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Item C26C.26 BOARD OF COUNTY COMMISSIONERS C ounty of M onroe Mayor Sylvia Murphy, District 5 Mayor Pro Tem Danny Kolhage, District 1 TheFloridaKeys Michelle Coldiron, District 2 Heather Carruthers, District 3 David Rice, District 5 County Commission Meeting December 19, 2018 Agenda Item Number: C.26 Agenda Item Summary #5024 BULK ITEM: Yes DEPARTMENT: Airports TIME APPROXIMATE: STAFF CONTACT: Richard Strickland (305) 809-5200 none AGENDA ITEM WORDING: Approval of First Amendment to Master Lease Agreement between Coast FBO, LLC (d/b/a Marathon General Aviation) and the Florida Keys Marathon International Airport to increase the monthly rent to $11,500.00 based on a fair market value appraisal. ITEM BACKGROUND: consolidated Master Lease agreement with Coast FBO, LLC (dba Marathon General Aviation). Per the terms of the Master Lease, if the FBO completed construction of the East Hangar pursuant to the terms of subparagraph 5) (b) then the rent for the leased premises would be set at fair market value on April 5, 2018 as determined by an appraisal of the premises along with all improvements thereon. th The East Hangar was completed on May 8, 2017 and a Certificate of Occupancy was executed on th May 17, 2017; subsequently the term of the Master Lease Agreement was extended to April 5, 2041. A fair market value appraisal of the leasehold and improvements was completed and submitted to the Airport on January 25, 2018. PREVIOUS RELEVANT BOCC ACTION: April 20, 2016 Master Lease Agreement. August 16, 2017 Lease extension of Master Lease Agreement. CONTRACT/AGREEMENT CHANGES: amendment to increase monthly rent to $11,500.00 based on a fair market value appraisal. STAFF RECOMMENDATION: Approval. DOCUMENTATION: Coast FBO (Marathon General Aviation) First Amendment FINANCIAL IMPACT: Effective Date: 12/19/2019 Packet Pg. 857 C.26 Expiration Date: April 5, 2041 Total Dollar Value of Contract: Total Cost to County: N/A Current Year Portion: Budgeted: Yes Source of Funds: CPI: Indirect Costs: Estimated Ongoing Costs Not Included in above dollar amounts: Revenue Producing: Yes If yes, amount: $11,500.00 monthly plus tax and $0.10 per gallon of fuel sold. Grant: County Match: Insurance Required: Additional Details: REVIEWED BY: Beth Leto Completed 12/03/2018 4:26 PM Richard Strickland Skipped 12/04/2018 8:07 AM Pedro Mercado Completed 12/04/2018 10:14 AM Budget and Finance Completed 12/04/2018 2:54 PM Maria Slavik Completed 12/04/2018 3:04 PM Kathy Peters Completed 12/04/2018 3:21 PM Board of County Commissioners Pending 12/19/2018 9:00 AM Packet Pg. 858 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 859 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 860 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 861 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 862 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 863 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 864 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 865 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 866 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 867 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 868 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 869 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 870 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 871 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 872 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 873 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 874 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 875 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 876 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 877 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 878 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 879 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 880 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 881 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 882 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 883 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 884 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 885 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 886 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 887 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 888 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 889 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 890 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 891 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 892 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 893 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 894 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 895 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 896 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 897 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 898 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 899 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 900 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 901 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 902 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 903 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 904 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 905 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 906 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 907 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 908 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 909 C.26.a Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Packet Pg. 910 C.26.a Marathon General Aviation - Exhibit BBOCC - APPRAISALREPORT RestrictedAppraisalReport PropertyCommonlyKnownas: M ARATHON G ENERAL A VIATION FBO F LORIDA K EYS M ARATHON I NTERNATIONAL A