Post by gatormom on Jul 12, 2007 5:42:55 GMT -6
Dist. 204 land dispute heats up
Owners, district argue value of property where district wants to build
By Melissa Jenco
Thursday, July 12, 2007
Real estate experts are now having their say in the ongoing legal battle between Indian Prairie Unit District 204 and the owners of the property where it wants to build its third high school.
Depositions have begun in the district’s condemnation lawsuit to acquire 55 acres off Route 59 near 75th Street and Commons Drive in Aurora from the Brach-Brodie trust. The land would be combined with 25 acres the district already owns at the site to create an 80-acre campus.
At issue is the value of the property and the two sides are far apart.
The district believes the land is worth about $250,000 an acre. The property owners’ estimates are roughly double that and tensions are mounting as each side claims the other is being untruthful and hurting taxpayers.
The land is earmarked to house Metea Valley High School, which officials say is needed to relieve overcrowding in the district, which serves portions of Naperville, Aurora, Plainfield and Bolingbrook.
In September, it will be up to a jury to set a price for the land as part of the condemnation suit. Meanwhile, experts hired by each side are giving depositions as to what they believe the property is worth.
The district hired two appraisers — David Phillips and Dale Kleszynski — to assess the land’s value and both set it’s worth at $250,000 an acre.
Steve Helm, the attorney representing the Brodie trust, said Wednesday that his expert witnesses will testify it is worth much more.
Here’s what he said the trust’s experts will say:
•Joseph Abel, former executive director of the DuPage County Regional Planning Commission and director of the county development department, will say the land is one of the area’s last remaining large parcels available for multi-use development and the sale of 55 acres to the district would significantly reduce the value of the remaining 71 acres.
•Kenneth Polach, appraiser for the DuPage Forest Preserve District, DuPage County and Illinois Department of Transportation, will say the site is worth $545,000 an acre. Taking into account the diminished value of the remaining property, the land should sell for $600,000 an acre.
•Fred Barofsky, real estate developer and consultant, will say the property is worth $600,000 an acre. Taking damages into account, it is worth just under $700,000 an acre.
•Arthur Sheridan, appraiser and real estate developer, will say the property’s value, including damage to the remaining land, is $635,000 an acre.
•Mary Lindberger, real estate appraiser, will say the property is worth $549,000 an acre. With damages, its value is about $582,000.
•Joseph Batis, real estate appraiser, will say the property is worth $630,000 an acre. With damages, the price tag should be about $756,000.
Two additional experts hired by the Brach trust also are expected to be deposed.
Indian Prairie officials say those estimates are too high.
School board President Mark Metzger said he believes the trust’s experts were comparing the property to the highest-valued parcels they could find.
“Their experts began with the objective in mind of coming up with the highest number possible and coming up with justification for the number instead of starting at the other end and determining what the land is worth,” he said.
But Helm contends his experts have many years of experience and because many of them are usually hired by government entities, if they had any bias it would be in favor of the district.
He said the trust simply wants fair market value for the land. With all the development potential it has, he said, that value is more than the district is offering.
“We have no problem selling to the district but we have an obligation to get for the property what we believe the property is worth based on experts and not just accept what (former Superintendent) Howard Crouse says the property is worth,” Helm said.
He says Crouse initially set the price without independent advice from real estate appraisers, then hired two appraisers who agreed with him.
Metzger adamantly denies the claim.
“They’re just dead wrong about that,” he said. “They always have been. There are a number of things they’ve made up about the case as it’s gone along.”
The price of the land is based on the value of the property when the condemnation suit began in December 2005, not today’s value, Metzger said.
The district purchased its 25 acres in 2005 for $257,000 an acre. Metzger said the price was higher than market value at the time but the deal came with an agreement that the district would then be able to purchase the remaining 55 acres.
While both sides wait for the case to go to trial, the district has asked the state legislature to grant it “quick take” powers that could potentially give it immediate access to the land.
Construction on the 3,000-student facility was supposed to start this spring and district officials say delays will drive up costs.
Thus far, legislative attempts to access the land have been unsuccessful but state Sen. Randy Hultgren, a Winfield Republican, recently revived the plan.
Whether lawmakers will ever have a chance to debate the proposal is still uncertain. The state legislature is currently in an overtime session focused largely on passing a state budget.
But Hultgren said he remains optimistic about his proposal’s chances because it has support from both Republicans and Democrats.
“I feel like if anything has a chance to move forward, this would be one,” he said. “But the decision is still with the majority leader or Senate president.”
The school district has tentatively scheduled a meeting for July 23 to award earth-moving bids in hopes it will have quick take powers and can start construction.
But using quick take comes with a catch — the district would be obligated to purchase the property at whatever price the jury sets in September. Without the quick take power, it could still change its mind if the price is too high.
The district already has promised residents it will not ask for more than the $124.7 million tax increase voters already approved in a 2006 referendum proposal.
Metzger said he isn’t worried about getting locked into whatever price the jury sets.
“I don’t believe there’s much risk of it being an out-of-control number in the first place,” he said. “Our data is better than their data. Even if it’s the worst case scenario, we can afford it so it doesn’t matter.”
The school is scheduled to open in the fall of 2009. Metzger said if work begins soon, the entire project can be finished on time. If not, the school would still open and areas such as the auditorium and industrial arts areas would be completed later. Programs using those facilities would still be offered.
