Appraisal Report for ALP 46.27 acres Retro. Value 10/10/02

boom to the region in the early 1980s which peaked in approximately 1984. The
resulting over-development in the region led to a declining period for the economy
in general and real estate in particular between 1985 and 1988. The economy
stabilized by 1990 and has exhibited strong growth since then.
The economic potential for the region will always be somewhat limited by its
location and limited transportation possibilities, but as the overall economy shifts
towards more emphasis on services and information these restrictions should
hamper the region less and less. The region is also well positioned due to its
abundance of natural gas. The San Juan Basin contains 15% of the nation's
natural gas reserves, and natural gas is projected to become a more significant
portion of our nation's energy supply. The region completed its most recent cycle
of boom and decline, and is experiencing strong growth.
City of Durango and La Plata County
Within this region La Plata County is largely self-contained. The majority of
the residents of La Plata County work in the county, and likewise the majority of
jobs in the county are filled by county residents. The shopping and services for
county residents are available in the City of Durango, and the retail sector draws
customers primarily from within the county and from tourists.
The various forces exerted on property values in the county and city can be
broken into four categories: social, economic, governmental and environmental.
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