Excess land differs from surplus land in that excess land:
Correct Answer
A) Can be separated and sold or developed independently
Why this is correct: Excess land is a portion of the site that can be subdivided and sold or developed independently under its own highest and best use. It is valued separately. Why the other choices are wrong: 'Is always located behind the primary improvements on the site' is wrong; location does not define excess land. 'Consists of the portion covered by easements and setbacks' is wrong; that describes encumbered or unusable land. 'Adds no value under any highest and best use analysis' is wrong; excess land typically adds value. Exam tip: Excess = separable; surplus = supports the existing use but is not separable.
Why This Is the Correct Answer
Why this is correct: Excess land is a portion of the site that can be subdivided and sold or developed independently under its own highest and best use. It is valued separately. Why the other choices are wrong: 'Is always located behind the primary improvements on the site' is wrong; location does not define excess land. 'Consists of the portion covered by easements and setbacks' is wrong; that describes encumbered or unusable land. 'Adds no value under any highest and best use analysis' is wrong; excess land typically adds value. Exam tip: Excess = separable; surplus = supports the existing use but is not separable.
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