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Fortune Academy South Carolina Property Management Course Practice Test

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A building is still quite usable and in fairly good condition. However, the supporting pillars are placed only ten feet apart and the walls are solid. It is nearly impossible to thread computer cable in the walls. The property is:
Correct Answer:
Functionally obsolete
Explanation:
Functional obsolescence happens when a property is still usable but has design or layout flaws that limit its usefulness in the current market. In this case, the walls are solid and the supporting pillars are spaced only ten feet apart, which restricts flexible layouts and makes running modern computer cables difficult. Even though the building is in good physical condition, these limitations reduce its practicality for today’s tenants, so it’s considered functionally obsolete.

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