Feasibility Report - Festival Ranch CFD Assessment District No. 15 Special Assessment Revenue Bonds, Series 2026
City of Buckeye — Joint Community Facilities Districts (2026-05-05)
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FEASIBILITY REPORT FOR THE ISSUANCE OF NOT TO EXCEED $2,730,000 PRINCIPAL AMOUNT OF FESTIVAL RANCH COMMUNITY FACILITIES DISTRICT (CITY OF BUCKEYE, ARIZONA) ASSESSMENT DISTRICT NO. 15 SPECIAL ASSESSMENT REVENUE BONDS, SERIES 2026 May 5, 2026 TABLE OF CONTENTS SECTION Introduction; Purpose of Feasibility Report and General Description of District ONE Description, Estimate of Cost and Timetable for Completion of Public Infrastructure TWO Maps of Assessment District No. 15 THREE Plan of Finance and Estimated Debt Service Schedule FOUR APPENDIX Legal Description of Festival Ranch Community Facilities District A (City of Buckeye, Arizona) Assessment District No. 15 Executive Summary of the Appraisal for Assessment District No. 15 B SECTION ONE INTRODUCTION; PURPOSE OF FEASIBILITY REPORT AND GENERAL DESCRIPTION OF DISTRICT ONE - 1 INTRODUCTION This Feasibility Report (this “Report”) has been prepared for presentation to the Board of Directors of Festival Ranch Community Facilities District (City of Buckeye, Arizona) (the “District”) in connection with the proposed issuance by the District of its Assessment District No. 15, Special Assessment Revenue Bonds, Series 2026 (the “Bonds”), in an aggregate principal amount not to exceed $2,730,000. The Bonds will be issued pursuant to the Community Facilities District Act of 1988, Title 48, Chapter 4, Article 6, Arizona Revised Statutes (“A.R.S.”). PURPOSE OF FEASIBILITY REPORT This Report has been prepared for consideration of the feasibility and benefits of certain public infrastructure (as defined in A.R.S. § 48-701) (“Public Infrastructure”), to be financed by the Bonds, if any are issued, and of the plan for financing the Public Infrastructure in accordance with the provisions of A.R.S. § 48-715. Pursuant to A.R.S. § 48-715, this Report includes: (i) a description of the Public Infrastructure, an estimate of cost and a timetable to acquire the Public Infrastructure [Section Two]; (ii) a map showing, in general, the location of the Public Infrastructure and area to be benefited by the Public Infrastructure [Section Three]; and (iii) a plan of finance for the Public Infrastructure [Section Four]. This Report has been prepared for the consideration of the Board of Directors of the District only. It is not intended or anticipated that this Report will be relied upon by other persons, including, but not limited to, purchasers of the Bonds. This Report does not attempt to address the quality of the Bonds as investments or the likelihood of repayment of the Bonds, if any are issued. In preparing this Report, employees of Pulte Home Company, LLC (“Pulte”), the master developer of the property within the District, the underwriter, the municipal advisor, bond counsel, staff of the City of Buckeye, Arizona (the “City”) that provide services to the District, and other persons and experts have been consulted as deemed appropriate. GENERAL DESCRIPTION OF DISTRICT Formation of the District was approved by the City on April 19, 2005, on the request of all of the landowners within the District. The District consists of approximately 4,015 acres within the approximately 10,354 acre master-planned community called Festival Ranch (the “Project”). The Project is located along the Sun Valley Parkway generally between the 259th Avenue and 291st Avenue alignments. Single-family residential units are planned for approximately 3,190 acres within the Project. As of March 31, 2026, Pulte has closed 4,513 residential homes at Sun City Festival (age restricted) and 1,274 residential homes at Festival Foothills (non-age restricted), for a total of 5,787 residential homes. In addition to residential development, several community amenities have been constructed within the District, including a new 24,000 square foot recreation center. Currently, a 27-hole golf course is completed along with a 15,000 square foot golf clubhouse, a 30,000 square foot recreation center, an 8,000 square foot arts and crafts building, a softball complex, a pet park, a pickleball complex and a community park. The real property comprising Assessment District No. 15 consists of approximately 191 acres planned for approximately 222 residential lots within Sun City Festival (age restricted) and 324 residential lots within Festival Foothills (non-age restricted) for a total of approximately 546 final platted lots currently under development. Location of Assessed Lot Number of Assessed Lots (a) Approximate Acreage Typical Lot Size Estimated Appraised Value Per Lot – As if Complete Estimated Appraised Value Per Lot – As Is Per Lot Value to Assessment Lien – As if Complete (b) Per Lot Value to Assessment Lien – As Is (b) Parcel 33 133 48.47 50’ x 115’ $113,000 $101,500 22.60 to 1 20.30 to 1 Parcel 35 191 53.13 55’ x 115’ 113,000 79,000 22.60 to 1 15.80 to 1 Parcel 84 96 47.90 60’ x 120’ 118,000 88,500 23.60 to 1 17.70 to 1 Parcel 88 126 42.06 55’ x 120’ 115,500 76,500 23.10 to 1 15.30 to 1 Total 546 191.56 Average 22.89 to 1 17.11 to 1 (a) Pulte is the current owner of all the Assessed Lots. (b) Assessment per Assessed Lot is $5,000. ONE - 2 The total District acreage and Assessment District No. 15 acreage can be categorized as follows: Use Category Approximate District Acres Approximate Assessment District No. 15 Acres Residential 3,190 147 Golf Course 600 - Other Non-Residential (a) 225 44 Total 4,015 191 (a) Includes roadways, commercial, school, municipal