IRPORT 9850O VERSEAS H IGHWAY M ARATHON,F LORIDA 33050 PropertyType: A IRPORT F IXED B ASE O PERATOR PreparedFor: M R.T HOMAS J.H ENDERSON A SSISTANT D IRECTOROF A IRPORTS F LORIDA K EYS M ARATHON I NTERNATIONAL A IRPORT 9400O VERSEAS H IGHWAY M ARATHON,F LORIDA 33050 Inspection&ValuationDate: January25,2018 PreparedBy: JamesE.Wilson,MRICS,PresidentRichardPadron,CCIM,MSA State-certifiedgeneralrealestateappraiserState-certifiedgeneralrealestateappraiser RZ2164RZ544 Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) APPRAISALCOMPANYOFKEYWEST 3144NorthsideDrive,Suite201 KeyWest,Florida33040 OURFILENO.:104-18 Packet Pg. 911 C.26.a February23,2018 Mr.ThomasJ.Henderson AssistantDirectorofAirports FloridaKeysMarathonInternationalAirport 9400OverseasHighway Marathon,Florida33050 RE:FairMarketRentAnalysis MarathonGeneralAviationFBO FloridaKeysMarathonInternationalAirport 9850OverseasHighway Marathon,Florida33050 OurFileNo.:104-18 DearMr.Henderson: Wehaveperformedanappraisalassignmenttoestimatethemarketrentfortheabovereferenced property,commonlyknownasaportionoftheMarathonGeneralAviationFBOlocatedattheFlorida KeysMarathonInternationalAirport.MarketRentistherentalincomethatapropertywouldmostlikely receiveintheopenmarketasindicatedbycurrentrentspaidandaskedforcomparablespace. ThesubjectpropertyconsistsanexistingfixedbaseoperatorlocatedintheFloridaKeysMarathon InternationalAirport.Thesubjectsitedimensionsare1,500feetinlengthby250feetindepth,atotal of375,000squarefeetor8.61acres.Thesubjectiscurrentlyimprovedwiththreebuildings.Themain buildinghasatwo-storyreception/officeareaattachedtoa150footby100foothanger.Thisbuilding hasatotalof21,486squarefeet.ThesecondbuildingwhichwasseverelydamagedduringHurricane Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) IrmaisCBS/masonrywhichwasutilizedforcharterservicecontains600squarefeet.Thethirdbuilding isanengineeredfreespanmetalbuildingwhichmeasures100feetby72feetutilizedasahanger.The totalgrossbuildingareais29,286squarefeet. ThesubjectpropertyislocatedinthesoutheasterlyquadrantoftheFloridaKeysMarathonInternational Airport.Asurveyandbuildingplanswerenotmadeavailable.Theappraisersutilizedfielddimensions takenduringoursitevisitaswelltheMonroeCountyPropertyAppraisersRecords.Asiteplanofthe subjectpropertywasprovidedandincludedintheaddendumsectionofthisreport. Packet Pg. 912 C.26.a Mr.ThomasJ.Henderson,AssistantDirectorofAirports FloridaKeysMarathonInternationalAirport February23,2018 Page2 BasedonanalysisofmarketrentalratesforsimilarFBOlandleaseswithinthesubject'smarketarea,it isouropinionthatonJanuary25,2018,whenasitevisitandmarketanalysisofthesubjectpropertywas made,commonlyknownasMarathonGeneralAviationFBO,9850OverseasHighway,Marathon, Florida,thattheFairMarketRent,onamodifiedgrossbasis,isasfollows: FairAnnualMarketBaseRent(Rounded):$138,000.00 FairMonthlyMarketBaseRent(Rounded):$11,500.00 FairAnnualBaseRent/Sq.Ft.ofLandArea:$0.368 ModifiedGrosstermsrequirethetenanttoberesponsibleforallutilitiesincludingelectric,water,sewer, solidwastecollection,telecommunicationsservice,buildingandhazardinsuranceandnormalcleaning serviceandroutinemaintenanceofthepremises,whilethelandlordisresponsibleforrealestatetaxes, propertymanagementandreserves.However,becausethesubjectpropertyislocatedonagovernment agencysitethereisnorealpropertytaxburden. Arestrictedappraisalreportisattached.Further,documentationandsupportingdataareretainedwithin theappraisers'workfiles.Ifyouhaveanyquestionsregardingthisappraisalreport,pleasefeelfreeto contactus.Thankyouforgivingustheopportunitytoprovidethisserviceforyou.Thistransmittal lettermustremainattachedtothereport,whichcontains34pagesincludingrelatedexhibits,inorder forthevalueopinionsetforthtobeconsideredvalid. Sincerely, JamesE.Wilson,MRICS,PresidentRichardPadron,CCIM,MSA Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) State-certifiedgeneralrealestateappraiserState-certifiedgeneralrealestateappraiser RZ2164RZ544 email:jim@fla-keysappraisals.comemail:richardp@fla-keysappraisals.com Packet Pg. 913 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis RESTRICTEDAPPRAISALREPORT ThisisaRestrictedAppraisalReportwhichisintendedtocomplywiththereportingrequirementsset forthunderS.R.2-2(b)oftheUniformStandardsofProfessionalAppraisalPractice.Assuch,it presentslimiteddiscussionofthedata,reasoning,andanalysesthatwereusedintheappraisalprocess todeveloptheappraiser'sopinionofvalue.Supportingdocumentationconcerningthedata,reasoning, andanalysesisretainedintheappraiser'soriginalfile.Thedepthofdiscussioncontainedinthisreport isspecifictotheneedsoftheclientandfortheintendedusestatedlaterinthereport.Theappraisersare notresponsibleforunauthorizeduseofthisreport. Furthermore,inaccordancewithprioragreementbetweentheclientandtheappraiserstheCost,Sales ComparisonandIncomeApproachesarenotconsideredduetothescopeofwork.Allorsomeofthese approachesmaygenerallybeconsideredmeaningfulinappraisingapropertyofthistype;however,the assignmentwastoindicateonlytheFairMarketRentforthesubjectproperty. CLIENT:Mr.ThomasJ.Henderson AssistantDirectorofAirports FloridaKeysMarathonInternationalAirport 9400OverseasHighway Marathon,Florida33050 APPRAISERS:Mr.RichardPadron,CCIM,MSA State-certifiedgeneralrealestateappraiser RZ544 JamesE.Wilson,MRICS,President State-certifiedgeneralrealestateappraiser RZ1627 SUBJECT:MarathonGeneralAviationFBO FloridaKeysMarathonInternationalAirport Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) Marathon,Florida33050 AppraisalCompanyofKeyWestPage1 Packet Pg. 914 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SCOPEOFWORK:Thescopeofworkfortheattachedappraisalassignmentincludesasitevisitand toestimatetheMarketRentbasedonamodifiedgrossbasis.Allappraisalsbeginbyidentifyingthe subjectproperty(propertytobeappraised)andtheappraisalproblem.Alldatarelevanttothesubject propertyareobtainedfromvarioussourcesandcollected.Next,therentcomparablesareresearchedand