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undivided 160 acres. These partial interests were acquired for
amounts that were approximately 58 percent to 62 percent less
than their proportionate shares of the fair market value of the
full fee as estimated by Mr. Young. During October 1996 the
buyer acquired the remaining two-thirds of the property from
three sellers for approximately 14 percent less than a
proportionate share (i.e., two-thirds) of Mr. Young’s estimated
fair market value of the full fee.
The second series of partial acquisitions considered by Mr.
Young occurred during September 1994. It involved 37 different
tracts totaling almost 830 acres which were owned by three
different groups of individuals. The purchaser acquired three
approximately equal interests for equal purchase prices. On the
basis of Mr. Young’s estimated fee fair market value, the
fractional purchases were discounted approximately 41 percent.
In the third series of partial acquisitions during 1993,
seven partial interests, collectively representing almost a 50-
percent interest, were purchased from members of the same family
for what appears to be the same price per acre. The discounts
from the estimated full-fee fair market value were all
approximately 82 percent, using Mr. Young’s fee value.
In the fourth series of partial acquisitions, interests in
amounts approximating 35 percent and 7 percent were acquired in
1992, and the remaining 58 percent was acquired in 1995. The
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Last modified: May 25, 2011