appraisal report of

STEGALL, BENTON & ASSOCIATES, LLCREAL ESTATE APPRAISAL & COUNSELING

4403 ZENITH STREET

METAIRIE, LOUISIANA 70001(504) 888-8161

APPRAISAL REPORT OF

Multiple Vacant Parcels of Land Located in South Kenner SubdivisionWaggaman, LA 70094

(New Orleans International Airport “Noise Properties” Bundle No. 32)Agreement Number: K14-1073

OUR FILE NO. 15-64-A

FOR

Mr. Sheldon DemasReal Estate Property Manager

New Orleans International AirportP.O. Box 20007

New Orleans, LA 70141


4403 ZENITH STREET • METAIRIE, LOUISIANA 70001(504) 888-8161 • FAX (504) 888-8683

STEVEN R. STEGALL, MAI, SRPA BUSH G. BENTON, MAI [email protected] [email protected]

[email protected]

May 11, 2015

Mr. Sheldon DemasReal Estate Property ManagerNew Orleans International AirportP.O. Box 20007New Orleans, LA 70141

Re: Appraisal Report ofMultiple vacant Parcels of LandLocated in South Kenner SubdivisionKenner, LA 70062(New Orleans International Airport-Noise Properties, Bundle No. 32)Agreement Number: K14-1073Our File No. 15-64-A

Dear Mr. Demas:

An Appraisal Report of the above captioned property is herein submitted for yourreview. This appraisal is based upon a number of enclosed assumptions and limitingconditions. All of the data considered pertinent in arriving at an estimate of the “As Is”Market Value of the Fee Simple Interest in the subject property has been considered.

The term Market Value is defined as: "The most probable price in terms of money whicha property should bring in a competitive and open market under all conditions requisiteto a fair sale, the buyer and seller each actively prudently and knowledgeably, assumingthe price is unaffected by undue stimuli . . ."

The subject consists of multiple vacant land parcels (total of eight) located inWaggaman, LA., just south of the Mississippi River. The parcels range in size from±5,307 SF to 155,885 SF and contain frontage along Moss Lane, Linda Lane and RiverRoad (LA 18). The parcels are mostly vacant and cleared with the exception of scatteredtrees/minor vegetation. The parcels are zoned S-1, Suburban District. The appraisershave elected to combine the subject lots into six parcels (based on Highest and Best Use)which range in size from 5,499 SF to 225,614 SF.


This appraisal considers requirements regarding airport covenants and restrictions, etc.See Scope of Work Section.

The subject properties are encumbered by the Airport Hazard Aerial Zone and by theAirport Compatible Land Use PropertyRestriction. These encumbrances affect potentialdevelopment of some of the subject properties. This appraisal considers requirementsregarding airport covenants and restrictions, etc. See Scope of Work Section.

As a result of the enclosed analyses, it is the appraisers’ opinion that the “as is” MarketValue of the Fee Simple Interest of the subject property, as of March 24, 2015, is ......

ONE HUNDRED SEVENTY-FIVE THOUSAND DOLLARS$175,000

The estimated future marketing times for the properties is up to two years. The marketvalue estimate above assumes that the marketing period has already passed (exposuretime) and that this is the price that was negotiated as of the effective date of theappraisal.

Transmitted herein is an appraisal report showing the value conclusions and techniquesused in arriving at those conclusions. This report is prepared in accordance with ourinterpretation of current federal regulations which state that the level of detail within thereport must be commensurate with the complexity of the real estate appraised. Thisvaluation is also predicated on the Assumptions and Limiting Conditions found herein.This report also notes all requests from the client. Please note that the signatories of thisreport do not have a debt relationship with the client.

This appraisal report has been prepared in conformity with, and subject to, the reportingrequirements of the Code of Professional Ethics and Standards of Professional AppraisalPractice of the Appraisal Institute, the Uniform Standards of Professional AppraisalPractice (USPAP) adopted by the Appraisal Foundation, Title XI of the FinancialInstitutions Reform, Recovery, and Enforcements Act of 1989 (FIRREA). This reportis in compliance with USPAP and the statement of Appraisal Standards No. 2-2(a),effective January 1, 2014 through December 2015.

USPAP 2014 has changed the three appraisal reporting options of “Self-Contained”,“Summary” and “Restricted Use” to two reporting options of “Appraisal Report” and“Restricted Appraisal Report”. The reporting options set forth in USPAP are minimumsfor each type of report and may be expanded and/or supplemented, when necessary, toensure that any intended user of the appraisal is not misled and that the report complieswith applicable content requirements set forth in Standards Rule 2. The appraisal reportfor this assignment contains content and detail similar to the previous “SummaryAppraisal” reporting option.


Thank you very much for the opportunity to be of service to you. If you have anyquestions or comments with regard to any of the enclosed information, please do nothesitate to contact us.

Sincerely yours,

_________________________ ___________________________David O. Melancon, Associate Bush G. Benton, MAILouisiana Certified Louisiana CertifiedGeneral Real Estate Appraisal General Real Estate AppraisalLicense No. G1539 License No. G0847

TABLE OF CONTENTS

Purpose of the Appraisal 1Definition of Market Value 1Intended Use of the Report 1Property Rights Appraised 1Effective Date of Value 2Scope of the Appraisal 3

Neighborhood Data and Analysis 7Subject Photographs and Descriptions 8Site Data and Analysis 12History of the Subject Property 12Zoning Data and Analysis 13Tax and Assessment Data and Analysis 13

Highest and Best Use Analysis 16Estimate of Value by the Sales Comparison Approach 17

Addenda

Certification of the Appraiser(s)Assumptions and Limiting ConditionsQualifications of the Appraiser(s)Letter of Engagement

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PREMISE OF THE APPRAISAL

Intended Use of the Appraisal

The intended use of this appraisal report is exclusively assist the client for internal financialdecisions regarding sale of surplus properties. This report is intended to be used only by theclients. Use of the report by others is not intended by the appraisers.

Purpose of the Appraisal

The purpose is this appraisal is to estimate the “as is” market value of the Fee Simple Interestin the subject properties.

The term "market value" is defined by Federal Financial Institutions Regulating Agenciesas,

"The most probable price which a property should bring in a competitive and open marketunder all conditions requisite to a fair sale, the buyer and seller each acting prudently andknowledgeably, and assuming the price is not affected by undue stimulus. Implicit in thisdefinition is the consummation of a sale as of a specified date and the passing of title fromseller to buyer under conditions whereby:

1. Buyer and seller are typically motivated;

2. Both parties are well informed or well advised, and each acting in what they consider their own best interest;

3. A reasonable time is allowed for exposure in the open market;

4. Payment is made in terms of cash in US dollars or in terms of financial arrangements comparable thereto; and

5. The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.”

INTEREST VALUED: The term "Fee Simple Estate" is defined in the Dictionary of RealEstate Appraisal, 5th Edition as follows:

"Absolute ownership unencumbered by any other interest or estate; subject only to thelimitations imposed by the governmental powers of taxation, eminent domain, police power,and escheat."

