Commercial properties include the following types of commercial real estate: retail, office, mixed-use (i.e. retail/residential), multi-family / apartment buildings, special purpose (i.e. churches), industrial, hotels, land and many more. A state licensed Certified General Real Estate appraiser is required to appraise commercial property.

It is defined by the Appraisal Institute (an international association of professional real estate appraisers) as “The reasonably probable and legal use of vacant land or an improved property, which is physically possible, appropriately supported, financially feasible, and that results in the highest value.” The four criteria or tests for highest and best use are: legal permissibility, physical possibility, financial feasibility, and maximum productivity. A highest and best use analysis is a required step in all real estate appraisal assignments and requires an experienced real estate appraiser and in depth market knowledge.

USPAP is an acronym for Uniform Standards of Professional Appraisal Practice. These are the congressionally recognized ethical and performance standards for real estate appraisal and real estate appraisal review services in the United States. In addition to covering real estate, they also cover personal property and business valuation appraisal. These standards are maintained by The Appraisal Foundation which is a non-profit organization authorized by Congress to set the national standards and qualification for appraisers in the United States. Their purpose is to set standards to ensure credible, unbiased, and ethical appraisal work by setting requirements for appraisers to develop and report analyses, opinions and conclusions in a competent and independent manner. This incorporates protecting client confidentiality .