analyzedandusedinpreparingthereportinsupportingtheindicatedvalue. PURPOSEOFTHEAPPRAISAL:ToestimatetheFairMarketRentforthesubjectpropertyknown astheMarathonGeneralAviationFBOincludingthenew7,200squarefoothanger. MarketRentisdefinedas“Themostprobablerentthatapropertyshouldbringinacompetitive andopenmarketreflectingallconditionsandrestrictionsofthespecifiedleaseagreement, includingpermitteduses,userestrictions,andexpenseobligations,terms,concessions,renewal andpurchaseoptions,andtenantimprovement.” th TheDictionaryofRealEstateAppraisal,6Edition,aspublishedbytheAppraisalInstitutein 2015. Thisreportcontainstheresultsofourinvestigationandanalysismadeinordertofurnishanestimateof the"AsIs"MarketRentoftheFeeSimpleInterestofthepropertydescribedherein.TheFeeSimple Interestistheunencumberedvalueofthesubjectproperty;basically,marketrentsandtermsare consideredwithnoregardtoexistingleasesandterms. INTENDEDUSEANDINTENDEDUSEROFTHEREPORT:TheintendeduserisMr.Thomas J.Henderson,AssistantDirectorofAirports,FloridaKeysMarathonInternationalAirport,Countyof Monroe,Florida.TheintendeduseisforthesolepurposeofassistingtheMonroeCountyAssistant DirectorofAirportsinleasenegotiationsforthesubjectproperty. LEGALDESCRIPTION:AtractoflandinaPartoftheFloridaKeysMarathonInternationalAirport PropertyintheCityofMarathon,Floridaasdescribedintheattachedsiteplan,whichisincludedinthe Addendumsectionofthisreport.AccordingtoGoogleEarth,theLatitudeandLongitudeforeachcorner Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) oftheproposedsiteindicatedbyis: NorthwestCorner-24°43’36.09”N 81°02’51.56”W AppraisalCompanyofKeyWestPage2 Packet Pg. 915 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis NortheastCorner-24°43’42.08”N 81°02’36.51”W SouthwestCorner-24°43’34.16”N 81°02’50.64”W SoutheastCorner-24°43’39.64”N 81°02’25.33”W Asiteplanofthesubjectpropertywasprovidedbytheclient.Accordingtothesiteplan,thesubject propertyfronts1,500linearfeetalongtheserviceroadtotheFloridaKeysMarathonInternational AirportwhichrunsparalleltotheOverseasHighwayand250feetindepthforatotalof375,000square feetor8.61acres. INTERESTVALUED:FairMarketRent EFFECTIVEDATEOFVALUE:January25,2018 APPRAISALDEVELOPMENTANDREPORTINGPROCESS: InpreparingthisrestrictedappraisalreporttodeterminetheFairMarketRentforthesubjectproperty, weresearchedmarketrentofcomparablecommercialusepropertiesinthesubject’smarketarea.The subjectpropertyconsistsofa375,000squarefootor8.61acresitethatiscurrentlyimprovedwiththree buildingutilizedasanairportfixedbaseoperator.Themainbuildingwhichconsistsofanengineered metalfree-spanstructurethatincorporatesatwo-storyreception/officeareaattachedtoa150footby100 footairplanehanger.Thisbuildinghasatotalof21,486squarefeetofgrossbuildingarea.Thesecond buildingisaCBS/masonrystructurecontains600squarefeetofgrossbuildingarea.Thisbuildingwas severelydamagedduringHurricaneIrmaandwasformerlyutilizedforcharterservices.Accordingto Mr.ThomasJ.Henderson,AssistantDirectorofAirports,thelesseeisgoingtorenovatethisbuilding. Thethirdbuildingisanengineeredfree-spanmetalstructurewhichmeasures100feetby72feet,atotal Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) of7,200squarefeet,thatisutilizedasanaircrafthanger.Thetotalgrossbuildingareais29,286square feet. ThesubjectpropertyislocatedonthesoutheasternquadrantoftheFloridaKeysMarathonInternational Airport.ThesubjectisaccessedfromaserviceroadthatisparalleltotheOverseasHighwayin AppraisalCompanyofKeyWestPage3 Packet Pg. 916 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis Marathonorbythetaxiwayoftheairport. FairMarketRentAnalysis: CommercialFBOandaircrafthangerleasewithinthemarketareawereresearchedinordertoanalyze therentalratesonanannualrentalratepersquarefootoflandareaandgrossbuildingareaperannum. RecentlynegotiatedleaseswithintheFloridaKeysmarketareawereavailable.First,weanalyzed comparableFBOrentswithintheFloridaKeysMarathonInternationalAirportandKeyWest InternationalAirport.Ouranalysisisforthebaserentwhichincludesthebuildingandgroundlease only,butdoesnotincludetheextrafuelfeeorparkingfeeinthecurrentleases.Therentcomparables consideredaresummarizedonthefollowingpage: Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage4 Packet Pg. 917 Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) C.26.a Page5 Packet Pg. 918 Term Lease 5.9%ModifiedGross8.3%ModifiedGross6.4%ModifiedGross 7.8% 35.9%ModifiedGross20.9%ModifiedGross* $1.25$8.93$0.42$7.14$0.24$4.13$3.76$17.98 FuelAnnualAreaRent MarathonGeneralAviation-FairMarketRentAnalysis Parking/Cargo 9,5652,000$35,969.28$0.00$0.00$35,969$3.76$17.98 SiteGBABase AreaAreaRentFeeFeeRent$/Sq.Ft.$/Sq.Ft.FAR"NN" 375,00022,086$128,717.52$13,646.44$15,343.98$157,708$0.34$7.14250,00020,657$60,080.94$0.00$66,829.54$126,910$0.24$6.14374,21623,929$157,859.23$1,200.00$62,765.00$221,824$0.42$9.27 Sq.Ft.Sq.Ft.AnnualAnnualAnnualTotalSiteGBA 375,00029,286 MeanMedianMinimumMaximum CommercialRentGroundLeaseComparables CommercialGroundLeaseRentComparables TypeUseFBOFBOFBOMuseum/Maintenance38,98013,992$57,749.16$0.00$0.00$57,749$1.48$4.13Cargo/Freight MarathonGeneralAviationMarathonJetCenterSignatureFlightSupportAntiqueAircraftRestorationFederalExpress(Marathon) 12345 No.Location SubjectProperty*Note:UtilitiesReimbursement RestrictedAppraisalReportAppraisalCompanyofKeyWest C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis a.Valuation-RegressionAnalysis: Afteranalyzingtheairportfixedbaseoperatorleasecomparableswithinthemarketarea,we consideredthismethodtobeviable.Thesefivecomparableswerethemostsimilarandwere regardedtobereliableinestimatingthesubject’sbasemarketrent.Duetothelackofpaired salesdata,percentageadjustmentsand/orcomparisonswerenotutilized.Instead,weconsidered aregressionanalysisofthecomparablesbasedonreasonableunitsofmeasure.Theappraisers