Owners, district argue value of property where district wants to build
By Melissa Jenco
Thursday, July 12, 2007
Real estate experts are now having their say in the ongoing legal battle between Indian Prairie Unit District 204 and the owners of the property where it wants to build its third high school.
Depositions have begun in the district’s condemnation lawsuit to acquire 55 acres off Route 59 near 75th Street and Commons Drive in Aurora from the Brach-Brodie trust. The land would be combined with 25 acres the district already owns at the site to create an 80-acre campus.
At issue is the value of the property and the two sides are far apart.
The district believes the land is worth about $250,000 an acre. The property owners’ estimates are roughly double that and tensions are mounting as each side claims the other is being untruthful and hurting taxpayers.
The land is earmarked to house Metea Valley High School, which officials say is needed to relieve overcrowding in the district, which serves portions of Naperville, Aurora, Plainfield and Bolingbrook.
In September, it will be up to a jury to set a price for the land as part of the condemnation suit. Meanwhile, experts hired by each side are giving depositions as to what they believe the property is worth.
The district hired two appraisers — David Phillips and Dale Kleszynski — to assess the land’s value and both set it’s worth at $250,000 an acre.
Steve Helm, the attorney representing the Brodie trust, said Wednesday that his expert witnesses will testify it is worth much more.
Here’s what he said the trust’s experts will say:
•Joseph Abel, former executive director of the DuPage County Regional Planning Commission and director of the county development department, will say the land is one of the area’s last remaining large parcels available for multi-use development and the sale of 55 acres to the district would significantly reduce the value of the remaining 71 acres.
•Kenneth Polach, appraiser for the DuPage Forest Preserve District, DuPage County and Illinois Department of Transportation, will say the site is worth $545,000 an acre. Taking into account the diminished value of the remaining property, the land should sell for $600,000 an acre.
•Fred Barofsky, real estate developer and consultant, will say the property is worth $600,000 an acre. Taking damages into account, it is worth just under $700,000 an acre.
•Arthur Sheridan, appraiser and real estate developer, will say the property’s value, including damage to the remaining land, is $635,000 an acre.
•Mary Lindberger, real estate appraiser, will say the property is worth $549,000 an acre. With damages, its value is about $582,000.
•Joseph Batis, real estate appraiser, will say the property is worth $630,000 an acre. With damages, the price tag should be about $756,000.
Two additional experts hired by the Brach trust also are expected to be deposed.
Indian Prairie officials say those estimates are too high.
School board President Mark Metzger said he believes the trust’s experts were comparing the property to the highest-valued parcels they could find.
“Their experts began with the objective in mind of coming up with the highest number possible and coming up with justification for the number instead of starting at the other end and determining what the land is worth,” he said.
But Helm contends his experts have many years of experience and because many of them are usually hired by government entities, if they had any bias it would be in favor of the district.
He said the trust simply wants fair market value for the land. With all the development potential it has, he said, that value is more than the district is offering.
“We have no problem selling to the district but we have an obligation to get for the property what we believe the property is worth based on experts and not just accept what (former Superintendent) Howard Crouse says the property is worth,” Helm said.
He says Crouse initially set the price without independent advice from real estate appraisers, then hired two appraisers who agreed with him.
Metzger adamantly denies the claim.
“They’re just dead wrong about that,” he said. “They always have been. There are a number of things they’ve made up about the case as it’s gone along.”
The price of the land is based on the value of the property when the condemnation suit began in December 2005, not today’s value, Metzger said.
The district purchased its 25 acres in 2005 for $257,000 an acre. Metzger said the price was higher than market value at the time but the deal came with an agreement that the district would then be able to purchase the remaining 55 acres.
While both sides wait for the case to go to trial, the district has asked the state legislature to grant it “quick take” powers that could potentially give it immediate access to the land.
Construction on the 3,000-student facility was supposed to start this spring and district officials say delays will drive up costs.
Thus far, legislative attempts to access the land have been unsuccessful but state Sen. Randy Hultgren, a Winfield Republican, recently revived the plan.
Whether lawmakers will ever have a chance to debate the proposal is still uncertain. The state legislature is currently in an overtime session focused largely on passing a state budget.
But Hultgren said he remains optimistic about his proposal’s chances because it has support from both Republicans and Democrats.
“I feel like if anything has a chance to move forward, this would be one,” he said. “But the decision is still with the majority leader or Senate president.”
The school district has tentatively scheduled a meeting for July 23 to award earth-moving bids in hopes it will have quick take powers and can start construction.
But using quick take comes with a catch — the district would be obligated to purchase the property at whatever price the jury sets in September. Without the quick take power, it could still change its mind if the price is too high.
The district already has promised residents it will not ask for more than the $124.7 million tax increase voters already approved in a 2006 referendum proposal.
Metzger said he isn’t worried about getting locked into whatever price the jury sets.
“I don’t believe there’s much risk of it being an out-of-control number in the first place,” he said. “Our data is better than their data. Even if it’s the worst case scenario, we can afford it so it doesn’t matter.”
The school is scheduled to open in the fall of 2009. Metzger said if work begins soon, the entire project can be finished on time. If not, the school would still open and areas such as the auditorium and industrial arts areas would be completed later. Programs using those facilities would still be offered.
