Apportionment in property valuation: should we seperate the inseperable?
Hendriks, Dave
Apportionment in property valuation: should we seperate the inseperable? - 2005 - Journal of Property Investment and Finance 23(5) 2005, 455-470(15) .
Property valuers are often asked to allocate portions of the market value of a property to parts of the subject property. This paper aims to illustrate that the market value of a property cannot be divided into market value for the land and a market value for the improvement. Apportionment methods that exist in practice are briefly addressed and shortcomings identified. Shows that the existing apportionment methods are unreliable tools for property analysis, and makes some suggestions concerning tools that might replace apportionment in property analysis. [Taken from journal abstract.]
Apportionment in property valuation: should we seperate the inseperable? - 2005 - Journal of Property Investment and Finance 23(5) 2005, 455-470(15) .
Property valuers are often asked to allocate portions of the market value of a property to parts of the subject property. This paper aims to illustrate that the market value of a property cannot be divided into market value for the land and a market value for the improvement. Apportionment methods that exist in practice are briefly addressed and shortcomings identified. Shows that the existing apportionment methods are unreliable tools for property analysis, and makes some suggestions concerning tools that might replace apportionment in property analysis. [Taken from journal abstract.]