Why do appraisals for CFD bond issuance sometimes aggregate values?
A. According to USPAP Standards Rule 1-4, when analyzing the assemblage of the various estates or component parts of a property, an appraiser must analyze the effect on value, if any, of the assemblage. An appraiser must refrain from valuing the whole solely by adding together the individual values of the various estates or component parts. However, the nature of valuing properties included in a community facilities district or an assessment district bears much in common with the valuation of properties for ad valorem taxation purposes. In tax roll reporting, county assessors often aggregate the assessed values of properties held in diffuse ownership. This acknowledges the inconceivability that a universe of separate owners included in a mass-appraisal would simultaneously offer their properties for sale in coordinated fashion, thus creating a bulk-sale scenario. For properties held in diffuse ownership, the appraiser should attempt to mirror this rationale. In contrast, for properties
