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HomeMy WebLinkAbout05-28-15 � t r, � iN RE: ESTATE OF ROBERT L. KULP : COURT OF COMMON PLEAS : ORPHANS COURT D[VISION �.._ � � c� `�`� .-.�^ � ', : CUMBERLAND COUNTY, PENNSYLVANIA i�. ._..; c.,, ___ , � � �- � : Estate NO. 21-13-1205 i �: � ca_ _ , c� , . i . ',_: c`� _� _'� �.: � �...� ..;.� �.,; i -; �-- c�_ �.� � ` �-f � PI�I:�TON TO TERMINATE TRUST PURSUANT TO 20 PA.C.S&7740.1 c.:� �;.� 4L1 ��_ � � C= c�, TO TI-�'HONORABLE, JUDGES OF SAID COURT: AND NOW COMES, Petitioners,TAMEA M.KULP and HALI,I R. WITHERSPOON,by and through their attorneys, Lisa Marie Coyne, Esquire, and respectfully represent that: 1. Robert L. Kulp, hereinafter "decedent", died on May 23, 2013, while a resident of Cumberland County, Pennsylvania. 2. Tamea M. Kulp, the surviving spouse of the decedent, is an adult individual currently residing at 5 Stone Run Road, Mechanicsburg, Cumberland County,Pennsylvania. 3. Halli R. Witherspoon, the sole living child of the decedent, is an adult individual currently residing at 56 Somerset Court, Downingtown,Pennsylvania 4. Letters Testamentary were issued by this Court on November 13, 2013 to Tamea M. Kulp. A true and correct copy of the Certificate of Grant of Letters is attached hereto as Exhibit A. 5. The Last Will and Testament (hereinafter "the Will") of the decedent was executed on Apri123, 2002. A true and correct copy of the Last Will and Testament is attached hereto as Earhibit A. 6. Article 2 of the Will creates a Unified Credit Trust to take full advantage of the federal applicable exclusion amount for the sole purpose of avoiding the imposition of federal estate tax when the surviving spouse passes away. 7, The applicable exclusion amount in 2002,when the Will was executed,was $1,000,000. 8. The applicable exclusion amount in 2013,when the decedent died,was $5,250,000. `7 GC.� � ` tr � 9. The only asset in the estate of the decedent is commercial real property located in Lemoyne, Pennsylvania which has been valued at $550,000 pursuant to appraisal performed by Wolf Appraisal Group. A true and correct copy of the appraisal is attached hereto as Eachibit B. 10. Petitioners believe that the sole reason for the use of the Credit Shelter Trust in the decedent's estate plan was to avoid the payment of federal estate tax on the death of the surviving spouse. 11. Petitioners believe it is the best interest of Tamea M. Kulp for the Credit Shelter Trust to be terminated and allow the commercial real property to pass to Tamea M. Kulp in her sole name. 12. Petitioner, Halli R. Witherspoon, recognizes and understands that the outright transfer to Tamea M. Kulp exposes the real property to the creditors of Tamea M. Kulp, including for long term care, and to the possible transfer to a third party by Tamea M.Kulp. 13. Petitioner, Halli R. Witherspoon, as the sole heir of Tamea M. Kulp, does not believe the risks resulting from the termination of the Credit Shelter Trust and outright transfer warrant the continuation of the Credit Shelter Trust. 14. Petitioners believe the material purpose of the Credit Shelter Trust was the avoidance of federal estate tax and that this purpose no longer exists with the substantial increase in the federal applicable exclusion amount. 15. The Pennsylvania Department of Revenue has an interest in this Petition in that no inheritance tax will be due as the result of the death of the decedent but the value of the property, to the extent still held by the surviving spouse,will be subject to tax upon the deatll of the surviving spouse. 16. The Pennsylvania Department of Revenue was served an advance copy of this Petition and on April 30, 2015, the Department issued a No Objection Letter to tlle proposed termination of the Credit Shelter Trust. A copy of the No Objection Letter is attached as Exhibit"C". ,.a_� iu�n i i� r�rm F � a t. r 17. This Petition has no impact on the taxation of the trust as the Credit Shelter Trust would qualify as a"sole use"trust for a surviving spouse under the Pennsylvania lnheritance and Estate Tax Act and would not be taxed until the death of the surviving spouse absent an election to tax it in the current estate,which election has not been made by the Executor. WHEREFORE, Petitioner respectfully requests that this Court: (a) Terminate the Robert L.Kulp Credit Shelter Trust; (b) Authorize the transfer of the commercial real property by the Executor to Tamea M. Kulp, in her individual name; and (c) Authorize the filing of the Pennsylvania inheritance ta�c return reflecting that the sole heir of the decedent is Tamea M.Kulp. Respectfully Submitted, COYNE&COYNE, PC. , r...°y By; "��.. ...----�'� L' a Marie Coyne, Es . ttorney ID# 53788 3901 Market Street Camp Hill, PA 17011-4227 (717) 737-0464 �,y .� Dated: �-7 � !��5 Attorneys for Petitioner «-� io o i u rmrnr , � x � 11_ 1 REGISTER QF WILLS CERTIFlCATE UF CUMBERLAND COUNTY GRANT OF �ETTERS PENNSYLVANIA No. 2Q�3- 07205 PA No, 21- �3- 1205 Es ta te Qf: RUBERT t KULP tFirsi,Middlr.,LnsD La t e Of: �UMBERLAND Co�NTYH�P Deceased Soci al Securi ty No: 184-38-0501 WHEREAS, on the I3th day of November 2013 an instrument dated April 23rd 2002 was admitted to probate as the last will of ROBERT L KULP tFirrr,691ireilu,tasrt late of SILVER SPRING TOWNSHIP, CUMBERLAND County, who died on the 23rd day of May 2013 and, WHEREAS, a true copy of the will as probated is annexed hereto. THEREFORE, I, GLEN�A FARNER STRASBAUGH , Register af Wi11s in and for CUMBERLAND County, in the Commonwealth of Pennsylvania, hereby certify that I have this day gran�ed Letters TES�'AMENTARY to: TAMEA M KULP who has duly c�ua.Zified as EXECUTOR(R/X) and has agreed ta admini.ste.� the estate according ta law, all of which full� appears of recoxd in my office at CUMBERLAND CDUNTY COURT HDUSE, CARUSLE, PENNSYL VANIA. IN TESTIMONY WHERE4F, I have hereunto set my fzand and affixed the seal of my office on the 13th day of November 2013. ���$i�' �i�� `��� � ��1:°� ,�;� � :� `�_t�` �,�� ��� � � . egiste��i s . F . � � �7 � � ..a—r . , �� _ ���.. , y . ::-' ,` ; .�� � ( � � i` � ' �:. [ „ _ � � epuiy �'X�ji�i T_ t� � M **NOTE** ALL NAMES ABOVE APPEAR (FIRST, MIDDLE, LAST) ,w.� ���,��,�,��,�� . 1 . . „ �� � LAST WILL AND TESTAMENT OF RC?BERT L. KULP I, ROBERT L.Ii.ULP, of the Borough of Camp Hill, Cumbtrland County,Pennsylvania,being of sound and disposing mind and memary, do make, publish and d�clare this ta be my Last Wi11 and Testament,hereby revoking alI Wills and Codicils by me at any time previously made. I am married to T:���.M. KITI,P (hereinafter referred to 3s "my Spouse")and the child born of our marriage is ��I.,LI R KULP. As used herein, the term "cl�ild" shall refer to the aforelisted child born of my marriage with my Spouse. 1. T.�,NGIBL,E PERSON_�T.TY. I give and beque�ch all of my household furniture and furnishings, automobiles, ottier motor vehicles, books, picttares, j�welry, china, crystal, appIiances, silverware, wearin� apparel,recrearional equipment, articles af hnusef�uld or personal use or adornment, together with all polici�s of insurance thereon, to rny Spouse, if my Spouse survives me. If my Spouse does not survive me, I D ve such articles to my child living at my death, it being my desire that my child be guided by any memorandum which I m3y leave with my Wil1. Any cost of packing and shipping said personalty ta the beneficiaries, including insurance, shall be paid by my Executor as a general administration cost. 2. UtYIF'IED CREDIT TRUST. If my Spouse survives me,I give,devise and bequeath to my Trustee hereinafter named, I�i t TR.UST NEVERTHELESS, tn be held, administered and disposed of � in accordance with this ITEM far the benefit of my Spouse and my child,per stirpes (herein referred to as the "Unifed Credit Trust") an amount equal to the sum af the balance of the dollar amount not taaced in my estate du� to the application ta my estate of the (i} the applicante credit amount against federal estate ta.Y under Section 2010 of the Internal Revenue Code of 1986, as arnended, or any subsequent . I • � • . , successar or parallel provision thereto (the "t�pplicable Credit"), after deducting therefrom the value, for federal �state tax purposes, of(_�.) assets included in my federal eross c:state which gass or have passed other than under the terms of this Will and which will utilize a portian of the Applicabie Credit, (B) any bequests under the preeeding I"TEM of this Will which will utilize a portiun o�the Applicabte Credit and (C) adjusted ta.�cable gifts not included in my federal gross estate but included in the computation of the tentative federal estate ta.�c in my estate; and (ii) the state death ta:c eredit allowed for federal estate tax purposes (but only to the extent its use will not increase any Death Taxes, other than Pennsylvania . Inheritance Ta.�c or Pennsylvania Estate Tax, flwing by my estate). �viy Trustee shall have,hold, manage, invest and reincest the assets of the Unified Credit Trust, collect the income and (a) ge�inning at my death, my Trustee shall pay over the net income of the Unified Credit Trust to yiy Sgouse during �iy Spouse's lifetime,in installments not less &eque7�tly than quarterly. In addition, my Trustee shall pay to my Spouse such amounts of the principal of such trust as, in the sole discretion of my Trustee, shall be necessary for the maintenance, support and medical and nursing care of my Spouse,taking into consideration any other means readiIy available for such purposes. My Spouse shall have the exclusive and unrestricted right during my Spouse's lifetime to occupy or atherwi.se use any residenc� held wholly or partially in this Trust and the Trustee shail, at the request of my Spouse, sell any interest in any residence held in this Trust and may use the proceeds for the � purchase of another residence for my.Spouse's use or for investinent in income .� producing property,as my 5pouse may direct, (b) Upon the death of my Spause, my Trustee shall distribute the principal and any undistributed income of the Unified Credit Trust to my child,per stirpes, then living;provided, ho�vever,that should my chiid or her issue not have attained the � \,�` ..