0%0%
Gross SF Gross SF Gross SF Gross SF Gross SF
0%0%0%0%0%
Similar Similar Similar Similar Similar
0%0%0%0%0%
Year Built Year Built Year Built Year Built Year Built
0%0%0%0%0%
Similar Similar Similar Similar Similar
0%0%0%0%0%
#VALUE! #VALUE! #VALUE! #VALUE! #VALUE!
0%0%0%0%0%
Parking Ratio Parking Ratio Parking Ratio Parking Ratio Parking Ratio
0%0%0%0%0%
Indicated Unit Value 0%0%0%0%0%
Estimated Unit Value:$0.00
Estimated Value by Sales Comparison Approach..................................................................N/A
Location N/S Barthold Road, 700 ft. west of IH 35, D T D Size (GBA)10,062
Quality Average
Age / Condition –
Frontage / Access Average
Land to Building
Ratio
32.64 to 1.0
Parking Ratio –
The Sales Comparison Approach - Improved is not applicable in the valuation of the Remainder After.
Form ROW-A-5 (Rev. 08/11)
Page IA 5.6
INCOME APPROACH
Rental Revenue $$
Reimbursements $
Other Income $
Potential Gross Income $
Vacancy 5.0%$$
Effective Gross Income $
Expenses
Taxes $/SF $
Insurance $/SF $
Repairs & Maintenance $/SF $
Management of EGI $
Reserves $/SF $
Other $/SF $
Total Expenses $
Net Operating Income $
Income Capitalized @ $
Plus: Value of Excess Land (if any)$
Estimated Value by Income Approach $N/A
Whole: ☐Part to be Acquired: ☐Remainder After:
The Income Capitalization Approach is not applicable in the valuation of the Remainder After.
Reconciliation – Remainder After
Page 5.7
Reconciliation – Remainder After
The reconciliation of value conclusions is the final step in the appraisal process and involves the weighing
of individual valuation techniques in relation to their substantiation by market data and the reliability and
applicability of each valuation technique to the subject property. Understanding the profiles of potential
buyers and their typical reliance on each approach to value strongly influences the weighting process.
The remainder is vacant land, and the Sales Comparison Approach (Land) is the only approach to value
completed.
Presentation of Value Conclusions
The following table summarizes our final opinion of the value of the remainder after. The effective date
of valuation in this report is March 5, 2025.
Reconciliation - Remainder After
Sales Comparison Approach (Land)$1,582,622
Cost Approach N/A
Sales Comparison Approach (Improved)N/A
Income Approach N/A
Conclusion $1,582,622
Form ROW-A-5 (Rev. 08/11)
Page 6.0
COMPENSATION SUMMARY
WHOLE PROPERTY:
The market value of the whole property is.......................................................................$1,642,210
PART TO BE ACQUIRED:
Considered as severed land, the fee simple title to the part being acquired
for highway purposes (less oil, gas and sulphur and subject to existing easements,
if any, which are not to be extinguished) is...................................................................................................$59,588
REMAINING PROPERTY:
The value of the remainder immediately before the taking is…......................................$1,582,622
Considering the uses to which the part taken is to be subjected
to, the market value of the remainder immediately after
the acquisition is...............................................................................................................$1,582,622
NET DAMAGES OR ENHANCEMENTS, if any....................................................................................................$0
ACCESS:
The lack of any access denial or the material impairment of direct access
on or off the remaining property affects the market value of the remaining
property in the sum of......................................................................................................$0
COST TO CURE.......................................................................................................................................................$0
TOTAL COMPENSATION....................................................................................................................................$59,588
EXPLANATION OF DAMAGES (if any):
Assumptions and Limiting Conditions
Assumptions and Limiting Conditions
This appraisal and any other work product related to this engagement are limited by the following
standard assumptions, except as otherwise noted in the report:
1. The title is marketable and free and clear of all liens, encumbrances, encroachments, easements
and restrictions. The property is under responsible ownership and competent management and
is available for its highest and best use.
2. There are no unknown existing judgments or pending or threatened litigation that could affect
the value of the property.
3. There are no hidden or undisclosed conditions of the land or of the improvements that would
render the property more or less valuable. Furthermore, there is no asbestos in the property.
4. The property is in compliance with all applicable building, environmental, zoning, and other
federal, state and local laws, regulations and codes.
