HOME

TheInfoList



OR:

A peak land value intersection is the region within a settlement with the greatest
land value Real estate appraisal, property valuation or land valuation is the process of developing an opinion of value for real property (usually market value). Real estate transactions often require appraisals because they occur infrequently and every prop ...
and commerce. As such, it is usually located in the
central business district A central business district (CBD) is the commercial and business centre of a city. It contains commercial space and offices, and in larger cities will often be described as a financial district. Geographically, it often coincides with the " city ...
of a
town A town is a human settlement. Towns are generally larger than villages and smaller than cities, though the criteria to distinguish between them vary considerably in different parts of the world. Origin and use The word "town" shares an or ...
or city, and has the greatest density of transport links such as
road A road is a linear way for the conveyance of traffic that mostly has an improved surface for use by vehicles (motorized and non-motorized) and pedestrians. Unlike streets, the main function of roads is transportation. There are many types of ...
s and
rail Rail or rails may refer to: Rail transport *Rail transport and related matters * Rail (rail transport) or railway lines, the running surface of a railway Arts and media Film * ''Rails'' (film), a 1929 Italian film by Mario Camerini * ''Rail'' ...
. Other hallmarks indicating a PLVI are tall buildings (in order to maximise the use of land) and a relatively great number of pedestrians. This model is the urban equivalent of von Thünen's rural land use model in that both are based upon locational rent. The main assumption is that in a
free market In economics, a free market is an economic system in which the prices of goods and services are determined by supply and demand expressed by sellers and buyers. Such markets, as modeled, operate without the intervention of government or any ...
the highest bidder will obtain the use of the land. The highest bidder is likely to be the one who can obtain the maximum profit from that site and so can pay the highest rent. Competition for land is keenest in the city centre. The most expensive or 'prime' sites in most cities are in the CBD, mainly because of its accessibility and the shortage of space there. Shops, especially department stores, conduct their business using a relatively small amount of ground space, and due to their high rate of sales and turnover they can bid a high price for the land (for which they try to compensate by building upwards and by using the land intensively). The most valuable site within the CBD is called the peak Land value intersection or PLVI. Competing with retailers are offices, which also rely upon good transport systems and, traditionally, proximity to other commercial buildings (this concept does not have the same relevance in centrally planned economies). One basis of this model is 'the more accessible the site, the higher its land value'. Rents will therefore be greater along main routes leading out of the city and along outer ring roads. Where two of these routes cross, there may be a secondary or subsidiary land value peak. Here the land use is likely to be a small suburban shopping parade or a small industrial estate.


See also

*
Urban planning Urban planning, also known as town planning, city planning, regional planning, or rural planning, is a technical and political process that is focused on the development and design of land use and the built environment, including air, water, ...


Further reading

* Geography: An Integrated Approach by David Waugh. 2000.


References

{{DEFAULTSORT:Plvi Urban studies and planning terminology