Coachella City Council
June 28, 2023

Item 20.

FHA/VA Case No. Page # 59 of 72
Analytics Addendum, Neighborhood Market Data Analysis Page 3 N/A - Eminent Domain Negotiation Use
50020 Kenmore St
Coachella Riverside CA 92236
Javier and Virginia Botello
This chart shows the median days on
market for sales and active listings during
each month starting 03-07-2022 through
03-06-2023.

For each month from 03-07-2022 to
03-06-2023 this chart shows the median
price per square foot for both sales and
listings in the subject market.

This graph demonstrates the months of
housing supply per month by taking the
active number of listings during that month
and dividing by the average number of sales
per month over the 12 months trailing.

Form PIC3TACHART_LT - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Owner
Property Address
City County State Zip Code

Item 20.

FHA/VA Case No. Page # 60 of 72
Coachella Valley Housing Statistics February 2023 - Page 1 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 20.

FHA/VA Case No. Page # 61 of 72
Coachella Valley Housing Statistics February 2023 - Page 2 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 62 of 72
Coachella Valley Housing Statistics February 2023 - Page 3 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 63 of 72
Coachella Valley Housing Statistics February 2023 - Page 4 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 64 of 72
Zillow Report
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 65 of 72
1 Year Comparables farm - Page 1
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 66 of 72
1 Year Comparables farm - Page 2
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 67 of 72
1 Year Comparables farm - Page 3
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 68 of 72
Search Criteria and Statistical Analysis
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 69 of 72
Coachella Valley Housing Statistics February 2022 - Page 1 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

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FHA/VA Case No. Page # 70 of 72
Coachella Valley Housing Statistics February 2022 - Page 2 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 20.

FHA/VA Case No. Page # 71 of 72
Coachella Valley Housing Statistics February 2022 - Page 3 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 20.

FHA/VA Case No. Page # 72 of 72
Coachella Valley Housing Statistics February 2022 - Page 4 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 20.

COMMONWEALTH LAND TITLE COMPANY
4100 Newport Place Dr., Suite 120, Newport Beach, CA 92660 Phone: (949) 724-3140
Buyers/Borrowers Settlement Statement
Estimated
Date Prepared:
05/26/2023
Escrow No: Close Date: Proration Date:
09186236 - 918 GKD
Escrow Officer:

Grace Kim
Disbursement Date:

Buyer(s)/Borrower(s): City of Coachella, a California charter city and municipal corporation Property: 50020 Kenmore Street
Coachella, CA 92236
Description Debit Credit
TOTAL CONSIDERATION:

Total Consideration 386,000.00
TITLE AND ESCROW CHARGES:

Standard ALTA Owners Policy for $386,000.00 to Commonwealth Land Title 1,433.00 Company
Escrow Fee to Commonwealth Land Title Company 1,025.00
Municipality Additional Work Charge to Commonwealth Land Title Company 350.00 New Doc Prep - Partial Reconveyance to Commonwealth Land Title 150.00 Company
Processing Fee - Partial Reconveyance to Commonwealth Land Title 200.00 Company
FedEx Fees (EST) to Commonwealth Land Title Company 150.00 RECORDING FEES:

Recording Fee - Partial Reconveyance (EST) to Commonwealth Land Title 150.00 Company
Recording Fee - Affordable Housing (EST) to Commonwealth Land Title 250.00 Company
ADDITIONAL CHARGES:

Recording Service Fee - Simplifile to Commonwealth Land Title Company 45.00 Lender Upfront Processing Fee (EST) to 1st Lender of record 850.00 Mobile Notary Fee (EST) to Daniel Valadez 250.00
Refundable Escrow Pad 750.00
Totals
Balance Due From Buyer /Borrower
Sub Totals 391,603.00
391,603.00 391,603.00
391,603.00

0.00 Printed by Krystal Thompson on 5/26/2023 - 12:41:55PM Page 1 of 2 This statement is based on information available to the escrow holder as of the date this statement was prepared and the closing date shown above. Actual amounts may change and/or vary depending on updated information received and the final closing date.

Item 20.

COMMONWEALTH LAND TITLE COMPANY
4100 Newport Place Dr., Suite 120, Newport Beach, CA 92660 Phone: (949) 724-3140
Buyers/Borrowers Settlement Statement
Estimated
Date Prepared:
05/26/2023
Escrow No: Close Date: Proration Date:
09186236 - 918 GKD
Escrow Officer:

Grace Kim
Disbursement Date:

Buyer(s)/Borrower(s):

City of Coachella,
a California charter city and municipal
corporation
By: ________________________________
Name: _____________________________
Its: ________________________________
Printed by Krystal Thompson on 5/26/2023 - 12:41:55PM Page 2 of 2 This statement is based on information available to the escrow holder as of the date this statement was prepared and the closing date shown above. Actual amounts may change and/or vary depending on updated information received and the final closing date.

Item 20.

CERTIFICATE OF ACCEPTANCE
APN 768-163-001
This is to certify that the interest in the GRANT DEED conveyed by the within instrument to the City of Coachella is hereby accepted by the undersigned officer/agent on behalf of the Board of Directors.

CITY OF COACHELLA
Dr. Gabriel Martin
City Manager
Date: Sh'-il23

Item 20.

Project:

Project No.:

APN:

Avenue 50 Widening Project
Federal Project No.,
768-163-001

RIGHT OF WAY AGREEMENT FOR CONVEYANCE OF REAL PROPERTY

AND ESCROW INSTRUCTIONS

THIS AGREEMENT FOR CONVEYANCE OF REAL PROPERTY AND ESCROW INSTRUCTIONS,(the"Agreement"),is made and entered into as of Hk'< 9 "-, 2013 by and between the City of Coachella, a California charter City and municipal corporation, ("Buyer"), and Javier Botello and Virginia Botello, husband and wife, as joint tenants, ("Seller"), with references to the following facts. Buyer and Seller are individually referred to as "Party," and collectively referred to as the "Parties".

RECIT ALS
A. Seller is the owner of certain real property located in the City of Coachella, (the "City"), the County of Riverside, (the "County"), State of California, (the "State"), which is identified by Assessor Parcel Number(s) 768-163-001, (referred to as the "Property").

B. Buyer desires to acquire from Seller a portion of the Property, more particularly described and depicted on Exhibits A and B attached hereto, (collectively referred to as the "Rights-of-Way"), for various public purposes including street rights-ofway and public utilities.

C. Seller desires to convey to Buyer, and Buyer desires to acquire from Seller the Rights-of-Way in accordance with the terms and conditions contained in this Agreement.

NOW THEREFORE, for and in consideration of the mutual covenants and agreements contained in this Agreement, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by Seller, Buyer and Seller hereby agree as follows:

AGREEMENT

1. PURCHASE AND SALE.

1.1 Aqreement to Buy and Sell. Subject to the terms and conditions set forth herein, Seller hereby agrees to sell and convey to Buyer, and Buyer hereby agrees to acquire and purchase From Seller, the Rights-or-Way. As used herein the "Rights-of-Way" shall include the real property legally described on Exhibit A and depicted on Exhibit B and all of Seller's right, title and interest in and to any and all entitlements, tenements, hereditaments, easements, easement rights, rights to half-widths of all adjacent public streets and public rights of way, mineral rights, oil and gas rights, water, water rights, air Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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rights, development rights and privileges appurtenant thereto and all improvements located thereon.

1.2 Purchase Price. The purchase price, ("Purchase Price"), for the Rights-ofWay shall be Three Hundred Eighty-Six Thousand Dollars and Zero Cents ($386,000.00) payable as cash at closing, plus applicable escrow, associated fees, and other charges.

1.3 Full and Complete Settlement. Seller hereby acknowledges that the compensation paid to Seller through this Agreement constitutes the full and complete settlement of any and all claims against Buyer, by reason of Buyer's acquisition of the Rights-of-Way, specifically including, but not limited to, any and all rights or claims that Seller has, may have or may in the future have under Article 1, Section 19 of the California Constitution, the Eminent Domain Law, or any other law or regulation, except as provided herein Seller, on behalf of itself and its successors and assigns, hereby expressly and unconditionally waives and releases and discharges Buyer and any and all of Buyer's employees, agents, officers, servants, representatives, contractors, attorneys, partner agencies and assigns from liability in regard to any and all claims for damages, severance damages, interest, loss of goodwill, lost profits, lost rents, damages to or loss of improvements pertaining to the realty, machinery, fixtures, inventory, equipment and/or personal property, claims forinverse condemnation, pre-condemnation damages, any right to challenge Buyer's adoption of a resolution of necessity, any right to receive notices pursuant to Code of Civil Procedure section 1245.235, any right to enforce any obligation placed upon Buyer pursuant to the Eminent Domain Law, any other rights conferred upon Seller pursuant to the Eminent Domain Law, any claims for litigation expenses, attorney's fees, statutory interest and/or costs or any other compensation or benefits, other than For payment of the Purchase Price, it being understood that the Purchase Price constitutes complete and full settlement of all acquisition claims, liabilities, or benefits of any type or nature whatsoever, whether known or unknown as of the date of this Agreement, relating to or in connection with the Rights-of-Way or any other rights granted under this Agreement.

2. ESCROW AND CLOSING.

2.1 0peninqofEscrow.Withinfourteen(14)businessdaysafterexecutionofthis Agreement by the last of Seller or Buyer, Buyer shall open an escrow, (the "Escrow"), with Commonwealth Land Title, atthe address setforth in Section 7.12, ("EscrowHolder"), by depositing with Escrow Holder this Agreement fully executed, or executed counterparts hereof. The date this fully executed Agreement is signed and accepted by Escrow Holder on the last page hereof shall be deemed the "Opening of Escrow" and Escrow Holder shall advise Buyer and Seller of such date in writing. The escrow instructions shall incorporate this Agreement as part thereof and shall contain such other standard and usual provisions as may be required by Escrow Holder, provided, however, that no escrow instructions shall modify or amend any provision of this Agreement, unless expressly set forth in writing by mutual consent of Buyer and Seller. In the event there is a conflict between any such standard or usual provisions and the provisions of this Agreement, the provisions of this Agreement shall control.

Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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2.2 Escrow Fees and Other Charqes. At the Close of Escrow, Buyer agrees to pay all of Seller's and Buyer's escrow fees, charges and costs incurred in this transaction.

2.3 Closing Date; Conditions Precedent to Close of Escrow. Provided all of the conditions precedent set forth in this Section 2.3 have been satisfied (or are in a position to be satisfied concurrently with the Close of Escrow), the Close of Escrow shall occur WITHIN 60 DAYS (the "Closing Date"), unless otherwise extended by mutual agreement.

As used in this Agreement, the "Close of Escrow" shall mean the date a Grant Deed as provided in Section 2.4.2(a) hereof ("Grant Deed"), is recorded in the Official Records of the County.

2.3.1 Conditions to Buyer's Obliqations. The Close of Escrow and Buyer's obligation to purchase the Rights-of-Way are subject to the satisfaction of the following conditions or Buyer's written waiver of such conditions on or before the Closing Date.

Buyer may waive in writing any or all of such conditions in its sole and absolute discretion. (a) The Purchase Price shall have been determined in
accordance with Section 1.2; and
(b) Seller shall have performed all obligations to be performed by Seller pursuant to this Agreement; and
(c) No event or circumstance shall have occurred which would make any of Seller's representations, warranties and covenants set forth herein untrue as of the Close of Escrow; and
(d) There shall have occurred no material adverse change in the physical condition of the Property (such as those caused by natural disasters) which would render the Rights-of-Way unsuitable for Buyer's intended use or which would materially increase the cost or cause a material delay in the schedule for Buyer's planned improvements of the Rights-of-Way; and
(e) The Title Company shall be committed to issue to Buyer, as of the Closing Date, the Title Policy (defined below) covering the Rights-of-Way, subject only to the Permitted Exceptions; and
(f) All monetary encumbrances, if any, shall have been
reconveyed and title shall be conveyed free of all monetary encumbrances. Title to the Rights-of-Way shall be conveyed to Buyer free and clear of all recorded and unrecorded liens, encumbrances, assessments, easements, leases and taxes except for any nondelinquent taxes for the fiscal year in which this transaction closes which shall be cleared and paid in the manner required by Section 4986 of the Revenue and Taxation Code, if unpaid at the close of this transaction.

2.3.2 Conditions to Seller's Obligations. The Close of Escrow and Seller's obligation to sell and convey the Rights-of-Way are subject to the satisfaction of the Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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following conditions or Seller's written waiver of such conditions on or before the Closing Date. Seller may waive in writing any or all of such conditions as a condition to the Close of Escrow in its sole and absolute discretion.
(a) The Purchase Price shall have been determined in
accordance with Section 1.2;
(b) Buyer shall have performed all obligations to be performed by Buyer pursuant to this Agreement; and
(c) No event or circumstance shall have occurred which would make any of Buyer's representations, warranties and covenants set forth herein untrue as of the Close of Escrow.
2,3,3 WaiverofaConditionDoesNotExcusePerformance.lfanycondition precedent to the Close of Escrow is expressly waived, in writing, as a condition to the Close of Escrow by the Party for whose benefit such condition exists, then, to the extent such condition is capable of being satisfied following the Close of Escrow, such condition shall become a condition subsequent to the Close of Escrow and shall be satisfied by the party whose performance is required to satisfy such condition as soon as reasonably possible Following the Close of Escrow.

2.4 Closinq Documents. The parties shall deposit the following with Escrow Holder prior to the Close of Escrow:

2.4.1 Buyer's Deposits. Buyer shall deposit:
(a) ThePurchasePricetogetherwithBuyer'sescrowandother
cash charges; and
(b) ACertificateofAcceptancefortheGrantDeedasinalegally sufficient form typically used by Buyer.

2.4.2 Seller's Deposits. Seller shall deposit:
(a) The Grant Deed as in the form of Exhibit C attached hereto; and
(b) SubjecttoSection2.5.1 below,anexecutedAffidavitofNonforeign Status in the form of Exhibit D attached hereto and such other documentation necessary to exempt Seller from the withholding requirements of Section 1445 of the Internal Revenue Code of 4986, as amended, and the regulations thereunder; and (c) Subject to Section 2.5.1 below, a Withholding Exemption Certificate Form 593 as contemplated by California Revenue and Taxation Code §18662 (the "Withholding Affidavit") duly executed by Seller.

Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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2.4.3 Deposits of Additional Instruments. Seller and Buyer shall each deposit such other instruments as are reasonably required by Escrow Holder or otherwise required to proceed to the Close of Escrow and consummate the conveyance of the Rightsof-way from Seller to Buyer in accordance with the terms of this Agreement.

2.5 .

2.5.1 Withholdinq.lntheeventthat,pursuanttoSection2.4.2(b)above, Seller fails to deposit with Escrow Holder the executed Affidavit of Non-foreign Taxpayer Status which exempts Seller from the withholding requirements of Section 1445 of the Internal Revenue Code of 1986, as amended, and the regulations thereunder, Seller hereby authorizes Escrow Holder to withhold ten percent (1 0%) of the Purchase Price of the Rights-of-Way less any applicable closing costs and to report and transmitthe withheld amount to the Internal Revenue Service. Additionally, in the event that, pursuant to Section

2.4.2(c) above, Seller fails to deposit with Escrow Holder any applicable tax document which exempts Buyer from California withholding requirements, if any, Seller hereby authorizes Escrow Holder to withhold such additional percentage of the Purchase Price of the Rights-or-Way as is required by California law, and Escrow Holder shall report and transmit the withheld amount in the manner required by California law. By agreeing to act as Escrow Holder hereunder, Escrow Holder expressly agrees to undertake and be responsible for all withholding obligations imposed pursuant to Section 1445 of the Internal Revenue Code of 1986, as amended, and the regulations thereunder and under any similar provisions of California law, and shall defend, indemnify and hold Buyer harmless in connection with such obligations.

2.5.2 Necessary Actions of Escrow Holder. On the Close or Escrow, Escrow Holder shall: (i) record the Grant Deed as in the Office of the County Recorder of the County, (ii) pay any transfer taxes, (iii) instruct the County Recorder to return the Grant Deed as to Buyer, (iv) distribute to Seller the Purchase Price, and (v) deliver to Buyer the Title Policy covering the Rights-of-Way subject only to the Permitted Exceptions, the Affidavit of Non-foreign Status and the applicable California withholding exemption form, if any.

2.5.3 Taxes and Assessments. Real property taxes and assessments shall be prorated as of the Close of Escrow on the basis of the most recent tax information and such proration shall be final. Said prorations shall be based on a three hundred sixtyfive (365) day year.

2.5.4 Title and Possession. Upon the Close of Escrow, title to and exclusive possession of the Property shall be conveyed to Buyer, subject only to the Permitted Exceptions.

3. ACTIONS PENDING CLOSING.

3.1. Title Review.

Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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3.1.1 Title Report. Within three (5) business days afier the Opening of Escrow, Commonwealth Land Title (the "Title Company") will furnish Buyer and Seller with an updated Title Commitment on the Property together with legible copies of all documents referenced therein as exceptions to title and a plot plan for the Property showing all the locations of all easements reverenced therein (collectively, the "Title Commitment").

3.1.2 Title Notices. Buyer shall have ten (10) business days afier its actual receipt of the Title Commitment to deliver to Escrow Holder written notice (the "Preliminary Title Notice") of Buyer's approval, conditional approval or disapproval of the title matters disclosed in the Title Commitment. All matters not timely approved by Buyer will be deemed disapproved. All such exceptions disapproved by Buyer are referred to herein as "Disapproved Exceptions". All monetary encumbrances are hereby deemed Disapproved Exceptions and shall be removed and satisfied at the Close of Escrow.

3.1.3 Permitted Exceptions. "Permitted Exceptions" shall mean all exceptions appearing on the Title Commitment which are: (i) standard printed exceptions in the Title Policy issued by Title Company; (ii) general and special real property taxes and assessments, a lien not yet due and payable; and (iii) any other liens, easements, encumbrances, covenants, conditions and restrictions of record approved, or expressly waived by Buyer pursuant to this Section 3.1.

3.2. Title Policy. Buyer's obligation to proceed to the Close oT Escrow shall be conditioned upon the commitment by Title Company to issue an ALTA Standard Coverage Owner's Policy of Title Insurance (the "Standard Coverage Policy"), showing title to the Property vested in Buyer with liability equal to the Purchase Price, subject only to the Permitted Exceptions. At Buyer's option, Buyer may require an ALTA Extended Coverage Owner's Policy instead of the Standard Coverage Policy provided that Buyer pays any additional premium on account thereof. The form of title policy selected by Buyer shall be referred to herein as the "Title Policy".

3.3. Riqht of Possession. It is agreed and confirmed by the parties hereto that notwithstanding other provisions in this contract, the right of possession and use of the subject property by the State (or other agency), including the right to remove and dispose of improvements, shall commence on the date the amount of funds as specified in Clause

1.2 herein are deposited into escrow controlling this transaction. The amount shown in Clause 1.2 herein includes, but is not limited to, full payment for such possession and use, including damages, iFany, from said date.

3.4. Seller's Covenant Not to Further Encumber the Property. Seller shall not, directly or indirectly, alienate, encumber, transfer, option, lease, assign, sell, transfer or convey its interest or any portion or its interest in the Property, or any portion thereof, or enterinto any agreement to do so, so long as this Agreement is in force. Seller shall timely discharge, prior to the Closing, any and all obligations relating to work performed on or conducted at or materials delivered to or for the Property from time to time by Seller, or at Seller's direction or on its behalf, in order to prevent the filing of any claim or mechanic's Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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lien with respect to such work or materials.

3.5. LossorDamaqetolmprovements.LossordamagetotheProperty,including any improvements existing thereon as of the date of this Agreement, by fire or other casualty, occurring prior to the recordation of the Grant Deed as shall be at the risk of Seller. In the event that loss or damage to the Property, or any such improvements thereon, by fire or other casualty, occurs prior to the recordation or the Grant Deed as Buyer may elect to require that the Seller pay to Buyer the proceeds of any insurance policy or policies which may become payable to Seller by reason thereof, or to permit such proceeds to be used for the restoration of the damage done, or to reduce the Purchase Price by an amount equal to the diminution in value of the Property by reason of such loss or damage or the amount or insurance payable to Seller, whichever is greater.

4. REPRESENTATIONS, WARRANTIES AND COVENANTS.

4.1. Seller's Representations, Warranties and Covenants. In addition to the representations, warranties and covenants of Seller contained in other sections of this Agreement, Seller hereby represents, warrants and covenants to Buyer as follows, all of which shall survive the Close of Escrow:

4.1.1 Seller'sAuthority.Selleristhesoleownerinfeesimpleabsoluteof the Property and has the full right, capacity, power and authority to enter into and carry out the terms of this Agreement. Seller has not alienated, encumbered, transferred, leased, assigned or otherwise conveyed its interest in the Property or any portion thereof except as set forth in the Title Commitment, nor entered into any Agreement to do so, nor shall Seller do so during the term of this Agreement. The entering into and performance by Seller of the transactions contemplated by this Agreement will not violate or breach any other agreement, covenant or obligation binding on Seller, and there is no consent required from any third party before the Property may be conveyed to Buyer. This Agreement has been duly authorized and executed by Seller, and upon delivery to and execution by Buyer shall be a valid and binding agreement of Seller.

4.1.2 Hazardous Substances. To the best of Seller's knowledge the Property complies with all applicable laws and governmental regulations including, without limitation, all applicable federal, state, and local laws pertaining to air and water quality, hazardous waste, waste disposal, and other environmental matters, including, but not limited to, the Clean Water, Clean Air, Federal Water Pollution Control, Solid Waste Disposal, Resource Conservation Recovery and Comprehensive Environmental Response Compensation and LiabilityActs, and the California Environment QualityAct, and the rules, regulations, and ordinances of the City, the California Department of Health Services, the Regional Water Quality Control Board, the State Water Resources Control Board, the Environmental Protection Agency, and all applicable federal, state, and local agencies and bureaus.

Seller agrees to indemnify, defend and hold Buyer harmless from and against any claim, action, suit, proceeding, loss, cost, damage, liability, deficiency, fine, penalty, punitive Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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damage, or expense (including, without limitation, attorneys' fees), resulting from, arising out of, or based upon (i) the presence, release, use, generation, discharge, storage, or disposal of any Hazardous Material on, under, in or about, or the transportation of any such materials to or from the Property, or (ii) the violation, or alleged violation, of any statute, ordinance, order, rule, regulation, permit, judgment, or license relating to the use, generation, release, discharge, storage, disposal, or transportation of Hazardous Materials on, under, in, or about, to or from the Property. This indemnity shall include, without limitation, any damage, liability, fine, penalty, punitive damage, cost, or expense arising from or out of any claim, action, suit or proceeding for personal injury (including sickness, disease, or death, tangible or intangible property damage, compensation for lost wages, business income, profits or other economic loss, damage to the natural resource or the environment, nuisance, pollution, contamination, leak, spill, release, or other adverse effect on the environment).

4.'1.3 Mechanic'sLiens.Therearenomechanics',materialmen'sorother claims or liens presently claimed or which will be claimed against the Property for work performed or commenced prior to the date of this Agreement or relating to the environmental condition of the Property. Seller agrees to hold Buyer harmless from all costs, expenses, liabilities, losses, charges and fees, including without limitation attorneys' fees, arising from or relating to any such lien or any similar lien claimed against the Property and arising from work performed or commenced prior to the Close of Escrow, unless performed by or at the request of Buyer.

4.1.4 0ther Facts and Circumstances. There are no other facts or circumstances known to Seller that would preclude, prevent or impair the development of the Property.

4.1.5 No Untrue Statements or Omissions of Fact. Neither this Agreement, nor any of the exhibits hereto, nor any document, certificate, or statement referred to herein or furnished to Buyer in connection with the transaction contemplated herein (whether delivered prior to, simultaneously with, or subsequent to the execution of this Agreement) contains any untrue statement of material fact or, omits to state a material fact in any way concerning the Property, or otherwise affecting or concerning the transaction contemplated hereby.

Each of the representations and warranties made by Seller in this Agreement, or in any exhibit, or on any document orinstrument delivered pursuant hereto shall be continuing representations and warranties which shall be true and correct in all material respects on the date hereof, and shall be deemed to be made again as of the Close of Escrow and shall then be true and correct in all material respects. The truth and accuracy of each of the representations and warranties, and the performance of all covenants of Seller contained in this Agreement, are conditions precedent to the Close of Escrow. Seller shall immediately notify Buyer of any fact or circumstance which becomes known to Sellerwhich would make any of the foregoing representations or warranties untrue.

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4.2. Buyer's Representations and Warranties. Buyer represents and warrants to Seller as follows, all of which shall survive the Close of Escrow:

4.2.1 Buyer's Authority. Buyer has the capacity and full power and authority to enter into and carry out the agreements contained in, and the transactions contemplated by, this Agreement, and that this Agreement has been duly authorized and executed by Buyer and, upon delivery to and execution by Seller, shall be a valid and binding Agreement of Buyer.

4.2.2 No Untrue Statements or Omissions of Fact. Neither this Agreement, nor any of the exhibits hereto, nor any document, certificate, or statement referred to herein or furnished to Seller in connection with the transaction contemplated herein (whether delivered prior to, simultaneously with, or subsequent to the execution of this Agreement) contains any untrue statement of material fact or, omits to state a material fact in any way concerning the Property, or otherwise affecting or concerning the transaction contemplated hereby.

Each of the representations and warranties made by Buyer in this Agreement, orin any exhibit or on any document or instrument delivered pursuant hereto, shall be continuing representations and warranties which shall be true and correct in all material respects on the date hereof, and shall be deemed to be made again as of the Close of Escrow, and shall then be true and correct in all material respects. The truth and accuracy of each of the representations and warranties, and the performance of all covenants of Buyer contained in this Agreement, are conditions precedent to the Close of Escrow. Buyer shall notify Seller immediately of any facts or circumstances which are contrary to the foregoing representations and warranties contained in this Section 4.2.

4.3. Mutuallndemnity.SellerandBuyershalldefend,indemnifyandholdfreeand harmless the other from and against any losses, damages, costs and expenses (including attorneys' fees) resulting from any inaccuracy in or breach of any representation or warranty of the indemnifying party or any breach or default by such indemnifying party under any of such indemnifying party's covenants or agreements contained in this Agreement.

