Commercial Property Valuation Case Studies
The client required an urgent valuation of a large, purpose-built, Childcare Centre to meet finance requirements for a potential Sale & Purchase Agreement and subsequent quick settlement.
By the following day Prendos had completed an inspection of the property, reviewed the property file and lease details and analysed the comparable rental and sales data. A full report was prepared within two days and submitted to the lender.
The bank was then able to make a rapid lending decision based on the prompt and very well supported valuation advice from Prendos. The Sale & Purchase Agreement immediately went unconditional and settlement occurred within two weeks, to the delight of all parties involved.
Compulsory Acquisition Valuations
Waterview Tunnel Project
Numerous private clients had approached Prendos to provide valuation advice on compensation resulting from the land taking associated with the motorway tunnel proposed through Waterview. Land was to be compulsorily acquired by the Crown (Transit) under the affected parties property in a complicated sub-strata title and restrictive covenant arrangement.
Prendos inspected and valued over 30 residential properties which were affected by the proposed motorway land taking. Properties were valued on a "before and after" basis as required under the Public Works Act to determine what level of compensation was appropriate for the taking of land beneath their property for the future tunnel. Research into similar tunnel projects and associated compensation paid to affected parties was conducted both locally and internationally (Australia, UK and USA). Case law was investigated to determine other value effects from sub strata acquisition.
Settlement conferences and negotiations were held on behalf of each affected owner to resolve valuation differences and in each case a more favourable compensation amount was achieved from that originally offered.
Client BriefAs a major tenant in Auckland's Viaduct Harbour, our client was facing a very substantial uplift in rental at a biennial rent review. Being a restaurateur, our client was very concerned about the viability of his business, as he was also required to pay high outgoings which included Body Corporate fees and ground rent.
SolutionPrendos conducted a thorough review of the lease terms, premises and rental market. We found strong rental evidence indicating that an increase in net rent could not be justified, particularly in light of the significant increase in overall costs the tenant already had to endure from higher outgoings.
OutcomePre arbitration meetings and negotiations resolved a delicate situation with a very favourable outcome for the tenant. A negligible increase in rental was finally agreed on. The tenant was able to refute the landlord's claims.
Prendos’ valuers provide owners and occupiers of commercial, industrial and retail properties with a full range of commercial property valuation services throughout the greater Auckland, Bay of Plenty, Wellington and Christchurch regions.
The highly experienced team has extensive market knowledge and uses the latest researched market information to provide accurate and timely advice on commercial property acquisition, occupation, development and disposal.
Our services include:
- Pre-purchase and pre-sale valuations
- Insurance valuations
- Asset and chattel valuations
- Market rental information
- Rent reviews
- New lease and lease renewal negotiations
- Yields advice
- Loan approvals and refinancing valuations
- Redevelopment feasibility assessments
- Asset revaluations
- Arbitration and rental dispute
- Compensation valuations
- Ownership options assessments and advice
- Lettable area assessments
- Depreciation assessments
- Chattels and fitout for tax purposes
- Advisory and due diligence
- Specialised asset valuations and going concerns
- Leasehold and lessees interest assessments
- Expert evidence in court
- Financial reporting
- Financial restructuring and asset recovery
- Subdivision advice and valuations
If you would like to know more about our commercial property valuation services please contact us or fill in the form below and we’ll contact you: