Chapter 10
Site Valuation

Reasons for Site Appraisals

*   Income taxation

*   Sale of part rather than whole

*   Excess land valuation

*   Cost-depreciation approach

Classical Theory of Land Value

*   Adam Smith, David Richardo, Thomas Malthus--factors of production

*   Land residual analysis

Modern Theory of Land Value--Land as "Manufactured product"

Methods of Site Valuation

*   Comparable sales analysis (see Exhibit 10.1, p. 159)

*   Income capitalization

*   Development cost (see Exhibit 10.2, p. 162)