Neighbor lot(s) empty - I assume that's bad?

[Henrik Frank]

We came across a property that may fit our numbers for a rehab. However, I'm concerned about the location. The street is a nice enough neighborhood street, but the lot on one side as well as the rear neighboring lot are both empty. I assume this will lower our expected sales price? The lot on the side has recently sold for $30K, which could mean a house is being planned, but we can't count on that. The house we are looking at is listed at $95K, but needs more than average repairs, so our offer will definitely be lower. We are still working on the estimate as well as the final comps, but I thought I'd ask about the location here before investing too much time.

Since a picture is worth a thousand words, I've uploaded one here: http://www.try1stgolf.com/images/Image1.jpg

Please take a look and give me your opinion on the location. We are still pinpointing the exact ARV, but it should be in the neighborhood of $150K-%170K.

Thanks for any input you may have,

\ Henrik