EFFECTIVE DATE OF VALUE: March 24, 2015.

DATE OF REPORT: May 11, 2015.

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Marketing Time

Marketing time is defined as "an estimate of the amount of time it might take to sell aproperty interest in real estate at the estimated Market Value during the period immediatelyafter the effective date (valuation date) of the appraisal." (Source: USPAP Advisory OpinionG-7). Throughout this report, the assumption for the interest appraised is that it can bemarketed in the future within a period of about one year Further inherent in this assumptionis the idea that all factors relating to the property appraised (both physical and economic)remain the same. Please be aware that past marketing times reported by the sales informationis not necessarily indicative of future marketing times. Again, there is no such thing as aperfect time indicator. Each property sells based on its own unique characteristics within themarketplace. Marketing times and values are based on conversations with local buyers andsellers along with discussions with real estate professionals. Furthermore, the appraiser(s)paid attention to the marketing history of the comparables utilized. The estimated marketingtime for the subject property is up to two years.

Exposure Time

Exposure time is defined in the Uniform Standards of Professional Appraisal Practice as "theestimated length of time the property interest being appraised would have been offered onthe market prior to the hypothetical consummation of a sale at market value on the effectivedate of the appraisal; a retrospective estimate based upon an analysis of past events assuminga competitive and open market". This estimate is based on the property being exposed forsale on the open market at a price in line with the market value estimate shown herein andwith the property being aggressively marketed by a quality/experienced brokerage firm(allowing for high visibility and a determined marketing effort).

Exposure time is a theoretical concept included in this report solely because of itsrequirement by USPAP. Real estate by its physical characteristics is an illiquid commodity.Real estate markets in general are imperfect by their very nature. Individual parcels of realestate are each inherently different with their own specific characteristics. An extraordinarysales effort at any point in time (even when supply and demand of the market is present)might not result in a rapid sale. Further, a quick turn around can occur for an unusual pieceof property with little or no marketing effort when a specific buyer desires a particular pieceof property at a given point of time. The reader of this report should not rely in any way onthe exposure time estimate herein in conjunction with any decision making process.

Based upon all of the information contained in this report, as well as information gatheredthrough the appraisal process (which includes interviews with brokers, tenants, propertyowners, local government officials, etc.), it is the appraisers' opinion that the subject of thisappraisal within the surrounding environment (both macro and micro economic factorsconsidered) would have had an exposure time of about two years.

The subject consists of multiple properties (surplus land) which is assumed for the purposeof this appraisal assignment to be one property. Marketing/exposure time does not considermultiple properties being marketed for sale at the same point in time.

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SCOPE OF WORK: The scope of work (type and extent of research and analysis) is basedon what is required to produce creditable assignment results in the context of the intendeduse. Creditable results are defined as “results that require support by relevant evidence andlogic, to the degree necessary for the intended use. The results must be in compliance withthe appraisers’ peers.” The appraisers’ peers are defined as “those appraisers who haveexpertise and competency in a similar type assignment.” As per the client’s request, theappraisers are to produce a Summary Appraisal.

The Scope of the Appraisal describes the extent of the appraisal process, i.e., collecting,confirming and reporting data. These three categories are discussed below.

Collecting Data

This appraisal has been based upon a review of comparable sales, listings, etc. Marketinformation includes comparable sales, etc. The appraisers also researched the local MLSand Deedfax, discussions with agents, buyers, sellers, conveyance records, as well as theUniversityof New Orleans’ Real Estate Market Analysis. The appraisers have also discussedthe subject property with agents, brokers and other real estate professionals familiar with thesubject market, etc.

To perform the scope of work the appraisers researched to produce accurate information forvaluing the property. The conclusions in this report include various appraisal techniques inorder to produce an unbiased conclusion of value for the subject property. All comparablespresented within this report have been personally inspected by the appraisers. Additionally,overall market supply/demand conditions have been researched. Our perception of the markethas been combined with specific comparable data in order to determine present levels ofdemand, current price structure, and overall occupancy. This in turn was translated into anestimate of market value.

Confirming Data

Subject physical information was confirmed during inspections. The ownership of theproperty, as well as its taxes, were confirmed with the Parish Assessor's Office andcourthouse records. All office file sales information has been verified with no less than oneof the associated parties and the courthouse.

Reporting Data

The appraisal report contains two major sections which are described below. The manner inwhich the material will be presented and analyzed is discussed at greater length throughoutthe report. Please note that any and all Assumptions and Limiting Conditions will be listedin the section of the report with that title.

Subsequent to a brief outline of the underlying factors upon which this appraisal has beenprepared, the first phase of the report contains an identification of the subject property anda review of the subject's three year past history of sales. An Area Analysis and NeighborhoodAnalysis set forth the relationship of the city and neighborhood to the subject property. The

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site condition, etc. are described in detail. The subject's zoning classification and itsimplementations, and the subject's conformity thereto, are presented. The subject's real estateassessment, levy and parity are discussed. The improvements are then discussed followed bya Highest and Best Use section. After which, all pertinent approaches to value are utilizedto estimate the current market value of the subject property.

The appraisers inspected the subject; however, no inspection was done to the structuralsystems, etc. Noticeable conditions were noted. Unknown conditions may exist but theappraisers have only made a general inspection and only those noted were considered whenvaluing the property. If unknown problems do exist, there may be cause for reconsiderationof the value conclusion. This appraisal assumes no title problems exist and/or deedrestrictions, mineral leases, surface rights, easements, servitudes, etc. This also applies tothe structural components of the property as the appraisers are not engineers. This appraisalconsiders the property to be free and clear of any environmental and hazardous problems.

The three steps specific to the appraisal process as defined by USPAP are: (1) identify theproblem to the solved; (2) determine and perform the scope of work necessary to developassignment results; and (3) disclose the scope of work in the report.

The problem to be solved

The appraisal problem involves estimating the current market value of the subject properties.

The scope of work necessary

The subject properties are identified by legal descriptions, surveys, and personal inspection.The subject properties were inspected and photographed by the appraiser(s).

Disclose the scope of work

The subject consists of multiple vacant land parcels (total of eight) located in Waggaman,LA., just south of the Mississippi River. The parcels range in size from ±5,307 SF to 155,885SF and contain frontage along Moss Lane, Linda Lane and River Road (LA 18). The parcelsare mostly vacant and cleared with the exception of scattered trees/minor vegetation. Theparcels are zoned S-1, Suburban District.

Several of the subject lots are adjacent to one another. The appraisers have elected tocombine the subject’s eight lots into six parcels (lots) which range in size from 5,499 SF to225,614 SF. Due to lack of demand within the subject’s area, the appraisers believe that mostpurchasers would acquire the subject properties in a similar fashion. The subject lots werepurchased from the FAA via a federally funded acquisition program to buy all residential andsemi-commercial uses that were within flight zones, etc. Furthermore, these parcels cannotbe utilized for residential purposes.

