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J. Brown &Associates Appraisal House Appraisal of Land, Mounds View, Minnesota 17. Interpretation and Correlation of Estimates • The three approaches to value have been considered in this appraisal. The first consideration is the Cost Approach. This appraisal is for land only therefore the cost approach was not used. The Income Approach is usually considered as the third approach to value. Again this has not been considered since the appraisal is for land only and no rent is obtainable. The Sales Comparison Approach is the second method of appraising property and in this appraisal is the best method. In this approach a number of comparable sales have been analyzed and compared to the subject property to reflect an Estimated Value of $28,258 Cost to Develop The typical developer's cost, in the subject's area, to develop a right-of-way is approxi- mately $100.00 per front foot. The Highest and Best Use and The Most Profitable Use is, as stated earlier in this report, to develop the subject and adjoining land as single family residential sites. The development of a cul-de-sac and 400' of right-of-way from Hillview Road would provide the potential of 7 buildable sites. 400' x 2 = 800' of road frontage x $100.00 (development cost/front foot ) = $80,000. $80,000 divided by 7 sites equals ($11 ,428) the cost to develop each available site. Conclusion: The subject contains approximately 11 ,125 square feet and, with the assumption that the right-of-way is paved and all utilities are available to the site, the site would have a value of: 11,125 sq ft x $2.54 = $28,257.50 (minus development cost) $28,258 - $11 ,428 = $16,830 Rounded to $17,000.00 Reconciliation The estimated market value of the subject as of April 23, 1997 (date of inspection) is: • $17,000 Seventeen thousand dollars