and miscellaneous land uses. The District was created to finance the construction or acquisition of Public Infrastructure within the District. See Section Two for a description of the Public Infrastructure. A legal description of Assessment District No. 15 is included in Appendix A. Maps of Assessment District No. 15 and the Public Infrastructure being financed are included in Section Three. The acquisition of the Public Infrastructure as defined in this Report is consistent with and in furtherance of the approved General Plan of the property located within Assessment District No. 15. SECTION TWO DESCRIPTION, ESTIMATE OF COST AND TIMETABLE FOR COMPLETION OF PUBLIC INFRASTRUCTURE TWO - 1 DESCRIPTION OF PUBLIC INFRASTRUCTURE The Public Infrastructure, which has been publicly procured and constructed pursuant to State of Arizona (the “State”) law and the acquisition of which is to be financed by the Bonds, consists of the following: Project Descriptions Total Estimated Costs Estimated Engineer’s Costs Paid by Prior Bonds To be Paid by the Bonds* Eligible for Funding from Future Bonds* Completion (a) Beardsley Parkway $3,610,791 $3,610,791 $ - $2,730,000 $880,791 May 2026 Total $3,610,791 $3,610,791 $ - $2,730,000 $880,791 (a) Completion represents the date by which the Public Infrastructure has been substantially constructed, which may differ from the date it is accepted by the District/City. Beardsley Parkway: The improvements consist of 7,999 linear feet of arterial asphalt street paving and vertical concrete curbs, gutters and sidewalk improvements for Festival Ranch Parcels 33, 35, 84 and 88. * Subject to change. SECTION THREE MAPS OF ASSESSMENT DISTRICT NO. 15 THREE - 1 Festival Ranch Community Facilities District Map of Assessment District No. 15 THREE - 2 Festival Ranch Community Facilities District Location Map of Public Infrastructure SECTION FOUR PLAN OF FINANCE AND ESTIMATED DEBT SERVICE SCHEDULE FOUR - 1 PLAN OF FINANCE Below is a financing plan that describes the process for financing a portion of the Public Infrastructure benefiting the property within Assessment District No. 15. This Plan of Finance is subject to modification to accommodate market conditions at the time of the actual sale of the Bonds and to the extent necessary to comply with federal and State law. (i) Formation and Authorization: In response to a petition from the owners of 100% of the property within the District, the City Council formed the District on April 19, 2005. As contemplated by the District Development, Financing Participation and Intergovernmental Agreement No. 1, dated April 21, 2005, as amended by the First Amendment to Development, Financing Participation and Intergovernmental Agreement No. 1, dated February 18, 2025 (collectively, the “Development Agreement”), the District has the authority to issue special assessment revenue bonds. (ii) Proposed Debt Issuance: The estimated debt service schedule for the Bonds is included in this section. The Bonds are anticipated to be issued in May/June 2026. It is currently estimated that the Bonds will have a final maturity not later than July 1, 2046, and be structured to achieve level annual debt service. The Bonds will not be rated by any rating agency. (iii) Per Lot Assessment Amount The per residential lot assessment amount is expected to be no more than $5,000 at the time of issuance of the Bonds. Pulte expects home closings in Assessment District No. 15 to commence in approximately October 2026. The $5,000 per residential lot assessment results in an annual assessment payment of approximately $437 per home, or approximately $36 per month, assuming a final maturity of July 1, 2046, and a 6.00% interest rate. The special assessments are expected to be collected on behalf of the District by the Maricopa County Treasurer’s Office. Pulte currently expects that at the time of sale of a home to the buyer, this amount will be assumed by the homebuyer and the assessment payments made over time. In addition, Pulte requires the homebuyer to sign an additional form that highlights and discloses the additional assessment payments as a result of the District financing. (iv) Estimated Sources and Uses of Funds: The proceeds of the Bonds will be applied by the District to finance all or a portion of the Public Infrastructure listed in Section Two of this Report. The estimated sources and uses of funds related to the sale of the Bonds are as follows: SOURCES*: Principal Amount of Bonds $2,730,000.00 Pulte Contribution (a) 220,100.00 Total $2,950,100.00 USES*: Acquisition Fund (Cost of Public Infrastructure) $2,491,080.00 Debt Service Reserve Fund 238,920.00 Costs of Issuance (a) 220,100.00 Total $2,950,100.00 (a) All costs of issuance and underwriter fees will be paid by Pulte. * Subject to change. FOUR - 2 ESTIMATD COSTS OF ISSUANCE* (a) Underwriter’s Discount $ 57,600.00 Underwriter’s Counsel 30,000.00 Bond Counsel 75,750.00 Municipal Advisor 45,000.00 OS Preparation & Printing 17,500.00 Registrar & Paying Agent 750.00 Miscellaneous 2,000.00 Total $220,100.00 (a) To be paid by Pulte. Additional costs including, but not limited to, related appraisal and engineering fees are anticipated to be paid outside of bond proceeds. All costs of issuance are estimated. (v) Value to Lien Ratio. Included as Appendix B is a summary of the MAI appraisal relating to the parcels to be included in Assessment District No. 15, prepared by Schnepf Ellsworth Appraisal Group, LLC with a date of report of April 14, 2026. The appraisal demonstrates a value-to-lien ratio of a per lot basis in excess of 15 to 1. A complete copy of