The marketing period for the subject property is a problem in this particular appraisal. Thehighest and best use of the subject property is likely for speculative acquisition. The subject’slocation in Waggaman is considered to have very limited demand characteristics for most

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real property uses. Current restrictions prevent the properties from being developed in aresidential capacity which would likely be the typical Highest and Best Use. There arelimited investors in the marketplace for such properties given the subject’s location andphysical dynamics. Therefore, in this instance, the market value of the subject property(s) ispredicated on an estimated exposure time of one to two years. More important to the clientis the estimated future marketing time, which is identical (one to two years). Sometimes, ina real property situation of this nature, a discount can be applied to the market value in aneffort to shorten the marketing period. The appraisers believe that the subject property shouldbe exposed to the open market for sale at a reasonable price by a high-powered brokeragefirm with a determined marketing effort. This process could easily take up to two years inour market place in the appraisers’ opinion. A discount would not change the market valuethat a proprietor would be willing to pay. Therefore, the client should expect an elongatedmarketing period in order to maximize value for the subject property.

As per the clients’ request, the appraisers consulted with Hank Tatje, MAI and GayleBoudousquie, MAI regarding Airport Hazard Aerial Zones and the Airport Compatible LandUse Property Restrictions. The appraisers spoke/met with Mr. Tatje and Ms. Boudousquiein order to go over such information which is deemed correct for this appraisal report.

In order to comply with the assignment, the subject properties were inspected to determineits physical condition, construction quality and current occupancy level. The appraisers willutilize the Sales Comparison Approach in order to value the subject. This Appraisal Reportis a brief recapture of some of the appraisers’ data, analyses and conclusions similar to aformer Summary Appraisal as discussed in the Letter of Transmittal. A significant amountof other comparables were reviewed and analyzed for the purpose of this report. However,the comparables chosen in the analysis are considered most applicable in the valuation of thesubject property. Supporting documentation is retained in the appraisers’ files.

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DESCRIPTION OF THE REAL ESTATE APPRAISED:

Neighborhood Description: The subject properties are located on the west bank of theMississippi River in metropolitan New Orleans. More specifically, the subject containsfrontage along Moss Lane, Linda Land and River Road in Waggaman. Waggaman is locatedin the western portion of the Westbank, west of the Avondale area. The neighborhoodboundaries are Highway 90 to the south and east, the Mississippi River to the north, and theJefferson/St. Charles Parish line to the west. This location is just south of the MississippiRiver (River Road, etc.). River Road generally follows the Mississippi River and runs fromSt. Charles Parish through Waggaman to where it intersects with Highway 90. Highway 90is a major thoroughfare providing access to the Huey P. Long Bridge (eastern Jefferson), theWestbank Expressway and other areas of the Westbank.

The subject’s general area mainly has residential, farm land and land for horses, cattle, etc.with some commercial uses at corner locations. There is a significant amount ofundeveloped, wooded land surrounding the subject. From an industrial standpoint, the mainimpetus is the unincorporated community of Avondale, which is located ±1 mile east of thesubject. The former Avondale Shipyards is situated in this area. This shipyard facility wassold in 2011 to Huntington Ingalls Industries who intends to use the property in the futureas a fabrication facility. As mentioned, there is still a large amount of undeveloped land inthis area. Located to the south of the subject are numerous waste disposal sites. Located westof the subject along the Mississippi River are several chemical plants including the futureDyno Nobel ammonia manufacturing which is slated to open in 2016.

The subject's immediate neighborhood has average/good accessibility to most sections of theWestbank. As previously mentioned, the subject is located in one of the more westernsections of the Westbank. More specifically, the subject is located just south of River Road(LA 18). River Road provides access to the major thoroughfares (Hwy. 90, Huey P. LongBridge, etc.). East of the subject is the Westbank Expressway, which is a ground level majorthoroughfare in the Westwego area. The Westbank Expressway also has an elevated sectionwhich begins in Marrero. The Westbank Expressway provides access to area east of thesubject (Harvey, Gretna, the CBD, etc.).

As previously mentioned, there is a large amount of undeveloped land in the Waggamanarea. The majority of commercial uses include neighborhood support commercial for theresidential subdivisions. One must travel south to Hwy. 90 to the Avondale area to findshopping center, grocery stores, etc. The subject's general area contains a minor amount ofcommercial and is more or less developed with some interspersed industrial uses, farm land,etc.

The desirability of real estate throughout the Waggaman area is limited. From a residentialstandpoint, it appears average with several subdivisions located east of the subject (Live Oak,Floral Acres, etc. There have been no significant changes in the general industrial market inthe Waggaman area over the past several years. The life stage is more or less stable.Generally, the subject neighborhood is anticipated to maintain and demonstrate a ruralcharacter into the foreseeable future.

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Subject Lots Breakdown

Lot Nos. Square Location Size (SF)

3-7 O Moss 27,066

9-17 O Moss 47,576

3 N Moss 5,499

6 N Moss 5,499

10-19, X-B and A-5 N Moss and Linda 225,614

A-2, A-3, A-4 and A-7 N Linda and River Rd. 159,866

Total 471,120

On the following pages are photographs and a lot and block map

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SUBJECT PHOTOGRAPHS

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SUBJECT PHOTOGRAPHS (Continued)

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Lot and Block Map

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Site Data: The subject consists of multiple vacant land parcels located in Waggaman, LA.,just south of the Mississippi River. The parcels range in size from ±5,499 SF to 225,614 SF.The parcels very in shape and size but all contain average to good visibility from frontingstreets. The parcels are located just south of the Mississippi River and contain frontage alongMoss Lane, Linda Lane and River Road (LA 18). Fronting streets are generallybi-directional,macadam paved streets with subsurface/open ditch drainage and overhead streetlights. RiverRoad generally follows the Mississippi River and runs from St. Charles Parish throughWaggaman to where it intersects with Highway 90. Highway 90 is a major thoroughfareproviding access to the Huey P. Long Bridge (eastern Jefferson), the Westbank Expresswayand other areas of the Westbank.

At the time of inspection, the majority of parcels were mostly vacant and cleared with theexception of scattered trees/minor vegetation. The majority of the parcels are level andat/slightly below street grade. To the appraisers’ knowledge, all public utilities are availableto the sites (except sewer).

According to FEMA (Community Panel 22051C0030E, dated 3/23/1995) the subject parcelslie within Flood Zone "X". Flood Zone "X" is not a flood hazard area. Flood zones arereported for information purposes only. To the appraisers’ knowledge, the subject did notflood during Hurricane Katrina. A subsoil study was not provided to the appraisers. Evidenceof soil problems were not noted. This report assumes that foundation and soil problems donot exist.

