Valuation and Investment Appraisal

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1. BRIEF

 

You are acting for a client who wishes to acquire a single property as an investment.

 

1. You are required to select a suitable commercial property and produce a valuation report advising the client on the capital and rental value of the property, assessing its suitability as an investment. You should append a fully annotated investment valuation to your report showing how you arrived at your capital valuation.

 

The property is intended to be a real property but you are not required to carry out an inspection nor should you seek to gain access to the property or the agents, occupiers, owners etc. You will need to make any appropriate assumptions and these should be stated in the report.

 

You may use a property that is currently on the market for sale and in this case you should advise on the appropriateness of the current asking price.

 

P.T.O.

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2. The property you select should conform to the following criteria:

 

·      It should be commercial i.e. not domestic

·      The property should be capable of being sold as an investment in other words it should either have an existing tenant or be capable of being let to a tenant.

·      Please avoid derelict properties or other development opportunities as it is unlikely that the investment method of valuation is appropriate in these circumstances.

·      It is recommended that you choose a freehold or long leasehold property.

·      Avoid complex leases or properties with large numbers of existing tenants.

 

 

2. SUBMISSION REQUIREMENTS

 

FORMAT The assignment is to be submitted in report format and as such should have a formal structure and layout. It should be submitted as a single document.  

 

LENGTH The coursework should not exceed 2500 words, excluding Appendix and Reference list. 

 

REFERNCING  All submissions shall have a bibliography of references and sources used in the preparation of the project. The Harvard style of referencing must be used.