the appraisal report is available upon request. (vi) Disclosure of Assessment Taxes and Assessments. A.R.S. § 32-2181 et seq. requires the disclosure of all property taxes and assessments to be paid by a homeowner in the Arizona Department of Real Estate Subdivision Public Report (the “Public Report”). Each homebuyer must be supplied a Public Report and, prior to signing a sales contract, the homebuyer must acknowledge by signature that they have received a copy of the Public Report. In addition, Pulte will require the homebuyer to sign an additional form that highlights and discloses the additional assessment payments as a result of District financing. (vii) Operation and Maintenance of the Public Infrastructure. All Public Infrastructure financed by the District will be dedicated to and accepted by the City. The obligations pertaining to the operation and maintenance of the Public Infrastructure have been negotiated between the City, the District and Pulte and are set forth in the various development agreements among the parties. The administrative costs of the District and those costs associated with the operation and maintenance of the Public Infrastructure that are not the obligation of the City will be provided by several sources of funds: the levy of a $0.30 per $100 of net assessed limited property valuation ad valorem tax in the District (the “O&M Tax”), Homeowner’s Association fees and contributions from Pulte, if any. Pursuant to the Development Agreement, the applicable Homeowner’s Association (“HOA”) is responsible for the operation and maintenance costs of landscaping for the roadways, trails, and open space within the District. Homeowners within Sun City Festival (age restricted) and Festival Foothills (non-age restricted) are required to participate in the HOA for each area. Monthly fees for the Sun City Festival HOA are anticipated to be approximately $176 per home. Monthly fees for the Festival Foothills HOA are anticipated to be approximately $99 per home. Pursuant to a development agreement among the Project property owners and the City, Pulte is required to provide a warranty for all infrastructure comprised of streets, parkways and alleys and all appurtenances thereto at its expense for a period of two years from the date the City accepts the infrastructure. Such warranty requires repair actions reasonably necessary to correct defects according to customary engineering industry standards for each item of the Public Infrastructure. During this two year period, Pulte estimates $0.27 per foot cost for items such as street sweeping. Using a $2.85 foot cost for maintenance (per the City), Assessment District No. 15 annual maintenance cost approximates $27,645.00. * Subject to change. FOUR - 3 (viii) Other District Information. Shown in the table below is the District’s overlapping general obligation bonded indebtedness including a breakdown of each overlapping jurisdiction’s applicable general obligation bonded indebtedness, net assessed limited property value and combined tax rate per $100 of net assessed limited property value. 2025/26 Net Assessed General Obligation Proportion Applicable to the District (a) Total 2025/26 Tax Rates Par $100 Net Assessed Limited Overlapping Jurisdiction Limited Property Value Bonded Debt Outstanding (b) Approximate Percent Net Debt Amount Property Value State of Arizona $92,371,826,506 None 0.16% None None Maricopa County (c) 60,724,517,168 None 0.24 None $1.4957 Maricopa County Community College District 60,724,517,168 $ 26,675,000 0.24 $ 64,501 1.0828 Maricopa Special Health Care District 60,724,517,168 512,560,000 0.24 1,239,389 0.2914 Western Maricopa Education Center No. 402 23,716,679,850 241,985,000 0.62 1,498,171 0.1815 Wickenburg Unified School District No. 9 384,681,104 2,445,000 38.17 933,265 2.9996 City of Buckeye 1,042,176,827 70,860,000 14.09 9,983,588 2.2500 The District (d) 146,834,090 56,810,000 100.00 56,810,000 3.3030 Total Direct and Overlapping General Obligation Bonded Debt (e) $70,528,913 (a) Proportion applicable to Assessment District No. 15 is not available. Proportion applicable to the District was used instead. (b) Includes total stated principal amount of general obligation bonds outstanding. Does not include outstanding principal amount of certificates of participation, revenue obligations or loan obligations outstanding for the jurisdictions listed above. Does not include outstanding principal amounts of various Maricopa County (the “County”) and City improvement districts, as the obligations of these districts are presently being paid from special assessments against property within the various improvement districts. Does not include presently authorized but unissued general obligation bonds of such jurisdictions which may be issued in the future as indicated in the following table. Authorized but unissued amounts in the following table may be subject to additional reductions based on net premium amounts but such reductions are not reflected in the table. Additional bonds may also be authorized by voters within overlapping jurisdictions pursuant to future elections. Overlapping Jurisdiction General Obligation Bonds Authorized but Unissued City of Buckeye $206,882,826 Maricopa County Special Health Care District 898,000,000 Western Maricopa Education Center District No. 402 215,000,000 The District 100,759,742 (d) Also does not include the obligation of the Central Arizona Water Conservation District (“CAWCD”) to the United States Department of the Interior (the “Department of the Interior”), for repayment of certain capital costs for construction of the Central Arizona