Property Valuation

Vermont's 'leasehold estate' value reflects:

AThe landlord's reversionary interest
BThe tenant's right to use the property, which has value when the contract rent is below market rent✓ Correct
CThe value of the property if vacant
DThe improvements made by the tenant

Explanation

The leasehold estate is the tenant's interest in the property. It has positive value when the contract (lease) rent is below current market rent — the tenant essentially controls below-market space, which has value.

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