The Carter-Cox Manufacturing/Warehouse is located on the eastern side of Highway 49 north, just north and east of the Jonesboro city limits. The site is irregular shaped and contains a total of 551,905 square feet or 12.67 acres. The manufacturing/warehouse contains a total of 80,809 square feet of total floor area.
The following general specifications represent a brief description of the property
||Reinforced concrete footings and monolithic concrete slab on grade.|
|ROOF FRAMING AND SYSTEM:
||The roof is a gabled system with steel frame in all areas|
||Ceiling hung blower for heat and no air conditioning, except in office areas.|
||Appears to be adequately sized to serve the needs of the occupants.|
||Rest rooms in office area and warehouse|
||Typically suspended acoustical tile in office areas.|
||No interior finish in warehouse area; minimum in office area.|
||Pit type loading dock, overhead doors|
The age of the building is approximately 18 years old. The size of the building and property is typical for most small to medium sized manufacturing/warehouse type projects in north Arkansas. The site is not restricted by access or availability of space. The site provides excellent access and visibility from Highway 49 north.
This property is located in a rapidly expanding area of Arkansas. An enormous number of industries have located in Jonesboro, Arkansas in the past several years and Highway 49 has recently been improved to four full lanes of traffic from Jonesboro all the way to Paragould, Arkansas. Anheuser-Busch has a large facility just to the north of the property and the nearby residential construction in the area is growing very rapidly. Commercial and industrial properties in the area are also expanding rapidly.
The topography of the site can be described as generally level lands and appears to provide adequate drainage. According to the Federal Insurance Administration Rate Map, the property is not located within any Zone AE Special Flood Hazard Area, which is defined as an area determined to be outside the 100‑year flood plain, therefore requiring flood insurance.
The availability and capacity of public utilities appears to be adequate for most uses which might be deemed physically possible on the subject site.
According to a recent appraisal the use of this site as a general purpose warehouse building with office is physically possible, as are developments for other uses such as a mini‑warehouse complex, retail center, or single or multi‑family development.
This property is currently located in the County and not under any zoning regulations. Therefore, the highest and best use of the property as if vacant is not restricted to any permitted uses under zoning. However, the Craighead County Court could possibly impose special conditions or allow other types of uses within the Commission's powers.
Surrounding land uses in the immediate vicinity of the subject property includes primarily warehouse facilities and special use properties, with commercial land uses being located along Highway 49 North. It appears that the majority of the manufacturing and warehouse oriented properties located in the area have been generally successful.
The neighborhood in which the property is located has an overall success rate of manufacturing/warehouse properties. Given the fact that the development is centered around the eastern section of Jonesboro, a neighborhood oriented manufacturing/warehouse use should be entirely financially feasible for a potential buyer.
The property is in good physical condition and a good stable tenant base in the neighborhood adds to the attractiveness of the property. Potential tenants have an optimistic attitude of the future development of this area. This should indicate to a potential buyer that the property will be a very viable manufacturing facility in the future.
With the property being in excellent physical condition one can assume that the economic life can be substantially continued. The current owners care and maintenance program has assured a long and successful economic life of the structure.
