Posted by cochise on April 20, 2008 at 17:52:54:
In Reply to: Re: Like Water Off a Gluck's Back, MAI, AI, Allan E. Gluck MAI posted by cochise on April 20, 2008 at 17:13:36:
"Mitigating factors in appraisal & valuation of contaminated real property." or How the Appraisal Institute, MAI'S, and Public Agencies ( Metropolitan Water District )in this case, Conspire to Steal your Property. This is a lengthly paper and we will attempt to analysize it step by step.
http://findarticles.com/p/articles/mi_qa3681/is_200007/ai_n8880072/pg_1
"LIMITING COSTS TO FUTURE OWNERS
"A basic premise of value is that it represents the value to a future owner. Contamination affects market value primarily due to environmental liability and costs that may be incurred by future owners. If a future owner may incur little or no cost or loss, there may be little or no reduction in market value."
Noncence, "market value" or "fair market value" have never suggested that it is the Appraisers Responsiblility to Predict a "value to future owners." In fact, this idiology is noware near truth. And the reader is directeded to the AI own publications for a defination for fair or market value.
Contamination, costs and liability, are born by the person who produced the Contamination.
ABOUT THE AUTHORS
Allan Gluck, MAI, is a member of the Appraisal Institute with his own appraisal firm in Los Angeles, California. (Email:agluck@pacbell.net)
Wayne Lusvardi is senior real estate representative, engineering division, Metropolitan Water District of Southern California. Gluck and Lusvardi have significant experience in the appraisal and valuation of contaminated properties. (Email: wlusvardi@mwd.dst.ca.us)
To be continued. Please feel fee to weigh in at any time.
Wayne Lusvardi is senior real estate representative, engineering division, Metropolitan Water District of Southern California.