Project (“CAP”), a major reclamation project that has been substantially completed by the Department of the Interior. The obligation is evidenced by a master contract between CAWCD and the Department of the Interior. In April 2003, the United States and CAWCD agreed to settle litigation over the amount of the construction cost repayment obligation, the amount of the respective obligations for payment of the operation, maintenance and replacement costs and the application of certain revenues and credits against such obligations and costs. Under the agreement, CAWCD’s obligation for substantially all of the CAP features that have been constructed so far will be set at $1.646 billion, which amount assumes (but does not mandate) that the United States will acquire a total of 667,724 acre feet of CAP water for federal purposes. The United States will complete unfinished CAP construction work related to the water supply system and regulatory storage stages of CAP at no additional cost to CAWCD. Of the $1.646 billion repayment obligation, 73% will be interest bearing and the remaining 27% will be non-interest bearing. These percentages are fixed for the entire 50- year repayment period, which commenced October 1, 1993. CAWCD is a multi-county water conservation district having boundaries coterminous with the exterior boundaries of Maricopa, Pima and Pinal Counties. It was formed for the express FOUR - 4 purpose of paying administrative costs and expenses of the CAP and to assist in the repayment to the United States of the CAP capital costs. Repayment will be made from a combination of power revenues, subcontract revenues (i.e., agreements with municipal, industrial and agricultural water users for delivery of CAP water) and a tax levy against all taxable property within CAWCD’s boundaries. At the date of this Official Statement, the tax levy is limited to 14 cents per $100 of net assessed limited property value, of which 14 cents is being levied. (See A.R.S §§ 48-3715 and 48-3715.02.) There can be no assurance that such levy limit will not be increased or removed at any time during the life of the contract. (c) The County’s tax rate includes the $0.1400 tax rate of CAWCD, the $0.1428 tax rate of the Maricopa County Flood Control District, the $0.0462 tax rate of the Maricopa County Free Library and the $0.0076 tax rate of the Maricopa County Fire District contribution. It should be noted that the County Flood Control District does not levy taxes on personal property. (d) Does not include the Bonds or other special assessment revenue bonds outstanding. Does not include the District’s planned not to exceed $8,000,000 General Obligation Bonds, Series 2026 anticipated to be issued in the second half of 2026 pursuant to a separate official statement. In addition to the rate for debt service on the Bonds, the District levies a tax of $0.30 per $100 of net assessed limited property value for the Operation and Maintenance Tax. (e) Totals may not add due to rounding. Source: The various entities, Property Tax Rates and Assessed Values, Arizona Tax Research Association, State and County Abstract of the Assessment Roll, Arizona Department of Revenue and the Treasurer of the County. ESTIMATED DEBT SERVICE SCHEDULE* Period Ending (July 1) Principal Interest (a) Debt Service 2027 $ 69,000 $ 169,715 $ 238,715 2028 79,000 159,660 238,660 2029 84,000 154,920 238,920 2030 89,000 149,880 238,880 2031 94,000 144,540 238,540 2032 99,000 138,900 237,900 2033 105,000 132,960 237,960 2034 112,000 126,660 238,660 2035 118,000 119,940 237,940 2036 126,000 112,860 238,860 2037 133,000 105,300 238,300 2038 141,000 97,320 238,320 2039 150,000 88,860 238,860 2040 159,000 79,860 238,860 2041 168,000 70,320 238,320 2042 178,000 60,240 238,240 2043 189,000 49,560 238,560 2044 200,000 38,220 238,220 2045 212,000 26,220 238,220 2046 225,000 15,000 238,500 Total $2,730,000 $2,039,435 $4,769,435 (a) Interest will be paid semiannually on January 1 and July 1, commencing January 1, 2027*. Interest is estimated at 6.00%. * Subject to change. APPENDIX A LEGAL DESCRIPTION OF FESTIVAL RANCH COMMUNITY FACILITIES DISTRICT (CITY OF BUCKEYE, ARIZONA) ASSESSMENT DISTRICT NO. 15 LEGAL DESCRIPTION FOR ASSESSMENT DISTRICT NO. 15 Parcel 33 is a part of APN 510-16-895. The tax parcels have not yet been assigned. Parcel 33 (133 lots): “Festival Ranch Planning Area 3 – Parcel 33”, a Replat of Parcel Z1 as recorded in Book 1364 of Maps, Page 23, Maricopa County Records, being located in a portion of the southeast quarter of Section 22 and 23, Township 4 North, Range 4 West of the Gila and Salt River Base and Meridian, Maricopa County, Arizona. Recorded in Maricopa County Recorder’s Office as fee number 20250641443 on 11/05/2025 in Book 1887 Page 46. Parcel 84 is APN 510-16-896 through 991, inclusive. Parcel 84 (96 lots): “Festival Ranch Planning Area 3 – Parcel 84”, being located in a portion of the southeast quarter of Section 22, Town ship 4 North, Range 4 West of the Gila and Salt River Base and Meridian, Maricopa County, Arizona. Recorded in Maricopa County Recorder’s Office as fee number 20250645103 on 11/06/2025 in Book 1888 Page 7. Parcel 35 (191 lots) and Parcel 88 (126 lots): See following pages for legal descriptions. SUN CITY FESTIVAL - PARCEL 35 LEGAL DESCRIPTION A PORTION OF LAND SITUATED IN SECTION 22, TOWNSHIP 4 NORTH, RANGE 4 WEST, OF THE GILA AND SALT RIVER MERIDIAN, MARICOPA COUNTY ARIZONA, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE EAST QUARTER CORNER OF SAID SECTION 22, BEING A FOUND GLO BRASS CAP STAMPED “1/4 S22 S23 1916, FROM WHICH A FOUND GLO BRASS CAP BEING THE NE CORNER