NEW YORK 



FOREST LAND 



"For assessment purposes there are two 

 fundamental types of forest land, each of which 

 requires a different approach in estimating cur- 

 rent full value. The first, which includes the 

 majority of the forested acreage in the state, is 

 land whose value is based solely on the timber 

 which it bears and the ability of the land to 

 produce wood products. The second is wooded 

 land whose value is influenced by certain non- 

 timber considerations. When value determina- 

 tions are made for either type of forest land, 

 recognition must be given to all factors that in- 

 fluence the total value. 



"Non-timber values can be appraised by em- 

 ploying appropriate conventional methods pre- 

 sented in other sections of this manual. Occa- 

 sionally the non-timber values will be minor, 

 such as the rental of forest land for hunting 

 privileges, in which case they become supple- 

 ments to the timber values. More frequently, as 

 in the case of building sites and recreational 

 areas, these values may be considerably larger 

 than the timber values. In fact, the timber val- 

 ues become an integral part of the over-all 

 value ; not because of their wood-products con- 

 tribution but because of their aesthetic contribu- 

 tion. In a few restricted areas where valuable 

 minerals are the dominant items of value, the 

 timber values may become almost negligible by 

 comparison. 



"When determining full value for forest land 

 possessing only timber values the following fac- 

 tors must be considered. 



1. Location: 



This refers to proximity to markets for 

 wood products, proximity to good transporta- 

 tion facilities, and topographic conditions. All 

 three of these influence the cost of harvesting 

 wood products and delivering them to markets. 



2. The Timber : 



Kind, quality and amount of timber are 

 the important considerations here. The value of 

 standing timber varies greatly between species 

 and between individual trees of the same spe- 

 cies. For example, the stumpage price for 

 "woods-run" yellow birch logs may be $45. per 

 thousand board feet (MBF), while for beech 

 logs in the same area the price may be only $6. 

 per MBF; and in some regions of the state 

 beech may not even have a market. 



"Similarly, the stumpage price for 

 "woods-run" logs of yellow birch may be $45. 

 per MBF, but the price on logs, because of in- 

 ferior or superior quality, may range from as 

 low as $20. to as high as $75. per MBF. 



"Amount of timber per acre, or per for- 

 est tract, affects timber value for two reasons. 

 The obvious one is; the more timber the more 

 value, assuming a constant price per unit of 

 volume. The other relates to the different prices 

 that are paid for unit of timber volume, de- 

 pending on the amount that is available. Lower 

 prices are usually paid per unit for smaller 

 amounts. This is especially true for timber that 

 is being harvested in a relogging operation. 



3. Bare Land Value : 



Productive capacity of land to grow tim- 

 ber, commonly known as "site quality", and 

 proximity to good transportation facilities are 

 important factors in the determination of this 

 value . For example, protected, well-drained 

 cove areas will produce much more timber vol- 

 ume in a given length of time than will ex- 

 posed, dry, shallow-soil mountain tops ; and for- 

 est land that is located near improved highways 

 is worth more on the market than remote lands. 



4. Sale Value : 



The sale value, or market value, of forest 

 land is not necessarily the same as the combined 

 value of timber and bare land. For appraising 

 forest land, it therefore becomes necessary to 

 develop factors that can be used to convert the 

 combined timber and bare land values to forest 

 land market values. There are several methods 

 of developing these factors. The most promising 

 one is to collect information on bona fide sales 

 of forest land parcels and compute the actual 

 ratios of sales prices to the combined timber and 

 bare land values. An analysis of many such 

 sales should provide the required conversion 

 factors. 



"The State Board is endeavoring to develop 

 a simplified procedure of forest valuation that 

 can be used by assessors without forestry train- 

 ing or equivalent forestry experience. Many 

 studies have been conducted and others are now 

 in progress to that end. It is hoped that in the 

 near future a simplified valuation guide which 

 is adaptable to use by individuals having a lim- 

 ited knowledge of a few readily recognizable 

 forest characteristics, can be issued as a supple- 

 ment to this manual." 



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