•,.. oc�irrn rarnr � . � . . _, age of thirry (30) years, then my chiid's or her issue's sh�e shall be retained by my Trustee, IN TRUST NEVERTHELESS, to be held, administered and - disposed of as a separate trust estate in acc�rdance with ITEI�4 for the benefit of each such child (the "Trust for Iv1y G'nild or Her Issue"). Should my child not be living upon my Spouse's death and should my child have no issue#hen Iiving then rny Trustee shail distribute the principal and any �mdisinbuted income in accordance with ITEM 3(a)through ITEiv13(c)of this,my I.ast Will. 3. RESIDITE. I �ive, devise and bequeath all of the cest, residue and remainder of my property, real, persanal and miYed, not disposed of in the preceding partions of this Will, to my Spouse, if my Spouse survives me by thirty (30) days. If my Spouse does not survive me, I give and bequeath said residue to my daughter, HALLI R. KL'LP,p�r stirpes, then living, provided,however, that shauld my child �r her issue not have attained the age af thirty (30) years, then my child ar her issue's share sha11 be retained by my Tnistee,IN TRUST N`EVERTHELESS, to b�held,administered and disposed of as a separate trust estate in accordance with ITE�f 4 for the benefit af my child or her issue (the "Trust for My Child ar Her Issue"}. If my Spouse and my daughter, H.4I�LI R. KULP or her issue do not survive me, I give and bequeath the residue of my estate in equal shares as follows: (a) To my brather-in-law, ALEX J. I��tIS�L�K, JR. of 890 Hawthome Drive, Mechanicsburg, Cumberland County,I'ennsylvania. (b) The C�tiIP ffiLL PRESBYTEI2IAI�T ���URCH of 101 North 23rd Street, Camp HilI,Pennsylvania,or its successar. � ' {c) The Al'�IERIC�'�t CAI�CCER SOCIETY of 22nd and Sipe Avenue, Hershey, Pennsylvania, or its successor. If any of the bequests contained in this ITEM lapses because the beneficiary no longer exists, I r� direct tt�at it be divided among the remaining benefieiaries in this I'�'Eitif. 3 � . . , � • r. � �. TRUST FOR NIX CHILD OR HER ISSUE. hIy Trustee shall have, hold, manag�, invest and reinvest the ass�ts of this Trust,collect the income and (a) - Unril my child (the "Child") or h�r issue shall have attained the age of thirtY years, my Trustee shall from time to time pa�r to or far the benefit of my child or her issue, such amounts of the �et income and principal of this Trust as, in the sole discretion of my Trustee, shall be necessary far my child or her issue's maintenance, support, medical and nursin� care and education,including college and �raduate education, takinb into cunsideration any ather means readily available for such purposes. At the �nd of each year any unexpended income shall be added to the principal of this Tz-ust. (b) After my child or her issue shall have attained thirtY Years, the Trust shall terrninate and all undistributed income and pnncipal shall be paid to my child or h�r issue. (c) Zf my child or her issue shall die leaving no surviving issue before final distribution of the assets of this Trust is made, the then remainiug principal and any undistributed income of this Trust shall becorne gart of the residue of my estate and distributed in accardance with ITEM 3• �. PERPETUITIES PROVI5IONS. Nothing herein is intended to, nor shall it be canstrued to,postpone the vesting of any part of the assets af any separate trust estate hereunder for more ��� than twenty-one years after the death of the survivor of ine, my Spouse and my child or her issue living r, at the time of my death. At the e:cpiration of such period the assets of all the trust estates hereunder s a immediately vest in fee simple absolute in and be distributed outright to the person or persons then entitled to receive the income therefrom, whether in my Trustee's discretion ar othervvise. � � 4 � • R • i, � 6. SI'EiVDT��t�k"T PROVISION. No interest in inco�ne or principal of my estat� or any trust created hereunder shatl be subject to attachment, levy or seir.ure I�y any creditor,spouse,assignee or trustee or receiver in banla-uptcy of any beneficiary of my estate or of any tr-ust created hereunder prior to the beneficiary's actual receipt thereof. l�Iy Executor or Trustee st-�all pay over the net ineome and the principal to the beneficiaries herein designated, as their interests may appear, without regard to any attempted anticiparion (escept as may be specifically provided herein), pledging ar assignment by any beneficiary of my estate or of any trust created h�reunder and tivitht�ut regard to any claim thereto or attempted levy, attachment,seizure or other process a�ainst said beni;ticiary. 7. SURYtV�I, PRESLI�IPTZONS. Any person �vho sliall have died at the same time as I or under such cireumstances that it is difficult or impossible ta dete�-znine�rho shall have died first, sha11 be deemed to have predeceased me. �ny person other than me wh� shalt have died at the same time as any then beneficiary of income of my estate ar a trust created hereuncier or under such circumstances that it is difficult or impossible to determine who shall have died first, shall be deemed to have predeceased such beneficiary. g, �"IDUCiAR�t I'flWERS. In the settlement of my estate and durmg the continuance of any trust created hereunder, my EXecutor and my Trustee shall possess, among others, the following powers, exercisable without prior court approval, but in all cases to be exercised for the best interests of the beneficiaries: � (a) To retain any investments I may have at my death so long as my Executor or p� Trustee may deem it advisable to my estat� or trust so to do,including securities 3 owned, issued or underv�mtten by any corparate Executor or Trustee or any of their affiliates. `�•. (b) To vary investments, when deemed desirable by my Executor or Trustee, and to � invest in such bonds, stocks, notes,real estate mortgages or other securities or in 5 ..,.,.-.m�ir.i-v-im�nr. . ,. � �. . , � , such other real or personal property, including securities owned, ,issued or undenvritten by any corporate Executor or Tnastee or any of their affiliates,or as - to which my corporate Executor or Trustee or any of their affiliates are investment advisors, as my Executar ar Trust�e shall deem wise, without being restricted to so called"legal investrnents'". (c) In order to effect a division of the grincipal of nny estate or trust or for any other purpose, including any final distr-ibution of my estate or trust, my Executor or Trustee is authorized to make said divisions or distributions of the personalty and realty partly or wholly in kind. If such division or distribution is made in land, said assets shatl be divided or distributed at their respective values on the date or dates of their division or distz�ibutiun. In making any division or distribution in kind, my Executor or Truste� shall divide or distribute said assets in a manner which wiil fairly allocate az�y unrealized appreciation among the beneficiaries. (d) To sell either at public or private sale anci up�n such terms and conditions as my E�ecutor or Trustee may deem advantageo«s to my estate or trust,any or all real or personal estate or interest therein owned by my estate or trust severally or in conjuncrion with other p�rsons or acquired after my death by my Executor or Trustee, and to consummate said sale or sales by su.fficient deeds or other � instruments to the purchaser or purchasers, c�nveying a fee simple title, free and ctear of all trust and without obligatian or liability or the purehaser ar purchasers to see to the application of the purchase money or ta make inquiry into the validiry of said sale or sales; also, to make, c:xecute, aclaiowledge and delivery any and all deeds, assigiments, optic�ns ar other wrifiings which may be %� m ��J' 6 ..�w.-.���.�i i n us�i nr r � � � � !. � ! neeessary or desirable in carrying ou# an;v of the powers conferred upon my Executor or Trustee in this paragraph or eIsetivhere in this Wi11. (e) = To murtgage real estate and to make leases of real estate for any term. (fl To borrow money from any party, includin;,� my Executar or Tnzstee, to pay indebtedness of mine or oE my estate or trust, espenses of administration,Death Ta.Yes or other taxes. (g) To pay all casts, e:cpenses, legally enforceable del�ts, funeral expenses and. charges in cunnection with the administration of my estate ar trust. (h) To vote any shares nf stack which form a part of my estate or trust and to othenvise exercise all the powers incident tc� the ownership of such stock and ta acrively manage and operate any incorpurated or unincorporated business, including any joint ventures and partnerships, and to incorporate any such unincorporated businzss,with all the rzghts and powers of any awner thereof. (i) To hold investments in the name of a noininee. (j) To compromise cantz'oversies. (k) To disclaim,in whale or in part, any and all i�terests in property owned by me at the time of rny death, including those passing tome by Will, intestacy, contract, joint ownership,operation of Iaw or otherwise. (1) Ta employ and compensate &om incorne or pri:ncipal, in the discretion of my Executor or Trustee, investment and legal counsel, accountants, brokers and other specialists, and, whenever there shall be no �orparate Executor ar Trustee in offic�, a corporate custodian, and to delegate to investrnent counsel discretion "u with respect to the invesrment and reinvestznent of any or all of the assets held ( hereund�r. \ V i 1` ��� 7 1 I'I'II I 11 11R 1111 a � , � . , , (m) To designate one or mor�persons or a corporatian to act as ancillary fiduciary in any jurisdietion in which ancillary administration may be necessary, such : ancillary fiduciary to serve withaut bond ar security and to have ail pawers, authorities and discretions conferred hereunder. 