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William P. KenoiQD <br />Mayor <br />County of Hawaii <br />DEPARTMENT OF FINANCE - REAL PROPERTY TAX <br />Aupuni Center • 101 Pauahi Street . Suite No.4 • Hilo, Hawaj'i 96720 • Fez (808) 961-8415 <br />Appraisers (808) 961-8354 • Clerical(808)961-8201 • Collections (808) 961-8282 <br />West Hawaii Civic Center • 74-5044 Ane Keohokalole Hwy. • Bldg. D, 2nd Mr. . Kadua Kona, Hawaii 96740 <br />Fax(808)327-3538 • Appraisers (808) 3234881 • Clerical (808) 3234880 <br />October 18, 2012 <br />Mauna Lani Resort <br />(Operation), Inc. <br />68-1400 Mauna Lan! Drive, Suite 102 <br />Kohala Coast, HI 96743 <br />Nancy E. Crawford <br />finance Director <br />Deanna S. Sako <br />Deputy Director <br />Re: TMK's: 3-6-8-022-001, 3-6-8-022-022, 3-6-8-022-023, 3-6-8-022-027, 3-6-8-022-033, 3-6-8-022-034, <br />3-6-8-022-037, 3-6-8-022-039, 3-6-8-022-042, 3-6-8-022-043, 3-6-8-022-044, 3-6-8-022-045, 3-6-8-022- <br />056, 3-6-8-022-058, and 3-6-9-001-017. <br />Case No. 19286, Case No. 19315, Case No. 19316, Case No. 19317, Case No. 19318, Case No. 19383, <br />Case No. 19385, Case No. 19386, Case No. 19387, Case No. 19389, Case No. 19391, Case No. 19415, <br />Case No. 19439, Case No. 19420, Case No. 19426, and Case No. 19433. <br />The Golf Course Parcels: 001, 022, 023, 027, 033, 034, 037, 039, 042, 043, 044, 045, 056, 058, 017 were <br />assessed considering the current market conditions, the rental income, and the value of the surrounding <br />properties, the current use, and the functional obsolescence of the improvements. <br />Based on the current market analysis of subject property a downward adjustment was required for each <br />parcel and the improvements to reflect the market conditions that are affecting subject property. <br />Please see second page for the breakdown of the recommended assessment. <br />If you accept this settlement offer, I would ask you or your agent to sign the enclosed copy of this letter and <br />return it to me as soon as possible. It will be presented to the Board for approval. If you have any questions <br />at this time, feel free to contact me by mail at Inavac@co.hawaii.hi.us or by telephone at (808) 961-8276 <br />Sincerely yours, <br />Jaime Ortiz Nava <br />Real Property Appraiser V <br />Hawaii County is an F.qual Opportunity Provider and Employer <br />