The appraisers were provided with multiple older surveys of the majority of the subject sites.Several of the surveys indicate former improvements which have since been demolished.Upon inspection, the appraisers noted power poles and overhead power lines along many ofthe fronting streets of the sites.

The surrounding land use history of the adjacent properties is unknown. This report assumesthat the market value of the subject properties are not adversely impacted by any type of pastor present liability from adjoining property parcels (see Assumptions and LimitingConditions). The environmental history of the subject properties is not really known, as wellas the history of the surrounding sites. According to a representative of the owner, there areno environmental problems with the subject sites. Environmental hazards were not noted norsuspected. The appraisers are not experts in this field. Experts should be consulted, if desired.

At the time of inspection, the parcels were mostly vacant and cleared with the exception ofscattered trees/minor vegetation. Oriented along the western side of Lots 9 and 10, SquareO is older shed which is considered to have no contributory value. No restrictions,easements, servitudes, or other encumbrances are known to exist which would adverselyaffect the value of the subject that have not already been discussed. As a result of its location,zoning, neighborhood influences and existing improvements on the site, the subject isconsidered suitable for its present use.

History: According to the Assessor’s Office, the subject parcels are currently owned by TheCity of New Orleans/New Orleans Aviation Board. To the appraisers’ knowledge, notransactions involving the subject property have taken place within the past three years.

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Zoning: The Comprehensive Zoning Ordinance for Jefferson Parish assigns a zoningclassification of "S-1, Suburban District" to the subject property. This district is composedof certain lands and structures having low density single family residential character andadditional open area where it is likely and desirable that such development will occur.Portions of these areas are not served by the full range of urban facilities such as water,sanitary sewer, nature gas or public transit. Though the district is intended primarily forresidential purposes, it is recognized that agricultural and the raising of poultry and live stockis frequently desired by homeowners in this district and therefore provisions are made forlimited farms with such activity with appropriate safeguards for nearby residents.

Permitted uses include farming, single and two family dwellings, boat houses, cemeteries,churches, golf courses, private clubs, mobile homes, public buildings and institutions ofeducational nature, etc. No building shall exceed 35 in height. Setback requirements are 35in the front, 25 in the rear and 15 on the sides. The minimum lot area is 20,000 SF. Theminimum lot width is 100 and the minimum depth is 200.

The subject properties were acquired under federal regulations regarding the acquisitionprogram that restricts the properties from ever being developed with residential uses.

Regarding Noise Level Restrictions (LDN), this is the yearly day-night average sound level.As the LDN increases between 65-70 and above, building and design materials are neededin order to reduce noise levels in buildings. This increases construction costs, etc. The entiresubject bundle has an LDN of 75. A review of the Land Use Compatibility Chart (upcomingpage) shows that commercial/industrial related uses are not affected. Due to the subject’sLDN of 75, this is considered affected and such will be considered when finalizing values.

Tax Assessment and Data: The subject parcels are owned by a government entity andtherefore currently exempt from all property taxes.

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Flood Map

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Zoning Map

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HIGHEST AND BEST USE

Highest and Best Use is defined in The Dictionary of Real Estate Appraisal, 5th Edition, as“The reasonably probable and legal use of vacant land or an improved property, which isphysically possible, appropriately supported, financially feasible, and that results in thehighest value. The four criteria the highest and best use must meet are legal permissibility,physical possibility, financial feasibility, and maximum productivity.”

Based on the above analysis and a study of the surrounding land use patterns, existing zoninglaws, financial/profit maximization principles, etc., the appraisers believe that the highest andbest use of the subject sites "as if vacant" would be for some form of light industrialdevelopment. The subject consists of multiple vacant land parcels located just south of theMississippi River in Waggaman, LA. As previously discussed, the subject sites are locatedin older, rural areas developed with low-income residences and older warehousing.According to the most recent Jefferson Parish zoning maps, the parcels are zoned S-1,Suburban District. As mentioned, residential developments are not permitted. The area haslimited demand for most uses with a large inventory of vacant land. Thus, the highest andbest use is speculation or possible purchase by adjacent owners.

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ESTIMATE OF SITE VALUE BY THE SALES COMPARISON APPROACH

There are six recognized techniques to estimate the value of land. The appropriateness ofeach is dependent upon the specific site and the data available. These six techniques arebriefly described below.

1. The Sales Comparison Approach--in this technique sales of parcels of land similar tothe subject site are analyzed, compared and adjusted to provide a value indication forthe land being appraised. By analyzing market transactions the appraiser can determinethe applicable units of comparison and elements of comparison. For example, a sitemay be valued by the front foot, the square foot, the square yard, the acre or other unitused by the market. Elements of comparison are the characteristics of land that causethe prices paid to vary. Examples of elements of comparison are the site's size, shape,frontage, topography, and location. The sales comparison technique is the mostcommon method of valuing land and is the preferred method when comparable salesare available.

2. Allocation--this technique is based on the premise that there is a normal or typical ratioof land value to property value for specific categories of real estate in specificlocations. The allocation method does not produce conclusive value indications, butit can be used to establish land value when the number of vacant land sales isinadequate.

3. Extraction--this technique is a variant of the allocation method. The land value isextracted from the sale price of an improved property by deducting the valuecontribution of the improvements. The value contribution of improvements can beestimated from their depreciated costs and, in some cases, paired sales.

4. Subdivision Development--this technique is appropriate when subdivision anddevelopment represent the highest and best use of the subject parcel of land. In thistechnique the number of potential sites is determined, the timing and amount of incomeflows from site sales and the expenses associated with these sales is estimated, and theresulting cash flows are discounted into a present value estimate.

5. Land Residual--this technique is applicable when the building value is known or canbe accurately estimated, when stabilized annual net operating income to the propertyis known or can be accurately estimated, and when both building and landcapitalization rates can be extracted from the market. The technique involvesallocating the net operating income between the building and land components andcapitalizing the income attributable to the land by a land capitalization rate. Thistechnique may be most useful in testing the feasibility of alternate uses of a particularsite.

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6. Ground Rent Capitalization--in this technique ground rents are capitalized at a marketderived land capitalization rate to indicate the market value of a site. This procedureis useful when an analysis of comparable sales of leased land indicate a range of rentsand capitalization rates.

In the case of the subject property adequate market transactions have occurred to rely solelyon the sales comparison approach. This approach was selected as it most directly reflects theactions and motivations of buyers and sellers in this market and because of the quality andquantity of the data available to apply this technique.

The location of the subject property and the comparable sales is depicted on the followingComparable Land Sales Map.

