A Report On Economic Obsolescence

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Economic Obsolescence The property is secluded from the noise and traffic of major streets and freeways. The surrounding streets are small and have very little traffic. No industrial facility is located in close proximity to the subject property. Through the drive-by inspection of the neighborhood it is safe to conclude that there is no evident economic obsolescence that has negative effect on the marketability of the subject property. Environmental Concerns No scientific analysis or testing was performed to examine environmental obsolescence. However, Per U. S. Environmental Protection Agency (EPA), Air Quality Index (AQI) for zip code 91042 is 42 (Good). EPA air quality index range of 0-50 indicates that air quality is considered satisfactory and air pollution poses little or no risk. Based on information provided by Environmental Protection Agency, it is concluded that there is no environmental concerns now and in near future. Highest and Best Use Analysis The term “highest and best use” is defined as: “That reasonably probable use and legal use of a vacant land or an improved property that is physically possible, appropriately supported, financially feasible, and that results in the highest value.” In accordance with the definition of highest and best use, it is appropriate to analyze the subject property based on four accepted criteria of highest and best use. The subject property has to pass following four test to be consider at its highest and best use: 1.
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