What Is RCNLD?

Also written as: RCNLD

RCNLD is the cost approach's core calculation: the cost to build the improvements new today, minus accumulated depreciation from age, wear, and obsolescence — added to land value to estimate total property value.

Most useful for: Commercial Investor · Appraiser
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At a Glance
RCNLD
Cost Approach Value=Land Value+(Reproduction/Replacement Cost New − Depreciation)

Formula

Cost Approach Value = Land Value + (Reproduction/Replacement Cost New − Depreciation)
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This definition is provided for general educational purposes and is not financial, legal, tax, or real estate advice. Verify important decisions with appropriately qualified professionals.

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