Posted by Sean on April 15, 1999 at 08:47:49:
The land value surely must be considered in, as well as other situations. For example we have a plush area here in Southern California in Ventura County where land cost plus replacement value is about $180,000 but buildings are selling for $250,000+
Normally this would be a disaster waiting to happen, except that the local government rations the number of new construction it permits. They have companies in there that build all they can build in January or February of the year then they have to wait until next year to build anything more.
The area is very popular because of the school district Las Virgines. I understand to get into that school district you have to have an affadavit from your landlord and copies of two utility bills.