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COMPARABLE LAND SALE NO. 1

LOCATION: Lafitte Larose Highway, Marrero, Louisiana

DATE: September 19, 2008

RECORDATION: NA #10849053

VENDOR: Carrere Land Company, LLC, represented by Joseph L.Carrere

VENDEE: Jefferson Parish School Board, LLC, represented by MarkMorgan

SALE PRICE: $583,500 cash

LEGAL DESCRIPTION: Part of Lots H-322-D, H-322-E and H-322-F, Ames FarmsSubdivision, Lower Estelle Plantation, Jefferson Parish,Louisiana

DIMENSIONS: Various

LOT AREA: ±1,195,722 SF or 27.45 acres

ZONING: R-1B, Suburban Residential District and S-1, SuburbanDistrict

COMMENTS: This parcel is located along the western side of LafitteLarose Highway, south of Destrehan Avenue.Approximately half of the parcel was cleared and filled atthe time of sale. The property was purchased for thedevelopment of a school.

UNIT PRICE: $0.49 PSF

VERIFICATION: Courthouse records and vendor

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LOCATION: 700 Churchill Parkway, Westwego, Louisiana

DATE: November 15, 2007


VENDOR: Churchill Farms, Inc, represented by Joseph C. Marcello

VENDEE: Jefferson Parish Economic Development and Port District,represented by David Andignae

SALE PRICE: $1,000,000 cash

LEGAL DESCRIPTION: A portion of Lot 26-A1, Sections 1 and 12, T14S-R22E,,Jefferson Parish, Louisiana

DIMENSIONS: Various

LOT AREA: ±2,178,000 SF or 50 acres

ZONING: U-1, Unrestricted District

COMMENTS: This parcel is located along Churchill Pkwy near NicolleBlvd. At the time of sale, the parcel was partially cleared andfilled. The tract was purchased as the starter parcel for theChurchill Technology Park. The property was has since beenimproved with a JEDCO office building.


VERIFICATION: Courthouse records and vendee

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LOCATION: Third Street, Kenner, Louisiana 70062

DATE: October 30, 2012

RECORDATION: NA# 11251704

VENDOR: Anthony H. Weber, Jr. and Robert A. Weber, Sr.

VENDEE: C. Mullin Investments, LLC, represented by CharlesMullin, Jr.

SALE PRICE: $160,000 cash

LEGAL DESCRIPTION: Lot B, Square 2, Hanson Place Subdivision, City ofKenner, Jefferson Parish, Louisiana

DIMENSIONS: 394.44(Third) x 434.72 (Alliance) x various

LAND AREA: ±82,971 SF or 1.90 acre

ZONING: S-I, Special Industrial District

UNIT SALE PRICE: $1.93 PSF

COMMENTS: This is the sale of a vacant corner site on 3rd Street andAlliance Avenue in Kenner. The parcel was acquired forthe operation of a proprietary landscaping business. Thistract will require clearing and fill prior to development.


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LOCATION: 39876 and 39877 Carrere Court, New Orleans, Louisiana

DATE: February 22, 2013

RECORDATION: A) NA #2013-07764B) NA #2013-07763

VENDOR: A) Tantalus Investments Group, LLC, represented byMarkW. Smith

B) Gulf Coast Intermodal, Inc., represented by Roy G.Mezick

VENDEE: Mokeith Properties, LLC, represented by Mark Hammond

SALE PRICE: A) $185,000

B) $179,000

Total $364,000

LEGAL DESCRIPTION: Lots 4D-5 and 4D-3, Square E, The New Orleans EastIndustrial Center, Third District, Orleans Parish, Louisiana

DIMENSIONS: 278.39 (Carrere Court) x various dimensions

LAND AREA: A) 95,341 SF or 2.188 acres

B) 215,617 SF or 4.950 acres

Total 310,958 SF or 7.138 acres

ZONING: L-I, Light Industrial District

UNIT SALE PRICE: $1.17 PSF

COMMENTS: This is the assemblage sale of two adjoining parcelspurchased for a new bus maintenance/storage facility. Bothlots had previously been used in an industrial and werefilled/compacted and partially shelled/graveled. Nocontributory value was given to the shell/gravel paving. Lot4D-5 had originally been listed for $595,000 three yearsprior with a number of price reductions until December2012, when the transaction was negotiated. Lot 4D-3 was

24OFN 15-64-A

COMPARABLE LAND SALE NO. 4 (Continued)

originally listed for $195,000 and had also been marketedfor ±3 years. After a number of price reductions, the abovepurchase price was negotiated in December 2012.

The purchaser operates a bus maintenance/storage businesson Chef Menteur Highway and needed to expand hisbusiness and, therefore, acquired the site. Plans are toconstruct a new 6,000 SF office/warehouse along withsome movable office buildings.

VERIFICATION: Courthouse records and vendor

25OFN 15-64-A


LOCATION: Bridge City Avenue (LA Hwy 18), Bridge City, Louisiana

DATE: December 11, 2008


VENDOR: Union Pacific Railroad Company, represented by Tony K.Love

VENDEE: Abshire Investments, LLC, represented by John F. Stumpfand East Group, LLC, represented by James L. Butler

SALE PRICE: $2,002,566.30 cash

LEGAL DESCRIPTION: Tract 2-1-A, Section 6, T12S, R23E Jefferson Parish, LA.

DIMENSIONS: Various

LOT AREA: ±5,418,123 SF or 124.383 acres

ZONING: M-1, Industrial District

COMMENTS: This sale is located on the north side of Bridge City Avenue(LA 18) between River Road and the Huey P. Long Bridge.At the time of sale, the site was partially wooded andincluded an older residence and related site improvements.These older improvements are considered to contain nocontributory value and were subsequently demolished by thevendee. The parcel was purchased for the development of a±17,600 SF, ground level, industrial building.



26OFN 15-64-A

LAND VALUE ANALYSIS AND CONCLUSIONS

The appraisers have conducted a thorough examination of comparable land sales within theWestbank area. There have been limited land sales in the subject’s immediate area.Therefore, the appraisers included two sales (Sale Nos. 3 and 4) outside the subject’sneighborhood. Sale Nos. 3 and 4 are located in New Orleans East and Kenner, respectively.The appraisers are familiar with the subject area and has extensive experience in the subject’smarketplace.

Sale 1 Sale 2 Sale 3 Sale 4 Sale 5

LOCATION Lafitte Larose Hwy Churchill Pkwy Third Carrere Bridge City

Sale Date 9/19/08 11/15/07 10/30/12 2/22/13 12/11/08

Sale Price $583,500 $1,000,000 $160,000 $364,000 $2,002,566.30

Size (SF) 1,195,722 2,178,000 82,971 310,958 5,418,123

Price PSF $0.49 $0.46 $1.93 $1.17 $0.37

Analysis of Comparable Sales

The subject’s parcels range in size from ±5,499 SF to ±225,614 SF and are located just southand east of the Mississippi River in Waggaman. The comparable sales occurred betweenNovember 2007 and February 2013 and range in size from 82,971 SF to 5,418,123 SF. Thesales sold for unit values between $0.37 PSF to $1.93 PSF. All sales are considered superiorto the subject in location with the exception of Sale No. 5. Sale No. 5 is similar in locationwhen compared to the subject. From a physical standpoint, Sale No. 3 is considered to beinferior to the subject parcel (required clearing and fill). Therefore, a positive adjustmentwould be justified.