foundatightcorrelationbetweenthegrossbuildingareasizeandtheannualbasemarketrent. Thestatisticalanalysisorpowertrendanalysisregressionmodelisaquantitativetechniqueused toidentifyandmeasureadjustmentstothegrossbuildingareasizeofcomparableproperties. Regressionanalysisisawidelyusedmodelinbothappraisalpracticeandinrelatedrealestate research,asitissimilartotheSalesComparisontechniqueofmatchedpaireddata.Theuseof regressionmodelrelatestotraditionalsalescomparison,whereby,theinfluenceofsaleprices persquarefootandpropertysizetothesubjectpropertyinrelationtotheirmeanoraverage. Regressionproducesbothapointestimateofvalue(mean)andanobjectivelydetermined measureofdispersion(standarddeviationorstandarderror)aroundthepointestimate.The greaterthenumberofsamplesizethegreaterthestatisticalsignificanceandtheclosertoa1:1 correlationthemoreassuredistheresultantvalue. Thex-variableisthegrossbuildingareasizeforeachcomparable.They-variable,dependent variable,isthecomparable’sannualbasemarketrentpersquarefoot.Thisdatapopulation 2 sampleofthecomparablesalesindicatesareasonablecorrelationwhichismeasuredbytheR 2 ofthedataset.Inthecaseathand,acorrelationRof+0.559wasindicatedinourmodel. Correlationsnear1.0areconsideredmostreliable;therefore,thesubject’scorrelationis consideredreliable,andthepopulationsampleappearsappropriateinourvaluationmodeland canbeconsideredcredibleintheunitsofmeasureforthesubjectproperty. Accordingly,theappraisershaverankedtherentcomparablesbasedonthesitesizefromthe smallesttothelargest.Thefollowingtableandgraphdepictsourtrendanalysis. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage6 Packet Pg. 919 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis GBAAnnual Comp.AreaRent No.Sq.Ft.$/Sq.Ft. 2,000$17.98 5 13,992$4.13 2 23,929$9.27 3 20,657$6.14 2 22,086$7.14 1 Subj.29,286$5.70 Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage7 Packet Pg. 920 Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis Inequationform,theregressionmodellookslikethis: -0.38 Y=283.66x -0.38 Y=$283.66X29,286sq.ft.=$5.70/sq.ft. SubjectPropertyMarketRent: 29,286sq.ft.X$5.70/sq.ft.=$166,930-$28,990=$137,940AnnualBaseRent(additionalfees notincluded) AnnualMarketRentoftheSubjectPropertyviatheSalesComparisonApproach,asof January25,2018(Rounded)Is........................................$138,000 ValuationConclusion: PotentialLeaseScheduleforSubjectProperty MarathonGeneralAviationFBO MonthlyAnnual GBABaseBaseAnnualAnnualLease TypeofUseSiteSizeArea(SF)Rent(Rnd.)Rent(Rnd.)$/SFGBA$/SFLandTerm FBO375,00029,286$11,500.00$138,000.00$5.70$0.368ModifiedGross Thesubjectproperty’sannualbasemarketrentequals$0.37persquarefootofsitearea,$5.70 persquarefootofgrossbuildingareaor$138,000.Theindicatedbaserentisslightlybelowthe SignatureFlightSupportcomparablesalesattheKeyWestInternationalwhichhassuperior location.Thiscomparablehasaverysimilargrossbuildingareaandlandareatothesubject property.Thegrossbuildingareaandvaluepersquarefootareinverselyrelated,inotherwords thesmallerthebuildingsizethehigherthedollarpersquarefoot.Theabovetableandchart showthecomparablesbasedongrossbuildingareafromsmallesttolargestindicatingthe locationofthesubjectproperty,asfurthersupport.Ouranalysisisforthebaserentwhich includetheextrafuelfeeorparking includesthebuildingandgroundleaseonly,butdoesnot feeinthecurrentleases.Thosefeeswouldbeoverandabovethebaserent. Thesubjectproperty’srentalrateisbasedonmodifiedleasetermwherebythetenantis responsibleforallutilitiesincludingelectric,water,sewer,solidwastecollection, Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) telecommunication.ModifiedGrosstermsrequirethetenanttoberesponsibleallservicesand routinemaintenanceofthepremises,whilethelandlordisresponsibleforrealestatetaxes, propertymanagementandreserves.Uponresearchofrecentlynegotiatedleases,modifiedgross termsappeartobemoreprevalentforpropertieswithintheairportbecausethereareontax AppraisalCompanyofKeyWestPage9 Packet Pg. 922 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis exemptproperty. TypicalleasetermsarenegotiatedforfivetotwentyyearswithConsumerPriceIndexasan escalator.Thoughsometimesthereisaminimumpercentageescalatordependingonthetype ofbusiness. HIGHESTANDBESTUSE: HighestandBestUse"asif"Vacant:Airport/HeliportandRelatedServicesaspermittedbyzoning. HighestandBestUse"asImproved":FixedBaseOperatorasimproved. ESTIMATEDEXPOSURETIME:Mostofthecomparablefacilitiesleasedoutsideoftheairport havetakenfromsixmonthstoayeartogetleased,duetotheupturnintheeconomy.However,dueto thelimitedsupplyofcommercialspacesurroundingtheairport,thedemandwouldbemuchgreater. Exposuretimeforthesubjectpropertyisestimatedatthreetoeightmonthsbecauseofthelimitedsupply andspecialuse. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage10 Packet Pg. 923 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis ASSUMPTIONSANDLIMITINGCONDITIONS 1.Thisisarestrictedappraisalreportwhichisintendedtocomplywiththereportingrequirements setforthunderStandardRule2-2(b)oftheUniformStandardsofProfessionalAppraisal Practiceforarestrictedappraisalreport.Assuch,itdoesnotincludediscussionsofthedata, reasoning,andanalysesthatwereusedintheappraisalprocesstodeveloptheappraisers'opinion ofvalue.Supportingdocumentationconcerningthedata,reasoning,andanalysesisretainedin theappraisers'file.Thevaluescontainedhereinareestimatedbasedonlimiteddatawhichwas madeavailable;anydiscrepanciesfoundindatamayaffectthevalueindicationsherein.The appraisersarenotresponsiblefortheunauthorizeduseofthisreport. 2.NoresponsibilityisassumedbytheAppraisersformatterswhichareoflegalnature,norisany opiniononthetitlerenderedherewith.Goodtitleisassumedasatitlesearchwasnotmade available. 3.Thepropertyhasbeenappraisedasthoughfreeofliensandencumbrances,exceptasherein described.ChargesforsolidwastecollectionareaspecialassessmentinMonroeCounty; delinquentchargesforsolidwastecollection,orotherliensagainstthesubjectproperty,havenot beenconsideredinthevaluationcontainedhereinasatitlesearchwasnotmadeavailableor conductedbytheappraisers. 