I have long been a believer in these types of search phrases as almost all of my clients work in local/regional markets and or very tertiary niches. Google Maps or Yahoo Local really limit a business to one city or town (and not necessarily the market dominant town) unless they have multiple storefront locations (which in the long run will drive Local PPC).
What resource (ie Overture) did you use to pick these phrases? and what was your minimum criteria in terms of previous searches to build a page? And did you find a direct correlation between the highest searches in Overture (or whereever your research was done) and searches that were actually responded to? Would you provide an example of the geotargeted phrases you used?
Why do you refer to it as spam? If the locations and the service are truly served than it really isn't spam.
Mike
Hate to be a dummy but what does
DD stand for?