Includes bibliographical references and index.

Preface -- 1 The economics of property value -- 1.1 Introduction -- 1.2 Microeconomic concepts -- 1.2.1 Supply and demand, markets and equilibrium price determination -- 1.2.2 The property market and price determination -- 1.2.3 Location and land use -- 1.3 Macroeconomic concepts -- 1.3.1 The commercial property market -- 1.3.2 Property occupation -- 1.3.3 Property investment -- 1.3.4 Property development -- 1.3.5 Macroeconomic cycles -- Appendix 1A Measuring property investment performance -- 2 Property valuation principles -- 2.1 Introduction -- 2.2 What is valuation? -- 2.2.1 The need for valuations -- 2.2.2 Types of properties that need to be valued -- 2.2.3 Bases of value -- 2.3 Determinants of value -- 2.3.1 Property-specific factors -- 2.3.2 Market-related factors -- 2.4 Valuation mathematics -- 2.4.1 The time value of money -- 2.4.2 Yields and rates of return -- 2.5 Valuation process -- 2.5.1 Specific valuation standards -- 2.5.2 Measurement -- Appendix 2A Inspection checklist -- Appendix 2B Specimen report for the valuation of an office -- 3 Property valuation methods -- 3.1 Introduction -- 3.2 Comparison method -- 3.2.1 Sources of data -- 3.2.2 Units of comparison -- 3.2.3 Comparison adjustment -- 3.3 Investment method -- 3.3.1 Valuation of rack-rented freehold property investments -- 3.3.2 Valuation of reversionary freehold property investments -- 3.3.3 Valuation of leasehold property investments -- 3.3.4 Investment method case study - valuation of an edge-of-town office building -- 3.4 Profits method -- 3.5 Residual method -- 3.6 Replacement cost method -- 3.7 Summary -- Appendix 3A Alternative methods of calculating an equivalent yield -- 4 Property occupation valuation -- 4.1 Introduction -- 4.2 Rental valuations at lease commencement and at rent reviews -- 4.2.1 Rent-free periods -- 4.2.2 Premiums and reverse premiums -- 4.2.3 Capital contributions -- 4.2.4 Stepped rents -- 4.2.5 Short leases and leases with break options -- 4.2.6 Turnover rents -- 4.3 Valuations at lease end or lease renewal -- 4.3.1 Landlord and tenant legislation valuations -- 4.3.2 Surrender and renewal of leases -- 4.4 Capital valuations for financial reporting -- 4.4.1 International financial reporting standards -- 4.4.2 UK financial reporting standards -- 4.4.3 Methods of valuing property assets for financial reporting purposes -- 4.5 Valuations for loan security -- 4.6 Valuations for tax purposes -- 4.6.1 Capital gains tax -- 4.6.2 Inheritance tax -- 4.6.3 Business rates -- 4.7 Valuations for compulsory purchase and compensation -- 4.7.1 Compensation for land taken -- 4.7.2 Severance and injurious affection -- 4.7.3 Disturbance compensation -- 4.7.4 Planning compensation -- 4.7.5 A note on CGT and compensation for compulsory acquisition -- 4.8 Valuation of contaminated land -- 5 Property investment valuation -- 5.1 Introduction -- 5.2 A discounted cash-flow (DCF) valuation model -- 5.2.1 Constructing a DCF valuation model -- 5.2.2 Key variables in the DCF valuation model.