S22, NW CORNER S23, HAVING A BEARING OF NORTH 0°22’44” EAST, A DISTANCE OF 2,639.27 FEET, BEING THE (BASIS OF BEARINGS), FROM SAID EAST QUARTER CORNER AND ALONG THE EAST LINE OF THE NORTHEAST QUARTER OF SECTION 22, NORTH 0°22’44” EAST, A DISTANCE OF 468.43 FEET, THENCE DEPARTING SAID EAST LINE, NORTH 89°09’38” WEST, 2,431.14 FEET, TO A 3 ½ INCH BRASS CAP FLUSH WITH GROUND, BOOK 5223, PAGE 46, MARICOPA COUNTY RECORDS (M.C.R.), THENCE NORTH 89°07’53” WEST, A DISTANCE OF 397.25 FEET, TO THE POINT OF BEGINNING. THENCE SOUTH 0°51’01” WEST, 308.47 FEET; THENCE NORTH 89°08’59” WEST, 164.00 FEET; THENCE SOUTH 0°51’01” WEST, 122.39 FEET; THENCE SOUTH 45°51’01” WEST, 21.21 FEET; THENCE SOUTH 0°51’01” WEST, 44.00 FEET; THENCE SOUTH 44°08’59” EAST, 21.21 FEET; THENCE SOUTH 0°51’01” WEST, 200.77 FEET; THENCE SOUTH 44°44’09” WEST, 21.62 FEET; THENCE SOUTH 1°35’20” EAST, 44.00 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING SOUTH 1°35’20” EAST, 2,000.50 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE SOUTHERLY, THROUGH A CENTRAL ANGLE OF 0°07’23”, 4.30 FEET; THENCE SOUTH 1°42’44” EAST, 135.50 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING SOUTH 1°42’44” EAST, 1,865.00 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE SOUTHERLY, THROUGH A CENTRAL ANGLE OF 1°46’06”, 57.56 FEET; THENCE SOUTH 0°03’22” WEST, 130.00 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING SOUTH 0°03’22” WEST, 1,735.00 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE SOUTHEAST, THROUGH A CENTRAL ANGLE OF 33°23’35”, 1,011.19 FEET; THENCE SOUTH 10°18’03” WEST, 48.82 FEET; THENCE SOUTH 54°30’59” WEST, 60.00 FEET; THENCE SOUTH 89°08’59” EAST, 44.00 FEET; THENCE NORTH 81°16’04” WEST, 48.82 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING SOUTH 37°37’48” EAST, 1,735.00 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE SOUTHEAST, THROUGH A CENTRAL ANGLE OF 3°29’45”, 105.86 FEET; THENCE SOUTH 48°52’27” WEST, 357.96 FEET, TO THE BEGINNING OF A TANGENT CURVE, HAVING A RADIUS BEARING NORTH 41°07’33” WEST, 3,065.00 FEET; THENCE ALONG THE ARC OF SAID TANGENT CURVE, CONCAVE TO THE NORTHWEST, THROUGH A CENTRAL ANGLE OF 6°14’08”, 333.57 FEET; THENCE NORTH 34°53’25” WEST, 150.00 FEET; THENCE NORTH 0°51’01” EAST, 115.00 FEET; THENCE SOUTH 89°08’59” EAST, 106.52 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING NORTH 28°06’59” EAST, 45.00 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE NORTHWEST, THROUGH A CENTRAL ANGLE OF 144°31’56”, 113.52 FEET; THENCE NORTH 0°51’01” EAST, 99.11 FEET; THENCE SOUTH 89°54’19” WEST, 44.01 FEET; THENCE NORTH 0°51’01” EAST, 100.00 FEET; THENCE NORTH 44°08’59” WEST, 21.21 FEET; THENCE NORTH 2°07’53” WEST, 44.06 FEET; THENCE NORTH 40°02’27” EAST, 18.96 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING SOUTH 76°48’59” WEST, 178.00 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE SOUTHWEST, THROUGH A CENTRAL ANGLE OF 13°43’35”, 42.64 FEET; THENCE NORTH 26°54’35” WEST, 102.55 FEET, TO THE BEGINNING OF A TANGENT CURVE, HAVING A RADIUS BEARING NORTH 63°05’25” EAST, 722.00 FEET; THENCE ALONG THE ARC OF SAID TANGENT CURVE, CONCAVE TO THE NORTHEAST, THROUGH A CENTRAL ANGLE OF 10°30’52”, 132.50 FEET; THENCE NORTH 55°09’03” WEST, 23.20 FEET; THENCE NORTH 13°18’47” WEST, 44.99 FEET; THENCE NORTH 38°19’06” EAST, 19.52 FEET, TO THE BEGINNING OF A NON-TANGENT CURVE, HAVING A RADIUS BEARING NORTH 79°30’38” EAST, 722.00 FEET; THENCE ALONG THE ARC OF SAID NON-TANGENT CURVE, CONCAVE TO THE NORTHEAST, THROUGH A CENTRAL ANGLE OF 11°20’23”, 142.89 FEET; THENCE NORTH 0°51’01” EAST, 57.53 FEET; THENCE NORTH 44°08’59” WEST, 21.21 FEET; THENCE NORTH 0°51’01” EAST, 44.00 FEET; THENCE NORTH 45°51’01” EAST, 21.21 FEET; THENCE NORTH 0°51’01” EAST, 250.00 FEET; THENCE NORTH 44°08’59” WEST, 21.21 FEET; THENCE NORTH 0°51’01” EAST, 44.00 FEET; THENCE NORTH 45°51’01” EAST, 21.21 FEET; THENCE NORTH 0°51’01” EAST, 112.00 FEET; THENCE SOUTH 89°08’59” EAST, 44.00 FEET; THENCE SOUTH 44°08’59” EAST, 21.21 FEET; THENCE SOUTH 89°08’59” EAST, 105.00 FEET; THENCE NORTH 0°51’01” EAST, 333.91 FEET; THENCE SOUTH 89°09’10” EAST, 1,338.33 FEET; THENCE SOUTH 89°07’53” EAST, 391.62 FEET, TO THE POINT OF BEGINNING. CONTAINING 2,314,265.63 SQUARE FEET OR 53.128 ACRES MORE OR LESS Wood, Patel & Associates, Inc. July 28, 2025 602.335.8500 WP# 215235 www.woodpatel.com Page 1 of 3 LEGAL DESCRIPTION Sun City Festival Tract 88 A parcel of land lying within Section 22, Township 4 North, Range 4 West, of the Gila and Salt River Meridian, Maricopa County, Arizona, more particularly described as follows: COMMENCING at the south quarter corner of said Section 22, a 2.5-inch General Land Office (GLO) brass cap stamped 1/4 S22 S27 1916, from which the southwest corner of said section, a 1-1/2-inch iron pipe with no identification, bears North 89°29'15" West (basis of bearing), a distance of 2642.45 feet; THENCE along the south line of Tract A, Sun City Festival – Parcel T1, recorded in Book 1564, page 16, Maricopa County Records (MCR) and along the south line of said section, North 89°29'15" West, a distance of 212.30 feet, to the most westerly corner of said Tract A; THENCE leaving said south lines, along the northwesterly line of said Tract A, North 47°27'37" East, a distance of 141.97 feet, to the POINT OF BEGINNING; THENCE leaving said northwesterly line, North 44°02'24" West, a distance of 445.53 feet; THENCE South 45°57'36" West, a distance of 15.00 feet; THENCE North 44°02'24" West, a distance of 44.00 feet; THENCE North 00°57'36" East, a distance of 21.21 feet; THENCE North 44°02'24" West, a distance of 198.72 feet, to the beginning of a curve; THENCE northwesterly