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Property Condition Assessment, Inc. Due Diligence & Capital Planning SUMMARY PROPERTY CONDITION ASSESSMENT Wesley Foundation – USF 12710 North 50 th Street Tampa, FL 33617 July 22, 2014 Project No: PCA13-025 320 N. Magnolia Avenue, A-4 ● Orlando, FL 32801 ● Tel: 407.422.5257 ● Fax: 407.419.4194 E-Mail: [email protected]

Transcript of Property Condition Assessment,...

Property Condition Assessment, Inc.

Due Diligence & Capital Planning

SUMMARY PROPERTY CONDITION ASSESSMENT

Wesley Foundation – USF 12710 North 50th Street

Tampa, FL 33617

July 22, 2014

Project No: PCA13-025

320 N. Magnolia Avenue, A-4 ● Orlando, FL 32801 ● Tel: 407.422.5257 ● Fax: 407.419.4194 E-Mail: [email protected]

Property Condition Assessment, Inc.

Due Diligence & Capital Planning July 22, 2014 Wesley Foundation United Methodist Building 450 Martin Luther King, Jr. Avenue Lakeland, FL 33815 Attn: Reverend David Fuquay

[email protected]; (404) 849-8215 Re: Property Condition Assessment Wesley Foundation – University of South Florida

12710 North 50th Street Tampa, FL 33617 PIN: A-08-28-19-1HK-0000-00001.0 (Building 90); FOLIO 036499-0000 Project No: PCA13-025 To Whom It May Concern: Property Condition Assessment, Inc. (PCAInc) has completed a Property Condition Assessment (PCA) of the referenced property in general accordance with the ASTM Baseline Property Condition Assessment Process, E 2018-08 and PCAInc’s Proposal 12-048, July 12, 2012. This Property Condition Report (PCR) is for the exclusive use and benefit of The Board of Trustees of the Florida Annual Conference of the United Methodist Church, Inc. and the Board of Higher Education and Campus Ministry of The Florida Annual Conference of The United Methodist Church, the “Client.” It is not to be relied on by any other agency or entity without the written consent of the Client and PCAInc. The opinions expressed in this report by PCAInc were formed utilizing the degree of skill and care ordinarily exercised by any prudent property condition evaluator in the same community under similar circumstances. PCAInc assumes no responsibility or liability for the accuracy of information contained in this report that has been obtained from the Client or the Client’s representatives, the owner or the owner’s representatives, from other interested parties, or from the public domain. The conclusions presented represent PCAInc’s professional judgment based on the information obtained during the course of this assignment. PCAInc’s evaluations, analyses and opinions are not representations

320 N. Magnolia Avenue, A-4 ● Orlando, FL 32801 ● Tel: 407.422.5257 ● Fax: 407.419.4194 E-Mail: [email protected]

Property Condition Assessment – 12710 North 50th Street, Tampa, FL

regarding the design integrity, structural soundness, or real value of the property. Information regarding operations, conditions and test data provided by the Client, the current owner, or their representatives has been assumed to be correct and complete. The conclusions presented are based on the data provided, observations made and conditions that existed specifically on the date of the assessment walkthrough on July 2, 2014. PCAInc certifies that PCAInc has no undisclosed interest in the referenced property. PCAInc’s relationship with the Client is at arm’s length and PCAInc’s employment and compensation are not contingent upon the findings or estimated costs to remedy any deficiencies due to deferred maintenance and any noted component or system replacements. PCAInc’s PCR cannot wholly eliminate the uncertainty regarding the presence of physical deficiencies and the performance of a subject property’s building systems. Preparation of a PCR in accordance with ASTM E 2018-08 is intended to reduce, but not eliminate, the uncertainty regarding the potential for component or system failure and to reduce the potential that such component or system may not be initially observed. A PCR is not intended to be technically exhaustive and is not a code compliance report. In accordance with ASTM E 2018-08, representative observations were made and not complete inventories. This PCR was prepared recognizing the inherent subjective nature of PCAInc’s opinions as to such issues as workmanship, quality of original installation and estimated remaining useful life (RUL) of any given component or system. It should be understood that PCAInc’s suggested remedy may be determined under time constraints, formed without the aid of engineering calculations, testing, exploratory probing, the removal of materials, or design. Furthermore, there may be other or more appropriate schemes or methods to remedy the physical deficiency. PCAInc’s opinions are generally formed without detailed knowledge from individuals familiar with the component’s or system’s performance. Participants in the walk-through were Robert McBride (field observer and PCR author), Ryan Edgar (field observer) and Josh Kilmer, Commercial Roofing Consultants, Inc. Access to the property was provided by Rev. Erik Seise. Any questions regarding this report should be directed to PCAInc at (407) 422-5257. Respectfully,

Robert R. McBride Vice President

Reviewed by,

Barbara Betz Weidner President

Property Condition Assessment – 12710 North 50th Street. Tampa, Florida

TABLE OF CONTENTS

1. Summary ................................................................................................. 1 1.1 Purpose and Scope ...................................................................... 1 1.2 Deviations from the Guide ............................................................ 1 1.3 Major Concerns ............................................................................ 1 1.4 General Description and Physical Condition ................................. 3 1.5 Other Observations ....................................................................... 5

