What is the aim of a Highest and Best Use Analysis?

The aim of a Highest and Best Use Analysis is centered on identifying the most profitable and legally permissible use of a property. This analysis involves assessing various potential uses of the property, considering factors such as market demand, physical characteristics, zoning regulations, and environmental constraints. By determining which use would generate the highest return on investment, this analysis helps investors, developers, and real estate professionals make informed decisions about property development or investment strategies.

In contrast, the focus on the original use of a property does not take into account current market conditions or profitability. Evaluating structural integrity involves assessing the physical condition of buildings and does not address the economic viability of different property uses. Similarly, calculating local zoning laws pertains to regulatory frameworks but does not alone determine the optimal use that maximizes value. Therefore, the most comprehensive and relevant purpose in this context is to find the most profitable use of a property.