5. CONDEMNATION. Seller and Buyer acknowledge that this transaction is a negotiated settlement in lieu of condemnation, and Seller hereby agrees and consents to the dismissal or abandonment of any eminent domain action in the Superior Court of the State of California in and for the County of Riverside, wherein the herein described property is included and also waives any and all claims to any money on deposit in the action and further waives all attorneys' fees, costs, disbursements, and expenses incurred in connection therewith. If, prior to the close of the execution of this transaction, Seller (or Seller's Tenant) is served with a Summons and Complaint in Eminent Domain in which Seller (or Seller's Tenant) is a named defendant, upon the close of escrow, Seller agrees and consents to Buyer taking a default in the action. Moreover, the total compensation to be paid by Buyer to Seller is for all of Seller's interest in the Property and any rights which exist or may arise out of the acquisition of the Property for public purposes, including Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

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without limitation, Seller's interest in the land and any improvements and fixtures and equipment located thereon, improvements pertaining to the realty (if any), severance damages, any alleged pre-condemnation damages, loss of business goodwill (if any), costs, interest, attorney's fees, and any claim whatsoever of Seller which might arise out of or relate in any respect to the acquisition of the Property by the Buyer. The compensation paid under this Agreement does not reflect any consideration of or allowance for any relocation assistance and payments or other benefits which Seller may be entitled to receive, if any. Relocation assistance, if any, will be handled via separate Agreement.

6. BROKERS.SellerandBuyereachrepresentsandwarrantstotheotherthat they have not dealt with or been represented by any brokers or finders in connection with the purchase and sale of the Property and that no commissions orfinder's fees are payable in connection with this transaction. Buyer and Seller each agree to indemnify and hold harmless the other against any loss, liability, damage, cost, claim or expense (including reasonable attorneys' fees) incurred by reason of breach ofthe foregoing representation by the indemnifying party. Notwithstanding anything to the contrary contained herein, the representations, warranties, indemnities and agreements contained in this Section 6 shall survive the Close of Escrow or earlier termination of this Agreement.

7. MAINTENANCEANDREPAIR.TheSeller(s)andsuccessorsandassignees in interest shall maintain and repair the improvements including and without limitation all structures, sidewalks, parking areas, landscape, irrigation, lighting, signs, walls, and fences between the curb and property line, in a first class condition, free from waste and debris, and in accordance with all applicable law, rules, ordinances, and regulations of all federal, state, and local bodies and agencies having jurisdiction at the property owner's sole expense. This condition shall be included in the recorded covenant agreement For the property if required by the City.

8. GENERAL PROVISIONS.

8.1. Counterparts; Facsimile Signatures. This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which, taken together, shall constitute one and the same instrument and any executed counterpart may be delivered by facsimile transmission with the same effect as if an originally executed counterpart had been delivered.

8.2. FurtherAssurances.Eachofthepartiesagreestoexecuteanddeliversuch other instruments and perform such acts, in addition to the matters herein specified, as may be appropriate or necessary to effectuate the agreements of the parties, whetherthe same occurs before or after the Close of Escrow.

8.3. Entire Aqreement. This Agreement, together with all exhibits hereto and documents referred to herein, if any, constitute the entire agreement among the parties hereto with respect to the subject matter hereof, and supersede all prior understandings or agreements. This Agreement may be modified only by a writing signed by both parties. All Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

1079714.1

Item 20.
exhibits to which reference is made in this Agreement are deemed incorporated into this Agreement whether or not actually attached.

8.4. .HeadingsusedinthisAgreementareforconvenienceofreference only and are not intended to govern, limit, or aide in the construction of any term or provision hereof.

8.5. Choice of Law. This Agreement and each and every related document are to be governed by, and construed in accordance with, the laws of the State of California.

8.6. Severability. If any term, covenant, condition or provision of this Agreement, or the application thereof to any person or circumstance, shall to any extent be held by a court of competent jurisdiction or rendered by the adoption of a statute by the State of California or the United States invalid, void or unenforceable, the remainder of the terms, covenants, conditions or provisions of this Agreement, or the application thereof to any person or circumstance, shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby; provided that the invalidity or unenforceability of such provision does not materially adversely affect the benefits accruing to, or the obligations imposed upon, any party hereunder, and the parties agree to substitute for the invalid or unenforceable provision a valid and enforceable provision that most closely approximates the intent and economic effect of the invalid or unenforceable provision.

8.7. WaiverofCovenants,ConditionsorRemedies.Thewaiverbyonepartyofthe performance of any covenant, condition or promise, or of the time for performing any act, under this Agreement shall not invalidate this Agreement nor shall it be considered a waiver by such party of any other covenant, condition or promise, or of the time for performing any other act required, under this Agreement. The exercise of any remedy provided in this Agreement shall not be a waiver of any other remedy provided by law, and the provisions of this Agreement for any remedy shall not exclude any other remedies unless they are expressly excluded.
s.s. Leqal Advice. Each party has received independent legal advice from its attorneys with respect to the advisability of executing this Agreement and the meaning or the provisions hereof. The provisions of this Agreement shall be construed as to the fair meaning and not for or against any party based upon any attribution of such party as the sole source of the language in question.
s.g. Relationship of Parties. The parties agree that their relationship is that of Seller and Buyer, and that nothing contained herein shall constitute either party, the agent or legal representative of the other for any purpose whatsoever, nor shall this Agreement be deemed to create any form of business organization between the parties hereto, nor is either party granted the right or authority to assume or create any obligation or responsibility on behalf of the other party, nor shall either party be in any way liable for any debt of the other.

Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

1079714.1

Item 20.

8.10. Attorneys' Fees. In the event that any party hereto institutes an action or proceeding for a declaration of the rights of the parties under this Agreement, for injunctive relief, for an alleged breach or default of, or any other action arising out of, this Agreement, or the transactions contemplated hereby, or in the event any party is in default of its obligations pursuant thereto, whether or not suit is filed or prosecuted to final judgment, the non-defaulting party or prevailing party shall be entitled to its actual attorneys' fees and to any court costs incurred, in addition to any other damages or relief awarded.

8.11. Assiqnment. Neither Seller nor Buyer shall assign its rights or delegate its obligations hereunderwithoutthe priorwritten consent ofthe other, which consentshall not be unreasonably withheld or delayed. Subject to the foregoing, this Agreement shall be binding upon and shall inure to the benefit of the successors and permitted assigns of the parties to this Agreement.

8.12, Notices. No notice, request, demand, instruction, or other document to be given hereunderto any Party shall be effective for any purpose unless personally delivered to the person at the appropriate address set forth below (in which event such notice shall be deemed effective only upon such delivery), delivered by air courier next-day delivery (e.g. Federal Express), delivered by mail, sent by registered or certified mail, return receipt requested, or sent via telecopier, as follows:

If to Buyer, to: Attn: City Engineer
City of Coachella
53-990 Enterprise Way
Coachella, CA 92236
Telephone No.: (760) 398-3502
If to Seller, to: Javier and Virginia Botello
50020 Kenmore St.

Coachella, CA 92236
If to Escrow Holder, to: Grace Kim
Commonwealth Land Title
4100 Newport Place Dr
Newport Beach CA 92660
Facsimile No.: (7'l4)459-7217
Telephone No.: (949)724-3141
Notices delivered by air courier shall be deemed to have been given the next business day after deposit with the courier and notices mailed shall be deemed to have been given on the second day following deposit of same in any United States Post Office mailbox in the state to which the notice is addressed or on the third day following deposit in any such post office box other than in the state to which the notice is addressed, postage prepaid, addressed as set forth above. Notices sent via telecopy shall be deemed delivered the same business day transmitted. The addresses, addressees, and telecopy numbers forthe purpose of this Paragraph, may be changed by giving written notice of such change in the mannerhereinprovidedforgivingnotice. Unlessanduntilsuchwrittennoticeofchangeis Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

1079714.1

Item 20.
received, the last address, addressee, and telecopy number stated by written notice, or provided herein if no such written notice of change has been received, shall be deemed to continue in effect for all purposes hereunder. Delivery of a copy of a notice as set forth above is as an accommodation only and is not required to effectuate notice hereunder.

8.13. Survivability.AIIcovenantsofBuyerorSellerwhichareintendedhereunderto be performed in whole or in part affer Close of Escrow and all representations, warranties, and indemnities by either Party to the other, shall survive Close of Escrow and delivery of the Deed, and be binding upon and inure to the benefit of the respective Parties.

7.14. Release.ThetotalcompensationtobepaidbyBuyerforthePropertyisthe Purchase Price, which consideration covers all land and improvements, attached or detached furniture, fixtures and equipment, loss of business goodwill, and is the full and complete acquisition cost of the Property. Buyer is in compliance with the California Relocation Assistance and Real Property Acquisition statutes and guidelines and the Uniform Relocation Assistance and Real Property Acquisition Policies for Federal and Federally Assisted Programs. Except for any breach of terms or conditions contained in this Agreement, Seller waives and forever releases Buyer, including its successors, officers, employees, attorneys, agents, representatives and anyone else acting on Buyer's behalf, of and from any and all claims, demands, actions or causes of action, obligations, liabilities, or claims for further compensation, known or unknown, based upon or relating to the facts or allegations and circumstances arising from Buyer's acquisition of the Property.

By such release, Seller expressly waives its rights, if any, under California Civil Code Section 1542 which provides:
"A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS

WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT

TO EXIST IN HIS OR HER FAVOR AT THE TIME OF

EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR

HER MUST HAVE MATERIALLY AFFECTED HIS OR HIS
SETTLEMENT WITH THE DEBTOR."

7.15 City Council Approval of Aqreement. This Agreement is subject to the approvaloftheBuyer'sCityCouncil. lfthisAgreementremainsunapprovedbytheBuyer's City Council then the parties will have no further obligation under this Agreement.

7.16 . NeitherpartyshallhavetherighttorecordthisAgreementinthe Recorder's Office for Riverside County.
[SIGNATURES ON NEXTPAGEI
Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

1079714.1

Item 20.

IN WITNESS WHEREOF, the parties have executed thisAgreementas ofthe date and year first above written.

BUYER: SELLER:

CITY OF COACHELLA
B)/: Ai;Y>
City Manager
Javier Botello and Virginia Botello,
husband and wife, as joint tenants
BV:-JcMar- [6
Name: ':Jie? tSb
Its:

Its:

Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

1079714.1

Item 20.

CERTIFICATE OF ACCEPTANCE
APN 768-163-001
This is to certify that the interest in the GRANT DEED conveyed by the within instrument to the City of Coachella is hereby accepted by the undersigned officer/agent on behalf of the Board of Directors.

CITY OF COACHELLA
J)ate: Jhl2,3

Item 20.

ALL-PURPOSE ACKNOWLEDGMENT
State of Qa,lol(;orp'\cl
Countyof R\V'e-Y";yi6e
On 'av 6""t 23 before me, ' ra%Ca % . Nuyx'-5z
- -[at-e ' -N-ame,-Title of Officer
personallyappeared ":'ToyvV,r '6ot<((o t V'ircx"i \rt'io 'ollo --- -'--- - xo-xe(s)'5p-s-i6x-is(s'5'- ---
who proved to me On the basis of satisfactory evidence to be the persoQwhose narm41 is(subscribed to the within ihnlsSltrhuemr/tehnet.lran:IgnaactkunroeEnedthteo@InSetrtuhmatehnet/tshheQper the instrument.

I certify under PENALTY OF PERJURY under the laws of the State identified herein, that the foregoing paragraph is true and correct.

Witness my hand and official seal.
_ (l r- Jfl AR€ NAS.NUNEZ
r% ' ( ' ey v- COMM. $2291986
V (2'- a . J's_ 9unrhgvoiiaiirbr:hiicnouin €
---"Signatureof-Notary 6 i =W""Com"mi"'=asai";Exp
ATTENTION NOTARY: Although the information requested below is OPTIONAL, it could prevent fraudulent attachment of this certificate to unauthorized document.

THIS CERTIFICATE Title or Type of Document

MUST BE ATT ACHED
TO THE DOCUMENT Number of Pages DATE of DOCUMENT
DESCRIBED AT RIGHT:

Signer(s) Other Than Named Above
1079714.1
A notary public or other officer completing
this certificate verifies only the identity of the
individual who signed the document to
which this certificate is attached, and not the
truthfulness, accuracy or validity of that
document.

Item 20.
1079714.1

Item 20.

Exhibit "A"
to the Grant Deed

LEGAL DESCRIPTION OF THE RIGHT OF WAY
EXHIBIT "A"
l THAT CERTAIN REAL PROPERIY SITUATED IN THE CITY OF COACHELLA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS:

LOT 1, AS SHOWN ON THAT CERT AIN MAP ENTITLED TRACT NO. 2731, WHICH M AP WAS FILED, IN THE

CITY OF COACHELLA, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 47 PAGES 69 0F MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF RIVERSIDE COUNTY, CALIFORNIA.

Assessor's Parcel Number: 768-163-001
Exhibit "A"
1079714.1

Item 20.

Item 20.

EXHIBIT "B"
to the Grant Deed
a
-"- t
!j ( I i "
I
-i ai -- r
Exhibit "B"
1079714.1

Item 20.

EXHIBIT "C"

RECORDING REQUESTED BY
City of Coachella
WHEN RECORDED RETURN TO:

City Clerk
City of Coachella
53990 Enterprise Way
Coachella, CA 92236
Exempt from recording fees
under Government Code §6103

SPACE ABOVE THIS LINE FOR RECORDER'S USE

GRANT DEED
(Avenue 50)
APN: 768-163-001
For a valuable consideration, receipt of which is hereby acknowledged, Javier Botello and Virginia Botello, husband and wife, as joint tenants, (hereinafter "Grantor"), hereby GRANTS to the City of Coachella, (hereinafter "Grantee"), all rights, title and interest in thefollowing described propertyforstreets, highways, sanitarysewerlines, domesticwater lines, public utilities, and other appurtenant uses, together with the right to construct, maintain, repair, operate, use, dedicate or declare the same for public use, in, on, under, over and across the real property in the City of Coachella, Riverside County, California, more particularly described on Exhibit "A" and shown on Exhibit "B" attached hereto and incorporated herein by this reference.

GRANTOR:

Javier Botello and Virginia Botello,
husband and wife, as joint tenants
Dated: hh'{ f3'i >'z-z
sNv'aam!m"'J"'1"i4iaBog
Its:

Exhibit "C"
1079714.1

Item 20.
1079714.1
Exhibit "C"

Item 20.

EXHIBIT D
DO NOT RECORD.

DO NOT SEND
TO IRS.

TRANSFEREE (BUYER)

MUST RETAIN FOR

SIX YEARS AFTER
THE TRANSACTION.

CERTIFICATION OF NON-FOREIGN

ST ATUS BY TRANSFEROR

1. Section1445ofthelnternalRevenueCodeprovidesthatatransferee(Buyer) of a U. S. real property interest must withhold tax if the transferor (Seller) is a foreign person.

2. lnordertoinformeachtransfereethatwithholdingoFtaxisnotrequiredupon d\)p";ofSi!ao(nfiof( aQ"?")rAe-p"rox %p0e'y 'n'ereS'(hbevre'ffia':e\rjefFe/rr/led t6a's€)'re[=T'raln's(T)eror"), the undersidned hereby certifies, and declares by means of this certification, the following on behalf of the Transferor:

A. The one item marked below is true and correct:
% (i) The Transferor is not a foreign individual, foreign corporation, foreign partnership, foreign trust, or foreign estate (as these terms are defined in the Internal
Revenue Code and Income Tax Regulations).
(II) The Transferor is a corporation incorporated under the laws of a foreign jurisdiction but has elected to be treated as a U. S. corporation under Section 897(i) of the Interna[ Revenue Code, AND HAS ATTACHED TO THIS

CERTIFICATE A TRUE AND GENUINE COPY OF THE

ACKNOWLEDGMENT OF SUCH ELECTION ISSUED
BY THE IRS.

B. The Transferor's social security number is
c. The Transferor's address is 5o 0 ->o 3.Bts.,l /'% fB 6-< r z L*-'re 1 i h (A- Q 113 L

3. The Transferor understands that this certificate may be disclosed to the Internal Revenue Service by the transferee and that any false statement contained in this certification may be punished by fine or imprisonment (or both).

4. The Transferor understands that each transferee is relying on this certificate in determining whether withholding is required and each transferee may face liabilities if any statement in this certificate is false.
5, The Transferor hereby indemnifies each transferee, and agrees to defend and hold each transferee harmless, from any liability, cost, damage, or expense which such transferee may incur as a result of:

Exhibit "D"
1079714.1

Item 20.

A. the Transferor's failure to pay any U. S. Federal income tax which the Transferor is required to pay under applicable U. S. law, or B. any false or misleading statement contained herein.

Under penalties of perjury, I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct, and complete; I further declare that I have authority to sign this document on behalf of the Transferor.

EXECUTEDi4W'EE')"ka)'C County,Stateof lA'lF'Df'N'A
on I'l/'X' B',- )o'l3
Transferor: ,,:i,aiw aff 4
BY:

Title:

Exhibit "D"
1079714.1

Item 20.

EXHIBIT E

HAZARDOUS SUBST ANCE DEFINITION
The term "Hazardous Substance" as used in this Agreement shall mean any toxic or hazardous substance, material or waste or any pollutant or contaminant or infectious or radioactive material, including but not limited to those substances, materials or wastes regulated now or in the future under any of the statutes or regulations listed below and any and all or those substances included within the definitions of "hazardous substances", "hazardous materials", "hazardous waste", "hazardous chemical substance or mixture", "imminently hazardous chemical substance or mixture", "toxic substances", "hazardous air pollutant", "toxic pollutant" or "solid waste" in the statues or regulations listed below.

Hazardous Substances shall also mean any and all other similar terms detined in other federal state and local laws, statutes, regulations, orders or rules and materials and wastes which are, orin the future become, regulated under applicable local, state orfederal lawfor the protection or health or the environment or which are classified as hazardous or toxic substances, materials or waste, pollutants or contaminants, as defined, listed or regulated by any federal, state or local law, regulation or order or by common law decision, including, without limitation, (i) trichloroethylene, tetrachloroethylene, perchloroethylene and other chlorinated solvents, (ii) any petroleum products or fractions thereof, (iii) asbestos, (iv) polychlorinated biphenyls, (v) flammable explosives, (vi) urea formaldehyde, and (vii) radioactive materials and waste.

In addition, a Hazardous Substance shall include:
11 A "Hazardous Substance". "Hazardous Material". "Hazardous Waste", or "Toxic Substance" underthe Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 u.s.c. §§ 9601, et ., the Hazardous Materials Transportation Act, 49 u.s.c. §§ 1801, et ., or the Resource Conservation and Recovery Act, 42 (2) "Oil" or a "Hazardous Substance" listed or identified pursuant to § 311 of the Federal Water Pollution Control Act, 33 u.s.c. § 1 32'l, as well as any other hydrocarbonic substance or by-product;
(3) Listed by the State of California as a chemical known by the State to cause cancer or reproductive toxicity;
(4) A material which due to its characteristics or interaction with one or more other substances, chemical compounds, or mixtures, damages or threatens to damage, health, safety, or the environment, or is required by any law or public agency to be remediated, including remediation which such law or public agency requires in orderforthe property to be put to any lawful purpose;
Exhibit "E"
1079714.1

Item 20.
(5) Anymaterialthepresenceofwhichwouldrequireremediation,whetherornot the presence of such material resulted from a leaking underground fuel tank; (6) Pesticides regulated under the Federal Insecticide, Fungicide and Rodenticide Act, 7 u.s.c. §§ 136 et .;
(7) Asbestos,PCBs,andothersubstancesregulatedundertheToxicSubstances Control Act, 15 u.s.c. §§ 2601 et .;
(8) Any radioactive material including, without limitation, any "source material", "special nuclear material", "by-product material", "low-level wastes", "high-level radioactive waste", "spent nuclear fuel" or "transuranic waste", and any other radioactive materials or radioactive wastes, however produced, regulated under the Atomic Energy Act, 42 u.s.c. §§ 2011 et ., or the Nuclear Waste Policy Act, 42 u.s.c. §§ 10101 et . (9) Industrial process and pollution control wastes, whether or not "hazardous" within the meaning ofthe Resource Conservation and RecoveryAct, 42 u.s.c. §§ 6901 et All other laws, ordinances, codes, statutes, regulations, administrative rules, policies and orders, promulgated pursuant to said foregoing statutes and regulations or any amendments or replacement thereof, provided such amendments or replacements shall in no way limit the original scope and/or definition of Hazardous Substance defined herein.

Exhibit "E"
1079714.1

Item 20.

STAFF REPORT
6/28/2023
TO: Honorable Mayor and City Council Members
FROM: Andrew Simmons, P.E., City Engineer
SUBJECT: Resolution No. 2023-23 a Resolution of the City of Coachella City Council Authorizing the Purchase of Real Property from RMM Inv Capital for a Purchase Price of $378,041.00 Consisting of One Parcel Located at the Southwest Corner of Avenue 50 and Balboa Street for the Avenue 50 Widening Project, City Project ST-93 (APN:768-160-001).

STAFF RECOMMENDATION:

Authorize Resolution No. 2023-23, a Resolution of the City of Coachella City Council Authorizing the Purchase of Real Property from RMM Inv Capital for a Purchase Price of $378,041.00 Consisting of One Parcel Located at the Southwest Corner of Avenue 50 and Balboa Street for the Avenue 50 Widening Project, City Project ST-93 (APN:768-160-001).

BACKGROUND:

On March 9, 2016 City Council authorized a reimbursement agreement by and between the City of Coachella and Coachella Valley Association of Governments (CVAG) for a total of $4,500,000 regional funds toward the design and construction of the Avenue 50 Widening Project. During the design and environmental phases of the project it was determined that the cost would exceed the initial budget estimate due to unforeseen drainage issues and complicated right-of-way acquisition procedures. On July 14, 2021, City Council authorized an amendment to the reimbursement agreement for the final plans, specifications and engineer’s estimate (PS&E) documents, right-ofway acquisition and construction for a total funding amount of $9,250,000.

DISCUSSION/ANALYSIS:

The project will widen the existing street and construct concrete curb and gutter within areas where none exists between Calhoun Street and Cesar Chavez Street. The finished project will complete the planned widening of Avenue 50 to two traffic lanes in each direction, and include pedestrian, bicycle and drainage facilities. These improvements require the acquisition of several properties along Avenue 50. In September 2022, the subject property was presented with a fair market appraisal of $350,000. Seller prepared an independent 3rd party appraisal that resulted in an appraised cost of $371,000 and counter offered at that price. Because the independent 3rd party appraisal is within 6% of the City initiated appraisal value it is recommended that the City accept the Owner appraised value and authorize the City Manager to complete the purchase and

Item 22.
acquisition of the property at the fair market appraised value purchase price of $378,041.00 including all escrow fees.

FISCAL IMPACT:

The property purchase for the Avenue 50 widening project has been budgeted and is included in the reimbursement agreement with CVAG. The existing reimbursement agreement splits cost under a 75% regional share/25% local share. The local share is budgeted by Street and Transportation Development Impact Fees (Fund 127).

ATTACHMENTS:

1. Resolution No. 2023-23

2. City Residential Appraisal Letter

3. Owner Counter Appraisal Letter

4. Settlement Statement

5. Right of Way agreement

Item 22.

RESOLUTION NO. 2023-23

A RESOLUTION OF THE CITY OF COACHELLA CITY COUNCIL

AUTHORIZING THE PURCHASE OF REAL PROPERTY FROM RMM
INV CAPITAL FOR A SALES PRICE OF $371,000 CONSISTING OF

ONE PARCEL LOCATED AT THE SOUTHWEST CORNER OF
AVENUE 50 AND BALBOA STREET FOR THE AVENUE 50 WIDEING
PROJECT (APN:768-160-001)
WHEREAS, on March 9, 2016 City Council entered into a reimbursement agreement with Coachella Valley Association of Governments (CVAG) for the design and environmental phased of the Avenue 50 widening project, City project ST-93; and WHEREAS, on July 14, 2021 City Council entered into amendment #1 of the reimbursement agreement with Coachella Valley Association of Governments (CVAG) for additional funds for the final plans, specifications, engineer’s estimate (PS&E) documents, right-of-way acquisition and construction; and
WHEREAS, in October 2021 City council authorized City Staff to negotiate a purchase price for the real property as stated herein; and
WHEREAS, City staff has negotiated a purchase and sale agreement with RMM Inv Capital; and
WHEREAS, on March 15, 2023 the current property owner submitted a counter appraisal for the selling price
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Coachella that the foregoing Recitals are true and correct and are hereby adopted by the City of Coachella. Based on those Recitals, the City Council hereby finds and declares as follows:

SECTION 1. The City Council hereby designates and authorizes Coachella City Manager Gabriel Martin as City staff to execute the purchase of one (1) parcel located at the southwest corner of Avenue 50 and Balboa Street, as further described in “Exhibit A” attached and made a part herein, for a sales price of $371,000 to the City of Coachella.

SECTION 2. The City staff is hereby authorized to execute any and all documents necessary to complete the land sales transaction to the city of Coachella for the stated sales price, and subject to escrow instructions to be prepared consistent with this authorization.

Item 22.

Resolution No. 2023-23

PASSED, APPROVED and ADOPTED this 26th day of April, 2023. ___________________________________
Steven A. Hernandez
Mayor
ATTEST:
___________________________________
Angela M. Zepeda
City Clerk
APPROVED AS TO FORM:
___________________________________
Carlos Campos
City Attorney

Item 22.

Resolution 2023-23

STATE OF CALIFORNIA

COUNTY OF RIVERSIDE

CITY OF COACHELLA
)
) ss.
)
I HEREBY CERTIFY that the foregoing Resolution No. 2021-23 was duly adopted by the City Council of the City of Coachella at a regular meeting thereof, held on the 26th day of April, 2023 by the following vote of Council:

AYES:

NOES:

ABSENT:

ABSTAIN:
___________________________________
Andrea J. Carranza, MMC
Deputy City Clerk

Item 22.

Resolution 2023-23

Item 22.

Resolution No. 2023-23

Item 22.

APPRAISAL REPORT
Single-Family Residential Property
ADDRESS: 50021 Balboa Street, Coachella, CA 92236
APN: 768-160-001
DATE OF REPORT: October 27, 2022
DATE OF VALUE: September 28, 2022
Prepared For: Prepared By:

Melissa Mann, Asst Project Mgr. Epic Land Solutions, Inc.

Epic Land Solutions, Inc. 16496 Bernardo Center Dr. Suite 207 3850 Vine Street Suite 200
Riverside, CA 92507
San Diego, CA 92128

Item 22.

P a g e | ii
16496 Bernardo Center Drive., Suite 207
San Diego, CA 92128
Ph: 619-573-6048
October 27, 2022
Melissa Mann, Asst Project Manager
Epic Land Solutions, Inc.
3850 Vine Street, Suite 200
Riverside, CA 92507
Email: [email protected]
Re: Single-Family Residential Property Appraisal
50021 Balboa Street
Coachella, CA 92236
APN: 768-160-001
Dear Melissa,
At your request and authorization, I have prepared a summary appraisal report of the market value for the above referenced real property. I have provided the market value of the subject’ leased fee estate on an “as is” basis as of the date of property inspection. Data, information, and calculations leading to the value conclusion are incorporated in the report following this letter.

