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HomeMy WebLinkAboutResolutions - 2024.09.05 - 41890 AGENDA ITEM: MDOT Easements and Consent to Grade along Woodward Ave for the Widetrack Redesign in Downtown Pontiac DEPARTMENT: Facilities Management MEETING: Board of Commissioners DATE: Thursday, September 5, 2024 6:00 PM - Click to View Agenda ITEM SUMMARY SHEET COMMITTEE REPORT TO BOARD Resolution #2024-4317 _ 24-62 Motion to adopt the attached suggested resolution. ITEM CATEGORY SPONSORED BY Easement/Assessment Yolanda Smith Charles INTRODUCTION AND BACKGROUND MDOT has approved plans to convert the one-way traffic of the Woodward Ave/Widetrack loop. The new design will include two-way traffic, add bike lanes and new sidewalks for walkability in the downtown area. A study for this concept was completed in 2014 and the county has advocated funding this project all along. The community and economic benefits are positive for this change and would also improve the physical environment for future county employees located at the new office building in downtown Pontiac. The project requires new easements and consent to grade for widening the right of way along Woodward Ave. MDOT has requested two new road easements and one consent to grade along county-owned parcels in downtown Pontiac next to the newly acquired office and parking structure. Good faith offer money is included with the request, and the administration has decided to forego the payment in an effort to support the revitalization of downtown Pontiac. BUDGET AMENDMENT REQUIRED: No Committee members can contact Barbara Winter, Policy and Fiscal Analysis Supervisor at 248.821.3065 or winterb@oakgov.com or the department contact persons listed for additional information. CONTACT Paul Zachos, Property Management Specialist Bret Rasegan, Manager Planning ITEM REVIEW TRACKING Aaron Snover, Board of Commissioners Created/Initiated - 9/9/2024 David Woodward, Board of Commissioners Approved - 9/9/2024 Walt Herzig, Executive's Office Approved - 9/9/2024 Lisa Brown, Clerk/Register of Deeds Final Approval - 9/11/2024 AGENDA DEADLINE: 09/05/2024 6:00 PM ATTACHMENTS 1. P08_Donation 2. P08_Voluntary GFO_AMENDED_06-25-2024 3. P36_Donation 4. P36_Voluntary GFO_AMENDED_06-25-24 5. P38_Donation 6. P38_Voluntary GFO_AMENDED_06-25-24 7. Oakland_County_Parcels_MAP COMMITTEE TRACKING 2024-08-21 Economic Development & Infrastructure - Recommend to Board 2024-09-05 Full Board - Adopt Motioned by: Commissioner Michael Gingell Seconded by: Commissioner Penny Luebs Yes: David Woodward, Michael Spisz, Michael Gingell, Penny Luebs, Karen Joliat, Kristen Nelson, Christine Long, Philip Weipert, Gwen Markham, Angela Powell, Marcia Gershenson, Yolanda Smith Charles, Charles Cavell, Brendan Johnson, Ajay Raman, Ann Erickson Gault, Linnie Taylor (17) No: None (0) Abstain: None (0) Absent: Robert Hoffman, William Miller III (2) Passed September 5, 2024 RESOLUTION #2024-4317 _ 24-62 Sponsored By: Yolanda Smith Charles Facilities Management - MDOT Easements and Consent to Grade along Woodward Ave for the Widetrack Redesign in Downtown Pontiac Chair and Members of the Board: WHEREAS the plans to convert the one-way loop to two-way traffic and add bike and pedestrian facilities in downtown Pontiac began in 2010 with County Planning Division receiving a federal grant to study the conversion; and WHEREAS the study was completed in 2014 and over the years the County has met with MDOT to advocate for funding for this project; and WHEREAS MDOT has requested easements and consents to grade over county-owned property along Woodward Ave; and WHEREAS the county will forego the good faith offer money of approximately $31,870 total; and WHEREAS the Departments of Facilities Management and Corporation Counsel have reviewed the attached easements and consent to grade; and WHEREAS the Department of Facilities Management recommend that the Oakland County Board of Commissioners approve and execute the attached easements and consent to grade documents. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners approves the attached easements and consent to grade located at the downtown office towers 51111 Woodard Ave and out lot parcels in downtown Pontiac and directs its Chair to execute the attached easements and consent to grade and all other documents related to and needed to effectuate the project. Chair, the following Commissioners are sponsoring the foregoing Resolution: Yolanda Smith Charles. Date: September 09, 2024 David Woodward, Commissioner Date: September 09, 2024 Walt Herzig, Chief Deputy County Executive Date: September 11, 2024 Lisa Brown, County Clerk / Register of Deeds COMMITTEE TRACKING 2024-08-21 Economic Development & Infrastructure - Recommend to Board 2024-09-05 Full Board - Adopt Motioned by Commissioner Michael Gingell seconded by Commissioner Penny Luebs to adopt the attached Easement/Assessment: MDOT Easements and Consent to Grade along Woodward Ave for the Widetrack Redesign in Downtown Pontiac. Yes: David Woodward, Michael Spisz, Michael Gingell, Penny Luebs, Karen Joliat, Kristen Nelson, Christine Long, Philip Weipert, Gwen Markham, Angela Powell, Marcia Gershenson, Yolanda Smith Charles, Charles Cavell, Brendan Johnson, Ajay Raman, Ann Erickson Gault, Linnie Taylor (17) No: None (0) Abstain: None (0) Absent: Robert Hoffman, William Miller III (2) Passed ATTACHMENTS 1. P08_Donation 2. P08_Voluntary GFO_AMENDED_06-25-2024 3. P36_Donation 4. P36_Voluntary GFO_AMENDED_06-25-24 5. P38_Donation 6. P38_Voluntary GFO_AMENDED_06-25-24 7. Oakland_County_Parcels_MAP STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on September 5, 2024, with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the Circuit Court at Pontiac, Michigan on Thursday, September 5, 2024. Lisa Brown, Oakland County Clerk / Register of Deeds Michigan Department of Transportation 0631A (05/24) Easement(s) Consent(s) * * * * * * $19,400.00 $5,180.00 $24,580.00 DONATION WAIVER OF COMPENSATION Grantor(s):Oakland County Property Address:51111 Woodward Ave Right(s) to be donated: Total Donation Amount The undersigned Grantor(s) of the property described in the attached legal description(s), having been informed concerning the right to receive just compensation for such property, do hereby waive said right and voluntarily agree to donate such property or any part thereof, or any interest therein to the Michigan Department of Transportation. I/We have been informed and fully understand that I/we have the right to receive just compensation for the subject property. I/We have been informed and fully understand that I/we have the right to an appraisal/market study report and the right to accompany the appraiser during an inspection of the subject property. I/We have been informed and fully understand that by signing this document, I/we are agreeing to donate the subject property in lieu of just compensation. The decision to donate the subject property was made without undue influences or coercive action of any nature. I/We will execute the necessary instrument of conveyance upon presentation by agents or representatives of the Michigan Department of Transportation. I/We agree to donate said property/property rights and: Waive just compensation and waive the right to an appraisal/market study report and property inspection. OR Waive just compensation but request to exercise the right to an appraisal/market study report and property inspection. By signing below, the Grantor(s) agree(s) with each of the following: Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 MDOT Approval Signature: ___________________ Date: ___________ Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Signatory Title: Oakland County David T. Woodward Chairperson, Oakland County Board of Commissioners Signature:Signed Date: Signatory Name: Witness Date: Witness Signature: Witness Name: Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Highway EasementLegal Description: Part of Lots 5, 6, 7, and 11, Assessor’s Plat No. 65, as recorded in Liber 1A on Page 65 of Plats, Oakland County Records and Part of Lot 31, Assessor’s Plat No. 114, as recorded in Liber 53 on Page 9 of Plats, Oakland County Records, and Part of Lot 7 of Subdivision of Outlots 18, 22 AND 23 in the Southeast 1/4 of Section 29, Town 3 North, Range 10 East, City of Pontiac, Oakland County, Michigan, as recorded in Liber 1 on Page 3 of Plats, Oakland County Records, also Part of Vacated Dawson Alley, more particularly described as follows:   COMMENCING at the Intersection of the Northerly Right of Way line of Relocated Judson Street (79 feet wide) and the Westerly Right of Way line of Saginaw Street (Variable Width); said point being South 86°-07’-48” East, 2110.84 feet from the South 1/4 corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 17355, Page 880 of Oakland County Records, said point also being South 64°-36’-27” West, 646.11 feet from the Southeast corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 21052, Page 161 of Oakland County Records; thence South 74°-49’-47” West along said Northerly Right of Way line of Relocated Judson Street (79 feet wide), 253.87 feet to the POINT OF BEGINNING; thence South 74°-49’-47” West continuing along Northerly Right of Way line of said Relocated Judson Street (79 feet wide), 8.36 feet to the Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide); thence North 32°-05’-52” West, along said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 451.54 feet to the Southerly Right of Way line of Orchard Lake Avenue As-Widened (Variable Width); thence North 88°-13’-03” East, along said Southerly Right of Way of Orchard Lake Avenue As-Widened (Variable Width), 22.08 feet; thence South 06°-07’-12” East. 25.24 feet; thence South 32°-05’-52” East, with said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 420.13 feet Right of Way line of Relocated Judson Street (79 feet wide) and to the POINT OF BEGINNING. Subject to easements, reservations, if any, of record. State Plane Grid and Distances have a Combined Scale Factor of 0.999877119763.   The lands described above in easement contain 3765 square feet (0.086 acre), more or less. Consent to GradeLegal Description: Station # See attached Exhibit B for Consent to Grade. 0.086 ACRE 3765 SQ.FT. PROP LA ROW 246.40' N32°05'52"W 180.74' S32°05'52"E 20.06' N06°07'12"W 67 68 69 70 71 72 (WOODWARD AVE) I-75BL O R C H A R D L A K E R D TO GRADE CONSENT TO EX ROW TO EX ROW OTTAWA TOWERS LLC 51111 WOODWARD AVE 14-32-226-020 8 0.079 ACRE 3453 SQ.FT. CONSENT TO GRADE J U D S O N S T TO EX ROW 420.14' S32°05'52"E 7.00' S57°54'08"W 25.24' S06°07'12"E 64.06' RT +96.67 65.83' RT +95.63 53.00' RT +73.98 TO EX ROW 53.00' RT +53.84 LA ROW PROP 1 1 ' 8 ' 4 ' N E X 9 0 ' L A R O W E X R O W VA RI E S 64.00' RT +50.49 EXHIBIT "B" PARCEL 8 JN 210599 CS 63041 LALI2 EX BUILDING 2' 57.00' RT +96.88 64.00' RT +96.88 57.00' RT +77.62 14-32-226-020 63201-7008 15 14 13 12 39 35 34 33 32 31 36 D .G .H .& M. R R 7 8 9 1 2 3 4 5 6 7 8 A SSE SSO R 'S PLAT N o 65 D .G .H .& M. R R (EX C EPTED ) 9 37 38 GRETCHEN WHITMER GOVERNOR STATE OF MICHIGAN DEPARTMENT OF TRANSPORTATION LANSING Amended Offer to Purchase BRADLEY C. WIEFERICH, P.E. DIRECTOR Dear Owner(s): Subject: CS: 63201, JN: 210599, Parcel: 7008_P8 Address: 51111 Woodward Ave, County: Oakland The Michigan Department of Transportation (MDOT) has an upcoming project along I-75BL (Woodward Ave Loop). We are interested in acquiring Highway Easement, Consent to Grade rights to your property located at 51111 Woodward Ave in Oakland County as set forth in the attached Addendum(a). In accordance with state and federal regulations governing the acquisition of property by MDOT, this letter is MDOT's offer to purchase these rights based on the terms and conditions contained herein. Please note that MDOT is not making this offer under the threat of condemnation. If an agreement regarding the purchase cannot be reached, MDOT will discontinue negotiations and cease this transaction. If you agree, MDOT will purchase the rights to your property described as set forth in the attached Addendum(a). This offer is based upon the valuation set forth in the enclosed market study report. LH-LAN-0 (08/23) June 19, 2024 Oakland County Attn: David T. Woodward 1200 N. Telegraph Rd. Pontiac, Michigan 48341 City of Pontiac Attn: Tim Greimel 47450 Woodward Ave Pontiac, Michigan 48342 Drainage Board for the Pontiac Clinton River Drain Attn: Jim Nash 1 Public Works Drive, 95W Pontiac, Michigan 48341 First State Bank Attn: First State Bank 24300 Little Mack St. Clair Shores, Michigan 48080 The Detroit Edison Company Attn: The Detroit Edison Company 1 Energy Plaza Detroit, Michigan 48226 Oakland County Attn: David T. Woodward 1200 N. Telegraph Rd. Pontiac, Michigan 48341 City of Pontiac Attn: Tim Greimel 47450 Woodward Ave Pontiac, Michigan 48342 Drainage Board for the Pontiac Clinton River Drain Attn: Jim Nash 1 Public Works Drive, 95W Pontiac, Michigan 48341 First State Bank Attn: First State Bank 24300 Little Mack St. Clair Shores, Michigan 48080 The Detroit Edison Company Attn: The Detroit Edison Company 1 Energy Plaza Detroit, Michigan 48226 Page 2 Parcel 7008_P8 Oakland County et al. MDOT's offer for the property rights to be purchased is itemized below: Accordingly, the total amount that MDOT is offering to you is $2.00. Please note that this offer is valid only until 07/19/2024. Please review all the materials carefully and let us know in writing if you believe anything of significance has been omitted with respect to the amount of money you should be paid. MDOT will review the items you identify and will respond accordingly if any changes will be made to its offer. We are also available to discuss this offer with you. If you are willing to accept MDOT's offer and agree to the terms and conditions set forth in the following Addendum(a), please sign and date the Acceptance of the offer below in the presence of a witness. Be sure the witness also signs and dates the documents. Please return this letter and Acceptance to my attention. Also included in this packet are instructions to register with us to have your compensation sent to you via electronic funds transfer (EFT). Please contact me if you are unable to register. Thank you in advance for your consideration of our offer. If you have any questions, please contact me at 248-829-0900 or aketchum@b-l-n.com. Sincerely, Andrew Ketchum Property Specialist Michigan Department of Transportation Enclosures: Acceptance of Offer, Addendum(a), Instrument(s), Legal Description(s), EFT Instructions and Valuation Report LH-LAN-0 (08/23) June 19, 2024 Type Amount Highway Easement $1.00 Consent to Grade $1.00 $2.00TOTAL Acceptance of Offer The undersigned accept(s) the Michigan Department of Transportation's (MDOT's) offer of $2.00 for the property described in MDOT's offer dated 06/19/2024. Furthermore, the undersigned agree(s) to the following terms and conditions set forth in the attached Addendum(a): Signatory Name: Signature: Signed Date: Signatory Title: Witness Signature: Witness Date: Witness Name: David T. Woodward Oakland County Chairperson, Oakland County Board of Commissioners Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 HIGHWAY EASEMENT Michigan Department of Transportation 0638 (05/24) The Grantor(s) Oakland County, for the sum of One dollars and 00 cents ($1.00) hereby grant(s) and convey(s) to the Michigan Department of Transportation, whose address is 425 W. Ottawa Street, P.O. Box 30050, Lansing, Michigan 48909, an easement for Highway purposes, in, over, and upon the real estate located in the City of Pontiac, County of Oakland, State of Michigan, commonly known as 51111 Woodward Ave and described on the attached Legal Description: Subject to the following: This conveyance includes the consent of the Grantor(s) to the removal, at any time, of such trees, shrubs, and vegetation as, in the judgement of the Michigan Department of Transportation, is necessary for the construction and maintenance of the highway. Notice of the Grantor(s) of the removal by the Michigan Department of Transportation of such trees, shrubs, and vegetation is not required. The Grantor(s) covenant and agree for themselves, their heirs, successors, and assigns, that they will not cut or remove any trees, shrubs, or vegetation from the highway easement without the written permission of the Michigan Department of Transportation. Oakland County OWNER OF RECORD 21059963201 7008_P8 CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Oakland County OWNER OF RECORD Highway EasementLegal Description: Part of Lots 5, 6, 7, and 11, Assessor’s Plat No. 65, as recorded in Liber 1A on Page 65 of Plats, Oakland County Records and Part of Lot 31, Assessor’s Plat No. 114, as recorded in Liber 53 on Page 9 of Plats, Oakland County Records, and Part of Lot 7 of Subdivision of Outlots 18, 22 AND 23 in the Southeast 1/4 of Section 29, Town 3 North, Range 10 East, City of Pontiac, Oakland County, Michigan, as recorded in Liber 1 on Page 3 of Plats, Oakland County Records, also Part of Vacated Dawson Alley, more particularly described as follows:   COMMENCING at the Intersection of the Northerly Right of Way line of Relocated Judson Street (79 feet wide) and the Westerly Right of Way line of Saginaw Street (Variable Width); said point being South 86°-07’-48” East, 2110.84 feet from the South 1/4 corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 17355, Page 880 of Oakland County Records, said point also being South 64°-36’-27” West, 646.11 feet from the Southeast corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 21052, Page 161 of Oakland County Records; thence South 74°-49’-47” West along said Northerly Right of Way line of Relocated Judson Street (79 feet wide), 253.87 feet to the POINT OF BEGINNING; thence South 74°-49’-47” West continuing along Northerly Right of Way line of said Relocated Judson Street (79 feet wide), 8.36 feet to the Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide); thence North 32°-05’-52” West, along said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 451.54 feet to the Southerly Right of Way line of Orchard Lake Avenue As-Widened (Variable Width); thence North 88°-13’-03” East, along said Southerly Right of Way of Orchard Lake Avenue As-Widened (Variable Width), 22.08 feet; thence South 06°-07’-12” East. 25.24 feet; thence South 32°-05’-52” East, with said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 420.13 feet Right of Way line of Relocated Judson Street (79 feet wide) and to the POINT OF BEGINNING. Subject to easements, reservations, if any, of record. State Plane Grid and Distances have a Combined Scale Factor of 0.999877119763.   The lands described above in easement contain 3765 square feet (0.086 acre), more or less. 21059963201 7008_P8 CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Addendum for Easement Michigan Department of Transportation 0643 (11/23) PRICE: The Grantor(s) will grant an Easement described in the attached legal description(s) to the Michigan Department of Transportation for the sum of $1.00, and to deliver to the Michigan Department of Transportation an Easement in accordance with and subject to the provisions within the attached easement instrument as well as the following: 1.The conveyance will include the consent of the Grantor(s) to the removal at any time of such trees, shrubs, and vegetation as is, in the judgment of MDOT, necessary to construct and maintain the easement. 2.Notice to the Grantor(s) of the removal of the items in provision 1 is not required. The Grantor(s) agrees that no trees, shrubs, or vegetation shall be cut or removed from the easement area by the Grantor(s), their heirs, successors, and assigns without the written permission of MDOT. TITLE: The Grantor(s) shall not sell, convey, mortgage, or otherwise encumber the title to the property or any part thereof, or permit any act or deed to diminish the value of the property described in the attached legal description(s) prior to recording of the Easement. IMPROVEMENTS: This sale includes all buildings, structures, trees, and other improvements located within the Easement and when necessary, the right to enter upon the remaining lands of the Grantor(s) to remove said improvements. OCCUPANCY: The Grantor(s) agree that MDOT will become the owner of the Easement upon payment of the sum listed above. The owner(s) shall have the right to occupy the improvements on the property for a period of 90 days after the closing. However, if the improvements on the property are vacated after the execution of this Acceptance of the Good Faith Offer, they cannot be reoccupied. Any personal property or fixtures that have not been removed by the date specified in a Notice to Quit issued by MDOT will become the property of MDOT. This provision does not apply to hazardous material. ESCROW AGENT: The Grantor(s) agree(s) that LIBERTY TITLE AGENCY - ANN ARBOR (Commitment # LIB191379) may act as escrow agent in closing this transaction. SPECIAL PROVISIONS: NONE Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Legal Description:Highway Easement Part of Lots 5, 6, 7, and 11, Assessor’s Plat No. 65, as recorded in Liber 1A on Page 65 of Plats, Oakland County Records and Part of Lot 31, Assessor’s Plat No. 114, as recorded in Liber 53 on Page 9 of Plats, Oakland County Records, and Part of Lot 7 of Subdivision of Outlots 18, 22 AND 23 in the Southeast 1/4 of Section 29, Town 3 North, Range 10 East, City of Pontiac, Oakland County, Michigan, as recorded in Liber 1 on Page 3 of Plats, Oakland County Records, also Part of Vacated Dawson Alley, more particularly described as follows:   COMMENCING at the Intersection of the Northerly Right of Way line of Relocated Judson Street (79 feet wide) and the Westerly Right of Way line of Saginaw Street (Variable Width); said point being South 86° -07’-48” East, 2110.84 feet from the South 1/4 corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 17355, Page 880 of Oakland County Records, said point also being South 64°-36’-27” West, 646.11 feet from the Southeast corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 21052, Page 161 of Oakland County Records; thence South 74°-49’-47” West along said Northerly Right of Way line of Relocated Judson Street (79 feet wide), 253.87 feet to the POINT OF BEGINNING; thence South 74°-49’-47” West continuing along Northerly Right of Way line of said Relocated Judson Street (79 feet wide), 8.36 feet to the Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide); thence North 32°-05’-52” West, along said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 451.54 feet to the Southerly Right of Way line of Orchard Lake Avenue As-Widened (Variable Width); thence North 88° -13’-03” East, along said Southerly Right of Way of Orchard Lake Avenue As-Widened (Variable Width), 22.08 feet; thence South 06°-07’-12” East. 25.24 feet; thence South 32°-05’-52” East, with said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 420.13 feet Right of Way line of Relocated Judson Street (79 feet wide) and to the POINT OF BEGINNING. Subject to easements, reservations, if any, of record. State Plane Grid and Distances have a Combined Scale Factor of 0.999877119763.   