9. EYCITLPATORY CLAUSES. In the settlement of my estate: {a) Niy Executar shall not be personally liable for any loss to my estate or to any beneficiary of my estate resulting frorn an electio�n made in good faith to claim a � deduction as an income taY deduetion or as an estate tax deduction. (b) In valuing property in my gross estate for the purpases of any Death Tax, my Exeeutor shall not be personally liable for any loss Co my estate or to any beneficiary of my estate resulting from my Executor's decision made in good faith to use a particular valuation date. 1Q. TAX GZAUSE. All inheritance, estate 3nd similar taxes becoming due by reason of my death, except if applicabie, any taxes relating to generation skipping transfers imposed under Chapter 13 of Subtitle B of the Internal Revenue Code, as amended ("Death TaYes"), whether such Death Taaces shall be payable by my estate or by any recipient of any praperty, shall be paid by my Esecutor out of the property passing under ITF..M 2 of this Will or if sueh assets passin� under TTE14i 2 are not sufficient, then out af the property passing under ITE�i 3, as an expense and cost of administration of my estate; provided, however, that if any property held in any testamentary or inter vivos trust created by my Spouse is includable in my estate for purposes of any Death Tax, then any Death Tax aitributable ta their inclusion of any such property in my estate for the purposes of that I}eath Ta.c shall be paid out of such ,� property or by the recipients of such property; and, if such Death Ta�ces are nevertheless paid by my Executor, I direct my E,�cecutor trs obtain reimbursement or cantrivutian for any such tax.es paid by my Esecutor. Except to the extent abov� provided, my Executor shall have no duty or obligation to obtain 8 ,.i i�r�i_i n nanu o ' � . • <. , reimbursement for any Dzath Taxes paid by my Executor, even thau�h paid with respect to proceeds af insuzance or other property nat passin�und�r this Will. 11. N�N-E1'�RCISE OF POWERS• No provision in this Will is intended to exercise any power of appointment which I may passess. 12. CUSTC}DL�'Y OF ESTATES. If at any time my chilci or her issue aze under the age of thirty (30} years shall be entitled to receive any assets free of trust by reason of my death, whzther payable hereunder, by operarion of law, contract or otherwise, I appoint my Trustee hereinafter named as Custodian for my child or h�r issue under th�Pennsylvania Uniform Tt:ansfers to�+iinors Act_ 13. TRUST:�LERGERS�ti`D TE�ATIONS. (a} If ther� should be established by my Spouse, eith�r by Last Will and Testam�nt or by inter vivos Deed or Ag�eement, trusts similar to the trusts herein established for th�benefit of my child ar her issue,my Trustee herein shall have the riyht and power to mer�e trusts hezein established with similar trusts for the same beneficiaries established by my Spouse and to operate each of the merged trusts as a single mxst. {b} Lf, in the sole discretion af my Trustee, a:t any time anY trust hereunder is ar becomes too small to justify its maintena:nce as a separate hvst, my Trustee, withaut any liability to any person or remainderznan whase interest may be affected thereby and without the necessity of court approval, shall terminate Ca,��''� such trust by distributing all the incom� and.principal of the trust to the then J s � income beneficiary or beneficiaries of said trust. If any additions to any such trust are received after its termination under this ITEM, such trust shall be � revived and this provision shall continue to apply to it. The Trustee discrerion � 9 �.� iuninnornr ° ' � � ,. , herein granted shall in no event be construed as giving any pot�ntial di5tributee of a trust the right to compel a terminatian in whole or in part of such trust. 14. EXECUTOR r�3'POINT�VI�NT. I hereby appoint rny Spouse, TA�12EA M. KULP as Exeeutrix of this Will. If my Spouse should for any reason fail cxr cease to act, I appoint my daughter, FL4.LLI R �ULP, Executrix of this Last Will or if she should fail qr c;ease to act,I appomt my brother- in-law, ALEX J. I�TZ��TISH�,K, TR as EYecuior of this Last W ill. �11 references in this Will to my "Executor"shall refer to my Executor, or to my suceessor Executor, as the case may be. 15. TRUSTEE APPOINTMEiv'I'. I hereby appoint my Spouse, TAMEA M. KULP as Trustee of any trust created hereunder. If for any reason TAi1�LE�. iYT. KLTLP should fail or cease to act, I appoint my brother-in-law, AI.,EX J. �IL�+~ISHAK, JR. as Trustee in her place. If for any reason my Trustee shall desire a Co-Trustee, my Trustee may designate a person or bank to serve as Co-Trustee with him or her, such desi,narion to be in writing and effecrive withuut court approval. Sa lonb as a Trustee or the issue af such Trustee is a beneficiary of any tnxst hereunder, such Trustee shall not (i) participate in any discretionary determination af the Trustee to distribute principal or incorne of such trust to or for thz benefit of such beneficiary or to his or her issue; or (ii)participate in any discretionary determination af the Trustee to ternnir��te said trust under the iTEl�i hcreof entitled`�ZUST MERGERS AND TER�fLNATIONS". An individual Trustee shall be deerned to have failed to serve as Trustee hereunder if, among other reasans, the treating physician of said individual Trustee shall certify in � writing that such Trustee possesses pezmanent mental or physical incapacities which preclude such � Trustee from discharging his or her duties as Trustee hereunder. Any Trustee serving hereunder shall have the right to resign fram such office at any time, with or without cause and without Court appraval. —4- No successor Trustee shall be liable for the actions af a resigiin� or r�moved Tnistee occurring prior to such successor Trustee takin� office. All references in this Will tu my "Trustee" shall refer to my originally named Co-Trustees or to my successor Trustee(s), as the case may be. � zo , �'�� un fl I 1�1197t11�� ° � . ' � . , _ � ", , 16. Upon my demise, I direct that rny body be buri�d at a lacation selected by my Executrix. 1'7. �V��IVER OF BO�`tD• �Iy Custodian, E�ceeutor and Tnzstee sllall qualify and serve without the duty or obli�atian of filing any bond or other security. Any corporate fiduciary shall be entitled to compensation in accordance with its standard schedule of�ees in effect from time to time. L�t WITNESS �'VHEREO�', I have set my hand and seal to this, my Last Will and Testamznt, cansisting of this and the preceding pa�es,this d� day of_5���)/i�t.•�- ,2002. Y , � � ��� ROBERT L.KULP V�e, the undersi�ed, hereby certify that the faregoin� WiII was signed, sealed, published and declared by the above-named Testator as and for his Last Will an�Testament,in the presence of us,who, at his request and in his presence and in the presence of�ach other,have hereunta set our hand�and seals the day and year above wvritten, and we certify that at the time of the execution thereof,the said Testatar was of sound and disposin�mind and memory. r� f 6 C fs- Gv_ G. s �J„�. 2�. . ' t � (�A- �s-s residing at �,c..A - •- t'zS �+�� r 7 a � }�, l.Q.�r�,,.,c,-,- residing at /� �' /�1'° .S� .[��'� -Pr t ��Y� 11 ..��^l urlr��n-in�nr�... o � x * , ,, , CONIlti10NWEAI.TH OF PEi�NSYLVt3NIA ) ) ss: COUNTY OF CLTN�ERLAND ) We, ROBERT L. h'iTLP, ��s�' /k n�<L` C�a y.w' , and �,�,� ft,�, „�o�.,,,,v�. , the Testator and the witness�.s respectively, whose names are si�ned to the attached or foregoing instrument, being first duly s�vorn, do hereby declare to the undersigned authority that the Testator signed and executed the instrument as his Last Will and that he had signed willingly, and that he executed it as his free and voluntasy act for the purpose therein expressed, and that each of the witrzesses, in th� presence and hearing nf the Testator, signed the will as wiUiess and that to the best of his or her lrnowledge, the Testator was at the time eighteen (18) years of older,of sound mind and under na constraint ar undue influence. � ,L ROBERT L. k:ULP L_ � • -� W �SS � �,l�"�"'"" . w11:t1e5S Subscribed, sworn and acl�owledged before me ���_.�.' .�. '' by ROBERT L. Ii'UI,P, the Testator, and subscribed and sworn to before me by L,�� n+�t�' ���� and /'t���. r"t• �°� ,�. � the witnesses, this 2�rc�{day of __�_` , � 2002. Notary Public {SE ) ��..�.�.... HE1�FlY F.C�y'NE,Natary F�t�taNC E'i�n+�de�t7�p..C�mbette�tx3 u�y MY�'��Ju�e T�,��Olf�t' ' 12 ��*i III��"I1111��flll� " . . , � WOOF APPRAISAL GROUP File No.PVT11082 APPRAISAL OF ��o- I"�� �°����� � � � , � ��� ����. �� . _ , , � � � ,� E� _ ��' ` " h�` i �+.. 8 ���. �.�u..�NL+,a� .:��k'��'7 � I E ~ �� � <. A� X 'W 1� �� ���������k�� � � 3. . � `g �■ t1[ - +� ,..,. . .<. � ..�.v „ .. ��_ — A COMMERCIAL SERVICE GARAGE LOCATED AT: 1051 MARKET STREET LEMOYNE,PA 17043-1414 FOR: COYNE&COYNE P.C. 3901 MARKET STREET CAMP HILL,PA 17011 AS OF: MAY 23,2013 APPRAISED VALUE: $550,000 BY: ���,•� ��� M REYNOLD R WOOF JR PENNSYLVANIA CERTIFIED GENERAL REAL ESTATE APPRAISER 302 SOUTH FRONT STREET,WORMLEYSBURG,PA 17043 _ . ���,��,.�n„r. , . � . . , WOOF APPRAISAL GROUP File No.PVT11082 01/09/2014 BRADLEY C BAIRD,ESQ. COYNE&COYNE P.C. 3901 MARKET STREET CAMP HILL,PA 17011 FileNumber: Pvr��oa2 B RAD, In accordance with your request, I have appraised the real property at: 1051 MARKET STREET LEMOYNE,PA 17043-1414 The purpose oF this appraisal is to develop an opinion of the market value of the subject property,as improved. The property rights appraised are the fee simple interest in the site and improvements. In my opinion, the market value of the property as of MAY23,2013 is: $550,000 FIVE HUNDRED FIFTY THOUSAND DOLLARS The attached report contains the description, analysis and supportive data for the conclusions, final opinion of value, descriptive photographs, limiting conditions and appropriate certifications. SINCERELY; iC 'r '����� REYNOLD R WOOF JR PENNSYLVANIA CERTIFIED GENERAL REAL ESTATE APPRAISER 302 SOUTH FRONT STREET,WORMLEYSBURG,PA 17043 ^ 1 III'�I�1111�1111 " WOOFAPPRAISALGROUP � � . , FileNo. PVT11082 � PAGE1 UNIFORM COMMERCIAL/INDUSTRIAL SUMMARY APPRAISAL REPORT-SMALL PROPERTY Client COYNE 8 COYNE P.C. File Number P�T���82 Property Use Office X Commercial Indusvial Property Address 1051 MARKET STREET Map Reference 2�-0267 Cay LEMOYNE Counry CUMBERLAND State PA Zip Code 17043-1414 Building Name MONRO MUFFLER&BRAKE Census Tract 3240-0106.00 OwnerlOccupant ROBERT LLOYD KULP APN 12-21-0267-180 Typical Buyer. OwnedUser X Invesror Property Rights Appraised � Fee Simple ❑ Leased Fee Leasehold Other Purpose of Appraisal ESTABLISH MARKET VALUE Intended User(s)of Report TAMMI KULP EXECUTRIX AND COYNE&COYNE P.C. Intended Use of Repon ESTATE SETTLEMENT Scope of Work SEE ATTACHED Complete Appraisal Limited Appraisal due ro the following depanures from Standard 1 X Summary Appraisal Report THREE YEAR OWNERSHIP HISTORY Owner Recording Reference Date Price Paid Terms of Sale Most Recent ROBERT LLOYD KULP BOOK 151,PA�E 1121 Ot/14/1997 g 1 CASH Previous $ Previous $ Previous � Current Contract Option: Listing Price 8 Buyer Convact Price E Seller Closing Date AnalysislComments: NEIGHBORHOOD DESCRIPTION Bountlaries: THE NEIGHBORHOOD IS BOUNDED ON THE NORTH BY POPLAR STREET ON THE WEST BY 12TH STREET ON THE EAST BY 3RD STREET AND ON THE SOUTH BY THE RAIL ROAD TRACKS IN THE BOROUGH OF LEMOYNE. X Suburb Urban Neighborhood Built Up 100 % Location ,, . , . Rural 20 % Office Z� %MuRifamily 1�% DevelopmentTrend ❑Up �Stable ❑Down Land Use: Single Family ' ' ' ' O U� ❑X Stable ❑Down Indusvial °h Retail 50 ry Vacant % Value Trend ,, ,, .. . X Stable ❑Down UnderOsupply Balaonced Over�ply Vacancy Vacancy Trend , , , , . , , �U� O ❑Down X Z% Rental Demand ❑Up 0 Stable Single Family , . , , •• � MulStamily . . . , , ., , ❑ ❑ ❑ % Office ❑ 0 � 5% Change in Land Use: Retail ❑ � ❑ 5% Q Unlikely ❑ Likely ❑Taking Place Indusvial ❑ ❑ ❑ % From To . . . . . . .. . Rental Rate Range(Exclude Extremes)(or Subject Propeny ype: Discance-CBD 2 MILES Miles From $8 1SFIYear To E�8 ISFIYear Distance-Freeway . , . . .. . . . . . . . . . . . 