The intent of the location valuation factor is to incentivize the purchase of products that

The location valuation factor is a concept that applies to several credits under the Materials and Resources credit category in LEED v4. It means that if the purchased products or materials are extracted, manufactured, and purchased within 100 miles (160 kilometers) of the project, LEED will award the project in the credit calculations by valuing those products at 200% of their cost1. This is to incentivize the purchase of products that reduce transportation emissions and environmental impacts associated with long-distance shipping2.

 2 LEED v4: Building Design + Construction Guide, Materials and Resources, p. 487-4881 LEED 2009 vs. LEED v4: Regional Materials - LaForce, LLC.