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the expert reports, and Mr. Dallamora's extensive experience in
real estate sales, we conclude that the individual developed lots
would sell for an average price of $170,000.
Time Required To Sell the Lots
The length of time required to sell all the lots on the
Property is a factor of both market conditions and the amount of
time required to receive the necessary approval of the
development permits from the various municipalities. Both
petitioner and respondent estimated that this approval process
for the development of the Property would take 6 months to 1
year. However, the parties disagree as to when this period of
time would begin to run. Mr. Handverger testified that the
approval period would have begun during the purchase and sale
agreement phase, which was prior to the final purchase date.
Petitioner's experts reason that a typical buyer for a parcel of
land, such as the Property here, would conduct the approval
process during this time, or, in the alternative, the buyer would
enter into an agreement, whereby the purchase of the Property
would be subject to the required approval process. Respondent's
expert Mr. Avery, on the other hand, used a 1-year period in his
valuation, which began on the actual transfer date of the
Property to the Commonwealth.
The application of any valuation method involves the use of
certain hypotheticals. In the SDM, the property is developed
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