Loan Security Valuation

Question 1

How do you calculate WAULT?

Answer 1

Multiply the current rent by the remaining lease term for each of the tenants

Sum the total of results from those respective figures

divide this sum by the total annual rent for the whole property

Question 2

Can yo tell me about your valuation example in gosfield? what advice did you give to client

Answer 2

residential development site with full planning for 19 units.
Suitable for loan security, although i highlighted that the units were relatively large in a good location

Question 3

what is a reinstatement cost

Answer 3

cost of how much it would take for it to be rebuilt if it were completely destroyed.

Question 4

can you tell me about your instruction in dagenham?

Answer 4

term and reversion - under rented property - single unit

Question 5

can you tell me about your valuation in south woodford?

Answer 5

multi-let industrial property - WAULT - demand for industrial buildings high - opp to strengthen income stream

Question 6

can you tell me about your valuation in colchester?

Answer 6

23 units in colchester - outskirts of colchester - near the a12, so may not get a high level of interest.
opportunitity to extend planning and get more units