Property Valuation
The principle of plottage (assemblage) in real estate valuation means that:
ALarger parcels are always worth less per acre than smaller ones
BCombining adjacent parcels under one ownership may produce a combined value greater than the sum of the individual values✓ Correct
CThe value of a parcel depends solely on the value of adjacent properties
DSubdividing land always increases total value
Explanation
Plottage (or assemblage increment) refers to the added value created when combining multiple parcels into one larger, more usable site. The whole may be worth more than the sum of the parts.
Related Alaska Property Valuation Questions
- An Alaska appraiser is determining the value of a property in a remote area with no comparable sales. Which approach would likely be MOST useful?
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- Which of the following is TRUE about the principle of conformity in real estate appraisal?
- An Alaska appraiser values a property 'as of' a specific date. This 'effective date' is significant because:
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- Under Alaska appraisal practice, a 'desk review' appraisal involves:
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