4.Themanagementofthepropertyisassumedtobecompetentandtheownershipinresponsible hands. 5.TheAppraisershereinisnotrequiredtogivetestimonyincourtunlessarrangementshavebeen previouslymadethereof. 6.TheAppraisersassumethattherearenohiddenorunapparentconditionsoftheproperty,subsoil, orstructures,whichwouldrenderitmoreorlessvaluable.TheAppraisersassumenorespon- sibilityforsuchconditions,orforengineeringwhichmightberequiredtodiscoversuchfactors. 7.Information,estimatesandopinionsfurnishedtotheappraisers,andcontainedinthereport,were obtainedfromsourcesconsideredreliableandbelievedtobetrueandcorrect.However,no Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) responsibilityforaccuracyofsuchitemsfurnishedtotheAppraiserscanbeassumedbythe Appraisers.SitedataandleaseinformationwasprovidedbyMr.ThomasJ.Henderson, AssistantDirectorofAirportsandMs.BethLeto,C.P.M.,AirportBusinessManager,KeyWest InternationalAirport. AppraisalCompanyofKeyWestPage11 Packet Pg. 924 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis 8.TheAmericanswithDisabilitiesAct("ADA")becameeffectiveJanuary26,1992.The appraisershavenotmadeaspecificsurveyoranalysisofthispropertytodeterminewhetheror notitisinconformitywiththevariousdetailedrequirementsoftheADA.Itispossiblethata compliancesurveyoftheproperty,togetherwithadetailedanalysisoftherequirementsofthe ADA,couldrevealthatthepropertyisnotincompliancewithoneormoreoftherequirements oftheAct.Ifso,thisfactcouldhaveanegativeeffectuponthevalueoftheproperty.Sincethe appraisershavenodirectevidencerelatingtothisissue,apossiblenoncompliancewiththe requirementsoftheADAinestimatingthevalueofthepropertyhasnotbeenconsidered.An experiencedContractorshouldbehiredinordertoconfirmconformityornonconformity,asthe appraisersarenotexpertsinthefield. 9.DisclosureofthecontentsoftheappraisalreportisgovernedbytheBylawsandRegulationsof theprofessionalappraisalorganizationswithwhichtheAppraisersareaffiliated. 10.TheundersignedAppraisershavenopresentorcontemplatedfutureinterestinthepropertyand thecompensationisinnomannercontingentuponthevaluereported. 11.Possessionofthisreportdoesnotcarrywithittherightofpublicationoradvertisementofany ofitsconclusions,normayanyexcepttheapplicantusethesameforanypurposewithoutthe previouswrittenconsentoftheappraisersortheapplicant. 12.Inthisappraisalassignment,theexistenceofpotentiallyhazardousmaterialusedinthe constructionormaintenanceofthebuilding,suchasthepresenceofradon,asbestosmaterial and/orexistenceoftoxicwaste,whichmayormaynotbepresentontheproperty,hasnotbeen considered.Theappraisersarenotqualifiedtodetectsuchsubstances.Weurgetheclientto retainanexpertinthisfieldifdesired. 13.Furthermore,anenvironmentalscreeningorauditofthesubjectpropertywasnotmadeavailable totheappraisers.Thesubjectpropertyhasundergroundfuelstoragetankswithafueldispenser. Theappraisershaveassumedthattherearenocleanupcostorenvironmentalissueswithinthe subjectproperty.Theappraisersarenotexpertsinthefieldofenvironmentalhazards.Anexpert inthefieldisrecommendedtodetermineifanyfuturemonitoringorcleanupisnecessary. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) 14.Thediscoveryoflatentconditionsisbeyondthescopeofthisappraisal.Detectionoflatent conditionsrequirestheexpertiseofqualifiedpersonssuchasarchitectsandengineers.Latent conditionsinclude,amongotherthings,non-apparentstructuralconditions;presenceof prohibitedhazardouswastes;presenceofradongas,methanegas,asbestos,lead,petroleum productsandotherair,soil,orwatercontaminants;andmanyotherconditionstoonumerousto AppraisalCompanyofKeyWestPage12 Packet Pg. 925 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis mentionwhichmayaffectthevalueofthepropertybeingappraised.Theappraisersconducting thisappraisalisnotqualifiedtodetectlatentconditionsandhasconductedthisappraisalupon theassumptionthatnolatentconditions(includingthosementionedaboveandothers)existon thepropertycoveredbythisappraisal. 15.ThesubjectpropertyislocatedinthesoutheasterlyquadrantoftheFloridaKeysMarathon InternationalAirport.Asurveynorbuildingplansweremadeavailable.Theappraisersutilized fielddimensionstakenduringoursitevisit,aswellastheMonroeCountyPropertyAppraisers Records.Asiteplanofthesubjectpropertywasprovidedandincludedintheaddendumsection ofthisreport.Valuationisreportedwithoutregardtoquestionsonboundaries.Noresponsibility istakenbythisofficefortheaccuracyorinregardtoanyquestionsonthenatureof encroachments,encumbrances,ordissimilaritiesinmeasurement.Anymapsorplatsreproduced andincludedinthisreportareintendedonlyforthepurposeofshowingspatialrelationships. Theyarenotmeasuresurveysnormeasuredmaps,andnoresponsibilityforcartographicor surveyingerrorsisassumed. 17.ACCORDINGLYNOTICEISHEREBYGIVENthatneithertheappraisersconductingthis appraisal,northeAPPRAISALCOMPANYOFKEYWEST.makeanywarranty,expressor implied,topropertycoveredbythisappraisal,andneithershallhaveanyliabilitytoanyperson fordifferencesinthevalueoftheappraisedproperty,norotherdamages,resultingfrom discoveryoflatentconditions(includingthosementionedaboveandothers)on,orinproximity to,theappraisedlands. 18.Wedoherebycertifythattothebestofourknowledgeandbeliefthestatementsoffactcontained inthisreport,uponwhichtheanalyses,opinionsandconclusionsexpressedhereinarebased,are trueandcorrect;alsothisreportsetsforthallthelimitingconditionsaffectingtheanalyses, opinionsandconclusionscontainedinthisreport;alsothisreporthasbeenmadeinconformity withtheNationalAssociationofRealEstateBoardsandtheAppraisalInstitute. