A well-maintained structure will also increase in value because the cost of material to replace it increases over time. It should track inflation pretty closely, but that's not always the case.
It also sounds like you're basing your statement on your tax assessment, which implies that your tax assessor has correctly allocated the value increase to the appropriate category. That has not been the case very frequently in my personal experience.
No, I'm not doing that either. I watch lot prices pretty closely in the same areas I own property. Lot pricing (acreage) in this market didn't move much during or since the pandemic. Meanwhile 1000sq ft single family homes built in the 60s and in desperate need of restoration are currently selling in the 180k-250k range, whereas pre-pandemic I could buy as many as I could handle for less than a hundred grand a pop. Meanwhile the cost of a quarter acre building lot has nudged upwards maybe 10%. I'm guessing something about this strikes you as weird, thus the assumption that I don't know what I'm about? I don't have a cogent explanation to offer you for the vagaries of local real estate prices, I'm just reporting the facts on the ground.
It also sounds like you're basing your statement on your tax assessment, which implies that your tax assessor has correctly allocated the value increase to the appropriate category. That has not been the case very frequently in my personal experience.