MEASURES OF LAND VALUE FOR UTILITY REGULATION

Authors

lrston R. Barnes, Yale University

Abstract

The appraisal of the land of utility corporations presents problems that are not encountered in the valuation of other utility properties. The basic principles and methods of appraisal applicable to other properties are considered inappropriate for the valuation of lands, and certain inconsistencies between the treatment of land and other properties suggest embarrassing questions as to the principles which should guide the regulation of utility rates. Two concrete problems may serve to provide orientation for the discussion which follows: What elements of cost imposed on utilities in the acquisition of real estate are entitled to consideration in establishing rates? To what extent, if at all, are utilities entitled to claim recognition for any increases in the value of the lands which they employ in the public service? In the matter of procedure many questions arise as to the measurement of land values, questions which reveal the extent to which land valuations are mere matters of opinion.

Recommended Citation

lrston R. Barnes, MEASURES OF LAND VALUE FOR UTILITY REGULATION, 39 Mich. L. Rev. 37 (1940).
Available at: https://repository.law.umich.edu/mlr/vol39/iss1/3