Total Estimated Replacement Costs*
Build-Up of Cost Estimate
|Number of Stories
|Average Floor Area
||1,310 Linear Feet|
|Base Square Foot Cost
|Square Foot Refinements
|Heat & Air
||included in base|
|Height and Size Refinements
|Number of Stories
|Wall Height Multiplier
|Size and Shape Multiplier
| Refined Base Cost
|Refined Square Foot Cost
|Current Cost Multiplier
| Final Square Foot Cost
|Total Building Area
||80,809 Square Feet|
|Estimate Reproduction Cost New of Structural Improvements
|Site and Miscellaneous Site Preparation & Grading
|Indirect Cost ($1,939,314 x .03)
|Entrepreneurial Profit ($1,997,493 X.09)
|Total Estimate Reproduction Cost New
*per recent appraisal of property
Analysis and Conclusions**
Estimate of Total Accrued Depreciation
Total Anticipated Economic Life 45 years
Estimated Remaining Economic Life ‑ 27 Years
Estimated Effective Age 18 years
18 years at 2.22% per year = 39.96% Total Accrued Depreciation
Depreciated Value of the Improvements $1,307,231
Plus: Estimated Land Value $100,000
Indicated Value by the Cost
**Information taken from recent appraisal of property
REGIONAL AND CITY DATA
The Greater Jonesboro Metropolitan Statistical area consists of Craighead, Greene, Jackson, Lawrence, Mississippi, and Poinsett Counties, and according to figures released by the Census Bureau, has a population of 219,350 as of 1990. According to 1990 census figures Jonesboro had a population of 46,535, a 47.6% increase from the 1980 population of 31,530. Jonesboro, Arkansas is the county seat for Craighead County and is uniquely situated as the hub of Northeast Arkansas. Distance by highway to major nearby cities include Little Rock, 130 miles; Dallas, 486 miles; Atlanta, 481 miles; Chicago, 490 miles; St. Louis, 236 miles; New Orleans, 409 miles; and Tulsa, 403 miles.
The incorporated cities of Craighead County:
The diverse local economy of Jonesboro and Craighead County ranges from premier delta agriculture farming operations to modern manufacturing and industrial companies to a major state university. Agriculture is the basic economy for the county, however, Arkansas State University is the largest local employer. The civilian labor force was estimated in 1997 to be approximately 40,750 with an unemployment level of 3.5%, with the State being 5.0%.
Some of the area's leading employers include:
Number of Employees
|ADT Security Systems
|Arkansas Glass Container Corp
|Arkansas State University
|Basler Electric Company
|Coca Cola Bottling, NEAR
|Colson Caster Corp.
Air ‑ The Jonesboro Municipal Airport is located in the eastern part of the city. The airport has a master plan which is currently being phased calls for a 7,000 foot runway. Currently the longest runway is a paved, lighted, high intensity approach, 5,600 feet runway. There is a charter service available with single and multi‑engine planes. The airport has one commercial air carrier, Exec Express II.
Rail ‑ Southern Pacific, Union Pacific, and Burlington Northern provide 24 hour rail service to surrounding states.
Highways ‑ Major highways leading into and out of Jonesboro include United States Highways 49 and 63; State Highways 1, 18, 141, 226, & 351. Jonesboro is located approximately 44 miles from Interstate Highway 55 and approximately 63 miles from Interstate 40.
Trucking/Motor Freight ‑ Franchised interstate common carriers with terminals located in Jonesboro include, but are not limited to, Roadway Express, Arkansas Freightways, ABF Freight Systems, Inc., P‑I‑E Nationwide and Yellow Freight System, Inc. These and others provide freight service from Jonesboro to all points in the United States and Canada.
Bus ‑ The Jonesboro area is serviced by Greyhound Bus Lines. Charter bus service is available through Great Southern Coaches.
Waterways ‑ The nearest navigable port is on the Mississippi River. Osceola and West Memphis, Arkansas, and Memphis, Tennessee all have ports located approximately 50 miles from Jonesboro.
Jonesboro operates under the Mayor‑City Council‑City Planning Commission, The Mayor is elected by popular vote on a full‑time basis.
The Jonesboro police department has approximately 54 officers and approximately 33 radio‑equipped patrol vehicles. Service is available to industrial plants outside the city limits.
Jonesboro has an ISO fire rating of 4, with 52 paid fire fighters and 17 fire vehicle units.
Electricity - Electric service in Jonesboro is supplied by the Craighead Electric Cooperative and the Jonesboro City Water and Light Company.
Water ‑ The water supply for the city of Jonesboro is supplied by the municipality. The raw water supply comes from 14 water wells. The water wells have. a storage capacity of 4,100,000 gallons, a pumping capacity of 26,400,000 GPD, and a peak consumption of 11,400,000 GPD.
