Patchin Messner Dodd & Brumm MemoCity of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 2
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Sketch of Prairie Style Building
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 3
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
CHASKA SUBJECT AERIAL
N
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 4
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Our research revealed water treatment facilities in residential neighborhoods in the cities of
Chaska, Savage, Plymouth, Victoria, Edina and Eagan. As previously described, we researched
sales of residential property in close proximity to these water treatment facilities in other
municipalities, in order to compare those sales to sales of properties in the same neighborhood
that are more distant from the water treatment facilities. These comparisons are completed in
order to determine if there is a measurable decrease in value to those properties adjacent, or in
close proximity, to water treatment facilities.
Chaska
Following is a photograph of the existing Chaska facility. As illustrated on the aerial on the
following page, this water treatment facility is located in a residential neighborhood, and is
also adjacent to an additional municipal building. The only sale proximate to the treatment
facility was lender-owned, so we were unable to do a comparison in the Chaska area. In
addition to the aerial located on the following page, a half-section map is located on page 6,
which depicts the sales search area.
Chaska
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 5
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
CHASKA SUBJECT AERIAL
N
SU
B
J EC
T
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 7
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Savage
Following is a photograph of the existing Savage facility. As illustrated on the aerial on the
following page, this water treatment facility is located in a residential neighborhood. After
searching the area summarized on the half-section map on page 9, one listing was found
proximate to the treatment facility, and an additional 13 sales were found in the neighboring
area. Although Sale 4 is also proximate to the water treatment facility, this sale is not located
on the same roadway, and does not have primary visibility to the facility.
The sales are summarized in grid format on page 10 and, after adjusting all sales for market
conditions to September 2, 2016, there is no discernible reduction in value due to being
located near the water treatment facility.
Savage
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 8
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
SAVAGE SUBJECT AERIAL
N
SU
B
J EC
T
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 10
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Savage
Date Land Finished Sale Sale Price Adj.
of Sale Size SF Price for Mkt. Cond.
1 8124 Foxberry Bay Active 0.40 AC 3,444 $445,000 $445,000
Averages 0.40 AC 3,444 $445,000 $445,000
Sales Further from Water Treatment Plant
2 13683 Ashcroft Alcove Pending 0.37 AC 3,240 $374,900 $374,900
3 8135 Foxberry Bay May-16 0.38 AC 3,201 $384,900 $390,593
4 8225 Carriage Hill Road Sep-15 0.25 AC 3,008 $405,000 $421,420
5 13424 Foxberry Road Aug-15 0.40 AC 3,091 $379,069 $395,476
6 8693 Carriage Hill Draw Jul-15 0.35 AC 3,312 $405,000 $423,639
7 8645 Carriage Hill Court Jul-15 0.30 AC 3,024 $375,500 $392,781
8 13460 Foxberry Road Jun-15 0.26 AC 3,180 $359,000 $376,506
9 8661 Carriage Hill Road May-15 0.31 AC 3,090 $360,900 $379,487
10 8236 Carriage Hill Road Jan-15 0.32 AC 3,154 $328,000 $348,487
11 8143 Foxberry Bay Jan-15 0.31 AC 3,600 $403,000 $428,172
12 8131 Foxberry Bay Dec-14 0.27 AC 2,951 $333,000 $355,569
13 8600 Carriage Hill Road Jul-14 0.36 AC 3,496 $350,637 $383,716
14 8673 Carriage Hill Road May-14 0.29 AC 3,124 $369,000 $407,733
Averages Apr-15 0.32 AC 3,190 $371,377 $390,652
Savage
Improved Sale
Sales Near Water Treatment Plant
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 11
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Plymouth
Following is a photograph of the existing Plymouth facility. As illustrated on the aerial on the
following page, this water treatment facility is located in a residential neighborhood. After
searching the area summarized on the half-section map on page 13, two sales were found
proximate to the treatment facility, and an additional six sales were found in the neighboring
area.