The appraisers are aware of several listings near the subject. Located east of the subject onthe corner of River Road and S. Kenner Avenue is a 1,306,000 SF (30 acre) parcel consistingof twelve wooded tracts of land. The listing is zoned S-1, Suburban District (similar to thesubject. The parcel is currently listed for $780,000 or $0.60 PSF. The listing has been activefor approximately one month. Located southeast of the subject on Modern Farms Road inWestwego is a ±1,916,640 SF (44 acre) parcel zoned M-2, Industrial District. The site iscurrently listed for $3,833,280 or $2.00 PSF. The site is partially vacant and cleared. It hasbeen listed for ±7 years. Considering the subject parcels locations, physical characteristics,supply/demand characteristics, etc., the appraisers are of the opinion that the subject parcelshave value ranges between ±$0.40 PSF to $1.00 PSF. The following estimates apply.

27OFN 15-64-A

Airport Compatible Land Use Property Distribution Adjustment

As mentioned, the subject considered to be affected by having an LDN reading of 75 whichwill require additional building restrictions for sound reduction which increases costs, etc.The appraisers are of the opinion that an adjustment of approximately 25% is warrantedconsidering required time, cost, etc. involved with construction. The percentage discount andFinal Market Values are shown on the following page.

Market Value Estimates

Lot Nos. Square Location Size (SF) Price PSF Market Value

3-7 O Moss 27,066 $0.74 $20,000

9-17 O Moss 47,576 $0.63 $30,000

3 N Moss 5,499 $0.91 $5,000

6 N Moss 5,499 $0.91 $5,000

10-19, X-B and A-5 N Moss and Linda 225,614 $0.40 $90,000

A-2, A-3, A-4 and A-7 N Linda and River Rd. 159,866 $0.50 $80,000

Total of Bundle 32 471,120 $230,000

The above analysis equates to a total value estimate of $230,000 for Bundle 32. If theappraisers discount this value by 25%, a vale of approximately $175,000 results.

As a result of the enclosed analyses, it is the appraisers’ opinion that the “as is” Market Valueof the Fee Simple Interest of the subject property, as of March 24, 2015, is ......

ONE HUNDRED SEVENTY-FIVE THOUSAND DOLLARS$175,000

The estimated future marketing time for the property is up to two years. The market valueestimate above assumes that the marketing period has already passed (exposure time) andthat this is the price that was negotiated as of the effective date of the appraisal.

It is the appraisers’ opinion that the subject property could be successfully marketed at theabove value within a period of up to two years. This is considered to be a "reasonable timefor the subject property to be exposed to the open market". This assumption is alsopredicated on the fact that the subject is aggressively marketed with a quality/experiencedbrokerage firm (allowing for high visibility and a determined marketing effort).

OFN 15-32 28

Thank you very much for the opportunity to complete this appraisal assignment. We trust ourfindings will prove to be of a beneficial nature to you. If you have any questions orcomments, please do not hesitate to call.

Sincerely yours,

___________________________ ___________________________David O. Melancon, Associate Bush G. Benton, MAILouisiana Certified Louisiana CertifiedGeneral Real Estate Appraisal General Real Estate AppraisalLicense No. G1539 License No. G0847

CERTIFICATION

I/we certify that, to the best of my/our knowledge and belief:

- the statements of fact contained in this report are true and correct. However, no responsibility is assumed forthe accuracy of such information as survey, title information, measurements, and other information such ascomparable and other data furnished by others.

- the reported analyses, opinions and conclusions are limited only by the reported assumptions and limitingconditions and are my/our personal, unbiased professional analyses, opinions and conclusions. The report mayalso be limited by the market value premise imposed by the terms of the assignment (any limitation is clearlystated).

- I/we have no present or prospective personal interest in the property which is the subject of this report.

- I/we have no personal bias with respect to the property that is the subject of this report or to the partiesinvolved in this assignment.

- my/our compensation is not contingent upon an action or event resulting from the analyses, opinions orconclusions in, or the use of, this report. This appraisal assignment was not based on a requested minimumvaluation, a specific valuation, or the approval of a loan.

- the report analyses, opinions and conclusions were developed, and this report has been prepared in conformitywith the requirements of the Appraisal Institute's Code of Professional Ethics and Standards of ProfessionalAppraisal Practice, which include the Uniform Standards of Professional Appraisal Practice. The fee formaking this report does not include any court testimony or pre-trial conferences.

- the use of this report is subject to the requirements of the Appraisal Institute relating to review by its dulyauthorized representatives, as well as the requirements of the State of Louisiana relating to review by the RealEstate Appraisal Subcommittee of the Louisiana Real Estate Commission.

- Bush G. Benton is currently certified under the Appraisal Institute and is Louisiana Certified General RealEstate Appraisal License No. G0847.

- as of the date of this report, Bush G. Benton has completed the requirements of the continuing educationprogram of the Appraisal Institute.

- I/we have made a personal inspection of the property that is the subject of this report and have inspected allcomparables utilized in this report (unless otherwise noted).

- no one provided significant professional appraisal assistance to the person or persons signing this report otherthan the person(s) already prominently mentioned at the appropriate section of the report where the nature ofthe contribution was noted.

- I/we have not performed appraisal services regarding the property that is the subject of this report within athree-year period immediately preceding acceptance of this assignment. I/we have not performed any otherservices pertaining to the subject property within the past three years.

________________________________ ______________________________David O. Melancon, Associate Bush G. Benton, MAILouisiana Certified Louisiana CertifiedGeneral Real Estate Appraisa General Real Estate AppraisalLicense No. G1539 License No. G0847

ASSUMPTIONS AND LIMITING CONDITIONS

1. This report is subject to the following conditions and to such specifications and limitingconditions that also might be set forth in this report. These conditions affect the analyses;opinions, and value conclusions contained in this report.

2. It is assumed that the property is owned in Fee Simple Title. Fee Simple Title implies that theproperty is owned free and clear, unencumbered and unless otherwise specified. There are tobe no leases, liens, easements, encroachments or other encumbrances on the subject propertythat have not been specified in this report.

3. No responsibility is assumed for matters of a legal nature affecting the appraised property ortitle. This appraisal assumes that the subject property is presented with a good and marketabletitle unless otherwise specified. The appraiser(s) has not rendered an opinion as to the title anddoes not have the expertise to do so. Data on ownership and legal descriptions were obtainedfrom sources generally considered reliable.

4. The property is appraised assuming it is to be under responsible ownership and competentmanagement. Unless otherwise specified, the property is assumed to be available for itshighest and best use.