The lands described above in easement contain 3765 square feet (0.086 acre), more or less. CERTIFICATE OF SURVEY THIS SURVEY WAS PERFORMED FOR A PERMANENT EASEMENT ACQUISITION FOR MDOT. PARENT PARCEL LEGAL DESCRIPTION (FROM TITLE COMMITMENT FILE NUMBER LIB191379, WESTCOR LAND TITLE INSURANCE COMPANY, COMMITMENT DATE DECEMBER 20, 2023 @ 8AM) COMMONLY KNOWN AS PARCEL F, PONTIAC, MICHIGAN (TAX ID #64-14-32-226-020). The land referred to in this Commitment is located in the City of Pontiac, County of Oakland, State of Michigan, and described as follows: All or parts of the following Lots and parcels in the City of Pontiac, Oakland County, Michigan: Lot numbers 5, 6, 7, 8, 10 and 11, ASSESSOR'S PLAT NO. 65, as recorded in Liber 1A on Page 65 of Plats, Oakland County Records and Lot numbers 31 through 39, inclusive, ASSESSOR'S PLAT NO. 114, as recorded in Liber 53 on Page 9 of Plats, Oakland County Records, and part of Lot 7 of SUBDIVISION OF OUTLOTS 18, 22 AND 23 in the Southeast 1/4 of Section 29, Town 3 North, Range 10 East, City of Pontiac, Oakland County, Michigan, as recorded in Liber 1 on Page 3 of Plats, Oakland County Records, (shown as Detroit Grand Haven & Milwaukee Railroad, excepted from Assessors Plat No. 114), also vacated Dawson Alley, all the aforementioned being more particularly described as follows: Beginning at a point located Northerly 79.00 feet along the Easterly Right of Way line of Saginaw Street and South 75 degrees 25 minutes 42 seconds West 249.58 feet along the Northerly Right of Way line of proposed Judson Street from the Northwest corner of Lot 16 of Assessor's Plat No. 130, as recorded in Liber 54A of Plats on Page 71, Oakland County Records; thence South 75 degrees 25 minutes 42 seconds West 108.89 feet, along the Northerly Right of Way line of proposed Judson Street; thence North 31 degrees 27 minutes 19 seconds West 451.91 feet along the Easterly Right of Way line of West Wide Track to a point on the South Right of Way line of revised Orchard Lake Avenue; thence along the said Orchard Lake Right of Way line North 88 degrees 47 minutes 56 seconds East 25.00 feet and North 75 degrees 47 minutes 56 seconds East 173.34 feet to the beginning of a curve, along the arc of said curve to the right 51.05 feet (Delta = 13 degrees 00 minutes 00 seconds, Radius = 225.00 feet, Chord bearing and distance North 82 degrees 17 minutes 56 seconds East 50.94 feet) and North 88 degrees 47 minutes 56 seconds East, 48.06 feet; thence South 14 degrees 32 minutes 05 seconds East, 66.56 feet; thence South 75 degrees 27 minutes 55 seconds West, 54.58 feet; thence South 14 degrees 32 minutes 05 seconds East, 341.81 feet to the point of beginning, known as Parcel ‘F'. This description being parts of Urban Renewal Project Area R-44 and Urban Renewal Project Area R-20. ALSO described as: Assessors Plat No. 65, Sections 29 and 32, Town 3 North, Range 10 East, City of Pontiac, Oakland County, Michigan, Part of Lots 5 through 8 inclusive, Part of Lots 10 and 11, ALSO Part of vacated Dawson Alley, ALSO part of Lots 31 through 39, inclusive, of ASSESSORS PLAT NO. 114 feet, ALSO Part of Lot 7 of Subdivision of Outlots 18, 22 and 23 in Southeast 1/4 of Section 29, ALSO Part of Northeast 1/4 of Section 32 adjacent to Lot 5 of Assessor's Plat No. 65, all described as: Beginning at point distant North 14 degrees 22 minutes 45 seconds West 79.00 feet and South 75 degrees 25 minutes 42 seconds West 249.58 feet from Northwest corner of Lot 16 of Assessors Plat No. 130; thence South 75 degrees 25 minutes 42 seconds West 108.89 feet; thence North 31 degrees 27 minutes 19 seconds West 451.91 feet; thence North 88 degrees 47 minutes 56 seconds East 25.00 feet; thence North 75 degrees 47 minutes 56 seconds East 173.34 feet; thence along curve to right, Radius 225.00 feet, Chord bears North 82 degrees 17 minutes 56 seconds East 50.94 feet, Distance of 51.05 feet, thence North 88 degrees 47 minutes 56 seconds East 48.06 feet; thence South 14 degrees 32 minutes 05 seconds East 66.56 feet; thence South 75 degrees 27 minutes 55 seconds West 54.58 feet; thence South 14 degrees 32 minutes 05 seconds East 341.81 feet to beginning. FOR: PREPARED BY: SURVEYING SOLUTIONS, INC. 4471 M-61 STANDISH, MI 48658 DRAWN BY: BPT CHECKED BY: JPD FILE: CS63201_JN210599_Parcel 7008 Survey.dgn CS: 63201 JN: 210599A ROUTE: Woodward PARCEL NO: 7008 DATE: 2024-05-16 SHEET: 1 of 4 PR E L I M I N A R Y Michigan, andan numbers 5, 6, 7,umbers 5, 6 8, 1 cords and Lot numberscords and Lot numb d County Records, andd County Records, and 3 North, Range 10 Eastorth, Range 10 Ea ds, (shown as Detroit Gds, (shown as D the aforementioned bee aforementioned b y Right of Way line of Sy Right of Way line of S ht of Way line of proposWay line of p f Plats on Page 71, OaPlats on Page 71, O erly Right of Way line orly Right of Way line o terly Right of Way line terly Right of Way he said Orchard Lake Raid Orchard Lake R s 56 seconds East 173s 56 seconds East 173 inutes 00 seconds, Rainutes 00 seconds, Ra nd North 88 degrees 4d North 88 degrees et; thence South 75 dee South 75 d 81 feet to the point of b feet to the point of Renewal Project Area RRenewal Project Area f Pontiac, Oakland Couf Pontiac, Oakland Cou ley, ALSO part of Lots y, ALSO part of Lots 22 and 23 in Southea22 and 23 in Southea described as: Beginnindescribed as: Beginnin 42 seconds West 249seconds West 249 s 42 seconds West 108s 42 seconds We tes 56 seconds East 2tes 56 seconds East 5.00 feet, Chord 5.00 feet s 56 secos 56 s ecoeco CERTIFICATE OF SURVEY THIS SURVEY WAS PERFORMED FOR A PERMANENT EASEMENT ACQUISITION FOR MDOT. MDOT EASEMENT ACQUISITION PARCEL DESCRIPTION MDOT PARCEL 7008, CONTROL SECTION 63201 Part of Lots 5, 6, 7, and 11, Assessor’s Plat No. 65, as recorded in Liber 1A on Page 65 of Plats, Oakland County Records and Part of Lot 31, Assessor’s Plat No. 114, as recorded in Liber 53 on Page 9 of Plats, Oakland County Records, and Part of Lot 7 of Subdivision of Outlots 18, 22 AND 23 in the Southeast 1/4 of Section 29, Town 3 North, Range 10 East, City of Pontiac, Oakland County, Michigan, as recorded in Liber 1 on Page 3 of Plats, Oakland County Records, also Part of Vacated Dawson Alley, more particularly described as follows: COMMENCING at the Intersection of the Northerly Right of Way line of Relocated Judson Street (79 feet wide) and the Westerly Right of Way line of Saginaw Street (Variable Width); said point being South 86°-07’-48” East, 2110.84 feet from the South 1/4 corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 17355, Page 880 of Oakland County Records, said point also being South 64°-36’-27” West, 646.11 feet from the Southeast corner of Section 29, Town 3 North – Range 10 East, as recorded in Liber 21052, Page 161 of Oakland County Records; thence South 74°-49’-47” West along said Northerly Right of Way line of Relocated Judson Street (79 feet wide), 253.87 feet to the POINT OF BEGINNING; thence South 74°-49’-47” West continuing along Northerly Right of Way line of said Relocated Judson Street (79 feet wide), 8.36 feet to the Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide); thence North 32°-05’-52” West, along said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 451.54 feet to the Southerly Right of Way line of Orchard Lake Avenue As- Widened (Variable Width); thence North 88°-13’-03” East, along said Southerly Right of Way of Orchard Lake Avenue As-Widened (Variable Width), 22.08 feet; thence South 06°-07’-12” East. 25.24 feet; thence South 32°-05’-52” East, Parallel with said Easterly Limited Access Right of Way line of Woodward Avenue (Wide Track Drive 90 feet wide), 420.13 feet to said Northerly Right of Way line of Relocated Judson Street (79 feet wide) and to the POINT OF BEGINNING. Subject to easements, rights of way, reservations, if any, of record. State Plane Grid and Distances have a Combined Scale Factor of 0.999877119763. The lands described above in easement contain 3765 square feet (0.086 acre), more or less NOTES: 1. Bearings are based on Grid North for Michigan Coordinate System, South Zone (2113). Note that the bearing system for this survey is not relative to the bearings of the Parent Parcel description. 2. Coordinate system is Michigan Coordinate System, South Zone (2113). 3. The measured distances shown on this survey and expressed in the Easement Parcel Description is Grid. 4. Average Combined Scale Factor for the project is 0.999877119763. 5. Ground Distance = Grid Distance / Average Combined Scale Factor. 6. The coordinate system was established by GPS measurement and is referenced to the Primary Control for MDOT JN 210599A. 7. Parcels are subject to any right-of-ways, easements or restrictions recorded or un-recorded, if any. 8. No gaps, gores or overlaps were discovered during this survey. 9. Precision measures the relative positional precision defined as the length of the semi-major axis, expressed in feet, of the error representing the uncertainty due to random errors in measurement at the 95 percent confidence level (2Σ). 10. The ratio of closures of the boundaries shown hereon do not exceed 1 in 5000. 11. Not all easements which burden this parcel have been shown. See title commitment for Schedule B exceptions. REFERENCES: 1. Westcor Land Title Insurance Company, Commitment File Number LIB191379, Commitment Date 12-20-23 at 8:00 am. 2. Assessor's Plat No. 65, as recorded in Liber 1A of Plats, Page 65, Oakland County Records. 3. Assessor's Plat No. 114, as recorded in Liber 53 of Plats, Page 9, Oakland County Records. 4. Subdivision of Outlots 18, 22 and 23, as recorded in Liber 1 of Plats, Page 3, Oakland County Records. GOVERNMENT CORNER INFORMATION: South 1/4 Corner, Section 29 T.3 N.-R.10 E. (D-11) Southeast Corner, Section 29, T.3 N.-R.10 E. (E-11) Found brass cap in mon box Found brass cap in mon box Witnesses: Witnesses: N64°W 45.36’ Face of building S19°E 36.84’ “x” in NE base metal pole N46°E 44.55’ Found “x” in top of hydrant S87°W 55.01’ “x” on NE bolt of light pole N72°W 24.97’ Center of bolt SE side metal pole base N14°E 73.65’ “x” on Easterly base metal pole S20°W 69.36’ Arrow on E. side concrete pole foundation South 13.35’ Face of curb FOR: PREPARED BY: SURVEYING SOLUTIONS, INC. 4471 M-61 STANDISH, MI 48658 DRAWN BY: BPT CHECKED BY: JPD FILE: CS63201_JN210599_Parcel 7008 Survey.dgn CS: 63201 JN: 210599A ROUTE: Woodward PARCEL NO: 7008 DATE: 2024-05-16 SHEET: 2 of 4 PR E L I M I N A R Y ake Aake Parallel wirall t to said Northerly t to said No ments, rights of way, resments, rights of wa 3.3. r less uthh Zone (211Zone (21133). )Note n.n. (211(21133).). ed in the ed in the Easementasem Pa 77119763.7119763. d Scale Factor.e Factor. measurement and is refeasurement and is r ments or restrictions reents or restrictions d during this survey.g this survey nal precision defined asal precision defined as random errors in measrandom errors in meas daries shown hereon ddaries shown hereon d en this parcel have ben this parcel have be e Insurance Companysurance Company t t No. No. 6565, as recorded , as reco Plat No. 114, as Plat No. 114 recorreco f Outlots 18, 22 af Outlots PR E L I M I N A R Y RERERERERERE LILILL YY NANA LI M EL I AR Y LI M ARRYYYYYYYYYYYYYY M I N LILI M PRPPPPPPPPPPPPPPPPPPPPPPPPP LLI M LL ARARARR EERE LEL A IN IM RYRYRY L R M I M EEE AAAA INININN IMIMM RYRYRYRYRYRYRYRRRYRYRYRYRYRYR II M I M I M I PR E L I M I N A R Y PRRRELELELEL RE RYYY LI M EL RE AR NA L NNA RY AAAA IN A ELEL I ELEL RERERE LI MIMIIM N PRPRP AR Y A Y EL I RE LEL M I N M I N RERERER LLLILILILI M LI M LI M LI M LI MIMIMMMMMMIIIMIMIMIMIMIMIMMMMMMMMMMMMMMMMMMMM NN PPPPPPPRPRPPPPPPPRPR ARARARARAR Y A YYYYY LLLILILILILILILIII EEEEELELELELELELELLL MMMMMM I M I M I M I N M I N M I M I N M I N MMMM I M I M I N M I N M I N M I N County of Notary Public: The foregoing instrument was acknowledged before me this ______ of ______________, 20______ Andrew Ketchum, Property Specialist 18101 W. Nine Mile Rd. Southfield, MI 48075 Southfield, MI 48075 18101 W. Nine Mile Rd. Dated this day of , 20_______. NOTARY ACKNOWLEDGEMENT State of Notary Signature: Notary Name: County, Acting in County, Michigan Department of Transportation Drafted by: Michigan Department of Transportation Metro Region Real Estate After Recording Return to: My Commission Expires: Oakland County OWNER OF RECORD Oakland County Grantor Signature: ______________________________________ Grantor Name: David T. Woodward Grantor Title: Chairperson, Oakland County Board of Commissioners by , the of , a , on behalf of said entity. (Grantor Name)(Title) (Name of Entity)(Type of Entity) 21059963201 7008_P8 CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Michigan Department of Transportation 0640C (05/24)CONSENT The Grantor(s) Oakland County, for the sum of One dollars and 00 cents ($1.00) grant to the Michigan Department of Transportation, whose address is 425 W. Ottawa Street, P.O. Box 30050, Lansing, Michigan 48909 the right to Consent to Grade, for transportation purposes, in over, and upon the real estate located in the City of Pontiac, County of Oakland, State of Michigan, as described on the attached Legal Description; commonly known as 51111 Woodward Ave, including, but not limited to, the right to any drainage structure replacement or repair, the right to remove trees, shrubs, and vegetation as necessary in the judgment of the Michigan Department of Transportation and the right of temporary occupancy by public utilities; effective from start of project to completion of project. Oakland County OWNER OF RECORD PROPERTY TAX CODE 14-32-226-020 21059963201 7008_P8 CONTROL SECTION JOB NUMBER PARCEL Oakland County OWNER OF RECORD PROPERTY TAX CODE 14-32-226-020 Legal Description:Consent to Grade Station # See attached Exhibit B for Consent to Grade. 21059963201 7008_P8 CONTROL SECTION JOB NUMBER PARCEL Michigan Department of Transportation (11/23) Addendum for Consent(s) PRICE: The owner(s) agree(s) to grant the property described in the attached legal description(s) to the Michigan Department of Transportation for the sum of $1.00 via the appropriate instrument(s). CONSENT TYPE(S): Consent to Grade OCCUPANCY: The owner(s) agree(s) to grant the Michigan Department of Transportation occupancy of the described property upon payment of the price listed above effective from start of project through completion of project. CONVEYANCE: The owner(s) agree to deliver to MDOT the above cited consents subject to the following provision: This conveyance includes, but is not limited to, the right to any drainage structure replacement or repair; the right to remove trees, shrubs, and vegetation as necessary in the judgement of the Michigan Department of Transportation and the right of temporary occupancy by public utilities. SPECIAL PROVISIONS: Any trees, landscaping, and sprinkler lines removed by project within the Consent to Grade to be replaced by the project. Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Oakland County 210599 7008_P863201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-226-020 Legal Description: Consent to Grade Station # See attached Exhibit B for Consent to Grade. County of Notary Public: Metro Region Real Estate The foregoing instrument was acknowledged before me this ______ of ______________, 20______ Andrew Ketchum, Property Specialist 18101 W. Nine Mile Rd. Southfield, MI 48075 18101 W. Nine Mile Rd. Southfield, MI 48075 Dated this day of , 20_______. NOTARY ACKNOWLEDGEMENT State of Notary Signature: Notary Name: County, Acting in County, Michigan Department of Transportation Drafted by: Michigan Department of Transportation After Recording Return to: My Commission Expires: Oakland County OWNER OF RECORD PROPERTY TAX CODE 14-32-226-020 Oakland County Grantor Signature: ______________________________________ Grantor Name: David T. Woodward Grantor Title: Chairperson, Oakland County Board of Commissioners by ________________________________________, the ________________________________________ of , a , on behalf of said entity. (Grantor Name)(Title) (Name of Entity)(Type of Entity) 21059963201 7008_P8 CONTROL SECTION JOB NUMBER PARCEL 0.086 ACRE 3765 SQ.FT. PROP LA ROW 246.40' N32°05'52"W 180.74' S32°05'52"E 20.06' N06°07'12"W 67 68 69 70 71 72 (WOODWARD AVE) I-75BL O R C H A R D L A K E R D TO GRADE CONSENT TO EX ROW TO EX ROW OTTAWA TOWERS LLC 51111 WOODWARD AVE 14-32-226-020 8 0.079 ACRE 3453 SQ.FT. CONSENT TO GRADE J U D S O N S T TO EX ROW 420.14' S32°05'52"E 7.00' S57°54'08"W 25.24' S06°07'12"E 64.06' RT +96.67 65.83' RT +95.63 53.00' RT +73.98 TO EX ROW 53.00' RT +53.84 LA ROW PROP 1 1 ' 8 ' 4 ' N E X 9 0 ' L A R O W E X R O W VA RI E S 64.00' RT +50.49 EXHIBIT "B" PARCEL 8 JN 210599 CS 63041 LALI2 EX BUILDING 2' 57.00' RT +96.88 64.00' RT +96.88 57.00' RT +77.62 14-32-226-020 63201-7008 15 14 13 12 39 35 34 33 32 31 36 D .G .H .& M. R R 7 8 9 1 2 3 4 5 6 7 8 A SSE SSO R 'S PLAT N o 65 D .G .H .& M. R R (EX C EPTED ) 9 37 38 Michigan Department of Transportation 0626 (08/23) DISPLACEE(S): Based on information as of 06/19/2024 you are eligible for the following benefits as indicated. You will NOT be required to move before 09/17/2024. Self Move - Fixed Cost Commercial Move $ To Be Determined $ To Be Determined RELOCATION ELIGIBILITY NOTICE Oakland County NON-RESIDENTIAL Moving Expenses OR Claim must be filed within the prescribed time limits as noted on MDOT claim form 0677 or 0679. Claims cannot be paid until all the conditions on the claim form have been met. You may file your appeal at any time up to 6 months after you have received this notice. SEE RELOCATION BOOKLET FOR COMPLETE DESCRIPTION OF THE RELOCATION PROGRAM 06/19/2024 586-405-1430 PROPERTY ANALYST SIGNATUREPROPERTY ANALYST DATE Andrew Ketchum 18101 W. Nine Mile Rd.,Southfield, MI 48075Tom Jay REGION AGENT REGION ADDRESS PHONE NUMBER MARKET STUDY REPORT – COMMERCIAL LAND PREPARED FOR: MICHIGAN DEPARTMENT OF TRANSPORTATION (MDOT) PROJECT: I-75 BL WOODWARD LOOP ONE-WAY TO TWO-WAY CONVERSION MDOT CONTROL SECTION: CS63201 MDOT JOB NUMBER: JN210599 BLN JOB NUMBER: 210069-501 REPORT DATE: MARCH 22, 2024 2 March 22, 2024 Michigan Department of Transportation 425 W Ottawa Street Lansing, MI 48909 Re: I-75BL Woodward Loop One-Way to Two-Way Conversion Project Attention: Tom Jay This Market Study report has been prepared for the Michigan Department of Transportation (MDOT) in connection with the I-75 BL Woodward Loop Project in the city of Pontiac, Oakland County, Michigan, specifically regarding the Right-of-Way (ROW) phase and addressing commercial vacant land. The market study and this report have been developed in conformance with the applicable requirements of:  the Uniform Standards of Professional Appraisal Practice (USPAP),  the Michigan Department of Transportation Real Estate Procedure Manual (12/27/23),  the Michigan Department of Transportation Market Study Requirements and Guidelines (12/07/21), and  the Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute. In addition, the following statement is a requirement of Michigan Occupational Code, Article 26: Appraisers are required to be licensed and are regulated by the Michigan Department of Labor and Economic Growth, P.O. Box 30018, Lansing, Michigan 48909. 3 Mr. Tom Jay March 22, 2024 Page 2 Certification A market study is not an appraisal nor is this report an appraisal report. Nonetheless, conformance with the Uniform Standards of Professional Practice of the Appraisal Institute also includes the reporting requirement of the Appraisal Institute’s Certification Standard for Appraisal Institute designated members. As such, the following certification statements are applicable:  The reported analysis, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute.  The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives.  As of the date of this report, I have completed the continuing education program for Designated Members of the Appraisal Institute. This letter, inclusive of the preparer’s certification, is an integral part of, and shall not be separated from, this entire report. Sincerely, Susan P. Shipman, MAI Certified General Real Estate Appraiser Michigan License No. 1205003814 Expires: July 31, 2025 Kevin J. Camero-Sulak Certified General Real Estate Appraiser Michigan License No. 1205002779 Expires: July 31, 2024 TABLE OF CONTENTS 4 TABLE OF CONTENTS Cover Page ................................................................................................................................................... 