Commercial Real

Estate Appraisals:

Reviewing & Interpreting

Wednesday

May 11, 2016

IBA Center

for Professional

Development

Indianapolis

Register Online www.indianabankers.org

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FEES & LOCATION

The following fees include the program, training

materials, continental breakfast, lunch and

refreshments:

IBA Members

$225 First Person

$155 Additional Member from Same Institution

Non-Members

$450

This seminar will be held on Wednesday, May 11,

2016 at the IBA Center for Professional Develop-

ment, 6925 Parkdale Place, Indianapolis, IN 46254.

Directions, map & a list of local hotels are available

on our website at www.indianabankers.org or by

calling 317-387-9380.

SPECIAL ACCOMMODATIONS

The IBA is committed to providing the best education

in the best facility possible. To that end, we strive to

accommodate any special needs bankers may have

while attending our programs. If you need special

accommodations or have dietary restrictions, please let

us know.

CONFIRMATION / CANCELLATION

The IBA will send confirmations as requested for its

programs. Please check the appropriate box & include

a fax number on the registration form. If you have

questions, contact Elizabeth Kilty at 317-387-9380 or

via email at ekilty@indianabankers.org.

Within three or more business days prior to the day of

an educational program, no cancellation charge will

be assessed. Within two days prior, 50% of the fee is

assessed. Refunds are not provided for cancellations

or absences on the day of the program. Substitutions

are welcome at anytime.

- Attend this IBA Seminar -

This program

covers the major issues of

the entire appraisal process,

including a brief review of

selecting and engaging a

qualified appraiser, but focuses

more on reviewing the report for

integration into the overall credit

analysis.

Seminar

SEMINAR TOPICS

Specific subjects that will be covered during the seminar:

Why review appraisals? (Beyond regulatory requirements)

Types of reviews

Administrative/compliance

14 review points from FIRREA; What is FIRREA? (and

other current regulatory ; guidelines, including latest

appraisal guidelines issued in 2010); Partial exemptions,

full exemptions and minimum standards for the report; A

sample compliance review checklist

Technical/internal (and typical commercial appraisal

sections)

Letter of transmittal

Appraiser qualifications; Types of appraisals by scope

(2006 scope of work rule that revised old definitions of

complete and limited); Types of appraisals by format (2014

revisions to old definitions of self-contained, summary and

restricted use)

Assumptions and limiting conditions; Property identifica-

tion and ownership interest

Unique characteristics of the major types of real estate, and

how these affect the appraisal

Approaches to value

How the cost approach works

The direct capitalization method for the income approach:

net operating income (NOI) concepts and understanding

key variables of vacancy, management fees, replacement

reserves and capitalization (cap) rates

Direct sales comparison

Reconciliation of values and value conclusion; A sample

technical review checklist

Outside/third party

How appraisers self-regulate via the Uniform Standards of

Professional Appraisal Practice (USPAP) and state

licensing; Getting another appraiser to do the review under

USPAP 3 guidelines and sample review comments

Appraisal review outcomes: When to request revisions

Using your analysis to validate existing or older appraisals,

with a suggested format for documenting your conclusions

Brief overview of guidelines for evaluations when an

appraisal is not required

PROGRAM OVERVIEW

An important part of the commercial real estate (CRE)

lending process is the review and interpretation of the

property appraisal. This program covers the major issues of

the entire appraisal process, including a brief review of

selecting and engaging a qualified appraiser, but focuses

more on reviewing the report for integration into the overall

credit analysis. Fundamental principles and features of

commercial appraisals are covered, as well as the primary

analytical techniques such as net operating income (NOI) for

basic, income-producing properties. This class will also

provide an overview of the 2010 Interagency Appraisal and

Evaluation Guidelines, plus other practical issues that

community banks face.

Richard Hamm has been training bankers for over 24

years, specializing in all phases of commercial lending and

credit, including portfolio & risk management, commercial

real estate & appraisals, plus selling & negotiating skills. His

training work includes our top industry associations (the

ABA & RMA), regional banking schools (Barret School of

Banking - Memphis, Graduate School of Banking -

Wisconsin, Southwestern Graduate School of Banking -

Dallas, and Graduate School of Banking at Colorado),

numerous statewide banking and community banking

associations, plus individual banks.

On the consulting side, he has been involved in director

training, loan policy formation, bank formation (start-ups &

acquisitions) and related strategic planning. The RMA

Journal has published over 20 articles by Hamm on various

lending topics, and he has served for many years on its

Editorial Advisory Board. He is based in Huntsville, AL and

owns/operates Advantage Consulting & Training after a

22-year banking career including senior positions in lending

and credit. He has BS and MBA degrees from the University

of Alabama, and holds the CTP (Certified Treasury

Professional) designation.

MEET YOUR PRESENTER

(Dept. 3) Please type or print legibly.

Copy this form for additional participants.

__________________________________________ Name

__________________________________________ Nickname for Badge

__________________________________________ Bank/Firm

__________________________________________ Address

__________________________________________ City/State/Zip

__________________________________________ Phone Fax

__________________________________________ Emergency # (In case of bad weather, etc.)

__________________________________________ E-Mail

Fees $225 IBA Member

$155 Additional IBA Member

$450 Non-Members

Payment Information Total payable to the IBA Foundation, Inc.

Check Enclosed VISA MasterCard __________________________________________ Account Number Exp. Date

Confirmation Fax a map & list of Hotels

Dress is Business Casual

Register online: www.indianabankers.org

Return this form to:

IBA Foundation Inc.

6925 Parkdale Place

Indianapolis, IN 46254-4673

317-387-9380 Fax: 317-387-9374

As of Jan. 1, 1994, only

50 percent of business food and

beverage can be deducted. For

tax purposes the cost of food and

beverage for this program is $25.

Register online: www.indianabankers.org

Commercial Real Estate Appraisals:

Reviewing & Interpreting

CRE lenders, commercial lenders, credit analysts, mortgage

lenders, private bankers, small business lenders, loan review

specialists, special assets officers, lending managers and credit

officers involved in the CRE lending process. Also intended

for support personnel involved in the ordering and reviewing

of commercial appraisals.

WHO SHOULD ATTEND