The assessor should collect sales data whenever possible.  This will likely involve contacting other municipalities, private appraisers and commercial realtors for information.  Sales data is useful in:

• determining the depreciation rate employed in the Cost Approach,
• establishing the appropriate capitalization rates to apply in the Income Approach, and
• confirming final market values.

If knowledge of a golf course sale has been obtained, the assessor should contact the purchaser or vendor to obtain the following information:

• property address and legal description,
• sales price,
• date of transfer,
• instrument number,
• interim agreement,
• most recent financial statements,
• copy of appraisal,
• interests transferred (fee simple or other), and
• financing conditions.

It is important to ascertain as much information as possible regarding each sale, including local market factors.  All interests in the property sale must be isolated and separated to derive realistic values for the assessable property.  Golf course sales include non-assessable items, such as inventory, personal property (FF&E), intangibles (business value), as well as the contributory value of the improvements.

In most cases, assessors must analyze sales from a broad geographical area to determine appropriate values, and analyze local market conditions to reconcile the sale prices.  Given that golf course sales are rare, a thorough analysis of the components must be undertaken before comparing the sales results.

A copy of a “GCRF12 Sale Information Request Form” has been included in the Addenda.  This letter should be followed up with an in-person or telephone interview with either the vendor or purchaser to confirm or clarify information obtained.