Commercial Land Valuation - Strip Mall

[James Cattivo]

I'm looking into buying a piece of land on which to build a multi-use music/video studio-type building (likely modular).

I'm having trouble deciding if the price is right and am looking for some guidance.  This piece of land available is 6500 Square Feet, and it's directly connected to an existing strip mall with 9 leased retail businesses.  The land I'm interested in is currently being used as excess parking and an Office Trailer.   The asking price comes out to about $12/sq foot.  

Any help with assessing if this is a good price?  Any other considerations perhaps I'm not thinking of?  Thanks!

[Jessica Zolotorofe]

Is the property located in PA? Depends on the town, and whether an appraiser was to use income approach or highest and best use, and I would probably imagine the latter, but even so, sounds like you may be overpaying. 6500sf is a tiny piece of land. Did you check on your approvals to make sure you can build a commercial building on it? That would be a huge factor. Lack of build-ability renders it worth nothing more than the parking lot it is being used for. Are you using it for yourself or what do you think you can get in rent on the back end when you finish building?