APPRAISAL OF:
AGRICULTURAL PROCESSING FACILITY AT
1275 HANSEN STREET
SALINAS, MONTEREY COUNTY
REQUESTED BY: Patrick Dobbins
Public Works Director
City of Gonzales
147 Fourth Street
Gonzales, CA 93926
APPRAISAL AS OF: June 1, 2025
APPRAISED BY: John W. Piini, MAI
Piini Realty Inc.
263 Lincoln Avenue
Salinas, CA 93901
469, 473 & 477 VENICE WAY
GONZALES, MONTEREY COUNTY, CA
APNS 020-351-067, -068 & 069
TRANSMITTAL LETTER
June 9, 2025
Patrick Dobbins
Public Works Director
City of Gonzales
Gonzales, CA 93926
Sent via email: [email protected]
Re: Restricted Appraisal Report – 469, 473 & 477 Venice Way Gonzales, CA
Dear Mr. Dobbins:
Upon your authorization, I conducted the investigations and analyses necessary to form an opinion as to the present-day range in the market value of the three single-family residential lots located on Venice Way, which are currently used as a neighborhood playground. The parcels are owned by the City of Gonzales and are identified as Monterey County Assessor Parcel Numbers (APN) 020-351-067; 020-351- 068; and 020-351-069.
This report is presented as a Restricted Appraisal Report that is intended to comply with USPAP Standards Rule 2-2(b). As such, use of this report is limited to the client and named intended users because it may not contain supporting rationale for all of the opinions and conclusions that are set forth. Based on the inspection of the property and the investigations and analyses undertaken, I have formed the opinion that as of June 1, 2025, the market value range for each parcel is between $180,000 and $195,000.
The restricted appraisal report that follows consists of xx pages and sets forth the identification of the property, the assumptions and limiting conditions, a summary description of the subject property, and a summary table of the market data utilized the conclusions set forth.
Respectfully submitted,
John W. Piini, MAI
Certified General Real Estate Appraiser
State of California, BREA No. AG005214
GENERAL INFORMATION
Subject Address: 469, 473 and 477 Venice Way, Gonzales, CA 93926 Identification: Monterey County Assessor Parcel Numbers 020-351-067-000; 020-351-068-000; and 020-351-069-000.
Client: City of Gonzales.
Intended Users: The client is the only intended user of this Restricted Appraisal Report. No other users of this report are intended by the appraiser.
Intended Use: To assist the client in making future decisions regarding a possible sale of the property. This report is not intended for review by the Department of General Services.
Property Rights: Fee simple interest1. Type of Value: Market value2 . Date of the Report: The report was prepared in May and June 2025. Exposure Time: An exposure time of 6 to 12 months is considered reasonable and applied in this analysis.
Effective Date: June 1, 2025.
Appraisal Conditions: The subject properties are appraised under the extraordinary assumptions3that (1) each property is free and clear of any environmental, hazardous, or toxic contamination that would adversely impact value; and (2) each parcel would be allowed by the City of Gonzales to be developed for a single-family dwelling, consistent with the neighboring parcels.
Property History: There were no transfers of ownership within the past three years. I am not aware of any purchase options/agreements affecting the subject property. 1 Fee simple interest is defined as “Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power and escheat.
Dictionary of Real Estate Appraisal – 6th Edition. (Chicago: Appraisal Institute, 2015) p. 90. 2 Market value is defined as “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 purposes for which the property is reasonably adaptable and available” (California Code of Civil Procedure §1263.320). 3 Extraordinary assumption is defined as “An assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser’s opinions or conclusions” (Ibid., p. 83).
Scope of Work: The subject was inspected by John Piini on May 2, 2025. In addition to the onsite inspection the scope of work included an investigation of single-family residential lot sales within the market area. Due to the lack of residential lots sales, a review and analysis of single-family residential properties was conducted to extract a reasonable allocation of land value.
