Residual Land Value Analysis

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www.western-valuers.com

Land Valuation The Value of land for development depends on a number of factors. For example, what can be built there and what likelihood is that planning permission would be granted. Also, there is a myriad of potential costs in development, so assessing these carefully helps determine the costs related to the plans.

The

valuation of raw land presents unique

challenges.

A

reasonable expectation for a developers profit will vary depending on the scale and location of the development

Land valuation process essentially consists of two parts: Determining the highest and best use for the land Applying the appropriate valuation technique

Valuation Methodology

How We Can Help Western Valuers can provide a residual land valuation detailed report along with sensitivity analysis to help our clients understand the options available to them and the implications of each.

Western-valuers.com

There are two recognised approaches to the valuation of development land: The Comparison method- comparison with the sale price of land for comparable development The residual method – which involves an assessment of the value of the scheme as completed and deduction of the costs of development (including developer’s profit) to arrive at the underlying land value.

Info@western-valuers.com

+971 4 220 8174


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