1994-06-28_GENERAL DOCUMENTS - C1981017

• Permit No: C1981017
• IBM Index Class Name: GENERAL DOCUMENTS
• Doc Date: 6/28/1994
• Doc Name: Rock Dust Plant Real Estate Sale
• From: Steve Renner
• To: Cheryl Linden
• Permit Index Doc Type: General Correspondence
• Media Type: D
• Archive: No

STATE OF COLORADO
DIVISION OF MINERALS AND GEOLOGY
Department of Natural Resources
1313 Sherman St.,Room 215
Denver,Colorado 80203
Phone:[phone]
FAX:[phone]
DEPARTMENT OF
June 28, 1994 NATURAL
RESOURCES
MEMO
Roy Romer
Governor
TO: Cheryl Linden James S.lochhead
Executive Director
FROM: Steven Renner Michael B.Long
Division Director
RE: Rock Dust Plant Real Estate Sale
This morning I met with Robert Stevens, the appraiser the Division
has employed to evaluate the proposed purchase of the Rock Dust
Plant real estate. Mr. Stevens has evaluated purchase prices of
other comparable properties in the area. All but one have an
effective price per acre of about $5,000 to $8,000 per acre. One
property is significantly higher, but it has a substantial amount
of river front corridor. The offer to purchase the Rock Dust Plant
real estate is about $8,600 per acre. A copy of Mr. Stevens
report, as well as a summary of his qualifications, is attached.
Mr. Stevens reported that there has been a general appreciation of
real estate values in this area recently. However, he noted that
there were a number of offsets to that appreciation at the Rock
Dust Plant. The factors which potentially detract from the
desirability to develop this property include a reluctance of
investors to purchase a property previously used as an industrial
area; a lack of readily available utilities; the property is long
and narrow, rather than of a more readily useable configuration;
and it is outside of the area that the town of Carbondale wants to
develop.
Mr. Stevens noted that he would suspect that the property could
sell for between $9,000 and $10,000 per acre. However, the
offsetting factors will impact various buyers to varying degrees.
Mr. Stevens is available at (303) 243-4888 through thursday if you
wish to speak to him directly.
Perhaps at this point it would make sense to schedule a telephone
conference with the Board to get an indication as to how they wish
to proceed.
CC: Michael Long
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