This value is solely based on a property's present day usage. If use is not restricted by a covenant or by planning law, then transaction value has to assessed in terms of open market value. Depending on the circumstances, this can be higher and is not necessarily based on a property's current usage. Significant discrepancies in value can arise - for example, when a property is under-utilised (in which case the pure land value would be higher than the perpetuity value of a property).