1.5.1 Site and Drainage .............................................................. 5 1.5.2 Landscape and Irrigation .................................................... 5 1.5.3 Access, Paving, Curbing and Parking ................................ 5 1.5.4 Utilities ............................................................................... 8 1.5.5 Structure ............................................................................ 9 1.5.6 Thermal and Moisture Protection ....................................... 9 1.5.7 Mechanical Systems and Equipment ............................... 13 1.5.8 Electrical Systems and Equipment ................................... 19 1.5.9 Interior Space, Life Safety and Fire Protection ................. 21 1.5.10 Vertical Transportation ..................................................... 30

2. Opinions of Probable Cost ..................................................................... 31

2.1 Definitions ................................................................................... 31 2.2 Table of Action Items and Opinions of Probable Cost ................ 32

Exhibits:

A. Qualifications B. Commercial Roofing Consultants, Inc. Roof Assessment Report

C. Order of Magnitude Estimating D. ASHRAE TC-1.8 Service Life Expectancies

Property Condition Assessment – 12710 North 50th Street. Tampa, Florida

1. SUMMARY:

1.1 Purpose and Scope: The purpose of the PCA is to observe and report, to the extent feasible pursuant to the processes of ASTM E 2018-08, on the physical condition of the subject property. The scope of the PCA has four components:

Document reviews and interviews with Authorities Having Jurisdiction Walk through survey Preparation of the opinions of probable cost to remedy physical deficiencies Preparation of a Property Condition Report 1.2 Deviations from the Guide:

This PCA was conducted as a Summary. The report is limited in descriptions and equipment inventories and is primarily directed to areas to be included in a capital reserve budget. Construction plans were made available to PCAInc for review on site. Interviews with the Authorities Having Jurisdiction were not made.

1.3 Major Concerns: Roof – the roof is in very poor condition and improper repairs have been performed. There are active roof leaks. Immediate roof replacement is warranted. Suspect Asbestos Containing Materials – from visual observations, the floor tiles (and likely the mastic) contain asbestos. Additionally, the ceiling tiles in the kitchen may contain asbestos. An asbestos survey should be performed on the property and abatement measures taken as appropriate. Windows – the windows have exceeded their 20-30 expected useful life. Their design to provide for fresh air ventilation is no longer appropriate and they are very energy inefficient causing increased HVAC costs. The windows should be replaced with energy efficient windows. (Comment – the overall design of the building, current utilization and aged furnishings should receive priority attention for renovation. The building also does not meet current ADA accessibility requirements.) Opinions of probable cost are based on order of magnitude estimating. The goal is to provide a cost estimate within 70-80% of the actual cost. These estimates and allowances are to be used for budgeting only. To determine the more probable actual cost, the Client

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is referenced to professional architects/engineers for the preparation of documentation to be used in bidding by qualified contractors.

Category 1, Life Safety Issues $ 54,000 Category 2, Deferred Maintenance $108,700 Category 3, Options $ 10,000 Total $172,700

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1.4 General Descriptions and Physical Condition: The property is located on the west side of North 50th Street, accessible from University of South Florida (USF) Sycamore Drive from the west side of the property. The Hillsborough County Property Appraiser (HCPA) lists the property as Building 91 on the University of South Florida campus. There is a lease agreement between the State Board of Education of Florida and The Board of Education of the Florida Annual Conference of the Methodist Church, Inc. (now assigned to The Board of Education of the Florida Annual Conference of the United Methodist Church, Inc.) dated 21 January 1964 for use of the property for 99 years from January 4, 1960 to January 3, 2059. The current building was constructed in 1964. HCPA records erroneously indicate the building was constructed in 1974. It was constructed into a sloped hillside with retaining walls at the east end of the building and around the perimeter of the west half of the building pad. The building is a multi-purpose student center. The building pad is approximately 7,980 sq. ft. and the building has approximately 4,180 sq. ft. of interior floor space (calculated from the construction plans). The building has three student residences (one of the residences has a kitchen), a small common kitchen, offices and meeting rooms. The construction plans indicate that the original floor plan was for the east end of the building to have a 100 person chapel/future lounge area (now a band stage), future music area and a lounge area/future library and study. The center core had a lobby, a storage room (now the kitchen), a kitchenette (now an administrative cabinet), women’s and men’s toilet rooms, a seminar room and a mechanical equipment room. The south side of the building was configured for offices. It had a secretary’s room, a work room, an assistant director’s room and a director’s office. The north side of the building was configured for a single living space consisting of a living room, kitchen, bath and single bedroom. The west end of the building has two resident rooms with private bathrooms. On the construction plans, the west end was proposed as an addition to the construction project, called Alternate No. 4, for two seminar rooms. The actual construction changed the seminar rooms to residences or the bathrooms were a later addition. The east end of the building has two raised roof sections covered with copper roofing panels.

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The mechanical room towards the west end of the building has a second story masonry wall constructed around the mechanical roof forming what the construction plans call a penthouse. Its purpose was likely to screen the rooftop HVAC condensers. The east end gathering room has a wood-burning fireplace in the center of the north wall. The overall condition of the building is fair. There are no structural issues, but there are deficiencies in nearly all other categories. The finishes and furnishings are worn and dated.

