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refers to the section titled Negative Factors and incorporates his prior testimony from Petitions 02998&02999 for discussion on this and an RERC Investment conditions survey for industrial properties and a section of the document discussing negative factors in the national market. On page 28,the Petitioner has estimated a market rent of$15.00 pion a gross basis,then deducted 6%for a stabilized vacancy and collection loss.Expenses were estimated at 20%of effective gross income and Petitioner also deducted • ment.The Petitioner estimates a basecapitalization rate of 6.25%and loaded it at 8.10%.The cost reserves for replacement. yap of sales figure of 10%is deducted to indicate a Just Value of$6,985,103 or$124.07 psf. The Petitioner then refers to page 30,which includes rental rates,cap rates,and operatingxp The Rental rates from costar indicate$14.38 to$15.60 psf for Central Broward in years 2022 through 2023 IRR>ndicates$9.00 psf for Palm Beach Broward markets.The Cap Rate summary indicates 6,4%for NE Broward and 6.8%for Central Broward and IRR shows 6.5%for Broward. Lease comparable info begins on page 32,,A lease comps survey from Costar includes 12 deals on similar industrial properties in the submarket.The rent comps are offered between$14.00 and$17.00 psf modified gross with starting rents at$13.50 to$15.00.The unit sizes range from 2,432 to 32,650 square feet.The average asking rent is$15.60 psf with an average starting rent at$14.38.The Petitioner briefly reviews the comps. Beginning on page 37 is detailed surveys data from a variety of recogni 7ed_sources.He refers to national vacancy rates and operating expense data from other areas of the state.The RERC survey for Fort Lauderdale First Tier Investment Properties indicates 6.9%cap rate for Flex.Other Regional and national data is included.RealtyRates.com surveys the Florida Industrial market at 8.9%.The Petitioner emphasizes band of investment method surveysys from RealtyRates.com and illustrates the impact of inexeaasmg interest rates in the national market.The Petitioner's example on page 62 indicates a 2.1%nominal decrease in flex ind1strial value from 1/1/23 to 1/1/24. A sales comparison approach was also included on page 75,The four sales from the Pompano submarket range from $81.54 to$ 5 psf after COS.Most of the buildings are much smaller than the subject and all but two closed in 2022,1 to 2 years prior to the analysis date.He points out Sale 1&4 are the most similar in size.He then takes the average indication of$116.62 and applies that to the subject for a value of$6,565,690.Building cards are provided with no photographs. Rebuttal Testimony: In Rebuttal for the property appraiser,Mr.Richardson refers to the lease co s used by the Petitioner are smaller and a distance from the Subject.He feels the sales used by PA are closer to the • I.ject are more applicable.Most of the sales are from 2022 and there are newer sales,as the PA used 8 from 2023. The petitioner says USPAOP allows appraisers to go back three years.He says all his are near the subject.Two of the PA sales are in 2024.Sales 1-5 were 100%leased at time of sale.All the PA sales are smaller than the subjject.Comp 5 is a sale leaseback.PA lease comps include two in early 2024.Comp 2 has higher clear height and comp 5 is a flex building.He compares rents to other 2022 dated leases,which indicates an increase in rent, Special Magistrate's analysis and Finding of Facts: The PAO presented evidence to support the market value.The Property Appraiser has included a proforma income analysis with substantial and reasonable support for the assessed value.This approach to value would be given primary emphasis for this type of property.Comparable sales were not included in the evidence.Property appraiser established a presumption of correctness for the assessment at the hearing. The petitioner included property information,comparable data and a Pro Forma income approach.The petitioner estimated market rent at$15.00 psf on a gross basis compared to the property appraiser estimatiag$14:00 on a net basis.The special magistrate has reviewed the rental data and comments provided by both sides. . . . =viewing all the data,the Magistrate substantially agrees with the PA's methodologyand considers a slightly lower market rent of $13.00 psf.The value indication of$8,857,000 after COS still exceeds the assessed value.The sales data included in various survey data tables and the sale c• i 's provided by the PA also supports the value:The sale comps provided by the Petitioner did not provide sufficient evi.ence for physical comparison,and all but 2 are 1-2 years prior to the date of value.The 2024 AV for these sale properties is much greater than the 2022 sale prices.. 2024-02950 Page 3 of 4 -91 -