What factors might a valuer consider when assessing the 'highest and best use' of a property in SA?
Correct Answer
B) Legal permissibility, physical possibility, financial feasibility and maximum productivity.
Highest and best use analysis considers four criteria: legal permissibility (zoning and planning controls under the PDI Act 2016), physical possibility (site characteristics), financial feasibility (economic viability), and maximum productivity (which use produces the highest value).
Why This Is the Correct Answer
Highest and best use is the use that is legally permissible, physically possible, financially feasible and maximally productive. A valuer tests possible uses against all four criteria to find the one that gives the highest value.
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