1  Transmittal Letter and Appraiser Certification ............................................................................................... 2  Table of Contents .......................................................................................................................................... 4  Scope of Work ............................................................................................................................................... 5  Assignment Conditions ................................................................................................................................. 7  Assumptions and Limiting Conditions ....................................................................................................... 7  Jurisdictional Exceptions ........................................................................................................................... 7  Location Analysis .......................................................................................................................................... 8  Regional .................................................................................................................................................... 8  Project Overview ......................................................................................................................................... 11  Description of the Property Type ................................................................................................................ 13  Delineation of the Market Study Area ......................................................................................................... 15  Sales Data ................................................................................................................................................... 16  Temporary Takings (Consents) – Land Return Rates ................................................................................ 22  Addenda ...................................................................................................................................................... 23  SCOPE OF WORK 5 SCOPE OF WORK Type of Assignment: Market Study Client: Michigan Department of Transportation Intended User: Michigan Department of Transportation Intended Use: The market study will be used by qualified Michigan Department of Transportation (MDOT) representatives as a basis for determining just compensation in connection with the use of Waiver Valuations for permanent and temporary easement (consent) acquisitions on commercial vacant land in the Right-of-Way (ROW) phase of the I-75BL Woodward Loop One-Way to Two-Way Conversion Project. Waiver Valuation Process: The Waiver Valuation process is a valuation process used when MDOT determines that an appraisal is not required, pursuant to CFR 24.102(C)(2), excerpted below. According to (2)(ii), an appraisal is not required when the valuation problem is “uncomplicated and the anticipated value of the proposed acquisition is estimated at $10,000 or less1, based on a review of available data”. In addition to the term “uncomplicated”, found in (2)(ii) above, the term “non-complex” is also used by MDOT in its Real Estate Procedure Manual (12/27/23) when referring to parcels for which the Waiver Valuation process may be used. MDOT does not define either term. The Appraisal Institute doesn’t either, but it does discuss “complex” assignments throughout The Appraisal of Real Estate, 14th Edition. From that, this Market Study defines an “uncomplicated” valuation problem as one involving a typical property in a market where macro-level data about the market and micro- level data are readily available from standard sources. 1 As noted above in (2)(ii)(C), the $10,000 threshold may be increased under certain conditions. SCOPE OF WORK 6 Definition of Market Study: A market study is not an appraisal, nor is it an opinion of value, or even a range of values. It is a search for and factual presentation of sales of a specific property type in a specific area, as defined by the Client. In this case: Property Type: Commercial Vacant Land Study Area: I-75BL Woodward Avenue Loop in the city of Pontiac, Michigan The problem to be solved in market study assignment is not an opinion of value, nor a range of values. A market study is not a comparative analysis of the sales to any specific subject property, as an appraisal would be – it is a search for and presentation of raw data, interpreted only using descriptive statistics. Compliance: Under the 2024 Uniform Standards of Professional Appraisal Practice (USPAP), a market study is categorized as an “other valuation” service under the. The scope of service is such that development and reporting of the market study is not covered under the specific performance standards of USPAP, i.e., Standards 1 and 2, but the Preamble, Definitions, Ethics Rule, Competency Rule, and Jurisdictional Exception Rule of USPAP do apply. This Market Study was also developed in conformance with the applicable requirements of the MDOT Real Estate Procedure Manual (12/27/23) and the MDOT Market Study Requirements and Guidelines (12/07/21). In addition, this Market Study complies with the Uniform Relocation Assistance and Real Property Acquisitions Policy Act (the Uniform Act)–Common Rule–49 CFR Part 24. ASSIGNMENT CONDITIONS 7 ASSIGNMENT CONDITIONS Use of or reliance on this report constitutes acknowledgment and acceptance of the Assumptions and Limiting Conditions, Jurisdictional Exceptions, and any other terms and conditions (collectively, “Assignment Conditions”) stated in this report. ASSUMPTIONS AND LIMITING CONDITIONS The market study has been made subject to the following assumptions and limiting conditions: 1. Unless otherwise stated herein this report, the Appraiser has assumed that all information relied upon in the market study is accurate and reliable and that no information material to the market study has been withheld. Withheld or erroneous information provided or obtained could affect the market study. Neither the Appraiser nor Beam, Longest and Neff, LLC shall be responsible for the accuracy or completeness of any information provided or obtained during the course of the market study. Accordingly, the Appraiser reserves the right to amend this report if any such errors or withheld information is brought to the attention of the Appraiser. 2. This report shall be considered only in its entirety and no part of this report shall be utilized separately or out of context. Exhibits and other illustrative material presented in this report are included only to assist in visualizing matters discussed in this report and shall not be removed, reproduced, or used apart from this report. 3. Any party other than the Client receiving a copy of this report does not, as a consequence, become a party to the appraiser-client relationship nor does such other party become an intended user of this report unless the Client specifically identified them at the time of the assignment. Neither Appraiser nor Beam, Longest and Neff, LLC, is responsible to parties who are not identified as intended users or for uses not identified as intended uses. 4. Possession of this report, or a copy thereof, does not carry with it the right of publication. No part of this report may be published or used in any advertising materials, public relations, news, sales, or other media, property listings, investment offerings or prospectuses, or securities filings or statements without prior written authorization of Appraiser or Beam, Longest and Neff, LLC, which, at their sole discretion, reserve the right to withhold. Any party who publishes or uses this report without such authorization or who provides this report for such unauthorized use or publication agrees to indemnify and hold Appraiser and Beam, Longest and Neff, LLC harmless from and against all damages, liabilities, losses, causes of actions, expenses, claims and costs, including attorneys' fees, incurred in the investigation and/or defense of any claim arising from or in any way connected to the unauthorized use or publication. JURISDICTIONAL EXCEPTIONS No jurisdictional exceptions were applied in the development or reporting of the market study. LOCATION ANALYSIS 8 LOCATION ANALYSIS This section of the Market Study is intended to provide a demographic and economic overview of the larger regional area in which the MDOT Project is located, as well as a more localized context. The subject property is in the city of Pontiac, in Oakland County, in southeastern Michigan. Moody’s Analytics places it more specifically in what it refers to as the Warren-Troy-Farmington Hills (WTFH) Metropolitan Area. The most recent issue (October 2023) of Moody’s Precis economic report on the WTFH Metropolitan Area is presented in the Addenda to this report. REGIONAL The Precis report indicates the WTFH Area’s strengths include the presence of auto-related R&D centers and headquarters for automakers and suppliers and above-average per capita income and educational attainment. Stellantis’ significant investment in a new state-of-the-art assembly plant in the city of Detroit is expected to spur supplier growth that will benefit the region and investment in electric vehicles should create long-term demand for auto-related tech. Weaknesses include a shrinking work-age population, overreliance on manufactured and domestic vehicle industry, and elevated employment vitality. High borrowing costs are hurting demand for vehicles and stock market volatility has halted growth in the tech sector. Source: Moody’s Analytics Precis U.S. Metro Report – Warren-Troy-Farmington Hills MSA The forecast for WTFH Metro through 2028 includes nominal population growth (0.01 to 0.02 percent per year) and an uptick in the unemployment rate (from 3.1 to 5.0 percent), with single-family housing permits are forecast at 283 less in 2024 than in 2023 and expected to trend upward to 6,309 by 2027. At the same time, multi-family housing permits are on a downward decline, showing a preference for home ownership versus rental. LOCATION ANALYSIS 9 LOCAL AREA The following demographic table shows the same data for the city of Pontiac, Oakland County and the Tri-County Area. Pontiac is the county seat of Oakland County. The city was best known for its General Motors (GM) automobile manufacturing plants of the 20th century, which were the basis of its economy and contributed to the wealth of the region. In the city's heyday, it was the site of the primary automobile assembly plant for the production of the famed Pontiac cars, a brand named after the city. The Pontiac brand itself was discontinued in 2010 by General Motors. In 1975, the city of Pontiac built the Pontiac Silverdome, the stadium that hosted the Detroit Lions of the National Football League from 1975 to 2001, when the team returned to downtown Detroit at Ford Field. Super Bowl XVI was played at the Silverdome in 1982. After 2001, the stadium continued to be used for concerts and other events until it was demolished in 2018. It is now the site of an Amazon Fulfillment and Distribution facility. As the data reveals, the city of Pontiac accounts for only five percent of the Oakland County population and five percent of the Oakland County households, with no change forecast over the next five years. Household income in Pontiac is less than 50 percent of that of Oakland County, and unemployment is more than double. On August 17, 2023, Oakland County issued a Press Release announcing a commitment to redevelop, revitalize, and reconnect Downtown Pontiac, after decades of disinvestment, in partnership with the City of Pontiac and the State of Michigan. The County-City agreement outlines the County’s plans to refurbish the former GM building on East Judson and move up to 600 employees into the building, returning a portion of the County’s workforce to downtown Pontiac after an absence of more than 50 years. Other phases of work include the relocation of the parking garage, the reopening of Saginaw Street, and the creation of walkable green space. Oakland County Executive Dave Coulter was quoted as saying “In an historic opportunity, through a partnership with the city and state, we are re-investing in downtown Pontiac. Since 2000, we have assisted [other] communities in creating unique and vibrant downtowns and with this transformational project, it is Pontiac’s turn to shine. Tri-County Area Population 2010 Population 59,651 5% 1,202,355 38% 3,150,096 2020 Population 61,606 5% 1,274,395 39% 3,310,062 2023 Population 62,479 5% 1,285,938 39% 3,311,447 2028 Population 62,112 5% 1,290,575 39% 3,299,359 2010 - 2020 CAGR 0.3%0.6%0.5% 2020 - 2023 CAGR 0.5%0.3%0.0% 2023 - 2028 CAGR -0.1%0.1%-0.1% Households 2010 Households 22,279 5% 483,696 39% 1,248,755 2020 Households 23,993 5% 524,047 39% 1,332,373 2023 Households 24,406 5% 532,151 40% 1,342,047 2028 Households 24,494 5% 539,208 40% 1,350,981 2010 - 2020 CAGR 0.7%0.8%0.7% 2020 - 2023 CAGR 0.6%0.5%0.2% 2023 - 2028 CAGR 0.1%0.3%0.1% Household Income 2023 Average HH Income $55,074 42% $130,356 128% 101,938 2028 Average HH Income $64,010 43% $147,213 126% 116,634 2023 - 2028 CAGR 3.1%2.5%2.7% Unemployment3 2023 Labor Force 28,787 4% 697,498 40% 1,723,927 2023 Unemployed 2,562 9%28,597 74,843 2023 Unemployment Rate 8.9% 4.1% 4.3% Source: STDB 1 Tri-County Area = Macomb County, Oakland County, and Wayne County excluding the city of Detroit 2 Wayne County Data excludes the city of Detroit 3 Unemployment is based on Civilian Population 16+ As a % of Oakland County As a % of Tri- County Area Demographic Summary - City of Pontiac, Oakland County, Tri-County Area1 City of Pontiac Oakland County LOCATION ANALYSIS 10 Phoenix Center and Ottawa Towers Source: Google Earth An agreement approved by the Oakland County Board of Commissioners and Pontiac City Council outlines how the project will proceed:  The City will use funds received from the State of Michigan to retire debt related to the Phoenix Center and will convey ownership of the property on which it sits to Oakland County.2  The County will demolish the Phoenix Center, reopening Saginaw Street through to what is now the south end of the Woodward Loop and creating a much more walkable environment in downtown Pontiac.  The Phoenix Center will be demolished rather than refurbished because cost estimates to bring the parking garage and amphitheater into fully functioning shape, as well as future maintenance, were estimated at $61 million, compared to total costs of $120 to $130 million for the project as a whole.  Other County plans include construction of a new parking garage for the use of the workers in the two office buildings, as well as by residents and people doing business downtown. A recent Plante Moran study revealed more than $550 million in critical repairs needed at buildings now on the Oakland County Campus in northwest Pontiac and Waterford. By moving to Pontiac and consolidating three existing Campus buildings into one, the County will avoid $54 mill in costs to just make the current buildings safe and up-to- code for continued occupancy.  After removing the Phoenix Center, the County has committed to convey a minimum of two acres of land to the City, with the City to determine how it can best be used for the benefit of the residents. The intent and hope is that the County’s investment will help spark a revitalization of our downtown and restore Pontiac’s rightful place as the “heart of Oakland County”, as Pontiac Mayor Greimel stated. The I-75BL Woodward Loop Conversion Project is another critical part of the overall plan and expected to be completed in 2025 or 2026. 2 This closing had already occurred as of the current valuation date. PROJECT OVERVIEW 11 PROJECT OVERVIEW The Michigan Department of Transportation (MDOT) is responsible for Michigan’s nearly 10,000-mile state highway system, comprised of all M (Michigan), I (Interstate), and US routes. A current MDOT project called the I-75BL Woodward Loop Conversion Project involves converting the roadway from a one-way direction to two-way traffic using the current pavement, which was rebuilt in 2007. The following map shows the location of the Loop within the city of Pontiac and the surrounding area. Source: Oakland County Property Gateway The work will include intersection modifications and improvements, right-of-way acquisition, drainage improvements, permanent signs, and new sidewalks. Work would also include rebuilding M-59 (Huron Street) within the Woodard Loop and repaving Cass Avenue with new sidewalk segments to fill in. Construction is expected to start in 2025 and be completed in 2026. As noted before, the Loop Conversion Project will benefit the comprehensive vision shared among the Pontiac City Council, the Oakland County Executive, and the Oakland County Board of Commissioners, made possible by an influx of federal, state, and county funds, that may become a true Pontiac renaissance. Oakland County recently announced it will demolish the Phoenix Center amphitheater and garage and retire Pontiac’s debt related to it, move up to 600 employees into one of the two adjacent office buildings that it purchased, built a new parking garage, and convey a minimum of two acres downtown to the City to use as community space for the benefit of the residents. “For years, the Phoenix Center has been a decrepit, blighted structure, that obstructed our main street and bifurcated our downtown, so this project will reconnect our central business district while bringing in more foot traffic with the relocation of so many county employees”, says Mayor Tim Greimel, and “The Loop has been a superhighway that almost serves as a moat around the downtown, so this new two-way configuration will be pedestrian-friendly and make the downtown more accessible.” PROJECT OVERVIEW 12 Source: Oakland County Property Gateway DESCRIPTION OF THE PROPERTY TYPE 13 DESCRIPTION OF THE PROPERTY TYPE The Client has requested a market study of “commercial vacant land” in connection with property rights needed over specific parcels of real property in the Project area for which Waivers of Valuation may be used. Before delineating the area from which sale activity will be researched, the Project area is examined to identify the types of commercial land within it. From the map excerpt presented, the C-2 Downtown zoning designation is clearly the most prominent inside the Loop area. Secondary designations are C-3 Corridor Commercial and CC Civic Center. DESCRIPTION OF THE PROPERTY TYPE 14 Current Zoning Designation:C2, Downtown Mixed Use C3, Corridor Mixed Use Intent/Purpose of Zoning District:This zoning classification consists of higher density mixed use development that accommodates a variety of uses. This zoning classification is designed to provide for a mixture of uses that are appropriate along thoroughfare and collector streets that have moderate to large traffic volumes. Permitted Uses:Retail, office, residential, and entertainment uses, and civic and institutional uses of regional importance Retail, office, residential, and entertainment uses, and civic and institutional uses of regional importance This district has a historic character and is built at a walkable scale that creates pedestrian activity. The uses located in this district are enhanced by their centrality of location, ease of access to major transportation routes, and proximity to similar and complementary uses. This district is suitable for any use except for uses that require large tracts of land, uses that require large outdoor components, uses that generate large volumes of truck traffic, or uses that do not support or contribute to an active pedestrian environment. The regulations applicable in this district are intended to support incremental development within the district that respects and enhances the existing built fabric. Uses that cater to or require high degrees of automobile access are not permitted in this district. This district has a wide range of uses are appropriate within this context, including retail and service commercial, office, and low-impact light industrial uses. It is expected that most customers of establishments in this district will travel via automobile, and as there is little essential interdependence of activities, each establishment typically will have its own automobile parking area. Good traffic accessibility is essential to this district, particularly for trucks and other freight carriers. Some permitted uses in this district generate significant automobile and/or truck traffic. Zoning Designations Category C2, Downtown Mixed Use C3, Corridor Mixed Use Minimum Lot Area (SF)2,000 SF 6,000 SF Minimum Interior/Corner Lot Width 20/20 60/60 Maximum Lot Coverage:30%10% Minimum Setbacks (Common Yard or Front Parking, Private Frontage) 1 Front:15 feet on Woodward 10 feet 10 feet elsewhere Side(s):5 feet 10 feet (street) 0 feet (interior) Rear:10 feet 20 feet Maximum (Stories/Feet):Max bldg height on lot adjacent to R-1, R-2, R-3 or R-5 shall be equal to bldg setback for residential property boundary 35 feet, or max bldg height on small front setback lots is to be greater of 35 feet or 50% of width of ROW of front street abutting the lot 1 (See Zoning Ordinance for Minimum Setbacks for Stoop, Courtyard, or Streetfront Private Frontage Zoning Requirements DELINEATION OF THE MARKET STUDY AREA 15 DELINEATION OF THE MARKET STUDY AREA Similar to surrounding suburban communities of the region, Pontiac’s commercial-zoned sites are commonly made up of various-sized tax parcels ranging from a fraction of an acre up to about five acres. The limited quantity of sales of commercially zoned parcels of land within and immediately adjacent to the Project area necessitates a broader geographic search for sales beyond the city of Pontiac. Source: STDB The search was extended to a radius of 10 miles to find a sufficient quantity of sales to create a credible sampling size. The map above shows that radius. SALES DATA 16 SALES DATA In keeping with the intended use of the Market Study, the following steps were followed in the course of identifying sales in the Market Study Area:  The search for sales data was completed using platforms traditionally used in the market: CoStar, RealComp, and public records.  