East end of the building facing North 50th Street

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East end of the building with patio with picnic tables and retaining wall

1.5 Other Observations:

1.5.1 Site and Drainage: There were no issues observed with the site and stormwater drainage. The majority of the property is pervious. There is no stormwater system on the property.

1.5.2 Landscape and Irrigation: The landscaped areas around the building perimeter are in good condition. An irrigation system was not observed.

1.5.3 Access, Paving, Curbing and Parking: There is a single access to the property. It is from Sycamore Drive on the west side of the property. Sycamore Drive is USF permit parking only. The only parking available for visitors or vehicles without a parking permit is a make-shift, unpaved parking lot on the south side of the building. Concrete parking bumpers mark the parking spots. There is no parking available for the property for handicap persons, except one designated handicap parking space on Sycamore Drive, for handicap persons with a parking permit.

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A concrete sidewalk leads from the Sycamore Drive parking area to the front entrance to the building. A concrete ramp has been constructed in the sidewalk for wheelchair accessibility; however, the ramp does not meet ADA requirements. It is too steep, exceeding 1:12” minimum requirements. The concrete sidewalk and patio decks are in good condition.

Front of the property viewed from the roof

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Parking area viewed from the roof

North side of the building

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1.5.4 Utilities: The primary electric power is provided by TECO and it is brought to the property underground from an undetermined location. Domestic water is reported to be provided by the local utility company. The domestic water service meter is located on the east side of the property on North 50th Street. The domestic water line does not have a backflow preventer. Natural gas service to the property was not observed. Reclaimed water service was not observed on the property. Sanitary sewage waste is managed with a septic tank, diverter box and drain field system. The 1,200 gallon septic tank is located on the north side of the building, west of the paver patio. According to the construction plans, the drain field runs along the side of the building for 45 ft. to the west, almost to the west end of the building. According to the Director, the septic tank was recently serviced and the solids had built up to the top of the tank. (It is not known if the diverter box was inspected). When solids are allowed to accumulate to this level, typically solids will have entered the drain field and it will need to be replaced. Presently, the approach is to wait and see if the system is still functional. A dumpster for solid waste was not observed on the property. Solid waste is disposed of using plastic waste containers supplied by the disposal company.

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Septic system area

1.5.5 Structure:

Construction plans were reviewed on site. No structural issues were observed. The building is a 4” concrete slab on grade thickened edges, reinforced concrete masonry unit (CMU) exterior walls with a brick veneer, a Bulb-Tee roof system on steel bar joists supported by structural steel beams. To support steel beams and cast-in-place concrete beams, 3” steel columns are used. The exterior wall detail on the construction plans show a 2” poured gypsum roof deck on ½” gypsum form board Bulb-Tee roof with a cast concrete beam around the roof edge. The exterior walls are 8” concrete block supported on a filled CMU stem wall. A brick veneer finish, supported on the stem wall is attached to the block walls using metal brick ties. Weep holes and a waterproof barrier were not indicated on the construction plans.

1.5.6 Thermal and Moisture Protection: Moisture protection for the building consists of built-up roof system with a modified bitumen cap sheet, aluminum framed windows and storefront door systems and brick veneer exterior walls.

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The tiled exterior wall of the fireplace shows evidence of water intrusion and cracks have formed along the grout lines. The cracked grout should be removed, replaced and re-sealed as a maintenance item. A reminder has been included in the OPD table.

Cracks in glazed exterior tile on fireplace need to be removed and replaced

Existing roof leaks were observed on stained ceiling tiles in the building. Historic aerials show major roof repairs were performed around March 2010. Bitumen cap sheets were installed over the west end of the building, the west half of the north residence and the center section of the office area on the south side of the building. This work was observed to have been improperly performed. Commercial Roofing Consultants, Inc. (CRC) performed an assessment of the roof. Their assessment report can be found at Exhibit B. With active roof leaks, improper roof repairs and numerous immediate maintenance needs, replacement of the roof at this time is recommended. An estimate to replace the roof has been included in the Opinions of Probable Cost (OPC) table at the end of the report. Since weep holes in the brick veneer were not present and a waterproofing barrier was not indicated as to have been installed on the CMU walls behind the brick veneer, routine application of a quality waterproofing material should be applied to the brick walls every seven years. An estimate to pressure wash the brick walls and apply waterproofing has been included in the OPC table.

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Jalousie windows were used in the building. The jalousie window areas have been covered with metal sheeting. The metal sheeting provides no insulation value and increases the heating and cooling load on the building. Minor water intrusion was observed at the windows. Overall, the windows have exceeded their 20-30 expected useful life. Their design to provide for fresh air ventilation is no longer appropriate and they are very energy inefficient causing increased HVAC costs. The windows should be replaced with energy efficient windows. An allowance to replace the windows has been included in the OPC table.

Metal panel used to cover jalousie window area

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Property Condition Assessment – 12710 North 50th Street. Tampa, Florida

Jalousie windows at east end of the building

The hollow metal doors to the mechanical/electrical room are rusted and replacement is recommended. An estimate to replace these doors has been included in the OPC table.

