What criteria must a use meet to be considered the highest and best use of a property?

To determine the highest and best use of a property, it must meet three essential criteria: it must be legally permissible, financially feasible, and maximally productive.

Legally permissible means that the proposed use complies with zoning regulations, building codes, and other legal restrictions that may affect the property. This ensures that the use is acceptable under local laws and regulations.

Financially feasible indicates that the use can generate enough income to justify the costs associated with it, including construction, operation, and maintenance expenses. A use that is not financially feasible would not be viable in the marketplace.

Maximally productive means that the use must result in the highest possible return on investment. This consideration looks at how well the property can perform economically compared to other potential uses.

When these three criteria are fulfilled, the identified use is considered the highest and best use of the property, ultimately leading to the greatest value for the owner or investor. The other choices lack one or more of these critical components, making them inadequate for determining the highest and best use.