1 MILE Miles Age Range(Exclude Extremes)(or Subject Propeny Type: Distance-Public Transportation , , ,, ,, , , , , , , , 0 Miles From�0 To 60 Neighboring Property Use:DOWNTOWN COMMERCIAL AND RESIDENTIAL USES.THEN OLDER SUBURBAN RETAIL AREA. Analysis/Commen[s: THIS ESTABLISHED COMMERCIAL NEIGHBORHOOD IS FULLY DEVELOPED WITH OLDER STRUCTURES BEING RENOVATED FOR NEWER COMMERCIAL USES. SITE DESCRIPTION Legal Description DEED BOOK 151 PAGE 1121 CUMBERLAND COUNTY COURT HOUSE. ❑ See Addenda Environmental Problems Known or Suspected Yes N° x Site Size 31000 SF Usable Land Area _ Excess Land Area - Site Dimensions 155 X 200 Sireet Frontage 155 podc¢a�irg ACI saM1wxe,800.231 B121 w.w.a�Tn�.mn m Copyright 2001 by The Appraisal Poundation.Ali nghts reserved. ,H,, urn ri�nrrm � WOOFAPPRAISALGROUP � ' � ' FileNo. pVT11082 PAGE2 SITE DESCRIPTION(continued) Gd Av Fr Utility: Provided By: Topograph: O Ingress/Egress Q ❑ ❑ Eleclricity PPL Levf��l � Mod Slope ❑ Steep Slope Sveec Frontage � ❑ � Gas UGI At Grade � Above Grade❑ Below Grade ❑ Shape . . . . QX ❑ ❑ Water PAW Functional Utility � ❑ ❑ Sewer BOROUGH Yes o Visibiliry Q ❑ ❑ Telephone. VERIZON Comer Lot X Landscaping ❑ � ❑ Underground Utllities X Drainage ❑X ❑ ❑ Street Improvements: Describe: Raitroad Access ❑ OO Adequacy oF Utilities ❑X ❑ ❑ Sveet Width 60 Earthquake Zone X Traffic Pattern 0 ❑ ❑ Sveet Paving. MACADAM Flood Hazzrd Area ❑ � Traffic Volume ❑X ❑ ❑ Sidewalks CONCRETE Map�42041CO281E � �Date 03/16/2009 � � � � � Curbs&Gutters CONCRETE Storm Sewers YES Lighting STREET LIGHTS Soil Condilions NO KNOW ISSUES Easements ONLY UTILITY Encroachments NONE Current Zoning C COMMERCIAL Legally Conforming Yes x No Zoning Change: Not Likely X Likely To Uses Allowed Under Current Zoninq STORES BANKS RESTAURANTS GARAGES HOTELS AUTO BODY SHOPS AND CHURCHES. Current Use AUTO REPAIR SHOP AnalysislComments:THE CURRENT USE AS THE STRUCTURE EXIST IS CONSIDERED THE HIGHEST AND BEST USE OF THE IMPROVEMENTS. ASSESSMENT AND TAXES AssessmentYear 2013 APN �2-2�-0267-180 TaxRate Year Tazes Total g 438300 Total 0.012674 Current Taxes 2013 y 5555.01 Land $216500 County 0002274 Estimated Taxes 2014 $ 5800.00 ' ' ' ' ' '' ' ' ' ' ' � � � � 0.002300 TaxAssessment $ ��3 ISF Building(s) $221800 City .. .. .. . . .. . . . . Other $ Other 0.009400 Year of Next Reassessment UNK SpecialAssessments: NONE KNOWN Reassessmentlssues:NONE KNOWN Analysis/Comments:ASSESSMENT AND TAXES ARE REASONABLE. IMPROVEMENTS DESCRIPTION Property Type AUTO REPAIR SHOP Consvuction Type CMU #BuilAings 1 liStwies� Building Floor Gross SF `Net SF Use Type Net SF Use% 24� � 2,436 2,436 Office 14 696 2472 1 2.472 2,472 Retail . . . . .. . . . . . . . � 1488 B 1,488 0 Warehouse . . . . . . . . . . . . 1776 � Manufacmring � Disvibution � Total 6 396 4,908 Research I Development, . . . . � `Usable Area � Rentable Area SHOP 2,436 50 Year Built �� Parking: Yes No IndusVial Only Building Efficiency Ratio. . 77% On Site a o _ QX #Overhe d Do rs Effective Age .. .. . . . . . . .. .. .. . 20 Adequacy. . .. .. . . . . � ❑ Floor Height. . .. . - FT .. . . . . . . . . . . . . . . ' Total Economic Life 50 Covered ❑ X Ceiling Height _ FT Remaining Economic LiFe .. .. .. ., . 30 Parking Garage. .. . , . . ❑ � Column Spacing " " " " ' 19% Paved Q ❑ FT x _ FT Floor Area RaUo . . . . . . . . . . . . - Ground Coverage Ratlo . . . . .. .. .. . �9°� Number of Spaces 3$ Railroad Spur ' ' '� �� � � Spaces 11000SFBA 6 Yes❑ No❑ AnalysislComments:THE IMPROVEMENTS ARE IN AVERAGE CONDITION FOR ITS AGE AND USE. qppKetl usirg FCI saAwxe,800.2N 812]w�w�.aciwffi.can m Copyright 2IX11 6y The Appraisal Poundation.All rights reserved. _.�r�i ur�..���n uo�ni���� a WOOF APPRAISAL GROUP . � � , , FileNo. PVT11082 � PAGE3 IMPROVEMENTS DESCRIPTION(continued} Building Description Improvement Rating Foundation CMU O O � ❑ Frame CMU AppeallAppearance , � � � � � � � � CONCRETE Floor PIanlDesign X FloodCover • � ' ' ' ' ' ' '' ' x Ceiling DROP TILE AND OPEN Consvuction Quality . . . • • • • ' O O D O Ezterior Walls CMU Exrerior Condition � � � � � DRYWALL Intenor Condition x Interior Panitions • • • � • • • �� '' ' X Roof Cover RUBBER Roof Cover . , , . . . . .. . • • � O ❑ O Plumbing STANDARD Plumbing , , . . . .. .• • O O ❑ ❑ Heating . . . . . . . . . . FHA Heating . . . . . . . . . . . . .. . � 0 ❑ ❑ AirConditioning ONE WALL UNIT FOR SAIES/WAITING ROOM AREA AirConditioning, , , , .. . • • O O ❑ ❑ Elecvical THREE PHASE Elecvical , , , , . . . . .. • • • ❑ O ❑ O Elevarors N�A Elevarors , . . . . .. .. • ❑ O ❑ ❑ Parking MACADAM Parking Area , , . . .. . . • • • ❑ ❑ O ❑ Insulation NONE Insulation ., ,, , � O O O Sprinkler . . NONE Sprinkler . , RootSuppon STEELTRUSS Landscaping ,, , x . •• • • • • • ❑ � ❑ ❑ � ❑ ❑ Site Improvements: 20 000 SF OF MACADAM PAVING Personal Property or Other Non-Realty Interests Included in Valuation: �No ❑ Yes THE SHOP EQUIPMENT IS OWNED BY THE TENANT AND IS NOT INCLUDED IN THE VALUATION. AnalysislComments:THE STRUCTURE IS IN AVERAGE CONDITION WITH AVERAGE APPEAL.HIGH VISIBILITY LOCATION. HIGHEST AND BEST USE HIGHEST AND BEST USE AS IF VACANT: Legally Permissible Uses:ALL COMMERCIAL USE ALLOWED UNDER SECTION 27-801 OF THE LEMOYNE ZONING ORDINANCES Physically Possible Uses:ANY STRUCTURE UNDER 40 FEET IN HEIGHT Financially Feasible Uses: COMMERCIAL SERVICE OFFICE OR RETAIL USES. Maximally Productive Use: RETAIL OR SERVICE USES. Anatysis/Comments:BANKING AND MAJOR CHAIN USES ARE PAYING TOP DOILAR FOR SITES IN THE AREA. HIGHEST AND BEST USE AS IMPROVED: Legally Permissible Uses:ALL COMMERCIAL USE ALLOWED UNDER SECTION 27-801 OF THE LEMOYNE ZONING ORDINANCES Physically Possible Uses:CURRENT USE Financially Feasible Uses: CURRENT USE Maximally Productive Use: CURRENT USE AnalysislComments:THE CURRENT IMPROVEMENTS ARE AT THE PROPERTIES HIGHEST AND BEST USE. qohc y usirg�CI sal�wxe.800.2J18)21 w�w.aciv�.can �Copyright 2001 by The Appraisal Foundation.All rights reserved. ��"1 III"1fl�lllll'flll" � WOOFAPPRAISALGROUP , �� � . , � FileNo. PVT11082 • PAGE4 VALUATION METHODS SELECTED Cost Appmach ❑ Income Approach 0 Direct Sales Comparison Approach � Reasons(or Ezcluding an Approach:THE COST APPROACH TO VALUE WAS CONSIDERED NO APPLICABLE DUE TO THE AGE OF THE IMPROVEMENTS. MARKET VALUE ESTIMATE OF NON-REALTY ITEMS Market Value of Personal Properry . .. .. .. . . . . . . . . .. . . . . . . . . . . . . . . .. E � . .. .. . . .. .. .. .. . . . '$ 0 Market Value oF Other Non-Realty Interests . . . . .. . . . . . . .. . . . . . . . . .$ Q Total Market Value of Non-Realry Interests . . . . .. .. . . .. .. .. .. . . . . . . . . .. . . . . . . . . .. .. . . . . . . . .. . . . AnalysislComments: NO NON-REALIY ITEMS INCLUDED IN THE VALUATION. COMPARABLE SITE ANALYSIS Data Sheets AttO Subject Comparable#1 Comparable#2 Comparable X3 LocationlAddress 1051 MARKET STREET Proximity to Subject MapReference 21-0267 Deed Reference Date of Sale Exposure Time Data Source SrteSize SF�Aaes❑ 31�a Frontage Zoning Utilities Site Improvements Unit of Companson s . . . . . . . E Sales Price $ .. . . . . . . .. . . .. .. . . . . .. .. . . . $ $ Price Per Unit , , ,, .. . Property Rights Conveyed. .. .. .. . . . . .. .. . . . . Adjustment . . . . . . . . . . . . . . . . . .. .. . . Financing . . . . . .. . . . . . . . . . . .. .. .. Adjustment , , , , , Conditions of Sale . . . . .. .. .. . . . . . . . . . . . . Adjustment . . , ,, ,, ,, , , Market Conditions , . , , ,, ,, ,, Adjusvnent . . . . .. .. .. . . . . . . . . . . . . Other Adjustments Location . . . . . . . . . . . . . . . . .. .. . . Topography . .. . . .. .. . . . . . . . . .. .. . . Shape/Utility , , ,, , . . Utilities , , , , , , , , , , , , ,, ,, , , Site Improvements . .. .. .. . . . . . . .. .. . . Total Adjustments . , , , ,. .. .. . $ g . . . . . .. .. .. . . $ Indicated Value Per Unit AnalysislComments: THE COST APPROACH TO VALUE WAS CONSIDERED NO APPLICABLE DUE TO THE AGE OF THE IMPROVEMENTS. Total Site Units: • " " " " " " � ' � � � g UnitValue . . . . .. .. . . . . . . .. .. .. . . . . .. . . . . . . . . .. .. .. .. .. .. . . .. . . . . . . . . .. . . . . . t Estimated Site Value • � • • • • • • •� �' ' ' ' ' ' ' '' ' ' '' �� � . . . . . . . . . . . . . . . . . . . . . . . . . .. . .EXCESSLAND Excess Land Area Units: •� ' ' ' ' '' ' ' ' ' ' ' � . . . .. . . . . . . . . . . . . . $ UnitValue .. .. . . . . . . . . .. .. . . . . . . .. .. .. . . . . .. . . . . . . . . . . . . . . . . . . . . .. .. . . . . . $ Estimated Ezcess Land Value •• •• •• • • • • � • �� •� � � � ' ' ' '' ' ' '' ' ' ' •• • qohc�d�iig ACI sollwxe 800.23/.812I w�w'.ac'web.m'� �Copyrigh[2001 by The Appraisal Poundation.Ali nghts reserved. °�"�11!i'll'I'111141111" ' WOOFAPPRAISALGROUP �� ' '• ' � File No. PVT11082 PAGES COST APPROACH Cost Source Component No. Size Unit Cost Cost 8 $ S $ $ a s $ $ a $ a Reproduction Replacemen[ U �ost New of Improvemen[s $ Plus:Indirect(Soft Costs) . . . . .. .. . . . . . . . . .. .. .. . . . . . . . . .. . . . . . . .. . . Plus:Envepreneurial Proft , , , . , % , . , .. ,, E . . . . . . . . . . . . . . . .. .. . . . . . . . . .. .. . . . .. . Total Cost New • • • •• •• •$ .. . . . . . . . . .. .. .. . . . . .. .. . . . . .. .. . . .. . . . . . . .. .. . . . . . .. . . . . . Less:Physical Deterioration % • • • • •• •• •� .. . . .. . . . . . . . . .. . . . . . . . .. .. .. . . . . . . . . . . . .. .. Less:Functional Obsolescence . � . . . . .. . . .. .. .. .. . . . . .. .. . . . . . . .. . . . . .. .. .. .. . . . . .. .. Less:Ezternal Obsolescence � • • • � • •• � • • � • . . . . .. .. . . . . . . . . .. . . . . . . .. .. .. . . . . . . . . . Total Accrued Depreciation(Deterioration&Obsolescence) , . , . . . . .. .. .