5. Any survey contained in this report is assumed to be true and correct, and it is also assumedthat there are no hidden encroachments upon the property appraised except as noted. Anysketch prepared by the appraiser(s) and included in this report may show approximatedimensions and is included to assist the reader in visualizing the property only. Theappraiser(s) has not made a survey of the property and does not warrant any surveys or otherpresented plans or sketches.

6. The appraiser(s) assumes that there are no hidden or unapparent conditions of the property,subsoil, or other structures, which would render it more or less valuable. The appraiser(s)assumes no responsibility for such conditions or for engineering which might be required todiscover these factors. This includes the presence of unusual/extraordinary mineral depositsor subsurface rights not typically transferred with normal comparable data (i.e., valuablemineral rights associated with oil/gas production, etc., are not part of this assignment).

7. Any distributions of the valuation of the report between land and improvements apply onlyunder the existing program of utilization. The separate valuation for land and building mustnot be used in conjunction with any other appraisal and are invalid if used in conjunction withany other appraisal.

8. No responsibility is assumed for changes in matters that are legal, political, social, or economicwhich could affect real estate values that take place after the effective date of this valuation.

9. Information, estimates, and opinions furnished to the appraisers, and contained in the report,were obtained from sources considered reliable and believed to be true and correct. However,no responsibility for the accuracy of such information furnished to the appraiser(s) during theappraisal process is warranted by the appraiser(s). The appraiser(s) assumes no responsibilityfor the accuracy of such information as measurements, survey, title information, and otherinformation furnished by comparable sales data found in courthouse records and informationobtained from realtors and other parties during any type of comparable survey.

10. This report is predicated upon the assumption that the property has reached a stabilizedoccupancy as of the date of valuation, unless otherwise noted.

11. On all appraisals, subject to satisfactory completion, repairs, or alterations, the appraisal reportand value conclusion are contingent upon completion of the improvements in a workmanlikemanner and in accord with the referred to plans and specifications.

12. The appraiser(s) is not required to give testimony or appear in court because of having madethe appraisal with reference to the property in question unless arrangements have previouslybeen made therefore with additional compensation typically required.

13. Disclosure of the contents of this appraisal report is governed by the By-Laws and Regulationsof the Appraisal Institute.

14. Neither all nor any part of the contents of this report, especially any conclusions as to value,identity of the appraiser(s) or the firm with which he (they) is connected or any reference tothe Appraisal Institute shall be disseminated to the public through advertising media, publicrelations media, news media, sales media, or any other public means of communicationwithout prior consent of the undersigned. Further, if this report is released to a third party forreview (even with the knowledge of the appraisers), warranty of the report's content is notconsidered transferred. The appraisers owe a contractual duty only to the original client as tothe accuracy of the ultimate value conclusions found in the report for which they have beenpaid a fee. Reliance on this report's accuracy by a third party in any decision making processis done so at the SOLE RISK of the Third Party unless the appraiser(s) has been re-contracted.

15. It is assumed that the subject property is in full compliance with all applicable federal, state,and local environmental regulations unless non-compliance is stated and otherwise considered.

16. Unless otherwise stated in this report, the existence of hazardous material, which may or maynot be present on the property, was not observed by the appraiser(s). The appraiser(s) has noknowledge of the existence of such materials on or in the property. The appraiser(s), however,is not qualified to detect such substances. The presence of substances such as asbestos, urea-formaldehyde foam insulation, or other potentially hazardous materials or gases may affect thevalue of the property. The value estimate is predicted on the assumption that there is no suchmaterial on or in the property that would cause a loss in value. No responsibility is assumedfor such conditions, or for any expertise or engineering knowledge required to discover them.The client is urged to retain an expert in this field, if desired. This report further assumes thatthere are no under/above ground storage tanks of any kind on the property (unless otherwisenoted). Possible leakage problems have not been addressed. The site history of the subjectproperty has not been explored, nor has the historical land use patterns of surroundingproperties been investigated. Again, the appraiser(s) has not addressed any environmentalissues that might affect value. This report assumes that no such issues of any kind are presentor affecting the Fee Simple Value in any manner (unless otherwise noted). The appraiser(s)urges the client to retain an outside environmental expert to determine the subject property'sstatus from this perspective.

17. The appraiser(s) has personally inspected the property and finds no obvious evidence ofstructural deficiencies except as stated in the report. However, no responsibility for hiddenor unnoticed defects is assumed. No responsibility for conformity to specific governmentalrequirements (such as fire, building and safety, earthquake, or occupancy codes) can beassumed without provisions of specific professional or governmental inspections.

18. The appraiser(s), again, has personally inspected the subject property and found no evidenceof termite damage or infestation (unless otherwise noted). No termite inspection report wasmade available to the appraiser(s). The appraiser(s) is not responsible for damages resultingfrom any type of insect infestation whatsoever. This is beyond the scope of the appraisalassignment.

19. No consideration in this appraisal assignment has been given to personal property placed onthe premises, or to the cost of moving or relocating such personal property. Only the value ofreal estate has been considered. The appraiser(s) has no knowledge of the liquidation valueof personal property and is not an expert in determining the contributory value of the FF&Ewith regard to the going concern value. For this type of valuation, separate reports must berendered by experts in the field.

20. The Americans with Disabilities Act ("ADA") became effective January 26, 1992. I (we) havenot made a specific compliance survey and analysis of this property to determine whether itis in conformity with the various detailed requirements of the ADA. We may (at ourdiscretion) address some likely problems associated with the new law. This should in no waybe construed as a complete, full compliance survey or study of the subject property. It ispossible that a full compliance survey of the property, together with a detailed analysis of therequirements of the ADA, could reveal that the property is not in compliance. If so, this factmight have a negative effect upon the value of the property. I (we) generally did not considerpossible non-compliance with the requirements of ADA in estimating the value of the property.We are not qualified to determine compliance or non-compliance. We do not warrant anyconsultant's report found addressing this problem. We have taken into account in thisvaluation both the fact that no professional compliance survey has been completed on thesubject building and that the status of compliance or non-compliance of the comparable salesused herein is unknown when forming our opinion of value. We take no responsibility for theprecise accuracy of the handling of this matter.

21. The EPA will soon ban production of CFCs (chlorofluorocarbon coolants). As a result, othertypes of refrigerants will have to be used in existing air conditioning systems (coolants suchas HCFCs, hydrochlorofluorocarbons) and HFCs (hydrofluorocarbons). The appraisers havenot addressed problems concerning retrofitting of air conditioning systems within the subject.Most buildings will switch slowly to HCFCs and this appraisal assumes that no problems willoccur within the subject property for this type of compliance (when and if it happens).

22. Flood hazard information is reported for information purposes only. The appraisers assumethis to be the latest flood zone information and maps. The appraisers are not engineers orexperts in this field. If the client wants an exact flood zone determination, the client isresponsible for obtaining an expert in the field.

23. Insurable Replacement Cost Estimates are done to the best of the appraisers' ability. Theappraisers are not contractors or cost consultants. These values are estimates only and moreprecise values should be provided by an expert. This should be understood by the client.