PROPERTY DESCRIPTION
Aerial Map
Three residential lots fronting Venice Way that are currently used as a neighborhood park Location: The three parcels are located on the east side of Venice Way with property addresses of 469, 473 & 477 Venice Way, Gonzales, CA. The parcels are part of Cipriani Estates, a 74-unit single family residential development that was developed between 2005 – 2007. The most recent home sales in Cipriani Estates were in 2022 and 2023 and during that period three homes sold between $560,000 and $650,000.
View of single-family homes on Venice Way and within Cipriani Estates.
Lot sizes:
Site Improvement: The street frontages are improved with curb, gutters and sidewalks. Water, sewer and power are provided within the development. It is assumed full utilities are available.
Land Use Policies: The parcels are utilized for a public park and zoned Public. The adjoining properties are zoned Single Family Residential providing one single family residence per parcel. The valuation assumes that each parcel could be developed a single-family dwelling, consistent with the residential properties within Cipriani Estates.
Highest & Best Use: Single family residential.
Address 469 Venice Way 473 Venice Way 477 Venice Way
Venice Way Frontage 64 feet 64 feet 64 feet
Depth 84.25 feet 84.25 feet 84.25 feet
Lot size (sqquare feet) 5,392 5,392 5,392
Valuation Comments: There are no single-family residential lot sales in Gonzales, nor in the neighboring Salinas Valley towns of Soledad, Greenfield and King City. Due to the lack of single-family lot sales an analysis of single-family home sales was considered and from these improved sales 30% of the sale price is allocated to land value.
Value Conclusion Based on the above the market value range of the three parcels is concluded between $180,000 and $195,000. .
Sale Date Street Address Sale Price
Bed/
Baths
Sq Ft
Total $/SF
Lot Size
(sf) Age Lot %
Lot allocation
(rnd)
3/30/2022 457 Venice Way $615,000 4-2 1,442 $426 5,376 18 30.0% $184,500 5/24/2022 717 Cipriani St $650,000 4-2 1,676 $388 5,120 18 30.0% $195,000 12/27/2023 741 Cipriani St $560,000 3-2 1,156 $484 5,227 19 30.0% $168,000 5/17/2024 806 Appaloosa Way $650,000 4-2 1,298 $501 8,276 30 30.0% $195,000 8/8/2024 511 Fairview Drive $630,000 3-2 1,200 $525 6,472 44 30.0% $189,000 4/11/2024 540 Delmonte Drive $620,000 3-2 1,239 $500 6,000 58 30.0% $186,000 9/6/2024 960 Elko Street $618,000 3-1 1,008 $613 6,220 38 30.0% $185,400
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 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 performed any real estate 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 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 requirements of the Uniform Standards of Professional Appraisal Practice and the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the Appraisal Institute.
• I have made a personal inspection of the property that is the subject of this report. • No one provided significant real property appraisal assistance to the person signing this certification.
• The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives.
• As of the date of this report, John W. Piini, MAI has completed the continuing education program for Designated members of the Appraisal Institute.
John W. Piini, MAI
Certified General Real Estate Appraiser
State of California, BREA Number AG005214
LIMITING CONDITIONS
Assumptions and Limitations of Appraisal
This appraisal is for no purpose other than property valuation, and the appraiser(s) is neither qualified nor attempting to go beyond that narrow scope. The reader should be aware that there are also inherent limitations to the accuracy of the information and analyses contained in this appraisal. Before making any decision based on the information and analysis contained in this report, it is critically important to read this entire section to understand these limitations.
Appraisal is not a Legal Opinion
No opinion is intended to be expressed for legal matters or that would require specialized investigation or knowledge beyond that ordinarily employed by real estate appraisers, although such matters may be discussed in the report.
No opinion as to title is rendered. Data on ownership and the legal description were obtained from sources generally considered reliable. Title is assumed to be marketable and free and clear of all liens and 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.
It is assumed that there is full compliance with all applicable federal, state and local environmental regulations and laws unless noncompliance is stated, defined, and considered in the appraisal report. A comprehensive examination of laws and regulations affecting the subject property was not performed for this appraisal.