(E 1 Depreciated Value oF Building(s) . . . . . . . .. .. .. . . . . . . . . .. .. . . . . . . . . .. . . . . . . .. . . . . .. . . . . . . . $ Plus:Convibuting Value oF Site Improvements , , , , , , , , . . . . . . . . .. . . .. .. . . . . . .. . . . . . . . . .. .. .. . . . . . Depreciated Value oF Improvements . . . . . . . . . . . . .. .. . Analysis/Comments: Estimated Site Value . . . . . .. .. .s . . . . . . . . . .. . . .. .. .. .. .. . . .. . . . . . . .. . . .. . . .. .. . . . . . . . . . . Plus: Estimated Excess Land Value . .. .. . . . . . . . . . . . . . . . . .. .. . . . . . . . . . . .. . . . . . . . . . . . . . . .. . . . . . Plus: Depreciated Value of Improvements .. . . . . .. . . . . . . . . . . . . . . . . . . .. .. . Plus: Market Value of Personal Property and Other Non-Realty Interests � Indicated Value Before Adjusvnent for Interest Appraisal .. .. .. . . . . . . . . . . .. . . . . . . . . . . . . . . . . . .. .S N�A Less: Adjustment for Interest Appraised . . . Value Indication-Cost Approach . . . . . .. . . .. . . . . .. .. .. . . . . . . . . .. . . . . .. .. . . $ � . . . .. .. . . . . . . .. .. . ' 0 Rounded: . .. .. .. . . .. .. . . . . . . . . . . . . . . . . .. . . .. . . .. . . .. .. .. . . . . .. .. . . . . . . .. . . . . . . .. E INCOME APPROACH/RENTAL COMPARABLE BUILDING ANALYSIS Data Sheets Att❑ Subject Comparable k1 Comparable d2 Comparable M3 Address 1051 MARKET STREET Proximity ro Subject MapReFerence 21-0267 Year Built ��� Gross Building Area 6,396 Number of Srories � Current Vacancy% Consvuction Type Consvuc[ion Quali[y Condition Parking Date of Rent Survey Asking Rent Lease Period Tenant Improvement Allowance Concessions Tenant Name Beginning Date Term Lease Type' Tenant Size(SF) $ $ Rent Per SF $ $ Rent Concessions Adj. a Adjusted Rent Per SF $ $ a Adjustment for Market Conditions E Adjusted Rent Per SF $ $ $ payc N using ACI salM�xe.BOO.I3/811]w+.w.atiweb_run �Copyright 2001 hy The Appraisal Foundalion.All rights reserved. .,.�.1 III���1'11 111�I1if� e WOOF APPRAISAL GROUP , ,� ' ' � FileNo. PVT11082�� PAGE6 INCOME APPROACH/RENTAL COMPARABLE BUILDING ANALYSIS(continued) Location Qualiry Condition Total Adjustments $ E Indicated Market Rent 5 $ 'Lease Types:Gmss Lease(G),Net Lease(N),Triple Net Lease(TN),ModiFied Gross(MG),Expense Passthroughs(P), Sales Overage Rents(0),Common Area Mainrenance(C),Renewal Options(R) AnalysislComments: SUMMARY OF SUBJECT LEASES Estimated Tenant Rented Beginning Lease Current Effective Market Name Area(SF) Date Term Types Rent Rent/SF Rent 1 SF MONRO MUFFLER 5,776 09/01/2010 5 NET 61,710 10.68 11.00 AnalysislComments: INCOME AND EXPENSE HISTORY AND FORECAST Income: Actual Comments and Calculations Stabilized From 09/Ot/2010 to 08/31/2015 SECOND OF FOUR FIVE YEAR OPTIONS s 61 710 GrossPotentiallncome $ 61,710 . . . . . . $ Vacancy and Collection Loss % (E o) (g o) Other Income $ � $ Effective Gross Income 5 s�,��o a s,,�,o Expenses: f 5,800 PropenyTazes $ 5,555 . . . . .. .. $ Insurance . ., $ $ Propeny Management. E $ Utilities $ $ Janirorial.. . . . . . . . . .. .. $ E Maintenance , S E 400 REPAIRS . . . . . . . . . . . $ 400 $ 1,200 ROOF AND PARKING LOT $ 1,200 Reserves $ 7,400 Total Expenses $ 7 155 54,555 Ex enselSF$ 1.16 Expense Ratio 11.99% E 54310 Net Operating Income(N01) 8 P Analysis/Comments: DIRECT CAPITALIZATION 0.08 ro 0.09 Equiry�ividend Rate Range to Overall Rate Range ��5 x Q.pg = 0.06 Overall Rate(Ro) = 0.09 Mortgage 0.10 = Equity 0.25 x 0.03 Overall Rate(Ro) = 0.09 Estimated Value Ro Estimated Value N01 (Ro) N01 ( ) q 54,310 1 0.09 =E 603 444 � 54,310 1 0.09 =E 603,444 AnalysislComments: CURRENT MORTGAGE RATE AND EQUITY DIVIDEND RATES ARE EQUAL TO THE RATE OVERALL.INDICATING A INCOME VALUE FROM THE CURRENT LONG TERM LEASE TO BE$603 444 SAY$600 000. a�on��e wng aci�rt+��e,eao.t�+e�v ww«.x�wm.� �Copyright 2001 by The Appraisal Foundalion.All rights reserved. �,-"1 III'�"�I�11 111'I 111"� � WOOF APPRAISAL GROUP I ' � FileNo. PVT11082 •, ' � PAGE7 YIELD CAPITALIZATION Cash Flow Analysis in Addenda Yes❑ No ❑ Market Rent Scenario Convact Rent Scenario Forecast Holding Period . . .. . . . . . . .. .. . a Beginning N01 .. .. . . . . . . . . . . . . .. . . .. .. . . .. . . .. . . . $ N01 Pattem , , . . . . . . .. . .. .. .. . . . . . . . . . . . . . . . . .. . . Reversion AssumpUon , ,, , , , , ,, ,, ,, , . . . . . . .. .. . . . . .. . Yield Rate S .. .. .. . . . . . . .. . . . . . . . . .. .. . . .. . . .. . . . $ Value Estimate . . . . . . . . . . . . . . . .. . AnalysislComments: ADJUSTMENT FOR INTEREST APPRAISED Value Estimate-Market Rent Scenario . . . . .. .. . . . . .. .. . . . . . . . . . . .. .. . . s . . . .. .. . . . . . . .. .. .. . . $ Value Estimate-Contract Rent Scenario . . . . . . .. .. .. . . .. .. . . . . . . . . . . .. . . Difference(Adjustment for Interest Appraised) . . . . . . . . . .. . . . . . . . . .. .. .. . . . . . . .. .. . . . . . . . . .. . . . . . $ Analysis/Comments: . $ Value Indicated by Direct CapitalizationlYield Analysis(excluding excess land) . . .. .. . . . . . . . . . . . . . .$ Plus: Estimated Excess Land Value . . .. . . .. . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . .. . . . . . . . . . . . . . . '$ 0 Value Indication-Income Approach .. .. . . . . .. .. . . . . . . . . . . . . .. .. . . .. .. . . . . . . .. .. .. . . . . .. '$ 600,000 Rounded . . . . .. .. .. . . . . . . . . .. .. . . . . . . .. .. . . . . . . . .. . . . . .. .. .. . . . . . . .. .. . . . . . . .. .. DIRECT SALES COMPARISON APPROACH/COMPARABLE BUILDING ANALYSIS Comp Sheets Att❑ Subject Comparable N1 Comparable#2 Comparable#3 Address 1051 MARKET STREET 254 LOWTHER STREET 1415 LOWTHER ROAD 6402 CARLISLE PIKE Proximity to Subject 1.10 miles E 0.82 miles SSE 5.18 miles W Map Reference 21-026� �2-22-�822'252 13-23-0545-257 3&18-1325-004 Data Source INSPECTION REAL ESTATE DATA SERVICE REAL ESTATE OATA SERVICE REAL ESTATE DATA SERVI�E� 6,396 8 278 1 350 Gross Building Area 1,350 ��� Net Building Area 4,908 $'z�a 31 000 20 247 10,450 107,594 Site Size SFQ Aves❑ �74 g.p4 Land-to-Building Ratio 4.85 2.45 '�O Year Built 1960 1940 1940 Construction Type CMU CMU CMU CMU AVERAGE AVERAGE AVERAGE Construction Quality AVERAGE AVERAGE Condition AVERAGE AVERAGE AVERAGE Parking 38 SPACES 14 SPACES 14 SPACES 40 SPACES Other $ $ 620,000 $ 225 000 $ 800 000 Sale Price �2�3��Zp�2 05/15/2013 03/15I2012 Date of Sale UNKNOWN UNKNOWN UNKNOWN Exposure Time FEE SIMPLE FEE SIMPLE FEE SIMPLE Propeny Rights Conveyed FEE SIMPLE Adjustment Financing CONVENTIONAL CONVENTIONAL CONVENTIONAL CONVENTIONAL Adjustment ARMS-LENGTH ARMS-LENGTH Conditions of Sale ARMS-LENGTH ARMS-LENGTH Adjustment NONE 33500 Excess Land NONE NONE +165 000 Adjustment � NONE Non-Realry Interests NONE NONE NONE Adjustment � CE/Terms Adjusted Price $ o E 620000 S 225000 E �5�� Other Adjustments: AVERAGE AVERAGE AVERAGE Market Conditions AVERAGE Adjustment AVERAGE GOOD GOOD AVERAGE Location +150 000 +150,000 Adjusvnent AVERAGE AVERAGE Quality AVERAGE AVER,4GE Adjustment qVERAGE AVER.4GE AVERAGE Condition AVERAGE Adjustment 1350 ��� SQUARE FOOTAGE 5 776 8 2�8 -412 000 -186 000 +169 000 Adjustment 36 000 +319 000 -412 000 Total Other Adjustments — Indicated Value Per 5�� $ 544 ppp E 553 000 PROPERTY $ $ pohced usirg ACI wh+are.B�02k 8721 xxw.aciw�.can �Copyright 2001 by The Appraisal Foundation.All rights reserved. ..M.�ti�af'I'1�tIR1�11". . 4 WOOF APPRAISAL GROUP I � FileNo. pVT11082 PAGEB DIRECT SALES COMPARISON APPROACH/COMPARABLE BUILDING ANALYSIS(continued) Analysis/Comments: MY MARKET RESEARCH AND RESULTS SALES LISTING AND PENDING SALES WERE RESEARCHED FOR SIMILAR AGE, STYLE SIZE LOCATION AND CONDITION COMMERCIAL PROPERTY FROM THE AREA.THE LIMITED SALES OF SIMILAR LOCATION PROPERTIES REQUIRED THE USE OF TWO SALES WITH INFERIOR LOCATIONS.AFTER ADJUSTING FOR LOCATION BUILDING SIZE.AND EXCESS LAND THE THREE SALES PROVIDED A REASONABLE VALUE RANGE.MARKET DATA OF CLOSED SALES WAS STILL CONSIDERED SUFFICIENT TO ARRIVE AT AN OPINION OF VALUE. ALL SALES WERE CLOSED AND CONSIDERED EQUALLY WHEN ARRIVING AT MARKET VALUE. FEE SIMPLE OR LEASED FEE OPERATWG DATA AND RATIOS Comparable#1 Comparable A2 Comparable#3 Fee Simple or Leased Fee FEE SIMPLE FEE SIMPLE FEE SIMPLE . . . . . . .. . . . . . . . . .. .. .. . $ $ $ Gross Potential Income . . . . . .. .. .. . . . . .. .. .. . . . Vacancy and Collection Loss% . .. .. .. . . . . . . $ Effective Gross Income E $ . . . . . . . . . . . . . . . . . .. .. .. . $ $ $ Operating Expenses ExpenseslSF Gross Buiiding Area . . .. .. . . .. .. .. .. . . $ 0 S 0 $ 0 Ezpense Ratio . . . . . . .. .. .. .. . . . . .. .. . . . Net Operating Income $ $ . . . . . .. .. .. . . . . . . . . . . . . . EGIM .. . . .. . . . . . . . . .. .. .. . . . . . . . . . . . . . 0.00 0.00 0.00 Overall Rate . .. .. . . .. . . . . .. . . . . . . . . .. .. .. . Equiry Dividend Rate . . . . . .. . . . . . . . . . . . . .. .. .. . AnalysislComments: N/A Building Units PROPERTY . .. .. . . . . .. .. .. . . . . . . . . .. . . . . . . .. .. . . . . . . . . . . Value Per Unit $ /Unft . . . . . . . . . . . . . . . .. .. . . . . . . .. .