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Assumptions and Limiting Conditions
<br />Assumptions and Limiting Conditions
<br />1. CBRE, Inc. through its appraiser (collectively, "CBRE") has inspected through reasonable observation the subject
<br />property. However, it is not possible or reasonably practicable to personally inspect conditions beneath the soil
<br />and the entire interior and exterior of the improvements on the subject property. Therefore, no representation is
<br />made as to such matters.
<br />2. The report, including its conclusions and any portion of such report (the "Report"), is as of the date set forth in the
<br />letter of transmittal and based upon the information, market, economic, and property conditions and projected
<br />levels of operation existing as of such date. The dollar amount of any conclusion as to value in the Report is based
<br />upon the purchasing power of the U.S. Dollar on such date. The Report is subject to change as a result of
<br />fluctuations in any of the foregoing. CBRE has no obligation to revise the Report to reflect any such fluctuations or
<br />other events or conditions which occur subsequent to such date.
<br />3. Unless otherwise expressly noted in the Report, CBRE has assumed that:
<br />(i) Title to the subject property is clear and marketable and that there are no recorded or unrecorded matters or
<br />exceptions to title that would adversely affect marketability or value. CBRE has not examined title records
<br />(including without limitation liens, encumbrances, easements, deed restrictions, and other conditions that may
<br />affect the title or use of the subject property) and makes no representations regarding title or its limitations on
<br />the use of the subject property. Insurance against financial loss that may arise out of defects in title should be
<br />sought from a qualified title insurance company.
<br />(ii) Existing improvements on the subject property conform to applicable local, state, and federal building codes
<br />and ordinances, are structurally sound and seismically safe, and have been built and repaired in a workmanlike
<br />manner according to standard practices; all building systems (mechanical/electrical, HVAC, elevator, plumbing,
<br />etc.) are in good working order with no major deferred maintenance or repair required; and the roof and exterior
<br />are in good condition and free from intrusion by the elements. CBRE has not retained independent structural,
<br />mechanical, electrical, or civil engineers in connection with this appraisal and, therefore, makes no
<br />representations relative to the condition of improvements. CBRE appraisers are not engineers and are not
<br />qualified to judge matters of an engineering nature, and furthermore structural problems or building system
<br />problems may not be visible. It is expressly assumed that any purchaser would, as a precondition to closing a
<br />sale, obtain a satisfactory engineering report relative to the structural integrity of the property and the integrity
<br />of building systems.
<br />(iii) Any proposed improvements, on or off -site, as well as any alterations or repairs considered will be completed
<br />in a workmanlike manner according to standard practices.
<br />(iv) Hazardous materials are not present on the subject property. CBRE is not qualified to detect such substances.
<br />The presence of substances such as asbestos, urea formaldehyde foam insulation, contaminated groundwater,
<br />mold, or other potentially hazardous materials may affect the value of the property.
<br />(v) No mineral deposit or subsurface rights of value exist with respect to the subject property, whether gas, liquid,
<br />or solid, and no air or development rights of value may be transferred. CBRE has not considered any rights
<br />associated with extraction or exploration of any resources, unless otherwise expressly noted in the Report.
<br />(vi) There are no contemplated public initiatives, governmental development controls, rent controls, or changes in
<br />the present zoning ordinances or regulations governing use, density, or shape that would significantly affect the
<br />value of the subject property.
<br />(vii) All required licenses, certificates of occupancy, consents, or other legislative or administrative authority from
<br />any local, state, or national government or private entity or organization have been or can be readily obtained
<br />or renewed for any use on which the Report is based.
<br />(viii)The subject property is managed and operated in a prudent and competent manner, neither inefficiently, nor
<br />super -efficiently.
<br />(ix) The subject property and its use, management, and operation are in full compliance with all applicable federal,
<br />state, and local regulations, laws, and restrictions, including without limitation environmental laws, seismic
<br />hazards, flight patterns, decibel levels/noise envelopes, fire hazards, hillside ordinances, density, allowable
<br />uses, building codes, permits, and licenses.
<br />(x) The subject property is in full compliance with the Americans with Disabilities Act (ADA). CBRE is not qualified
<br />to assess the subject property's compliance with the ADA, notwithstanding any discussion of possible readily
<br />achievable barrier removal construction items in the Report.
<br />(xi) All information regarding the areas and dimensions of the subject property furnished to CBRE are correct, and
<br />no encroachments exist. CBRE has neither undertaken any survey of the boundaries of the subject property,
<br />nor reviewed or confirmed the accuracy of any legal description of the subject property.
<br />CBRE VALUATION & ADVISORY SER/ICES 27 © 2025 CBRE, INC
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