The criteria used to search for sales were as follows: o Sales within the defined Market Study Area, o Sales occurring over a three-year period from January 1, 2021, through December 31, 2023, o Sales involving a sale price greater than $1, and o Sales of vacant land classified (zoned) for commercial use.  Sales were researched to the extent necessary to confirm the sale actually occurred, by referencing deeds, assessment records and/or confirmation by a party to the sale.  By definition, the sales data presented in a market study should be reliable indicators of market transactions for the Client-specified property type. Consistent with that, MDOT’s Market Study Requirements and Guidelines allow sales to be omitted from the study if they are “not an arm’s- length transaction, etc. or found to be of a different use than the study3”. Accordingly, sales between related parties were omitted, as were sales between government agencies. Also, sales purchased for a different use than the property type/use being studied were omitted. For example, a sale of commercial land purchased contingent on rezoning for multi-family residential development would be omitted as it would not be a reliable indicator of the market for commercial land.  While the purpose of the Market Study is decidedly not to conclude to value(s), sales occurring under circumstances inconsistent with MDOT’s definition of “market value” required for condemnation matters, shown below, were also logically omitted in that they would not be indicative of a typical market transaction. “The market value of land or real estate is the highest price estimated in terms of money that the property will bring if exposed for sale in the open market with a reasonable time allowed to find a purchaser buying with knowledge of all the uses and purposes to which it is adapted and for which it is capable of being used; the amount which property would bring if it were offered for sale by one who desired, but was not obligated, to sell, and was bought by one who was willing, but not obligated to buy; what the property would bring in the hands of a prudent seller, at liberty to fix the time and conditions of sale; what the property will sell for on negotiations resulting in sale between an owner willing but not obliged to sell and a willing buyer not obliged to buy; what the property would be reasonably worth on the market for a cash price, allowing a reasonable time within which to effect a sale.”4 3 MDOT Market Study Requirements and Guidelines (12/07/21), p. 2. 4 MDOT Real Estate Procedure Manual (12/27/23), Glossary, Page 3. SALES DATA 17 For example, a tax foreclosure sale would not be included as a typical market transaction because the seller is a government entity that has involuntarily acquired the property, is atypically motivated to dispose of it, and is required to follow a defined legal process that does not involve negotiation between the parties.  Sales with an indication of an atypical transactional characteristic were adjusted if there was market support for the adjustment. For example, a sale purchased on a long-term land contract in a market where cash sales are typical was adjusted for cash-equivalency if the terms of the land contract could be obtained. The adjusted sale price would better reflect what the property would have sold for under typical market transaction conditions. Otherwise, the sale was omitted as atypical of the market in its raw form and thus potentially misleading. In summary, the sales presented herein are all of the sales found and “qualified” as reliable indicators of the market for the property type/use being studied. As used here, the term “qualified” means sales found to be reliable indicators of market transactions for commercial-zoned land in the I-75BL Woodward Loop Project Area. In summary, the test for qualification included confirmation that:  the sale actually occurred;  the sale was not between related parties or government agencies;  the sale was not purchased for a use other than the use of the property type being studied;  the sale did not involve atypical transactional characteristics (unless there was market support to quantify the impact of such characteristics on the recorded sale price); and  the sale conditions were viewed as typical market transactions based on MDOT’s definition of “market value” cited above. Each sale found in the initial search for sales data was researched to the extent possible to qualify it as a true sale and a typical market transaction of the property type/use being studied. All such sales are included without exclusion. The research ultimately resulted with six qualified sale transactions. MDOT allows the sales to be adjusted for transactional characteristics (property rights conveyed, financing terms, conditions of sale, expenditures immediately after the sale, and market conditions), because such adjustments are market-based. Adjustments are not allowed for property-specific elements of comparison: location, physical characteristics, economic or legal characteristics, and non-realty components included in the sale. The adjusted sale prices presented are the actual sale prices adjusted only for market conditions. This adjustment is intended to account for the change in market conditions over the time period studied. The adjustment is 3.0 percent per annum. The results of the research are summarized in the following tables, along with a map showing the disbursement of the sales throughout the Market Study Area. Aerial photographs of each sale are also provided. The sales data is presented in a summary format presenting factual property data and analyzed only using descriptive statistics: minimum, maximum average, median, standard deviation. SALES DATA 18 Sale No. Property Address Tax Parcel No. Zoning Parcel Width (FF) Parcel Size (SF) Deed Record Liber/Page Sale Date Sale Price Time-Adj Sale Price Time-Adj Price PSF Comments 1 95 Baldwin Ave Pontiac, MI 482342 14-29-129-001 C-1 218.15 76,230 L 58257 / P 678 11/14/22 $34,000 $35,154 $0.46 Single parcel sale; northeast of Caeser E Chavez on west side of Baldwin and secondary frontage on W Howard St 2 Clintonville Rd (adj to 4505 Clintonville Rd) Clarkston, MI 48346 08-36-300-009 C-1 336.00 220,936 L 58949 / P 497 10/12/23 $300,000 $301,950 $1.37 Sale of a singular tax parcel at the northeast corner of Clintonville Rd and Mann Rd, located southwest of I-75 and approximately two miles off the Sashabaw Rd and I-75 interchange 3 730 Caesar Chavez Ave Pontiac, MI 48340 14-19-426-003 14-19-426-013 C-3 128.00 35,840 L 58982 / P 552 10/31/23 $99,000 $99,490 $2.78 Multiiple parcel sale with 128 feet frontage on Caesar Chavez and 280 feet frontage on Kinney. Seller is currently in site plan approval to rezone for a proposed 22,765-SF marijuana cultivation facility. 4 5420 Dixie Hwy Waterford, MI 48328 13-04-253-015 C-3 100.00 35,550 L 58615 / P 775 09/10/21 $99,000 $105,986 $2.98 Single parcel sale with 117 feet frontage on Dixie Hwy. 5 W Lawrence St (adj to 55 W Lawrence St) Pontiac, MI 48342 14-29-413-004 C-2 83.00 13,369 L 56676 / P 483 07/20/21 $55,000 $59,130 $4.42 Single parcel sale on the N side of W Lawrence and S side of Clinton St, currently used as a parking lot 6 4750 Highland Rd Waterford, MI 48328 13-22-102-012 C-3 256.00 50,965 L 58615 / P 775 05/12/23 $350,000 $356,667 $7.00 Single vacant parcel with 265 feet of frontage on Highland Rd and 317.44 feet of secondary frontage on Claudia Drive; previously developed lot Low 13,369 SF $0.46 Low High 220,936 SF $7.00 High Average 72,148 SF $3.17 Average Median 43,403 SF $2.88 Median Std Deviation 12,633 SF $3.27 Std Deviation Commercial Land Sales SALES DATA 19 Source: Map Quest SALES DATA 20 Sale 1 – 95 Baldwin Ave, Pontiac, MI Sale 2 – Clintonville Rd, Clarkston, MI Sale 3 – 730 Caesar Chavez, Pontiac, MI Sale 4 – 5420 Dixie Hwy, Waterford, MI Sale 5 – W Lawrence St, Pontiac, MI Sale 6 – 4750 Dixie Hwy, Waterford, MI SALES DATA 21 Observed statistical facts:  The sale prices, adjusted for time to the end of the study period, range widely from $0.46 to $7.00 per square foot.  The size (land area) of the sales ranges from 13,329 to 220,936 square feet.  The average indicator is $3.17 per square foot and the median is $2.88 per square foot.  The standard deviation is $3.27 per square foot, similar to the average per square foot, indicating a normal distribution. Parcel Size (SF)Price per SF1 Minimum 13,369 SF $0.46/SF Maximum 220,936 SF $7.00/SF Average 72,148 SF $3.17/SF Median 43,403 SF $2.88/SF Std Deviation 12,633 SF $3.27/SF 1 Adjusted for time to 12/31/23 Sales Data - Statistics TEMPORARY TAKINGS (CONSENTS) – LAND RETURN RATES 22 TEMPORARY TAKINGS (CONSENTS) – LAND RETURN RATES Because MDOT has indicated that the Waiver Valuations to be based on this Market Study will be used to acquire temporary easements (consents), information on land-lease capitalization rates cited by market investors is also provided. Temporary easements (consents) are generally valued as a percentage of the market value to the fee simple estate for each year of the temporary easement’s term. As such, a land rate of return, or overall capitalization rate, is needed, which when multiplied by the market value of the fee simple estate results in an indication of annual rent. The valuation, or estimation of just compensation, is completed by multiplying the annual rent by the number years of the temporary easement term. Overall capitalization rates published by RealtyRates.com are presented below. These rates are as of the most recent issue published. According to RealtyRates.com, the published capitalization rates are based on long term leases, generally 40 to 99 years, of vacant land proposed for development. ADDENDA 23 ADDENDA Definitions  Moody’s Precis Report – Warren-Troy-Farmington Hills  Appraiser Qualifications  DEFINITIONS DEFINITIONS The source of the following definitions, unless noted otherwise, is the Uniform Standards of Professional Appraisal Practice (USPAP), 2020-2021 ed.5 Appraisal The act or process of developing an opinion of value; an opinion of value. Appraisal Practice Valuation services performed by an individual acting as an appraiser, including but not limited to appraisal and appraisal review. Appraiser One who is expected to perform valuation services competently and in a manner that is independent, impartial, and objective. Arm’s-Length Transaction A transaction between unrelated parties who are each acting in his or her own best interest.6 Assignment A valuation service that is provided by an appraiser as a consequence of an agreement with a client. Client The party or parties (i.e., individual, group, or entity) who engage an appraiser by employment or contract in a specific assignment, whether directly or through an agent. Fee Simple Estate Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.7 Market Study An analysis of the market conditions of supply, demand, and pricing for a specific property type in a specific area.8 Valuation Service A service pertaining to an aspect of property value, regardless of the type of service and whether it is performed by appraisers or others. 5 In August 2022, The Appraisal Standards Board of The Appraisal Foundation extended the effective date of the 2020-2021 edition of USPAP through December 31, 2023. 6 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed., s.v. “arm’s-length transaction.” (Chicago: Appraisal Institute, 2022) 7 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed., s.v. “fee simple estate.” (Chicago: Appraisal Institute, 2022) 8 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed., s.v. “market study.” (Chicago: Appraisal Institute, 2022) MOODY’S PRECIS REPORT – WARREN-TROY-FARMINGTON HILLS MOODY’S PRECIS REPORT – WARREN-TROY-FARMINGTON HILLS APPRAISER QUALIFICATIONS APPRAISER QUALIFICATIONS 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 1/1 248.863.2760 | WWW.B-L-N.COM Susan P. Shipman, MAI Senior Appraiser Education MBA, University of Michigan BFA, Florida Atlantic University Licenses/Professional Affiliations Michigan Certified General Appraiser #1205003814 Member, Appraisal Institute Member, International Right-of-Way Association Susan has nearly 30 years of experience in the real estate appraisal industry. Prior to joining BLN, she was a Senior Director with Cushman & Wakefield Valuation Advisory Services and Principal and Treasurer of Terzo & Bologna. Other professional roles include Principal of Shipman & Associates, Director in the Stout Risius Ross (SRR) Real Estate Valuation & Advisory Services Group, and Director of Finance & Administration for Hobbs + Black Architects. She previously worked with the regional appraisal firms of Oetzel-Williams and the Gerald Alcock Company. Susan’s experience encompasses a wide variety of property types including industrial, office, retail, residential, senior housing, self-storage, manufactured housing communities, and railroad corridors. Her clientele includes a host of national and local banks, universities and colleges, government agencies, law firms, private and public corporations, and private real estate developers and investors. She has been qualified as an expert witness in the Oakland County Circuit Court, U.S. Bankruptcy Court for the Western District (Grand Rapids), and the Michigan Tax Tribunal. Specific Project Experience Michigan Department of Transportation (MDOT) Gordie Howe International Bridge Crossing, Detroit, MI I-94 Modernization Project, Detroit, MI I-75BL/Woodward Loop One-to-Two-Way Conversion Project, Pontiac, MI 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 2/1 248.863.2760 | WWW.B-L-N.COM Great Lakes Water Authority (GLWA) Avon/Dequindre 96” Water Transmission Main Relocation Project, Rochester Hills and Shelby Township, MI Northwest Interceptor to Oakwood Combined Sewer Overflow (NOCSOS) Project, Detroit, MI Fox Creek Sewer Rehabilitation & Construction Project, Detroit, MI FL-01 Master Meter Pit Project, Davison (Richland Township), Genesee County, MI County Road Commissions Avon/Dequindre Road Improvement Project, Rochester Hills and Shelby Township, MI (Road Commission for Oakland County and Macomb County Department of Roads) Romeo Plank Roundabout and Road Widening Project, Macomb Township, MI (Macomb County Department of Roads) Wixom-Walled Lake-Commerce Township Trail Authority Wixom-Walled Lake-Commerce Township Air Rail Line Hartland Township Hartland Road Sidewalk Improvement Project, Hartland Township, MI City of Flint City of Flint Secondary Water Pipeline, Flint and Flint Township, MI Michigan Department of Natural Resources (DNR) Outdoor Adventure Center, William G. Milliken State Park, Detroit Riverfront, MI Residual Land Analysis, West Riverfront Land, Detroit, MI Professional and Community Involvement Great Lakes Chapter of the Appraisal Institute, President 2007, Board Member 2004-2007 Great Lakes Chapter of the Appraisal Institute, 2017 Recipient of the Connie Vickroy Distinguished Service Award Rotary Club of Ann Arbor, Membership Committee, Annual Golf & Pickleball Fundraiser Member Commercial Real Estate Women (CREW), Detroit Chapter, Former Board Member Kerrytown Concert House, Ann Arbor, MI, Founding Member Washtenaw United Way, Former Board Member Michigan Theater, Former Board Member Washtenaw Association for Community Advocacy, Recipient of a Volunteer of the Year Award 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 3/1 248.863.2760 | WWW.B-L-N.COM Publications, Presentations & Speaker Engagements Guest Lecturer at the University of Michigan Ross School of Business International Right-of-Way Association Institute for Professionals in Property Tax Turnaround Management Association (TMA) Appraisal License 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 1/1 248.863.2760 | WWW.B-L-N.COM Kevin Camero-Sulak Senior Appraiser Education MBA, Entrepreneurial Management, Wayne State University BA, Finance, Eastern Michigan University Licenses/Certifications Michigan Certified General Appraiser #1205002779 Illinois Certified General Appraiser #553.002947 Wyoming Certified General Appraiser #AP-2384 Kevin has 32 years of experience in the real estate appraisal industry. He has served in the following professional roles: Principal at Oakbrook Appraisals, Senior Review Appraiser for Amerifirst Home Mortgage, Review Appraiser at ServiceLink, Staff Appraiser for the Gerald Alcock Company, Appraisal Analyst at Comerica Bank, and Right-of-Way Appraiser for Frisbie Appraisal Services. He also has experience testifying in the Washtenaw County Circuit Court. Professional Affiliations and Memberships Candidate for SRA Designation, Appraisal Institute Specific Project Experience I-94 Expansion Loop, Battle Creek, MDOT Kevin appraised approximately 80 vacant and improved residential and commercial properties for full and partial takings. Community Involvement City of Saline Councilmember, DEI Committee, Saline Youth Council, Arts & Culture Committee, and Hiring Committees 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 2/1 248.863.2760 | WWW.B-L-N.COM Appraisal License RELOCATION BENEFITS IMPROVEMENTS Public Roads and Private Property Development Services Division Real Estate Services Section Last Updated 2019 “No person shall… be deprived of life, liberty or property without due process of the law; nor shall private property be taken for public use, without just compensation,” Bill of Rights Fifth Amendment to the U.S. Constitution Page 4 The Need for Transportation Improvements and Land Page 5 Transportation Projects Page 6 How Property is Purchased Page 7 When Your Property is Acquired Page 9 Relocation Assistance Page 10 Relocation Benefits Page 12 Act 87, Public Acts of 1980, as Amended – An Overview Page 14 Questions and Answers Table of Contents: Public Roads and Private Property 2019 3 Michigan’s transportation system provides the backbone for economic activities within the state. The transportation system, including roads, transit, and nonmotorized and intermodal facilities, plays an integral role in supporting the state’s economy and the quality of life for Michigan residents. The Michigan Department of Transportation (MDOT) is committed to providing the highest quality integrated transportation services for economic benefit and improved quality of life. MDOT is responsible for all state trunklines (M, US and I routes) throughout Michigan. This includes highways, railroads, pedestrian bridges, and adjacent infrastructure (i.e., carpool lots, rest areas, noise barriers). It may be necessary to purchase land to adequately and safely accommodate the needs placed upon our transportation system. This brochure explains why your property may be needed, the protections you have as a property owner, and provides answers to frequently asked questions when property acquisition is necessary for a transportation project. The Need for Transportation Improvements and Land Public Roads and Private Property 20194 Projects begin with evaluation of the transportation system, establishment of system needs and consideration of statewide priorities. The Michigan Department of Transportation (MDOT) studies the type and route that best suits the needs of the community, both now and in the future. This includes the research of traffic information, study of land features and review of feasible locations. Many projects are a result of numerous public information meetings and hearings, as well as requests by local officials and the public for specific transportation improvements. Proposed projects, along with estimated costs, urgency and other factors are reviewed and considered by MDOT. Some projects are accepted, some are reviewed for further study and others are simply delayed. MDOT manages a vast scope of projects that fall into three categories: • Preserve: Preserve projects include resurfacing, construction without widening and adding lanes of one-half mile or less. • Improve: Improve projects add capacity, including roads or lanes, to existing facilities. • Expand: Expand projects increase the size of the transportation system by adding new improvements. Transportation Projects Public Roads and Private Property 2019 5 After MDOT selects the location and design of a project, property owners are contacted to schedule a preliminary interview with MDOT Real Estate staff. The preliminary interview may occur at a public building or at the owner’s home or business. During the interview, MDOT Real Estate staff will verify ownership, location of improvements, property boundaries, and gather other pertinent information from the property owner. The next step is to determine the market value of the property being acquired. This is accomplished either through the waiver valuation process