The valuation of olive orchards: A case study for Turkey

Valuation of orchards is an important issue in condemnation, taxation, loan, insurance, inheritance, and purchase-sale cases. The approach to be used for orchards may vary according to the purpose of appraisal, age of the establishment, obtainable data, and according to the current regulations. In this study, land and tree values of olive orchards in a selected region from Turkey were determined by the periodic income capitalization approach. For this aim, four villages were selected and data was collected from 55 farmers selected randomly. While determining the value of the olive orchards with trees, past values approach was used. The capitalization rate for the income capitalization approach was determined as 5.32%. The value of bare land of olive orchards over periodic net income was calculated to be $ 19,684.87/ha. Tree values per hectare varied between $ 9,189.86 and$16,768.13 according to tree ages.