Which of the following best describes the concept of "highest and best use"?

The concept of "highest and best use" refers to the most viable and beneficial use of a property that is legally permissible, physically possible, financially feasible, and maximally productive. This definition encompasses the idea that the use must not only be legal under zoning and land use regulations but also practical given the physical characteristics of the property and its market conditions.

When considering the correct choice, the emphasis on both legal permission and the possibility of use illustrates how crucial it is to understand that the highest and best use must align with local laws and the physical attributes of the land. This is why a legal and possible use is considered the best description of this concept.

Other options do not align as well with the definition. The idea of the least investment might exclude potentially more lucrative uses that require initial funding but could yield a higher return. Focusing on maximum costs fails to recognize that highest and best use should maximize the return rather than emphasize expenses. Lastly, a use that is overly restrictive does not consider the potential for greater value that might arise from more flexible options. Thus, the most accurate representation of "highest and best use" is indeed a legal and possible use.