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If the land could make more profit with another use, that profit is a net loss (opportunity cost).
by kbutler 7y ago
If the land could make more profit with another use, that profit is a net loss (opportunity cost).
- goobynight 7y agoSure, but they believe the market isn't at the top. Opportunity cost could continue to increase until they cash out. That is, maybe they could sell for $10 million now vs making $200k per year on parking, but if they hold on for another 5 years, the offers could rise to $15 million.