Footnotes

1000 Cloverport, 6 Cl. Ct. at 191; see United States v. Toronto, Hamilton & Buffalo Nav. Co., 338 U.S. 396, 403 n.6 (1949); see generally Section 4.4.4 (Income Capitalization Approach).1001 47.14 Acres, 674 F.2d at 726; United States v. 103.38 Acres of Land in Morgan Cty. (Oldfield), 660 F.2d 208, 214-15 (6th Cir. 1981) (requiring “evidence derived from or demonstrably related to the actual market” as “essential characteristics”); Whitehurst, 337 F.2d at 771-74; United States v. 158.76 Acres of Land in Townshend, 298 F.2d 559, 561 (2d Cir. 1962); see, e.g., United States v. 25.202 Acres of Land (Amexx I), 860 F. Supp. 2d 165, 176-78 (N.D.N.Y. 2010), aff’d, 502 F. App’x 43, 45 (2d Cir. 2012) (noting lower court’s…

E.g. , Whitehurst , 337 F.3d at 770-72; see United States v. 24.48 Acres of Land , 812 F.2d 216, 218 (5th Cir. 1987).

Foster , 2 Cl. Ct. at 451 (“Although the calculation may be internally consistent, the capitalization of income approach frequently does not produce reasonably persuasive evidence of value.”).

1003 Oldfield, 660 F.2d at 212; see Cementerio Buxeda, Inc. v. Puerto Rico, 196 F.2d 177, 181 (1st Cir. 1952) (allowing consideration of income and expense figures that “are factors which would be considered by a prospective buyer”).1004 Oldfield, 660 F.2d at 214 (“The fatal flaw in the owners’ . . . method is its lack of demonstrable relationship with this ‘real’ market ”).

1004 Oldfield, 660 F.2d at 214 (“The fatal flaw in the owners’ . . . method is its lack of demonstrable relationship with this ‘real’ market ”).4 8 4 Timber The sales comparison approach is also typically the most reliable approach to value for properties involving timber. 1005 Appraising property with a potential highest and best use for timber production typically requires special expertise and analysis, including a timber cruise to inventory the timber involved, evaluation of logging conditions, and investigation of potential timber sales. 1006 Such information may be particularly useful as a “check” on the appraiser’s estimate of contributory timber values gleaned from comparable sales and other market data. 1007 But it is never appropriate to simply add…

Direct capitalization techniques apply an overall capitalization rate to a property’s single-year net income. Yield capitalization techniques typically use a discounted cash-flow (DCF) analysis to evaluate varying forecasted income or expenses. See Section 4.4.4 (Income Capitalization Approach).

United States v. 100.80 Acres of Land (Parrish), 657 F. Supp. 269, 276 n.13 (M.D.N.C. 1987); Am. Pumice, 404 F.2d at 336-37; Foster, 2 Cl. Ct. at 448-55; see United States v. 33.92356 Acres (Piza-Blondet), 585 F.3d 1 (1st Cir. 2009) (affirming exclusion of highest and best use of sand extraction without evidence of reasonable probability permit could be obtained).

Whitney Benefits v. United States , 18 Cl. Ct. 394, 408 (1989); Foster , 2 Cl. Ct. at 448-49.

1002 Prop. in Monterey, 186 F. Supp. at 170; see also Leavell & Ponder, 286 F.2d at 407; 158.76 Acres in Townshend, 298 F.2d at 561.1003 Oldfield, 660 F.2d at 212; see Cementerio Buxeda, Inc. v. Puerto Rico, 196 F.2d 177, 181 (1st Cir. 1952) (allowing consideration of income and expense figures that “are factors which would be considered by a prospective buyer”).

1006 E.g., United States v. 15.00 Acres of Land in Miss. Cty., 468 F. Supp. 310, 313 & n.6 (E.D. Ark. 1979); 2,175.86 Acres in Hardin & Jefferson, 687 F. Supp. at 1085-86.1007 E.g., 2,175.86 Acres in Hardin & Jefferson, 687 F. Supp. at 1085-87.