along said curve to the right, having a radius of 572.00 feet, concave northeasterly, through a central angle of 08°26'22", a distance of 84.25 feet, to a point of intersection with a non-tangent line; THENCE North 77°42'40" West, a distance of 21.99 feet; THENCE North 32°27'12" West, a distance of 44.03 feet; THENCE North 13°47'30" East, a distance of 20.95 feet; THENCE North 31°54'45" West, a distance of 162.03 feet; THENCE North 58°05'15" East, a distance of 44.00 feet; THENCE South 77°43'37" East, a distance of 20.91 feet, to a point of intersection with a non- tangent curve; THENCE northeasterly along said non-tangent curve to the left, having a radius of 1038.00 feet, concave northwesterly, whose radius bears North 33°57'18" West, through a central angle of 08°02'33", a distance of 145.70 feet, to a point of intersection with a non-tangent line; THENCE North 01°46'27" East, a distance of 20.91 feet; THENCE North 44°02'24" West, a distance of 726.80 feet; THENCE North 89°02'24" West, a distance of 21.21 feet; THENCE North 44°02'24" West, a distance of 44.00 feet; Legal Description July 28, 2025 Sun City Festival WP# 215235 Tract 88 Page 2 of 3 THENCE North 00°57'36" East, a distance of 21.21 feet; THENCE North 47°35'22" West, a distance of 129.22 feet, to a point of intersection with a non- tangent curve; THENCE northwesterly along said non-tangent curve to the right, having a radius of 530.00 feet, concave northeasterly, whose radius bears North 45°57'36" East, through a central angle of 08°33'23", a distance of 79.15 feet, to the curves end; THENCE North 35°29'01" West, a distance of 29.44 feet; THENCE North 54°30'59" East, a distance of 60.00 feet; THENCE North 10°18'03" East, a distance of 48.82 feet, to a point of intersection with a non- tangent curve; THENCE easterly along said non-tangent curve to the right, having a radius of 1735.00 feet, concave southerly, whose radius bears South 33°20'13" East, through a central angle of 34°11'14", a distance of 1035.24 feet, to the curves end; THENCE South 89°08'59" East, a distance of 218.80 feet; THENCE South 00°51'01" West, a distance of 20.00 feet; THENCE South 44°00'58" East, a distance of 111.73 feet; THENCE South 21°47'35" East, a distance of 102.86 feet; THENCE South 44°24'11" East, a distance of 379.78 feet; THENCE South 43°57'36" West, a distance of 49.94 feet, to the beginning of a curve; THENCE southwesterly along said curve to the right, having a radius of 2978.00 feet, concave northwesterly, through a central angle of 01°03'36", a distance of 55.09 feet, to a point of intersection with a non-tangent line; THENCE North 89°37'10" West, a distance of 21.13 feet; THENCE South 45°42'33" West, a distance of 44.00 feet; THENCE North 44°24'11" West, a distance of 100.00 feet; THENCE South 45°57'36" West, a distance of 381.00 feet; THENCE South 44°02'24" East, a distance of 115.00 feet; THENCE South 45°57'36" West, a distance of 24.02 feet; THENCE South 44°02'24" East, a distance of 44.00 feet; THENCE South 89°02'24" East, a distance of 21.21 feet; THENCE South 44°02'24" East, a distance of 250.00 feet; THENCE South 00°57'36" West, a distance of 21.21 feet; THENCE South 44°02'24" East, a distance of 44.00 feet; THENCE North 45°57'36" East, a distance of 15.00 feet; Legal Description July 28, 2025 Sun City Festival WP# 215235 Tract 88 Page 3 of 3 THENCE South 44°02'24" East, a distance of 467.07 feet, to said northwesterly line; THENCE along said northwesterly line, South 47°27'37" West, a distance of 822.39 feet, to the POINT OF BEGINNING. Containing 1,832,135 square feet or 42.0600 acres, more or less. Subject to existing right-of-ways and easements. This legal description is based on client provided information and is located within an area surveyed by Wood, Patel & Associates, Inc. during the month of June, 2021. Any monumentation noted in this legal description is within acceptable tolerance (as defined in Arizona Boundary Survey Minimum Standards dated 02/14/2002) of said positions based on said survey. Y:\WP\Parcel Descriptions\2021\215235 Sun City Festival Tract 88 L12 07-28-25.docx 07-28-25 APPENDIX B EXECUTIVE SUMMARY OF THE APPRAISAL FOR ASSESSMENT DISTRICT NO. 15 Real Estate Appraisers/Consultants - P.O. Box 2829, Mesa, Arizona, 85214 Phone 480.497.1113 E-mail larry@schnepfellsworth.com www.SchnepfEllsworth.com April 14, 2026 File No. 26-2629b Festival Ranch Community Facilities District c/o City of Buckeye Larry Price, Special District Manager 530 E. Monroe Avenue Buckeye, AZ 85326 RE: Festival Ranch Community Facilities District (City of Buckeye, Arizona) Assessment District No. 15, Parcels 33, 35, 84 and 88, 546 lots in the Festival Ranch Planning Area 3, Parcels 33, 35, 84 and 88, Buckeye, Maricopa County, AZ Dear Sirs: In accordance with the Festival Ranch Community Facilities District’s request and authorization thereby for an Appraisal Report of the subject property, a single-family residential subdivision parcels totaling 546 lots in the Festival Ranch Planning Area 3, Parcels 33, 35, 84 and 88, Buckeye, Maricopa County, AZ, we hand you a narrative appraisal that describes and identifies methods of approach and valuation. The ownership, legal description, and identification of the property are set forth in the following report. The purpose of this appraisal is to estimate the Market Value of the fee simple interest as of February 27, 2026. The date of initial inspection of the property was February 27, 2026. The intended users of this report include Festival Ranch Community Facilities District (City of Buck- eye, Arizona) (Client and Intended User), the municipal