Which methods are acceptable for valuing a site?

The choice of "all of the above" incorporates various methods acceptable for valuing a site, recognizing that each of these methodologies can provide useful insights depending on the specific circumstances and characteristics of the property in question.

The cost approach involves calculating the value based on the cost to replace or reproduce the improvements on the site, minus any depreciation. This approach is particularly useful for new or unique properties where comparable sales data may not be available.

The extraction method involves analyzing recent sale prices of similar properties to determine the value of the land by subtracting the estimated value of any improvements. This is a common approach for valuing land because it directly reflects market conditions and demand.

The capitalization of ground rent establishes value based on the income generated from leasing the land, applying a capitalization rate to the ground rent. This method is particularly effective for investment properties where the land generates income.

In practice, appraisers often use a combination of these methods to arrive at a final valuation, considering the context of the property, the local market conditions, and specific valuation goals. By including all three methods, the approach ensures flexibility and a comprehensive assessment for site valuation.