or by an appraisal. If the necessary right of way being acquired is minimal or non-complex, a waiver valuation may be used. The property owner is always entitled to establishment of just compensation. If an appraisal is needed, a licensed appraiser will estimate the market value of your property by comparing it with similar properties sold in your area. You or your representative will be given the opportunity to accompany the appraiser on an inspection of your property. In some instances, the appraiser may need to analyze your financial information to arrive at the fair market value. The appraiser will provide MDOT a written appraisal report indicating the fair market value of your property. After MDOT has approved the appraisal, a department representative will contact you to make a good faith offer, or voluntary offer, to purchase that portion of your property needed for the project. The department representative will also explain the project, appraisal, and acquisition process, as well as explain the relocation assistance program and benefits for which you may be eligible. You will be provided a reasonable length of time to review the offer and get answers to any questions you may have about the offer. If you believe that MDOT has overlooked an item of value, you may submit a written claim to reconsider value within 90 days of the offer. Supporting documentation must be submitted with this claim. If necessary, you may be asked to cooperate with MDOT in seeking a variance to the local zoning ordinance. If an agreement has been reached between you and MDOT, you will need to sign the appropriate documents and can expect to receive payment within 60 days from the date of signature. All eligible and necessary closing costs for the transaction will be paid by MDOT. How Property is Purchased Public Roads and Private Property 20196 Here is some general information regarding MDOT responsibilities when your property is acquired. Payment of Just Compensation MDOT will pay just compensation when acquiring your property. Just compensation is defined as an approved amount that is not less than the fair market value of the property. Just compensation does not consider any project influences and includes any allowable damages to any property remaining in your ownership. Under Michigan law, just compensation is defined as the highest price estimated in terms of money the property would bring if offered for sale in the open market, with a reasonable time allowed to find a buyer, buying with the knowledge of all the uses to which it is adopted and for which it is capable of being used. Acquiring your principal residence Per Public Act 367 of 2006, if an individual’s principal residence is acquired, the amount of just compensation shall be 125 percent of its fair market value. In addition, per Public Act 439 of 2006, if your principal residence is acquired, you will be reimbursed a property tax exemption, calculated as: State Equalized Value (SEV) - Taxable Value (TV) X Millage Rate X Number of years in residence (maximum of five years) When Your Property is Acquired Public Roads and Private Property 2019 7 Additional Costs MDOT will pay closing costs associated with the sale of your property to MDOT. Taxes MDOT will prorate the general property taxes according to the portion of your land acquired by MDOT. Relocation Advisory Services MDOT will provide relocation advisory services and all eligible benefits as required by state and federal laws. Eligible benefits may include: • Advisory Services: Assistance in locating a suitable replacement property. • Moving Expenses: Payment of reasonable and necessary moving costs of personal property. • Replacement Housing Supplement or Replacement Rental Supplement/ Purchase Down Payment. • Incidental Closing Costs: Payment for the closing expenses when purchasing a replacement dwelling. • Increased Interest Differential: Payment for a higher interest rate on the replacement dwelling than on your existing mortgage. • Reestablishment Expense: Payment for a business, farm or nonprofit to reestablish at a different location. When Your Property is Acquired continued Public Roads and Private Property 20198 MDOT will assist you in relocating you and your personal property when you are displaced by a transportation project. A transportation project is designed to benefit the public and it is MDOT’s goal to accomplish your relocation in the most efficient and equitable manner possible. All avail- able assistance and eligible benefits will be provided to you to ensure disruptions are kept to a minimum. The available services include information concerning housing supplements, referrals to housing that will be adequate for your needs and within your financial means, loan information, moving information, referrals to local real estate and governmental agencies, and other types of assistance. Assistance is also available to locate replacement farms or business sites. The Elliott-Larsen Civil Rights Act prohibits discrimination based on religion, race, color, national origin, age, sex, height, weight, familial status, or marital status. As a citizen of the state of Michigan, you have the right to purchase, rent, lease or finance housing accommodations and real property without discrimination because of religion, race, color, national origin, age, sex, marital status, familial status, or disability. This is guaranteed by the Constitution of the State of Michigan, which provides the Michigan Civil Rights Commission with the authority to protect the rights of Michigan citizens. All referral assistance to individuals and organizations is performed on an equal opportunity basis in compliance with these requirements. Any individual or organization known to be discriminating against will be reported immediately to the Civil Rights Commission. Relocation Assistance Public Roads and Private Property 2019 9 In addition to compensation for land, building or property rights, the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (42 U.S.C. 4601 et seq.) (Uniform Act), provides for relocation payments to individuals, families, businesses, farms, and nonprofit organizations displaced as a result of a transportation project. Residential Relocation Benefits A residential owner or tenant may be eligible for the following relocation benefits: Moving: Residential occupants will be reimbursed to move themselves and/or their personal property from the acquired dwelling to a replacement dwelling. They may choose to move based on the following options: • Commercial Move: The move is performed by a commercial mover and must be supported by an itemized invoice and receipts. • Self-move - Fixed-move Cost Schedule: The move is performed by the displaced person and payment is based on the number of rooms in your dwelling. • Self-move - Actual Cost: The move is performed by the displaced person and payment is based on receipts for labor and equipment. Housing Supplement: A homeowner may be eligible to receive a replacement housing supplement when a replacement home is purchased. Provisions can be made if a homeowner prefers to rent. Rental Supplement/Purchase Down Payment: A tenant may be eligible to receive a rental supplement when a replacement rental is located. Tenants may use the rental supplement as a purchase down payment if desired. Incidental Closing Costs: A homeowner may be reimbursed for the incidental expenses of purchasing a replacement dwelling. Relocation Benefits Public Roads and Private Property 201910 Increased Interest Differential: A homeowner may be reimbursed for the extra cost if they are required to pay a higher interest rate on the replacement dwelling than they were paying on their existing mortgage. Business, Farm, Nonprofit Relocation Benefits A business, farm or nonprofit may be eligible for the following relocation benefits: Moving: A business, farm or nonprofit will be reimbursed to move themselves and/or their personal property from the acquired business, farm or nonprofit. They may choose to move based on the following options: • Commercial Move: The move is performed by a commercial mover and is based on the lower of two bids or estimates prepared by a commercial mover. • Self-move - Actual Cost: The move is performed by the displaced business, farm or nonprofit and must be supported by receipts for labor and equipment. • Self-move - Estimated Cost: The move is performed by the displaced business, farm or non- profit and is based on the lower of two bids or estimates prepared by a commercial mover. Reestablishment: This payment is designed to help small businesses and landlords reestablish at a different location. Expenses must be incurred in relocating and reestablishing at a replacement site. The total amount of expenses must not exceed $25,000. Fixed Payment: A business, farm or nonprofit may receive a fixed payment in lieu of moving and reestablishment expenses. Payment for businesses and farms is based on the average annual net earnings of the business or farm. Payment for nonprofits is based on the average annual gross revenue less administrative expenses. A fixed payment must not exceed $40,000. For more specific information regarding relocation benefits, please refer to MDOT’s Your Rights and Benefits booklet or contact a MDOT Real Estate office. Relocation Benefits continued Public Roads and Private Property 2019 11 At the conclusion of negotiations, if you do not wish to accept MDOT’s offer, eminent domain proceedings are initiated in circuit court under Act 295, Public Acts of 1966, as amended, pursuant to the provisions of Public Act 87 of 1980, as amended. Below is a brief description of the typical steps taken in an eminent domain proceeding under Public Act 87 of 1980, as amended. This overview does not explain all the specific or unique aspects of an eminent domain proceeding. 1. You will receive several legal documents. These will consist of a Complaint, Order for Hearing on Complaint, Statement of Necessity, and Declaration of Taking. The full amount of money offered for the property as stated in the Declaration of Taking is placed on deposit with the Michigan Department of Treasury. 2. The Order for Hearing on Complaint will inform you of the date set for a hearing. You have 21 days (if served in person) or 28 days (if served by mail) following receipt of the Complaint to challenge the necessity of the purchase of your property by filing a motion with the court asking for a review. The Statement of Necessity is binding unless you can show fraud, error of law, or abuse of discretion. When the necessity for the taking is not challenged, or the challenge has been denied, MDOT acquires title to the property as of the date the Complaint was filed, unless the court sets a different date. If you or your attorney do not attend the hearing, the court may be requested to enter an Order of Default. You have up to 180 days after the complaint is served to submit a written claim to MDOT if you believe an item of value has been overlooked. You must provide enough information and detail about the claim so MDOT can determine the value of the claim and whether it is eligible for payment. 3. At the first hearing, MDOT will request the court to establish the time and terms for surren- der of the right of way needed from your property. The court will be requested to order the Department of Treasury to pay you the money MDOT has offered for your property. The court will set a date for the pretrial hearing and impaneling of a six-person jury. Act 87, Public Acts of 1980, as Amended – An Overview Public Roads and Private Property 201912 4. The court will establish a trial date, and the jury will be charged with the responsibility of determining the amount of just compensation after hearing the evidence. At trial, MDOT will present its case to the jury, justifying the amount it has offered. You will have the opportunity to present evidence to support the value you think the property is worth. The jury’s decision may be appealed by the parties of interest or MDOT. If the jury’s award exceeds MDOT’s written good faith offer, you will be reimbursed reasonable attorney fees as allowed by law. You may also be reimbursed certain reasonable expert witness fees for preparation and trial. The court may be called upon to determine the reasonableness of fees. Act 87, Public Acts of 1980, as Amended – An Overview continued Public Roads and Private Property 2019 13 1. Why do you want my property and not my neighbor’s? Answer: Before selecting a location for a proposed transportation improvement, MDOT evaluates a wide variety of factors, including: • Terrain, • Congestion, • Population and patterns of development, • Projected traffic patterns, • Economic impact, • Wetlands and environmental impact, and • Relation to the other transportation corridors and the overall system. Based on our studies and reliable facts, we select the best location for the proposed transportation improvement. 2. When will I know if my property is needed? Answer: MDOT will advise you well in advance of actual negotiations through public hearings and personal visits. Do not act on rumors. Be sure you have the facts from MDOT. MDOT will usually take possession within 30 to 90 days after your check has been delivered and the deed is executed. 3. What are the advantages of selling my property to the state? Answer: • You will receive fair market value established by a licensed appraiser. • You will receive just compensation • You will not pay a sales commission. You may owe a commission if your home is listed with a Realtor at the commencement of negotiations. • You will not pay the real estate transfer tax. • You will not pay for title insurance or abstract costs. • MDOT will pay closing costs in connection with the sale of your property. • You will receive a prorated refund of your most recent year’s paid property taxes. Questions and Answers Public Roads and Private Property 201914 If you are required to relocate: • You will receive relocation advisory services. • You are assured of being able to relocate into housing that meets local codes and ordinances. • You may receive a supplemental payment to relocate into comparable housing. • You will receive personal property moving costs. • You may receive an interest differential payment on your replacement mortgage if the interest rate is higher. • You may be reimbursed for closing costs for the purchase of your replacement dwelling. 4. Will I receive a fair price for my property? Answer: You are entitled to receive just compensation. Just Compensation is determined through the waiver valuation process or by an appraisal that studies the property being acquired and the surrounding neighborhood and local and general economic facts. The fair market value is based on comparison of your property with other properties recently sold in your area. The result is carefully reviewed to ensure that it meets state and federal requirements and acceptable appraisal standards. In addition, if your principal residence structure is acquired, you will receive 125 percent of its fair market value, plus a property tax exemption reimbursement. 5. Are improvements considered in the appraisal? Answer: Yes. You should inform the appraiser of all improvements to your property. 6. What if I don’t agree with MDOT’s offer to purchase my property? Answer: If you feel that MDOT missed anything that you believe to be significant to the amount of money you should be paid, please let MDOT know in writing. MDOT will review the items you identify in your written response and let you know if we will make any changes.   continued Questions and Answers Public Roads and Private Property 2019 15 Information requests from MDOT It may be necessary to obtain from you certain financial information to help the appraiser determine fair market value. This information will remain confidential, except to the extent that it is used in determining just compensation, in legal proceedings, or as provided by court order. You will be reimbursed actual and reasonable copying costs, plus up to $1,000 in other actual and reasonable costs incurred in responding to the MDOT request. 7. Will you reimburse me if I hire my own experts to evaluate your offer? Answer: Reasonable costs and fees may be reimbursed, as provided by law. 8. Will I have to pay income tax on my sale to the state? Answer: This is a highly technical question. You should contact the Internal Revenue Service or a tax consultant for specific details. 9. What about outstanding loans on my property? Answer: You remain responsible for these obligations. They will be deducted from the compensation you receive from the department. 10. What if the project renders my remaining property nonconforming with local zoning ordinances? Answer: MDOT is required to offer to purchase any uneconomic remainders and the property owner has the right to retain any remainders. 11. What if I have a Veterans Administration (VA) loan? Answer: The VA recognizes that the sale of your property to the state is not of your choosing. Your VA loan privileges continue and can be applied to another property. Questions and Answers continued Public Roads and Private Property 201916 12. If my mortgage includes a prepayment penalty clause, must I pay the penalty? Answer: Generally, no. Since the negotiated sale of your property to MDOT is considered an involuntary sale, mortgage companies will usually waive the penalty for paying your loan in full as a result of the sale. If you do have to pay a penalty, it is reimbursable by MDOT. 13. If my property is enrolled in the Farmland and Open Space Program (P.A. 116), will I be penalized? Answer: If the release is granted as a public necessity for a transportation project, the property owner will not be required to pay a penalty. 14. Can I be sure that suitable replacement housing will be available to me before I must move from my present home? Answer: Yes. The Uniform Relocation Act provides that MDOT must offer you suitable replacement housing before it can issue you a notice to vacate. 15. Who is eligible to receive relocation payments? Answer: There are several types of relocation benefits for which you may be eligible. See the Relocation Benefits section of this booklet for additional information regarding residential and business/farm/nonprofit relocation payments. 16. How soon must I occupy a replacement dwelling in order to receive my relocation benefits? Answer: Owners must occupy a decent, safe, and sanitary replacement dwelling within one year of the date that final payment is received for the state-acquired property or, in a con- demnation case, one year after the estimate of just compensation is deposited. Tenants must occupy a decent, safe, and sanitary replacement dwelling within one year of the date that they move from the state-acquired dwelling. This time period may be extended for just cause. continued Questions and Answers Public Roads and Private Property 2019 17 17. How long do I have to claim my replacement housing payment and how much will I receive? May I appeal if I disagree? Answer: Owners must file their claims within 18 months of either the date they move or the date of final payment for the state-acquired dwelling, whichever is later. Tenants must file all claims within 18 months of the date they move from the state-acquired property. MDOT will provide a written determination of your maximum payment. It is based on compa- rable homes available for purchase on the open market. If you disagree with the information, you may appeal in person or in writing to the MDOT region real estate agent. 18. Will the court consider the replacement housing payment in the condemnation proceedings? Answer: Unless otherwise ordered by the court, relocation benefits are separate from just compensation determined during condemnation proceedings. 19. If my property is condemned and the state takes possession before the case is settled, can I receive relocation payments? Answer: Yes. Unless otherwise ordered by the court, relocation benefits are separate from the just compensation. You will have 18 months from the date of the final court award or date of displacement (whichever is later) to file relocation claims. 20. May I receive relocation benefits if I go out of business? Answer: Yes. Businesses are eligible to receive moving and reestablishment payments and may elect to receive a fixed payment (in lieu of moving and reestablishment) if they meet the criteria set forth in the Uniform Act. Questions and Answers continued Public Roads and Private Property 201918 21. May I keep my home buildings and remove them from the site? Answer: Yes, providing arrangements are made at the time the Option to Purchase Land is signed. A salvage value will be determined for the structure you wish to keep; this amount will be deducted from the compensation. Additionally, a site clearance deposit will be held out of the compensation until the buildings are removed and all provisions of the Option to Purchase Land are met. Buildings must be removed within 30 to 90 days after closing with MDOT, unless other terms are specifically agreed upon. Buildings acquired by MDOT will be demolished and may be sold at public auction. 