Sanitary Sewer System ‑ Jonesboro operates a sewer system capable of handling ‑ approximately 9, 000, 000 Gallons Per Day, with a surplus capacity of 4,500,000 GPD.
Telephone And Telegraph ‑ Southwestern Bell Telephone Company serves the Jonesboro area utilizing electronic and digital central office switching equipment.
Natural Gas ‑ Arkansas Louisiana Gas Company (Arkla) is a fully integrated gas utility serving almost 700,000 customers in its five‑state service area (Arkansas, Louisiana, Texas, Kansas and Oklahoma). Arkla normally offers up to 306 million cubic feet of processed gas to industries daily, and can be expanded to meet the requirements of industry.
Education and Training
The Jonesboro Public School District is fully accredited by the North Central Association of Secondary Schools and Colleges, and is rated "All by the Arkansas Department of Education.
Arkansas State University is located in Jonesboro. The University offers Associate, Bachelor, Master, Doctorate and Specialist degrees. The fall 1991 enrollment was approximately 9,700 students. The University is the second largest university in Arkansas. There are five other universities and secondary colleges located within eighty miles.
The economic and social environment of Jonesboro and Craighead County is well established, diverse, and expanding as businesses continually look for locations in the South where land, labor costs, taxation, and educational opportunities are favorable. Jonesboro qualifies on all points and, accordingly, has continued to grow, even during recessionary periods. The local economy depends heavily on the economies generated by agriculture and medium sized manufacturing industries, however, the area economy is centered around Arkansas State University. The University has experienced exceptional growth during the Eighties, with an enrollment of approximately 7,620 in 1980 to a 1991 enrollment of 9,700. The agricultural and manufacturing economies both have experienced relative mild recessionary periods during the above time period, however, the economies generated by the University have maintained the overall economic well being of the Jonesboro area. All of the benefits the above industries contribute to a metropolitan area providing a diverse employment foundation that should continue to create a growing economic base for the city and county. Accordingly property values in general are expected to remain stable at worst, however it is anticipated that the steady population increases experienced by both Jonesboro and Craighead County will continue for the foreseeable future. In our opinion, the relative slowdown experienced in commercial development in the Jonesboro community will continue for several years. However, we do feel this slowdown will be revived in the coming years as the University continues to expand, retail growth continues to grow to meet the expanding population base, and as industries in the Northern and Eastern United States continue to relocate to Southern States due to the work ethic found in the labor population and the favorable climate.
Assessment and Taxes
According to the Tax Assessor for Craighead County, the appraised value of the real estate that is the subject of this report was as follows:
The total assessment level indicates a total assessed value by the Assessor's Office of $143,720 which is 20 percent of the total appraised value above. The millage rate applicable to the subject property, as of the effective date of the appraisal, was $36.10 per $1,000 of assessed value. The total 2001 taxes to be paid in 2002 associated with the subject property are as follows (as reported by the Craighead County Tax Collector).
for 2001 Payable
HISTORY OF OWNERSHIP
An examination of Craighead County Assessor's records indicate the subject to be owned by Carter‑Cox Seed Company, with no change in ownership in the last thirty six (36) months.
An examination of taxes for other properties in the market area, as well as, the sales and listings used in the report indicate that approximately 60% of these are taxed at very near their market value, while approximately 27% are under valued and only approximately 13% are over valued by the County Assessment Division.
Discussions with Assessors across the State indicates that most feel little increases in property taxes will take place in the State for at least the next year. At the present time, there is a very well established anti property tax group of individuals across the State.
The State Legislators have tentatively agreed to include property tax issues in the next assembly.
The assessed value and tax amount for the subject appears to be comparable to other similar type retail buildings in the market area. With the current political climate in the State, no increase in assessments for the area is expected in the near future. No special assessments are in place or expected in the foreseeable future.