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . Value Estimate E � . . . . . . . . . . . . . . . .. .. . . . . . . . . .. . . .. . . .. . . . . . . . . . . . . . . . . . . . . . . .. . . . Eflective Gross Income $ ��'��� . .. .. .. . . .. .. .. . . . . . . . . . . . . .. .. .. .. .. . . . . .. .. .. .. . . . . . . .. . . . Effective Gross Income Multiplier(EGIM) , , . , ,, , , , .. . . .. . . . . . . . . . . . . . . .. .. .. . . . . . . .. .. .. .. . . Valce Estimate $ $� . . . .. .. .. . . . . . . . . . . . . . . . . .. . . . . . . .. .. .. .. . . . . .. .. .. . . . . . . . . .. . . . AnalysislComments: N/A Value Indicated by Direct Sales Comparison Approach(excluding excess land) $ $550,000 . . . . . . . . .. .. .. . . . . . . . . . . . . . . . . .. .. . Plus:Estimated Excess Land Value f 0 Plus:Adjustment for Interest Appraised , ,, ,, ,, , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , $ � .. . . . . . . . . . . . . . . . Value Indication-Direct Sales Comparison Approach E 550,000 . .. .. . . . . . . . . .. .. .. . . . . .. . . . . . . . . . . . . . . . . . . . . .. . Rounded E 550,000 . . . . . .. . . . . . . . . . . . . . . . . .. .. . . .. . . . . . . .. .. .. .. .. .. .. .. . . . . . . . . . . . . .. .. . RECONCILIATION AND FINAL VALUE ESTIMATES Cost Approach Indication , , , , , , , , , , , , , , , , , , . . . . . .. .. . . . . . . . . .. . . . . . . .. .. .. . . . . . . . . . . . . . Income Approach Indication , , $ 600,0 Direct Sales Comparison Approach Indication $ 550,000 . . . . . . . .. . . . . . . .. .. .. . . . . . . . . . . . . . . . . . . . . . . . . . . .. .. . Reconciliation:ALL THREE APPROACHES TO VALUE WERE CONSIDERED.HOWEVER MOST WEIGHT WAS PLACED ON THE MARKET DATA APPROACH DUE TO THE AGE OF THE SUBJECT. Estimated Exposure Time:THE EXPOSURE TIME THAT WOULD BE REQUIRED FOR THE SUBJECT TO ACHIEVE THE OPINION OF MARKET VALUE AS OF THE EFFECTIVE DATE OF THIS APPRAISAL IS BETWEEN 120 TO 180 DAYS. Exvaordinary Assumptions,Hypothetical Conditions,and Limiqng Conditions: SEE ATTACHED ADDENDUM Estimated Market Value"As Is" E 550,000 . . .. .. . . . . . . . . . . . . . . . . . . .. .. .. . . . . .. .. .. . . . . . . . . . . . . . . .. .. . Etfective Date of Valuation 05/23/2013 Market Value of Personal Property Included in Appraisal ,, ,, , , , , , , ,, , , , , , , , , ,, ,, , , , , , , ,, ,, , $ � Market Value of Other Non-Realty Interests Included in Appraisal. , . . , , , , , , , , , , , , , , , ,, ,, , $ � RoJuc tl using ACI wkxxe.800.23/811]wxx.a�ixeb.can m Copyright 2001 by The Appraisal Foundation.All rights reserved. WOOF APPRAISAL GROUP • . , FileNo. PVT11082' PAGE9 RECONCILIATION AND FINAL VALUE ESTIMATES(continued) ` Appraiser Ni �7��� Property Signature Date Inspecred Name REYNOLD R WOOF JR 01/09/2014 Yes Q No❑ Certifiwtion No.: GA000002L State:PA Exp.Date: ��15/2015 PENNSYLVANIA CERTIFIED GENERAL REAL ESTATE APPRAISER Appraiser N2 Signawre Name Yes❑ No❑ Cenification No.: State: Exp.Date: CONTENTSOF ADDENDA ' Legal Description � Land Lease ❑ Suppon for Non-Realry Interest Valuation ❑ Subject Phomgraphs QX Segregated Cost Sheet ❑ Suppon for Adjustment for Interest Appraised ❑ Area Map ❑X Soils Survey Map , . .. , , . . .. , ❑ Copy of Easement ❑ Neighborhood Map � Subject Leases . ❑ Appraiser Qualifications ❑ Zoning Map ❑ Rental Comparable Data Sheets ❑ ❑ Flood Zone Map QX Rent Location Map Q ❑ Topographic Map � DCf Analysis . . . , . . ❑ ❑ Site Sketch QX Improved Pmperty Sales Data Sheets ❑ ❑ Site Plan � Building Sales Location Map QX ❑ Building Plans. . . . . . . . .. .. . . . . . ❑ Copy oF Deed . .. .. .. . . . . . . .. O ❑ Tax Assessment Card ❑ Convaa of Sale Land Sales Data Sheets ❑ ConsVuction Cost ConVac( ❑ . .. .. .. . . . . . .. . . . . . . .. Land Sales Map Q Suppon for Personal Property Valuation . . . . . .. .. .. . . . . . DEFINITION OF MARKET VALUE The most probable price which a property should bring in a competitive and open markel under all conditions reyuisite to a fair sale.Ihe buyer and seller each acting prudently and knowledgeably and assuming the price is not affecled by undue stimulus.Implicit in chis definition is the consummation of a sale as of a specified date and the passing of title From seller to buyer under conditions whereby�.(1)buyer and seller are typically molivated;(2)hoth parties are well informed or well advised,and acting in what they consider lheir 6est inte�ests; (3) a reasonable time is allowed for exposure in the open market;(4)payment is made in terms of cash in U.S.dollars or in terms of financial arranyements comparable Ihereto;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.� 1 USAP 2001 Glossary ASSUMPTIONS AND LIMITING CONDITIONS 1. As agreed upon with Ihe clienl prior to Ihe preparation of Ihis appraisal,unless otherwise indicated,ihis is a Limited Appraisal hecause it invokes the Departure Provision of the Uniform Standards of Professional Appraisal Practice.As such,informalion perlinent ro Ihe valuation has not been considered and/or the full valuation process has not been applied. Depending on Ihe type and Aegree of limitations,the reliability of the value conclusion provided herein may be reduced. 2. Unless otherwise indicated,this is a Summary Appraisal Reporl which is intended to comply with the reporting requirements set forth under Standard Rule 2-2(b)of the Uniform Standards of Professional Appraisal Praclice for a Summary Appraisal ReporL As such,it might not include full discussions of the data,reasoning and analyses thal were used in the appraisal process to develop the appraiser's opinion of value.Supporting documentation concerning the data,reasoning and analyses is relained in Ihe appraiser's file. The information contained in Ihe report is specific to the needs of the client and for the intended use slated in lhis reporL The appraiser is not responsible for unauthorized use of this report. 3, No responsibility is assumed for legal or tiUe considerations. Title ro lhe property is assumed to be gooA and markelable unless olherwise stated in this report. 4. The property is appreised free and clear of any or all liens and encumbrances unless otherwise statt:�d in Ihis report. 5. Responsible ownership and competent property management are assumed unless otherwise stated in this report. 6. The information furnished by others is believed to 6e reliable. However, no warranty is given fot its a[curaty. 1. All engineering is assumed to be correcL Any plot plans and illustrative material in this report are indude;d only ro assist the reader in visualizing the property. 8. It is assumed that there are no hidden or unapparent conditions of the property,subsoil,or structures ihat render it more or less valuable. No responsi6ility is assumed for such conditions or for arranging lor engineering studies that mny 6r required lo discover them. 9. It is assumed that there is full compliance with all applicable federal,state,and local environmental regulations and laws unless otherwise stated in this report. 10,It is assumed that all applicable zoning and use regulations and restrictions have been complied with,unless a nonconlormity has been stated, defined, and considered in this appraisal report. 11.It is assumed Ihat all required licenses,certificates of occupancy or other legislative or administrative authority from any local,state,or nalional governmen[al or private entity or organization have been or can be obtained or renewed for any use on which Ihe value estimates tontained in Ihis report are based. 12.Any sketch in this report may show approximate dimensions and is included to assist the reader in visualizing Ihe properly.Maps and exhibits found in this reporl are provided for reader reference purposes only.No guarantee as to accuracy is expressed ur implied unless otherwise stated in this reporL No survey has been made(or Ihe purpose of this report. 13.Il is assumed that lhe ulilization ol the land and improvements is within the boundaries or property lines of the property descri6ed and that there is no encroachment or trespass unless otherwise stated in this report. (Continued) AOAcetl using ACI sollwae.8110.73/.812]wx.v.ac'iw�.axn m Copyright 2001 by The Appraisal Foundalion.All rights reserved. , FileNo. PVT11082' PAGE 10 ASSUMPTIONS AND LIMITING CONDITIONS 14. The appraiser is not qualified to detect hazardous waste and/or toxic materials.Any commenl by[he appraiser that might suggest lhe possibility of the presence of such substances should nol 6e taken as confirmation of lhe presence of hazardous waste and/or roxic materials. Such determination would require investigation by a qualified expert in the field of environmental assessment. The presence of subtances such as asbesros,urea-formaldehyde foam insulation or other potentially hazardous materials may affect the value of the property.The appraiser's value estimate is predicated on the assumption that there is no such material on or in the properry that would cause a loss in value unless otherwise stated in this repo«.No responsibility is assumed for any environmental conditions,or for any expertise or engineering knowledge required to discover Ihem.The appraiser's descriptions and resulting comments are the result of Ihe routine observations made during the appraisal process. 15. Unless otherwise slated in this report,the subject property is appraised without a specific compliance survey having been conducted ro determine if the property is or is not in conformance with the requirements of the Americans wilh Disabilities Aci.The presence of archilectural and communications 6arriers Ihat are structural in nature that would reslrict access by disabled individuals may adversely afFect the properly's value, marketability, or utility. 16. Any proposed improvements are assumed to be completed in accordance with the submitted plans and specificalions. 17. The distribution,if any,of the total valuation in this report between land and improvements applies only unAer the stated program of utilization. The separate allocations(or land and buildings must not be used in conjunction with any other appraisal and are invalid if so used. 18. Possession of this report,or a copy thereof,does not carry with it the right of pu6lication.It may not 6e useA for any purpose by any person other than the party to whom it is addressed, and in any event, only with the proper written qualiFication and only in i[s enUrety. 