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage13 Packet Pg. 926 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis CERTIFICATIONOFFAIRMARKETRENT WEHEREBYCERTIFYTHATUPONAPPLICATIONFORVALUATIONBY: M R.T HOMAS J.H ENDERSON A SSISTANT D IRECTOROF A IRPORTS F LORIDA K EYS M ARATHON I NTERNATIONAL A IRPORT 9400O VERSEAS H IGHWAY M ARATHON,F LORIDA 33050 Wehavepersonallyexaminedthefollowingproperty: CommonlyKnownas: M ARATHON G ENERAL A VIATION FBO 9850O VERSEAS H IGHWAY F LORIDA K EYS M ARATHON I NTERNATIONAL A IRPORT M ARATHON,F LORIDA 33050 BasedonanalysisofmarketrentalratesforsimilarFBOlandleaseswithinthesubject'smarketarea,it isouropinionthatonJanuary25,2018,whenasitevisitandmarketanalysisofthesubjectpropertywas made,commonlyknownasMarathonGeneralAviationFBO,9850OverseasHighway,Marathon, Florida,thattheFairMarketRent,onamodifiedgrossbasis,isasfollows: FairAnnualMarketBaseRent(Rounded):$138,000.00 FairMonthlyMarketBaseRent(Rounded):$11,500.00 FairAnnualBaseRent/Sq.Ft.ofLandArea:$0.368 Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage14 Packet Pg. 927 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis WEADDITIONALLYCERTIFYthat,tothebestofourknowledgeandbelief: Wecertifythat,tothebestofmyknowledgeandbelief: "thestatementsoffactcontainedinthisreportaretrueandcorrect. "thereportedanalyses,opinions,andconclusionsarelimitedonlybythereportedassumptionsand limitingconditionsandaremypersonal,impartial,andunbiasedprofessionalanalyses,opinions,and conclusions. "Wehavenopresentorprospectiveinterestinthepropertythatisthesubjectofthisreportandno personalinterestwithrespecttothepartiesinvolved. "Wehaveperformednoservices,asanappraiserorinanyothercapacity,regardingthepropertythat isthesubjectofthisreportwithinthethree-yearperiodimmediatelyprecedingacceptanceofthis assignment. "Wehavenobiaswithrespecttothepropertythatisthesubjectofthisreportortotheparties involvedwiththisassignment. "Ourengagementinthisassignmentwasnotcontingentupondevelopingorreportingpredetermined results. "Ourcompensationforcompletingthisassignmentisnotcontingentuponthedevelopmentor reportingofapredeterminedvalueordirectioninvaluethatfavorsthecauseoftheclient,the amountofthevalueopinion,theattainmentofastipulatedresult,ortheoccurrenceofasubsequent eventdirectlyrelatedtotheintendeduseofthisappraisal. "Ouranalyses,opinions,andconclusionsweredeveloped,andthisreporthasbeenprepared,in conformitywiththeUniformStandardsofProfessionalAppraisalPractice. "RichardPadronhavemadeapersonalinspectionofthepropertythatisthesubjectofthisreport. JamesE.Wilsonhasreviewedthedata,analysis,andtheappraisalreport. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) "Nooneprovidedsignificantrealpropertyappraisalassistancetothepersonsigningthiscertification. (Ifthereareexceptions,thenameofeachindividualprovidingsignificantrealpropertyappraisal assistancemustbestated.) AppraisalCompanyofKeyWestPage15 Packet Pg. 928 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis "TheuseofthisreportissubjecttotherequirementsoftheAppraisalInstituterelatingtoreviewby itsdulyauthorizedrepresentatives. "Mr.JamesE.Wilson,hascompletedtheStandardsandEthicseducationrequirementsofthe AppraisalInstituteforassociatemembers. APPRAISALCOMPANYOFKEYWEST JamesE.Wilson,MRICS,PresidentRichardPadron,CCIM,MSA State-certifiedgeneralrealestateappraiserState-certifiedgeneralrealestateappraiser RZ2164RZ544 Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage16 Packet Pg. 929 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis LOCATIONMAP Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage17 Packet Pg. 930 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis AIRPORTPLATMAP Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage18 Packet Pg. 931 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SITEPLAN Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage19 Packet Pg. 932 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis MAINBUILDINGSKETCHPERPROPERTYAPPRAISERS Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage20 Packet Pg. 933 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS SideViewofSubjectMainBuildingLookingNortheasterlyfromServiceRoad Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) ViewofServiceAccessRoadLookingEasterly AppraisalCompanyofKeyWestPage21 Packet Pg. 934 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS ViewofServiceRoadLookingNorthwesterly Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) ViewofMainBuildingLookingSouthwesterlyFromAircraftApron AppraisalCompanyofKeyWestPage22 Packet Pg. 935 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS ViewofNewEastHangerFromAircraftApronLookingSouthwesterly Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) InteriorViewofRecpectionAreaMainBuilding AppraisalCompanyofKeyWestPage23 Packet Pg. 936 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS InteriorViewofSecondLevelOfficeMainBuilding Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) InteriorViewofMainBuildingHanger AppraisalCompanyofKeyWestPage24 Packet Pg. 937 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS InteriorViewofMuseumHanger Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) InteriorViewofMuseum AppraisalCompanyofKeyWestPage25 Packet Pg. 938 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS InteriorViewofNewEastHanger Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) ViewofCBS/MasonryBuilding AppraisalCompanyofKeyWestPage26 Packet Pg. 939 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS ViewofAircraftApronLookingWesterly Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) ViewofFuelStation AppraisalCompanyofKeyWestPage27 Packet Pg. 940 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis SUBJECTPHOTOGRAPHS ViewofWesterlyAircraftApron Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) ViewofAircraftMuseumfromServiceRoad AppraisalCompanyofKeyWestPage28 Packet Pg. 941 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis PROFESSIONALQUALIFICATIONS JAMESE.WILSON,III,MRICS JamesE.WilsonhasbeenaresidentofSouthFloridasince1976.HiseducationincludesaBachelorof ScienceinBusinessAdministrationwithaMajorinEconomicsfromtheUniversityofFlorida,1987-1991. Hisexperienceintherealestateindustrybeganinearly1992asaresidentialrealestateappraiserin