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HOUSE_OVERSIGHT_018814

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General Information 4 . Purpose of the Appraisal The purpose of the appraisal is to develop an opinion of the market value of the leased fee (going concern) interest in the property as of the effective date of the appraisal, November 25, 2015. The [ date of the report is December 15, 2015. The appraisal is valid only as of the stated effective date or | dates. f Basis of Value | Market value is defined as: ' “The most probable price which a property should bring in a competitive and open market under all | conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of | a sale as of a specified date and the passing of title from seller to buyer under conditions whereby: e Buyer and seller are typically motivated; ¢ Both parties are well informed or well advised, and acting in what they consider their own a best interests; i e Areasonable time is allowed for exposure in the open market; e Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements ; comparable thereto; and e The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.” | (Source: Code of Federal Regulations, Title 12, Chapter |, Part 34.42[g]; also Interagency Appraisal and : Evaluation Guidelines, Federal Register, 75 FR 77449, December 10, 2010, page 77472) | Definition of Property Rights Appraised Leased fee interest is defined as, “A freehold (ownership interest) where the possessory interest has ‘ been granted to another party by creation of a contractual landlord-tenant relationship (i.e., a lease).” : Lease is defined as, “A contract in which rights to use and occupy land or structures are transferred by : the owner to another for a specified period of time in return for a specified rent

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