It is assumed that all applicable zoning and use regulations and restrictions have been complied with, unless a non-conformity has been stated, defined and considered in the appraisal report. Information and analysis shown in this report concerning these items is based only on a rudimentary investigation.
Any significant question should be addressed to local zoning or land use officials and/or an attorney.
It is assumed that all required licenses, 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. Appropriate government officials and/or an attorney should be consulted if an interested party has any questions or concerns on these items since the appraiser(s) has not made a comprehensive examination of laws and regulations affecting the subject property.
Testimony or attendance in court or at any other hearing is not required by reason of rendering this appraisal unless a signed contract has been executed prior to the date of this report.
Appraisal is not a Survey
No engineering survey has been made by the appraiser, and no responsibility is assumed in connection with such matters. Except as specifically stated, data relative to size and area were taken from sources considered reliable, and no encroachment of real property improvements is assumed to exist.
It is assumed that the utilization of the land and improvements is within the boundaries of the property lines of the property described and that there is no encroachment or trespass unless noted in the report.
All maps, plats and exhibits included herein 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, and the reliability of the information contained on such is assumed by the appraiser(s) and cannot be guaranteed. A surveyor should be consulted if there is any concern on boundaries, setbacks, encroachments, or other survey matters.
Appraisal is Not an Engineering or Property Inspection Report and is Made Under Conditions with Limited Data
This appraisal should not be considered a report on the physical items that are a part of this property.
Although the appraisal may contain information about the physical items being appraised (including their adequacy and/or condition), it should be clearly understood that this information is only to be used as a general guide for property valuation and not as a complete or detailed physical report. The appraiser(s) is not a construction, engineering, environmental, or legal expert, and any statement given on these matters in this report should be considered preliminary in nature.
The appraiser(s) has inspected as far as possible, by observation, the land and the improvements; however, it was not possible to personally observe conditions beneath the soil or hidden structural or other components
The appraisal is based on the assumption that there are no hidden, unapparent, or apparent conditions of the property site, sub-soil, or structures or toxic materials which would render it either less or more valuable. The appraiser(s) is not an environmental or health expert. No responsibility is assumed for any such condition or for any expertise or engineering to discover them.
No opinion is expressed as to the value of subsurface oil, gas or mineral rights and that the property is not subject to surface entry for the exploration or removal of such materials except as is expressly stated.
No chemical or scientific tests were performed by the appraiser(s) on the subject property, and it is assumed that the air, water, ground and general environment associated with the property present no physical or health hazard of any kind unless otherwise noted in the report. It is further assumed that the lot does not contain any type of dump site and that there are no underground tanks (or any underground source) leaking toxic or hazardous chemicals into the groundwater or the environment unless otherwise noted in the report. If any problems of this nature are known to the appraiser(s) which, in the appraiser's opinion would create a significant problem, they are disclosed in this report. Nondisclosure should not be taken as an indication that such a problem does not exist, however. An expert in the field should be consulted if any interested party has questions on environmental factors. If it is found that any of the aforementioned is present, the value of the property may be adversely affected and a re-appraisal at additional cost will be necessary to estimate the effects of such.
Because no detailed inspection was made, and because such knowledge goes beyond the scope of this appraisal, any observed condition or other comments given in this appraisal report should not be taken as a guarantee that a problem does not exist. Specifically, no guarantee is made as to the adequacy or condition of the foundation, roof, exterior walls, interior walls, floors, heating system, air conditions system, plumbing, electrical service, insulation, or any other detailed construction matters. If any interested party is concerned about the existence, condition or adequacy of any particular item, we would strongly suggest that a construction expert be hired for a detailed investigation.
Appraisal Report Limitations
Appraisal reports are technical documents addressed to the specific technical needs of clients. Casual readers should understand that this report does not contain all of the information we have concerning the subject property or the real estate market. While no factors we believe to be significant but unknown to the client have been knowingly withheld, it is always possible that we have information of significance which may be important to others but which, with our limited acquaintance of the property and our limited expertise, does not seem to be important. On the other hand, appraisal reports are performed with a limited amount of data. Data limitations result from a lack of certain areas of expertise by the appraiser (that go beyond the scope of the ordinary knowledge of an appraiser), the inability of the appraiser to view certain portions of the property, the inherent limitations of relying upon information provided by others, etc.
