Methodology / Glossary / Residual Land Value

Residual Land Value

The maximum price a developer can pay for land while still achieving their target profit. RLV is calculated by subtracting all development costs and the required profit from the Net Development Value.

Why it matters

RLV is the primary output of many appraisals. It directly determines whether a land deal is viable at the asking price.

In Profivo

Calculated automatically when a target profit is set. Shown as a key output on the dashboard.

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