Door to mechanical room needs to be replaced due to corrosion

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The construction plans indicate that 4” insulation batts were placed above the suspended acoustical ceiling to provide insulation from the roof. The exterior walls do not appear to be insulated.

1.5.7 Mechanical Systems and Equipment: Plumbing & Restroom Fixtures The water and sanitary lines used in the original construction were observed to be copper. Typically, copper piping is anticipated to last for 35-40 years. The copper piping in the building is approximately 50 years old. Pinhole leaks from the copper piping can be anticipated. Replacement of the copper water lines with CPVC and/or PEX should be planned. An allowance to replace the copper water lines has been included in the OPC table. Galvanized water line pipes were observed to have been used in the construction of the current kitchen. Extensive corrosion was observed on the heated water line under the kitchen sink due to the use of dissimilar metals. A licensed plumber should be engage to make the repairs and install handles so the water could be shut off to the faucet.

Corrosion on heater water line under kitchen sink and missing valve handles

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The PVC waste line for the kitchen sink has a broken pipe. A plastic grocery bag is being used to collect the leaking water. The PVC pipe needs to be replaced by a handyman. A maintenance reminder has been included in the OPC table. There are two common restrooms located in the center of the building. The women’s restroom has three water closets and one hand lavatory. The men’s restroom has two water closets, one urinal and one hand lavatory. The restrooms do not meet current ADA guidelines. The two residences on the west end of the building have small restrooms with a water closet, hand lavatory and shower. The residence on the north side of the building has a restroom with a lavatory, water closet and tub/shower. The restroom fixtures were observed to be in good condition. A water fountain in the building was not observed. When constructed, the building had a water fountain located in the lobby on the east wall between the two doors leading to the east gathering area. The sanitary vent stack through the roof is still in place.

Electric water heater in the electrical room

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Restroom - typical

HVAC Original – The HVAC system for the original construction of the building used split condenser/air handler units. The condensers were mounted on roof curbs (likely in the penthouse section at the west end of the building) and the air handler units (AHUs) were hung below the roof in the mechanical room. Four units were used for a total of 15-17 nominal tons of cooling capacity. Supply and return ductwork lines were run overhead down the center line of the building from the AHUs No. 1 and No. 2 mechanical room to the main room at the east end of the building, controlled by thermostats on either side of the movable room divider. AHU No. 3 provided conditioned air for the offices. AHU No. 4 provided conditioned air for the north residence. To provide conditioned air for the west residences, ductwork was tapped into the ducts for the office AHU. Heat was provided by electric strip heaters installed in the AHUs. Current – The HVAC split systems were replaced with roof-top package units (RTUs) and the air handlers in the mechanical room were removed. The HVAC system serving the east end of the building and the lobby appears to have been moved from the west end of the building to the roof above the east end of the building, according to historic aerials sometime prior to May 2002. (The thermostats by the movable partition wall are likely not in use and should be removed; a newer thermostat was observed in the lobby outside the office).

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There are four RTUs present, all manufactured by Trane. The table below is the information taken from the data plates on the units.

Area Served Model S/N Size Date of MFG

East end & lobby TCD150C0300BB P09100712D 12.5 tons 1999 Offices TSC060E3E0A1C 123411103L 5 tons 2012 North residence TCS036C300BC P10101542D 3 tons 1999 West residences TCC024F100BB P102N2A2H 2-tons 1999

The HVAC system is being maintained by Air Masters of Tampa Bay, Inc. on a quarterly maintenance schedule. Three of the HVAC units will soon reach their anticipated useful life of 15 years. This is a total of 17.5 tons of equipment. An estimate to replace this equipment upon failure has been included in the OPC table. The electric water heater is located in the mechanical room. It is a Rheem Model 82V40-2, S/N 1106D12274, 40-gallon unit Manufactured in 2006. It is in good condition and should last another seven years. Ten (10) electrically powered ventilation fans were counted on the roof. It is very unusual to have this quantity of ventilation fans for a building of this size and use. It is not known if all of the ventilation fans are still required or it they are all still in use. Elimination of unnecessary ventilation fans should be considered when the roof is replaced.

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Abandoned ductwork and steel supports for the air handlers that were originally

installed in the mechanical room

View of RTUs and powered ventilators

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RTU for the east end gathering rooms

RTU for west end residences

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1.5.8 Electrical Systems and Equipment: The TECO electric service meter is located in the mechanical/electrical room. The electrical room should be designated by a sign on the door. A reminder to have a sign installed has been included in the OPC table. The building does not have a shunt trip or main electrical safety disconnect to turn off the power to the building. Installation of such a devise is recommended and a reminder has been included in the OPC table. The main electrical power panel is a 400-amp Square D panelboard, 3-phase, 4-wire, with a 400-amp main breaker. The circuit labeling is not current. Breakers appear to have been abandoned in place and covered with electrical tape. There is a breaker labeled for a “Water Pump” whose current use is unknown. There are four Square D 30-amp safety switches that appear have been used for the AHUs. They appear to have been abandoned in place, but they are still in the “On” position. To the left of the main power panel is a 125-amp Square D load center whose circuit labeling cannot be read. To the left of that panel is a 225-amp Lighting Panel panelboard without any circuit labeling. Above the Lighting Panel, there is a Square D load center with an oversized main breaker (100-amp) that was recently installed. It feeds a lighting control box with eight light switches for flood lights that have been added to the roof to provide lighting for the north area of the property. The circuits and lighting were not professionally installed and their installation was not permitted. Recommend a licensed electrician be engaged to perform a safety and code inspection of the electrical room and circuits. Equipment no longer in use should be removed and circuits should be traced to properly identify their use. An allowance has been included in the OPC table for this work.