PompanoBeach,Florida.Heappraisedawidevarietyofsingleandmulti-familyresidentialpropertiesin Dade,Broward,andPalmBeachcountiesoveratwo-yearperiod.Inthesearchofadvancementand challenge,JamesWilsonmovedtotheCityofKeyWest,MonroeCounty,Floridainordertoobtain experienceandpracticecommercialrealestateappraisalvaluationtechniquesinademandingandsomewhatuniquemarketarea.Over thepast25yearsJameshasbeenexposedtoawide-rangeofappraisalprojects,includinghighestandbestusestudies,complexproperty appraisals,andwetlandandenvironmentallysensitivevaluationsincludingtransferrabledevelopmentrights.Hisappraisalexperience includesfinancialandinvestmentanalysis,appraisalreview,feasibilityandplanninganalysis,aswellasmarketresearchandanalysis. JamesWilsonisaStateCertifiedGeneralRealEstateAppraiser(licensedtoperformresidentialandcommercialappraisals)andaGeneral AssociateMemberoftheAppraisalInstitute.HeisamemberofRICS(RoyalInstitutionofCharteredSurveyors),whichisaninternational memberorganizationforprofessionalsinproperty,land,realestate,constructionandrelatedenvironmentalissues.JimispastPresident oftheKeyWestGatorClub,2013/2014PresidentoftheSunsetKeyWestRotaryClub,memberofClassVIILeadershipMonroe,2012 PresidentoftheKeyWestChamberofCommerce,andhasbeenelectedtocontinuetoserveontheBoardofDirectorsoftheKeyWest ChamberofCommerce.JimisstillanactivememberontheBoardofDirectorsfortheKeyWestChamberofCommerce. Education:SOUTHBROWARDHIGHSCHOOL,Hollywood,FL,1987. UNIVERSITYOFFLORIDA,Gainesville,Florida-BachelorofScienceinBusinessAdministration-Majorin Economics,1987-1991. APPRAISALINSTITUTE AppraisalReportingofComplexResidentialProperties,October,1993. PersuasiveStyleinNarrativeAppraisalReports,May,1994. ACE1779-“SpecialPurposeProperties-TheChallengeofRealEstateAppraisinginLimitedMarkets”,September, 1996. 410StandardsofProfessionalPractice,PartA(USPAP),8/97. 420StandardsofProfessionalPractice,PartB,August,1997. 520Highest&BestUseandMarketAnalysis,October,1997. Non-ConformingUsesSeminar,January,1998. 510AdvancedIncomeCapitalization,May,1998. 530AdvancedSalesComparison&CostApproach,May,1998. 540ReportWriting&ValuationAnalysis,August,1998. 550AdvancedApplications,February,1999. RegressionAnalysisinAppraisalPractice:Concepts&Applications,Seminar,March,2000. GeneralDemonstrationAppraisalReportWritingSeminar,March,2000. 800SeparatingPersonal&RealPropertyfromIntangibleBusinessAssets,March,2002. SuccessfulCompletionoftheGeneralComprehensiveExaminationfortheAppraisalInstitute Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) UniformAppraisalStandardsforFederalLandRequisitions,March,2007 GeneralDemonstrationAppraisalReportWritingSeminar,August,2007 ValuationofConservationEasements,January,2008. AppraisingDistressedCommercialRealEstate,June,2009 OilSpillsandPropertyValues,Webinar,August,2010 BusinessPracticesandEthics,September,2010 AppraisalCompanyofKeyWestPage29 Packet Pg. 942 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis ProfessionalQualificationsofJamesE.Wilson,III(Continued) APPRAISALINSTITUTE ADebateoftheAllocationofHotelTotalAssets,October26,2010 AppraisalInstituteUpdate,May19,2011 AppraisalCurriculumOverview(2-dayGeneral)May,2011 PerspectivesfromCommercialReviewAppraisers,July20,2011 FundamentalsofSeparatingRealProperty,PersonalProperty,andIntangibleBusinessAssets,05/07/2012- 05/08/2012 UAD-UpCloseandPersonal,November,2014 ExpertWitnessTestimony:ToDoorNottoDo,November,2014 AnalyzeThis!ApplicationsofAppraisalAnalysis,November,2014 FloridaAppraisalLawsandRegulationsUpdate ReviewersChecklist,November,2014 NationalUSPAPUpdateEquivalent(2014-2015),November,2014 PurchasePriceAllocationsforFinancialReportandTax,April16,2014 BehindtheHeadlines,theNewRealEstateRealEstateEconomy,May16,2014 GOLDCOASTSCHOOLOFREALESTATE RealEstatePrinciples,Practices,andLaw-FRECCourseI,May,1992. SalesmanPost-LicenseProgram,February,1994. MortgageBroker,Exam-PrepProgram,September,1992. ABI-AppraisalBoard-FundamentalsofR.E.Appraising,5/92. ABII-Appr.Board-AppraisingResid.&IncomeProperties,2/94. ABIIb-AppraisalBoard-Cert.Resid.AppraisalCourse,7/94. ABIII-AppraisalBoard-CertifiedGeneralAppraisalCourse(IncomeCapitalizationCourse),February,1995. USPAP-UniformStandardsofProfessionalAppraisalPractice,6/92. USPAPCourse,September,1995. A-102-PlanReadingforAppraisers,September,1995. NationalUSPAPUpdateCourse,June2006 TechniquesofIncomePropertyAppraisal,June2006 McKISSOCKDATASYSTEMS AutomatedValuationModels,October,2000. UniformStandardsofProfessionalAppraisalPractice,October,2000. FactoryBuiltHousing,October,2000. AppraiserLiability,September,2002. AppraisingNonconforming&DifficultProperties,September,2002. AppraiserLiability,USPAP,September,2002. AppraisingfortheSecondaryMarket,October,2004. AppraisingHigh-ValueResidentialProperties,October,2004. FloridaLawsandRegulations,October,2004. LimitedAppraisalsandtheScopeofWorkDecision,October,2004. NationalUSPAPEquivalent,October,2004. FloridaLawsandRegulations,September2006. DisclosuresandDisclaimer,September,2006. