What appraisal concept applies to Chris's decision to improve his property for greater value?

The concept of "highest and best use" is particularly relevant in Chris's decision to improve his property for greater value. This principle refers to the most profitable, legally permissible, and physically possible use of a property that results in the highest market value. Essentially, it means determining what type of development or improvements would yield the best financial return on investment.

When Chris considers making improvements to his property, he is assessing the highest and best use of that property—what changes or enhancements will maximize its value in the eyes of potential buyers or tenants. This involves analyzing factors such as the current market demand, zoning regulations, and the physical characteristics of the property. By aligning his investment in improvements with the highest and best use concept, Chris can strategically enhance his property's overall value and appeal.

This decision-making process distinguishes itself from the other concepts mentioned. While market value pertains to the estimated price at which a property would sell in the current market, investment value focuses on the value of the property based on the particular investor's situation. Functional obsolescence relates to a reduction in property value due to outdated features or designs. However, these concepts do not capture the proactive decision-making process that Chris is engaging in by considering the optimal way to utilize his property for maximum benefit