Things I forget Flashcards
(80 cards)
1
Q
What is Professional Indemnity Insurance?
A
- Mandatory insurance that protects clients, surveyors and third parties against negligence where a duty of care is breaches
- All members must ensure they have adequate and appropriate insurance in place for each construction
- PII must be underwritten by an RICS approved insurer
2
Q
What is Professional Indemnity Insurance?
A
to in the preceding year MIN PI COVER
- <100,000 250,000 cover
- <100,001 – 200000 500,000 cover
- <200,001 1 million cover
o Buy from specialist insurer recommended by RICS (e.g., Miller Insurance
* Services)
o Assigned Risks Pool – short term cover provided by RICS for regulated
* members who are unable to gain cover elsewhere.
o On each claim basis
o Retroactive claims made basis
o Run off cover (6 years)
o Full civil liability
Uninsured Excess
Firms Turnover Max uninsured Excess
Up to 10 mill Greater of 2.5% or £10k
Over 10 mill no set limit
3
Q
What is the Bribery Act, 2010?
A
- Legislation covering bribery policed by the Serious Fraud Office
- SIX key principles:
1. Proportionality
2. Top level commitment
3. Risk assessment
4. Due diligence
5. Communication
6. Monitoring and review - 4 offences:
o Giving a bribe
o Receiving a bribe
o Bribing a foreign public official
o Failing to prevent bribery - Maximum of 10 years’ imprisonment and/or an unlimited fine.
- In 2016 Sweett Group were fined £2.25m in 2016 for failing to prevent a bribe in relation to their activities in the UAE. Additionally fined by RICS for £125,000.
4
Q
Tell me about Terms of Engagement?
A
- Terms of engagement are a written agreement of the client’s acceptance of proposed fee basis, payment of expenses and that a complaint handling procedure can be made available upon request
- There are THREE steps to follow for ToEs:
o Check professional competence
o No conflicts of interests or personal interest
o Confirm terms of engagement in writing and get written approval for the client BEFORE starting work
5
Q
What is included within terms of engagements for a valuation? (VPS 1)
A
- The minimum inclusions that must be in terms of engagement issued PRIOR to commencing a RBG valuation are:
o Identification and status of valuer (internal, external)
o Identification of client
o Identification of any other intended users/parties (ex. Client needs valuation to provide to lender?)
o Identification of asset to be valued (if portfolio, consider lotting assets)
o Currency
o Purpose of Valuation (Loan Sec, Tax Return, Financial Reporting)
o Basis of value (market, cost, income)
o Extent of investigation (did you inspect and measure or desktop)
o Nature and source of information to be relied upon (from client etc.)
o Assumptions and special assumptions (Assuming VP or planning permission at date of valuation.) Special assumptions are assumptions taken to be true and accepted as fact, even though not true and must be agreed in writing at commencement of instruction.
o Format of report
o Restrictions for use, distribution and publication
o Confirmation of compliance with RBG and IVS
o Fee basis
o Complaints handling procedure to me made available
o Statement that the valuation may be subject to compliance by the RICS
o Limitation on liability agreed
6
Q
What are the types of conflict of interest?
A
- There are three types of conflicts of interest
- A ‘Party Conflict’ – working on the same instruction for two different parties
- An ‘Own Interest Conflict’ – relating to a personal interest
- A ‘Confidential Information Conflict’ – relating to work between parties that is confidential
7
Q
What is a balance sheet?
A
- Statement of financial position of a company showing its assets and liabilities at a given date, usually the end of a financial year
- Assets can include cash, property, debtors and other investments held
- Liabilities can include borrowings, overdrafts, loans and creditors
- Balance sheet provides a snapshot of how effectively a company is using its resources
8
Q
What is a profit and loss account?
A
- A summary of the business’ income and expenditure transactions, prepared usually on an annual basis
- Provides information on whether a company can generate profit by increasing revenue and reducing costs or both
9
Q
What is a cash flow statement?
A
- A cash flow statement shows all the actual receipts and expenditure to include VAT
- Shows cash flow from operations, investment and financing
10
Q
Data Protection Act 2018 – why was this introduced? What do you do to ensure good practice at work?
A
- The EUs GDPR no longer applies in the UK, but was almost entirely transcribed into the UK GDPR.
- UK GDPR is supplemented by the Data Protection Act 2018. This combined regime replaces the Data Protection act 1998 and relates to personal data.
- It aims to create a single data protection regime affecting business and empower individuals to take control of how their data is used for third parties.
- It gives people rights to be informed about how their personal information is used.
11
Q
Data Protection Act 2018 – 6 Principles of Data Protection
A
- P – Processed Fairly & Lawfully
- L – Not kept Longer than necessary
- A – Adequate and limited to what is necessary
- A – Accurate & up to date
- R – Relevant
- S – Kept Securely
12
Q
What is BREEAM?
A
- The building research establishment environmental assessment method
- Covers:
o Energy and water use
o Health and wellbeing
o Pollution
o Transport
o Materials
o Waste
o Ecology and management processes - Rates buildings on a scale of ‘Pass, good, Very Good, Excellent and Outstanding’
13
Q
Types of Damp
A
- Wet rot – caused by damp and timber decay, a high meter reading visbal fungal and musty snell.
