Please be advised that in response to the confusion over value and appraisals on the Bancroft property, the following is relevant.
1. Appraisals are based on permissible uses for a property.
2. When the 2008 appraisal ($8.0 million)was done, the ONLY permissible use under the zoning code at that time was single family housing.
3. The declaration by the Borough that the area is a Redevelopment Area changed the range of possible permissible uses to include multi-family housing and two institutional uses (continuing care retirement community and the School District ownership/public uses). Single family housing was no longer to be a permissible use.
4. The current appraisal ($15.5 million) was based on valuation as an institutional public use after the appraiser determined that such a use was the highest and best permissible use. This judgment was informed by an analysis of actual comparable sales elsewhere, all of which are specifically identified in the appraisal report that is posted on the school district’s website.
Dr. Richard Perry
Superintendent of Schools