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalTrends,September2006. NationalUSPAPUpdateEquivalent(2008-2009),November,2008. IntroductiontoExpertWitnessTestimony,November2008. MortgageFraud-ProtectYourself,November,2008. AppraisalCompanyofKeyWestPage30 Packet Pg. 943 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis ProfessionalQualificationsofJamesE.Wilson,III(Continued) FloridaAppraisalSupervisor-TraineeRolesandRelationships,November,2008. FloridaLawsandRegulations,November,2008. NationalUSPAPUpdateEquivalent(2010-2011),August,2010. RiskyBusiness:WaystoMinimizeLiability,August,2010. FloridaLawsandRegulations,August2010. FloridaApprisalSupervisor-TraineeRolesandRelationships,August,2010. TheChangingWorldofFHAAppraising,August,2010. SystemsBuiltHousing:AdvancesinHousingfortheNewMillennium,October,2012 DerivingandSupportingAdjustments,October,2012 IntroductiontoRegressionAnalysisforAppraisers,October,2012 IntroductiontoResidentialGreenBuildingforAppraisers,October,2012 FloridaAppraisalLawsandRegulationsUpdate NationalUSPAPUpdateEquivalent(2012-2013),October,2012 AppraisalofFastFoodFacilities,November,2016 2016-2017-HourNationalUSPAPUpdateCourse,November,2016 ManagingAppraiserLiability,November,2016 FloridaAppraisalLawsandRegulations,November,2016 AdvancedHotelAppraising-FullServiceHotels,November,2016 VALUEINFORMATIONTECHNOLOGY,INC. "PerspectivesonAppraisals"FREABCourseACE#1591,June,1995. NORTHBROWARDBOARDOFREALTORS ACE591-BasicsofConstruction-HowaFloridaHomeisBuiltII,January,1994. Certification:Statecertifiedgeneralrealestateappraiser,asdesignatedbytheDepartmentofProfessionalRegulation,Stateof Florida;RegistrationNo.RZ2164. LicensedRealEstateSalesperson,asdesignatedbytheDepartmentofProfessionalRegulation,StateofFlorida; LicenseNo.SL0589552(currentlyinactive). Professional Associations:KeyWestBoardofRealtors GeneralAssociateMemberoftheAppraisalInstitute MemberofRICS(RoyalInstituteofCharteredSurveyors),October,2010Member#1299389 Affiliations:PastPresidentoftheKeyWestGatorClub(AlumniOrganizationoftheUniversityofFlorida MemberofClassVIII,LeadershipMonroeCounty BoardMemberoftheRotaryClubofSunsetKeyWest,2013/2014President,2009Treasurer,2010VicePresident, 2011President-Elect,2012PresidentBoardofDirectorsoftheKeyWestChamberofCommerce,CurrentBoard Member Experience:WILCOVALUATIONS,P.A.d/b/aAPPRAISALCOMPANYOFKEYWEST,JamesWilson,Presidentandhis wife,MariaVirginiaWilson,alsoaStateCertifiedGeneralRealEstateAppraiserpurchasedtheAppraisalCompany ofKeyWestfromMr.RichardPadroninApril,2004.Mr.PadronhascontinuedtobeaFeeCommercialRealEstate AppraiserwiththeAppraisalCompanyofKeyWest,whichhasensuredcontinuityandqualitycontrol. Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) APPRAISALCOMPANYOFKEYWEST,INC.,FeeCommercialRealEstateAppraiser,April,1994toApril,2004. F.C.P.APPRAISALSERVICES,INC.,SeniorRealEstateAppraiserandTrainer,May,1992toApril,1994. AppraisalCompanyofKeyWestPage31 Packet Pg. 944 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis AppraisedvarioustypesofpropertiesintheFloridaKeys,including: RetailStoresCommercial/ResidentialCondominiums RestaurantsFull-ServiceMarinas/BoatYards StripCentersEnvironmentallySensitiveAcreage OfficeBuildingsIndustrialUses Mixed-UsePropertiesGuestHouses/Hotels/Motels ServiceStationsMobileHomeandRVParks Multi-familyProjectsWarehouse(includingmini-storage) ProposedDevelopmentsSpecial-UsePropertiesincludingSchools Single-familyEstatesSeafoodProcessingPlants APPRAISERCERTIFICATION Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage32 Packet Pg. 945 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis ProfessionalQualifications RichardPadron,CCIM,MSA,AAR,SRC RichardPadronhasadiversebackgroundintherealestateindustry.Hisexperienceandeducationintherealestateprofession havecontinuallyexcelled.Hehasbeenaffiliatedinresidentialconstruction,realestatedevelopmentandtherealestate brokeragebusinessformorethan28years.Duringthistime,hehasmanagedconstructionprojects,marketed,andsoldseveral hundredhomesinvarioussubdivisionsintheFloridaKeysandKeyWest,andhasappraisedthousandsofsinglefamily,multi- familyandcommercialproperties.Hisrealestatecareerhasinvolvedtheentiredevelopmentprocessfromacquisitiontoproject sellout,includingthepermittingandoperationofwastewatertreatmentsystems,aswellasdealingwithenvironmentalconcerns. Priortofoundingthefirm,AppraisalCompanyofKeyWest,Inc.,Mr.PadronformedthecorporationofRichardPadron& Associates,Inc.,arealestatebrokeragecorporation.Thesecorporationshavebeeninexistencesince1984,providingalltypes ofrealestateservices,includingbrokerage;market,financialandinvestmentanalysis;expertwitnesstestimony;appraisals; propertyoperationreview,andplanningandfeasibilityanalysis. Education:RealEstateCertificatefromFloridaKeysCommunityCollege Professional Activities:MSA:MasterSeniorAppraiser,(1984).CertificateNo.00883. CCIM:CertifiedCommercial-InvestmentMember,(1986).CertificateNo.2765. AAR:AccreditedinAppraisalReviewer,(1987).CertificateNo.77. SRC:SeniorRealEstateCouncilor,(1993).CertificateNo.89. Certification:State-CertifiedGeneralRealEstateAppraiser,LicenseNo.0000544,(1990). LicensedRealEstateBroker,StateofFlorida. LicensedClassAWastewaterTreatmentPlantOperator,StateofFlorida. Associations:NationalAssociationofRealtors FloridaAssociationofRealtors KeyWestBoardofRealtors MarathonandLowerKeysBoardofRealtors. NationalAssociationofMasterAppraisers Commercial-InvestmentRealEstateCouncil. AccreditedReviewAppraisersCouncil NationalAssociationofCounselors Experience:AppraisalCompanyofKeyWest,Inc.(Since1987) RichardPadron&Associates,Inc.(Since1984) MichaelA.Padron,Inc.(1978-1984) RivieraEnterprises,Inc.(1968-1984) AreaofExpertise:•Analysisandevaluationofmanytypesofrealestate Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) •Assessmentofprojectfeasibilityincluding: Marketresearch,investmentanalysis,andfeasibilitystudy HighestandBestUseAnalysis •Litigationsupportandexpertwitnesstestimony •Typesofpropertiesappraised,evaluated,andanalyzed: Hotels,Motels&Guesthouses Retail/Officeand/orSpecialtyStores AppraisalCompanyofKeyWestPage33 Packet Pg. 946 C.26.a RestrictedAppraisalReportMarathonGeneralAviation-FairMarketRentAnalysis ShoppingCenters&Malls Warehouses(Mini,Storage&Distribution) Restaurants Highest&BestUseStudy Theaters MobileHome&RecreationVehicleParks Marinas,BoatStorage&Repairs SingleFamilyResidential&Condominiums SeafoodPackingHouse Multi-Family&IncomeProperties Multi-FamilyProjects EnvironmentallySensitiveTracts ProposedDevelopmentProjects APPRAISERCERTIFICATION Attachment: Coast FBO (Marathon General Aviation) First Amendment (EYW 6 Coast FBO) AppraisalCompanyofKeyWestPage34 Packet Pg. 947