Special incurable functional obsolescence is reflected by those items of inutility that would typically not be found in a building as old as the subject property.
Since the deductions for items of special incurable functional obsolescence come ,after the calculations for superadequacy and after baseline depreciation, the amount deducted for special incurable functional obsolescence must take into consideration prior deductions where appropriate.
For example, if an automotive assembly plant is acquired for continued use as an auto assembly facility, there may be little or no special incurable functional obsolescence that causes operational cost penalties.
In the field of special-purpose industrial properties, the highest and best use at the time of valuation is particularly critical to the estimation of special incurable functional obsolescence, if any, accrued.
If there is an oversupply of the type of general-purpose industrial property in the locality to the point of affecting value, this is a form of external obsolescence.