The appraisal unit refers to:

The appraisal unit is defined as the property that is bought and sold as a unit, which encompasses the idea that when an appraisal is conducted, it typically focuses on a single property or entity that is intended for sale. This definition is critical for appraisers as it emphasizes the importance of evaluating the specific characteristics, market conditions, and potential value of that discrete property, rather than considering just parts of it or properties nearby.

In practice, appraisers assess the value based on what the specific property can yield in terms of market demand, location, and economic conditions, rather than grouping various properties or focusing solely on the financial aspects of the investments they represent. This ensures that each appraisal reflects the unique position of the property in the market at that time.