The report, in its entirety, including all assumptions and limiting conditions, is an integral part of, and inseparable from, this letter. Your attention is directed to the Addenda which contains the assumptions and limiting conditions.

The following appraisal sets forth the most pertinent data gathered, the techniques employed, and the reasoning leading to the opinion of value. The analyses, opinions and conclusions were developed, and this report has been prepared, in conformance with the Uniform Standards of Professional Appraisal Practice (USPAP) and the Code of Professional Ethics of the Appraisal Institute.

The appraisal has been completed subject to the Assumptions & Limiting Conditions contained within the report. Extraordinary Assumptions and Hypothetical Conditions, if any, may have an impact on the assignment results.

By virtue of my experience and based upon my investigation, it is my opinion that the market value of the subject property as of September 28, 2022, is:
$350,000
Please refer to the attached appraisal report, plus exhibits, for a summary of the supporting documentation of the value estimate contained herein.

Item 22.

P a g e | iii
Respectfully submitted,
Kent J. Carpenter, MAI
Certified General Real Estate Appraiser
Senior Appraiser
Epic Land Solutions, Inc.

California License AG003087

Item 22.

P a g e | 1
Table of Contents
Table of Contents.......................................................................................................................................1 Introduction..................................................................................................................................................2 Executive Summary...............................................................................................................................2 Overview of Appraisal............................................................................................................................3 Neighborhood Description ........................................................................................................................6 Subject Property and Description ..........................................................................................................10 Aerial View of Subject Property .........................................................................................................10 Subject Property Photographs ...........................................................................................................11 Plat Map.................................................................................................................................................18 Improvements Description ..................................................................................................................21 General Plan Land Use & Zoning......................................................................................................21 Valuation Analysis....................................................................................................................................23 Highest and Best Use..........................................................................................................................23 Appraisal Procedures Followed, Methodologies .............................................................................23 Sales Comparison Approach..............................................................................................................24 Comparable Sales Summary .............................................................................................................25 Market Data Description......................................................................................................................26 Adjustment Considerations.................................................................................................................26 Certification ...........................................................................................................................................28 Sale Comparables................................................................................................................................29 Addenda ....................................................................................................................................................32 Assumptions and Limiting Conditions ...............................................................................................32

Item 22.

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Introduction
Executive Summary
Property Address: 50021 Balboa Street, Coachella, CA 92236 APN(s): 768-160-001
Property Type: Single-Family Residential
Report Format: Narrative
Date of Appraisal Report: October 27, 2022
Date of Value: September 28, 2022
Date of Site Inspection: September 28, 2022
Real Estate Interest Appraised: Fee Simple
Function of the Appraisal: Basis for property acquisition Location: The subject is located in an area west of Highway 111 that is characterized primarily by single family homes and
neighborhood support amenities such as schools, parks
and shopping.

Improvements Description: Single-story 3BR 2BA home containing 1,288 square feet and built in 1967. The home has a 1 car garage and is of average quality and condition for the neighborhood.

Site Description: The site is rectangular in shape and contains 7,052 square feet. The property is a corner lot and has frontage on both Avenue 50 and Balboa Street. Access to the property is
from Balboa Street.

Zoning: R-S (Residential Single-Family)
Community Plan: Suburban Neighborhood
Highest and Best Use “As Is”: Continued use of existing improvements Highest and Best Use “As if
Vacant”:

Development of a single-family residence
Concluded Market Value: $350,000
Extraordinary Assumptions
and Hypothetical Conditions:

1. No interior inspection of the home was
undertaken. The property was inspected from the
property lines and relied on public information and
photos for the interior description.

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Overview of Appraisal
Purpose of Appraisal
The purpose of this appraisal is to estimate the fair market value and just compensation associated with the portion to be acquired of the subject parcel under the reporting requirements of the Uniform Standards of Professional Appraisal Practice (USPAP), as defined by the Appraisal Foundation.

Intended User
The intended user of this appraisal report is the client, Ms. Melissa Mann, Assistant Project Manager with Epic Land Solutions, Inc. There are no other intended users. Anyone else using or relying on this appraisal is considered an unintended user and no fiduciary obligation is owed by the appraiser to that party
Intended Use
The intended use of this appraisal report is for acquiring the property to facilitate the road widening of Avenue 50. The appraisal cannot be used for evaluation for collateral for a loan, collateral for bond funding, appealing taxes, submission to Superior Court for condemnation, etc.

Definition of Market Value
The following definitions and discussions are extracted from the State of California Code of Civil Procedure, Title 7, Eminent Domain Law, Chapter 9.

Fair Market Value - CCP Section 1263.320
1) (a) "The fair market value of the property taken is the highest price on the date of valuation that would be agreed to by a seller, being willing to sell but under no particular or urgent necessity for so doing, nor obliged to sell, and a buyer, being ready, willing and able to buy but under no particular necessity for so doing, each dealing with the other with full knowledge of all the uses and purpose for which the property is reasonably adaptable and available.
(b) The fair market value of property taken for which there is no relevant market is its value on the date of valuation as determined by any method of valuation that is just and equitable."
Fair Market Value of Property Taken - CCP Section 1263.330 1) The fair market value of the property taken shall not include any increase or decrease in the value of the property that is attributable to any of the following:
(a) The project for which the property is taken.
(b) The eminent domain proceeding in which the property is taken. (c) Any preliminary actions of the plaintiff relating to the taking of the property.

Compensation for Injury to Remainder - CCP Section 1263.410 1) (a) "Where the property acquired is part of a larger parcel, in addition to the compensation awarded pursuant to Article 4 (discussed above), for the part taken, compensation shall be awarded for the injury, if any, to the remainder.
(b) Compensation for injury to the remainder is the amount of the damage to the remainder reduced by the amount of benefit to the remainder. If the

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amount of benefit to the remainder equals or exceeds the amount of the damage to the remainder, no compensation shall be awarded under this article. If the amount of the benefit to the remainder exceeds the amount of damage to the remainder, such excess shall be deducted from the compensation provided in Section 1263.510 (Compensation for Loss of Goodwill), if any, but shall not be deducted from the compensation required to be awarded for the property taken for from the other compensation required by this chapter."
Damages - CCP Section 1263.420
1) Damage to the remainder is the damage, if any, caused by either or both of the following:
(a) "The severance of the remainder from the part taken. (b) The construction and use of the project for which the property is taken in the manner proposed by the plaintiff whether or not the damage is caused by a portion of the project located on the part taken." Benefits - CCP Section 1263.430
1) Benefit to the remainder is the benefit, if any, caused by the construction and use of the project for which the property is taken in the manner proposed by the plaintiff whether or not the benefit is caused by a portion of the project located on the part taken.

Delay – CCP Section 1263.440
1) (a) The amount of any damage to the remainder and any benefit to the remainder shall reflect any delay in the time when the damage or benefit caused by the construction and use of the project in the manner proposed by the plaintiff will actually be realized.
(b) The value of the remainder on the date of valuation, excluding prior changes in value as prescribed in Section 1263.330, shall serve as the base from which the amount of any damage and the amount of any benefit to the remainder shall be determined.

Project as Proposed – CCP Section 1263.450
Compensation for injury to the remainder shall be based on the project as proposed. Any features of the project which mitigate the damage or provide benefit to the remainder, including but not limited to easements, crossings, underpasses, access roads, fencing, drainage facilities, and cattle guards, shall be taken into account in determining the compensation for injury to the remainder.

Date of the Appraisal
The effective date of value is September 28, 2022, with the date of this appraisal report being October 27, 2022.

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Owner of Record & Property History
According to submitted title report, the subject is currently owned by RMM Investment Capital, LLC. The property has not experienced an arms-length transactions within the past three years.

Scope of Work
In order to complete this assignment, I identified all assignment conditions; determined an appropriate scope of work; collected general and specific data on the district, neighborhood, market area, subject property and comparable properties; analyzed the data gathered; applied the appropriate approaches to value; and reconciled all indications of value into a final value estimate. My investigation, value opinion and analyses comply with the Uniform Standards of Professional Appraisal Practice and is unbiased and impartial. No predetermined value or opinion formed the basis of any conclusions stated in this appraisal. The depth of the investigation and analysis is meant to be in keeping with the purpose and intended use of the appraisal.

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Neighborhood Description
The subject is located within the western central portion of the city of Coachella as shown on the following map.

Coachella Valley
The Coachella Valley is an arid rift valley in the Colorado Desert of Southern California's Riverside County. The valley may also be referred to as Greater Palm Springs due to the prominence of the city of Palm Springs. The valley extends approximately 45 mi southeast from the San Gorgonio Pass to the northern shore of the Salton Sea and the neighboring Imperial Valley, and is approximately 15 mi wide along most of its length. It is bounded on the northeast by the San Bernardino and Little San Bernardino Mountains, and on the southwest by the San Jacinto and Santa Rosa Mountains.

The valley is notable as the location of several wintertime resort cities, especially Palm Springs, that have become popular destinations for snowbirds—people who live in cold climates and seek out warmer weather during winters. The valley is also known for a number of annual events, including the Coachella Valley Music and Arts Festival, the Stagecoach Country Music Festival, and the Riverside County Fair and National Date Festival, all held in Indio. Other events include the Palm Springs Modernism Week, Palm Springs International Film Festival, the ANA Inspiration and Desert Classic golf tournaments, and the Indian Wells Masters tennis tournament.

In addition to Palm Springs and the area's largest city Indio, the valley is home to the resort cities of Cathedral City, Indian Wells, La Quinta, Palm Desert, and Rancho Mirage. Because the valley is a major winter destination, its population fluctuates from almost 500,000 in April to around 200,000 in July and around 800,000 by January. It was estimated in 2013 that 3.5 million conventioneers and tourists visit the valley each year.

SUBJECT

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The Coachella Valley connects with the Greater Los Angeles area to the west via the San Gorgonio Pass, a major transportation corridor, traversed by Interstate 10 and by the Union Pacific Railroad.

The Coachella Valley is sometimes called the Desert Empire[4] to differentiate it from the broader Inland Empire.

The area is surrounded on the southwest by the Santa Rosa Mountains, by the San Jacinto Mountains to the west, the Little San Bernardino Mountains to the east and San Gorgonio Mountain to the north. These mountains peak at around 11,000 feet and tend to average between 5,000 and 7,000 feet. Elevations on the Valley floor range from 1,600 feet above sea level at the north end of the Valley to 250 feet below sea level around Mecca. In the summer months daytime temperatures range from 104 °F to 112 °F and nighttime lows from 75 °F to 86 °F. During winter, the daytime temperatures range from 68 °F to 88 °F and corresponding nights range from 46 °F to 65 °F making it a popular winter resort destination. The surrounding mountains create Thermal Belts in the immediate foothills of the Coachella Valley, leading to higher night-time temperatures in the winter months, and lower daytime temps during the summer months. Due to its warm year-round climate the region's agricultural sector produces fruits such as mangoes, figs and dates.

The Valley is the northwestern extension of the Sonoran Desert to the southeast, and as such, is extremely arid. Most precipitation falls during the winter months from passing mid-latitude frontal systems from the north and west, nearly all of it as rain, but with snow atop the surrounding mountains.

Rain also falls during the summer months as surges of moisture from both the Gulf of Mexico and the Gulf of California are drawn into the area by the desert monsoon. Occasionally, the remnants of a Pacific tropical cyclone can also affect the valley.

The irrigation of over 100,000 acres of the Valley since the early 20th century has allowed widespread agriculture. In its 2006 annual report, the Coachella Valley Water District listed the year's total crop value at over $576 million or almost $12,000 per acre. The Coachella Canal, a concrete-lined aqueduct built between 1938 and 1948 as a branch of the All-American Canal, brings water from the Colorado River to the Valley. The Colorado River Aqueduct, which provides drinking water to Los Angeles and San Diego, crosses the northeast end of the Valley along the base of the Little San Bernardino Mountains (the Joshua Tree National Park).

The San Andreas Fault traverses the Valley's east side. Because of this fault, the Valley has many hot springs. The Santa Rosa Mountains to the West are part of the Elsinore Fault Zone. The results of a prehistoric sturzstrom can be seen in Martinez Canyon. The Painted Canyons of Mecca feature smaller faults as well as Precambrian, Tertiary and Quaternary rock formations, unconformities, badlands and desert landforms. Fault lines cause hot water springs or geysers to rise from the ground.

These natural water sources made habitation and development possible in the otherwise inhospitable desert environment of the Coachella Valley. Major earthquakes have affected the Coachella Valley.

The Coachella Valley contains nine cities and various unincorporated communities.

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As of 2010 the valley produced agricultural products worth about $600 million.

The valley is the primary date-growing region in the United States, responsible for nearly 95 percent of the nation's crop and is celebrated each year in Indio during the Riverside County Fair and National Date Festival. The earliest attempt at growing dates came about in 1890 when the United States Department of Agriculture (USDA) imported date palm shoots from Iraq and Egypt. Sixty-eight shoots were distributed across the Southwest U.S. in Las Cruces, New Mexico, Yuma, Arizona, Phoenix, Arizona, and several California cites: Indio, Pomona near Los Angeles, Tulare and National City near San Diego. The imports were almost all male seedlings and produced poor fruit. The Coachella Valley showed promise, so USDA horticulturist Bernard Johnson planted a number of shoots that he brought back from Algeria in September 1903. On his own initiative, Johnson imported more shoots from Algeria in 1908 and again in 1912. The area's entire date industry can be traced back to those original USDA experiments near present-day Mecca. Date palms were grown from present-day Cathedral City to the Salton Sea, but most date groves were overtaken by development by the 1990s. Today, nearly all of the date groves are in the "East Valley" area south of Indio, near Coachella and east of La Quinta.

Other agricultural products cultivated in the Coachella Valley include fruits and vegetables, especially table grapes, citrus fruits such as lemons, limes, oranges and grapefruit; onions and leeks; and peppers. The valley floor served to grow bounties of alfalfa, artichokes, avocados, beans, beets, cabbage, carrots, corn, cotton, cucumbers, dandelions (salad greens), eggplant, figs, grains (i.e. barley, oats, rye and wheat; plus rice fields kept wet or moist in the Salton Sea area), hops, kohlrabi, lettuce, mangoes, nectarines and peaches, persimmons, plums and prunes, pomegranate, potatoes, radishes, spinach, strawberries, sugar cane, tomatoes, a variety of herbs and spices, and other vegetable crops. The Coachella grapefruit originated in the region. The city of Coachella is the primary shipping point for agricultural goods. Domesticated grasses, flowers and trees are widely grown for warm-weather or desert climates and sold for use in golf courses and landscape.

Only 10 percent of the Coachella Valley residents were born/raised in the area, according to the 2000 census, a much lower percentage than found in most parts of the U.S. Agriculture is a founding block of the majority of the "oldtimer" residents, whose parents and grandparents came to the area as farmers and laborers transformed the eastern parts of the valley from a hot sandy desert into a green fertile place with a year-round growing season. The Coachella Valley's agricultural development is due to irrigation: water was drawn from an underground aquifer created when the valley was under a fresh water lake in the last ice age (over 10,000 years ago); and from the All-American Canal, completed in the late 1940s, which brought large supplies of water from the Colorado River. Recent growth of fish

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farming or "aquaculture" in Mecca near the Salton Sea brings new promise to the local economy, especially to efforts to restore the ailing ecology of the large saltwater lake.

City of Coachella
Coachella is in Riverside County, California; it is the easternmost city and namesake of the Coachella Valley, in Southern California's Colorado Desert. Coachella is one of California's fastest-growing cities; when it incorporated in 1946, it had 1,000 residents. By the 2020 census the population had grown to 41,941. The city is officially bilingual in English and Spanish, with 90% of residents speaking Spanish.

Downtown Coachella is under renovation as the area experiences an economic boom which has brought increasing numbers of people in the city – Pueblo Viejo (the old neighborhood) as locals of Hispanic origin sometimes call it. Despite its image for Mexican immigration, a large percentage are US citizens, born and raised in Coachella. A multi-generational Mexican American subculture has taken root in the town. Additionally, since 2000, thousands of single-family homes and multi-unit apartment complexes have been built at a fast pace, as the city's population soared, having more than doubled in just a decade.

Coachella expanded recreational and social activities for which residents once had to drive 10 or 20 miles west. The city has a recreation center, a Boys and Girls Club center, and a boxing club in Bagdouma Park. There are two dance clubs and the Corona Yacht Club located near Spotlight 29 casino; two new golf courses (Desert Lakes and the Vineyards) attract many retirees, RV owners, and local business people.

Coachella is served by the Coachella Valley Unified School District, based in Thermal, California. Its main high school is Coachella Valley High School (with 2900 students) followed by a new high school, Desert Mirage High School, about 5 miles to the south; its three middle schools are Cahuilla Desert Academy, Toro Canyon, and Bobby Duke. Elementary schools include Cesar Chavez, Coral Mountain Academy, Palm View, Peter Pendleton, Valle Del Sol, Valley View, Westside and in nearby Thermal, John Kelley.

Near Coachella, a new four-lane expressway, State Route 86, was built for international trucking from Mexicali, Mexico to Los Angeles or Arizona. Referred to as the "NAFTA highway" (in reference to the North American Free Trade Agreement took effect in 1994), it replaces an older and less safe two-lane road that was known for its many auto accidents.

According to the city's 2020 Comprehensive Annual Financial Report, the largest employers are:[17]

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Subject Property and Description
Aerial View of Subject Property
Location of subject property is approximate.

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Subject Property Photographs
Photograph 1
Front of house from street
Photograph 2
Updated Kitchen from marketing brochure

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Photograph 3
Kitchen from marketing brochure
Photograph 4
Street scene with subject at right

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Photograph 5
Looking east along Ave 50 with subject straight ahead
Photograph 6
Backyard from marketing brochure

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Photograph 7
Looking west along Avenue 50 with subject at left
Photograph 8
Dining Area from marketing brochure

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Photograph 9
Covered patio from marketing brochure
Photograph 10
Bathroom from marketing brochure

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Photograph 11
Garage and front yard
Photograph 12
Landscaping

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Site Description
General Site Information
Address: 50021 Balboa Street, Coachella, CA 92236
Location: Located in the West Coachella neighborhoods, west of Highway 111.

Legal Description
Current Owner(s): RMM Investment Capital, LLC
3 Year Sales History: There have been no arms-length transactions affecting the property during the past three years.

Zoning: R-S (Residential Single Family); Uses allowed by right within this zone include single-family detached dwellings, family day care homes, public parks/playgrounds, temporary subdivision sales offices, and licensed day care centers for five or less children.

Assessor Parcel No: 768-160-001
Assessed Value Land: $39,634
Assessed Value Imp: $79,270
Total Assessed Value: $118,904
Assessment Year: 2021-22
Taxes: $2,607
Physical Characteristics of the Site
Total Site Area: 7,052 square feet (per engineer’s plat) Frontage: Avenue 50 & Balboa Street
Shape: Nearly rectangular
Topography: Level at street grade
Access: Balboa Street
Easements: Submitted title report shows the following notable exceptions: public utilities easement over portion of land, property lies within the boundaries of a project area within the redevelopment agency, delinquent taxes in 2020-2021, pending court action in the past, and property was used as collateral on a 1, 450,000 deed of trust from Community Valley Bank in 2016. The appraisal assumes that none of these exceptions would have a negative impact on its

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value upon sale, and that the property would sell free and clear of any onerous liens and encumbrances.

Encroachments: None noted with appraisal assuming none exist.

Utilities to Site: All utilities in adjoining road & connected Sidewalk, Curbs and
Gutters:

Installed along Arizona Street
Flood Designation: Zone X (Map 060249 – 06065C2270H) dated March 6, 2018, indicating an area determined to be outside of the 100-year and 500-year floodplains.

Environmental/Soils: There was nothing discovered which would indicate there are environmental issues associated with the subject property. The presence of substances such as asbestos, urea-formaldehyde foam insulation or other potentially hazardous material may affect the value of the subject property. The value estimate is predicated on the assumption that there is no such material on or in the property that would cause a loss in value.

Subsurface
Conditions:

Unknown
Plat Map
Following is a plat map showing the size, shape and location of the subject property.

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Legal Description

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Plat Map

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Improvements Description
According to public information, with the exterior description of the home confirmed by inspection, the subject property is described as follows:
• Remodeled in recent years (new fixtures/appliances in kitchen & bathroom) • Attached garage with 2 parking spaces
• Laundry area inside homes
• 3 bedrooms and 2 full bathrooms
• Central heating and air conditioning
• Single story design
• Average level of landscaping (grass & mature tree)
• Vertical board perimeter fence
• Block enclosure wall at front entry
• Covered patio
• Wood frame and stucco construction
• Composition shingle roof
• Fixed vinyl windows
General Plan Land Use & Zoning
The zoning characteristics for the subject property are summarized below:

Zoning Summary
Current Zoning: R-S (Residential Single-Family); This zone is intended to provide areas within the city where development is limited to low-density concentrations of single-family dwellings, and to stabilize and protect the residential character of such areas. It has the further purpose of the provision of
community facilities needed to complement urban
residential areas and for institutions which require a
residential environment, to minimize traffic congestion, and to avoid an overload of utilities designed to service only lowdensity residential uses.

Permitted Uses: Uses allowed by right within this zone include single-family detached dwellings, family day care homes, public
parks/playgrounds, temporary subdivision sales offices, and licensed day care centers for five or less children.

Zoning Change: Not likely
Development Standards
Minimum Lot Size: 7,200 square feet
Minimum Width: 60 feet
Minimum Depth: 100 feet
Minimum Setbacks:

Front: 15 feet
Rear: 20 feet
Side: 5-10 feet
Maximum Building Height: 30 feet
Maximum Density 1 dwelling unit per lot

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ZONING SUMMARY
Zoning Map
General Plan Map

SUBJECT

SUBJECT

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Valuation Analysis
Highest and Best Use
The highest and best use of any property depends upon the physical and legal restrictions imposed by the size, shape, location and zoning of the site, and the size, siting, quality and condition of the improvements. An improved site like the subject property would be analyzed for its highest and best use on both an “as though vacant” and “as-improved” basis. Considerations under each of these analyses will include uses that are (1) physically possible, (2) legally permissible, (3) financially feasible, and (4) maximally productive.

As Though Vacant
Physically Possible - The subject property is of sufficient size to be a developable site. It is of typical size to other parcels in the immediate neighborhood and has good frontage and access from Balboa Street. Additionally, it has frontage on Avenue 50 and has utilities immediately available and connected.

Legally Permissible - The subject is zoned R-S (Residential Single-Family). This zone is intended to provide areas within the city where development is limited to low-density concentrations of single-family dwellings, and to stabilize and protect the residential character of such areas. Uses allowed by right within this zone include single-family detached dwellings, family day care homes, public parks/playgrounds, temporary subdivision sales offices, and licensed day care centers for five or less children.

Financially Feasible – The surrounding uses, size and access to and from the property would render development of a variety of uses possible. However, based primarily on immediate land use patterns, the maximally productive use of the site would be for development of the property with a single-family residence.

Maximally Productive – Considering the legally permissible, physically possible and financially feasible uses in the current market, the highest and best use is for development of the property with a single-family residence.

As Improved
The subject property is improved with a single-story 3BR 2BA home containing 1,288 square feet and built in 1967. The home has a 1 car-garage and is of average quality and condition for the neighborhood. The property is consistent in quality, design and condition to the single-family homes in the area. Additionally, the property has been adequately maintained. At the present time, the improvements contribute value to the property above land value. As such, it is concluded that the highest and best use of the subject, as improved, is for continued use as a single-family residence.

Appraisal Procedures Followed, Methodologies
For the appraisal of the subject property, the sales comparison approach is the primary method of valuation.

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The sales comparison approach derives a market value opinion by making a comparative analysis of recently sold properties having similar physical and economic characteristics to the property being appraised. Each sale property is compared to the subject property focusing on similarities and differences that influence value. This approach was applied in the valuation of the subject property.

The income capitalization approach is a method of valuation suited for investment properties because the foundation of the estimate is anticipated income, which is the primary reason investors buy this type of property. The price they are willing to pay is directly related to the income it is capable of producing and its prospect for change in value. As the subject’ immediate market is for owner-user occupancy, the income approach will not be undertaken in valuing the subject property, as this approach would not be used in the marketing of the property. Current market participants are purchasing properties similar to the subject property based on a sales comparison approach only. The cost approach was not employed in the valuation of the subject property because the subject property contains very old improvements, has a significant amount of depreciation that is difficult to measure, and buyers are not purchasing properties like the subject based on a depreciated replacement cost analysis.

Sales Comparison Approach
Several sales have been selected to process the sales comparison approach to value. On a following page is a summary of the market data. After this is a discussion of each of the sales, comparing each to the subject property for each relevant element of comparison and from this analysis an appropriate value indication is concluded in the reconciliation section of the appraisal report.

The sale properties are all located within the subject’s immediate market area and are considered good alternative to a purchase of the subject property. All sales occurred in 2021 and are considered suitable alternative for a buyer interested in purchasing the subject property. The properties range in size from 1,100 to 1,755 square feet which brackets the size of the subject property. Overall, this is considered a very reasonable data set from which to estimate the market value of the subject property.

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Comparable Sales Summary
Market Data Map

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Market Data Description
All of the comparables are located in the immediate vicinity of the subject property. A brief summary of the comparables follows.

Comp No. 1- This is the sale of a 3BR 2BA home that was built in 1976 and which has a 2-car carport. The floor plan has a bonus/family room with a wood burning fireplace, with most the windows having been replaced. The floor plan has a good size living room with slider leading to the backyard. The backyard has plenty of space on each side to pull in a recreational or utility vehicle. The home is equipped with both central air & wall units.

Comp No. 2 - This is the sale of a 3BR 1.52BA home that was built in 1960 and which has a 2- car carport. This home has a large living room kitchen and dining area and a bonus room which has just been remodeled with new flooring and a new window. Laminate flooring has been laid in the dining area and two of the bedrooms. The air conditioning unit is three years old, double pane windows are two years old and one of the water heaters is two years old. The size of the lot is 7,405 square feet.

Comp No. 3 – This is the sale of a 3BR 2BA house that contains 1,443 square feet and was built in 1960. The home is in the immediate vicinity of the subject property but is considered inferior in design appeal. The home sold on an as-is basis, with the home requiring some work to bring it up to the level of surrounding homes. The lot size of this property is 7,841 square feet.

Comp No. 4 - This is the sale of a 3 bedroom, 2 bath home that was built in 1986 and contains approximately 1,100 square feet of floor space. This property has a lot size of 6,098 square feet and is centrally located in the City of Coachella (same street as subject property) near the Cardenas Shopping center. The home offers 3 bedrooms and two bathrooms, has a relatively big backyard, and a built-in patio porch. Additionally, there is a privately gated large front yard.

