1 / 36

AFTON AIRPARK ESTATES – AFTON, WY

MARKET REPORT. AFTON AIRPARK ESTATES – AFTON, WY. April 2007.

flynn
Télécharger la présentation

AFTON AIRPARK ESTATES – AFTON, WY

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. MARKET REPORT AFTON AIRPARK ESTATES – AFTON, WY April 2007

  2. General Limiting Conditions………………………………Introduction………………………………………………… Project Description………………………………………..Summary of Findings & Recommendations .....………Site Location ..…………………………………………………Afton Airpark Development Features …………………..…Market Analysis ………………………………….……………Supply Factors……………. …………………………………..Demand Influences…….. ……………………………………….Lot Sales Program…………………………………………….. Appendix ………………………………………………………. 1 2 3 5 6101226283031 TABLE OF CONTENTS i.

  3. GENERAL LIMITING CONDITIONS Every reasonable effort has been made to ensure that the data contained in this Market and Financial Analysis Report reflect the most accurate and timely information possible as of the date the primary research was collected. The information contained in this report is based on estimates, assumptions, and other information developed by Norton Consulting and from their independent research and analysis effort and general knowledge of the industry. No responsibility is assumed for inaccuracies in reporting by Norton Consulting’s representatives or by any other data source used in the preparation of this report. No warranty or representation is made that any of the projected values or results contained in this study will be achieved. This study does not constitute an offer to sell or a solicitation of an offer to purchase any securities, nor shall there be any sale of securities in any state or other jurisdiction in which such sale, or any related offer or solicitation, would be unlawful prior to registration or qualification under the securities laws of that state or other jurisdiction. 1

  4. INTRODUCTION Norton Consulting was retained by Barr/More LLC to produce a market and financial analysis report.The Afton Airpark Estates project is an airpark residential development located in Afton, Wyoming. The project originally envisioned Barr/More LLC, has become one the premier airpark residential developments in the US.This market report and master plan has been created to document the vision for the final phases of Afton Airpark Estates and provide recommendations for lot pricing.The market research process included visiting the site, collecting data from existing airpark communities in the US and analyzing aviation trends and other market data.This report was produced by Richard L. Norton and Darrin B. Davis of Norton Consulting’s North Palm Beach, Florida office. 2

  5. PROJECT DESCRIPTION Barr/More owns approximately 75 acres of land adjacent to and a part of the Afton, WY regional airport, which land is zoned for approximately 56 lots to be used for private residences, private airplane hangars and other related uses.The property is located in the town Afton, Wyoming and is approximately 60 miles south of Jackson Hole.With all the necessary permits and approvals in place, approximately one-half of the lots and hangar properties were sold during 2006.The project is unique in that it is the first Denver FAA supported private residential project adjacent to a federally maintained airport. The Afton Regional Airport budget for maintenance exceeds $250,000 / year.A full service Fixed Based Operation (FBO) is owned by a partnership. The FBO provides fuel and other aviation services. 3

  6. Summer Activities • White water rafting & kayaking on the Snake River • Drift Boat Trips along the scenic Salt River • Fly and Bait Fishing • Hiking, ATVs and Mountain Biking on Extensive US Forest Service lands • 18-Hole Johnny Miller designed golf course in Afton and 36 holes (Star Valley) • Water Skiing on the Palisade’s Reservoir • Winter Activities • World class Elk and Deer Hunting (Fall) • Snowmobiling • Cross Country Skiing • Snowshoeing • Skiing at Jackson Hole and Grand Targhee PROJECT DESCRIPTION (continued) The property is located in the middle of an extensive outdoor recreation paradise (3.4 million acres Bridger-Teton National Forest). Nearby activities include: 4

  7. The Afton Airpark Estates is a full service TTF (through the fence) supported airpark • One of only a few FAA supported Airparks in the Rocky Mountain region (Denver) • Private plane ground storage and hangar access is at a premium in Jackson Hole • Afton Wyoming is central to thousands of acres of year-round recreational activities • Real Estate in Jackson Hole is at premium • 1-acre plus direct access hangar homes are marketable in western Wyoming • Based on National and Regional comparables and recent sales patterns, pricing in excess of $150,000 to $250,000 per acre is supportable at the Afton Airpark Estates location. SUMMARY OF FINDINGS 5

