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Splitting land into smaller tracts

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    #31
    Originally posted by csmith936 View Post
    For instance -

    You have 140 acres valued at $331,000 based on the CAD. You split some of the land up into five 10 acre tracts. What would you expect the value of the smaller 10 acre tracts of land to go for per acre?

    I know the smaller you go, the more pricier it becomes per acre......What do y'all think? I'm just curious
    Its called the economy of scale. You buy a coke out of a machine its about a dollar. You can buy a six pack for a dollar or two more. A case is even cheaper per unit price. The more you buy or have the price comes down per unit but the total price is higher.

    There are land conversion calculations that would speculate the value. Ideally the sales price of the 10 acres is your best indicator of value.

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