Comp No. 5 This is the sale of a 4 bedroom, 2 bath home that was built in 2004 and contains approximately 1,363 square feet of floor space. This property has a lot size of 6,534 square feet.

The home is in the Immediate are of the subject property and offers laminate flooring, granite counters, white kitchen cabinets, stainless steel appliances, and shutters throughout. The bathroom has been upgraded with a tiled shower. The property has a good-sized back yard.

Adjustment Considerations
A summary of the adjustment analysis comparing the comparables to the subject is shown on the following page. Primary adjustments pertained to location, design/appeal, home size, lot size, age/condition, BR/BA count and parking. The adjustments were made on a subjective basis intended to recognize similarities and dissimilarities of the comparables compared to the subject.

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Sales Comparison Conclusion
Based on the above analysis, a value of $350,000 is concluded for the subject property.

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Certification
The undersigned appraiser certifies that, to the best of his knowledge and belief:
• The statements of fact contained in this report are true and correct. • The reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, impartial and unbiased professional analyses, opinions, and conclusions.
• I have no present, prospective, direct or indirect interest in the property that is the subject of this report, nor personal interest or bias with respect to the parties involved. • I have no bias with respect to the property that is the subject of this report or to the parties involved in this assignment.
• My engagement in this assignment was not contingent upon developing or reporting predetermined results.
• My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result or the occurrence of a subsequent event directly related to the intended use of this appraisal.
• The reported analyses, 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, which include the Uniform Standards of Professional Appraisal Practice.
• Kent J. Carpenter, MAI has made a personal inspection of the property that is the subject of this report.
• No one provided significant real property appraisal assistance to the appraiser signing this certification.
• The appraiser signing this appraisal report has not provided an appraisal of the subject property in the three years immediately preceding acceptance of this assignment.

There have been no other services, as an appraiser, or in any other capacity, in the previous three years.
• As of the date of this report, Kent Carpenter, MAI, has completed the continuing education program 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.

Very Truly Yours,
Kent J. Carpenter, MAI
Epic Land Solutions, Inc.

Certified General Real Estate Appraiser
California License AG003087

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Sale Comparables
Comparable 1 Photo
Comparable 2 Photo

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Comparable 3 Photo
Comparable 4 Photo

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Comparable 5 Photo

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Addenda
Assumptions and Limiting Conditions
This report is made expressly subject to the standard assumptions and conditions which are a normal part of any real estate appraisal.

1. The term "Market Value", as used in this report is defined previously.

2. The date of value to which the conclusions and opinions expressed in this report apply, is as set forth previously in this letter. Further, the dollar amount of any value opinion rendered in this report is based upon the purchasing power of the American dollar existing on that date.

3. The appraiser assumes no responsibility for economic or physical factors which may affect the opinions in this report which occur after the date of this letter transmitting the report.

4. The information furnished by others is believed to be reliable. However, no warranty is given for its accuracy.

5. The appraiser reserves the right to make such adjustments to the analyses, opinions and conclusions set forth in this report as may be required by consideration of additional data or more reliable data that may become available.

6. No opinion as to title is rendered. Title is assumed to be marketable and free and clear of all liens, encumbrances, easements and restrictions except those specifically discussed in the report. The property is appraised assuming it to be under responsible ownership and competent management, and available for its highest and best use.

7. The appraiser assumes no responsibility for hidden or unapparent conditions of the property, subsoil, or structures that render it more or less valuable. No responsibility is assumed for arranging for engineering studies that may be required to discover them.

8. The property is appraised assuming it to be in full compliance with all applicable federal, state, and local environmental regulations and laws, unless otherwise stated.

9. The property is appraised assuming that all applicable zoning and use regulations and restrictions have been complied with, unless otherwise stated.

10. The property is appraised assuming that all required licenses, certificates of occupancy, consents, or other legislative or administrative authority from any local, state, or national government or private entity or organization have been or can be obtained or renewed for any use on which the value estimate contained in this report is based, unless otherwise stated.

11. No engineering survey has been made by the appraisers. Except as specifically stated, data relative to size and area was taken from sources considered reliable and no encroachment of real property improvements is considered to exist.

12. No opinion is expressed as to the value of subsurface oil, gas or mineral rights or whether the property is subject to surface entry for the exploration or removal of such materials except as expressly stated.

13. Maps, plats and exhibits included in this part are for illustration only as an aid in visualizing matters discussed within the report. They should not be considered as surveys or relied upon for any other purpose, nor should they be removed from, reproduced, or used apart from the report.

Item 22.

P a g e | 33

14. No opinion is intended to be expressed for matters which require legal expertise or specialized investigation or knowledge beyond that customarily employed by real estate appraisers

15. That possession of this report, or a copy of it, does not carry with it the right of publication. It may not be used for any purpose by any person other than the party to whom it is addressed without the written consent of the appraiser, and in any event only with proper written qualification and only in its entirety.

16. Unless specifically stated, this appraisal does not take into consideration the possibility of the existence of asbestos, PCB transformers or other toxic, hazardous, or contaminated substances and/or underground storage tank (hazardous material), or the cost of encapsulation or removing thereof. Should the client have concern over the existence of such substances on the property, we consider it imperative for you to retain the services of a qualified independent engineer or contractor to determine the existence and extent of any hazardous materials, as well as the cost associated with any required or desirable treatment or removal thereof.

Item 22.

FHA/VA Case No. Page # 1 of 72
Form NIV5 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE American Valuation Company (760) 574-5242
Lester B Caplan, AGA, California State Certified General Appraiser, AG001751, Expires 09/01/2024 American Valuation Company
78206 Varner Rd Ste D-144
Palm Desert, CA 92211-4136
(760) 574-5242
Maritza Martinez

RMM INV CAPITAL
50021 Balboa Street
Coachella, CA 92236
(760) 296-6969
[email protected]
D23S02004LC
03/15/2023
D23S02004LC
D23S02004LC

RMM INV CAPITAL RMM INV CAPITAL
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella
Riverside CA 92236
Lot 18 MB 055/067 Tract 3430, APN: 768-160-001-7
General Appraisal Form, 900.00
900.00
3050 03/03/2023 paid by RMM Investment 900.00
900.00
Thank You. We Appreciate Your Business. 0.00
(760) 406-5783
INVOICE FROM:

Telephone Number: Fax Number:

TO:

Telephone Number: Fax Number:

Alternate Number: E-Mail:

INVOICE NUMBER
DATE

REFERENCE
Internal Order #:

Lender Case #:

Client File #:

Main File # on form:

Other File # on form:

Federal Tax ID:

Employer ID:

Lender: Client:

Purchaser/Borrower:

Property Address:

City:

County: State: Zip:

Legal Description:
$

DESCRIPTION

FEES AMOUNT

SUBTOTAL

PAYMENTS AMOUNT
Check #: Date: Description:

Check #: Date: Description:

Check #: Date: Description:

SUBTOTAL

TOTAL DUE

Item 22.

FHA/VA Case No. Page # 2 of 72
Form SSD3 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE 50021 Balboa St
Lot 18 MB 055/067 Tract 3430, APN: 768-160-001-7
Coachella
Riverside
CA
92236
0457.07
5471-B5
0 N/A - Eminent Domain Negotiation Use

RMM INV CAPITAL
1,294
Residential/sides street
56 Average (C4)
6 3

2.0 Lester Caplan
03/03/2023
371,000
Borrower
Lender/Client

SUMMARY OF SALIENT FEATURES

SUBJECT INFORMATION
Subject Address
Legal Description
City
County
State
Zip Code
Census Tract
Map Reference

SALES PRICE
Sale Price
Date of Sale
$

CLIENT DESCRIPTION OF IMPROVEMENTS
Size (Square Feet)
Price per Square Foot
Location
Age
Condition
Total Rooms
Bedrooms
Baths
$

APPRAISER
Appraiser
Date of Appraised Value
VALUE
Opinion of Value $

Item 22.

FHA/VA Case No. Page # 3 of 72
Form GA5 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE American Valuation Company
50021 Balboa St
Lot 18 MB 055/067 Tract 3430, APN: 768-160-001-7
Coachella, CA 92236

RMM INV CAPITAL
50021 Balboa Street
Coachella, CA 92236
03/03/2023
Lester Caplan
American Valuation Company
Web Site: Www.Desertavc.Com
Appraisal Of Real Property
LOCATED AT:

FOR:

AS OF:

BY:

Item 22.

Covid 19 / Coronavirus Addendum
On March 11, 2020, over 22 months prior the valuation date the World Health Organization (WHO) officially declared that Covid-19 was a global pandemic. It is noted that the current economy has been thrown into a turbulent state due to concerns about the Covid-19 virus. Effects have included sudden declines in the stock market, cancellation of major events and closure of many businesses and major restriction of many jobs in order to limit social-physical contact. I have interviewed several local agents and they are reporting that they have had showings and open houses canceled and have had listing canceled. The current economic upheaval seems to be effecting both buyers and sellers. The evidence suggest agents are having some transactions canceled due to stock market and job uncertainty, and some difficulty showing properties due to the desire for social-physical isolation. These conditions are quite sudden in the past two weeks prior the valuation date. Whether the impact is very short-lived or more longer lasting is not possible to determine at this point. Because these effects are only just now taking place, the only market data available for use in this analysis took place before the Covid-19 phenomenon. Therefore, while the analysis and conditions are based on historical market data, it would be prudent to be aware of the current market uncertainty. It is highly probable there will be an impact upon the local Real Estate market due to the covid 19 -coronavirus. However there is no current data to determine what the effect will be.

After much consideration I have begun adding this comment to the Market Conditions Comments in my reports: The impact to the market by both the covid 19 - coronavirus and the resulting decline in the stock market and increased unemployment are not yet known. Meaningful data is not yet available. It was therefore not possible to reflect these issues in this report.

The global outbreak of coronavirus” known as COVID-19 was officially declared a pandemic by the World Health Organization (WHO) 03/11/2020. The reader is cautioned, and reminded that the conclusions presented in this appraisal report apply only as of the effective date(s) indicated. The appraiser makes no representation as to the effect on the subject property of any unforeseen event, subsequent to the effective date of the appraisal.

As of the valuation date its been more than 2.5 years since the covid-19 virus began effecting the local economy. As of the valuation date the (CDC) Centers for Disease Control and Prevention have removed the mask requirements, the six foot social distancing requirements and almost all other covid-19 requirements. At the time of the valuation date there is no market data to suggest the covid-19 pandemic has any discernable effect upon the current market.

FHA/VA Case No. Page # 4 of 72
COVID 19 - CORONAVIRUS ADDENDUM D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Lester Caplan
AG001751 CA
03/17/2023
Form TADD2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Signature
Name
State Certification # State
Or State License # State
Date Signed
Signature
Name
State Certification # State
Or State License # State
Date Signed

Item 22.

FHA/VA Case No. Page # 5 of 72
Fair market value, property taken, CA Code Eminent Domain Law - Page 1 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 6 of 72
Fair market value, property taken, CA Code Eminent Domain Law - Page 2 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 7 of 72
Fair market value, property taken, CA Code Eminent Domain Law - Page 3 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No.

N/A - Eminent Domain Negotiation Use D23S02004LC
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Invoice ....................................................................................................................................................................................................................................................................................................................

Summary of Salient Features ...................................................................................................................................................................................................................................................................................

Cover Page ..............................................................................................................................................................................................................................................................................................................

COVID 19 - CORONAVIRUS ADDENDUM .................................................................................................................................................................................................................................................................

Fair market value, property taken, CA Code Eminent Domain Law - Page 1 ..............................................................................................................................................................................................................

Fair market value, property taken, CA Code Eminent Domain Law - Page 2 ..............................................................................................................................................................................................................

Fair market value, property taken, CA Code Eminent Domain Law - Page 3 ..............................................................................................................................................................................................................

Letter of Transmittal ................................................................................................................................................................................................................................................................................................

USPAP Identification Addendum ..............................................................................................................................................................................................................................................................................

GP Residential .........................................................................................................................................................................................................................................................................................................

Additional Comparables 4-6 ....................................................................................................................................................................................................................................................................................

Market Conditions Addendum to the Appraisal Report ..............................................................................................................................................................................................................................................

General Text Addendum ..........................................................................................................................................................................................................................................................................................

GP Residential Certifications Addendum ..................................................................................................................................................................................................................................................................

UAD Definitions Addendum .....................................................................................................................................................................................................................................................................................

FIRREA/USPAP Addendum ......................................................................................................................................................................................................................................................................................

Building Sketch .......................................................................................................................................................................................................................................................................................................

Plat Map ..................................................................................................................................................................................................................................................................................................................

Enlarged Plat Map ...................................................................................................................................................................................................................................................................................................

Subject & Comparable Location Sales Map ..............................................................................................................................................................................................................................................................

Neighborhood Boundary Location Map ....................................................................................................................................................................................................................................................................

Zoning Map & Zoning Code .....................................................................................................................................................................................................................................................................................

Traffic Count Map ....................................................................................................................................................................................................................................................................................................

Flood Map ...............................................................................................................................................................................................................................................................................................................

Appraisal License for Lester Caplan Expires 09/01/2024 ..........................................................................................................................................................................................................................................

Appraisal License & Course History for Lester Caplan - Page 1 ...............................................................................................................................................................................................................................

Appraisal License & Course History for Lester Caplan - Page 2 ...............................................................................................................................................................................................................................

SCOPE OF THE REPORT .........................................................................................................................................................................................................................................................................................

HIGHEST AND BEST USE ........................................................................................................................................................................................................................................................................................

ENVIRONMENTAL ADDENDUM ...............................................................................................................................................................................................................................................................................

Birds-eye View photo ..............................................................................................................................................................................................................................................................................................

RealQuest Property Report for the Subject Property .................................................................................................................................................................................................................................................

Subject Photos ........................................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Photograph Addendum ............................................................................................................................................................................................................................................................................................

Comparable Photos 1-3 ...........................................................................................................................................................................................................................................................................................

Comparable Photos 4-6 ...........................................................................................................................................................................................................................................................................................

ANALYTICS SECTION OF THE REPORT FOLLOW THIS PAGE ..................................................................................................................................................................................................................................

Marshall & Swift Depreciation table .........................................................................................................................................................................................................................................................................

Market Condition (Time) Adjustment Regression Analysis .......................................................................................................................................................................................................................................

Site Area Adjustment Regression Analysis ...............................................................................................................................................................................................................................................................

Living Area Adjustment Regression Analysis ...........................................................................................................................................................................................................................................................

Analytics Addendum, Neighborhood Market Data Analysis Page 1 ...........................................................................................................................................................................................................................

Analytics Addendum, Neighborhood Market Data Analysis Page 2 ...........................................................................................................................................................................................................................

Analytics Addendum, Neighborhood Market Data Analysis Page 3 ...........................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2023 - Page 1 ....................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2023 - Page 2 ....................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2023 - Page 3 ....................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2023 - Page 4 ....................................................................................................................................................................................................................................

Zillow Report ........................................................................................................................................................................................................................................................................................................... 1 Year Comparables farm - Page 1 .......................................................................................................................................................................................................................................................................... 1 Year Comparables farm - Page 2 .......................................................................................................................................................................................................................................................................... 1 Year Comparables farm - Page 3 ..........................................................................................................................................................................................................................................................................

Search Criteria and Statistical Analysis ....................................................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2022 - Page 1 ....................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2022 - Page 2 ....................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2022 - Page 3 ....................................................................................................................................................................................................................................

Coachella Valley Housing Statistics February 2022 - Page 4 .................................................................................................................................................................................................................................... 1 2
3 4
5 6
7 8
9 10
13 14
15 20
22 25
26 27
28 29
30 31
32 33
34 35
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 51
52 53
54 55
56 57
58 59
60 61
62 63
64 65
66 67
68 69
70 71
72 Form TOCNP - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Lender/Client
File No.

Property Address
City County State Zip Code

TABLE OF CONTENTS

Item 22.

FHA/VA Case No. Page # 8 of 72
American Valuation Company
Lester Caplan, Ca Certified General Appraiser
78206 Varner Road, Suite D-144
Palm Desert, Ca 92211
Ph (760) 574-5242, Fax (760) 406-5783

RMM INV CAPITAL
50021 Balboa Street
Coachella, CA 92236
Re: Property: 50021 Balboa St
Coachella, CA 92236
Borrower: N/A - Eminent Domain Negotiation Use
File No.: D23S02004LC
In Accordance With Your Request, We Have Appraised The Above Referenced Property. The Report Of That Appraisal Is Attached.

The Purpose Of This Appraisal Is To determine fair market value of the property taken, see the 2021 California Code Eminent Domain Law Chapter 9, Artical 4, Measure of Compensation for Property Taken, to use in the settlement of a Eminent Domain Negotiation Between the owner RMM Investment Capital and the City of Coachella.

This Report Is Based On A Physical Analysis Of The Site And Improvements, A Locational Analysis Of The Neighborhood And City, And An Economic Analysis Of The Market For Properties Such As The Subject. The Appraisal Was Developed And The Report Was Prepared In Accordance With The Uniform Standards Of Professional Appraisal Practice.

The Value Conclusions Reported Are As Of The Effective Date Stated In The Body Of The Report And Contingent Upon The Certification And Limiting Conditions Attached.

It Has Been A Pleasure To Assist You. Please Do Not Hesitate To Contact Me Or Any Of My Staff If We Can Be Of Additional Service To You.

Sincerely,
Lester Caplan
CA Certified General Appraiser
AG001751, Expires 09/01/2024

Item 22.

FHA/VA Case No. Page # 9 of 72
D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
I Have Estimated Reasonable Exposure Time In Correlation To The Fair Market Value Definition As Provided In This Report To Be From 3 To 6 Months. This Was Estimated From Examination Of The Marketing Times Of The Comparables Utilized In This Appraisal. Also Statistical Analysis Of The General Market Area For The Neighborhood, Discussions With Local Real Estate Brokers And Current Economic Conditions. This Estimate Is Predicated Upon The Assumption That The Subject Property Offering Would Not Exceed A Listing Price 10% Above The Market Value Estimate Above This Appraisal.

This Estimate Of Reasonable Exposure Time In Market Value Estimate Is Only For The Property Type That Is The Subject Of This Appraisal. - The Statements Of Fact Contained In This Report Are True And Correct. - The Reported Analyses, Opinions, And Conclusions Are Limited Only By The Reported Assumptions And Limiting Conditions And Are My Personal, Impartial, And Unbiased Professional Analyses, Opinions, And Conclusions.
- Unless Otherwise Indicated, I Have No Present Or Prospective Interest In The Property That Is The Subject Of This Report And No Personal Interest With Respect To The Parties Involved.
- I Have No Bias With Respect To The Property That Is The Subject Of This Report Or The Parties Involved With This Assignment. - My Engagement In This Assignment Was Not Contingent Upon Developing Or Reporting Predetermined Results. - My Compensation For Completing This Assignment Is Not Contingent Upon The Development Or Reporting Of A Predetermined Value Or Direction In Value That Favors The Cause Of The Client, The Amount Of The Value Opinion, The Attainment Of A Stipulated Result, Or The Occurrence Of A Subsequent Event Directly Related To The Intended Use Of This Appraisal.
- My Analyses, Opinions, And Conclusions Were Developed, And This Report Has Been Prepared, In Conformity With The Uniform Standards Of Professional Appraisal Practice That Were In Effect At The Time This Report Was Prepared. - Unless Otherwise Indicated, I Have Made A Personal Inspection Of The Property That Is The Subject Of This Report. - Unless Otherwise Indicated, No One Provided Significant Real Property Appraisal Assistance To The Person(S) Signing This Certification (If There Are Exceptions, The Name Of Each Individual Providing Significant Real Property Appraisal Assistance Is Stated Elsewhere In This Report). Unless Otherwise Indicated In The Comments Below, I Have Performed No . --- - Unless Otherwise Indicated In The Comments Below, I Have Performed No Services, As An Appraiser Or In Any Other Capacity, Regarding The Property That Is The Subject Of This Report Within The T

stable property value. Market values are always changing up or down. The rate of change and the direction up or down is always changing. Therefore a stable market of zero is not possible. From my experience and discussions with many realtors I am of the opinion that a market that is changing at a rate of 5% or more per year is a rising or declining market. At present the balance of market participants are in balance, supply and demand would be considered in balance with slightly below normal marketing times of around 30 days to 60 days on the market with a 5 to 7 month supply of houses for sale on the market. Currently the average marketing time is 67 days for the average sold sales and 68 days on the market for the listing on the market. There is a 4.48 month supply of homes on the market. So on my reports I mark the rising or declining box if the rate of change is 5% or greater and I note in my comments if the trend is appreciation or depreciation, increasing or decreasing property values. I also report the actual rate of change from the 1 year comp farm and the zillow rate of change for the subject's zip code. Sales will have a plus +2% appreciation rate applied from with a pending date after 30 days from the valuation date. Time adjustments are calculated from the pending date. Zillow reported price increase of +10.6% over the prior year. The form 1004MC had a annual appreciation rate of +3.3%. The Coachella Valley housing statistics shows the median comparable price for homes in the city of Coachella depreciated -0.9% over the prior year. The statistical sample from the form 1004MC is a large enough sample to make accurate statistical analysis. The Zillow report & Coachella Valley housing statistics rate of appreciation is less accurate but supports the reconciled appreciation rate from the 1004MC form and regression analysis. I estimate the rate of appreciation as of the valuation date to be plus +2.0% per year. Sales will not have a market condition adjustment applied for any sale within 30 days prior the valuation date. The market condition adjustment made is calculated from the pending date. I also made a regression analysis of the market condition adjustment from the pending date of the neighborhood sales market analysis. The market condition adjustment regression analysis indicated plus +$17.46 per day adjustment from the pending date for the sales comps. Then I converted the daily depreciation rate to a monthly rate and then to an annual rate. The annual regression analysis appreciation rate is plus +1.7%. I am of the opinion that the regression analysis is a better model of the expectations of the market participants than the zillow or Coachella Valley statistics. The regression analysis and form 1004MC market condition indicators very closely models my estimated annual appreciation rate of plus 2.0%. This gives good support for my estimated market condition adjustments" applied on the market grid at 2% annual or .00167% per month from the pending date.

Lester Caplan
03/17/2023
AG001751
CA
09/01/2024
03/03/2023
Form ID14AP - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE USPAP ADDENDUM File No.

Borrower
Property Address
City County State Zip Code
Lender
This report was prepared under the following USPAP reporting option:

Appraisal Report This report was prepared in accordance with USPAP Standards Rule 2-2(a).

Restricted Appraisal Report This report was prepared in accordance with USPAP Standards Rule 2-2(b).

Reasonable Exposure Time
My opinion of a reasonable exposure time for the subject property at the market value stated in this report is:

Additional Certifications
I certify that, to the best of my knowledge and belief:

I have NOT performed services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment.

I HAVE performed services, as an appraiser or in another capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment. Those services are described in the comments below.

Additional Comments
APPRAISER:

Signature:

Name:

Date Signed:

State Certification #:
or State License #:

State:

Expiration Date of Certification or License:

Effective Date of Appraisal:

SUPERVISORY APPRAISER: (only if required)
Signature:

Name:

Date Signed:

State Certification #:
or State License #:

State:

Expiration Date of Certification or License:

Supervisory Appraiser Inspection of Subject Property:

Did Not Exterior-only from Street Interior and Exterior

Item 22.
5 American Valuation Company (760) 574-5242 FHA/VA Case No. Page # 10 of 72 RESIDENTIAL APPRAISAL REPORT D23S02004LC
50021 Balboa St Coachella CA 92236
Riverside Lot 18 MB 055/067 Tract 3430, APN: 768-160-001-7 768-160-001-7
2022 2,262 0 N/A - Eminent Domain Negotiation Use

RMM INV CAPITAL
Detached single family home 0
Not in a named Development, MLS area 315 - Coachella 5471-B5 0457.07 fair market value/compensation. See attached definition.

The intended use of this appraisal is to assist the client, the owner RMM Investment Capital and Maritza Martinez, managing partner determine to use in the settlement of a Eminent Domain Action between the owner, RMM Investment Capital and Maritza Martinez, managing partner and the City of Coachella.

The client, the owner, RMM Investment Capital and Maritza Martinez, managing partner RMM INV CAPITAL 50021 Balboa Street, Coachella, CA 92236 Lester Caplan 78206 Varner Road, Suite D-144, Palm Desert, CA 92211 95 255
465
380
12 93
19 80
5 5
5 Vacant 5
See attached addendum. For comparable sales and
immediate neighborhood market condition analysis the neighborhood is further restricted to non gated communities. The south neighborhood boundary is 52nd Avenue. The east neighborhood boundary is Highway (86). The north neighborhood boundary is Avenue 48. The west neighborhood boundary is Jackson Street.

Please see the market value trends on the form 1004MC and detailed analysis in the general text addendum. As shown by the market data and market analysis the appreciation rate in the neighborhood has started to decline from the top of the market which was about May and June 2022 when appreciation rates peeked at about 32.8% per year. The market is now stable with the current rate of appreciation at about 2%.

Irregular - see enlarged plat map 6,865 sf
R-S Residential Single Family Zone Single family residential, full R-S zoning code is in the workfile Detached single family residential detached single family residential Detached single family residential is the highest and best use. This is the current use and is the only legally permissible use.. The building style is detached single family ranch style 1 story home. The ownership rights are fee simple ownership. See the attached, detailed Highest & Best use analysis.

Public
Public
Public
Public & Connected
Public
Asphalt
Concrete
Concrete
Electric
None
Level pad, slightly above road grade
Typical for the development
Irregular, almost rectangular
Adequate
Other homes, no view amenity
X 06065C2270H 03/06/2018
There are no apparent adverse easements or encroachments. It is assumed that the subject site has typical utility easements. The subject property has typical utilities as compared to other sites in the immediate neighborhood. However a title report was not provided for the appraisers review. Thus any easement or encroachment not noted on the plat map is unknown to the appraiser. Subject north side, sides a sidewalk, then a narrow greenbelt and then 50th Avenue beyond. This is an adverse location with traffic noise, 50th Avenue at the north side of the site is about 30 feet north of the home improvements. See birds-eye view photo and addendum for details. 1 1
Ranch
56 35
Concrete/average
Stucco/average
Asphalt Shingle/average
No/adq. overhang
Single pane /average
Screens/average
Gated Front Patio Gated cc front cyd/avg
Yes/100%
None
None
None
None
0 0
Central forced air
FAU
Gas
Central forced air
Yes
None
Tile/average
Drywall/average
Wood/average
Tile/Average
Tile/average
Hollow core/average
Bath Countertps Corian/average
None
Covered concrete
None
Front cc prvt courtyard
Concrete block
None
Othr None
0 Floors Tile/average
Walls Drywall/average
Bth Floor Tile/average
Bth Wnsc Tile/average
Kit,Cntr. Formica/average
Fireplace None
4 2 Concrete
2 Concrete
Concrete
6 3 2.0 1,294
See attached addendum. The interior has upgraded tile flooring in the entire home. recessed lighting, ceiling fans, automatic sprinkler system front and rear yard, attached 2 car garage with automatic garage door opener.