22. Why must MDOT examine my property for environmental contamination? What if contamination is found? Answer: MDOT is required by state law to investigate all properties that it acquires for possible contamination. This does not mean your property is suspected of being contaminated. It merely means MDOT is fulfilling its obligation under state law. If contamination is found, the property owner is required by law to report it to the Michigan Department of Environment, Great Lakes, and Energy (EGLE). MDOT will supply the property owner with complete information and allow the property owner time to notify EGLE. If the property owner does not contact EGLE, MDOT will notify EGLE of its findings. If contamination is found, will I be forced to pay for clean-up? This is a complicated question. The question of your liability for contamination is governed by state and federal environmental laws. In general, under state law, if you did not cause the contamination, you are not liable for it. What if I refuse to allow MDOT to test my property? MDOT may seek a court order under Act 87 to conduct an environmental inspection on the property. continued Questions and Answers Public Roads and Private Property 2019 19 Development Services Division Real Estate Services Section Michigan Department of Transportation 0631A (05/24) Consent(s) * * * * * * $4,520.00 $4,520.00 DONATION WAIVER OF COMPENSATION Grantor(s):Oakland County Property Address:VL Woodward Ave Right(s) to be donated: Total Donation Amount The undersigned Grantor(s) of the property described in the attached legal description(s), having been informed concerning the right to receive just compensation for such property, do hereby waive said right and voluntarily agree to donate such property or any part thereof, or any interest therein to the Michigan Department of Transportation. I/We have been informed and fully understand that I/we have the right to receive just compensation for the subject property. I/We have been informed and fully understand that I/we have the right to an appraisal/market study report and the right to accompany the appraiser during an inspection of the subject property. I/We have been informed and fully understand that by signing this document, I/we are agreeing to donate the subject property in lieu of just compensation. The decision to donate the subject property was made without undue influences or coercive action of any nature. I/We will execute the necessary instrument of conveyance upon presentation by agents or representatives of the Michigan Department of Transportation. I/We agree to donate said property/property rights and: Waive just compensation and waive the right to an appraisal/market study report and property inspection. OR Waive just compensation but request to exercise the right to an appraisal/market study report and property inspection. By signing below, the Grantor(s) agree(s) with each of the following: Oakland County 210599 7010_P3663201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-231-009 MDOT Approval Signature: ___________________ Date: ___________ Oakland County 210599 7010_P3663201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-231-009 Signatory Title: Oakland County David T. Woodward Chairperson, Oakland County Board of Commissioners Signature:Signed Date: Signatory Name: Witness Date: Witness Signature: Witness Name: Oakland County 210599 7010_P3663201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-231-009 Consent to GradeLegal Description: Station # See attached Exhibit B for Consent to Grade. 185 18 6( F U T U R E P A R K E AV E) ( W O O D W A R D AV E) I-75 B L N 36 KINGSVILLE PROPRTIES 2 LLC KINGSVILLE PROPERTIES LLC & 14-32-231-009 0.069 ACRE 3010 SQ.FT. CONSENT TO GRADE W H IT T E MO R E S T 60.11' RT +34.10 15' TO EX PARCEL LINE E X 4 9' R O W E X 95' L A R O W 60.00' RT +42.01 EXHIBIT "B" PARCEL 36 JN 210599 CS 63041 LALI1 EX EMPTY LOT TO EX ROW 14-32-231-009 14-32-231-010 GRETCHEN WHITMER GOVERNOR STATE OF MICHIGAN DEPARTMENT OF TRANSPORTATION LANSING Amended Offer to Purchase BRADLEY C. WIEFERICH, P.E. DIRECTOR Dear Owner(s): Subject: CS: 63201, JN: 210599, Parcel: 7010_P36 Address: VL Woodward Ave, County: Oakland The Michigan Department of Transportation (MDOT) has an upcoming project along I-75BL (Woodward Ave Loop). We are interested in acquiring Consent to Grade rights to your property located at VL Woodward Ave in Oakland County as set forth in the attached Addendum(a). In accordance with state and federal regulations governing the acquisition of property by MDOT, this letter is MDOT's offer to purchase these rights based on the terms and conditions contained herein. Please note that MDOT is not making this offer under the threat of condemnation. If an agreement regarding the purchase cannot be reached, MDOT will discontinue negotiations and cease this transaction. If you agree, MDOT will purchase the rights to your property described as set forth in the attached Addendum(a). This offer is based upon the valuation set forth in the enclosed market study report. MDOT's offer for the property rights to be purchased is itemized below: LH-LAN-0 (08/23) June 19, 2024 Oakland County Attn: David T. Woodward 1200 N. Telegraph Rd. Pontiac, Michigan 48341 Oakland County Attn: David T. Woodward 1200 N. Telegraph Rd. Pontiac, Michigan 48341 Type Amount Consent to Grade $1.00 $1.00TOTAL Page 2 Parcel 7010_P36 Oakland County Accordingly, the total amount that MDOT is offering to you is $1.00. Please note that this offer is valid only until 07/19/2024. Please review all the materials carefully and let us know in writing if you believe anything of significance has been omitted with respect to the amount of money you should be paid. MDOT will review the items you identify and will respond accordingly if any changes will be made to its offer. We are also available to discuss this offer with you. If you are willing to accept MDOT's offer and agree to the terms and conditions set forth in the following Addendum(a), please sign and date the Acceptance of the offer below in the presence of a witness. Be sure the witness also signs and dates the documents. Please return this letter and Acceptance to my attention. Also included in this packet are instructions to register with us to have your compensation sent to you via electronic funds transfer (EFT). Please contact me if you are unable to register. Thank you in advance for your consideration of our offer. If you have any questions, please contact me at 248-829-0900 or aketchum@b-l-n.com. Sincerely, Andrew Ketchum Property Specialist Michigan Department of Transportation Enclosures: Acceptance of Offer, Addendum(a), Instrument(s), Legal Description(s), EFT Instructions and Valuation Report LH-LAN-0 (08/23) June 19, 2024 Acceptance of Offer The undersigned accept(s) the Michigan Department of Transportation's (MDOT's) offer of $1.00 for the property described in MDOT's offer dated 06/19/2024. Furthermore, the undersigned agree(s) to the following terms and conditions set forth in the attached Addendum(a): Signatory Name: Signature: Signed Date: Signatory Title: Witness Signature: Witness Date: Witness Name: David T. Woodward Oakland County Chairperson, Oakland County Board of Commissioners Oakland County 210599 7010_P3663201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-231-009 Michigan Department of Transportation 0640C (05/24)CONSENT The Grantor(s) Oakland County, for the sum of One dollars and 00 cents ($1.00) grant to the Michigan Department of Transportation, whose address is 425 W. Ottawa Street, P.O. Box 30050, Lansing, Michigan 48909 the right to Consent to Grade, for transportation purposes, in over, and upon the real estate located in the City of Pontiac, County of Oakland, State of Michigan, as described on the attached Legal Description; commonly known as VL Woodward Ave, including, but not limited to, the right to any drainage structure replacement or repair, the right to remove trees, shrubs, and vegetation as necessary in the judgment of the Michigan Department of Transportation and the right of temporary occupancy by public utilities; effective from start of project to completion of project. Oakland County OWNER OF RECORD PROPERTY TAX CODE 14-32-231-009 21059963201 7010_P36 CONTROL SECTION JOB NUMBER PARCEL Oakland County OWNER OF RECORD PROPERTY TAX CODE 14-32-231-009 Legal Description:Consent to Grade Station # See attached Exhibit B for Consent to Grade. 21059963201 7010_P36 CONTROL SECTION JOB NUMBER PARCEL Michigan Department of Transportation (11/23)Addendum for Consent(s) PRICE: The owner(s) agree(s) to grant the property described in the attached legal description(s) to the Michigan Department of Transportation for the sum of $1.00 via the appropriate instrument(s). CONSENT TYPE(S): Consent to Grade OCCUPANCY: The owner(s) agree(s) to grant the Michigan Department of Transportation occupancy of the described property upon payment of the price listed above effective from start of project through completion of project. CONVEYANCE: The owner(s) agree to deliver to MDOT the above cited consents subject to the following provision: This conveyance includes, but is not limited to, the right to any drainage structure replacement or repair; the right to remove trees, shrubs, and vegetation as necessary in the judgement of the Michigan Department of Transportation and the right of temporary occupancy by public utilities. SPECIAL PROVISIONS: Any trees, landscaping, and sprinkler lines removed by project within the Consent to Grade to be replaced by the project. Oakland County 210599 7010_P3663201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-231-009 Oakland County 210599 7010_P3663201 OWNER OF RECORD CONTROL SECTION JOB NUMBER PARCEL PROPERTY TAX CODE 14-32-231-009 Legal Description: Consent to Grade Station # See attached Exhibit B for Consent to Grade. County of Notary Public: Metro Region Real Estate The foregoing instrument was acknowledged before me this ______ of ______________, 20______ Andrew Ketchum, Property Specialist 18101 W. Nine Mile Rd. Southfield, MI 48075 18101 W. Nine Mile Rd. Southfield, MI 48075 Dated this day of , 20_______. NOTARY ACKNOWLEDGEMENT State of Notary Signature: Notary Name: County, Acting in County, Michigan Department of Transportation Drafted by: Michigan Department of Transportation After Recording Return to: My Commission Expires: Oakland County OWNER OF RECORD PROPERTY TAX CODE 14-32-231-009 Oakland County Grantor Signature: ______________________________________ Grantor Name: David T. Woodward Grantor Title: Chairperson, Oakland County Board of Commissioners by ________________________________________, the ________________________________________ of , a , on behalf of said entity. (Grantor Name)(Title) (Name of Entity)(Type of Entity) 21059963201 7010_P36 CONTROL SECTION JOB NUMBER PARCEL 185 18 6( F U T U R E P A R K E AV E) ( W O O D W A R D AV E) I-75 B L N 36 KINGSVILLE PROPRTIES 2 LLC KINGSVILLE PROPERTIES LLC & 14-32-231-009 0.069 ACRE 3010 SQ.FT. CONSENT TO GRADE W H IT T E MO R E S T 60.11' RT +34.10 15' TO EX PARCEL LINE E X 4 9' R O W E X 95' L A R O W 60.00' RT +42.01 EXHIBIT "B" PARCEL 36 JN 210599 CS 63041 LALI1 EX EMPTY LOT TO EX ROW 14-32-231-009 14-32-231-010 Michigan Department of Transportation 0626 (08/23) DISPLACEE(S): Based on information as of 06/19/2024 you are eligible for the following benefits as indicated. You will NOT be required to move before 09/17/2024. Self Move - Fixed Cost Commercial Move $ To Be Determined $ To Be Determined RELOCATION ELIGIBILITY NOTICE Oakland County NON-RESIDENTIAL Moving Expenses OR Claim must be filed within the prescribed time limits as noted on MDOT claim form 0677 or 0679. Claims cannot be paid until all the conditions on the claim form have been met. You may file your appeal at any time up to 6 months after you have received this notice. SEE RELOCATION BOOKLET FOR COMPLETE DESCRIPTION OF THE RELOCATION PROGRAM 06/19/2024 586-405-1430 PROPERTY ANALYST SIGNATUREPROPERTY ANALYST DATE Andrew Ketchum 18101 W. Nine Mile Rd.,Southfield, MI 48075Tom Jay REGION AGENT REGION ADDRESS PHONE NUMBER MARKET STUDY REPORT – COMMERCIAL LAND PREPARED FOR: MICHIGAN DEPARTMENT OF TRANSPORTATION (MDOT) PROJECT: I-75 BL WOODWARD LOOP ONE-WAY TO TWO-WAY CONVERSION MDOT CONTROL SECTION: CS63201 MDOT JOB NUMBER: JN210599 BLN JOB NUMBER: 210069-501 REPORT DATE: MARCH 22, 2024 2 March 22, 2024 Michigan Department of Transportation 425 W Ottawa Street Lansing, MI 48909 Re: I-75BL Woodward Loop One-Way to Two-Way Conversion Project Attention: Tom Jay This Market Study report has been prepared for the Michigan Department of Transportation (MDOT) in connection with the I-75 BL Woodward Loop Project in the city of Pontiac, Oakland County, Michigan, specifically regarding the Right-of-Way (ROW) phase and addressing commercial vacant land. The market study and this report have been developed in conformance with the applicable requirements of:  the Uniform Standards of Professional Appraisal Practice (USPAP),  the Michigan Department of Transportation Real Estate Procedure Manual (12/27/23),  the Michigan Department of Transportation Market Study Requirements and Guidelines (12/07/21), and  the Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute. In addition, the following statement is a requirement of Michigan Occupational Code, Article 26: Appraisers are required to be licensed and are regulated by the Michigan Department of Labor and Economic Growth, P.O. Box 30018, Lansing, Michigan 48909. 3 Mr. Tom Jay March 22, 2024 Page 2 Certification A market study is not an appraisal nor is this report an appraisal report. Nonetheless, conformance with the Uniform Standards of Professional Practice of the Appraisal Institute also includes the reporting requirement of the Appraisal Institute’s Certification Standard for Appraisal Institute designated members. As such, the following certification statements are applicable:  The reported analysis, opinions and conclusions were developed, and this report has been prepared, in conformity with the requirements of the Code of Professional Ethics and Standards of Professional Practice of the Appraisal Institute.  The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives.  As of the date of this report, I have completed the continuing education program for Designated Members of the Appraisal Institute. This letter, inclusive of the preparer’s certification, is an integral part of, and shall not be separated from, this entire report. Sincerely, Susan P. Shipman, MAI Certified General Real Estate Appraiser Michigan License No. 1205003814 Expires: July 31, 2025 Kevin J. Camero-Sulak Certified General Real Estate Appraiser Michigan License No. 1205002779 Expires: July 31, 2024 TABLE OF CONTENTS 4 TABLE OF CONTENTS Cover Page ................................................................................................................................................... 1  Transmittal Letter and Appraiser Certification ............................................................................................... 2  Table of Contents .......................................................................................................................................... 4  Scope of Work ............................................................................................................................................... 5  Assignment Conditions ................................................................................................................................. 7  Assumptions and Limiting Conditions ....................................................................................................... 7  Jurisdictional Exceptions ........................................................................................................................... 7  Location Analysis .......................................................................................................................................... 8  Regional .................................................................................................................................................... 8  Project Overview ......................................................................................................................................... 11  Description of the Property Type ................................................................................................................ 13  Delineation of the Market Study Area ......................................................................................................... 15  Sales Data ................................................................................................................................................... 16  Temporary Takings (Consents) – Land Return Rates ................................................................................ 22  Addenda ...................................................................................................................................................... 23  SCOPE OF WORK 5 SCOPE OF WORK Type of Assignment: Market Study Client: Michigan Department of Transportation Intended User: Michigan Department of Transportation Intended Use: The market study will be used by qualified Michigan Department of Transportation (MDOT) representatives as a basis for determining just compensation in connection with the use of Waiver Valuations for permanent and temporary easement (consent) acquisitions on commercial vacant land in the Right-of-Way (ROW) phase of the I-75BL Woodward Loop One-Way to Two-Way Conversion Project. Waiver Valuation Process: The Waiver Valuation process is a valuation process used when MDOT determines that an appraisal is not required, pursuant to CFR 24.102(C)(2), excerpted below. According to (2)(ii), an appraisal is not required when the valuation problem is “uncomplicated and the anticipated value of the proposed acquisition is estimated at $10,000 or less1, based on a review of available data”. In addition to the term “uncomplicated”, found in (2)(ii) above, the term “non-complex” is also used by MDOT in its Real Estate Procedure Manual (12/27/23) when referring to parcels for which the Waiver Valuation process may be used. MDOT does not define either term. The Appraisal Institute doesn’t either, but it does discuss “complex” assignments throughout The Appraisal of Real Estate, 14th Edition. From that, this Market Study defines an “uncomplicated” valuation problem as one involving a typical property in a market where macro-level data about the market and micro- level data are readily available from standard sources. 1 As noted above in (2)(ii)(C), the $10,000 threshold may be increased under certain conditions. SCOPE OF WORK 6 Definition of Market Study: A market study is not an appraisal, nor is it an opinion of value, or even a range of values. It is a search for and factual presentation of sales of a specific property type in a specific area, as defined by the Client. In this case: Property Type: Commercial Vacant Land Study Area: I-75BL Woodward Avenue Loop in the city of Pontiac, Michigan The problem to be solved in market study assignment is not an opinion of value, nor a range of values. A market study is not a comparative analysis of the sales to any specific subject property, as an appraisal would be – it is a search for and presentation of raw data, interpreted only using descriptive statistics. Compliance: Under the 2024 Uniform Standards of Professional Appraisal Practice (USPAP), a market study is categorized as an “other valuation” service under the. The scope of service is such that development and reporting of the market study is not covered under the specific performance standards of USPAP, i.e., Standards 1 and 2, but the Preamble, Definitions, Ethics Rule, Competency Rule, and Jurisdictional Exception Rule of USPAP do apply. This Market Study was also developed in conformance with the applicable requirements of the MDOT Real Estate Procedure Manual (12/27/23) and the MDOT Market Study Requirements and Guidelines (12/07/21). In addition, this Market Study complies with the Uniform Relocation Assistance and Real Property Acquisitions Policy Act (the Uniform Act)–Common Rule–49 CFR Part 24. ASSIGNMENT CONDITIONS 7 ASSIGNMENT CONDITIONS Use of or reliance on this report constitutes acknowledgment and acceptance of the Assumptions and Limiting Conditions, Jurisdictional Exceptions, and any other terms and conditions (collectively, “Assignment Conditions”) stated in this report. ASSUMPTIONS AND LIMITING CONDITIONS The market study has been made subject to the following assumptions and limiting conditions: 1. Unless otherwise stated herein this report, the Appraiser has assumed that all information relied upon in the market study is accurate and reliable and that no information material to the market study has been withheld. Withheld or erroneous information provided or obtained could affect the market study. Neither the Appraiser nor Beam, Longest and Neff, LLC shall be responsible for the accuracy or completeness of any information provided or obtained during the course of the market study. Accordingly, the Appraiser reserves the right to amend this report if any such errors or withheld information is brought to the attention of the Appraiser. 2. This report shall be considered only in its entirety and no part of this report shall be utilized separately or out of context. Exhibits and other illustrative material presented in this report are included only to assist in visualizing matters discussed in this report and shall not be removed, reproduced, or used apart from this report. 