The sales are summarized in grid format on page 14 and, after adjusting all sales for market
conditions to September 2, 2016, there is no discernible reduction in value due to being
located near the water treatment facility.
Plymouth
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 12
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
PLYMOUTH SUBJECT AERIAL
N
SU
B
J EC
T
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 14
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Plymouth
Date Land Finished Sale Sale Price Adj.
of Sale Size SF Price for Mkt. Cond.
1 11300 42nd Place N. Sep-15 0.40 AC 3,304 $407,000 $417,515
2 11310 42nd Place N. Jun-15 0.28 AC 3,137 $399,900 $409,213
Averages Jul-15 0.34 AC 3,221 $403,450 $413,364
Sales Further from Water Treatment Plant
3 11440 42nd Avenue N. Aug-16 0.50 AC 3,022 $390,000 $391,425
4 11570 42nd Place N. May-16 0.30 AC 3,461 $427,150 $433,393
5 4265 Deerwood Lane N. Oct-14 0.31 AC 3,118 $414,810 $426,444
6 11455 42nd Avenue N. Oct-14 0.26 AC 2,742 $374,662 $385,170
7 11450 42nd Avenue N. Sep-14 0.48 AC 3,257 $394,900 $407,160
8 4275 Cottonwood Lane N. Feb-14 0.28 AC 2,609 $406,000 $427,134
Averages Apr-15 0.36 AC 3,035 $401,254 $411,788
Plymouth
Improved Sale
Sales Near Water Treatment Plant
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 15
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Victoria
Following is a photograph of the existing Victoria facility. As illustrated on the aerial on the
following page, this water treatment facility is located in a residential neighborhood, and is
also adjacent to a municipal fire station. There were no sales from January 2014 to the present
that were adjacent or in close proximity to the water treatment facility. In addition to the aerial
located on the following page, half-section maps are located on pages 17 and 18, which depict
the sales search area.
Victoria
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 16
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
VICTORIA SUBJECT AERIAL
N
SU
B
J EC
T
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 19
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Edina
Following is a photograph of the existing Edina facility. As illustrated on the aerial on the
following page, this water treatment facility is located in a residential neighborhood. After
searching the area summarized on the half-section map on page 21, four sales were found
proximate to the treatment facility, and an additional 18 sales were found in the neighboring
area.
The sales are summarized in grid format on page 22 and, after adjusting all sales for market
conditions to September 2, 2016, there is no discernible reduction in value due to being
located near the water treatment facility.
Edina
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 20
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
EDINA SUBJECT AERIAL
N
SU
B
J EC
T
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 22
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Edina
Date Land Finished Sale Sale Price Adj.
of Sale Size SF Price for Mkt. Cond.
1 301 Monroe Avenue S. Pending 0.18 AC 1,680 $265,000 $265,000
2 312 VanBuren Avenue S. Jul-16 0.15 AC 1,238 $205,000 $206,133
3 303 Monroe Avenue S. Jul-16 0.17 AC 1,668 $262,150 $263,599
4 309 Monroe Avenue S. May-15 0.19 AC 1,848 $258,000 $260,852
Averages Feb-16 0.17 AC 1,609 $247,538 $248,896
Sales Further from Water Treatment Plant
5 6655 2nd Street S. Pending 0.21 AC 1,899 $235,000 $235,000
6 417 Monroe Avenue S. Active 0.19 AC 1,516 $275,000 $275,000
7 418 VanBuren Avenue S. Aug-16 0.19 AC 1,800 $270,000 $270,746
8 409 Jackson Avenue S. Aug-16 0.19 AC 1,130 $214,000 $214,591
