Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Purchase vs. Lease Analysis
City of College Station
10/22/2015
5:30 p.m.
Estimated Project Cost
Land Cost = $500,000
Building Cost = $2.7 Million
Total Project Cost 3.2 million
• When Appraisal District’s were created in
1979 they leased office space because no one
knew if they would stay or go awa...
Factors Considered
• Growth – Population growth
• Security – How can we best control the flow of
visitors in our office
• ...
City College of Station Assessed Value
2006 – 2015
$0
$1,000,000,000
$2,000,000,000
$3,000,000,000
$4,000,000,000
$5,000,0...
County Parcel Count 2005 – 2015
(+15,000 Parcels)
100,000
105,000
110,000
115,000
120,000
125,000
130,000
2005 2006 2007 2...
Brazos County Population Estimate
According to the Texas State
Demographer the population of
Brazos County in 2015 was 208...
Building Site
The proposed building site has been owned by
the Marr Family Limited Partnership since 2002.
The site is 2.1...
Renovation 11,500 Sq. Feet
BCAD Proposed Building Schematic Design
Proposed BCAD Site Plan
BCAD Building Cost Projections
Costs Allocated to Voting Taxing Entities - Lease Option
Taxing Entity
% BCAD
Budget
2015 Current
Allocated Annual
Occupan...
Costs Allocated to Voting Taxing Entities - Purchase Option
Taxing Entity
% BCAD
Budget
2015 Current
Allocated
Annual
Occu...
Summary Schedule
Comparison of Projected Annual Occupancy Costs
Lease vs. Building Purchase
Taxing Entity
% BCAD
Budget
(2...
Equity Build Up Analysis - Lease Cost vs. Purchase Cost
Lease Analysis
Lease Cost For 15 Years
@ $1.15/SQ FT Equity
Lease ...
Summary
The Brazos Central Appraisal District
Board of Directors recommends building
rather than leasing office space to g...
Questions ?
Brazos Central Appraisal District
Upcoming SlideShare
Loading in …5
×

Brazos Central Appraisal District

1,083 views

Published on

Brazos Central Appraisal District

Published in: Government & Nonprofit
  • Be the first to comment

  • Be the first to like this

Brazos Central Appraisal District

  1. 1. Purchase vs. Lease Analysis City of College Station 10/22/2015 5:30 p.m.
  2. 2. Estimated Project Cost Land Cost = $500,000 Building Cost = $2.7 Million Total Project Cost 3.2 million
  3. 3. • When Appraisal District’s were created in 1979 they leased office space because no one knew if they would stay or go away. • The goal of the BOD’s was to provide the best office space solution for todays needs while also planning for future needs. • They had to consider a proposal that would work best for all the entities.
  4. 4. Factors Considered • Growth – Population growth • Security – How can we best control the flow of visitors in our office • Customer Service – How can we best serve Brazos County property owners in the future • Technology – Need to improve our aging office infrastructure and plan for the future • Value – Best use of taxpayer dollars (lease vs. Purchase)
  5. 5. City College of Station Assessed Value 2006 – 2015 $0 $1,000,000,000 $2,000,000,000 $3,000,000,000 $4,000,000,000 $5,000,000,000 $6,000,000,000 $7,000,000,000 $8,000,000,000 $9,000,000,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 $8.48 Billion $4.70 Billion
  6. 6. County Parcel Count 2005 – 2015 (+15,000 Parcels) 100,000 105,000 110,000 115,000 120,000 125,000 130,000 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 127,065 112,060
  7. 7. Brazos County Population Estimate According to the Texas State Demographer the population of Brazos County in 2015 was 208,796 and is projected to grow to 266,120 in 15 years. This represents a 27.5% increase in population.
  8. 8. Building Site The proposed building site has been owned by the Marr Family Limited Partnership since 2002. The site is 2.145 acres faces Copperfield Drive with access off both Pendleton Drive and Stoneparc Drive.
  9. 9. Renovation 11,500 Sq. Feet
  10. 10. BCAD Proposed Building Schematic Design
  11. 11. Proposed BCAD Site Plan
  12. 12. BCAD Building Cost Projections
  13. 13. Costs Allocated to Voting Taxing Entities - Lease Option Taxing Entity % BCAD Budget 2015 Current Allocated Annual Occupancy Costs Lease Option Projected Allocated Annual Occupancy Costs Lease Option Annual Increased Cost to Entities Brazos County 0.2157 $34,492 $42,378 $7,886 City of Bryan 0.0887 $14,184 $17,426 $3,243 City of College Station 0.0980 $15,671 $19,254 $3,583 BISD 0.2634 $42,119 $51,749 $9,630 CSISD 0.3261 $52,145 $64,067 $11,922 Other Entities 0.0081 $1,295 $1,591 $296 TOTAL FOR ALL VOTING TAXING ENTITIES 1.0000 $159,906 $196,466 $36,560
  14. 14. Costs Allocated to Voting Taxing Entities - Purchase Option Taxing Entity % BCAD Budget 2015 Current Allocated Annual Occupancy Costs - Lease Option Projected Allocated Annual Occupancy Costs - Purchase Option Annual Increased Cost to Entities Brazos County 0.2157 $34,492 $43,860 $9,368 City of Bryan 0.0887 $14,184 $18,036 $3,852 City of College Station 0.0980 $15,671 $19,927 $4,256 BISD 0.2634 $42,119 $53,559 $11,440 CSISD 0.3261 $52,145 $66,309 $14,163 Other Entities 0.0081 $1,295 $1,647 $352 TOTAL FOR ALL VOTING TAXING ENTITIES 1.0000 $159,906 $203,339 $43,433
  15. 15. Summary Schedule Comparison of Projected Annual Occupancy Costs Lease vs. Building Purchase Taxing Entity % BCAD Budget (2015) Annual Occupancy Cost to Entities (Lease) Annual Occupancy Cost to Entities (Building Purchase) Annual Cost Difference to Entities (Lease vs. Building Purchase) Brazos County 0.2157 $42,377 $43,861 $1,484 City of Bryan 0.0887 $17,427 $18,036 $609 City of College Station 0.0980 $19,254 $19,927 $673 BISD 0.2634 $51,749 $53,559 $1,810 CSISD 0.3261 $64,068 $66,309 $2,241 Other Entities 0.0081 $1,591 $1,647 $56 TOTAL FOR ALL ENTITIES 1.0000 $196,466 $203,339 $6,873
  16. 16. Equity Build Up Analysis - Lease Cost vs. Purchase Cost Lease Analysis Lease Cost For 15 Years @ $1.15/SQ FT Equity Lease Cost For 15 Years @ $1.06/SF FT Equity (Assuming No Rent Increase) Build Up (Assuming No Rent Increase) Build Up $2,380,500 $0 $2,194,200 $0 Purchase Analysis Mortgage Payments Remaining Mortgage Appraised Value Equity (After 15 Years) Amount (Assuming No Appreciation) Build Up $2,296,805 $1,306,117 $3,203,670 $1,897,553
  17. 17. Summary The Brazos Central Appraisal District Board of Directors recommends building rather than leasing office space to give the property owners of Brazos County the best value for their tax dollars and to provide improved security, efficiency and technology for the BCAD staff as well as the public.
  18. 18. Questions ?

×