19. Neither all nor any pa«of lhe contents of this report(especially any conclusions as to value,the identity of the appraiser,or Ihe firm with which lhe appraiser is connected)shall be disseminated to the public through advertising,public relations,news sales,or other media without prior written consent and approval of the appraiser. CERTIFICATION I cerlity that,m lhe best of my knowledge and belief: --- the statements ol fact contained in this report are true and correct. --- the reported analyses,opinions,and conclusions are limited only by the reported assumptions and limiting r,onditions and are my personal,impartial and unbiased professional analyses,opinions and condusions. --- I have no(or lhe specified) presenl or prospective interest in the property that is the subject of this report and no(or Ihe speciFied) personal interest with respect ro Ihe parties involved. --- I have no bias with respect m the property that is Ihe subject of this report or to the parties involved with ihis assignment. -- my engagement in this assignment was not contingent upon developing or reporting predetermined results. -- my compensation for completing this assignment is not contingent upon the developmen(or reporting of a predetermined value or direction in value thal favors the cause oF the client,the amount of lhe value opinion,lhe allainmenl of a slipulated result,or the ocwrrence of a su6sequent evenl direclly related to the intended use of this appraisal. --- my analyses,opinions,and conclusions were developed,and this reporl has been prepared in conformity with lhe Uniform Standards o( Professional Appraisal Practice. --- I have(or have not)made a personal inspeclion of the property that is the subject o(this reporL(If more than one person signs lhis certification, lhe cerli(ication must clearly specify which individuals ditl and which individuals did not make a personal inspection of the appraised property). --- no one provided significant real property appraisal assistance to Ihe person signing this certification.Qf there are exceptions,the name oF each indivitlual providing significant real propert appraisal assistance must 6e stated). Appraiser's Signature�v►�r �i^�-1�� Date Ot/09/2014 REYNOLD R WOOF JR State Certification# GA000002L PENNSYLVANIA CERTIFIED GENERAL REAL ESTATE APPRAISER pob�ceJ ising ACI sollwae.800.23181P]xw,v.xNreb.m+i �Copyrigh[2001 by The Appraisal Foundation.All righls reserved. ,��� ur�ri�n�rnnu�_ e WOOF APPRAISAL GROUP � �� � � � . ., , FileNo. PVT11082 COMPARABLE SITE ANALYSIS(456) Data Sheets Att❑ Subject Comparable p4 Comparable#5 Comparable#6 Location/Address 1051 MARKET STREET Proximity ro Subject MapReference 21-0267 Deed Reference Date of Sale Exposure Time Data Source SiteSize SF�Aaes❑ 31000 Frontage Zoning Utilities Sae Improvements Unit of Comparison Sales Price $ $ $ .. . . . . . . .. .. .. . . . . . . . . . . . . . Price Per Unit $ $ $ . . . . . . . .. .. .. . . . . . . .. . . .. . Property Rights Conveyed . . . .. . . . . . . . . .. .. . . . AdjusVnent . . . . . . . . . .. . . . . . . . . . . . . . Financing . .. . . .. .. .. . . . . . . .. . . . . Adjustment . . . . . . . . . . . . . . . . . .. .. . . . Conditions of Sale . . . . .. .. .. . . . . . . . . .. . . . Adjustment Market Conditions . . . . .. . . . . . . . . . . .. .. . . . Adjustment . . . . . .. .. .. . . . . . . . . . . . . . Other Adjustments Location . . . . . . . .. .. .. .. . . .. .. .. . . . Topography ShapelUtility . . .. . . . . .. . . . . . . .. .. . . Utilities . . . . . . . . . . . . . . . . . . . .. .. . . . Site Improvements . .. .. .. .. .. . . .. .. . . . Total Adjustments . . . .. .. .. . . .. . . .. .. . . . Indicated Value Per Unit S $ . .. .. .. . . . . . . . . . . . . . AnalysislComments: poEuced using ACI wTvare.8�0.23/.8121 wew.xiweb.mm m Copyright 2001 by The Appraisal Foundation.All righls reserved. WOOFAPPRAISALGROUP ' " . . �, � � � FileNo. pVT11082 INCOME APPROACH/RENTAL COMPARABLE BUILDWG ANALYSIS(456) Data Sheets Att❑ Subject Comparable#4 Comparable k5 Comparable#6 Address 1051 MARKET STREET Pmximay ro Subject MapReference 21-0267 YearBuilt �� Gross Building Nea 6,396 Number of Srories � Current Vacancy% Consvuction Type Consvuction Quality Condition Parking Date of Rent Survey Asking Ren[ Lease Period Tenant Improvement Allowance Concessions Tenant Name Beginning Date Term Lease Type' Tenant Size(SF) Rent Per SF $ $ E b Rent Concessions Adj. Adjusted Rent Per SF $ $ $ $ Adjustment for Market Conditions Adjusted Rent Per SF $ $ $ E Loca[ion Quality Condidon Total Adjustments Indicated Market Rent $ $ $ $ `Lease Types:Gross Lease(G),Net Lease(N),Triple Net Lease(TN),Modified Gross(MG),Expense Passthroughs(P). Sales Overage Rents(0),Common Area Maintenance(C),Renewal Optiuns{R) AnarysislComments: hotlucetl uslrg FCI wM1ware,800.23/A)2]xwx.eciwW.mm �Copyright 2001 by The Appraisal Foundation.All tights reserved. WOOFAPPRAISALGROUP � FileNo. pVT11082' DIRECT SALES COMPARISON APPROACH/COMPARABLE BUILDING ANALYSIS(456) Comp Sheets Att❑ Subject Comparable#4 Comparable u5 Comparable N6 Address 1051 MARKET STREET Proximity to Subject MapRe(erence 21-0267 Data Source INSPECTION Gross Building Area 6,396 Net Building Area 4��8 SiteSize SFDAcres❑ 31�� Land-to-Building Ratio 4.85 YearBuilt �� Consvuction Type CMU Consvuction Quality AVERAGE Condition AVERAGE Parking 38 SPACES Other Sale Price $ $ $ a Date of Sale Ezposure Time Propeny Rights Conveyed FEE SIMPLE Adjustment Financing CONVENTIONAL Adjustment Conditions of Sale ARMS-LENGTH Adjustment Excess Land NONE Adjustment � Non-Realry Interests NONE Adjustment a CElTerms Adjusted Price $ � $ $ $ Other Adjustments: MarketCond¢ions AVERAGE Adjustment Location GOOD Adjustment Quality AVERAGE Adjustment Condition AVERAGE Adjustment SQUARE FOOTAGE 5,776 Adjustment Total Other Adjustments Indicated Value Per PROPERTY $ E $ $ AnalysislComments: ApeuceU using ACI soM1wxe,p10.23/81t1 m�w.evxeb mm m Copyright 2001 by The Appraisal Foundation.All rights reserved. ADDENDUM Borrower: File No.�. PVT11082 . , Pro e Address: 1051 MARKET STREET Case No.�. Cii LEMOYNE State� PA Zip� 17043-1414 Lender: COYNE 8 COYNE P.C. Extraordinary Assumptions and Lim.Cond. STATEMENT OF ADDITIONAL LIMITING CONDITIONS AND ASSUMPTIONS THIS APPRAISAL REPORT HAS BEEN PERFORMED FOR THE CLIENT INDICATED IN THE PRECEDING,WITH WHOM PROFESSIONAL STANDARDS REQUIRES ME TO MAINTAIN A STRICT REQUIREMENT OF CONFIDENTIALITY. I,BY REASON OF THIS REPORT,AM NOT REQUIRED TO GIVE TESTIMONY IN COURT WITH REFERENCE TO THIS APPRAISAL.IF ANYONE WISHES MY APPEARANCE,IT CAN BE ARRANGED ONLY BY PRIOR ARRANGEMENT BEING MADE WITH ME.SUCH APPEARANCES SHALL BE MADE AS AN EXPERT WITNESS AND THE FEE FOR SUCH APPEARANCES SHALL BE AT THE RATE OF$125/HOUR PORTAL TO PORTAL,PLUS ANY REASONABLE COST INCURRED BY ME. PURPOSE: THE PURPOSE OF THIS APPRAISAL IS TO ESTIMATE THE MARKET VALUE OF THE FEE SIMPLE INTEREST IN THE TITLE OF THE PROPERTY.THE VALUE IS AS OF THE DATE OF DEATH,WHICH IS NOT THE DATE THE PROPERTY WAS LAST VIEWED IN ITS ENTIRETY AND PHOTOGRAPHED. SIGNATURE: THE ELECTRONIC SIGNATURE USED IN THIS REPORT ARE PROTECTED BY THE APPRAISER AND ONLY THE APPRAISER HAS COMPLETE CONTROL OF THE SIGNATURE. ADDITIONAL CERTIFICATION: THE INTENDED USER OF THIS APPRAISAL REPORT IS THE LENDERlCLIENT.THE INTENDED USER IS TO EVALUATE THE PROPERTY THAT IS THE SUBJECT OF THIS APPRAISAL FOR AN ESTATE,SUBJECT TO THE STATED SCOPE OF WORK,PURPOSE OF THE APPRAISAL,REPORTING REQUIREMENTS OF THIS APPRAISAL REPORT FORM,AND DEFINITION OF MARKET VALUE. NO ADOITIONAL INTENDED USERS ARE IDENTIFIED BY THE APPRAISER. Pddendun Page 7 of 1 . � � , „ ., � File No. PVT11082 DEFINITION OF MARKET VALUE: The most probable price which a property should bring in a competitive and open market under all conditions requisite ro a fair sale,the buyer and seller,each acting prudently,knowledgeably and assuming the price is not af(ected by undue stimulus. Implicit in this definition is the consummation oF a sale as of a speciFied date and the passing of title from seller 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 he considers his own best interesC(3)a reasonable time is allowed(or exposure in the open market(4)payment is made in terms of cash in U.S.dollars or in terms of financial arrangements comparable thereto;and(5)the price represents the normal consideration(or the properry sold unaffected by special or creative financing or sales concessions'granted by anyone associated with the sale. 'Adjustmen[s to the comparables must be made for special or creative financing or sales concessions. No adjustments are necessary for those costs which are normally paid by sellers as a result of tradition or law in a market area;these costs are readiiy identifiable since the seller pays these costs in virtually all sales transactions. Special or creative financing adjustments can be made to the comparabie property by comparisons to financing terms offered by a third party institutional lender that is not already involved in the property or transaction. Any adjustment should not be calculated on a mechanical dollar(or dollar cost o(the financing or concession but the dollar amount of any adjustmen[should approximate the marke['s reaction[o the financing or concessions based on the Appraiser'sjudgment. STATEMENT OF LIMITING CONDITIONS AND APPRAISER'S CERTIFICATION CONTINGENT AND LIMITWG CONDITIONS: The appraiser's certification that appears in tl�e appraisal report is subject ro the following conditions: 1. The appraiser will not be responsible for matters of a legal nature that af(ect either the properry being appraised or the title to iL The appraiser assumes that the title is good and marketable and,there(ore,will no[render any opinions abou[the tiUe. The properry is appraised on[he basis of i[being under responsible ownership. 2. The appraiser has provided a sketch in the appraisal report to show approximate dimensions of the improvements and the sketch is induded only to assist the reader o(the report in visualizing the property and understanding the appraiser's determination of its size. 3. The appraiser has examined the available flood maps that are provided by the Federal Emergency Management Agency(or other data sources)and has noted in the appraisal report whether the subject site is located in an identi(ied Special Flood Hazard Area. Because Ihe appraiser is not a surveyor,he or she makes no guarantees,express or implied,regarding this determination. 4. The appraiser will not give testimony or appear in court because he or she made an appraisal oF the property in question,unless specific arrangements to do so have been made beforehand. 5. The appraiser has estimated[he value o(the land in the cost approach at its highest and best use and the improvements at their contributory value. These separate valuations of the land and improvements must not be used in conjunc[ion wi[h any other appraisal and are invalid if[hey are so used. 6. The appraiser has noted in Ihe appraisal report any adverse conditions(such as,needed repairs,deprecia[ion,the presence of hazardous wastes,toxic substances,etc.)observed during the inspec[ion of the subject property or tha[he or she became aware of during the normal research involved in per(orming the appraisal. Unless otherwise stated in the appraisal report,the appraiser has no knowledge of any hidden or unapparent conditions of the property or adverse environmental conditions(including the presence of hazardous wastes,toxic subs[ances,etc.)Ihat would make Ihe property more or less valuable,and has assumed that there are no such conditions and makes no guarantees or warranties,express or implied,regarding the condition of the property. The appraiser will not be responsible for any such conditions that do exis[or for any engineering or testing that might be required to discover whether such conditions exisL Because the appraiser is not an expert in the field of environmental hazards,the appraisal report mus[no[be considered as an environmental assessment of the properry. 