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Electric meter, abandoned in place safety disconnects, main electrical panel and lighting

panel

Main electrical panel with electrical tape over breakers and unlabeled circuits

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1.5.9 Interior Space, Life Safety and Fire Protection: The interior finishes are in fair condition. The common kitchen is worn, dated and the appliances need to be replaced. It is not known when the kitchen was installed. The construction plans had a kitchenette where an administration work cabinet is currently located and the current kitchen was a storage room. An allowance has been included in the OPC table to renovate the common kitchen. The kitchen in the north residence appears satisfactory and it was not evaluated for renovation. The principal concern with the building interior is the presence of suspect asbestos containing materials. The vinyl floor tiles are suspected of containing asbestos as are the ceiling tiles in the common kitchen. The plans for the fireplace show asbestos materials were used in its construction. Based upon the construction plans and site observations, it is believed that, with the exception of restrooms and the mechanical room, all the floors are finished with suspected asbestos containing floor tiles. The carpet in some of the rooms is believed to have been installed over the existing floor tiles. An asbestos survey of the building is warranted and removal or abatement of the asbestos containing materials should be performed. An allowance to perform this work has been included in the OPC table. The ceilings consist of 2’x4’ suspended acoustical ceiling tiles. Several tiles are water stained from a combination of condensation on HVAC ductwork and roof leaks. One tile has suspect mold growth. The ceiling tiles need to be replaced as a maintenance action. The interior walls consist of drywall on steel stud framed walls. The walls are in good condition and re-painting is not anticipated to be needed during the five-year outlook of this report. The east end of the building has a movable partition wall that was used to divide the large area into two smaller rooms. The partition wall was reportedly not functioning properly and is not used. The building is not protected by a fire sprinkler system. Smoke detectors and hand-held fire extinguishers are present. The fire extinguishers are inspected and serviced by Fire Fighter, Inc., Land O’ Lakes and the required annual inspection was last performed in November 2013. The building does not appear to conform to current fire safety construction code requirements. The mechanical/electrical room walls do not appear to provide adequate protection to the adjoining residential rooms from fire and smoke. There are wide open areas between the tops of the CMU walls and the attic space of the building that would allow fire and smoke to travel to the other areas of the building. Additionally, there is abandoned HVAC ductwork and unsealed wall penetrations. Recommend a qualified

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architect or fire safety engineer evaluate the property and corrections be performed, as necessary, to bring the property up to current fire safety code requirements. An allowance for the study has been included in the OPC table. An emergency light fixture in the east end of the building was observed to be broken off from the wall and it needs to be repaired. A reminder has been included in the OPC table. The fire water main line is located along North 50th Street. The closest fire hydrant to the property is located 90 ft. northeast of the property.

Lobby; entrance and office on the left; kitchen center; corridor to restrooms on right

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Stage and altar; east end gathering room, south side

East end gathering room, north side with fireplace

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Common kitchen; preparations for evening barbecue party

Office corridor

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Office

Administrative work area; originally a kitchenette

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Work room; side wall removed to combine this room with the prior assistant director’s

office

Assistant director’s office now a storage room

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Formerly the director’s office

Seminar room

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Corridor to southwest corner residence

Southwest corner residence

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Residence restroom

North side residence kitchen

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North side residence living room

Ceiling tile stained from likely roof leak

1.5.10 Vertical Transportation:

No vertical transportation is present on the property.

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2. OPINIONS OF PROBABLE COST:

2.3 Definitions:

Opinions of probable cost are provided for resolution of material physical deficiencies observed. Under the ASTM guidelines, these exclude cosmetic/decorative matters; enhancements for marketplace repositioning; and routine and normal preventive maintenance. PCAInc provides a table of recommended actions for remedy of physical deficiencies and for certain other matters that may not fall within the ASTM guidelines. PCAInc classifies actions in three categories:

- Category 1: Code violations and/or life safety matters that require immediate action

- Category 2: Deferred maintenance actions required to resolve material deficiencies in building systems and components - Category 3: Enhancements

Under ASTM guidelines, a lower limit of $3,000 is set as a threshold to define actions that are not minor or insignificant. ASTM excludes code and life safety items from this threshold. PCAInc chooses to list action items that are below the threshold value to assure that the Client has a ready reference to all actions recommended by the findings and observations. Some of these items are noted as “Maint.” In the cost column. Opinions of probable cost are based on the order of magnitude. These are to be used for budgeting only. To determine the more probable actual cost, the Client is referenced to professional architects/engineers for the preparation of documentation to be used in bidding by qualified contractors.

