Name a common appraisal method used for special use properties.

The cost approach is a common appraisal method used for special use properties because it focuses on determining the value of a property based on the cost to replace or reproduce it, minus any depreciation. This approach is particularly useful for special use properties—such as churches, schools, and other unique properties—where there may be limited comparable sales data available.

When appraising special use properties, the sales comparison approach might not provide reliable results due to the lack of comparable transactions in the market, as these properties are often unique and cater to specific functions. The income capitalization approach could also be relevant if the property generates income, but in many cases, special use properties do not operate primarily for investment purposes, making the cost approach more applicable.

By focusing on the costs associated with creating a similar property and accounting for any depreciation, appraisers can arrive at a value that reflects both the physical structure and its unique characteristics, making the cost approach a valuable method in these scenarios.