Property Valuation
A Nebraska industrial property's highest and best use has changed from manufacturing to commercial retail. The appraiser should value the property based on:
ACurrent manufacturing use only
BCommercial retail use as the highest and best use✓ Correct
CAn average of both uses
DOnly the current use regardless of potential
Explanation
Highest and best use is defined as the reasonably probable use that is physically possible, legally permissible, financially feasible, and maximally productive. The appraiser values based on the highest and best use, not necessarily the current use.
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