Valuations on commercial property may be required for many different reasons. These commonly include due diligence in acquisition or disposal transactions, loan security, pension fund management, Inheritance Tax or Capital Gains Tax purposes.
In addition to providing valuable and accurate information, Valuation Reports on commercial properties may also have a number of other benefits. For example, a report may highlight a rent review opportunity for the property owner. There is an inextricable link between rent and property value, and in the event that a rent review is outstanding, the report could provide evidence for an increase.
If using a local independent firm of Chartered Surveyors, they may also be able to provide invaluable insight into the commercial property market. They might be able to recommend redevelopment or alterations that could enhance the property’s value further, or widen its appeal to prospective tenants in the current market.
Although not a detailed condition report, a Valuation Report undertaken by a Chartered Surveyor could also take note of potential property maintenance or repair issues. Other statutory compliance issues which may affect the property’s current or future value may also be identified during the course of the Surveyor’s investigations.
Valuations for commercial purposes will often have important consequences for the businesses/parties involved and this is the reason that in most instances, only the services of a RICS Registered Valuer can be employed.
The process of undertaking a Valuation Report involves a number of stages; a professional Valuer will need to visit, inspect and measure the property, source and obtain relevant documentation – such as leases or plans. They will also undertake desktop research into comparable properties, the property’s planning history, rateable values, and any other statutory compliance issues which may affect the property’s current or future value.
Our reports are thoroughly researched and take several hours to produce. A typical report is up to 20 pages in length, containing evidence and explanations of how the valuation has been reached.
They can be tailored to meet the specific requirements of clients and the purposes for the Valuation.
In addition to Valuation Reports on single properties, we are also regularly instructed to undertake Valuations on portfolios of properties as well as larger-scale Asset Valuations across multiple properties for accounting purposes.
For more information or to obtain a quote for a Commercial Property Valuation, please get in touch with our team.