A few points and questions in response to Mr. Rice's last post.....

1.  My City assessor told me that the taxable market value in Minneapolis is
required to be within 95 per cent of actual market value.  His name is
Patrick Todd.

2.  The two appraisals you refer to should be accessible to the public.
Most appraisers determine a building's value based on the income that it
will generate.  Alternatively, they would use "comparables."  Where might we
find these two appraisals?

3.  I called an accountant at one of the largest commercial brokers and
managers in Minneapolis.  I found out that operating expenses for buildings
similar to the Moore building are between $5.00 and $7.50 per square foot
(excluding real estate taxes.)  This means that at a minimum, the Park Board
would be spending $375,000 per year for operations in addition to debt
service.

4.  Rents are going down, not up.  Vacancies abound.  Did anyone try to
negotiate a more favorable rent with the Park Board's current landlord?
$100,000 each year could be easily be saved just by letting employees pay
for their own parking - like the rest of us have to.

5.  The building needs extensive upgrades.  How much does the Park Board
intend to spend on rehab and where will that money come from?

6.  The City will lose property tax receipts of approximately $100,000 each
year.  If the property is really worth more than $2.3 million, we will lose
MORE in tax receipts.

7.  Mayor Rybak made it clear that the Park Board shares the same checkbook
with the rest of our City government.  No matter how you rationalize this
proposed purchase, you are INCREASING DEBT, INCREASING COSTS, and REDUCING
THE TAX BASE.

Vicky Heller
Cedar-Riverside (Work)
North Oaks (Home)

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