Which of the following best describes "interim use" in appraisal?

Interim use refers to a temporary utilization of a property that occurs before it can be developed or repurposed for its highest and best use. This concept often arises in situations where a property is not currently being used to its fullest potential or where future development plans have not yet been implemented. For example, a vacant parcel of land may be used for a community garden or temporary storage while planning occurs for a multi-use development. Understanding this definition is critical for appraisers, as identifying interim use can significantly affect the valuation of the property, considering its potential future worth.

In contrast, the final intended purpose of a property pertains to its ultimate or highest value use, which doesn’t encompass the temporary nature that interim use implies. Maximizing financial return is a broader investment objective that is typically relevant to the highest and best use, while exclusive uses that must be followed by law relate to zoning and legal restrictions, which are separate from the idea of interim usage. Thus, the accurate description of interim use centers on its transitory function in the lifecycle of a property.