C4; Subject is in average condition having been built in the year 1967, The home has not been recently remodeled. From old MLS it appears the home was remodeled with new flooring and paint in 2010 and has been kept up with no major deferred maintenance. However the home has wear & tear and the tile floors are outdated, the home has warn interior and exterior paint. Subject is maintained in average (C4) condition. See the attached quality & condition definitions addendum. Combined carbon monoxide detectors & smoke alarms have been installed. The water heater is double earthquake strapped. The utilities were on and all other appliances besides the oven were working and there was good water pressure with good hot water. Subject home is built with average (Q4) quality materials and workmanship. See the addendum for some additional upgrades.

Form GPRES2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE File No.:

SUBJECT
Property Address: City: State: Zip Code:

County: Legal Description:

Assessor's Parcel #:

Tax Year: R.E. Taxes: $ Special Assessments: $ Borrower (if applicable):

Current Owner of Record: Occupant: Owner Tenant Vacant Manufactured Housing Project Type: PUD Condominium Cooperative Other (describe) HOA: $ per year per month Market Area Name: Map Reference: Census Tract:

ASSIGNMENT
The purpose of this appraisal is to develop an opinion of: Market Value (as defined), or other type of value (describe) This report reflects the following value (if not Current, see comments): Current (the Inspection Date is the Effective Date) Retrospective Prospective Approaches developed for this appraisal: Sales Comparison Approach Cost Approach Income Approach (See Reconciliation Comments and Scope of Work) Property Rights Appraised: Fee Simple Leasehold Leased Fee Other (describe) Intended Use:

Intended User(s) (by name or type):

Client: Address:

Appraiser: Address:

MARKET AREA DESCRIPTION
Location: Urban Suburban Rural
Built up: Over 75% 25-75% Under 25%
Growth rate: Rapid Stable Slow
Property values: Increasing Stable Declining
Demand/supply: Shortage In Balance Over Supply
Marketing time: Under 3 Mos. 3-6 Mos. Over 6 Mos.

Predominant
Occupancy
Owner
Tenant
Vacant (0-5%)
Vacant (>5%)
One-Unit Housing
PRICE
$(000)
Low
High
Pred
AGE
(yrs)
Present Land Use
One-Unit %
2-4 Unit %
Multi-Unit %
Comm'l %
%
Change in Land Use
Not Likely
Likely * In Process *
* To:

Market Area Boundaries, Description, and Market Conditions (including support for the above characteristics and trends):

SITE DESCRIPTION
Dimensions: Site Area:

Zoning Classification: Description:

Zoning Compliance: Legal Legal nonconforming (grandfathered) Illegal No zoning Are CC&Rs applicable? Yes No Unknown Have the documents been reviewed? Yes No Ground Rent (if applicable) $ / Highest & Best Use as improved: Present use, or Other use (explain) Actual Use as of Effective Date: Use as appraised in this report:

Summary of Highest & Best Use:

Utilities Public Other Provider/Description Off-site Improvements Type Public Private Electricity
Gas
Water
Sanitary Sewer
Storm Sewer
Street
Curb/Gutter
Sidewalk
Street Lights
Alley
Topography
Size
Shape
Drainage
View
Other site elements: Inside Lot Corner Lot Cul de Sac Underground Utilities Other (describe) FEMA Spec'l Flood Hazard Area Yes No FEMA Flood Zone FEMA Map # FEMA Map Date Site Comments:

DESCRIPTION OF THE IMPROVEMENTS
General Description
# of Units Acc.Unit
# of Stories
Type Det. Att.

Design (Style)
Existing Proposed Und.Cons.

Actual Age (Yrs.)
Effective Age (Yrs.)
Exterior Description
Foundation
Exterior Walls
Roof Surface
Gutters & Dwnspts.

Window Type
Storm/Screens
Foundation
Slab
Crawl Space
Basement
Sump Pump
Dampness
Settlement
Infestation
Basement None
Area Sq. Ft.
% Finished
Ceiling
Walls
Floor
Outside Entry
Heating
Type
Fuel
Cooling
Central
Other
Interior Description
Floors
Walls
Trim/Finish
Bath Floor
Bath Wainscot
Doors
Appliances
Refrigerator
Range/Oven
Disposal
Dishwasher
Fan/Hood
Microwave
Washer/Dryer
Attic None
Stairs
Drop Stair
Scuttle
Doorway
Floor
Heated
Finished
Amenities
Fireplace(s) #
Patio
Deck
Porch
Fence
Pool
Woodstove(s) #
Car Storage None
Garage # of cars ( Tot.)
Attach.

Detach.

Blt.-In
Carport
Driveway
Surface
Finished area above grade contains: Rooms Bedrooms Bath(s) Square Feet of Gross Living Area Above Grade Additional features:

Describe the condition of the property (including physical, functional and external obsolescence):

Copyright© 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. 3/2007

Item 22.

FHA/VA Case No. Page # 11 of 72
RESIDENTIAL APPRAISAL REPORT D23S02004LC
Realist and RealQuest, no active MLS for the subject property. See addendum for 1 year listing history. 07/16/2010
$50,000
RealQuest/Realist/MLS# 9I-10059855
03/01/1990
Undisclosed
RealQuest/Realist doc#075274
See Addendum For Detailed History Of Subject Property For 3 Years And Comparable Sales For 1 Year.

The Sale Price To Listing Price Ratio For Sale 1 Was 100%. The C.O.E. was 03/31/2022 and the pending date was 02/19/2022. The Sale Price To Listing Price Ratio For Sale 2 Was 102%. The C.O.E.was 11/10/2022 and the pending date was 10/03/2022. The Sale Price To Listing Price Ratio For Sale 3 was 100%. The C.O.E. was 03/01/2023 and the pending date was 02/21/2023. The Sale Price To Listing Price Ratio For Sale 4 was 106%. The C.O.E. was 09/16/2022 and the pending date was 08/09/2022. The Sale Price To Listing Price Ratio For Sale 5 was 104%. The C.O.E. was 05/17/2022 and the pending date was 03/29/2022. Comparable 6 is an active listing. 50021 Balboa St
Coachella, CA 92236
0 Inspection / RealQuest
Owner / Inspection
N/A
N/A
Inspection 03/03/2023
Fee Simple
Residential/sides street
6,865 sf
Resid.,no view amenity
Ranch
Average (Q4)
56 Average (C4)
6 3 2.0
1,294
No basement
None
Avg/No defer. maint.

Fau/Central
None
2 car attached garage
Covered patio
Fireplaces None
Pool & Spa, Bbq None
Interior Upgrades Tile Floors/Formica Cntp
Furniture No furniture included
D.O.M. / S.P. Ratio N/A - not a sale
51980 Calle Empalme
Coachella, CA 92236

0.98 MILES S
335,000
319.05
Doc#155442 MLS#219073745 ;DOM 41
Pr.-RealQuest/Realist/MLS-Realtor
Ctnl (FHA)
No concessions
pnd 02/2022 cls 03/2022 +7,000
Fee Simple
Residential/sides street
6,534 sf +4,000
Resid.,no view amenity
Ranch
Average (Q4)
48 0
Average (C4)
6 3 2.0
1,050 +15,000
No basement
None
Avg/No defer. maint.

Fau/Central
None
2 car attached garage
Covered patio
None
None
Tile Floors/Formica Cntp
No furniture included
41 Days / 100%
26,000
Net 7.8 %
Gross 7.8 % 361,000
51872 Calle Techa
Coachella, CA 92236

0.91 MILES S
335,000
299.11
Doc#467632 MLS#219084603 ;DOM 17
Pr.-RealQuest/Realist/MLS-Realtor
Ctnl (conv)
No concessions
pnd 10/2022 cls 11/2022 +3,000
Fee Simple
Residential -5,000
6,534 sf +4,000
Resid.,no view amenity
Ranch
Average (Q4)
51 0
Good (C3) -10,000
6 3 1.1 +5,000
1,120 +11,000
No basement
None
Avg/No defer. maint.

Fau/Central
None
1 attached Carport +12,000
Patio slab +1,000
None
None
Tile-crpt Floors/Granite Cntp 0
No furniture included
17 Days / 102%
21,000
Net 6.3 %
Gross 15.2 % 356,000
50419 Kenmore St
Coachella, CA 92236

0.16 MILES SE
384,000
349.09
Doc#059505 MLS#219085505 ;DOM 137
Pr.-RealQuest/Realist/MLS-Realtor
Ctnl (conv)
No concessions
pnd 02/2023 cls 03/2023 0
Fee Simple
Residential -5,000
6,098 sf -9,000
Resid.,no view amenity
Ranch
Average (Q4)
37 0
Good (C3) -10,000
6 3 2.0
1,100 +12,000
No basement
None
Avg/No defer. maint.

Fau/Central
None
2 car attached garage
Patio slab +1,000
None
None
Laminate Floors/Gran Cntp 0
No furniture included
137 Days / 100%
-11,000
Net 2.9 %
Gross 9.6 % 373,000
Sales 1, 4 & 5 are dated. Sales older than 6 months from the date of appraisal. Minimal rising price appreciation that shows up in the market grid since the market is flat with only 3% appreciation rate. The overall trend is rising but at a pace that is slow enough that if sales less than 3 months are used time adjustment is not needed. The proper notation on the neighborhood section of the report and in the market condition addendum is stable comparable sale prices since the rate of change is less than 5% per year. The current appreciation rate at 2% is quite lower than 12 months ago in February 2022 when they were appreciating at 36.8% annual appreciation rate. Also the sale price to listing ratio is at 100%. A few months ago they were around 103% to 104%. Also the inventory of homes on the market has increased and there is currently a 4.48 month supply of homes in the inventory. A few months ago there was less than 1/2 month supply of homes on the market. The appreciation rate of 2% equals a monthly rate of .02/12= .00167. The market condition adjustment for sales with a pending date more than 1 month prior the valuation date will be adjusted at 2% annual or .00167 or .167% per month from the pending date.

Subject site suffers external depreciation
The subject's north side wall of the site sides to a sidewalk and greenbelt and then 50th Avenue which is a busy street. There was minimal traffic noise from inside the subject home when the doors and windows were closed. There was loud traffic noise heard when in the back yard and north side yard. I reviewed the Coachella Valley Traffic Count Map at the north side of the site there was a daily traffic count of 6,537 cars going eastbound and 7,480 cars going westbound for a total daily traffic count of 14,017 cars. To estimate the loss in market value due to external depreciation from siding to 50th Avenue I did hybrid paired sales analysis. Using comp 1 which sides to 52nd Avenue which has similar traffic count as compared to 50th Avenue. I compared this sales to sales 2, 3, 4, & 5. From my analysis it appears the adverse traffic noise in the yard has minimal affect upon the market value or marketability. Comp 1 was only on the market for 41 days and sold for 100% of the asking price. This indicates that in the current market there is little resistance to market value or marketability to a location like the subject that sides to a busy street. Based upon this analysis I made a minimal adjustment of minus -$5,000 on the market grid and cost approach for external depreciation due to traffic noise from siding 50th Avenue. 371,000
Form GPRES2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE File No.:

TRANSFER HISTORY
My research did did not reveal any prior sales or transfers of the subject property for the three years prior to the effective date of this appraisal.

Data Source(s):
1st Prior Subject Sale/Transfer
Date:

Price:

Source(s):
2nd Prior Subject Sale/Transfer
Date:

Price:

Source(s):

Analysis of sale/transfer history and/or any current agreement of sale/listing:

SALES COMPARISON APPROACH
SALES COMPARISON APPROACH TO VALUE (if developed) The Sales Comparison Approach was not developed for this appraisal.

FEATURE SUBJECT COMPARABLE SALE # 1 COMPARABLE SALE # 2 COMPARABLE SALE # 3 Address
Proximity to Subject
Sale Price $ $ $ $
Sale Price/GLA $ /sq.ft. $ /sq.ft. $ /sq.ft. $ /sq.ft.

Data Source(s)
Verification Source(s)
VALUE ADJUSTMENTS DESCRIPTION DESCRIPTION +(-) $ Adjust. DESCRIPTION +(-) $ Adjust. DESCRIPTION +(-) $ Adjust.

Sales or Financing
Concessions
Date of Sale/Time
Rights Appraised
Location
Site
View
Design (Style)
Quality of Construction
Age
Condition
Above Grade Total Bdrms Baths Total Bdrms Baths Total Bdrms Baths Total Bdrms Baths Room Count
Gross Living Area sq.ft. sq.ft. sq.ft. sq.ft.

Basement & Finished
Rooms Below Grade
Functional Utility
Heating/Cooling
Energy Efficient Items
Garage/Carport
Porch/Patio/Deck
Net Adjustment (Total) + - $ + - $ + - $
Adjusted Sale Price
of Comparables $ $ $
Summary of Sales Comparison Approach
Indicated Value by Sales Comparison Approach $
Copyright© 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. 3/2007

Item 22.

FHA/VA Case No. Page # 12 of 72
RESIDENTIAL APPRAISAL REPORT D23S02004LC
The cost analysis below is also utilized to add support to the market grid condition adjustment and the living area square footage adjustment. Cost data used was from Marshall/Swift (MS) cost book. Sec. A, average quality (Q4) page Avg-19, section C for site data. The life expectancy was taken from the (MS) table on page E-7, depreciation was estimated using extended life theory & (MS) table on page E-19. Estimated land value was extracted. See addendum.

Marshall & Swift - Cost Handbook, 12/2022 Update
Average Dec - 2022
238,000
1,294 175.10 226,579
Patio & courtyard 554 29.16 16,155
Appliances $4,916 4,916
472 58.31 27,522
275,172
123,827 5,000 128,827
146,345
25,000
409,000
See attached addendum.

The estimated effective age is 35 years. The estimated life new of the improvements is 55 years.

Depreciation from the marshall & swift depreciation table is 45%.

The estimated remaining economic life is estimated to be 55 years - 45% = 30 years.

The depreciated cost of the improvements $124,618 or $96.30 per square foot The depreciated cost of the 2 car garage is $15,137 or $7,569 per 1 car garage External depreciation is estimated to be $5,000. This was estimated from 5 hybrid paired sales analysis utilizing sale 1 compared to sales 2,3,4, 5 & 6. This analysis is in my appraisal workfile and are not found in this report.
30 The Income Approach Is Not Applicable Due To A Lack Of Comparable Sales That Were Rental Properties With Gross Rent Multipliers. The Lack Of Data Makes This Approach Too Inaccurate Use.

Subject is not a P.U.D. project, no owners association or H.O.A. dues. 371,000 409,000
Most weight was given the sales comparison approach to value. The cost approach to value supports the value estimate but is less reliable due to accrued depreciation and lack of land sales. The income approach to value is not applicable due to A lack of relevant market data to apply this approach to value.

There are no conditions to the
value estimate, other than those stated in the certification, contingent and limiting conditions. 371,000 03/03/2023
72 Scope of Work Limiting Cond./Certifications Narrative Addendum Photograph Addenda Sketch Addendum Map Addenda Additional Sales Cost Addendum Flood Addendum Manuf. House Addendum Hypothetical Conditions Extraordinary Assumptions Regression Analysis Subj. Birds-eye photo Plat & Location Maps Maritza Martinez RMM INV CAPITAL
[email protected] 50021 Balboa Street, Coachella, CA 92236 Lester Caplan
American Valuation Company
(760) 574-5242 (760) 406-5783
[email protected]
03/17/2023
AG001751 CA
SCREA, AGA, CA State Certified General Real Estate Appraiser 09/01/2024
03/03/2023
Form GPRES2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE File No.:

COST APPROACH
COST APPROACH TO VALUE (if developed) The Cost Approach was not developed for this appraisal.

Provide adequate information for replication of the following cost figures and calculations.

Support for the opinion of site value (summary of comparable land sales or other methods for estimating site value):

ESTIMATED REPRODUCTION OR REPLACEMENT COST NEW
Source of cost data:

Quality rating from cost service: Effective date of cost data:

OPINION OF SITE VALUE =$
DWELLING Sq.Ft. @ $ =$
Sq.Ft. @ $ =$
Sq.Ft. @ $ =$
Sq.Ft. @ $ =$
Sq.Ft. @ $ =$
=$
Garage/Carport Sq.Ft. @ $ =$
Total Estimate of Cost-New =$
Less Physical Functional External
Depreciation =$( )
Depreciated Cost of Improvements =$
''As-is'' Value of Site Improvements =$
=$
=$
INDICATED VALUE BY COST APPROACH =$
Comments on Cost Approach (gross living area calculations, depreciation, etc.):

Estimated Remaining Economic Life (if required): Years

INCOME APPROACH
INCOME APPROACH TO VALUE (if developed) The Income Approach was not developed for this appraisal.

Estimated Monthly Market Rent $ X Gross Rent Multiplier = $ Indicated Value by Income Approach Summary of Income Approach (including support for market rent and GRM):

PUD
PROJECT INFORMATION FOR PUDs (if applicable) The Subject is part of a Planned Unit Development.

Legal Name of Project:

Describe common elements and recreational facilities:

RECONCILIATION
Indicated Value by: Sales Comparison Approach $ Cost Approach (if developed) $ Income Approach (if developed) $ Final Reconciliation
This appraisal is made ''as is'', subject to completion per plans and specifications on the basis of a Hypothetical Condition that the improvements have been completed, subject to the following repairs or alterations on the basis of a Hypothetical Condition that the repairs or alterations have been completed, subject to the following required inspection based on the Extraordinary Assumption that the condition or deficiency does not require alteration or repair:

This report is also subject to other Hypothetical Conditions and/or Extraordinary Assumptions as specified in the attached addenda.

Based on the degree of inspection of the subject property, as indicated below, defined Scope of Work, Statement of Assumptions and Limiting Conditions, and Appraiser’s Certifications, my (our) Opinion of the Market Value (or other specified value type), as defined herein, of the real property that is the subject of this report is: $ , as of: , which is the effective date of this appraisal.

If indicated above, this Opinion of Value is subject to Hypothetical Conditions and/or Extraordinary Assumptions included in this report. See attached addenda.

ATTACHMENTS
A true and complete copy of this report contains pages, including exhibits which are considered an integral part of the report. This appraisal report may not be properly understood without reference to the information contained in the complete report.

Attached Exhibits:

SIGNATURES
Client Contact: Client Name:

E-Mail: Address:

APPRAISER
Appraiser Name:

Company:

Phone: Fax:

E-Mail:

Date of Report (Signature):

License or Certification #: State:

Designation:

Expiration Date of License or Certification:

Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection:

SUPERVISORY APPRAISER (if required)
or CO-APPRAISER (if applicable)
Supervisory or
Co-Appraiser Name:

Company:

Phone: Fax:

E-Mail:

Date of Report (Signature):

License or Certification #: State:

Designation:

Expiration Date of License or Certification:

Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection:

Copyright© 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. 3/2007

Item 22.

FHA/VA Case No. Page # 13 of 72
ADDITIONAL COMPARABLE SALES D23S02004LC
50021 Balboa St
Coachella, CA 92236
0 Inspection / RealQuest
Owner / Inspection
N/A
N/A
Inspection 03/03/2023
Fee Simple
Residential/sides street
6,865 sf
Resid.,no view amenity
Ranch
Average (Q4)
56 Average (C4)
6 3 2.0
1,294
No basement
None
Avg/No defer. maint.

Fau/Central
None
2 car attached garage
Covered patio
Fireplaces None
Pool & Spa, Bbq None
Interior Upgrades Tile Floors/Formica Cntp
Furniture No furniture included
D.O.M. / S.P. Ratio N/A - not a sale
50080 Balboa St
Coachella, CA 92236

0.09 MILES S
380,000
295.03
Doc#396951 MLS#219081466 ;DOM 29
Pr.-RealQuest/Realist/MLS-Realtor
Ctnl (conv)
No concessions
pnd 08/2022 cls 09/2022 +4,000
Fee Simple
Residential -5,000
7,405 sf -6,000
Resid.,no view amenity
Ranch
Average (Q4)
56 Good (C3) -10,000
6 3 2.0
1,288
No basement
None
Avg/No defer. maint.

Fau/Central
None
2 car attached garage
Covered patio
None
None
Laminate Floors/Tile Cntp 0
No furniture included
29 Days / 106%
-17,000
Net 4.5 %
Gross 6.6 % 363,000
50370 S Balboa St
Coachella, CA 92236

0.17 MILES S
366,000
332.73
Doc#228734 MLS#219075320 ;DOM 67
Pr.-RealQuest/Realist/MLS-Realtor
Ctnl (FHA)
No concessions
pnd 03/2022 cls 05/2022 +7,000
Fee Simple
Residential -5,000
6,098 sf -9,000
Resid.,no view amenity
Ranch
Average (Q4)
37 0
Average (C4)
6 3 1.1 +5,000
1,100 +12,000
No basement
None
Avg/No defer. maint.

Fau/Central
None
2 car attached garage
Covered patio
None
None
Tile Floors/Corian Cntp 0
No furniture included
67 Days / 104%
10,000
Net 2.7 %
Gross 10.4 % 376,000
51872 Calle Techa
Coachella, CA 92236

0.91 MILES S
400,000
357.14
Listing MLS#CV-23016254 ;DOM 32
Pr.-RealQuest/Realist/MLS-Realtor
Active Listing
100% of listing price 0
Listed 01/30/2023 0
Fee Simple
Residential -5,000
6,534 sf +4,000
Resid.,no view amenity
Ranch
Average (Q4)
51 0
Good (C3) -10,000
6 3 1.1 +5,000
1,120 +11,000
No basement
None
Avg/No defer. maint.

Fau/Central
None
1 attached Carport +12,000
Patio slab +1,000
None
None
Tile-crpt Floors/Granite Cntp 0
No furniture included
32 Days / n/a listed
18,000
Net 4.5 %
Gross 12.0 % 418,000
Comparable 6 is a active listing. The price reported is the listing price, Hence this comparable was adjusted for contract negotiation utilizing the sale price to listing price ratio reported in the neighborhood statistics. This is 100% so no adjustment was applied.

The estimated condition takes into account any renovation, remodeling or updating that the subject and comparable sales may have had. The definitions of the C1 thru C6 condition rating note that the condition rating takes into account the effect the condition of a property has upon effective age. For this reason I no longer make adjustments for age or effective age since due consideration for this is factored into the condition adjustment and making an age adjustment would be in effect making a double adjustment. For this reason sometimes on the market grid you may see homes with a large difference In age but no adjustment made since effective age was considered when I made the condition adjustment. My observation from the interior photos and examination of the MLS comments for Comps 1 & 5 indicate these sales had been well maintained but were not recently remodeled and are considered to be in similar (C4) condition as compared to the subject's (C4) condition. Comp 2, 3, 4 & 6 had recent remodeling completed and were in good (C3) condition and had less wear & tear and had some newer surface materials and are in superior (C3) condition. From hybrid paired sales analysis and depreciated cost analysis I estimate the condition adjustment to be minus -$10,000.

The market grid has a wider range of adjusted value indicators than preferred. The reason there is a wide range in adjusted value indicators for the comparable sales is there are a wide range of variables for this property type. The subject and comparables are older homes that are in different state of repair with much variation in effective age, living area, upgrade options and site amenities. Do to this variation there is a wide range of market reaction to these items of variation and the value placed upon these items by the buyers and sellers. However the differences between the subject and comparables are not always specifically delineated in the MLS which creates a wider than preferred range of adjusted values, since there are no specific items to make adjustment for on the market grid. This makes appraising this type of property more subjective than an appraisal of a simple smaller tract home.

Form GPRES2.(AC) - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE 4 5 6
File No.:

SALES COMPARISON APPROACH
FEATURE SUBJECT COMPARABLE SALE # COMPARABLE SALE # COMPARABLE SALE # Address
Proximity to Subject
Sale Price $ $ $ $
Sale Price/GLA $ /sq.ft. $ /sq.ft. $ /sq.ft. $ /sq.ft.

Data Source(s)
Verification Source(s)
VALUE ADJUSTMENTS DESCRIPTION DESCRIPTION +(-) $ Adjust. DESCRIPTION +(-) $ Adjust. DESCRIPTION +(-) $ Adjust.

Sales or Financing
Concessions
Date of Sale/Time
Rights Appraised
Location
Site
View
Design (Style)
Quality of Construction
Age
Condition
Above Grade Total Bdrms Baths Total Bdrms Baths Total Bdrms Baths Total Bdrms Baths Room Count
Gross Living Area sq.ft. sq.ft. sq.ft. sq.ft.

Basement & Finished
Rooms Below Grade
Functional Utility
Heating/Cooling
Energy Efficient Items
Garage/Carport
Porch/Patio/Deck
Net Adjustment (Total) + - $ + - $ + - $
Adjusted Sale Price
of Comparables $ $ $
Summary of Sales Comparison Approach
Copyright© 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. 3/2007

Item 22.

FHA/VA Case No. Page # 14 of 72
D23S02004LC
50021 Balboa St Coachella CA 92236
N/A - Eminent Domain Negotiation Use
18 3.00
8 2.7
$367,500
28 $407,000
63 102.00%
13 4.33
4 0.9
$380,000
45 $394,000
103
100.00%
2 0.67
3 4.48
$379,500
88 $410,000
32 100.00%
The California Desert Association of REALTORS, Inc. MLS indicated 4 of 84 (4.8%) of the closed sales in the market area between 06/14/2021 and 06/14/2022 contained seller concessions. Concessions ranged between $4 and $4,000, and the median concession was $1,600. For 7-12 months prior, 2 of 35 transactions (5.7%) had concessions. For 4-6 months prior, no transactions had concessions reported. For the 3 months prior to the effective date, 2 of 25 transactions (8.0%) had concessions.

There are few foreclosed, reo & short sale properties in the market place. These distressed properties are not pervasive so that it is almost always possible to make an appraisal without using some of these distressed properties in the appraisal process. Sometimes it is necessary to utilize a distressed property to bracket a property feature of the subject. But less weight is given these distressed properties. The non distressed properties when they sell, their sale price is most often higher than distressed properties in very similar condition in the same neighborhood. For this reason these sales are not considered market comparables when doing a estimate of market value and these sales are omitted from analysis.

The Market Conditions Addenda was completed with data from California Desert Association of REALTORS, Inc. MLS with an effective date of 06/14/2022.

