How is "excess land" treated in property assessments?

Excess land refers to any land that is owned by a property owner but is not necessary for the typical use of the property, suggesting that it is not critical to the property's operational or functional requirements. In property assessments, this excess land may be assessed separately for its market value because it has intrinsic value in itself and may be sold or developed independently from the main property.

By considering excess land as a separate assessment, assessors reflect the true market conditions and potential uses of the land. This separate assessment allows the property owner and potential buyers to recognize the independent value of that excess land, which can influence investment strategies or future land use decisions.

In contrast, combining it with the main property assessment would not accurately represent its market value, and assessing it only when it enhances the property's use overlooks cases where the land may still hold significant value on its own. Excluding it entirely would ignore potential benefits and market dynamics associated with that additional property area. Therefore, treating excess land as a separate entity in assessments provides a more comprehensive and fair evaluation of a property's total worth.