Before relying on any statement made in this appraisal report, interested parties should contact the Appraiser(s) for the exact extent of the data collection on any point which they believe to be important to their decision making. This will enable such interested parties to determine whether they think the extent of our data gathering process was adequate for their needs or whether they would like to pursue additional data gathering for a higher level of certainty.
Opinions and estimates expressed herein represent the appraiser's best judgment but should not be construed as advice or recommendation to act. Any actions taken by you, the client, or any others should be based on your own judgment, and the decision process should consider many factors other than just the value estimate and information given in this report.
Appraisal reports made for lenders are technical documents specifically made to lender requirements.
Casual readers are cautioned about their limitations and cautioned against possible misinterpretation of the information contained in these reports.
Neither all nor any part of the contents of this report, especially any conclusions as to value or the identity of the appraiser or the firm to which appraiser is connected, shall be disseminated to the public for public communication purposes through advertising media, public relations media, news media, sales media or any other public means of communication, without the prior written consent and approval of the author.
The estimated market value, which is defined in the report, is subject to change with market changes over time. Value is highly related to exposure, time, promotional effort, terms, motivation, and conditions.
The value estimates consider the productivity and relative attractiveness of the property physically and economically in the marketplace as of the date of value.
The "Estimate of Market Value" in the appraisal report is not based in whole or in part upon the race, color or national origin of the present owners or occupants of the properties in the vicinity of the property appraised.
Acceptance of Appraisal Report
The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives.
This appraisal is an estimate of value based on an analysis of information known to the Appraiser(s) at the time the appraisal was made. We do not assume any responsibility for incorrect analysis because of incorrect or incomplete information. If new information of significance comes to light, or if any conditions become apparent not previously known to the appraiser(s) which would affect the value of the property, the value given in this report is subject to change without notice and a re-appraisal at additional cost will be necessary.
Acceptance and/or use of this appraisal report by the client or any third party constitutes acceptance of the above conditions. Appraiser liability extends only to the stated client and not to subsequent parties or users, and the liability is limited to the amount of fee received by the appraisers(s).
QUALIFICATIONS OF THE APPRAISER
John Piini has been engaged in the real estate business since 1975. From 1975 to 2008 the majority of real estate activity was in appraising and since 2008 he has been active in both real estate appraisals and brokerage. The majority of appraisal assignments involve acreage and agricultural properties prepared for attorneys, land trusts and property owners throughout Monterey, San Benito, and southern Santa Cruz and southern Santa Clara Counties. He is qualified as an expert witness in the Superior Courts of Monterey, San Benito, Santa Cruz and Santa Clara Counties.
Academic Background
Formal Education
University of California, Los Angeles, BA degree -1974
Appraisal Education
Mr. Piini obtained his MAI designation from the American Institute of Real Estate Appraisers in 1983 after completing the required courses, examinations and experience review requirements.
Since 1983, John Piini has completed a number of appraisal courses and seminars and is current with Appraisal Institute’s continuing education requirement.
Professional Experience
1975 - 1983 Associate appraiser with Joe Piini, MAI
1983 - present Part owner of Piini Realty, a family owned and operated real estate firm involved in appraising, brokerage, and property management. John Piini specializes in and the majority of work involves selling and appraising agricultural properties in Monterey, San Benito, Santa Clara and Santa Cruz Counties
Appraisal Assignments
The majority of assignments pertain to the valuation of agricultural and acreage properties for a variety of purposes including estate planning, conservation easements, trust management and financial lending. Valuations of commercial, industrial special-use, residential and development properties are also performed.
Professional affiliation and memberships
MAI – Member of the Appraisal Institute – Certification Number 6708 California Certified General Real Estate Appraiser – OREA # AG005214 California Licensed Real Estate Broker – DRE # 00542238 Monterey County Board of Realtors