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2.5 Table of Action Items and Opinions of Probable Cost

Section Year Description Cat. Est. Cost

1.5.6 2014 Estimate to clean and apply a waterproofing sealer to the exterior brick walls 2 1,700

1.5.6 2014 Repair cracked grout lines in exterior tiled wall of the fireplace 2 Maintenance

1.5.6 2014 Estimate for immediate roof replacement 2 54,000

1.5.6 2015 Allowance to replace the windows which have exceeded their useful life 2 11,000

1.5.6 2015 Estimate to replace the metal door to the mechanical/electrical room 2 3,000

1.5.7 2015 Allowance to replace aged copper water lines 2 7,000

1.5.7 2014 Repair broken PCA waste pipe under kitchen sink 2 Maintenance

1.5.7 2015 Estimate to budget for replacement 17.5 tons HVAC equipment upon failure 2 32,000

1.5.8 2014 Install a sign on the electrical room door designating it as the electrical room 1 Maintenance

1.5.8 2014 Allowance for electrician to perform a safety and code inspection of the main electrical room and remove equipment no longer in use

1 7,500

1.5.8 2014 Install an electrical shunt trip on the exterior wall of the electrical room 1 6,500

1.5.9 2015 Allowance to renovate kitchen 3 10,000

1.5.9 2014 Allowance for asbestos survey and abatement as necessary 1 35,000

1.5.9 2014 Replace stained acoustical ceiling tiles 2 Maintenance

1.5.9 2014 Repair emergency light fixture in east gathering room 1 Maintenance

1.5.9 2014 Allowance for a fire safety evaluation by an architect or fire safety engineer 1 5,000

Total, Category 1, Life Safety and Code 1 54,000 Total, Category 2, Deferred Maintenance 2 108,700 Total, Category 3, Options 3 10,000 Overall Total $172,700

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EXHIBIT A

QUALIFICATIONS

ROBERT R. McBRIDE, LEP PROPERTY CONDITION ASSESSMENT, INC.

ROBERT R. McBRIDE has been with PCAInc since April 2002. Past company President, he is now part owner and serves as the corporation Vice President. Bob is the director of operations, scheduling and coordinating the field work, performing due diligence property condition assessments, construction progress inspections and Phase 1 Environmental Site Assessments. He is a Licensed Environmental Professional and has been a certified Structural Masonry Inspector and Mold Inspector. Bob is an infrared thermographer, specializing in building infrared thermography for water intrusion. Bob is a long-time resident of Orlando, his family moving to Orlando in 1954. After attending Maynard Evans High School, he continued his education at Florida Southern College in Lakeland, Florida. He graduated in 1970 with a Bachelor of Science degree in biology with a heavy minor in chemistry and specialized in microbiology. Upon graduation, Bob volunteered for the Air Force, following after his father’s 23-year career. In the Air Force, Bob’s primary duties were in air defense combat operations where he was a fighter weapons controller, radar operations specialist and electronic counter-countermeasures officer. Bob’s primary duty assignments were Alaska, Colorado, Washington, Montana and New York, with overseas assignments in the Philippines and Germany. Bob was the Director of Air Defense operations in Saudi Arabia during the Iran-Iraq war in which Iraq launched air attacks against shipping in the Arabian Gulf. While in the Philippines, Bob was involved in the search for the last Japanese straggler from WWII. Bob retired from active duty in August 1970 as a Major having served for 20 years. His awards include four Meritorious Service Medals. 1991-2002 Bob worked for Earth Resources Corporation, Ocoee, Florida, an environmental corporation providing environmental assessments, sampling and remediation and high hazard waste remediation, such as unknown compressed gases. Bob began his work at Earth Resources Corporation as a contract administrator for private, governmental and defense contracts and prepared bid estimates. Bob’s responsibilities quickly grew and he became the assistant director of operations for compressed gas cylinder remediation, the lead company in that field of work in the US providing services for major corporations, universities and research centers, Department of Defense and the Department of Energy. Bob was the company’s Program Director for Earth Resources’ work in the development of technology and equipment design for the destruction of chemical warfare materials. In 2002, when Earth Resources Corporation’s owners decided to retire and sell the company, Bob joined Property Condition Assessment where he was rapidly promoted to Vice President. In 2006, Bob was promoted to President. Since joining PCAInc, Bob was instrumental in growing the company from five employees to eleven and greatly increasing the company’s client base and market share. May 2012, Bob McBride and Barbara Betz, also with PCAInc, formed a partnership and purchased the corporation from its owner and founder, Paul Halyard.

RYAN C. EDGAR

PROPERTY CONDITION ASSESSMENT

Fields of Competence

Construction Management Superintendent with eight years of field experience. Performs residential and commercial building inspections for lending institutions. Acts as Owner Representative on commercial construction projects. Assists in property condition assessments. Performs construction plans and cost reviews.

Experience October 2013 - Present Property Condition Assessment Orlando, FL Associate Performs monthly draw inspections of residential, multi-family construction, commercial and A&D as needed. Assists in property condition assessments.

2013 Reich Properties, Inc. Orlando, FL Property Manager Assistant Managed multiple commercial business units and building. Hands-on responsibility with remodeling, landscaping and building maintenance.

2010-2012 KBR Building Group Orlando, FL Superintendent, UF Lake Nona Involved in pre-construction estimating and managing construction schedules.