5. The information furnished by others is believed to be reliable, but no warranty is given for its
accuracy.
This appraisal and any other work product related to this engagement are subject to the following limiting
conditions, except as otherwise noted in the report:
1. An appraisal is inherently subjective and represents our opinion as to the value of the property
appraised.
2. The conclusions stated in our appraisal apply only as of the effective date of the appraisal, and no
representation is made as to the effect of subsequent events.
3. No changes in any federal, state or local laws, regulations or codes (including, without limitation,
the Internal Revenue Code) are anticipated.
4. Unless otherwise noted, no environmental impact studies were either requested or made in
conjunction with this appraisal, and we reserve the right to revise or rescind any of the value
opinions based upon any subsequent environmental impact studies. If any environmental impact
statement is required by law, the appraisal assumes that such statement will be favorable and will
be approved by the appropriate regulatory bodies.
5. Unless otherwise agreed to in writing, we are not required to give testimony, respond to any
subpoena or attend any court, governmental or other hearing with reference to the property
without compensation relative to such additional employment.
6. We have made no survey of the property and assume no responsibility in connection with such
matters. Any sketch or survey of the property included in this report is for illustrative purposes
only and should not be considered to be scaled accurately for size. The appraisal covers the
property as described in this report, and the areas and dimensions set forth are assumed to be
correct.
7. No opinion is expressed as to the value of subsurface oil, gas or mineral rights, if any, and we have
assumed that the property is not subject to surface entry for the exploration or removal of such
materials, unless otherwise noted in our appraisal.
Assumptions and Limiting Conditions
8. We accept no responsibility for considerations requiring expertise in other fields. Such
considerations include, but are not limited to, legal descriptions and other legal matters such as
legal title, geologic considerations such as soils and seismic stability; and civil, mechanical,
electrical, structural and other engineering and environmental matters. Such considerations may
also include determinations of compliance with zoning and other federal, state, and local laws,
regulations and codes.
9. The distribution of the total valuation in the report between land and improvements applies only
under the reported highest and best use of the property. The allocations of value for land and
improvements must not be used in conjunction with any other appraisal and are invalid if so used.
The appraisal report shall be considered only in its entirety. No part of the appraisal report shall
be utilized separately or out of context.
10. Neither all nor any part of the contents of this report (especially any conclusions as to value, the
identity of the appraisers, or any reference to the Appraisal Institute) shall be disseminated
through advertising media, public relations media, news media or any other means of
communication (including without limitation prospectuses, private offering memoranda and
other offering material provided to prospective investors) without the prior written consent of
the persons signing the report.
11. Information, estimates and opinions contained in the report and obtained from third-party
sources are assumed to be reliable and have not been independently verified.
12. Any income and expense estimates contained in the appraisal report are used only for the
purpose of estimating value and do not constitute predictions of future operating results.
13. If the property is subject to one or more leases, any estimate of residual value contained in the
appraisal may be particularly affected by significant changes in the condition of the economy, of
the real estate industry, or of the appraised property at the time these leases expire or otherwise
terminate.
14. Unless otherwise stated in the report, no consideration has been given to personal property
located on the premises or to the cost of moving or relocating such personal property; only the
real property has been considered.
15. The current purchasing power of the dollar is the basis for the values stated in the appraisal; we
have assumed that no extreme fluctuations in economic cycles will occur.
16. The values found herein are subject to these and to any other assumptions or conditions set forth
in the body of this report but which may have been omitted from this list of Assumptions and
Limiting Conditions.
17. The analyses contained in the report necessarily incorporate numerous estimates and
assumptions regarding property performance, general and local business and economic
conditions, the absence of material changes in the competitive environment and other matters.
Some estimates or assumptions, however, inevitably will not materialize, and unanticipated
events and circumstances may occur; therefore, actual results achieved during the period covered
by our analysis will vary from our estimates, and the variations may be material.
18. The Americans with Disabilities Act (ADA) became effective January 26, 1992. We have not made
a specific survey or analysis of the property to determine whether the physical aspects of the
improvements meet the ADA accessibility guidelines. We claim no expertise in ADA issues, and
render no opinion regarding compliance of the subject with ADA regulations. Inasmuch as
Assumptions and Limiting Conditions
compliance matches each owner’s financial ability with the cost to cure the non-conforming
physical characteristics of a property, a specific study of both the owner’s financial ability and the
cost to cure any deficiencies would be needed for the Department of Justice to determine
compliance.
