The study demonstrates the methodological approach to the determination of the upper limit of land value and analyzes the influence of the mode of determination of the economic effect of land use and the level of ground waters on its amount. A model was developed based on the business results of an agricultural enterprise involved in a field crop/livestock production over the past few years, which had planned to erect a drainage system in order to manage the excess of water on the available land area. In addition, a methodological approach to the determination of the land output value, i.e. the upper limit of its value was used as well. The need was stressed to start from the maximal economic effect obtained by optimizing production when determining the level. The mode of its determination under the conditions prior to and following land drainage was given as well.