2009-2010 Lake Nona Golf Course Orlando, FL Course Maintenance Assistant Assisted in the course maintenance of all playing surfaces to maintain a high level of private club membership satisfaction. 2006-2009 Palmer Electric Orlando, FL Journeyman Reviewed and interpreted jobsite blue prints and installed, tested and troubleshot main electrical systems 2004-2006 Project Manager Assistant Assisted the Project Manager, estimators and superintendents with take-offs for bids, purchase orders and pricing materials.

Education University of North Florida B.S. in Construction Management Mid-Florida Tech Four year certification , F.E.A.T.

BARBARA BETZ WEIDNER PROPERTY CONDITION ASSESSMENT, INC.

BARBARA WEIDNER is the corporation President and majority shareholder. She has been with the company since July of 2006 handling Business Development, Strategic Planning and Growth, Advertising and overseeing all payroll and accounting functions. Barbara manages the Residential Construction Department, performing field inspections and scheduling and reviewing the work of other inspectors. Barbara is qualified and experienced in performing commercial construction progress inspections as well as providing construction loan administration services. Prior to serving as President, Barbara was Director of Marketing. During her time as Director of Marketing, Barbara increased the client base by 131%. Before coming to PCAInc, Barbara worked in the residential construction industry in sales with Homes by Carmen, a high end residential builder, where she was honored and published in the June 2006 Orlando Magazine as one of The Hot 100 Real Estate’s Best. Barbara started a successful, small service company in 2005. Within a three year period, she increased business and grew the company to five employees. Barbara came to Orlando from Virginia in 1981 having been recruited by Martin Marietta Corporation. Her job assignment was Marketing Specialist, researching Senate Armed Services Committee reports. Barbara has served in many volunteer capacities for civic and community organizations. She served as Chairman of the College and Career Center Volunteers at Lake Highland Preparatory School, Chairman of the Bargain Box for the Junior League of Greater Orlando, Chairman of the Ladies Board at The Country Club of Orlando and served on the Orlando Opera Guild, PESO (Participation Enriches Science, Music and Art Organizations). In May 2012, Barbara formed a partnership with Bob McBride, also of Property Condition Assessment, Inc. and purchased a majority of the corporation from former owner and founder Paul J. Halyard. Barbara is a graduate from Virginia Commonwealth University in Richmond, Virginia, achieving a Bachelor of Science degree in Marketing and has earned credits towards her MBA. She has a Florida real estate license and serves on the Board of Directors of The University Club of Orlando.

EXHIBIT B

COMMERCIAL ROOFING CONSULTANTS, INC. ROOF

ASSESSMENT REPORT

Commercial Roofing Consultants, Inc.

A LIMITED ROOF SURVEY

12710 North 50th Street

Tampa, FL 33617

for

PROPERTY CONDITION ASSESSMENT, INC. 320 N. MAGNOLIA AVENUE, A-4

ORLANDO, FL 32801 CONTENTS: - Narrative Report - Executive Summary - Budgetary Considerations - Photographic Documentation

Commercial Roofing Consultants, Inc.

______________________________________________________________________ July 8, 2014 Property Condition Assessment, Inc. 320 N. Magnolia Avenue, A-4 Orlando, FL 32801 Attn: Robert McBride RE: Limited Roof Survey of 12710 North 50th Street, Tampa, FL 33617. Pursuant to your request, we have conducted an inspection of the above referenced facility. The scope of this report will be limited to documenting the existing system, noting on site conditions, evaluating longevity and providing probable repair and replacement budgets as appropriate. In light of the fact that invasive testing was not authorized, only assumptions based on field observations may be offered. Additionally, testing for asbestos containing materials (ACM) was not authorized and consideration of the presence of ACM is not allowed for in repair/replacement budgets. Commercial Roofing Consultants is not an engineering or architectural firm and offers no opinion on these matters.

Existing System

The existing roof system consists of an open web steel joist to which a “Bulb-T” is attached. A “Bulb-T” is utilized in a gypsum deck assembly. A sheet of gypsum board is laid in the Bulb-T and acts as a form board. Reinforcement wire is installed and a slurry of gypsum is poured atop the board and wire. This provides both a smooth surface and solid substrate for the roof to attach into. Waterproofing is accomplished by means of a multi-ply built up roofing assembly with a modified bitumen granulated cap sheet. Stormwater is addressed by means of internal roof drains with overflow provisions located proximal to the roof drains.

General Conditions and Deficiencies

The following conditions were observed:

· Three locations of large repair attempts were noted. These areas appear to be applied over plywood laid atop the roof deck and no attachment method was observed. These areas may become airborne during a high wind event. This may become a life safety issue or damage to other property may occur. See photo 2-4.

· Roof drains are occluded or covered over. Two drains are completely blocked off, one with fire department marker and another with a paint can lid. See photo 5-7.

· Voids at overflow scupper were noted. See photo 8.

· Open side laps and voids in base flashing laps were observed. See photo 9-10.

· Sporadic areas of delamination at edge metal were noted. See photo 11-12.

· All pitch pans require refilling and mastics. See photo 13-14.

· Flashing at fireplace vent requires attention. See photo 15.

· Exposed roofing fiberglass felt at parapet wall requires a re-saturant and ultraviolet protection. See photo 16.