19. The appraisal report is prepared for the exclusive benefit of you, your subsidiaries and/or
affiliates. It may not be used or relied upon by any other party. All parties who use or rely upon
any information in the report without our written consent do so at their own risk.
20. No studies have been provided to us indicating the presence or absence of hazardous materials
on the subject property or in the improvements, and our valuation is predicated upon the
assumption that the subject property is free and clear of any environment hazards including,
without limitation, hazardous wastes, toxic substances and mold. No representations or
warranties are made regarding the environmental condition of the subject property. IRR - Fort
Worth , Integra Realty Resources, Inc., and their respective officers, owners, managers, directors,
agents, subcontractors or employees (the “Integra Parties”), shall not be responsible for any such
environmental conditions that do exist or for any engineering or testing that might be required to
discover whether such conditions exist. Because we are not experts in the field of environmental
conditions, the appraisal report cannot be considered as an environmental assessment of the
subject property.
21. The persons signing the report may have reviewed available flood maps and may have noted in
the appraisal report whether the subject property is located in an identified Special Flood Hazard
Area. However, we are not qualified to detect such areas and therefore do not guarantee such
determinations. The presence of flood plain areas and/or wetlands may affect the value of the
property, and the value conclusion is predicated on the assumption that wetlands are non-
existent or minimal.
22. We are not a building or environmental inspector. The Integra Parties do not guarantee that the
subject property is free of defects or environmental problems. Mold may be present in the subject
property and a professional inspection is recommended.
23. The appraisal report and value conclusions for an appraisal assume the satisfactory completion of
construction, repairs or alterations in a workmanlike manner.
24. IRR - Fort Worth is an independently owned and operated company. The parties hereto agree
that Integra shall not be liable for any claim arising out of or relating to any appraisal report or
any information or opinions contained therein as such appraisal report is the sole and exclusive
responsibility of IRR - Fort Worth . In addition, it is expressly agreed that in any action which may
be brought against the Integra Parties arising out of, relating to, or in any way pertaining to the
engagement letter, the appraisal reports or any related work product, the Integra Parties shall not
be responsible or liable for any incidental or consequential damages or losses, unless the appraisal
was fraudulent or prepared with intentional misconduct. It is further expressly agreed that the
collective liability of the Integra Parties in any such action shall not exceed the fees paid for the
preparation of the assignment (unless the appraisal was fraudulent or prepared with intentional
misconduct). It is expressly agreed that the fees charged herein are in reliance upon the foregoing
limitations of liability.
25. IRR - Fort Worth is an independently owned and operated company, which has prepared the
appraisal for the specific intended use stated elsewhere in the report. The use of the appraisal
report by anyone other than the Client is prohibited except as otherwise provided. Accordingly,
the appraisal report is addressed to and shall be solely for the Client’s use and benefit unless we
Assumptions and Limiting Conditions
provide our prior written consent. We expressly reserve the unrestricted right to withhold our
consent to your disclosure of the appraisal report or any other work product related to the
engagement (or any part thereof including, without limitation, conclusions of value and our
identity), to any third parties. Stated again for clarification, unless our prior written consent is
obtained, no third party may rely on the appraisal report (even if their reliance was foreseeable).
26. The conclusions of this report are estimates based on known current trends and reasonably
foreseeable future occurrences. These estimates are based partly on property information, data
obtained in public records, interviews, existing trends, buyer-seller decision criteria in the current
market, and research conducted by third parties, and such data are not always completely
reliable. The Integra Parties are not responsible for these and other future occurrences that could
not have reasonably been foreseen on the effective date of this assignment. Furthermore, it is
inevitable that some assumptions will not materialize and that unanticipated events may occur
that will likely affect actual performance. While we are of the opinion that our findings are
reasonable based on current market conditions, we do not represent that these estimates will
actually be achieved, as they are subject to considerable risk and uncertainty. Moreover, we
assume competent and effective management and marketing for the duration of the projected
holding period of this property.
27. All prospective value opinions presented in this report are estimates and forecasts which are
prospective in nature and are subject to considerable risk and uncertainty. In addition to the
contingencies noted in the preceding paragraph, several events may occur that could substantially
alter the outcome of our estimates such as, but not limited to changes in the economy, interest
rates, and capitalization rates, behavior of consumers, investors and lenders, fire and other
physical destruction, changes in title or conveyances of easements and deed restrictions, etc. It is
assumed that conditions reasonably foreseeable at the present time are consistent or similar with
the future.