Sales will have a plus +2% appreciation rate applied from with a pending date after 30 days from the valuation date. Time adjustments are calculated from the pending date. Zillow reported price increase of +10.6% over the prior year. The form 1004MC had a annual appreciation rate of +3.3%. The Coachella Valley housing statistics shows the median comparable price for homes in the city of Coachella depreciated -0.9% over the prior year. The statistical sample from the form 1004MC is a large enough sample to make accurate statistical analysis. The Zillow report & Coachella Valley housing statistics rate of appreciation is less accurate but supports the reconciled appreciation rate from the 1004MC form and regression analysis. I estimate the rate of appreciation as of the valuation date to be plus +2.0% per year. Sales will not have a market condition adjustment applied for any sale within 30 days prior the valuation date. The market condition adjustment made is calculated from the pending date. I also made a regression analysis of the market condition adjustment from the pending date of the neighborhood sales market analysis. The market condition adjustment regression analysis indicated plus +$17.46 per day adjustment from the pending date for the sales comps. Then I converted the daily depreciation rate to a monthly rate and then to an annual rate. The annual regression analysis appreciation rate is plus +1.7%. I am of the opinion that the regression analysis is a better model of the expectations of the market participants than the zillow or Coachella Valley statistics. The regression analysis and form 1004MC market condition indicators very closely models my estimated annual appreciation rate of plus 2.0%. Market condition adjustments" are applied on the market grid at 2% annual or .00167% per month from the pending date.

Lester Caplan
American Valuation Company
78206 Varner Road, Suite D-144, Palm Desert, CA 92211
AG001751 CA
[email protected]
Form 1004MC2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Market Conditions Addendum to the Appraisal Report File No.

MARKET RESEARCH & ANALYSIS CONDO/CO-OPPROJECTS APPRAISER The purpose of this addendum is to provide the lender/client with a clear and accurate understanding of the market trends and conditions prevalent in the subject neighborhood. This is a required addendum for all appraisal reports with an effective date on or after April 1, 2009.

Property Address City State ZIP Code
Borrower
Instructions: The appraiser must use the information required on this form as the basis for his/her conclusions, and must provide support for those conclusions, regarding housing trends and overall market conditions as reported in the Neighborhood section of the appraisal report form. The appraiser must fill in all the information to the extent it is available and reliable and must provide analysis as indicated below. If any required data is unavailable or is considered unreliable, the appraiser must provide an explanation. It is recognized that not all data sources will be able to provide data for the shaded areas below; if it is available, however, the appraiser must include the data in the analysis. If data sources provide the required information as an average instead of the median, the appraiser should report the available figure and identify it as an average. Sales and listings must be properties that compete with the subject property, determined by applying the criteria that would be used by a prospective buyer of the subject property. The appraiser must explain any anomalies in the data, such as seasonal markets, new construction, foreclosures, etc.

Inventory Analysis Prior 7–12 Months Prior 4–6 Months Current – 3 Months Overall Trend Median Sale & List Price, DOM, Sale/List % Prior 7–12 Months Prior 4–6 Months Current – 3 Months Total # of Comparable Sales (Settled)
Absorption Rate (Total Sales/Months)
Total # of Comparable Active Listings
Months of Housing Supply (Total Listings/Ab.Rate)
Median Comparable Sale Price
Median Comparable Sales Days on Market
Median Comparable List Price
Median Comparable Listings Days on Market
Median Sale Price as % of List Price
Increasing Stable Declining
Increasing Stable Declining
Declining Stable Increasing
Declining Stable Increasing
Overall Trend
Increasing Stable Declining
Declining Stable Increasing
Increasing Stable Declining
Declining Stable Increasing
Increasing Stable Declining
Seller-(developer, builder, etc.)paid financial assistance prevalent? Yes No Declining Stable Increasing Explain in detail the seller concessions trends for the past 12 months (e.g., seller contributions increased from 3% to 5%, increasing use of buydowns, closing costs, condo fees, options, etc.).

Are foreclosure sales (REO sales) a factor in the market? Yes No If yes, explain (including the trends in listings and sales of foreclosed properties).

Cite data sources for above information.

Summarize the above information as support for your conclusions in the Neighborhood section of the appraisal report form. If you used any additional information, such as an analysis of pending sales and/or expired and withdrawn listings, to formulate your conclusions, provide both an explanation and support for your conclusions.

If the subject is a unit in a condominium or cooperative project , complete the following: Project Name:

Subject Project Data Prior 7–12 Months Prior 4–6 Months Current – 3 Months Overall Trend Total # of Comparable Sales (Settled)
Absorption Rate (Total Sales/Months)
Months of Unit Supply (Total Listings/Ab.Rate)
Total # of Active Comparable Listings
Increasing Stable Declining
Increasing Stable Declining
Declining Stable Increasing
Declining Stable Increasing
Are foreclosure sales (REO sales) a factor in the project? Yes No If yes, indicate the number of REO listings and explain the trends in listings and sales of foreclosed properties.

Summarize the above trends and address the impact on the subject unit and project.

Signature
Appraiser Name
Company Name
Company Address
State License/Certification # State
Email Address
Signature
Supervisory Appraiser Name
Company Name
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State License/Certification # State
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Freddie Mac Form 71 March 2009 Page 1 of 1 Fannie Mae Form 1004MC March 2009 Page 524 Item 22.
• General Purpose Form: neighborhood market factors
The neighborhood has close proximity to typical community services such as schools, shopping, medical facilities, police and fire protection. The neighborhood has typical land use of average (Q4) quality single family tract homes ranging to large simi-custom tract homes. Several golf courses are in close proximity. This adds marketability and appeal to the area and does not have any adverse affect upon value or marketability. The neighborhood is about 3 miles to the (10) freeway making this neighborhood accessible to employment centers. The subject's immediate neighborhood is known as Coachella is located on public streets. Subject's immediate neighborhood is in close proximity to Shopping and Dining at Harrison Street & 50th Avenue. • General Purpose Form: neighborhood market conditions
Marketing conditions and demand appear to be in balance at this time. As of the valuation date there is a 5.8 month housing supply in the Coachella Valley. A housing supply of 5 to 8 months is considered to be a market in balance.

neither organization has a definition of a stable property value. Market values are always changing up or down. The rate of change and the direction up or down is always changing. Therefore a stable market of zero is not possible. From my experience and discussions with many realtors I am of the opinion that a market that is changing at a rate of 5% or more per year is a rising or declining market. At present the balance of market participants are in balance, supply and demand would be considered in balance with slightly below normal marketing times of around 30 days to 60 days on the market with a 5 to 7 month supply of houses for sale on the market. Currently the average marketing time is 67 day for the average sold sales and 68 days on the market for the listing on the market. There is a 6.7 month supply of homes on the market. So on my reports I mark the rising or declining box if the rate of change is 5% or greater and I note in my comments if the trend is appreciation or depreciation, increasing or decreasing property values. I also report the actual rate of change from the 1 year comp farm and the zillow rate of change for the subject's zip code. Sales will have a plus +2% appreciation rate applied from with a pending date after 30 days from the valuation date. Time adjustments are calculated from the pending date. Zillow reported price increase of +10.6% over the prior year. The form 1004MC had a annual appreciation rate of +3.3%. The Coachella Valley housing statistics shows the median comparable price for homes in the city of Coachella depreciated -0.9% over the prior year. The statistical sample from the form 1004MC is a large enough sample to make accurate statistical analysis. The Zillow report & Coachella Valley housing statistics rate of appreciation is less accurate but supports the reconciled appreciation rate from the 1004MC form and regression analysis. I estimate the rate of appreciation as of the valuation date to be plus +2.0% per year. Sales will not have a market condition adjustment applied for any sale within 30 days prior the valuation date. The market condition adjustment made is calculated from the pending date. I also made a regression analysis of the market condition adjustment from the pending date of the neighborhood sales market analysis. The market condition adjustment regression analysis indicated plus +$17.46 per day adjustment from the pending date for the sales comps. Then I converted the daily depreciation rate to a monthly rate and then to an annual rate. The annual regression analysis appreciation rate is plus +1.7%. I am of the opinion that the regression analysis is a better model of the expectations of the market participants than the zillow or Coachella Valley statistics. The regression analysis and form 1004MC market condition indicators very closely models my estimated annual appreciation rate of plus 2.0%. This gives good support for my estimated market condition adjustments" applied on the market grid at 2% annual or .00167% per month from the pending date.

The following is a brief history of the market; values were stable between late 2006 to late 2007 and then prices started to drop. Property values declined from late 2007 thru the middle of 2011. In most areas of the coachella valley property value started to stabilize with most neighborhoods having flat values. Then in the last quarter of 2011 thru 2019 most neighborhood began a gradual rise in property values. Then in early 2020 values began a rapid rise in values. .Appreciation rates peeked in May of 2022 and in the last 6 months the rate has been trending downward. Currently the rate of price appreciation is estimated to be 2.0% annually.

Currently it appears that this trend is continuing into the 1st quarter of 2023. The market is healthy with slight price increase at about 2%. Most properties are at the listing price or slightly below. It is no longer a panic market with rapid rising values so now few buyers are making an offer over the asking price. Normal marketing times rang from 60 to 120 days. Currently the comparables in the report were selling in 67 to 68 days.

Presently marking "declining market" on page 1 of the appraisals is not appropriate. The reason for this is the market where the subject is located prices are rising at about 3%. Sales older than 1 months from the date of appraisal are showing rising price appreciation that shows up in the market grid. The overall trend is rising at a pace that is slow enough that if sales less than 1 months are used time adjustment is not needed. The proper notation on the neighborhood section of the report and in the market condition addendum is stable comparable sale prices since the rate of change is less than 5% per year. The current appreciation rate at 2% is quite lower than 12 months ago in December 2021 when they were appreciating at 32.8% annual appreciation rate. See the Coachella Valley MLS Housing report for February 2022. Also the sale price to listing ratio is at 100.0%. A few months ago they were around 103% to 104%. Also the inventory of homes on the market has increased and there is currently a 4.48 month supply of homes in the inventory. A few months ago there was less than 1/2 month supply of homes on the market.

To demonstrate this it is important to include analysis of pending sales and listings in the current valuation process. However analyzing pending sales and listings does not mean that they will necessarily be reported on in the appraisal report. The overall market is considered stable. This is demonstrated by a normal marketing times of less than six months and a normal gap between listing price and sale price of more than 95%. Loan discounts, interest buydowns or other concessions are not typical at this time. Cash or its equal or conventional financing are the typical purchase terms. There are some transactions where the seller is paying up to 3% of the buyers non recurring closing cost. However in the current soft market the seller is not able to raise the sale price to compensate. Hence these seller concessions don't typically need a market adjustment. There is fha and va financing available on the conforming, non jumbo priced properties.

The multiple listing service statistical report showed that the average single family home sold for 100.0% Of the listing price. Thus based upon this information and our discussion with local listing realtors any current listing utilized in this appraisal will have a minus 0% Adjustment made for contract negotiation. Then the adjustment as well as all adjustments will be rounded to the nearest $1,000. Analysis of the comparable sales we analyzed shows the median market exposure time for homes similar to the subject was 67 days. Analysis of the comparable current listings we analyzed shows the median marketing time for homes similar to the subject is 68 days.
• General Purpose Form: site comments
There are no apparent adverse easements or encroachments noted. It is assumed that the subject site has typical utility easements. However a title report was not provided for the appraisers review. Thus any easement or encroachment not apparent from review of the plat map included in this report was not analyzed. Any affect of a non-apparent easement was not analyzed. The subject site is irregular in shape and at the corner of Balboa Street and 50th Avenue. Subject site fronts on a low traffic residential,street. The subject does side to a similar property along its south boundary but sides to Avenue 50 along its north boundary. Avenue 50 is a busy street and the subject suffers external depreciation due to traffic noise. The subject site does not have a view amenity that adds value.

Subject site suffers external depreciation
The subject's north side wall of the site sides to a sidewalk and greenbelt and then 50th Avenue which is a busy street. There was minimal traffic noise from inside the subject home when the doors and windows were closed. There was loud traffic noise heard when in the back yard and north side yard. I reviewed the Coachella Valley Traffic Count Map at the north side of the site there was a daily traffic count of 6,537 cars going eastbound and 7,480 cars going westbound for a total daily traffic count of 14,017 cars. To estimate the loss in market value due to external depreciation from siding to 50th Avenue I did hybrid paired sales analysis. Using comp 1 which sides to 52nd Avenue which has similar traffic count as compared to 50th Avenue. I compared this sales to sales 2, 3, 4, & 5. From my analysis it appears the adverse traffic noise in the yard has minimal affect upon the market value or marketability. Comp 1 was only on the market for 41 days and sold for 100% of the asking price.

This indicates that in the current market there is little resistance to market value or marketability to a location like the subject that sides to a busy street. Based upon this analysis I made a minimal adjustment of minus -$5,000 on the market grid and cost approach for external depreciation due to traffic noise from siding 50th Avenue. • General Purpose Form: site comments continued
Subject does not have any surplus land or excess land. Surplus land is defined as "land not necessary to support the highest and best use of the existing improvement but, because of physical limitations, building placement, or neighborhood norms, cannot be sold off separately. Excess land is defined as "land not needed to serve and support the existing improvement that can be separated and have a highest and best use of its own. Subject has a larger than typical site. However much of the site is utilized with value added site amenities. but there is a large west side yard area not improved but nicely landscaped. For this reason the regression analysis indicated site adjustment was much lower than the estimated site value with little loss in value due to diminishing return.

General Purpose Form: additional features
Subject is built with average quality materials and workmanship (Q4). Subject home is upgraded with all tile floors; Formica countertops in the kitchen. Corian countertops in the bathrooms and tile bathroom wainscot; LED recessed lighting; ceiling fans; rear covered concrete patio; private gated front courtyard patio; automatic sprinkler system; attached 2 car wide garage and the garage has an automatic garage door opener. • General Purpose Form: condition of improvements
FHA/VA Case No. Page # 15 of 72
Supplemental Addendum
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.
• General Purpose Form: condition of improvements
Subject is in average (C4) condition overall having been built in 1967. Subject was remodeled with new flooring pain, kitchen cabinets & countertops in 2010. Subject has been well maintained with good maintenance. I estimate the subject's effective age to be 35 years. Subject is maintained in average (C4) condition. Carbon monoxide detectors & smoke alarms have been installed. The water heater is double earthquake strapped. The utilities were on. There was good water pressure with good hot water.
• General Purpose Form: cost approach comments
See the attached building sketch that shows the gross living area.

The Cost approach estimated building cost were derived from the marshall and swift residential cost handbook. The information is found in section (a) main improvements and section (c) yard improvements. Local and current cost multipliers were utilized.

Land Value was estimated by an extraction method due to limited vacant land sales of tract home sites. The method i utilized to abstract land value is as follows: the subjects total depreciated cost of all improvements is divided by the square footage of the subject's gross living area to determine a typical depreciated cost per square foot of all improvements for properties with similar quality and effective age as the subject. Then the typical depreciated cost per square foot is multiplied by the comparable sales gross living area to estimate the approximate depreciated cost of the improvements for the comparable sale. Then this figure is subtracted from the sale price of the comparable sale to estimate the amount attributable to land value for this comparable sale. After all sales have had their land value abstracted then a reconciled estimate of land value is made. Typically i do not report the land value analysis in the appraisal report, but this data is in the workfile, a copy of the workfile can be made available to the noted intended user of this appraisal, but the cost of this service was not included in the fee quote for the appraisal. This is an additional service and will be charged at my hourly rate of $150 per hour. I only report the final estimated land value in the appraisal report.

Physical Depreciation: physical depreciation is estimated by the extended life theory method. Estimated life new from the marshall & swift typical building life table found on page e-7 is 55 years. This is based upon a depreciation study of similar quality improvements performed by marshall & swift. Marshall & swift also made a study of the typical depreciation of a home by percentage as related to its effective age. This is the marshall & swift depreciation table on page e-17. The U.S.

Treasury Department I.R.S Accelerated Cost Recovery Method uses a 27.5 Year life expectancy for single family home depreciation. But this assumes straight line depreciation with no maintenance. The majority of homes have maintenance with replacement of some of the homes components such as flooring, paint, appliances etc. This maintenance increases the life expectancy. A study done by the American community survey (ACS) shows the median age home in California is between 48 to 57 years. This gives support to the marshall & swift life expectancy estimate of 55 years. A 55 year life expectancy is reasonable and supported by the market data.

Depreciation is calculated as follows: the effective age is estimated by the appraiser after inspecting the subject home and looking at what home components have been replaced and then looking at like properties that lack the need of any moderation or major repairs to determine the effective age of the subject. Then the appraiser goes to the marshall & swift depreciation table on page e-17 to determine the percentage of physical depreciation due to wear and tear.

The remaining economic life is calculated by subtracting the estimated percentage of physical depreciation from the life expectancy new of 55 years.

Physical Depreciation, Due to the actual year built being late 1967 with an actual age 56 years. The home was remodeled in 2010. I estimate the subject's effective age to be 35 years. This equals 45% physical depreciation due to normal wear & tear.

Functional Depreciation: none noted.

External Depreciation: is noted. Subject front a low traffic street but sides to 50th Avenue beyond. This is an adverse location, with traffic heard in the back yard.

Minimal traffic noise was heard from within the home with the doors and windows closed. Subject's location siding to 50th Avenue is external depreciation. See this addendum site analysis for details on the external depreciation and information on how I estimate the $10,000 adjustment for location when comparing subject's adverse location as compared to an interior location with no traffic noise. • General Purpose Form: sales comparison comments
FHA/VA Case No. Page # 16 of 72
Supplemental Addendum
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.
• General Purpose Form: sales comparison comments
Selection of comparable sales
As the appraiser of the subject property my comparable sales search begins with a public records search of all closed sales 1 year prior to the date of appraisal of all sales within the subject's immediate neighborhood which is about 1/2 mile surrounding the subject property. I do this to get a feel of the trends in the neighborhood and to see all transactions even those that are not market sales to see if there are any non market transaction that could have an impact upon the subject property such as a probate sale or foreclosure in close proximity. After this I performed a MLS search for comparable sales. Since this appraisal is an appraisal of a urban property I have utilized my normal search criteria due to the availability of many sales with a healthy amount of sales activity. I searched an area within a one mile radius of the subject property of all active, contingent sales, pending sales and closed sales going back 1 year from the date of appraisal. I searched for sales within 25% of the subjects living area and sales built within 20 years of the date of construction of the subject property. This provided me with enough sales to get a statistical analysis for the market conditions report included in the appraisal. Then from this pool of sales I selected those sales that were closest in proximity with the most current sale date that were most similar in property characteristics. Then I inspected the 8 comparables that in my opinion were most similar. After I have completed the inspection of the subject property and the comparable sales I go back to my office and begin the full verification process where I analyze all the public record and MLS data on the nine sales I inspected and I talk to the realtors on some or all of the sales I deem necessary. After this process I do further analysis and decide which are the best sales to put in the report. Giving consideration to which sales will best bracket all of the subjects characteristics so I can do more accurate hybrid paired sales data analysis.

How I estimate the proper adjustments utilizing hybrid paired sales analysis The following market grid adjustments were determined from paired sales data analysis of the comparables as they were analyzed on the market grid. This is how all adjustments on the market grid are estimated. Paired sales data analysis is a process in which two or more market sales are compared to derive an indication of the size of the adjustment for a single characteristic. In this appraisal there were several property characteristics that needed adjustment. Therefore I undertook a series of paired sales data analysis to isolate the effect of each property characteristic.

This Is done utilizing my appraisal software and the market grid. First I enter all the data for the subject and sales on the market grid.then I enter approximate adjustments for all the differences in property characteristics. For example I might estimate site area square footage adjustment at $3 per square foot. Then after all estimated adjustments are entered I do a hybrid paired sales analysis for each item that has been bracketed. For site area square footage adjustment I would enter an adjustment of $2/sf and then record the indicated value range and the amount of variation between the high and low indicator of value. Then I repeat this process at $3/sf, $4/sf, etc. After each entry at the specific price per square foot adjustment I note the amount of deviation. As I approach the market derived adjustment the amount of deviation gets lower. As I get farther away from the market derived adjustment then the deviation starts getting larger. The lowest deviation is close to the paired sales indicated market adjustment for that property characteristic.

I do not include this analysis in my appraisal report. It would be very time consuming and would add dozens of market grid pages to the report that would be confusing to a reader of the report. If a client wishes to have this analysis added to the report this would be beyond the scope of the original fee quote for the appraisal and would require additional fees at $175 per hour.

For a complete understanding of paired sales data analysis please see the appraisal institute book, "the appraisal of real estate" pages 385-387 & pages 394-397.

How I estimate the proper adjustments utilizing regression analysis When I gather market data and sales comparison data from the MLS I export raw data into a comma separated value file (csv). Then upload those files into the Microsoft Excel Program. Then I manipulate the data into columns for the dependent and independent variables that I want to estimate such as closed sale price as the dependent variable and gross living area as the independent variable. I then remove the outlier data and then perform regression analysis on a scatter chart.

How I estimate the proper adjustments utilizing depreciated cost analysis I estimate the cost new of the living area, appliances, fireplace, pool or spa as necessary, the garage and any other needed items from the Marshall & Swift cost hand book. I then estimate life expectancy and estimate effective age. I then estimate the percentage of depreciation. Then I take each individual item that I would compare on the market grid, like living area, garage, pool and spa and I estimate the depreciated cost of the item.

Representative adjustments applied to this appraisal
Other small adjustments in this appraisal of $1,000 or less are representative adjustments. The representative adjustments are for items of variation between the subject and comparable sale that exist but a specific adjustment is not specifically supportable by the market data. This is based upon the appraisal theory of substitution. The theory is that if there were two identical properties next door to each other that were exactly the same for every feature except one small item like a built-in outdoor bbq kitchen area. It is reasonable to assume that the majority of home buyers would be willing to pay some amount more for the home with the built-in outdoor bbq area than the home with out it, even thou it is not directly provable by market data or statistics that such an item directly has an impact upon market value.

It is this type of variable that would receive a representative adjustment on the market grid. The adjustment is in effect a qualitative adjustment and not a qualitative adjustment even thou a small dollar adjustment is made. The reason it is considered a qualitative adjustment is the adjustment is so small it has minimal impact upon the final value estimate. Theses adjustments are supported by sound reasoning and is creditable (worthy of belief) Conclusion to how I estimate the proper adjustments
In conclusion for all the main items of adjustment that are large adjustments and could impact the final value estimate I utilize some or all of the above methods to estimate proper market adjustments for the market grid. For the smaller items that could be adjusted but there is a lack of market data to support such an adjustment I then utilize qualitative adjustment as explained in the representative adjustments comment above.

Explanation of specific adjustments made for this appraisal FHA/VA Case No. Page # 17 of 72
Supplemental Addendum
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.

Explanation of specific adjustments made for this appraisal The regression analysis of the site area adjustment for difference in site area square footage was $11.82 per square foot. Site size adjustments were adjusted at $11.82 per square foot for and difference greater than 500 square feet of effective site area after adjusting for site utility. I estimated land value for the site at $34.67 per square foot. Yet I only adjusted at $1182 per square foot on the market grid for differences in site area greater than 500 square feet. This difference is due to a diminishing return. After a buildable site has been developed with a adequate size home and site improvements the additional land left over has a diminishing value since it has less and less value per foot as the additional land has less usefulness. Thus the additional land was only adjusted at $11,82 per square foot. This adjustment was well supported by the regression analysis.

Condition of the property was adjusted at $10,000 for any difference between category C3 to C4 condition. The estimated condition takes into account any renovation, remodeling or updating that the subject and comparable sales may have had. The definitions of the C1 thru C6 condition rating note that the condition rating takes into account the effect the condition of a property has upon effective age. For this reason I no longer make adjustments for age or effective age since due consideration for this is factored into the condition adjustment and making an age adjustment would be in effect making a double adjustment. For this reason sometimes on the market grid you may see homes with a large difference In age but no adjustment made since effective age was considered when I made the condition adjustment. My observation from the interior photos and examination of the MLS comments for Comps 1 & 5 indicate these sales had been well maintained but were not recently remodeled and are considered to be in similar (C4) condition as compared to the subject's (C4) condition. Comp 2, 3, 4 & 6 had recent remodeling completed and were in good (C3) condition and had less wear & tear and had some newer surface materials and are in superior (C3) condition. From hybrid paired sales analysis and depreciated cost analysis I estimate the condition adjustment to be minus -$10,000.

From the cost approach I estimated the depreciated cost of the improvements to be $96.30 per square foot. The depreciated cost per square foot of improvements tends to set the upper limit to the market grid square footage adjustment. The regression analysis of the square footage of living area adjustment was $60.65 per square foot. See the attached regression analysis for gross living area adjustment. Square footage was adjusted at $61 per square foot for any difference greater than 100 square feet. Then the adjustment, as well as all adjustments, was rounded to the nearest $1,000.

The subject had average quality interior upgrades consisting of average quality tile floors in the entire home with formica countertop; Most of the comps had similar quality flooring and countertops and needed no adjustments for differences in upgrades. Some of the comps had laminate flooring or tile with carpet and tile or granite countertops. However in this price range of older home there is minimal market value difference for these upgrades so no adjustments for upgrades was needed.

Comparable sales utilized were the most current sales with similar location, size and amenities available from the public records, via fares and dataquick. We also searched on-line mls and our own computerized appraisal plant. All comparables utilized were relied upon. But each was given its due weight in the analysis.

The closed comparable sales ranged in a price per square foot from a low of $295.03 Per square foot to a high of $349.09 Per square foot. The subjects appraised value estimate equates to a value per square foot of $286.71 square foot. This is slightly below the range of the comparable sales. The reason subject compares below the range of the comparable sales is the subject has larger than typical living area and has older effective age and condition than most of the comparables. Since the net and gross adjustments of the comparable sales are low this indicates that the comparable sales are truly comparable to the subject and that the appraised value is reasonable and supported.

In this appraisal most weight was given sales 3, 4 & 5 since these comparables are very similar, and required minimal adjustment within typical range of adjustments with net adjustment less than 15% and gross adjustment less than 25%. No sale among the remaining sales stood out as being a better indicator of value over the other sales. Comparable six is a current listing and was considered to set the upper range of value for this analysis.

The Sales comparison analysis had adjustments applied to the comparable sales which reflect the market reaction to the differences in the properties, not the cost of these differences.

General Purpose Form: Analysis of 3 year sale history and current agreement According to the public records as shown by RealQuest and Realist. The subject property has been owned by the current owners for more than 3 years. The date that title to the subject property last transferred was 07/16/2010. The reported sale price was $50,000. This is recoded in document number 10-334851. This was a full value grant deed transfer. I reviewed the prior MLS and the subject was on the market for a total of 3 days before selling to the current owner. This was an REO bank owned sale and the new owner remodeled the home after purchase. The sale price was at full listing price and sold in only 4 days. There was no market resistance to selling this home due to its location siding 50th Avenue at this price range.

