methods of real property development?
how are real properties developed?
- 7 years agoFavorite Answer
the first link (below) directs you to a Canadian version of REAL PROPERTY DEVELOPMENT HANDBOOK
second link Real Property Development Planning Procedures for The Army National GuardSource(s): http://legion.ca/_PDF/Manuals/RealProperty_e.pdf http://www.ngbpdc.ngb.army.mil/pubs/210/ngbpam210_...
- Anonymous5 years ago
to estimate the value of a property that is being held for development, or is to be offered for sale, as well as being adapted to estimate the anticipated profit from a development project. In practice, it is the principal means of development analysis and is widely adopted as the basis for setting up the budget for most development projects. The residual method of valuation, by its nature, is based on a considerable number of variables (rent, investment yield, construction costs, building period, letting or sales period, finance costs, fees, property taxes and all other ancillary costs) and these must be assessed on the basis of the valuer’s expectations of the future. Thus, it is a highly subjective method of valuation and should be used with caution.
It has been said, in connection with an application to the Lands Tribunal to determine compulsory purchase compensation, that “it is a feature of the residual valuation that comparatively minor adjustments to the constituent figures can have a major effect on results …” and “once valuers are let loose on residual valuations, however honest the valuers and however reasoned their argument they can prove almost anything”, First Garden City Ltd v Letchworth Garden City Corporation (1966) 200 EG 123, 460. Accordingly, the residual valuation will be accepted by the Lands Tribunal as a method of ‘last resort’. .....Property Management BendigoSource(s): http://www.ethanresidential.com.au/bendigo/