3. Any party other than the Client receiving a copy of this report does not, as a consequence, become a party to the appraiser-client relationship nor does such other party become an intended user of this report unless the Client specifically identified them at the time of the assignment. Neither Appraiser nor Beam, Longest and Neff, LLC, is responsible to parties who are not identified as intended users or for uses not identified as intended uses. 4. Possession of this report, or a copy thereof, does not carry with it the right of publication. No part of this report may be published or used in any advertising materials, public relations, news, sales, or other media, property listings, investment offerings or prospectuses, or securities filings or statements without prior written authorization of Appraiser or Beam, Longest and Neff, LLC, which, at their sole discretion, reserve the right to withhold. Any party who publishes or uses this report without such authorization or who provides this report for such unauthorized use or publication agrees to indemnify and hold Appraiser and Beam, Longest and Neff, LLC harmless from and against all damages, liabilities, losses, causes of actions, expenses, claims and costs, including attorneys' fees, incurred in the investigation and/or defense of any claim arising from or in any way connected to the unauthorized use or publication. JURISDICTIONAL EXCEPTIONS No jurisdictional exceptions were applied in the development or reporting of the market study. LOCATION ANALYSIS 8 LOCATION ANALYSIS This section of the Market Study is intended to provide a demographic and economic overview of the larger regional area in which the MDOT Project is located, as well as a more localized context. The subject property is in the city of Pontiac, in Oakland County, in southeastern Michigan. Moody’s Analytics places it more specifically in what it refers to as the Warren-Troy-Farmington Hills (WTFH) Metropolitan Area. The most recent issue (October 2023) of Moody’s Precis economic report on the WTFH Metropolitan Area is presented in the Addenda to this report. REGIONAL The Precis report indicates the WTFH Area’s strengths include the presence of auto-related R&D centers and headquarters for automakers and suppliers and above-average per capita income and educational attainment. Stellantis’ significant investment in a new state-of-the-art assembly plant in the city of Detroit is expected to spur supplier growth that will benefit the region and investment in electric vehicles should create long-term demand for auto-related tech. Weaknesses include a shrinking work-age population, overreliance on manufactured and domestic vehicle industry, and elevated employment vitality. High borrowing costs are hurting demand for vehicles and stock market volatility has halted growth in the tech sector. Source: Moody’s Analytics Precis U.S. Metro Report – Warren-Troy-Farmington Hills MSA The forecast for WTFH Metro through 2028 includes nominal population growth (0.01 to 0.02 percent per year) and an uptick in the unemployment rate (from 3.1 to 5.0 percent), with single-family housing permits are forecast at 283 less in 2024 than in 2023 and expected to trend upward to 6,309 by 2027. At the same time, multi-family housing permits are on a downward decline, showing a preference for home ownership versus rental. LOCATION ANALYSIS 9 LOCAL AREA The following demographic table shows the same data for the city of Pontiac, Oakland County and the Tri-County Area. Pontiac is the county seat of Oakland County. The city was best known for its General Motors (GM) automobile manufacturing plants of the 20th century, which were the basis of its economy and contributed to the wealth of the region. In the city's heyday, it was the site of the primary automobile assembly plant for the production of the famed Pontiac cars, a brand named after the city. The Pontiac brand itself was discontinued in 2010 by General Motors. In 1975, the city of Pontiac built the Pontiac Silverdome, the stadium that hosted the Detroit Lions of the National Football League from 1975 to 2001, when the team returned to downtown Detroit at Ford Field. Super Bowl XVI was played at the Silverdome in 1982. After 2001, the stadium continued to be used for concerts and other events until it was demolished in 2018. It is now the site of an Amazon Fulfillment and Distribution facility. As the data reveals, the city of Pontiac accounts for only five percent of the Oakland County population and five percent of the Oakland County households, with no change forecast over the next five years. Household income in Pontiac is less than 50 percent of that of Oakland County, and unemployment is more than double. On August 17, 2023, Oakland County issued a Press Release announcing a commitment to redevelop, revitalize, and reconnect Downtown Pontiac, after decades of disinvestment, in partnership with the City of Pontiac and the State of Michigan. The County-City agreement outlines the County’s plans to refurbish the former GM building on East Judson and move up to 600 employees into the building, returning a portion of the County’s workforce to downtown Pontiac after an absence of more than 50 years. Other phases of work include the relocation of the parking garage, the reopening of Saginaw Street, and the creation of walkable green space. Oakland County Executive Dave Coulter was quoted as saying “In an historic opportunity, through a partnership with the city and state, we are re-investing in downtown Pontiac. Since 2000, we have assisted [other] communities in creating unique and vibrant downtowns and with this transformational project, it is Pontiac’s turn to shine. Tri-County Area Population 2010 Population 59,651 5% 1,202,355 38% 3,150,096 2020 Population 61,606 5% 1,274,395 39% 3,310,062 2023 Population 62,479 5% 1,285,938 39% 3,311,447 2028 Population 62,112 5% 1,290,575 39% 3,299,359 2010 - 2020 CAGR 0.3%0.6%0.5% 2020 - 2023 CAGR 0.5%0.3%0.0% 2023 - 2028 CAGR -0.1%0.1%-0.1% Households 2010 Households 22,279 5% 483,696 39% 1,248,755 2020 Households 23,993 5% 524,047 39% 1,332,373 2023 Households 24,406 5% 532,151 40% 1,342,047 2028 Households 24,494 5% 539,208 40% 1,350,981 2010 - 2020 CAGR 0.7%0.8%0.7% 2020 - 2023 CAGR 0.6%0.5%0.2% 2023 - 2028 CAGR 0.1%0.3%0.1% Household Income 2023 Average HH Income $55,074 42% $130,356 128% 101,938 2028 Average HH Income $64,010 43% $147,213 126% 116,634 2023 - 2028 CAGR 3.1%2.5%2.7% Unemployment3 2023 Labor Force 28,787 4% 697,498 40% 1,723,927 2023 Unemployed 2,562 9%28,597 74,843 2023 Unemployment Rate 8.9% 4.1% 4.3% Source: STDB 1 Tri-County Area = Macomb County, Oakland County, and Wayne County excluding the city of Detroit 2 Wayne County Data excludes the city of Detroit 3 Unemployment is based on Civilian Population 16+ As a % of Oakland County As a % of Tri- County Area Demographic Summary - City of Pontiac, Oakland County, Tri-County Area1 City of Pontiac Oakland County LOCATION ANALYSIS 10 Phoenix Center and Ottawa Towers Source: Google Earth An agreement approved by the Oakland County Board of Commissioners and Pontiac City Council outlines how the project will proceed:  The City will use funds received from the State of Michigan to retire debt related to the Phoenix Center and will convey ownership of the property on which it sits to Oakland County.2  The County will demolish the Phoenix Center, reopening Saginaw Street through to what is now the south end of the Woodward Loop and creating a much more walkable environment in downtown Pontiac.  The Phoenix Center will be demolished rather than refurbished because cost estimates to bring the parking garage and amphitheater into fully functioning shape, as well as future maintenance, were estimated at $61 million, compared to total costs of $120 to $130 million for the project as a whole.  Other County plans include construction of a new parking garage for the use of the workers in the two office buildings, as well as by residents and people doing business downtown. A recent Plante Moran study revealed more than $550 million in critical repairs needed at buildings now on the Oakland County Campus in northwest Pontiac and Waterford. By moving to Pontiac and consolidating three existing Campus buildings into one, the County will avoid $54 mill in costs to just make the current buildings safe and up-to- code for continued occupancy.  After removing the Phoenix Center, the County has committed to convey a minimum of two acres of land to the City, with the City to determine how it can best be used for the benefit of the residents. The intent and hope is that the County’s investment will help spark a revitalization of our downtown and restore Pontiac’s rightful place as the “heart of Oakland County”, as Pontiac Mayor Greimel stated. The I-75BL Woodward Loop Conversion Project is another critical part of the overall plan and expected to be completed in 2025 or 2026. 2 This closing had already occurred as of the current valuation date. PROJECT OVERVIEW 11 PROJECT OVERVIEW The Michigan Department of Transportation (MDOT) is responsible for Michigan’s nearly 10,000-mile state highway system, comprised of all M (Michigan), I (Interstate), and US routes. A current MDOT project called the I-75BL Woodward Loop Conversion Project involves converting the roadway from a one-way direction to two-way traffic using the current pavement, which was rebuilt in 2007. The following map shows the location of the Loop within the city of Pontiac and the surrounding area. Source: Oakland County Property Gateway The work will include intersection modifications and improvements, right-of-way acquisition, drainage improvements, permanent signs, and new sidewalks. Work would also include rebuilding M-59 (Huron Street) within the Woodard Loop and repaving Cass Avenue with new sidewalk segments to fill in. Construction is expected to start in 2025 and be completed in 2026. As noted before, the Loop Conversion Project will benefit the comprehensive vision shared among the Pontiac City Council, the Oakland County Executive, and the Oakland County Board of Commissioners, made possible by an influx of federal, state, and county funds, that may become a true Pontiac renaissance. Oakland County recently announced it will demolish the Phoenix Center amphitheater and garage and retire Pontiac’s debt related to it, move up to 600 employees into one of the two adjacent office buildings that it purchased, built a new parking garage, and convey a minimum of two acres downtown to the City to use as community space for the benefit of the residents. “For years, the Phoenix Center has been a decrepit, blighted structure, that obstructed our main street and bifurcated our downtown, so this project will reconnect our central business district while bringing in more foot traffic with the relocation of so many county employees”, says Mayor Tim Greimel, and “The Loop has been a superhighway that almost serves as a moat around the downtown, so this new two-way configuration will be pedestrian-friendly and make the downtown more accessible.” PROJECT OVERVIEW 12 Source: Oakland County Property Gateway DESCRIPTION OF THE PROPERTY TYPE 13 DESCRIPTION OF THE PROPERTY TYPE The Client has requested a market study of “commercial vacant land” in connection with property rights needed over specific parcels of real property in the Project area for which Waivers of Valuation may be used. Before delineating the area from which sale activity will be researched, the Project area is examined to identify the types of commercial land within it. From the map excerpt presented, the C-2 Downtown zoning designation is clearly the most prominent inside the Loop area. Secondary designations are C-3 Corridor Commercial and CC Civic Center. DESCRIPTION OF THE PROPERTY TYPE 14 Current Zoning Designation:C2, Downtown Mixed Use C3, Corridor Mixed Use Intent/Purpose of Zoning District:This zoning classification consists of higher density mixed use development that accommodates a variety of uses. This zoning classification is designed to provide for a mixture of uses that are appropriate along thoroughfare and collector streets that have moderate to large traffic volumes. Permitted Uses:Retail, office, residential, and entertainment uses, and civic and institutional uses of regional importance Retail, office, residential, and entertainment uses, and civic and institutional uses of regional importance This district has a historic character and is built at a walkable scale that creates pedestrian activity. The uses located in this district are enhanced by their centrality of location, ease of access to major transportation routes, and proximity to similar and complementary uses. This district is suitable for any use except for uses that require large tracts of land, uses that require large outdoor components, uses that generate large volumes of truck traffic, or uses that do not support or contribute to an active pedestrian environment. The regulations applicable in this district are intended to support incremental development within the district that respects and enhances the existing built fabric. Uses that cater to or require high degrees of automobile access are not permitted in this district. This district has a wide range of uses are appropriate within this context, including retail and service commercial, office, and low-impact light industrial uses. It is expected that most customers of establishments in this district will travel via automobile, and as there is little essential interdependence of activities, each establishment typically will have its own automobile parking area. Good traffic accessibility is essential to this district, particularly for trucks and other freight carriers. Some permitted uses in this district generate significant automobile and/or truck traffic. Zoning Designations Category C2, Downtown Mixed Use C3, Corridor Mixed Use Minimum Lot Area (SF)2,000 SF 6,000 SF Minimum Interior/Corner Lot Width 20/20 60/60 Maximum Lot Coverage:30%10% Minimum Setbacks (Common Yard or Front Parking, Private Frontage) 1 Front:15 feet on Woodward 10 feet 10 feet elsewhere Side(s):5 feet 10 feet (street) 0 feet (interior) Rear:10 feet 20 feet Maximum (Stories/Feet):Max bldg height on lot adjacent to R-1, R-2, R-3 or R-5 shall be equal to bldg setback for residential property boundary 35 feet, or max bldg height on small front setback lots is to be greater of 35 feet or 50% of width of ROW of front street abutting the lot 1 (See Zoning Ordinance for Minimum Setbacks for Stoop, Courtyard, or Streetfront Private Frontage Zoning Requirements DELINEATION OF THE MARKET STUDY AREA 15 DELINEATION OF THE MARKET STUDY AREA Similar to surrounding suburban communities of the region, Pontiac’s commercial-zoned sites are commonly made up of various-sized tax parcels ranging from a fraction of an acre up to about five acres. The limited quantity of sales of commercially zoned parcels of land within and immediately adjacent to the Project area necessitates a broader geographic search for sales beyond the city of Pontiac. Source: STDB The search was extended to a radius of 10 miles to find a sufficient quantity of sales to create a credible sampling size. The map above shows that radius. SALES DATA 16 SALES DATA In keeping with the intended use of the Market Study, the following steps were followed in the course of identifying sales in the Market Study Area:  The search for sales data was completed using platforms traditionally used in the market: CoStar, RealComp, and public records.  The criteria used to search for sales were as follows: o Sales within the defined Market Study Area, o Sales occurring over a three-year period from January 1, 2021, through December 31, 2023, o Sales involving a sale price greater than $1, and o Sales of vacant land classified (zoned) for commercial use.  Sales were researched to the extent necessary to confirm the sale actually occurred, by referencing deeds, assessment records and/or confirmation by a party to the sale.  By definition, the sales data presented in a market study should be reliable indicators of market transactions for the Client-specified property type. Consistent with that, MDOT’s Market Study Requirements and Guidelines allow sales to be omitted from the study if they are “not an arm’s- length transaction, etc. or found to be of a different use than the study3”. Accordingly, sales between related parties were omitted, as were sales between government agencies. Also, sales purchased for a different use than the property type/use being studied were omitted. For example, a sale of commercial land purchased contingent on rezoning for multi-family residential development would be omitted as it would not be a reliable indicator of the market for commercial land.  While the purpose of the Market Study is decidedly not to conclude to value(s), sales occurring under circumstances inconsistent with MDOT’s definition of “market value” required for condemnation matters, shown below, were also logically omitted in that they would not be indicative of a typical market transaction. “The market value of land or real estate is the highest price estimated in terms of money that the property will bring if exposed for sale in the open market with a reasonable time allowed to find a purchaser buying with knowledge of all the uses and purposes to which it is adapted and for which it is capable of being used; the amount which property would bring if it were offered for sale by one who desired, but was not obligated, to sell, and was bought by one who was willing, but not obligated to buy; what the property would bring in the hands of a prudent seller, at liberty to fix the time and conditions of sale; what the property will sell for on negotiations resulting in sale between an owner willing but not obliged to sell and a willing buyer not obliged to buy; what the property would be reasonably worth on the market for a cash price, allowing a reasonable time within which to effect a sale.”4 3 MDOT Market Study Requirements and Guidelines (12/07/21), p. 2. 4 MDOT Real Estate Procedure Manual (12/27/23), Glossary, Page 3. SALES DATA 17 For example, a tax foreclosure sale would not be included as a typical market transaction because the seller is a government entity that has involuntarily acquired the property, is atypically motivated to dispose of it, and is required to follow a defined legal process that does not involve negotiation between the parties.  Sales with an indication of an atypical transactional characteristic were adjusted if there was market support for the adjustment. For example, a sale purchased on a long-term land contract in a market where cash sales are typical was adjusted for cash-equivalency if the terms of the land contract could be obtained. The adjusted sale price would better reflect what the property would have sold for under typical market transaction conditions. Otherwise, the sale was omitted as atypical of the market in its raw form and thus potentially misleading. In summary, the sales presented herein are all of the sales found and “qualified” as reliable indicators of the market for the property type/use being studied. As used here, the term “qualified” means sales found to be reliable indicators of market transactions for commercial-zoned land in the I-75BL Woodward Loop Project Area. In summary, the test for qualification included confirmation that:  the sale actually occurred;  the sale was not between related parties or government agencies;  the sale was not purchased for a use other than the use of the property type being studied;  the sale did not involve atypical transactional characteristics (unless there was market support to quantify the impact of such characteristics on the recorded sale price); and  the sale conditions were viewed as typical market transactions based on MDOT’s definition of “market value” cited above. Each sale found in the initial search for sales data was researched to the extent possible to qualify it as a true sale and a typical market transaction of the property type/use being studied. All such sales are included without exclusion. The research ultimately resulted with six qualified sale transactions. MDOT allows the sales to be adjusted for transactional characteristics (property rights conveyed, financing terms, conditions of sale, expenditures immediately after the sale, and market conditions), because such adjustments are market-based. Adjustments are not allowed for property-specific elements of comparison: location, physical characteristics, economic or legal characteristics, and non-realty components included in the sale. The adjusted sale prices presented are the actual sale prices adjusted only for market conditions. This adjustment is intended to account for the change in market conditions over the time period studied. The adjustment is 3.0 percent per annum. The results of the research are summarized in the following tables, along with a map showing the disbursement of the sales throughout the Market Study Area. Aerial photographs of each sale are also provided. The sales data is presented in a summary format presenting factual property data and analyzed only using descriptive statistics: minimum, maximum average, median, standard deviation. SALES DATA 18 Sale No. Property Address Tax Parcel No. Zoning Parcel Width (FF) Parcel Size (SF) Deed Record Liber/Page Sale Date Sale Price Time-Adj Sale Price Time-Adj Price PSF Comments 1 95 Baldwin Ave Pontiac, MI 482342 14-29-129-001 C-1 218.15 76,230 L 58257 / P 678 11/14/22 $34,000 $35,154 $0.46 Single parcel sale; northeast of Caeser E Chavez on west side of Baldwin and secondary frontage on W Howard St 2 Clintonville Rd (adj to 4505 Clintonville Rd) Clarkston, MI 48346 08-36-300-009 C-1 336.00 220,936 L 58949 / P 497 10/12/23 $300,000 $301,950 $1.37 Sale of a singular tax parcel at the northeast corner of Clintonville Rd and Mann Rd, located southwest of I-75 and approximately two miles off the Sashabaw Rd and I-75 interchange 3 730 Caesar Chavez Ave Pontiac, MI 48340 14-19-426-003 14-19-426-013 C-3 128.00 35,840 L 58982 / P 552 10/31/23 $99,000 $99,490 $2.78 Multiiple parcel sale with 128 feet frontage on Caesar Chavez and 280 feet frontage on Kinney. Seller is currently in site plan approval to rezone for a proposed 22,765-SF marijuana cultivation facility. 