Prior Listings in the prior year;
According to the MLS and the current owner, the subject property has been listed for sale within the year prior this appraisal. Subject was listed on 06/27/2022. This listing price was $434,000. Subject was on the market for 46 days before the listing was placed on hold on 08/12/2022 and then the listing expired on 11/30/2022. The MLS listing number was 219081048. No other listings in the year prior this valuation date.

None of the comparable sales had any information on any market transfers in the year prior to the sale reported in this appraisal.

Additional General notes:
note: whenever public record does not have recorded site size for comparable properties, appraiser utilizes online plat map measuring tool in order to determine site size. It is this number, when necessary, that is used in the sales comparison portion of the appraisal report.

FHA/VA Case No. Page # 18 of 72
Supplemental Addendum
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.
size. It is this number, when necessary, that is used in the sales comparison portion of the appraisal report. note: Whenever appraiser is unable to gain access to comparable sales that are gated properties, appraiser utilizes knowledge of the market area, combined with, mls and public record data, mls photos and, whenever possible, knowledge gained by speaking with real estate agents associated with those particular properties. It is at this point that appraiser makes an extraordinary assumption that the data sources utilized lend support to valid conclusions drawn by appraiser, as incorporated into the appraisal report.
note: Whenever appraiser believes a comparable property's mls photograph more accurately depicts what the property looked like at the time of sale, appraiser uses in appraisal report that mls photograph in the appraisal report's comparable photo pages, as well as the appraiser's photograph of the comparable." Also if a comparable property was in a gated community and the appraiser was not granted access to the property then the appraiser will utilize an mls photo and a photo of the guard gate. note: Whenever appraiser appraises a property for a purchase transaction, appraiser always requests a copy of the purchase agreement from the lender. However, if the lender does not supply a copy of the purchase agreement, and appraiser is able to obtain a copy from the listing agent associated with the pending sale transaction, appraiser will utilize that purchase agreement by way of making an extraordinary assumption that the purchase agreement provided by the listing agent is exactly the same as the purchase agreement the lender has. If it is discovered after the appraisal is completed that both the lender's and listing agent's purchase agreements differ from each other in any way, then the data reported on from the purchase contract in this appraisal report becomes null and void, and appraiser accepts no liability in any way or form with regard to the pending sale transaction, or the sale information discussed in this appraisal report. note: Payment of appraisal fee to appraiser/appraisal company is not contingent upon anything other than the client receiving the completed appraisal report. Once appraisal report is received by the client, appraisal fee is due and payable and expected to be paid in a timely manner.

The fannie mae form 1004mc has on the form as the first point of analysis; "total# of comparable sales (settled)”. The fannie mae form 1004, top of page 2 has; "the total comparable sales in the subject neighborhood within the past 12 month". These fannie mae forms are not allowed to be altered per fannie mae guidelines and software capabilities. However the appraiser Lester Caplan has disregarded from these form statement’s the word “comparable” . These sales and listings are only neighborhood market data and each sale and listing in this group has not been analyzed to se if they are actually comparable to the subject property.

The reason for this is it is necessary to utilize a much larger pool of sales data to get accurate market statistics. Only using sales that would meet the actual criteria of being a comparable sale would generate a pool of data to small to utilize for market statistical analysis.

I Include in my appraisal the search criteria I utilized to search the entire neighborhood, not just the immediate neighborhood. This search generates the 1 year comp farm that I also include in my appraisal report. It is from this comp farm that I select sales which are truly comparable to the subject property. The use of the word “comparable” on the above mentioned fannie mae forms is misleading, because most of the listings and sales from the comp farm are unsuitable to be utilized as comparables for market value analysis of the subject. But they are suitable to develop market area statistics.

The Data, conclusions, and opinions collected and rendered in this appraisal report are the intellectual property of the appraiser and provided to the specified client and specified intended users of the report for the exclusive use relating directly to the use of the report as disclosed in this appraisal assignment. Any other use is forbidden.

The address reported on this appraisal form is according to us Postal Service records as required by uad format. The title company reports the city or county address and the title report may or may not match to USPS records. env Report format:

If this report was delivered to the lender/client in env format as requested by the lender/client, the conversion from the original report into the env format does not always include every page or all of the information contained in the original report. As a result of this conversion process any resulting report(s) created from the env format most likely will not contain all the data or pages needed for the reader to understand and follow the flow of data and full reasoning of the appraiser as intended in the original copy of the full appraisal report. The appraiser has no control over the final results of the env format report. The appraiser takes no responsibility for data that may be in reports in the env format or files created from the env format. It is here recommended that the lender/client request and obtain a complete copy of the original report in pdf format and also the xml format from the appraiser. The appraiser will supply these to the lender/client free of charge. reasonable exposure time in market value estimates; uspap standard 1 rule 1-2 (b):

I have estimated reasonable exposure time in correlation to the market value definition as provided in this report to be from 3 to 6 months. This was estimated from examination of the marketing times of the comparables utilized in this appraisal. Also statistical analysis of the general market area for the neighborhood, discussions with local real estate brokers and current economic conditions. This estimate is predicated upon the assumption that the subject property offering would not exceed a listing price 10% above the market value estimate above this appraisal. This estimate of reasonable exposure time in market value estimate is only for the property type that is the subject of this appraisal.

FHA/VA Case No. Page # 19 of 72
Supplemental Addendum
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.

FHA/VA Case No. Page # 20 of 72
ASSUMPTIONS, LIMITING CONDITIONS & SCOPE OF WORK D23S02004LC 50021 Balboa St Coachella CA 92236
RMM INV CAPITAL 50021 Balboa Street, Coachella, CA 92236 Lester Caplan 78206 Varner Road, Suite D-144, Palm Desert, CA 92211 See attached addenda.

Scope of the appraisal & scope of work
The scope of this assignment has included: (1) upon receiving the appraisal assignment, I send the client, owner or realtor involved in the transaction a pre-appraisal questionnaire to receive information on the subject property, then I begin researching property characteristics, zoning, site data etc. I do a preliminary estimate of the subject's highest and best use.

Then I schedule the appraisal inspection. (2) I research and make an investigation of current market conditions relative to the property type being appraised as well as the market sector with which the subject property is identified. I then research current market sales data relevant to the subject appraisal; (3) I personally perform an inspection of the subject property, & several similar property sales within the prior year of the inspection date and I drive the surrounding neighborhood and make an exterior inspection of the sales selected if they are not in a gated community; (4) interviews with brokers, property owners, appraisers and managers, as well as relevant public agencies and governing bodies; (5) collection, verification and analysis of market data and any other pertinent information necessary to the valuation process, then I select the best comparable properties to analyze and put in the report which includes viewing interior photos from the MLS of all the comparables utilized in the final analysis. (6) compilation of the descriptions, reasoning, analysis and explanations, leading to final value conclusions, within this report.

Lester Caplan the appraiser's hereunder has personally inspected the property being appraised in this report. Mr. Caplan made an interior and exterior inspection of the subject and exterior inspection of comparable sales that are not in a gated community. Mr. Caplan collected and analyzed the appropriate and available data that has been utilized in this report.

Mr. Caplan also verified all sales information relating to each of the comparable properties that have been identified and analyzed for comparison purposes under this report. Mr.

Caplan made the analysis pertaining to the indicated adjustments that have been made with respect to each comparable sale that has been made under this report. The final estimate of value made in this report for the subject property was made solely by Mr. Caplan. Mr. Caplan completed the physical preparation of this report. No other professional assistance was provided to Mr. Caplan by another person.

The california office of real estate appraisers will verify Mr. Caplan's California State Certified General Appraisal license numbered AG001751, expiration date September 1, 2024. Call the Bureau of Real Estate Appraisers at (916) 552 9000. - F.I.R.R.E.A./U.S.P.A.P. addendum: scope
The primary source of data searched is on-line MLS, on-line RealQuest and Realist property data reports, Riverside County parcel report. We also have plat maps and zoning maps on-line. We also research zillow market analysis of the subject property zip code and MLS market conditions data. A search is made to determine if the subject has been listed in the MLS in the year prior the date of appraisal.then a search is made for the most recent and current comparable sales and listings and pending sales in the subject neighborhood. Then the most similar 6 to 15 sales & listings are selected for a drive by inspection. Then the sales & listings are verified by a source familiar with the comparable sale (realtor/buyer/seller). Then the most similar 3 to 9 sales & listings are selected to report upon. A minimum of three closed sales within 1 year of the date of appraisal and at least 1 listing or pending sale are reported upon in the appraisal report. Then items of property characteristics which impact market value are identified and then appropriate adjustments are estimated from the market data. Then the comparables are adjusted to the subject and then a market value estimate is made. A cost approach is also estimated where applicable. If a cost approach is utilized i utilize the Marshall & Swift cost service to estimate improvement cost, and land value is estimated from either an extraction method or land sales. And then these value estimates are reconciled to a final market value estimate for the subject.

Form GPRES2AD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE File No.:

Property Address: City: State: Zip Code:

Client: Address:

Appraiser: Address:

Copyright© 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. 3/2007

Item 22.

FHA/VA Case No. Page # 21 of 72
Certifications D23S02004LC
50021 Balboa St Coachella CA 92236
RMM INV CAPITAL 50021 Balboa Street, Coachella, CA 92236 Lester Caplan 78206 Varner Road, Suite D-144, Palm Desert, CA 92211 Appraiser's certification
- I certify that, to the best of my knowledge and belief:- the statements of fact contained in this report are true and correct.- the credibility of this report, for the stated use by the stated user(s), of the reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are my personal, impartial, and unbiased professional analyses, opinions, and conclusions. - I have no present or prospective interest in the property that is the subject of this report and no personal interest with respect to the parties involved.
- I have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment.- my engagement in this assignment was not contingent upon developing or reporting predetermined results. - My compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. - My analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the uniform standards of professional appraisal practice that were in effect at the time this report was prepared. - I did not base, either partially or completely, my analysis and/or the opinion of value in the appraisal report on the race, color, religion, sex, handicap, familial status, or national origin of either the prospective owners or occupants of the subject property, or of the present owners or occupants of the properties in the vicinity of the subject property. - Unless otherwise indicated, I have made a personal inspection of the property that is the subject of this report.- unless otherwise indicated, no one provided significant real property appraisal assistance to the person(s) signing this certification. - Unless otherwise indicated, I have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment.

Definition of “fair market value of the property taken see the 2021 California Code Eminent Domain Law Chapter 9, Artical 4, Measure of Compensation for Property Taken, to use in the settlement of a Eminent Domain Action” Please see the complete definition on pages 5, 6 & 7 of this appraisal
Maritza Martinez RMM INV CAPITAL
[email protected] 50021 Balboa Street, Coachella, CA 92236 Lester Caplan
American Valuation Company
(760) 574-5242 (760) 406-5783
[email protected]
03/17/2023
AG001751 CA
SCREA, AGA, CA State Certified General Real Estate Appraiser 09/01/2024
03/03/2023
Form GPRES2AD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE File No.:

Property Address: City: State: Zip Code:

Client: Address:

Appraiser: Address:

SIGNATURES
Client Contact: Client Name:

E-Mail: Address:

APPRAISER
Appraiser Name:

Company:

Phone: Fax:

E-Mail:

Date Report Signed:

License or Certification #: State:

Designation:

Expiration Date of License or Certification:

Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection:

SUPERVISORY APPRAISER (if required)
or CO-APPRAISER (if applicable)
Supervisory or
Co-Appraiser Name:

Company:

Phone: Fax:

E-Mail:

Date Report Signed:

License or Certification #: State:

Designation:

Expiration Date of License or Certification:

Inspection of Subject: Interior & Exterior Exterior Only None Date of Inspection:

Copyright© 2007 by a la mode, inc. This form may be reproduced unmodified without written permission, however, a la mode, inc. must be acknowledged and credited. 3/2007

Item 22.

FHA/VA Case No. Page # 22 of 72
D23S02004LC
Form UADDEFINE1A - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE File No.

UNIFORM APPRAISAL DATASET (UAD) DEFINITIONS ADDENDUM
(Source: Fannie Mae UAD Appendix D: UAD Field-Specific Standardization Requirements) Condition Ratings and Definitions
C1
The improvements have been recently constructed and have not been previously occupied. The entire structure and all components are new and the dwelling features no physical depreciation.

Note: Newly constructed improvements that feature recycled or previously used materials and/or components can be considered new dwellings provided that the dwelling is placed on a 100 percent new foundation and the recycled materials and the recycled components have been rehabilitated/remanufactured into like-new condition. Improvements that have not been previously occupied are not considered “new” if they have any significant physical depreciation (that is, newly constructed dwellings that have been vacant for an extended period of time without adequate maintenance or upkeep).

C2
The improvements feature no deferred maintenance, little or no physical depreciation, and require no repairs. Virtually all building components are new or have been recently repaired, refinished, or rehabilitated. All outdated components and finishes have been updated and/or replaced with components that meet current standards. Dwellings in this category are either almost new or have been recently completely renovated and are similar in condition to new construction.

Note: The improvements represent a relatively new property that is well maintained with no deferred maintenance and little or no physical depreciation, or an older property that has been recently completely renovated.

C3
The improvements are well maintained and feature limited physical depreciation due to normal wear and tear. Some components, but not every major building component, may be updated or recently rehabilitated. The structure has been well maintained.

Note: The improvement is in its first-cycle of replacing short-lived building components (appliances, floor coverings, HVAC, etc.) and is being well maintained. Its estimated effective age is less than its actual age. It also may reflect a property in which the majority of short-lived building components have been replaced but not to the level of a complete renovation.

C4
The improvements feature some minor deferred maintenance and physical deterioration due to normal wear and tear. The dwelling has been adequately maintained and requires only minimal repairs to building components/mechanical systems and cosmetic repairs. All major building components have been adequately maintained and are functionally adequate.

Note: The estimated effective age may be close to or equal to its actual age. It reflects a property in which some of the short-lived building components have been replaced, and some short-lived building components are at or near the end of their physical life expectancy; however, they still function adequately. Most minor repairs have been addressed on an ongoing basis resulting in an adequately maintained property.

C5
The improvements feature obvious deferred maintenance and are in need of some significant repairs. Some building components need repairs, rehabilitation, or updating. The functional utility and overall livability is somewhat diminished due to condition, but the dwelling remains useable and functional as a residence.

Note: Some significant repairs are needed to the improvements due to the lack of adequate maintenance. It reflects a property in which many of its short-lived building components are at the end of or have exceeded their physical life expectancy but remain functional.

C6
The improvements have substantial damage or deferred maintenance with deficiencies or defects that are severe enough to affect the safety, soundness, or structural integrity of the improvements. The improvements are in need of substantial repairs and rehabilitation, including many or most major components.

Note: Substantial repairs are needed to the improvements due to the lack of adequate maintenance or property damage. It reflects a property with conditions severe enough to affect the safety, soundness, or structural integrity of the improvements.

Quality Ratings and Definitions
Q1
Dwellings with this quality rating are usually unique structures that are individually designed by an architect for a specified user. Such residences typically are constructed from detailed architectural plans and specifications and feature an exceptionally high level of workmanship and exceptionally high-grade materials throughout the interior and exterior of the structure. The design features exceptionally high-quality exterior refinements and ornamentation, and exceptionally high-quality interior refinements. The workmanship, materials, and finishes throughout the dwelling are of exceptionally high quality.

Q2
Dwellings with this quality rating are often custom designed for construction on an individual property owner’s site. However, dwellings in this quality grade are also found in high-quality tract developments featuring residence constructed from individual plans or from highly modified or upgraded plans. The design features detailed, high quality exterior ornamentation, high-quality interior refinements, and detail. The workmanship, materials, and finishes throughout the dwelling are generally of high or very high quality.

UAD Version 9/2011 (Updated 1/2014)

Item 22.

FHA/VA Case No. Page # 23 of 72
Form UADDEFINE1A - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

UNIFORM APPRAISAL DATASET (UAD) DEFINITIONS ADDENDUM
(Source: Fannie Mae UAD Appendix D: UAD Field-Specific Standardization Requirements) Quality Ratings and Definitions (continued)
Q3
Dwellings with this quality rating are residences of higher quality built from individual or readily available designer plans in above-standard residential tract developments or on an individual property owner’s site. The design includes significant exterior ornamentation and interiors that are well finished. The workmanship exceeds acceptable standards and many materials and finishes throughout the dwelling have been upgraded from “stock” standards.

Q4
Dwellings with this quality rating meet or exceed the requirements of applicable building codes. Standard or modified standard building plans are utilized and the design includes adequate fenestration and some exterior ornamentation and interior refinements. Materials, workmanship, finish, and equipment are of stock or builder grade and may feature some upgrades.

Q5
Dwellings with this quality rating feature economy of construction and basic functionality as main considerations. Such dwellings feature a plain design using readily available or basic floor plans featuring minimal fenestration and basic finishes with minimal exterior ornamentation and limited interior detail. These dwellings meet minimum building codes and are constructed with inexpensive, stock materials with limited refinements and upgrades.

Q6
Dwellings with this quality rating are of basic quality and lower cost; some may not be suitable for year-round occupancy. Such dwellings are often built with simple plans or without plans, often utilizing the lowest quality building materials. Such dwellings are often built or expanded by persons who are professionally unskilled or possess only minimal construction skills. Electrical, plumbing, and other mechanical systems and equipment may be minimal or non-existent. Older dwellings may feature one or more substandard or non-conforming additions to the original structure
Definitions of Not Updated, Updated, and Remodeled
Not Updated
Little or no updating or modernization. This description includes, but is not limited to, new homes.

Residential properties of fifteen years of age or less often reflect an original condition with no updating, if no major components have been replaced or updated. Those over fifteen years of age are also considered not updated if the appliances, fixtures, and finishes are predominantly dated. An area that is ‘Not Updated’ may still be well maintained and fully functional, and this rating does not necessarily imply deferred maintenance or physical/functional deterioration.

Updated
The area of the home has been modified to meet current market expectations. These modifications are limited in terms of both scope and cost.

An updated area of the home should have an improved look and feel, or functional utility. Changes that constitute updates include refurbishment and/or replacing components to meet existing market expectations. Updates do not include significant alterations to the existing structure.

Remodeled
Significant finish and/or structural changes have been made that increase utility and appeal through complete replacement and/or expansion.

A remodeled area reflects fundamental changes that include multiple alterations. These alterations may include some or all of the following: replacement of a major component (cabinet(s), bathtub, or bathroom tile), relocation of plumbing/gas fixtures/appliances, significant structural alterations (relocating walls, and/or the addition of) square footage). This would include a complete gutting and rebuild.

Explanation of Bathroom Count
Three-quarter baths are counted as a full bath in all cases. Quarter baths (baths that feature only a toilet) are not included in the bathroom count. The number of full and half baths is reported by separating the two values using a period, where the full bath count is represented to the left of the period and the half bath count is represented to the right of the period.

Example:

3.2 indicates three full baths and two half baths.

UAD Version 9/2011 (Updated 1/2014)

Item 22.

FHA/VA Case No. Page # 24 of 72
Form UADDEFINE1A - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

UNIFORM APPRAISAL DATASET (UAD) DEFINITIONS ADDENDUM
(Source: Fannie Mae UAD Appendix D: UAD Field-Specific Standardization Requirements) Abbreviations Used in Data Standardization Text
Abbreviation Full Name Fields Where This Abbreviation May Appear A Adverse Location & View
ac Acres Area, Site
AdjPrk Adjacent to Park Location
AdjPwr Adjacent to Power Lines Location
ArmLth Arms Length Sale Sale or Financing Concessions
AT Attached Structure Design (Style)
B Beneficial Location & View
ba Bathroom(s) Basement & Finished Rooms Below Grade
br Bedroom Basement & Finished Rooms Below Grade
BsyRd Busy Road Location
c Contracted Date Date of Sale/Time
Cash Cash Sale or Financing Concessions
Comm Commercial Influence Location
Conv Conventional Sale or Financing Concessions
cp Carport Garage/Carport
CrtOrd Court Ordered Sale Sale or Financing Concessions CtySky City View Skyline View View
CtyStr City Street View View
cv Covered Garage/Carport
DOM Days On Market Data Sources
DT Detached Structure Design (Style)
dw Driveway Garage/Carport
e Expiration Date Date of Sale/Time
Estate Estate Sale Sale or Financing Concessions
FHA Federal Housing Authority Sale or Financing Concessions g Garage Garage/Carport
ga Attached Garage Garage/Carport
gbi Built-in Garage Garage/Carport
gd Detached Garage Garage/Carport
GlfCse Golf Course Location
Glfvw Golf Course View View
GR Garden Design (Style)
HR High Rise Design (Style)
in Interior Only Stairs Basement & Finished Rooms Below Grade Ind Industrial Location & View
Listing Listing Sale or Financing Concessions
Lndfl Landfill Location
LtdSght Limited Sight View
MR Mid-rise Design (Style)
Mtn Mountain View View
N Neutral Location & View
NonArm Non-Arms Length Sale Sale or Financing Concessions o Other Basement & Finished Rooms Below Grade
O Other Design (Style)
op Open Garage/Carport
Prk Park View View
Pstrl Pastoral View View
PwrLn Power Lines View
PubTrn Public Transportation Location
Relo Relocation Sale Sale or Financing Concessions
REO REO Sale Sale or Financing Concessions
Res Residential Location & View
RH USDA - Rural Housing Sale or Financing Concessions
rr Recreational (Rec) Room Basement & Finished Rooms Below Grade RT Row or Townhouse Design (Style)
s Settlement Date Date of Sale/Time
SD Semi-detached Structure Design (Style)
Short Short Sale Sale or Financing Concessions
sf Square Feet Area, Site, Basement
sqm Square Meters Area, Site
Unk Unknown Date of Sale/Time
VA Veterans Administration Sale or Financing Concessions w Withdrawn Date Date of Sale/Time
wo Walk Out Basement Basement & Finished Rooms Below Grade Woods Woods View View
Wtr Water View View
WtrFr Water Frontage Location
wu Walk Up Basement Basement & Finished Rooms Below Grade UAD Version 9/2011 (Updated 1/2014)

Item 22.

FHA/VA Case No. Page # 25 of 72
Form FUA2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE American Valuation Company (760) 574-5242
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
The intended use of this appraisal is to assist the client, RMM Investment Capital determine fair market value of the property taken see the 2021 California Code Eminent Domain Law Chapter 9, Artical 4, Measure of Compensation for Property Taken, to use in the settlement of a Eminent Domain Negotiation Between the owner RMM Investment Capital and the City of Coachella.

The primary source of data searched is on-line MLS, on-line Realquest and Realist. A search is made to determine if the subject has been listed in the mls in the year prior the date of appraisal. Then a search is made for the most recent and current comparable sales in the subject neighborhood. Then the most similar 6 to 12 sales are selected for a drive by inspection. Then the sales are verified by a source familiar with the comparable sale (realtor/buyer/seller). Then the most similar 3 to 9 sales are selected to report upon. A minimum of three closed sales within 1 year of the date of appraisal are required. The sales are adjusted to the subject and then a market value estimate is made. A cost approach is also estimated and then these value estimates are reconciled to a final market value estimate for the subject.

The report is to be utilized to assist the owner RMM Investment Capital and Maritza Martinez, managing partner to negotiate, mediate or litigate, a Eminent Domain Action between the owner RMM Investment Capital and the City of Coachella. This is the only intended use. The intended user is the the property owner RMM Investment Capital. No other user is authorized and any other use or user is not warranted by the appraiser.

This appraisal may not be utilized for a federal related loan transaction, since the appraiser was directly engaged by the property owner and not a lending institution.

See addendum for subject's 3 year sale history and 1 year listing history See addendum for subject's 3 year sale history and 1 year listing history The exposure time /marketing time in relation to the market value definition is estimated at three to six months. With the property being offered at no more than 10% above its market value. See reconciliation comments addendum.

No personal property was given any consideration in this appraisal. No value was given the subject property for any personal property. The value contribution of any personal property included with the purchase of a comparable sale was deducted on the market grid for that sale.

The full compensation for the appraisal is the amount agreed upon with the client $900, The invoice is attached. The full appraisal fee for this appraisal is $900. No other compensation for this appraisal has been made.
- Unless otherwise indicated in the comments below, I have performed no services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three-year period immediately preceding acceptance of this assignment.

This appraisal may not be utilized for a federal related loan transaction, since the appraiser was directly engaged by the property owners and not a lending institution. The appraisal was not prepared in accordance with the requirements of title XI of the Financial Institutions Reform, Recovery and Enforcement Act of 1989, (F.I.R.R.E.A..) as amended (12 u.s.c. 3331 et seq.), and any implementing regulations.

Lester Caplan
03/03/2023
Borrower
Lender/Client

FIRREA / USPAP ADDENDUM
Property Address
City County State Zip Code
Purpose
Scope
Intended Use / Intended User
History of Property
Current listing information:

Prior sale:

Exposure Time / Marketing Time
Personal (non-realty) Transfers
Additional Comments
Certification Supplement

1. This appraisal assignment was not based on a requested minimum valuation, a specific valuation, or an approval of a loan.

2. My compensation is not contingent upon the reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value estimate, the attainment of a stipulated result or the occurrence of a subsequent event.

Appraiser(s):

Effective date / Report date:

Supervisory Appraiser(s):

Effective date / Report date:

Item 22.

FHA/VA Case No. Page # 26 of 72
Form SKT.BLDSKI - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Building Sketch
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
The appraiser Lester Caplan measured the subject property utilizing the Square Footage-Method for Calculating: ANSI® Z765-2021 (American National Standards Institute®) Measuring Standard for measuring, calculating, and reporting gross living area (GLA) and non-GLA areas of subject property for this appraisal.