  8. SITE LOCATION The project is located on State Highway 89 within the city limits of Afton, Wyoming. Subject site 6

  9. Afton Airpark – Images SITE IMAGES Located in southwestern Wyoming’s Star Valley, Afton Airpark offers convenient access to majestic mountains, rivers and abundant wildlife habitat 7

  10. Afton Area Images 8

  11. SITE LOCATION Regional Perspective The site is, within a 1 hour drive of Jackson Hole. The drive between Afton and Jackson Hole has been enhanced by the widening of State Road 89 to accommodate passing lanes up the Snake River Canyon. The Highway is all weather and regularly maintained. Jackson Hole Afton 9

  12. Development Features • Majority of the lots are at least 1.1 acres • 34 lots have sold • 20 lots are still available • Direct taxi way access to a 7200 foot runway • Runway maintained both winter and summer • Asphalt • Lights • Logistics and Service • Full service FBO (Fixed Based Operation) • FBO staff will be available to provide full range of services including fuel, oxygen, water etc. • Home owner will be able to arrange for event catering, home cleaning, aircraft maintenance and other needs through FBO • Travel needs of home owners and guests will be met including (rental car services, fishing guides, white water rafting tours, hunting guides, etc.) DEVELOPMENT FEATURES The property includes 47 available lots. 10

  13. Development Features • Afton is the home of AVIAT specialty airplane manufacturer; As a result mechanics are available at a reasonable cost • Competitive Fees (Especially VS Jackson Hole) • No landing fees • No ramp fees • Market best fuel prices • Anticipated Covenant, Codes and Restrictions will be reasonable in context with an airpark • Homes and full hangars allowed • Place to store all winter and summer recreational vehicles, boats and equipment • Owner or crew can stay in the home DEVELOPMENT FEATURES (continued) 11

  14. Supply Factors • Overview of National Airpark Supply (US) • Number of Airparks • Location • Airpark characteristics • Available lots • Pricing • Regional Competitive Supply • Alpine, WY • Driggs, ID • Market Implications of Restrictions on Jackson Hole • Airport restrictions • Real Estate • Demand Factors • Growth in aircraft handled by the FAA • Growth in General Aviation Activity MARKET ANALYSIS 12

  15. MARKET ANALYSIS Supply Factors The term airpark means residential associated with aviation / air strips. There are roughly 250 Airparks in the US. Florida has the largest number of airparks In the US. In comparison to other parts of the country, the Inter-mountain west has very few airparks despite the proximity of World class recreation. 13

  16. MARKET ANALYSIS Supply Factors • The 250 airparks are: • Mostly private • Very few have commercial services • Those that are public allow general access 14

  17. MARKET ANALYSIS Supply Factors • Most US Airparks are small (12 lots or less) • 75 percent of all airparks have less than 50 total lots • 75 percent of all airparks have less than 41 lots with direct taxiway access 15

  18. MARKET ANALYSIS Supply Factors Only six airparks have runways longer than 5,000 feet. Afton Airpark is one of only three airparks in the country with a runway of 7,000+ feet. 16

  19. Runway Length Requirements 2500 4000 Cessna 402 TwinProp Gates Learjet 35 Jet 5000 6300 Canadair RJ 200 Jet 5800 7300 Boeing 737-300/400 Jet 6500 7300 Boeing 757-200 Jet 6300 7100 17

  20. MARKET ANALYSIS Selected Air Park Properties In the appendix to this report Norton Consulting has profiled selected airparks in the US.Although these airparks have been developed and organize somewhat differently than what is anticipated for Star Valley, they provide a benchmark sense of market parameters. Conclusions from those tables are as follows: • The sample set includes upscale airparks in a resort / residential setting • Runways types and lengths vary considerably; none offer the length and breadth of services promised at Afton. • The larger developments do not offer direct taxiway service for but a a small proportion of their lots • Afton, in contrast will offer 100 percent direct taxiway access/egress. • Lot sizes range from 0.5 to 3 acres; the majority of the Afton Airpark lots will be in the 1.1 acre range, sufficient room for both a hangar and a home. • Lot pricing ranges from $50,000 to $1.2 million depending on the quality of the development and the location; the median or central tendency of lot pricing is $250,000 range; current lot pricing at Afton ranges from $150,000 to $325,000. 18 Source: www.airpark.com

