Excess Land / Surplus Land

 

Excess land is land available for stand-alone development that is over and above the optimal parcel size calculated for an existing development.  Optional parcel size is determined via the use of a market provided building-to-land ratio.

 

Surplus land is land available for additional development or expansion of the existing use but not required to support it.  The land cannot be utilized for a new, independent, stand-alone development.

 

Appraisers often discover during the course of the appraisal process that the property to be appraised has excess land or surplus land.  This discovery changes the appraisal process since the excess land or surplus land must be considered separately.

 

Building-to-land ratios are calculated by dividing the 1st floor gross building area (building footprint) in square feet by the total site size in square feet.  A relatively tight range exists for most building types.  Industrial buildings often have the greatest variability due to the dependence of some distribution facilities and manufacturing plants on atypically large sites for parking.   

 

Contact us with your questions or concerns regarding excess land / surplus land or regarding your appraisal assignment in Nevada via e-mail at grigdon@cox.net or by phone at 1-702-568-6699. 

 


                                                     



Copyright 2007 Horizon Village Realty & Appraisal

Commercial Real Estate Appraisals in the Las Vegas & Henderson, Nevada Area.