advisor Hilltop Securities, Inc., the un- derwriter, Stifel, Nicolaus & Company, Incorporated, the City of Buckeye, Arizona and the bond counsel Gust Rosenfeld P.L.C. (Intended Users). The intended use (function) of this appraisal will be in conjunction with the sale of tax-exempt assessment bonds, the proceeds of which will be used to finance public infrastructure within the Festival Ranch Community Facilities District (City of Buckeye, Arizona) Assessment District No. 15, Parcels 33, 35, 84 and 88. Page 2 The value estimates are subject to the Underlying Assumptions, Extraordinary Assumptions, Lim- iting Conditions and Hypothetical Conditions. The client is Festival Ranch Community Facilities District (City of Buckeye, Arizona). This report details those pertinent physical and nonphysical factors relevant to the subject property. Information about the region in which the property is located, the subject neighborhood, site, highest and best use, and valuation methods and techniques are discussed in detail in the report that follows. Further, the value(s) reported are intended to conform with Code of Ethics and Standards of Professional Practice of the Appraisal Institute; the Uniform Standards of Profes- sional Appraisal Practice (USPAP) as promulgated by the Appraisal Standards Board of the Ap- praisal Foundation and the Appraisal Institute. We also use as a companion resource, the 2026 USPAP Guidance and Reference Manual (GRM). It is prepared for the above stated purpose and function and is not to be used, given, sold, transferred, or relied upon by any other person or persons than the client without the prior express written permission of the authors. Inclusion of the appraisal (or parts thereof) within the Feasibility Report, Preliminary Official Statement and Official Statement will be allowed by the Intended User(s) as long as the entire appraisal is referenced and pages included are not taken out of context. The reader is also directed to the fact that the report is under copyright and any use, in whole or part, by anyone except the addressee is expressly prohibited. "Market Value" is defined in the body of the report. For purposes of this analysis, Marketing Time is estimated at 9 to 12 months. On the basis of data in the body of the report, we have concluded to a final estimate of the Market Value of the fee simple interest as of February 27, 2026, with an inspection date of February 27, 2026, subject to Underlying Assumptions, Extraordinary Assumptions, Limiting Conditions and Hypothetical Conditions contained in this report, my opinion is as follows: The values above are the estimates for each parcel reflecting a wholesale (bulk) value of residential lots within each planning area. The wholesale value assumes a sale to a single purchaser. As if Complete As is Complete Per Lot value Per Lot value As if As if to Assessment to Assessment Festival Ranch Total As is As is Complete Complete Ratio @ Ratio @ Parcel # Lots Per lot Parcel Value Per lot Parcel Value $5,000 $5,000 33 133 $101,500 $13,499,500 $113,000 $15,029,000 22.60 :1 20.30 :1 35 191 $79,000 $15,089,000 $113,000 $21,583,000 22.60 :1 15.80 :1 84 96 $88,500 $8,496,000 $118,000 $11,328,000 23.60 :1 17.70 :1 88 126 $76,500 $9,639,000 $115,500 $14,553,000 23.10 :1 15.30 :1 Total 546 Average 22.89 :1 17.11 :1 Page 3 Respectfully submitted, Schnepf Ellsworth Appraisal Group LLC Larry D. Schnepf, MAI, SRPA Certified Arizona General Real Estate Appraiser Certificate # 30284, expires 8/31/2026 © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B i Table of Contents Letter of Transmittal Table of Contents ............................................................................................................................. i Executive Summary ......................................................................................................................... ii Subject Photographs – (February 27, 2026) .................................................................................... v Foreword .......................................................................................................................................... 1 Underlying Assumptions/Conditions .............................................................................................. 2 Extraordinary Assumptions and Hypothetical Conditions ............................................................ 11 Scope of Work ............................................................................................................................... 12 Premises of the Appraisal and Definitions .................................................................................... 17 Type of Appraisal .......................................................................................................................... 22 Legal Description .......................................................................................................................... 26 Neighborhood/Trade Area Data .................................................................................................... 34 Site Data Analysis ......................................................................................................................... 51 Improvements and District Description ......................................................................................... 67 Assessed Valuation and Taxes ...................................................................................................... 73 Highest and Best Use ..................................................................................................................... 