9 400 VanBuren Avenue S. Aug-16 0.14 AC 1,688 $264,500 $265,231
10 423 Monroe Avenue S. Aug-16 0.20 AC 1,753 $285,300 $286,089
11 419 Madison Avenue S. Jul-16 0.15 AC 1,248 $228,228 $229,490
12 404 Monroe Avenue S. Apr-16 0.19 AC 1,510 $233,900 $237,132
13 418 VanBuren Avenue S. Aug-15 0.19 AC 1,800 $232,000 $237,272
14 422 VanBuren Avenue S. Jul-15 0.19 AC 1,474 $211,000 $215,821
15 420 Jackson Avenue S. May-15 0.18 AC 1,446 $242,740 $248,346
16 404 VanBuren Avenue S. Nov-14 0.14 AC 1,620 $205,000 $211,243
17 417 Monroe Avenue S. Sep-14 0.19 AC 1,516 $224,070 $232,432
18 405 Madison Avenue S. Sep-14 0.14 AC 1,200 $230,000 $238,584
19 409 VanBuren Avenue S. Jul-14 0.24 AC 1,607 $270,000 $281,931
20 401 Madison Avenue S. Jul-14 0.13 AC 1,856 $226,883 $236,909
21 424 Harrison Avenue S. Jun-14 0.14 AC 1,650 $230,080 $241,037
22 303 VanBuren Avenue S. Mar-14 0.17 AC 1,646 $212,850 $289,985
Averages Jun-15 0.18 AC 1,576 $238,364 $247,047
Edina
Improved Sale
Sales Near Water Treatment Plant
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 23
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Eagan
Following is a photograph of the existing Eagan facility. As illustrated on the aerial on the
following page, this water treatment facility is located in a residential neighborhood. After
searching the area summarized on the half-section map on page 25, one sale was found
proximate to the treatment facility, and an additional 12 sales were found in the neighboring
area.
The sales are summarized in grid format on page 26 and, after adjusting all sales for market
conditions to September 2, 2016, the average price of the sales less proximate to the water
treatment facility is slightly higher than the sale price of the property that sold nearest the
facility. However, it is noted that the water treatment facility in Eagan is part of a large
municipal complex, and it is not possible to discern whether or not the slight difference in sale
prices is due to the location of the water treatment facility.
Eagan
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 24
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
EAGAN SUBJECT AERIAL
N
SU
B
J EC
T
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 26
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Water Treatment Facilities in Surrounding Municipalities
Eagan
Date Land Finished Sale Sale Price Adj.
of Sale Size SF Price for Mkt. Cond.
1 3489 Saint Charles Place Apr-16 0.21 AC 1,992 $247,000 $251,545
Averages Apr-16 0.21 AC 1,992 $247,000 $251,545
Sales Further from Water Treatment Plant
2 1597 Boardwalk Jul-16 0.21 AC 2,032 $274,850 $276,873
3 3491 Coachman Road May-16 0.21 AC 1,895 $262,000 $265,857
4 1588 Pacific Avenue May-16 0.33 AC 1,780 $260,000 $263,827
5 3494 Coachman Road Apr-16 0.47 AC 1,800 $272,500 $277,514
6 1580 Pacific Avenue Dec-15 0.25 AC 1,600 $217,500 $224,337
7 3514 Coachman Road Jul-15 0.35 AC 1,560 $230,100 $239,626
8 1669 Boardwalk Jul-15 0.23 AC 1,856 $270,000 $281,177
9 3576 Baltic Avenue Jan-15 0.29 AC 1,857 $229,800 $242,061
10 3578 Coachman Road Oct-14 0.20 AC 1,860 $219,900 $234,567
11 3506 Coachman Road Sep-14 0.79 AC 1,600 $217,000 $232,438
12 3486 Coachman Road Jun-14 0.40 AC 2,000 $242,000 $262,446
13 1665 Boardwalk May-14 0.20 AC 1,750 $238,000 $259,166
Averages Jun-15 0.33 AC 1,799 $244,471 $254,991
Eagan
Improved Sale
Sales Near Water Treatment Plant
City of Chanhassen
Proposed West Water Filtration Plant
September 6, 2016
Page 27
PATCHIN MESSNER DODD & BRUMM
Valuation Counselors
Summary
The data summarized in this memorandum suggest that there is no discernible decrease in
value to properties located in close proximity to a water treatment facility.