Two approaches to value were utilized in estimating the market value of the subject property. The Market Approach was utilized in estimating the land value only. However, income estimates and the capitalization rate are shown on the preceding pages and are based upon market analysis.

The values indicated by the two approaches to value are as follows:

Cost Approach .......................... $149,200,000.00 
Income Approach ........................ $144,000,000.00

Normally, the sale of a hotel/casino on a going concern basis is based upon the income flow generated by that casino. For this reason the Income Approach to value is considered to be by far the superior valuation indicator in the case of the subject. The Cost Approach to value substantiates the valuation indicated by the Income Approach to value.

In addition to acting as value indicators, the two approaches to value prove the feasibility of the project. With a valuation indicated by the Income Approach of $144,000,000.00 and an estimated cost of construction being substantially less than this, not including cash for bonds and operation, the feasibility of the project is proven.

Considering data analyzed, described and set out in this report, the estimated market value of the subject property, in fee, as of October 30,1975 and assumed to have been completed in substantial compliance with the preliminary plans contained in the Addenda of this report, and assuming complete compliance with Clark County Building Codes is:

$ 144,000,000.00