  21. MARKET ANALYSIS Regional Airparks and Air Strips Supply Factors There are two airpark properties that have limited comparability to the proposed Afton Airpark property. These are located in nearby Alpine, Wyoming and Driggs, Idaho. Driggs Jackson Alpine Afton 19

  22. Alpine Airpark – Competitive Benchmark • Alpine Airpark is located on the north end of Star Valley on the northwest side of the town of Alpine, WY • Runway is narrower and shorter than Afton (5,600 ft) • Not maintained during winter • Can only accommodate smaller aircraft • Real estate opportunities at Alpine Airpark include a variety of condominiums attached to or adjacent to individual hangars 20

  23. Alpine Airpark Lakeview Villas • Lakeview Villas (sold as condominiums) • Single family villas surrounding a pond; approximately 75-100 yards from hangars • Building pads 3,000 to 4,000 Sq Ft • Eight units total; 4 sold at pre-construction prices • Hangar sizes from 2,000 to 3,200 Sq Ft • 2 BR / 2 BA villas from $375,000 to $525,000. 21

  24. Executive Hangar Condominiums are 800 Sq Ft multi-level units attached to the individual hangars • These eight units vary in price from $390,000 to $450,000 • Prices start in this range and only include exterior finishes (interior finishes are additional) • The included hangars range from 2,500 to 3,000 Sq Ft Alpine Airpark Executive Hangar Condominiums 22

  25. Alpine Airpark Windsock Condominiums • Four unit condominium; 2 available • Three bedroom 2.5 bath two level units • Prices starting at $750,000 • Build to suit interior finishes 23

  26. Driggs, Idaho – Additional Regional Residential Airpark • Summary • Not well executed development plans • Land not being marketed professionally • Lax Covenant Codes & Restrictions • Parcels generally available for $80,000 per acre (unimproved) 24

  27. Connected subdivisions include: • Mustang Ranch • Flying Saddle • Flying T • and in the future Sweetwater – roughly $80,000 per acre (unimproved) • Driggs Fly-In (in planning; Eric Bedford/developer) • Unnamed (in planning; mixed use/hangars and industrial/ south side of airport / Melenes Bros; Alta Construction) • Available Property in TTF Subdivisions • Mustang Ranch; Lot 2 – 2.02 acres for $159,000 ($80,000 per acre) • Flying Saddle; 6 adjacent lots approx. 1 acre each for $80,000 per acre DRIGGS Continued 25

  28. Jackson Hole Airport • Foot print cannot grow • Only have two hangars • Airport Authority reports over 100 requests for Hangar Space since January of 2004 • With no hangar space there is no place to store recreational vehicles and equipment • During the summer months planes are allowed to park on the ramps; fees for private jets run from $250 to $725 per night • Jackson Hole Real Estate Market • Specific constraints on future development • Resale home and land prices at all time highs • The residential real estate average transaction value was over $800,000 in 2004 as reported through MLS listings and closings JACKSON HOLE MARKET Supply Factors The market for airpark and aviation related services in Afton is greatly enhanced by the restricted nature of the Jackson Hole Airport and the Jackson Hole Real Estate market 26

  29. JACKSON HOLE Access/Use Fees 27

  30. FACTORS INFLUENCING DEMAND General aviation continues to grow. 28

  31. FACTORS INFLUENCING DEMAND Hours flown, jet fuel and aviation gasoline are projected to grow rapidly. 29

  32. Afton Airpark Lot Sales Prices Lot Sales • After an initial period of pre-construction price discounting, per acre lot pricing has climbed through the $150,000 to $200,000 per acre level. • Afton Airpark lot pricing levels compare favorably with other real estate products in the regional and national market. • The unique value of whole ownership estate airpark living in the outlying Jackson Hole market suggests continued price escalation. 30

  33. Appendix APPENDIX 31

  34. Selected Airparks – General Description 32 Source: www.airpark.com

  35. Selected Airparks –Residential Characteristics 33 Source: www.airpark.com

  36. Selected Airparks –Residential Characteristics 34 Source: www.airpark.com

More Related