4 5420 Dixie Hwy Waterford, MI 48328 13-04-253-015 C-3 100.00 35,550 L 58615 / P 775 09/10/21 $99,000 $105,986 $2.98 Single parcel sale with 117 feet frontage on Dixie Hwy. 5 W Lawrence St (adj to 55 W Lawrence St) Pontiac, MI 48342 14-29-413-004 C-2 83.00 13,369 L 56676 / P 483 07/20/21 $55,000 $59,130 $4.42 Single parcel sale on the N side of W Lawrence and S side of Clinton St, currently used as a parking lot 6 4750 Highland Rd Waterford, MI 48328 13-22-102-012 C-3 256.00 50,965 L 58615 / P 775 05/12/23 $350,000 $356,667 $7.00 Single vacant parcel with 265 feet of frontage on Highland Rd and 317.44 feet of secondary frontage on Claudia Drive; previously developed lot Low 13,369 SF $0.46 Low High 220,936 SF $7.00 High Average 72,148 SF $3.17 Average Median 43,403 SF $2.88 Median Std Deviation 12,633 SF $3.27 Std Deviation Commercial Land Sales SALES DATA 19 Source: Map Quest SALES DATA 20 Sale 1 – 95 Baldwin Ave, Pontiac, MI Sale 2 – Clintonville Rd, Clarkston, MI Sale 3 – 730 Caesar Chavez, Pontiac, MI Sale 4 – 5420 Dixie Hwy, Waterford, MI Sale 5 – W Lawrence St, Pontiac, MI Sale 6 – 4750 Dixie Hwy, Waterford, MI SALES DATA 21 Observed statistical facts:  The sale prices, adjusted for time to the end of the study period, range widely from $0.46 to $7.00 per square foot.  The size (land area) of the sales ranges from 13,329 to 220,936 square feet.  The average indicator is $3.17 per square foot and the median is $2.88 per square foot.  The standard deviation is $3.27 per square foot, similar to the average per square foot, indicating a normal distribution. Parcel Size (SF)Price per SF1 Minimum 13,369 SF $0.46/SF Maximum 220,936 SF $7.00/SF Average 72,148 SF $3.17/SF Median 43,403 SF $2.88/SF Std Deviation 12,633 SF $3.27/SF 1 Adjusted for time to 12/31/23 Sales Data - Statistics TEMPORARY TAKINGS (CONSENTS) – LAND RETURN RATES 22 TEMPORARY TAKINGS (CONSENTS) – LAND RETURN RATES Because MDOT has indicated that the Waiver Valuations to be based on this Market Study will be used to acquire temporary easements (consents), information on land-lease capitalization rates cited by market investors is also provided. Temporary easements (consents) are generally valued as a percentage of the market value to the fee simple estate for each year of the temporary easement’s term. As such, a land rate of return, or overall capitalization rate, is needed, which when multiplied by the market value of the fee simple estate results in an indication of annual rent. The valuation, or estimation of just compensation, is completed by multiplying the annual rent by the number years of the temporary easement term. Overall capitalization rates published by RealtyRates.com are presented below. These rates are as of the most recent issue published. According to RealtyRates.com, the published capitalization rates are based on long term leases, generally 40 to 99 years, of vacant land proposed for development. ADDENDA 23 ADDENDA Definitions  Moody’s Precis Report – Warren-Troy-Farmington Hills  Appraiser Qualifications  DEFINITIONS DEFINITIONS The source of the following definitions, unless noted otherwise, is the Uniform Standards of Professional Appraisal Practice (USPAP), 2020-2021 ed.5 Appraisal The act or process of developing an opinion of value; an opinion of value. Appraisal Practice Valuation services performed by an individual acting as an appraiser, including but not limited to appraisal and appraisal review. Appraiser One who is expected to perform valuation services competently and in a manner that is independent, impartial, and objective. Arm’s-Length Transaction A transaction between unrelated parties who are each acting in his or her own best interest.6 Assignment A valuation service that is provided by an appraiser as a consequence of an agreement with a client. Client The party or parties (i.e., individual, group, or entity) who engage an appraiser by employment or contract in a specific assignment, whether directly or through an agent. Fee Simple Estate Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.7 Market Study An analysis of the market conditions of supply, demand, and pricing for a specific property type in a specific area.8 Valuation Service A service pertaining to an aspect of property value, regardless of the type of service and whether it is performed by appraisers or others. 5 In August 2022, The Appraisal Standards Board of The Appraisal Foundation extended the effective date of the 2020-2021 edition of USPAP through December 31, 2023. 6 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed., s.v. “arm’s-length transaction.” (Chicago: Appraisal Institute, 2022) 7 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed., s.v. “fee simple estate.” (Chicago: Appraisal Institute, 2022) 8 Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed., s.v. “market study.” (Chicago: Appraisal Institute, 2022) MOODY’S PRECIS REPORT – WARREN-TROY-FARMINGTON HILLS MOODY’S PRECIS REPORT – WARREN-TROY-FARMINGTON HILLS APPRAISER QUALIFICATIONS APPRAISER QUALIFICATIONS 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 1/1 248.863.2760 | WWW.B-L-N.COM Susan P. Shipman, MAI Senior Appraiser Education MBA, University of Michigan BFA, Florida Atlantic University Licenses/Professional Affiliations Michigan Certified General Appraiser #1205003814 Member, Appraisal Institute Member, International Right-of-Way Association Susan has nearly 30 years of experience in the real estate appraisal industry. Prior to joining BLN, she was a Senior Director with Cushman & Wakefield Valuation Advisory Services and Principal and Treasurer of Terzo & Bologna. Other professional roles include Principal of Shipman & Associates, Director in the Stout Risius Ross (SRR) Real Estate Valuation & Advisory Services Group, and Director of Finance & Administration for Hobbs + Black Architects. She previously worked with the regional appraisal firms of Oetzel-Williams and the Gerald Alcock Company. Susan’s experience encompasses a wide variety of property types including industrial, office, retail, residential, senior housing, self-storage, manufactured housing communities, and railroad corridors. Her clientele includes a host of national and local banks, universities and colleges, government agencies, law firms, private and public corporations, and private real estate developers and investors. She has been qualified as an expert witness in the Oakland County Circuit Court, U.S. Bankruptcy Court for the Western District (Grand Rapids), and the Michigan Tax Tribunal. Specific Project Experience Michigan Department of Transportation (MDOT) Gordie Howe International Bridge Crossing, Detroit, MI I-94 Modernization Project, Detroit, MI I-75BL/Woodward Loop One-to-Two-Way Conversion Project, Pontiac, MI 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 2/1 248.863.2760 | WWW.B-L-N.COM Great Lakes Water Authority (GLWA) Avon/Dequindre 96” Water Transmission Main Relocation Project, Rochester Hills and Shelby Township, MI Northwest Interceptor to Oakwood Combined Sewer Overflow (NOCSOS) Project, Detroit, MI Fox Creek Sewer Rehabilitation & Construction Project, Detroit, MI FL-01 Master Meter Pit Project, Davison (Richland Township), Genesee County, MI County Road Commissions Avon/Dequindre Road Improvement Project, Rochester Hills and Shelby Township, MI (Road Commission for Oakland County and Macomb County Department of Roads) Romeo Plank Roundabout and Road Widening Project, Macomb Township, MI (Macomb County Department of Roads) Wixom-Walled Lake-Commerce Township Trail Authority Wixom-Walled Lake-Commerce Township Air Rail Line Hartland Township Hartland Road Sidewalk Improvement Project, Hartland Township, MI City of Flint City of Flint Secondary Water Pipeline, Flint and Flint Township, MI Michigan Department of Natural Resources (DNR) Outdoor Adventure Center, William G. Milliken State Park, Detroit Riverfront, MI Residual Land Analysis, West Riverfront Land, Detroit, MI Professional and Community Involvement Great Lakes Chapter of the Appraisal Institute, President 2007, Board Member 2004-2007 Great Lakes Chapter of the Appraisal Institute, 2017 Recipient of the Connie Vickroy Distinguished Service Award Rotary Club of Ann Arbor, Membership Committee, Annual Golf & Pickleball Fundraiser Member Commercial Real Estate Women (CREW), Detroit Chapter, Former Board Member Kerrytown Concert House, Ann Arbor, MI, Founding Member Washtenaw United Way, Former Board Member Michigan Theater, Former Board Member Washtenaw Association for Community Advocacy, Recipient of a Volunteer of the Year Award 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 3/1 248.863.2760 | WWW.B-L-N.COM Publications, Presentations & Speaker Engagements Guest Lecturer at the University of Michigan Ross School of Business International Right-of-Way Association Institute for Professionals in Property Tax Turnaround Management Association (TMA) Appraisal License 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 1/1 248.863.2760 | WWW.B-L-N.COM Kevin Camero-Sulak Senior Appraiser Education MBA, Entrepreneurial Management, Wayne State University BA, Finance, Eastern Michigan University Licenses/Certifications Michigan Certified General Appraiser #1205002779 Illinois Certified General Appraiser #553.002947 Wyoming Certified General Appraiser #AP-2384 Kevin has 32 years of experience in the real estate appraisal industry. He has served in the following professional roles: Principal at Oakbrook Appraisals, Senior Review Appraiser for Amerifirst Home Mortgage, Review Appraiser at ServiceLink, Staff Appraiser for the Gerald Alcock Company, Appraisal Analyst at Comerica Bank, and Right-of-Way Appraiser for Frisbie Appraisal Services. He also has experience testifying in the Washtenaw County Circuit Court. Professional Affiliations and Memberships Candidate for SRA Designation, Appraisal Institute Specific Project Experience I-94 Expansion Loop, Battle Creek, MDOT Kevin appraised approximately 80 vacant and improved residential and commercial properties for full and partial takings. Community Involvement City of Saline Councilmember, DEI Committee, Saline Youth Council, Arts & Culture Committee, and Hiring Committees 51151 WEST PONTIAC TRAIL | WIXOM, MI 48393 2/1 248.863.2760 | WWW.B-L-N.COM Appraisal License RELOCATION BENEFITS IMPROVEMENTS Public Roads and Private Property Development Services Division Real Estate Services Section Last Updated 2019 “No person shall… be deprived of life, liberty or property without due process of the law; nor shall private property be taken for public use, without just compensation,” Bill of Rights Fifth Amendment to the U.S. Constitution Page 4 The Need for Transportation Improvements and Land Page 5 Transportation Projects Page 6 How Property is Purchased Page 7 When Your Property is Acquired Page 9 Relocation Assistance Page 10 Relocation Benefits Page 12 Act 87, Public Acts of 1980, as Amended – An Overview Page 14 Questions and Answers Table of Contents: Public Roads and Private Property 2019 3 Michigan’s transportation system provides the backbone for economic activities within the state. The transportation system, including roads, transit, and nonmotorized and intermodal facilities, plays an integral role in supporting the state’s economy and the quality of life for Michigan residents. The Michigan Department of Transportation (MDOT) is committed to providing the highest quality integrated transportation services for economic benefit and improved quality of life. MDOT is responsible for all state trunklines (M, US and I routes) throughout Michigan. This includes highways, railroads, pedestrian bridges, and adjacent infrastructure (i.e., carpool lots, rest areas, noise barriers). It may be necessary to purchase land to adequately and safely accommodate the needs placed upon our transportation system. This brochure explains why your property may be needed, the protections you have as a property owner, and provides answers to frequently asked questions when property acquisition is necessary for a transportation project. The Need for Transportation Improvements and Land Public Roads and Private Property 20194 Projects begin with evaluation of the transportation system, establishment of system needs and consideration of statewide priorities. The Michigan Department of Transportation (MDOT) studies the type and route that best suits the needs of the community, both now and in the future. This includes the research of traffic information, study of land features and review of feasible locations. Many projects are a result of numerous public information meetings and hearings, as well as requests by local officials and the public for specific transportation improvements. Proposed projects, along with estimated costs, urgency and other factors are reviewed and considered by MDOT. Some projects are accepted, some are reviewed for further study and others are simply delayed. MDOT manages a vast scope of projects that fall into three categories: • Preserve: Preserve projects include resurfacing, construction without widening and adding lanes of one-half mile or less. • Improve: Improve projects add capacity, including roads or lanes, to existing facilities. • Expand: Expand projects increase the size of the transportation system by adding new improvements. Transportation Projects Public Roads and Private Property 2019 5 After MDOT selects the location and design of a project, property owners are contacted to schedule a preliminary interview with MDOT Real Estate staff. The preliminary interview may occur at a public building or at the owner’s home or business. During the interview, MDOT Real Estate staff will verify ownership, location of improvements, property boundaries, and gather other pertinent information from the property owner. The next step is to determine the market value of the property being acquired. This is accomplished either through the waiver valuation process or by an appraisal. If the necessary right of way being acquired is minimal or non-complex, a waiver valuation may be used. The property owner is always entitled to establishment of just compensation. If an appraisal is needed, a licensed appraiser will estimate the market value of your property by comparing it with similar properties sold in your area. You or your representative will be given the opportunity to accompany the appraiser on an inspection of your property. In some instances, the appraiser may need to analyze your financial information to arrive at the fair market value. The appraiser will provide MDOT a written appraisal report indicating the fair market value of your property. After MDOT has approved the appraisal, a department representative will contact you to make a good faith offer, or voluntary offer, to purchase that portion of your property needed for the project. The department representative will also explain the project, appraisal, and acquisition process, as well as explain the relocation assistance program and benefits for which you may be eligible. You will be provided a reasonable length of time to review the offer and get answers to any questions you may have about the offer. If you believe that MDOT has overlooked an item of value, you may submit a written claim to reconsider value within 90 days of the offer. Supporting documentation must be submitted with this claim. If necessary, you may be asked to cooperate with MDOT in seeking a variance to the local zoning ordinance. If an agreement has been reached between you and MDOT, you will need to sign the appropriate documents and can expect to receive payment within 60 days from the date of signature. All eligible and necessary closing costs for the transaction will be paid by MDOT. How Property is Purchased Public Roads and Private Property 20196 Here is some general information regarding MDOT responsibilities when your property is acquired. Payment of Just Compensation MDOT will pay just compensation when acquiring your property. Just compensation is defined as an approved amount that is not less than the fair market value of the property. Just compensation does not consider any project influences and includes any allowable damages to any property remaining in your ownership. Under Michigan law, just compensation is defined as the highest price estimated in terms of money the property would bring if offered for sale in the open market, with a reasonable time allowed to find a buyer, buying with the knowledge of all the uses to which it is adopted and for which it is capable of being used. Acquiring your principal residence Per Public Act 367 of 2006, if an individual’s principal residence is acquired, the amount of just compensation shall be 125 percent of its fair market value. In addition, per Public Act 439 of 2006, if your principal residence is acquired, you will be reimbursed a property tax exemption, calculated as: State Equalized Value (SEV) - Taxable Value (TV) X Millage Rate X Number of years in residence (maximum of five years) When Your Property is Acquired Public Roads and Private Property 2019 7 Additional Costs MDOT will pay closing costs associated with the sale of your property to MDOT. Taxes MDOT will prorate the general property taxes according to the portion of your land acquired by MDOT. Relocation Advisory Services MDOT will provide relocation advisory services and all eligible benefits as required by state and federal laws. Eligible benefits may include: • Advisory Services: Assistance in locating a suitable replacement property. • Moving Expenses: Payment of reasonable and necessary moving costs of personal property. • Replacement Housing Supplement or Replacement Rental Supplement/ Purchase Down Payment. • Incidental Closing Costs: Payment for the closing expenses when purchasing a replacement dwelling. • Increased Interest Differential: Payment for a higher interest rate on the replacement dwelling than on your existing mortgage. • Reestablishment Expense: Payment for a business, farm or nonprofit to reestablish at a different location. When Your Property is Acquired continued Public Roads and Private Property 20198 MDOT will assist you in relocating you and your personal property when you are displaced by a transportation project. A transportation project is designed to benefit the public and it is MDOT’s goal to accomplish your relocation in the most efficient and equitable manner possible. All avail- able assistance and eligible benefits will be provided to you to ensure disruptions are kept to a minimum. The available services include information concerning housing supplements, referrals to housing that will be adequate for your needs and within your financial means, loan information, moving information, referrals to local real estate and governmental agencies, and other types of assistance. Assistance is also available to locate replacement farms or business sites. The Elliott-Larsen Civil Rights Act prohibits discrimination based on religion, race, color, national origin, age, sex, height, weight, familial status, or marital status. As a citizen of the state of Michigan, you have the right to purchase, rent, lease or finance housing accommodations and real property without discrimination because of religion, race, color, national origin, age, sex, marital status, familial status, or disability. This is guaranteed by the Constitution of the State of Michigan, which provides the Michigan Civil Rights Commission with the authority to protect the rights of Michigan citizens. All referral assistance to individuals and organizations is performed on an equal opportunity basis in compliance with these requirements. Any individual or organization known to be discriminating against will be reported immediately to the Civil Rights Commission. Relocation Assistance Public Roads and Private Property 2019 9 In addition to compensation for land, building or property rights, the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (42 U.S.C. 4601 et seq.) (Uniform Act), provides for relocation payments to individuals, families, businesses, farms, and nonprofit organizations displaced as a result of a transportation project. Residential Relocation Benefits A residential owner or tenant may be eligible for the following relocation benefits: Moving: Residential occupants will be reimbursed to move themselves and/or their personal property from the acquired dwelling to a replacement dwelling. They may choose to move based on the following options: • Commercial Move: The move is performed by a commercial mover and must be supported by an itemized invoice and receipts. • Self-move - Fixed-move Cost Schedule: The move is performed by the displaced person and payment is based on the number of rooms in your dwelling. • Self-move - Actual Cost: The move is performed by the displaced person and payment is based on receipts for labor and equipment. Housing Supplement: A homeowner may be eligible to receive a replacement housing supplement when a replacement home is purchased. Provisions can be made if a homeowner prefers to rent. Rental Supplement/Purchase Down Payment: A tenant may be eligible to receive a rental supplement when a replacement rental is located. Tenants may use the rental supplement as a purchase down payment if desired. Incidental Closing Costs: A homeowner may be reimbursed for the incidental expenses of purchasing a replacement dwelling. Relocation Benefits Public Roads and Private Property 201910