7. The appraiser obtained the information,estimates,and opinions that were expressed in the appraisal report from sources that he or she considers to be reliable and believes[hem ro be Uue and correcL The appraiser does not assume respo�sibiliry for the accuracy of such i[ems that were furnished by other par6es. 8. The appraiser will not disclose the contents o(the appraisal report except as provided for in the Uniform Standards of Professional Appraisal Practice. 9. The appraiser has based his or her appraisal report and valuation conclusion for an appraisal that is subjeU to satisfactory completion, repairs,or altera[ions on[he assumption that completion of[he improvements will be performed in a workmanlike manner. 10. The appraiser must provide his or her prior written consent beFore the lender/client specified in the appraisal report can distribute the appraisal report(including conclusions about the property value,the appraiser's identiry and professional designations,and references to any professional appraisal organizations or the firm wi[h which the appraiser is associated)to anyone other than the borrower,the mortgagee or its successors and assigns;the mortgage insurer,consultants;professional appraisal orqanizations;any state or federally approved financial institution;or any department,agency,or instrumentality of the United States or any state or the District of Columbia; except that the lender/client may distribute the properry description section of the report only to data collection or reporting service(s) without having ro obtain Ihe appraiser's prior written consent. The appraiser's written consent and approval must also be obtained before the appraisal can be conveyed by anyone ro the public Ihwugh advertising,public relations,news,sales,or other media. Freddie Mac Form 439 6-93 Page 1 of 2 Fannie Mae Form 10048 6-93 � � � , . � � � File No. PVT11082 APPRAISERS CERTIFICATION: The Appraiser certifies and agrees thar. 1. I have researched the subject marke[area and have selec[ed a minimum of three recent sales of properties most similar and proximate to the subject property(or consideration in the sales comparison analysis and have made a dollar adjustment when appropriate to reflect the market reaction to those items of signiticant variation. If a significant item in a comparable properry is superior to,or more favorable than, the subject properry,I have made a negative adjustment ro reduce the adjusted sales price oF the comparable and,if a significant item in a comparable properry is inFerior ro,or less Favorable than the subject property,I have made a posi[ive adjustment to increase the adjusted sales price of the comparable. 2. I have taken into consideration the factors that have an impac[on value in my development of the estimate o(market value in the appraisal report. I have not knowingly withheld any significant information from the appraisal report and I believe,to the best of my knowledge,that all statements and informaUon in the appraisal report are true and correct. 3. I stated in the appraisal report only my own personal,unbiased,and professional analysis,opinions,and conclusions,which are subject only ro the contingent and limiting conditions specified in this form. 4. I have no present or prospective interest in the property that is the subject to this report,and I have no present or prospective personal in[erest or bias with respect to the participants in the transaction. I did not base,either partially or completely,my analysis and/or the estimate of market value in the appraisal report on the race,color,religion,sex,handicap,familial status,or national origin o(either the prospective owners or occupants of the subject property or of the present owners or occupants o(the properties in the viciniry of the subject property. 5. I have no present or contemplated fuwre interest in the subject properry,and neither my currenf or future employment nor my compensation(or per(orming this appraisal is contingent on the appraised value o(the property. 6. I was not required[o report a predetermined value or direction in value that favors the cause of fhe client or any related parry, the amount of[he value estimate,the attainment o(a specific result,or the occurrence of a subseyuent event in order to receive my compensation andlor employment for perForming the appraisal. I did not base the appraisal report on a requested minimum valuation,a specifc valuation,or the need to approve a specific mortgage loan. 7. I performed this appraisal in con(ormiry with the Uni(orm Standards of Professional Appraisal Practice that were adopted and promulgated by[he Appraisal Standards Board of The Appraisal founda[ion and that were in place as of the effective date of this appraisal, with the exception o(the departure provision of those Standards,which does not apply. I acknowledye that an estimate of a reasonable time for exposure in the open market is a condition in the definition of market value and the estfmate I developed is consistent with the marke[ing time noted in the neighborhood section of[his report,unless I have otherwise sta[ed in the reconciliaUon section. 8. I have personally inspected the interior and exterior areas o(the subject properry and the exterior of all properties listed as comparables in the appraisal reporL I further certify[hat I have noted any apparen[or known adverse conditions in the subject improvements,on the subject site,or on any site within the immediate viciniry of the subject property o(which I am aware and have made adjustments for these adverse conditions in my analysis of the properry value to the ex[ent that I had market evidence to support them. I have also commented about the efFect o(the adverse conditions on the marketabiliry of the subject properry. 9. I personally prepared all conclusions and opinions about the real estate that were set forth in the appraisal report. If I relied on significant professional assistance from any individual or individuals in the performance of the appraisal or the preparation of the appraisal report,I have named such individual(s)and disclosed the speci(ic tasks per(ormed by them in the reconciliation section of this appraisal reporL I certi(y that any individual so named is qualified ro perform the tasks. I have not authorized anyone to make a change to any item in the report;[herefore,if an unau[horized change is made ro the appraisal report,I will[ake no responsibility(or it. SUPERVISORY APPRAISER'S CERTIFICATION: IF a supervisory appraiser signed the appraisal report,he or she certifies and agrees that:I direcUy supervise the appraiser who prepared the appraisal report,have reviewed the appraisal report,agree with the statements and conclusions oF the appraiser,agree ro be bound by the appraiser's certifications numbered 4 through 7 above,and am taking (ull responsibility for the appraisal and the appraisal report. ADDRESS OF PROPERTY APPRAISED: 1051 MARKET STREET LEMOYNE PA 17043-1414 APPRAISER: SUPERVISORY APPRAISER(only if required) Signature: � ��� Signature: Name: REYNOLD R WOOF JR Name: Date Signed: 01/o9/2ot4 Date Signed: Sta[e Certification#: GA000002L State Certification#: or State License#: or State License#: State:PA State: Expiration Date of Certification or License: osi�5/20�5 Expiration Date of Certification or License: ❑ Did ❑ Did Not Inspect Properry PENNSYLVANIA CERTIFIED GENERAL REAL ESTATE APPRAISER Freddie Mac Form 439 6-93 Page 2 of 2 Fannie Mae Form 10046 6-93 .'"1�!II}41��f'iE'lmil'"� � � . . , . � . . � pennsylvan�a DEP,4RTMENT OF REVENUE �� � � � � � � Apri130, 2015 �[��� �A� `� - �'�1� � ?��a�`—�_ Lisa Marie Coyne; Esa. Coyne & Coyne, P.C. 3 901 Market Street Camp Hill, PA 17011-4227 Re: Estate of Robert L. Kulp, deceased Court of Common Pleas of Cumberland County Petition to Terminate Trust Dear Ms. Coyne: The Department of Revenue, Office of Chief Counsel, received a copy of your draft petition in the above-referenced matter. The petition proposes to terminate a credit shelter trust created by decedent's will. As the trust would have qualified for inheritance t� deferral as a sole use trust, there are no inheritance tax implications. Please be advised that the Commonwealth has no objection to the requested termination. I trust that this is a sufficient representation of the Commonwealth's position on this matter. '�icaS� CuT'iia�i il3c ii yGu OT i.�E i GuY%�iaS 211y Cju�S�lOI1S Or CO11C2I'I1S. 1'113IIK yOU. Sincerely, Lora A. Kulick Seniar Cour�sel LAK:rm #saas� ���b�,� „ � „ Office of Chief Counsel Lora A.Kulick� Ikulick@pa.gov PO BOX 281061 � Harrisburg, PA 17128-1061 � Phone:717.346.4644�Fax:717.772.1459(www.revenue.state.pa.us :'°"7 IOf11'.1..31�111'771."' . " � � • , a • • � IN RE: ESTATE OF ROBERT L. KULP : COURT OF COMMON PLEAS : ORPHANS COURT DIVISION : CUMBERLAND COUNTY,PENNSYLVANIA . NO. VERIFICATION We,Tamea M.Kulp and Halli R. Witherspoon,being duly affirmed according to law, depose and say that the facts set for the in the foregoing Petition is true and correct to the best of their knowledge, information and belief. This Verification is made subject to the penalties of 18 Pa. C.S.A. Section 4904 relating to unsworn falsifications to authorities. r,_..___._...._ `i � ��.�'- ��, `"'I ' ) Date: � Tamea M. Kulp - 4 %' �,' Il1 � €... � ; Date: `'� C} ' � Halli . Witherspoon r,..,���i�rm����ir��n��n�^' r � � • . , • • � CERTIFICATE OF SERVICE I, Lisa Marie Coyne, Esq., hereby certify that I am serving a copy of the foregoing document upon the person(s) and in the manner indicated below, which service satisfies the requirements of the Pennsylvania Rules of Civil Procedure, by depositing a copy of same in the United States Mail at Mechanicsburg, Pennsylvania, with first-class postage,prepaid, as follows: Commonwealth of Pennsylvania Office of Chief Counsel Dept. 281061 Harrisburg, PA 17128-1061 COYNE&COYNE,P.C. By. � �� �� �_,,...� isa Marie Coyne, quire Supreme Court LD.No. 53788 3901 Market Street Camp Hill,PA 17011-4227 (717) 737-0464 Dated: � a7 v20/�' Attorneys for Petitioner