<abstract xmlns="http://www.w3.org/1999/xhtml">The paper presents procedures for determining market values of forest real properties, with particular emphasis placed on the forest stand. The mixed-approach valuation procedure - land valuation index method - was analyzed. The practical part of the work regarding the valuation of the forest stand introduces the various techniques of valuation and acquisition of data on forest resources used, i.e.: index-based valuation approach and stock survey approach.The subject of the research is part of a forest property, which represents an assessment area, typical of the southern part of Poland, located in the Tenczynek Forest Division. There is a forest management plan for the analyzed property which, together with the assessment descriptions, was used as one of the sources of data for valuation. The second source of data for valuation were direct field surveys, i.e.: geodetic surveys for determining the assessment area and the stock survey approach with individual tree assessment with respect to data on the stand.Based on the research, it may be concluded that both valuation techniques and methods used to capture data on forest resources significantly affect the final value of forest properties. The market value of the stand, determined by the index-based valuation approach, demonstrates a significant difference when compared to the value of the stand determined by the stock survey approach. The forest management plan should only be used as a supplementary material and only to identify site types of forests by property valuers and, partially, together with economic maps, to determine the boundaries of assessment areas.</abstract>

The paper presents procedures for determining market values of forest real properties, with particular emphasis placed on the forest stand. The mixed-approach valuation procedure - land valuation index method - was analyzed. The practical part of the work regarding the valuation of the forest stand introduces the various techniques of valuation and acquisition of data on forest resources used, i.e.: index-based valuation approach and stock survey approach.The subject of the research is part of a forest property, which represents an assessment area, typical of the southern part of Poland, located in the Tenczynek Forest Division. There is a forest management plan for the analyzed property which, together with the assessment descriptions, was used as one of the sources of data for valuation. The second source of data for valuation were direct field surveys, i.e.: geodetic surveys for determining the assessment area and the stock survey approach with individual tree assessment with respect to data on the stand.Based on the research, it may be concluded that both valuation techniques and methods used to capture data on forest resources significantly affect the final value of forest properties. The market value of the stand, determined by the index-based valuation approach, demonstrates a significant difference when compared to the value of the stand determined by the stock survey approach. The forest management plan should only be used as a supplementary material and only to identify site types of forests by property valuers and, partially, together with economic maps, to determine the boundaries of assessment areas.

Comparative Analysis of Determining the Market Value of Forest Real Properties Using Various Valuation Techniques

Faculty of Mining Surveying and Environmental Engineering

Real Estate Management and Valuation

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

The paper presents procedures for determining market values of forest real properties, with particular emphasis placed on the forest stand. The mixed-approach...

Comparative Analysis of Determining the Market Value of Forest Real Properties Using Various Valuation Techniques

Published Online: Apr 16, 2018

Page range: 51 - 62

DOI: https://doi.org/10.2478/remav-2018-0005

Keywords
valuation of the stand, market value, forest property, public forests, stock survey

© 2018 Małgorzata Buśko, published by De Gruyter Open

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Comparative Analysis of Determining the Market Value of Forest Real Properties Using Various Valuation Techniques

Published Online: Apr 16, 2018

Page range: 51 - 62

DOI: https://doi.org/10.2478/remav-2018-0005

Keywordsvaluation of the stand, market value, forest property, public forests, stock survey

© 2018 Małgorzata Buśko, published by De Gruyter Open

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
valuation of the stand, market value, forest property, public forests, stock survey