Using Commercial Valuations

A commercial property purchase can provide the solid investment people from all walks of life crave. Even in today’s uncertain marketplace – where the cost of living threatens to derail progress in countless industry sectors – a commercial property investment promises a valuable commodity that can be utilised to turn a profit in the short or long term. 

The ongoing popularity of longer leases and the fewer repair and maintenance demands that tend to be made by commercial tenants constitute other factors that make commercial property a great step forward for new and established investors. As commercial property estate agents with decades of experience serving investors throughout Staffordshire, Cheshire and Shropshire, we are here for you at every stage of commercial property investment. 

Our commercial property estate agents not only provide advice and support with all-important property management, they deliver the commercial valuations investors need to make the right decisions as they start or grow their portfolios. But what are commercial valuations and why are commercial valuations important for investors everywhere? In this blog post, our commercial property estate agents answer these vital questions. 

What are commercial valuations?

In short, commercial valuations are impartial evaluations of the value of commercial premises. They should be undertaken by a Chartered Surveyor, who is governed and regulated by the strict code of conduct set out by the Royal Institution of Chartered Surveyors (RICS), just like the surveyors who call our commercial property estate agents their home. These recommended types of commercial valuations are known as ‘Red Book’ valuations, and are applicable to both commercial premises and residential dwellings.

Using commercial valuations, our clients can accurately determine how much a property is worth in the current marketplace. By enlisting a surveyor to undertake your commercial valuations, you can ensure that assets not only represent sound investments but are fairly priced.

Who needs a commercial valuation?

Commercial valuations aren’t just useful for prospective buyers or investors. Commercial valuations are used widely when a property is sold, leased, developed, mortgaged, taxed or insured by various parties including buyers, sellers, property management specialists and other professionals. 

With this in mind, the commercial valuations provided by our commercial property estate agents can be used to determine a fair sale or lease price, renegotiate rent for commercial tenants, obtain finance to fund the purchase or renovation of a commercial property, value your assets for business purposes, or gain the correct insurance for your commercial property. 

Why should I get a commercial valuation?

There are countless benefits that go hand-in-hand with commercial valuations. By working with our commercial property estate agents and commissioning our Chartered Surveyors to complete commercial valuations, you’ll benefit from gaining an independent opinion that will help you take your next steps into the commercial property sector with confidence. 

Whether you’re purchasing, selling or leasing a commercial property, we understand that it’s vital that you move forward at a fair price. By using commercial valuations to establish the market value of the property, you can decide how much to pay, list or lease for at a price point that reflects the property’s true worth. 

The advantages of commercial valuations don’t end there. By commissioning commercial valuations, you’ll have the professional support you need to save precious time and resources, whether you’re purchasing, renting or selling a commercial property for your business or as an investor.

What do commercial valuations involve? 

Having access to the complete picture of a commercial property is a must, and with commercial valuations, you can find out all you need to know about a potential commercial investment. This includes the property’s condition, build date or era, construction, size, and accessibility. Other factors that are considered when determining the value of a property via a commercial valuation include its location. The Chartered Surveyors at our commercial property estate agents will analyse the desirability of the area and its access to amenities and travel links.  

In addition to conducting a visual inspection of the building, its grounds and the surrounding area, our RICS valuers will examine the sale or rental prices of similar properties within the area to determine a realistic valuation.

For commercial properties consisting of multiple units, many surveyors use the ‘value per door’ method to delve deeper into the value of each unit rather than the entire commercial property. For occupied units, the revenue of the businesses operating within can provide a more accurate approach when undertaking commercial valuations. Value per door commercial valuations can be particularly insightful for investors looking to establish the potential income and/or sales activity of a commercial investment.

How do I get started with commercial valuations?

If you’re an investor or business looking to gain a better understanding of a commercial property, you’ve come to the right place. Our commercial property estate agents have an enviable reputation delivering commercial valuations, and do so to the highest standards. 

We have been providing commercial valuations for a number of years in accordance with RICS Valuation Standards to ensure landlords, investors and purchasers have the support they need. Our commercial property estate agents have even led commercial valuations to determine the value of specialist properties (such as public houses, petrol stations, nightclubs and restaurants) as well as shops, offices, warehouses, industrial units, land and development sites.

For further information regarding our commercial valuations service or to book your commercial valuation, please contact our commercial property estate agents today.