Because the share price is regularly disclosed throughout the trading day, if you know the value of one share of common stock in Simon Property Group (SPG), you know the value of all SPG shares. Shares of SPG are traded on a thriving public market. One share can perfectly replace another.
Market value is a term used in formal appraisal practice, Inc. When the land value is unknown but the building value is known, use the land residual technique.
When the structure is brand-new and the land has been developed to its maximum and best use, this technique may be applied. Assumes sensible behavior on the part of both the buyer and the seller, and a competitive market.
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