Bush G. Benton, MAIStegall, Benton & Associates, LLC

4403 Zenith Street, Metairie, LA 70001Phone: 504-888-8161

Fax: 504-888-8683Email: [email protected]

QUALIFICATIONS:Owner of Stegall, Benton & Associates, LLC. Since 1990, has been appraising and counselingvarious real estate properties including commercial/retail, industrial, multi-family and specialpurpose uses. Mr. Benton’s work includes the metropolitan New Orleans area, portions of southLouisiana, etc.

REAL ESTATE EXPERIENCE:Formed Stegall, Benton & Associates, LLC (1996 to present). The firm is located in NewOrleans and maintains its present posture as a quality, independent real estate appraisal firm thatprovides a range of services including real estate appraisals, reviews, counseling, litigation, andinvestment analysis.

Affiliated appraiser with Steven Stegall & Associates, from April, 1991 to 1996, a commercial,industrial, and consulting firm.

Affiliated appraiser with Kenneth Kuebel & Associates, from January 1990 to May, 1991, acommercial, industrial and investment real estate appraisal, consulting, brokerage anddevelopment firm.

Marketing assistant with B.J.F. Development, Inc. from November 1988 to May 1989, a assetmanagement firm.

PROFESSIONAL AFFILIATIONS AND ACTIVITIES:Member of the Appraisal Institute, MAI Designation (Certificate No. 10,943)Louisiana Certified General Real Estate Appraisal License No. G0847Co-Chairman of the Louisiana Chapter of the Appraisal Institute (1998)Secretary of the Louisiana Chapter of the Appraisal Institute (2000)Treasurer of the Louisiana Chapter of the Appraisal Institute (2001)Vice President of the Louisiana Chapter of the Appraisal Institute (2002)President of the Louisiana Chapter of the Appraisal Institute (2003)Licensed Real Estate Salesman - State of Louisiana (No. 1080)Graduate, Missouri Auction School (Nov. 1997)

EDUCATION:Louisiana State University, Baton Rouge - B.A. Degree General Studies; minor in BusinessAdministration

Bush G. Benton, MAIQualificationsPage 2 of 3

Successful completion of the following courses and examinations:

APPRAISAL INSTITUTECourse 1A-1: Real Estate Appraisers Principles, Tuscaloosa, AL 1990Course 1A-2: Basic Valuation Procedures, Jackson, MS 1990Course SSP: Standards of Professional Practice, Baton Rouge, LA 1991Course 1BA: Capitalization Theory and Techniques, Pt. A, Austin, TX 1991Course 1BB: Capitalization Theory and Techniques, Pt. B, Houston, TX 1992Course 550: Advanced Applications, Houston, TX 1993Course 540: Report Writing & Valuation Analysis, Athens, GA 1994

COURT TESTIMONY/ARBITRATION/MISCELLANEOUS:

Approved and testified as an Expert Real Estate Appraiser for the Louisiana Tax Commissionhearings. Testified in 1999 regarding high-rise CBD office buildings in New Orleans. Testifiedin behalf of 201 St. Charles Avenue (Capital One Building), June 2014.

Arbitration work between Equity Developments Systems, LTD., Slidell, LLC and Steven N.Sirgler v. The City of Slidell, Louisiana, et al. May 2003. U.S. District Court, Eastern District.

8000 Lakeshore Drive, New Orleans, LA. Arbitration case between Landry’s Seafood House-New Orleans, Inc v. The Board of Commissioners of the Port of New Orleans Levee District.June 2005. Court of Appeal of Louisiana, Fourth Circuit.

2525 St. Bernard Avenue, New Orleans, LA. Prepared appraisal for U.S. District Court, Section“C”. Doussan Properties, LLC v. Doussan Gas and Supply, LLC. June 2006.

2600 Gravier Street, New Orleans, LA. Orleans Parish Civil District Court. Boes CorporationInc. v. Larry Hamm and Falstaff Inc. Provided appraisal (March 2009) and testified May 2009.

1826-34 Canal Street, New Orleans, LA. Board of Supervisors Louisiana State University andAgriculture and Mechanical College v. Tukandu, et, al, Appraisal (November 2009) anddeposition (April 2014).

Appraisal (March 2011) and deposition (August 2014) The Department of Transportation andDevelopment v. Centre at Westbank. 24th Judicial Court, Jefferson Parish.

Levy Gardens Partners 2007, LP v. Lewis Title Insurance Company Inc. Eastern District Court,Section N, Orleans Parish. Appraisal/Deposition (August 2011) and trial.

723 Toulouse Street, New Orleans, LA. Peterson Yokum, et al. v. 544 Funky, LLC, et al.Appraisal (September 2013) and Deposition (October 2013).

Commercial hearing officer for Orleans Parish Real Estate Tax Appeals, 2011-2014.

Bush G. Benton, MAIQualificationsPage 3 of 3

QUALIFICATIONS OF THE APPRAISERDAVID O. MELANCON

WORK EXPERIENCE:

February 2000 to present: Affiliated appraiser with Stegall, Benton andAssociates. The firm is located in Metairie andmaintains its present posture as a quality independentreal estate appraisal firm that provides a range ofservices including real estate appraisals, reviews,counseling, litigation and investment analysis.

January 1999 to January 2000: Richard L. Murphy and Associates in Metairie, LA.Job description includes residential appraisals ofcondominiums, townhomes, vacant land, singlefamily homes and multi-family residences.

June 1998 to December 1998: Western Geophysical Company in London, England.Worked on a team that monitored health and safety ofthe company's vessels primarily located in the NorthSea.

January 1998 to May 1998: Western Geophysical Company in Metairie, LA. Jobdescription included indexing seismic prints, logs,maps and support data relevant to offshore wells inthe Gulf of Mexico.

PROFESSIONAL AFFILIATIONS & ACTIVITIES:

Louisiana Certified General Real Estate Appraisal License No. G1539State of Louisiana Licensed Real Estate Sales Person No. 0995684355

EDUCATION:

Louisiana State University, Baton Rouge - B.S. degree in Geography, 1997

Successful completion of the following courses and examinations:Appraisal Institute

Course 110: Appraisal Principles, Houston, TX 2000Course 120: Appraisal Procedures, Houston, TX 2000Course 310: Basic Income Capitalization, San Antonio, TX 2002Course 320: General Applications, Chicago, IL 2002Course 410: USPAP: Standards of Professional Practice, Houston, TX 2004Course 420: Business Practices and Ethics, Houston, TX 2004Course 510: Advanced Income Capitalization, Houston, TX 2003Course 520: Highest & Best Use and Market Analysis, Atlanta, GA 2004Course 550: Advanced Sales Comparison & Cost Approaches, Houston, TX 2007Course 540: Report Writing and Valuation Analysis, Houston, TX 2008Course 550: Advanced Applications, Houston, TX 2010

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