Addenda
Addenda
Appraiser: David Brent Pitts
License #: TX 1380206 G License Expires: 01/31/2027
Chelsea Buchholtz
Executive Director
Certified General
Real Estate Appraiser
Having provided satisfactory evidence of the qualifications required
by the Texas Appraiser Licensing and Certification Act, Occupations
Code, Chapter 1103, authorization is granted to use this title:
Certified General Real Estate Appraiser
For additional information or to file a complaint please contact TALCB
at www.talcb.texas.gov.
DAVID BRENT PITTS
1228 KELPIE CT
FORT WORTH, TX 76111
PID 315333 | I35/BARTHOLD RD Property Summary Report | 2025
Online Services | Denton Central Appraisal District
Type:
GENERAL INFO
Exemptions:
Name:
Owner ID:
% Ownership:
ACCOUNT
Mailing Address:
Property ID:
Secondary Name:
Legal Description:
Agent:
Geographic ID:
Zoning:
OWNER
315333
A0683A-000-0008-0004
R
NORTHBRIDGE MANAGEMENT &
A0683A S.L. JOHNSON, TR 8A(PT),
7.54 ACRES, OLD DCAD TR 3B(1),6A
NORTHBRIDGE REALTY HOLDINGS LLC
& TLB3A INVESTMENTS LLC
1803920
212 S ELM ST DENTON TX US 76201-
6004
100.00Property Use:
Map ID:
Market Area CD:
LOCATION
Address:
Protest Status:
Market Area:
Informal Date:
PROTEST
Formal Date:
I35/BARTHOLD RD, DENTON TX
76207
CD09
DS05PASTUR
CURRENT VALUES
Appraised:
Value Limitation Adjustment (-):
Improvement Non-Homesite:
Total Land:
VALUES
Total Improvement:
Land Homesite:
Special Use Exclusion (-):
Market:
Net Appraised:
Improvement Homesite:
Land Non-Homesite:
Special Use Land Market:
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
VALUE HISTORY
AppraisedImprovement Net AppraisedYearValue Limitation Adj (-)Special Use ExclusionLand Market
2025 N/A N/AN/A N/A N/AN/A
2024 $0 $950,000$950,000 $950,000 $0$0
2023 $0 $950,000$950,000 $950,000 $0$0
2022 $0 $596,000$596,000 $596,000 $0$0
2021 $0 $397,332$397,332 $397,332 $0$0
VALUE HISTORY
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IMPROVEMENT
LAND
Cost per SQFTAcres Special Use ValueLandMarket ValueSQFTDescription
3 7.5400 N/APASTURE$4.00 N/A328,442.4
DEED HISTORY
Grantee/BuyerDescription InstrumentDeed Date Book IDGrantor/SellerType PageVolume
8/31/22 SPECIAL WD 2022-128054SWNORTHBRIDGE
REALTY HOLDINGS
NORTHBRIDGE
REALTY HOLDINGS
8/4/22 SPECIAL WD 2022-115677SWNORTHBRIDGE
REALTY HOLDINGS
BLUE BEACON
INTERNATIONAL
8/17/17 SPECIAL WD 2017-101448SWBLUE BEACON
INTERNATIONAL
H3H LLC
3/3/11 DEED
WITHOUT
2011-22008DWH3H LLCHLHTE-LYDA HILL
TRUST ETAL
11/22/10 QUIT CLAIM
DEED
2010-123247QDHLHTE-LYDA HILL
TRUST ETAL
HUNT,
HAROLDSON L JR
6/22/09 SPECIAL WD 2009-75411SWHUNT, HAROLDSON
L JR
HHEC SPINCO, LLC
TAXING UNITS
Description Taxable ValueTax Rate Net AppraisedUnit
N/A N/AC05N/ADENTON CITY OF
N/A N/AG01N/ADENTON COUNTY
N/A N/AS05N/ADENTON ISD
N/A N/AW04N/ACLEARCREEK WATERSHED AUTHORITY
DO NOT PAY FROM THIS ESTIMATE. This is only an estimate provided for informational purposes and may not include any special
assessments that may also be collected. Please contact the tax office for actual amounts.
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