77 Valuation Process .......................................................................................................................... 81 Sales Comparison Approach ......................................................................................................... 82 Reconciliation and Final Value Estimate .................................................................................... 122 Certification ................................................................................................................................. 125 Addenda ....................................................................................................................................... 127 Qualifications of Larry D. Schnepf, MAI, SRPA ....................................................................... 128 Subdivision Plats ......................................................................................................................... 135 © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B ii Executive Summary Type of Property: The subject consists of 4 single-family residential subdivision parcels Type of Report: Appraisal Report Class: Single-family residential subdivison land Job No.: 26-2629A Job Name: Festival Ranch Community Facilities District (City of Buckeye, Arizona) Assessment District No. 15, Parcels 33, 35, 84 and 88 Location: The subject is located within the Festival Ranch master development on the north and south sides of Beardsley Parkway and aproximately 1/4 mile west of Desert Oasis Boulevard in the City of Buckeye, Arizona. Legal Description: A full legal description is included within the report. The legal description was obtained from public records. Statement of Ownership: Documents detailing the ownership retained in the addenda. Form of Ownership: Fee Simple Interest Property Rights Appraised: Market Value of the fee simple interest. Intended User/Intended Use (Function) of the Report: The intended users of this report include Festival Ranch Community Facilities District (City of Buckeye, Arizona) (Client and Intended User), the municipal advisor Hilltop Securities, Inc., the underwriter, Stifel, Nicolaus & Company, Incorporated, the City of Buckeye, Arizona and the bond counsel Gust Rosenfeld P.L.C. (Intended Users). The intended use (function) of this appraisal will be in conjunction with the sale of tax-exempt assessment bonds, the proceeds of which will be used to finance public infrastructure within the Festival Ranch Community Facilities District (City of © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B iii Buckeye, Arizona) Assessment District No. 15, Parcels 33, 35, 84 and 88. Improvements Summary: The subject consists of 4 master-platted parcels consisting of 546 planned lots within the final plats for Festival Ranch Parcels 33, 35, 84 and 88. Assessor’s Parcel: Known assessor parcel numbers are included in the Assessed Valuation Sectiom of the report. Flood Zone Designation: Zone X, Panel number 04013C1170L, Effective date October 16, 2013. Site Area: The total aggregate lot area for the 546 lots is 85.34+/- acres The proposed development has a density of 6.40 du/acres. Zoning: MPC Master Planned Community, City of Buckeye Topography: The property is basically level. No soil reports were provided to the appraisers. Easements: Except for zoning restrictions, no other hazards or nuisances were noted which would adversely affect the subject site. The appraisers assume no conditions exist that would adversely affect title. Nuisance and Hazards: No environmental reports were provided to the appraiser. No adverse environmental conditions were noted within this report. No known nuisances, hazards or environmental problems exist. Highest and Best Use: As Is – Single-family residential Marketing Time: 9 to 12 months Unit Type: The most applicable site unit measurement is price per square foot (vacant land) and price per lot. Date of Inspection: February 27, 2026 Date of Valuation: February 27, 2026 © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B iv Valuation Conclusions: The values above are the estimates for each parcel reflecting a wholesale (bulk) value of residential lots within each planning area. The wholesale value assumes a sale to a single purchaser. As if Complete As is Complete Per Lot value Per Lot value As if As if to Assessment to Assessment Festival Ranch Total As is As is Complete Complete Ratio @ Ratio @ Parcel # Lots Per lot Parcel Value Per lot Parcel Value $5,000 $5,000 33 133 $101,500 $13,499,500 $113,000 $15,029,000 22.60 :1 20.30 :1 35 191 $79,000 $15,089,000 $113,000 $21,583,000 22.60 :1 15.80 :1 84 96 $88,500 $8,496,000 $118,000 $11,328,000 23.60 :1 17.70 :1 88 126 $76,500 $9,639,000 $115,500 $14,553,000 23.10 :1 15.30 :1 Total 546 Average 22.89 :1 17.11 :1 © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B v Subject Photographs – (February 27, 2026) 1 – Looking west along Beardsley Ave at Desert Oasis Blvd. 2 – Looking north on 277th Ave across Parcel 33. 3 – Looking south along Desert Oasis Blvd at Beardsley Pkwy. 4 – Looking south on 277th Ave across Parcel 84. © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B vi 5– Looking north along 279th Ave across Parcel 33. 7 – Looking east along Beardsley Pkwy from 279th Ave. 6 – Looking east along Beardsley Parkway from 279th Ave. 8 – Looking northwest across Parcel 35. © SCHNEPF ELLSWORTH APPRAISAL GROUP – 26-2629B vii 9 – Looking east across Parcel 88. 11 – Neighborhood to the east (Parcel T1). 10 – Looking southeast from Parcel 35. 12 – Ballfield/community center east of the subject.