Highest & Best Use
Assessment of the most supportable use of a property.
Who we work with
Owners, purchasers, developers and appraisers need a highest and best use analysis when the existing use may not fully explain a property’s market potential or when alternative uses are being considered.
When you need us
A highest and best use study brings together the site’s physical characteristics, planning permissions and market economics.
What we do
Assess the financial feasibility of realistic alternatives
Compare the uses supported by the planning and market evidence
What you receive
The conclusion explains the selected use and its implications for valuation, acquisition or redevelopment decisions.
What we need to begin
Provide the survey, site characteristics, planning permissions, available servicing information and proposed alternatives. Identify the valuation purpose and date, along with any assumptions about approvals or assembly with adjoining lands.
An anonymized assignment
For a municipal parcel proposed for incorporation into neighbouring residential lands, gsi examined its relationship to the assembled holding. Highest and best use analysis considered configuration, planning context and practical redevelopment contribution before the market value opinion was formed.
Questions & answers
Is the current use always the highest and best use?
Not necessarily. The analysis considers supportable alternatives in light of physical characteristics, permissions and market economics.
Does the most intensive use always produce the highest value?
No. Greater intensity may involve different costs, timing or market risks. The conclusion needs support from feasibility and market evidence.
Can assembly with neighbouring land be considered?
Where relevant to the assignment, the relationship to adjoining properties can be examined. Assumptions about assembly and the resulting use must be explicit.