Property Access Services

Property Access offers valuation services to advise our clients on market value of assets for various purposes including:  

• Sale or purchase to inform the sale or purchase price of real estate assets.
• Rental assessment to determine the rent chargeable for commercial, residential and industrial properties.
• Mortgage for assets used as collateral to secure credit from financial institutions.
• Compensation for land, improvements and livelihoods impacted by large scale and infrastructure projects by companies preparing and implementing compensation plans, resettlement action plans and for property owners affected by compulsory acquisition. Compulsory acquisition is the power of the state to deprive or gain any title or other interest in private properties for public purposes. 
• Insurance to determine the value that a property should be insured.

Market Value:

Market value is defined as the estimated amount for which a property should exchange on the date of valuation between a willing buyer and a willing seller in an arm’s length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently and without compulsion. Market Value of a property may be arrived at using the following methodologies:

Investment Approach (Capitalization Approach)

The investment approach is based on a traditional valuation theory, whereby a forecast of incomes associated with the property is capitalized in perpetuity to arrive at the market value of the property. This method is subjective and only good for use when actual market data is available.

Contractors’ Approach (Depreciated Replacement Cost Approach)

The contractors’ approach involves the assessment of the value of land for the existing use (based on the direct comparison of sales of vacant land/development sites) added to the depreciated replacement cost of the buildings and other site works. Depreciated replacement cost is arrived at from deductions made to allow for age, condition, economic or functional obsolescence and environmental factors. The replacement cost of the buildings and site works is assessed based on analysis of having regard to market evidence, often on a rate per area basis (i.e. rate per square foot or per square meter).

Direct Market Comparison Approach (Comparable Sales Approach)

The Comparison Approach involves comparison of the property to be valued with actual sales transactions that have occurred. These comparisons are made in forms of either straight comparison, or analysis per square foot or per square meter or rate per acre of similar properties. The sales price and the physical, functional and location attributes of each of the properties are compared to the property under consideration to arrive at an estimate of value.