Executive Summary

This roof assembly has exceeded its economic useful lifespan. Replacement is

recommended given the condition and extent of repair attempts.

5 Year Budgetary Considerations

Year 1 Roof replacement, 6,000 FT2 @ $9.00 per FT2 $54,000 Year 2 Annual Inspection 500 Year 3 Annual Inspection 500 Year 4 Annual Inspection 500 Year 5 Annual Inspection 500

TOTAL $56,000 End of Report. Prepared by:

Reviewed by:

Josh Kilmer Vice President

Raymond T. Kilmer RCI# 11071

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Limitations The methods and procedures utilized to offer the evaluations and opinions presented in this Limited Roof Survey are derived from various sources. Among these sources are: Tenant/Occupant interviews; Review of offered warranties; Research of manufacturers website and published manuals; Onsite observations of rooftop and below deck conditions; Public records and aerial photographs; Information provided by the client or others concerned with this project. There is a distinct possibility that conditions exist which may not be apparent, identified or visible at the time of the roof survey. All observations are conducted utilizing non destructive and non intrusive methods, therefore hidden and underlying conditions may affect the roof survey outcome were those same conditions disclosed. Commercial Roofing Consultants, Inc. (CRC) believes this roof survey was performed to standards normally utilized by other professionals to perform a Limited Roof Survey. This Limited Roof Survey is based on our technical expertise only. We offer no warranty other that this Limited Roof Survey was performed as agreed to in our proposal. Any liability of CRC is limited to the cost of services provided. The use and reliance of this report is limited to the persons/entity named on the cover page of this report. This survey is accurate to the best of our knowledge and beliefs.

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #1: Roof Overview

Photo #2: Roof overview - note large repair

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #3: Roof overview - note large repair

Photo #4: Roof deck - note plywood at damaged decking

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #5: Covered roof drain

Photo #6: Covered roof drain - paint can lid

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #7: Occluded roof drain

Photo #8: Void at scupper - typical

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #9: Void in lap seam

Photo #10: Open base flashing

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #11: Delamination at edge metal

Photo #12: Delamination at edge metal

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #13: Low mastics at pitch pan

Photo #14: Low mastics at pitch pan

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

Photo #15: Void at fireplace vent

Photo #16: Exposed fiberglass at parapet wall

707 Brookhaven Drive RC #0066906 Phone: 407.447.7663 Orlando, Florida 32803 www.CRCroof.com Fax: 407.447.7665

EXHIBIT C

ORDER OF MAGNITUDE ESTIMATING

EXHIBIT D

ASHRAE TC-1.8 ESTIMATES OF SERVICE LIVES OF VARIOUS SYSTEM

COMPONENTS

Table 3 Estimates of Service Lives of Various System Components

Median Median Median Equipment Item Years Equipment Item Years Equipment Item Years Air conditioners Window unit ..................................... 10 Residential single or split package ... 15 Commercial through-the-wall ........... 15 Water-cooled package ..................... 15 Heat pumps Residential air-to-air ......................... 15a

Commercial air-to-air ....................... 15 Commercial water-to-air ................... 19 Roof-top air conditioners Single Zone ..................................... 15 Multi zone ........................................ 15 Boilers, hot water (steam) Steel water-tube.......................... 24 (30) Steel fire-tube ............................. 25 (25) Cast iron ..................................... 35 (30) Electric ............................................. 15 Burners .................................................. 21 Furnaces Gas or electric ................................. 18 Unit heaters Gas or electric ................................. 13 Hot water or steam .......................... 20 Radiant heaters Electric ............................................. 10 Hot water or steam .......................... 25

Air terminals Diffusers, grilles and registers .......... 27 Induction and fan-coil units............... 20 VAV and double-duct boxes ............. 20 Air washers ............................................ 17 Ductwork................................................ 30 Campers ................................................ 20 Fans Centrifugal ....................................... 25 Axial ................................................. 20 Propeller .......................................... 15 Ventilating roof-mounted .................. 20 Coils DX, water or steam .......................... 20 Electric ............................................. 15 Heat Exchangers Shell-and-tube.................................. 24 Reciprocating compressors.................... 20 Package chillers Reciprocating ................................... 20 Centrifugal ....................................... 23 Absorption ........................................ 23 Cooling towers Galvanized metal ............................. 20 Wood ............................................... 20 Ceramic ........................................... 34

Air-cooled condensers ........................... 20 Evaporative condensers ......................... 20 Insulation Molded ............................................. 20 Blanket ............................................. 24 Pumps Base-mounted .................................. 20 Pipe-mounted ................................... 10 Sump and well .................................. 10 Condensate ...................................... 15 Reciprocating engines ............................ 20 Steam turbines ....................................... 30 Electric motors ....................................... 18 Motor starters ......................................... 17 Electric transformers .............................. 30 Controls Pneumatic ........................................ 20 Electric ............................................. 16 Electronic ......................................... 15 Valve actuators Hydraulic .......................................... 15 Pneumatic ........................................ 20 Self-contained .................................. 10

Source: Data obtained from a national survey of the United States by ASHRAE Technical Committee TC 1.8 (Akalin 1978). Data updated by TC 1.8 in 1986. a See Lovvorn and Hiller (1985) and Easton Consultants (1986) for further information.