Borrower
Lender/Client

20.6'
2 8.3'

46.2'
2 8.3'

21.8'
2 Car Att Garage
[472.39 Sq ft]
2 0.6'

21.8'
2 4.3'

6.3'

15.5'

3.7'
Cv Patio
[299.49 Sq ft] 14.9'

20.1'

14.9'

20.1'
Priv
ate
G
ate
d
C
o
urty
ard
[2
5 4.3
2 S
q ft]

11.7'
2 0.6'

2.8'

3.8'

3.5'

5.1'
2 0.6'
F
o
y
er
Kitchen Dining
Living Room
Bedroom Bedroom
Bedroom
Bathroom
Bathroom
TOTAL Sketch by a la mode, inc. Area Calculations Summary Living Area Calculation Details
First Floor 1294.16 Sq ft 46.2 × 24.8 = 1145.76

3.5 × 21.8 = 76.3

3.5 × 20.6 = 72.1
Total Living Area (Rounded): 1294 Sq ft
Non-living Area
2 Car Att Garage 472.39 Sq ft 21.8 × 20.6 = 449.08

6.3 × 3.7 = 23.31
Cv Patio 299.49 Sq ft 20.1 × 14.9 = 299.49
Private Gated Courtyard 254.32 Sq ft 3.8 × 3.5 = 13.3

20.6 × 11.7 = 241.02
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 27 of 72
Plat Map
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 28 of 72
Enlarged Plat Map
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 29 of 72
Form MAP.LOC - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Subject & Comparable Location Sales Map
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 30 of 72
Form MAP.LOC - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Neighborhood Boundary Location Map
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 31 of 72
Zoning Map & Zoning Code
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 32 of 72
Traffic Count Map
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 33 of 72
Form MAP.FLOOD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Flood Map
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 34 of 72
Appraisal License for Lester Caplan Expires 09/01/2024
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 35 of 72
Appraisal License & Course History for Lester Caplan - Page 1 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 36 of 72
Appraisal License & Course History for Lester Caplan - Page 2 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

Scope Of The Report
Appraisal Scope:

The Scope Of This Assignment Has Included: (1) Upon Receiving The Appraisal Assignment, I Send The Owner Or Realtor Involved In The Transaction A PreAppraisal Questionnaire To Receive Information On The Subject Property, Then I Begin Researching Property Characteristics, Zoning, Site Data Etc. I Do A Preliminary Estimate Of The Subject's Highest And Best Use. Then I Schedule The Appraisal Inspection. (2) I Research And Make An Investigation Of Current Market Conditions Relative To The Property Type Being Appraised As Well As The Market Sector With Which The Subject Property Is Identified. I Then Research Current Market Sales Data Relevant To The Subject Appraisal; (3) I Personally Perform An Inspection Of The Subject Property, & Several Similar Property Sales Within The Prior Year Of The Inspection Date And I Drive The Surrounding Neighborhood; (4) Interviews With Brokers, Property Owners, Appraisers And Managers, As Well As Relevant Public Agencies And Governing Bodies; (5) Collection, Verification And Analysis Of Market Data And Any Other Pertinent Information Necessary To The Valuation Process, Then I Select The Best Comparable Properties To Analyze And Put In The Report Which Includes View Interior Photos From The Mls Of All The Comparables Utilized In The Final Analysis. (6) Compilation Of The Descriptions, Reasoning, Analysis And Explanations, Leading To Final Value Conclusions, Within This Report.

Lester Caplan The Appraiser's Hereunder Has Personally Inspected The Property Being Appraised In This Report. Mr. Caplan Made An Interior And Exterior Inspection Of The Subject And Comparable Sales. Mr. Caplan Collected And Analyzed The Appropriate And Available Data That Has Been Utilized In This Report.

Mr. Caplan Also Verified All Sales Information Relating To Each Of The Comparable Properties That Have Been Identified And Analyzed For Comparison Purposes Under This Report. Mr. Caplan Made The Analysis Pertaining To The Indicated Adjustments That Have Been Made With Respect To Each Comparable Sale That Has Been Made Under This Report. The Final Estimate Of Value Made In This Report For The Subject Property Was Made Solely By Mr. Caplan. Mr. Caplan Completed The Physical Preparation Of This Report. No Other Professional Assistance Was Provided To Mr. Caplan By Another Person.

The California Office Of Real Estate Appraisers Will Verify Mr. Caplan´s California Certified General Appraisal License Numbered Ag001751, Expiration Date September 1, 2024. Call The Office Of Real Estate Appraisers At (916) 552 9000.

The appraiser Lester Caplan measured the subject property utilizing the Square Footage-Method for Calculating: ANSI® Z765-2021 (American National Standards Institute®) Measuring Standard for measuring, calculating, and reporting gross living area (GLA) and non-GLA areas of subject property for this appraisal. The measurements are in compliance with the Fannie Mae guidelines that are in effect on April 1, 2022, for loans sold to Fannie Mae • Firrea/uspap Addendum: Scope
The Primary Source Of Data Searched Is On-line Mls, On-line Realquest And Realist Property Data Reports, Riverside County Parcel Report. We Also Have Plat Maps And Zoning Maps On-line. We Also Research Zillow Market Analysis Of The Subject Property Zip Code And Mls Market Conditions Data. A Search Is Made To Determine If The Subject Has Been Listed In The Mls In The Year Prior The Date Of Appraisal.then A Search Is Made For The Most Recent And Current Comparable Sales And Listings And Pending Sales In The Subject Neighborhood. Then The Most Similar 6 To 15 Sales & Listings Are Selected For A Drive By Inspection. Then The Sales & Listings Are Verified By A Source Familiar With The Comparable Sale (Realtor/buyer/seller). Then The Most Similar 3 To 9 Sales & Listings Are Selected To Report Upon. A Minimum Of Three Closed Sales Within 1 Year Of The Date Of Appraisal And At Least 1 Listing Or Pending Sale Are Reported Upon In The Appraisal Report. Then Items Of Property Characteristics Which Impact Market Value Are Identified And Then Appropriate Adjustments Are Estimated From The Market Data. Then The Comparables Are Adjusted To The Subject And Then A Market Value Estimate Is Made. A Cost Approach Is Also Estimated Where Applicable. If A Cost Approach Is Utilized I Utilize The Marshall & Swift Cost Service To Estimate Improvement Cost, And Land Value Is Estimated From Either An Abstraction Method Or Land Sales. And Then These Value Estimates Are Reconciled To A Final Market Value Estimate For The Subject.

FHA/VA Case No. Page # 37 of 72
SCOPE OF THE REPORT D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Lester Caplan
AG001751 CA
03/17/2023
Form TADD2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Signature
Name
State Certification # State
Or State License # State
Date Signed
Signature
Name
State Certification # State
Or State License # State
Date Signed

Item 22.

Highest And Best Use Analysis
A Brief Description Of The Term Highest And Best Use, Would Be:

The Use, From Among Reasonable Probable And Legal Alternative Uses, Found To Be Physically Possible, Appropriately Supported, Financially Feasible And That Results In The Highest Present Land Value. (See *1) Implied Within This Definition Is Recognition Of The Contribution Of That Specific Use To Community Environment As To Community Development Sales In Addition To Wealth Maximization. Also Implied Is That The Determination Of Highest And Best Use Results From The Appraiser's Judgment And Analytical Skill, I.e. That The Use Determined Represents An Opinion, Not A Fact.

The Highest And Best Use Section Of This Report Is The Pivotal Point In The Appraisal Process. All Previous Data Is Used To Test The Four Criteria, As Stated In The Definition: (1) Physically Possible, (2) Legally Permitted, (3) Economically Feasible And, (4) Maximally Productive.

In Analyzing The Highest And Best Use Of The Subject Property, The First Question Is: Is It Physically Possible To Develop The Subject Property? The Answer Would Be Yes Since The Subject Site Is Capable Of Supporting The Existing Improvements Which Have Functional, Useful Floor Plan And Site Plan.

The Answer To The Second Question Is Yes: Is It Legally Permissible For The Site To Be Utilized As A Single Family Residential Property. As Stated In The Site Section Of The Report The Subject Site Is Zoned R-S - single family residential Which Does Permit The Existing Single Family Residential Utilization Of The Land And Improvements And Is The Only Type Of Project That Could Legally Be Built.

The Third Question Asks: Is It Feasible To Develop The Site As Proposed? The Answer To This Question Would Also Be Yes. The Existing Improvements Do Not Contribute To An Overbuilt Market. The Current Zoning And Development Trends Of The Area Dictate That The Only Marketable Use For The Site Is That Of A Single Family Use And The Subject Site Could Be Developed For This Use And Still Sell At A Profit Which Is The Measure Of Feasibility. The Level Of Profit Would Be High Enough To Attract Investor-developers In The Current Economic Conditions As Evidenced By New Projects Under Development In Close Proximity To The Subject Community.

The Fourth And Final Question Asks: Is The Proposed Use Maximally Productive? Again The Answer Is Yes. After Analyzing The Subject Site And The Development Trends Of The Neighborhood There Is Only One Type Of Development That The Site Would Support. This Is The Development Of The Site As A Single Family Dwelling. Therefore, The Existing Development Of The Subject Site As A Single Family Dwelling Is The Maximally Productive Use That Would Supply The Greatest Return To The Land. The Existing Improvements Are Developed To The Maximum Density That The Site And Zoning Will Accommodate.

In Summary, The Existing Utilization Of Land And Improvements Meets All The Criteria Of All Four Tests. Therefore, It Is Our Opinion That The Highest And Best Use For The Subject Site Is The Present Utilization Of The Land And Improvements As A Single Family Dwelling. *1) American Institute Of Real Estate Appraisers, The Appraisal Of Real Estate, Ninth Edition, Pg. 244.

FHA/VA Case No. Page # 38 of 72

HIGHEST AND BEST USE
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.

Scope Of Environmental Investigation Addendum:

I Did Not Observe Any Adverse Environmental Conditions. No Adverse Environmental Conditions Were Disclosed To Me During The Course Of My Investigation. The Scope Of My Environmental Investigation Is As Follows: I Made A Visual Inspection Of The Site And Surrounding Area For Any Apparent Adverse Environmental Conditions And I Asked The Subject Property Owner/occupant If They Were Aware Of Any Adverse Environmental Conditions In The Neighborhood. I Also Asked The Realtors I Spoke With If They Were Aware Of Any Adverse Environmental Conditions. They All Replied No. The Appraiser Assumes No Responsibility For The Possible Presence Of Lead Paint, Asbestos, Urea Formaldehyde, Radon Or Other Toxic Or Hazardous Materials On Or About The Property. If The Presence Of Such Material Is Known To Me, All Comments Regarding Such Conditions Would Be Found Here. If The Subject Improvements Were Built Prior To 1980then It Is Possible That There Is Lead Based Paint Or Asbestos On Site. I Am Not A Professional Environmental Inspector. If Hazardous Materials Are On Site Then There Could Be Cost Associated With These Materials That Are Not Considered In This Value Estimate And The Value Could Be Lower Than Reported In This Appraisal. If The Reader Of The Report Has Any Concern At All With Environmental Conditions, Then It Is Recommended That They Order An Environmental Inspection By A Professional Environmental Inspector. This Type Of Inspection Is Outside Of The Scope Of My Professional Experience.

There Are Frequent Earthquakes In Southern California. We Have Made An Inspection Of The Subject Property And It Appears To Be Free Of Structural Damage Related To Recent Earthquakes And After Shocks. All Utilities Servicing The Property Appear To Be Functioning Properly. Although The Inspection Revealed No Apparent Indications Of Significant Damage To The Property . It Is Noted That The Appraiser Is Not An Expert Of Structural Integrity Or Utility Related Fields. Thus The Appraiser Does Not Warrant The Structural Integrity Or Utilities.

Appraiser Recommends Inspection By A Structural Or Civil Engineer If Concerned With Damages Potentially Undetected By Appraisers Very Limited Earthquake Inspection. I Have Not Searched The Public Records To See If The Subject Site Is Within An Earthquake Zone. If Subject Site Is Within An Earthquake Zone This Could Impact The Value Estimate. Reader Is Advised To Determine This Information For Them Self Since This Appraisal Makes No Warranty As To The Effect Upon Value Of An Earthquake Zone.

As Of The Date Of The Appraisal Inspection There Was No Apparent Flood Or Water Damage. "HEALTH AND SAFETY FACTORS:

The subject property description in this report including any building plans, plat maps, and photo addenda is based on my physical inspection of the subject property, data available in public information sources, and statements of persons associated with the subject property. As a Real Estate Appraiser, I have no competence as a Soils Engineer, Civil Engineer, Building Trades Contractor, Building Inspector, or Environmental Hazards Inspector. I have no qualifications to certify any health and safety factors regarding the subject property including but not limited to soils stability, seismic risks, water supply, wastewater system, building and site elements structural integrity, utility systems, smoke, carbon-monoxide detectors or any alarm systems, or environmental hazards. Accordingly, users of this report cannot rely upon it for any certification of subject property health and safety factors. For such certification, the users of this report must engage the services of licensed professional health and safety inspectors."
The inspection performed is an appraisal inspection for an estimate of value. "USPAP Advisory Opinion 2, ASB Advice: Purpose of an Inspection" states
"The primary reason for inspecting the subject property is to gather information about the characteristics of the property that are relevant to its value." Italics added for emphasis.

FHA/VA Case No. Page # 39 of 72

ENVIRONMENTAL ADDENDUM
Form TADD - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE D23S02004LC
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Borrower
Lender/Client
Property Address
City County State Zip Code
File No.

Item 22.

FHA/VA Case No. Page # 40 of 72
Birds-eye View photo
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 41 of 72
RealQuest Property Report for the Subject Property
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 42 of 72
Form PICPIX.SR - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Subject Photo Page
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
FRONT
Sales Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
50021 Balboa St
0 1,294
6 3

2.0 Residential/sides street
Resid.,no view amenity
6,865 sf
Average (Q4)
56 REAR

STREET SCENE LOOKING SOUTH
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 43 of 72
Form PICSIX - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Front and South side Front and North side
street looking north Inside gated front courtyard looking toward the street Inside gated front courtyard looking toward the front door 50th Avenue looking east Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 44 of 72
Form PICSIX2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Rear and north side Rear and south side
Rear Rear patio
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 45 of 72
Form PICSIX2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Kitchen Kitchen
Kitchen looking toward dining room Dining room
Foyer entrance Living room
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 46 of 72
Form PICSIX2 - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Living room Living room
Hallway to bedrooms hall bathroom vanity
hall bathroom shower
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 47 of 72
Form PICSIX - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Main Bedroom Main Bedroom
Main Bathroom vanity Main Bathroom walk-in shower
Bedroom Bedroom
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 48 of 72
Form PICSIX - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Bedroom Bedroom
Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 49 of 72
Form PICFOUR - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Photograph Addendum
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Combined CO2 detector and smoke alarm Combined CO2 detector and smoke alarm Earthquake strapped water heater Interior of the garage Borrower
Lender/Client
Property Address
City County State Zip Code
Comments: Comments:

Comments: Comments:

Item 22.

FHA/VA Case No. Page # 50 of 72
Form PICPIX.CR - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Comparable Photo Page
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Comparable 1
Prox. to Subject
Sale Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
51980 Calle Empalme

0.98 MILES S
335,000
1,050
6 3

2.0 Residential/sides street
Resid.,no view amenity
6,534 sf
Average (Q4)
48 Comparable 2
Prox. to Subject
Sale Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
51872 Calle Techa

0.91 MILES S
335,000
1,120
6 3

1.1 Residential
Resid.,no view amenity
6,534 sf
Average (Q4)
51 Comparable 3
Prox. to Subject
Sale Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
50419 Kenmore St

0.16 MILES SE
384,000
1,100
6 3

2.0 Residential
Resid.,no view amenity
6,098 sf
Average (Q4)
37 Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 51 of 72
Form PICPIX.CR - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Comparable Photo Page
N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
Comparable 4
Prox. to Subject
Sale Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
50080 Balboa St

0.09 MILES S
380,000
1,288
6 3

2.0 Residential
Resid.,no view amenity
7,405 sf
Average (Q4)
56 Comparable 5
Prox. to Subject
Sale Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
50370 S Balboa St

0.17 MILES S
366,000
1,100
6 3

1.1 Residential
Resid.,no view amenity
6,098 sf
Average (Q4)
37 Comparable 6
Prox. to Subject
Sale Price
Gross Living Area
Total Rooms
Total Bedrooms
Total Bathrooms
Location
View
Site
Quality
Age
51872 Calle Techa

0.91 MILES S
400,000
1,120
6 3

1.1 Residential
Resid.,no view amenity
6,534 sf
Average (Q4)
51 Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 52 of 72

ANALYTICS SECTION OF THE REPORT FOLLOW THIS PAGE
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 53 of 72
Marshall & Swift Depreciation table
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 54 of 72
Market Condition (Time) Adjustment Regression Analysis
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 55 of 72
Site Area Adjustment Regression Analysis
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 56 of 72
Living Area Adjustment Regression Analysis
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 57 of 72
Analytics Addendum, Neighborhood Market Data Analysis Page 1 N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
For each month from 03-04-2022 to
03-03-2023 this chart shows the median
price for both sales and listings in the
subject market.

This chart shows the median days on
market for sales and active listings during
each month starting 03-10-2022 through
03-01-2023.

This analysis of prices in the subject market
from 03-10-2022 to 03-01-2023 yields a
price range of $309,000 to $421,000 for
properties in the subject market as of
03-03-2023.

Form PIC3TACHART_LT - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 58 of 72
Analytics Addendum, Neighborhood Market Data Analysis Page 2 N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
This analysis of the price per sq ft. in the
subject market from 03-10-2022 to
03-01-2023 yields a range of $280/sf to
$363/sf for properties in the subject market
as of 03-03-2023.

This graph represents sales prices versus
living area in the subject market from
03-10-2022 to 03-01-2023 and shows a
likely value for a property of 1,294 sf to be
between $384,000 and $452,000.

This chart demonstrates the median sales to
list price ratio for transactions in the market
area between 03-04-2022 and 03-03-2023.

Form PIC3TACHART_LT - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 59 of 72
Analytics Addendum, Neighborhood Market Data Analysis Page 3 N/A - Eminent Domain Negotiation Use
50021 Balboa St
Coachella Riverside CA 92236

RMM INV CAPITAL
This chart shows the median days on
market for sales and active listings during
each month starting 03-04-2022 through
03-03-2023.

For each month from 03-04-2022 to
03-03-2023 this chart shows the median
price per square foot for both sales and
listings in the subject market.

This graph demonstrates the months of
housing supply per month by taking the
active number of listings during that month
and dividing by the average number of sales
per month over the 12 months trailing.

Form PIC3TACHART_LT - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE Borrower
Lender/Client
Property Address
City County State Zip Code

Item 22.

FHA/VA Case No. Page # 60 of 72
Coachella Valley Housing Statistics February 2023 - Page 1 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 61 of 72
Coachella Valley Housing Statistics February 2023 - Page 2 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 62 of 72
Coachella Valley Housing Statistics February 2023 - Page 3 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 63 of 72
Coachella Valley Housing Statistics February 2023 - Page 4 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 64 of 72
Zillow Report
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 65 of 72
1 Year Comparables farm - Page 1
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 66 of 72
1 Year Comparables farm - Page 2
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 67 of 72
1 Year Comparables farm - Page 3
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 68 of 72
Search Criteria and Statistical Analysis
Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 69 of 72
Coachella Valley Housing Statistics February 2022 - Page 1 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 70 of 72
Coachella Valley Housing Statistics February 2022 - Page 2 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 71 of 72
Coachella Valley Housing Statistics February 2022 - Page 3 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

FHA/VA Case No. Page # 72 of 72
Coachella Valley Housing Statistics February 2022 - Page 4 Form SCNLGL - "TOTAL" appraisal software by a la mode, inc. - 1-800-ALAMODE

Item 22.

COMMONWEALTH LAND TITLE COMPANY
4100 Newport Place Dr., Suite 120, Newport Beach, CA 92660 Phone: (949) 724-3140
Buyers/Borrowers Settlement Statement
Estimated
Date Prepared:
05/30/2023
Escrow No: Close Date: Proration Date:
09186237 - 918 GKD
Escrow Officer:

Grace Kim
Disbursement Date:

Buyer(s)/Borrower(s): City of Coachella, a California charter city and municipal Property: 50021 Balboa Street
Coachella, CA 92236
Description Debit Credit
TOTAL CONSIDERATION:

Total Consideration 371,000.00
TITLE AND ESCROW CHARGES:

Standard ALTA Owners Policy for $371,000.00 to Commonwealth Land Title 1,401.00 Company
Escrow Fee to Commonwealth Land Title Company 1,025.00
Municipality Additional Work Charge to Commonwealth Land Title Company 350.00 New Doc Prep - (2) Partial Reconveyance to Commonwealth Land Title 300.00 Company
Processing Fee - (2) Partial Reconveyance to Commonwealth Land Title 400.00 Company
FTB Processing Fee to Commonwealth Land Title Company 45.00 FedEx Fees (EST) to Commonwealth Land Title Company 225.00 RECORDING FEES:

Recording Fee - (2) Partial Reconveyance (EST) to Commonwealth Land 300.00 Title Company
Recording Fee - Affordable Housing (EST) to Commonwealth Land Title 250.00 Company
ADDITIONAL CHARGES:

Recording Service Fee - Simplifile to Commonwealth Land Title Company 45.00 Upfront Lender Processing Fee (EST) to 1st Lender of Record 850.00 Upfront Lender Processing Fee (EST) to 2nd Lender of record 850.00 Mobile Notary Services (EST) to Daniel Valadez 250.00
Refundable Escrow Pad 750.00
Totals
Balance Due From Buyer /Borrower
Sub Totals 378,041.00
378,041.00 378,041.00
378,041.00

0.00 Printed by Krystal Thompson on 5/30/2023 - 11:16:33AM Page 1 of 2 This statement is based on information available to the escrow holder as of the date this statement was prepared and the closing date shown above. Actual amounts may change and/or vary depending on updated information received and the final closing date.

Item 22.

COMMONWEALTH LAND TITLE COMPANY
4100 Newport Place Dr., Suite 120, Newport Beach, CA 92660 Phone: (949) 724-3140
Buyers/Borrowers Settlement Statement
Estimated
Date Prepared:
05/30/2023
Escrow No: Close Date: Proration Date:
09186237 - 918 GKD
Escrow Officer:

Grace Kim
Disbursement Date:

Buyer(s)/Borrower(s):

City of Coachella,
a California charter city and municipal
By: _______________________________
Name: ____________________________
Its: _______________________________
Printed by Krystal Thompson on 5/30/2023 - 11:16:33AM Page 2 of 2 This statement is based on information available to the escrow holder as of the date this statement was prepared and the closing date shown above. Actual amounts may change and/or vary depending on updated information received and the final closing date.

Item 22.

CERTIFICATE OF ACCEPTANCE
APN 768-160-001
This is to certify that the interest in the GRANT DEED conveyed by the within instrument to the City of Coachella is hereby accepted by the undersigned officer/agent on behalf of the Board of Directors.

CITY OF COACHELLA
Dr. Gabriel Martin
City Manager

Item 22.

Project:

Project No.:

APN:

Avenue 50 Widening Project
Federal Project No.,
768-160-001

RIGHT OF WAY AGREEMENT FOR CONVEYANCE OF REAL PROPERTY

AND ESCROW INSTRUCTIONS

THIS AGREEMENT FOR CONVEYANCE OF REAL PROPERTY AND ESCROW INSTRUCTIONS, (the "Agreement"),is made and entered into as of % '76%, 20ZS by and between the City of Coachella, a California charter City and municipal corporation, ("Buyer"), and RMM Investment Capital, LLC, ("Seller"), with references to the following facts. Buyer and Seller are individually referred to as "Party," and collectively referred to as the "Parties".

RECIT ALS
A. Seller is the owner of certain real property located in the City of Coachella, (the "City"), the County of Riverside, (the "County"), State of California, (the "State"), which is identified by Assessor Parcel Number(s) 768-160-001, (referred to as the "Property").

B. Buyer desires to acquire from Seller a portion of the Property, more particularly described and depicted on Exhibits A and B attached hereto, (collectively referred to as the "Rights-of-Way"), for various public purposes including street rights-ofway and public utilities.

C. Seller desires to convey to Buyer, and Buyer desires to acquire from Seller the Rights-of-Way in accordance with the terms and conditions contained in this Agreement.

NOW THEREFORE, for and in consideration of the mutual covenants and agreements contained in this Agreement, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by Seller, Buyer and Seller hereby agree as Follows:

AGREEMENT

1. PURCHASE AND SALE.

1.1 Aqreement to Buy and Sell. Subject to the terms and conditions set forth herein, Seller hereby agrees to sell and convey to Buyer, and Buyer hereby agrees to acquire and purchase from Seller, the Rights-of-Way. As used herein the "Rights-of-Way" shall include the real property legally described on Exhibit A and depicted on Exhibit B and all of Seller's right, title and interest in and to any and all entitlements, tenements, hereditaments, easements, easement rights, rights to half-widths of all adjacent public streets and public rights of way, mineral rights, oil and gas rights, water, water rights, air Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions

1079714.1

Item 22.
rights, development rights and privileges appurtenant thereto and all improvements located thereon.

1.2 Purchase Price. The purchase price, ("Purchase Price"), for the Rights-ofWay shall be Three Hundred Seventy-one Thousand Dollars and Zero Cents ($371,000.00) payable as cash at closing, plus applicable escrow, associated fees, and other charges.

1.3 Full and Complete Settlement. Seller hereby acknowledges that the compensation paid to Seller through this Agreement constitutes the Full and complete settlement of any and all claims against Buyer, by reason of Buyer's acquisition of the Rights-of-Way, specifically including, but not limited to, any and all rights or claims that Seller has, may have or may in the future have under Article 'I, Section 19 of the California Constitution, the Eminent Domain Law, or any other law or regulation, except as provided herein Seller, on behalf of itself and its successors and assigns, hereby expressly and unconditionally waives and releases and discharges Buyer and any and all of Buyer's employees, agents, officers, servants, representatives, contractors, attorneys, partner agencies and assigns from liability in regard to any and all claims for damages, severance damages, interest, loss of goodwill, lost profits, lost rents, damages to or loss of improvements pertaining to the realty, machinery, fixtures, inventory, equipment and/or personal property, claims forinverse condemnation, pre-condemnation damages, any right to challenge Buyer's adoption of a resolution of necessity, any right to receive notices pursuant to Code of Civil Procedure section 1245.235, any right to enforce any obligation placed upon Buyer pursuant to the Eminent Domain Law, any other rights conferred upon Seller pursuant to the Eminent Domain Law, any claims for litigation expenses, attorney's fees, statutory interest and/or costs or any other compensation or benefits, other than for payment of the Purchase Price, it being understood that the Purchase Price constitutes complete and full settlement of all acquisition claims, liabilities, or benefits of any type or nature whatsoever, whether known or unknown as of the date of this Agreement, relating to or in connection with the Rights-of-Way or any other rights granted under this Agreement.

2. ESCROW AND CLOSING.

2.1 0peninqofEscrow.Withinfourteen(14)businessdaysafterexecutionofthis Agreement by the last of Seller or Buyer, Buyer shall open an escrow, (the "Escrow"), with Commonwealth Land Title, at the address set forth in Section 7.12, ("Escrow Holder"), by depositing with Escrow Holder this Agreement fully executed, or executed counterparts hereof. The date this fully executed Agreement is signed and accepted by Escrow Holder on the last page hereof shall be deemed the "Opening of Escrow" and Escrow Holder shall advise Buyer and Seller of such date in writing. The escrow instructions shall incorporate this Agreement as part thereof and shall contain such other standard and usual provisions as may be required by Escrow Holder, provided, however, that no escrow instructions shall modify or amend any provision of this Agreement, unless expressly set forth in writing by mutual consent of Buyer and '3eller. In the event there is a conflict between any such standard or usual provisions and the provisions of this Agreement, the provisions of this Agreement shall control.

Right-of-Way Agreement for Conveyance of Real Property and Escrow Instructions