- Dry Rot – caused by fungal attack. Mycelium, fluffy white strands and large orange mushroom like floating bodies. Strong smell and red spores cracking paintwork and cuboidal cracking/crumbling of dry timber which can destroy timber and masonry.
- Rising damp – stops around 1.5 meters
- Condensation – caused by lack of ventilation and background heating. Signs include smell mould and streaming windows on inside of windows
14
Q
Explain the Hierarchy of evidence?
A
- Open market lettings
- Lease renewals
- Rent reviews
- 3rd party determinations
- Sale and Leasebacks
- Intercompany transactions
15
Q
Yields
A
- ARY = yield that reflects all risks attached to the investment
- True Yield = assumes rent paid in advance
- Nominal Yield = assumes rent is paid in arrears
- Gross Yield = yield not adjusted for purchaser’s costs
- Net Yield = yield adjusted for PC’s
- Equivalent Yield = average weighted yield when a reversionary property is valued using an initial and reversionary yield
- IY = current income and current price
- RY = Market Rent divided by current price
Running Yield = a yield at any moment in time.
16
Q
What are Heads of Terms?
A
- A document outlining the key points of a lease to be negotiated or agreed between a landlord and prospective tenant prior to agreement of any formal legal missives and signing of a lease
- HoTs are not legally binding
- Contents are important as they shall dictate the provisions within the lease
17
Q
What might be included in a typical set of Heads of Terms for a lease?
A
- Landlord entity
- Proposed Tenant
- Solicitor’s details for both parties
- Agent’s details for both parties where applicable
- The subject property/demise
- Size of property – if this is accepted or to be verified via measurement/joint
measurement - Rent
- Incentive
- Deposits
- Service Charge
- Insurance
- LBTT & Registration fees
- Business rates
- Any additions such as parking or storage
- Alienation
- Alteration
- Permitted use
- Date of Entry
- Legal Costs
- Any necessary approvals (LL board approval)
- Writing (Scotland) Act 1995 – rules about which rights may be constituted orally and which require writing
18
Q
What things do you consider when assessing the strength of a tenant’s covenant?
A
- Usually request the past 3 years’ audited accounts
- Bank account information and trade references
- Previous landlord’s reference where applicable
- Credit check
19
Q
What do you use to check credit of a tenant?
A
- My firm primarily use Dunn and Broadstreet software which assesses a potential tenant’s, accounts and assigns a financial strength rating 5A, 4A, 3A, 2A, 1A, A, B ,C , D,E , F, G , H.
- It also assigns a risk rating between 1 and 4 with 1 being the lowest (minimal risk) and 4 (significant level of risk).
20
Q
What do you look for when reviewing a prospective tenant’s accounts?
A
- Use the profits tests:
o Net profit of the business is 3 times the annual rent for 3 consecutive years
o Net asset value of the business is more than 5 times the value of the rent
21
Q
Do you need planning permission for a board advising sale/let; what size of boards are allowed
A
- As per the Town and Country Planning (Control of Advertisements) 1984
o Size – planning permission is required for flat boards over 2 sq m and for v angle boards over 2.3 sq m
o One board per building
o Must not project out more than 1 metre and not more than 4.6m above the ground
o Planning required for illuminated boards, remote boards and those on listed buildings and in conservation areas
o Must be removed 14 days after completion
o Must have owner’s permission to erect
o Policed by local planning authority - Boards can be installed without permission:
- flat boards – 5x4 ft
- V angles – 3 x 4 ft
- Boards under 4.5m height
22
Q
Development Appraisal vs Residual Valuation
A
DA – Calculations to establish the viability of a scheme. Generally using investor specific inputs. Not RB compliant. GDV – TDC – Finance costs – Land value = Profit
RV – Uses market assumptions to establish site value, form of dev appraisal, one point in time. Formal val used in accordance with RB. GDV – TDC – Finance Costs – Developers Profit = Land Value
23
Q
Finance
A
Bank of England increased the base rate to 5.25% in August 2023.
Choice of interest rate can include:
* The current SONIA rate (Sterling Overnight Index Average)
* Bank of England Base Rtae plus a premium
* Rate at which the developer can borrow the money.
Was 5-6% however with the rise in interest rates this has went up and have used 7% in the two examples I have
24
Q
RICS Rules of Conduct 2021
A
5 Rules of Conduct
1) Act with Integrity – be honest and comply to personal and RICS obligations
2) Maintain Professional Competency – ensure individuals are competent and experienced
3) Provide good quality and diligent service
4) Treat others with respect – encourage diversity and inclusion
5) Take responsibility – be accountable for your actions and be prepared to act if necessary. Prevent harm and maintain public confidence
25
Mandatory Professional Obligations
* Appendix A Rules of Conduct – sets out professional obligations
RICS Members must:
* Comply with CPD requirements (min. 20 hours per year, 10 hours must be formal)
* Cooperate with RICS
* Promptly provide all necessary information reasonably requested by the Standards and Regulation Board
26
Mandatory Professional Obligations
RICS Regulated firms must:
1) Publish complaints handling procedure, inc. alternative dispute resolution and maintain a complaints log
2) Have adequate professional indemnity insurance (PII)
3) If a sole principal, make appropriate arrangements for their professional works to continue to the event their incapacity, death or absence
4) Cooperate with RICS
5) Promptly provide all necessary information reasonably requested by the Standards and Regulation Board
6) Designation on business literature that they are RICS regulated
7) Report to RICS any matter under Rules for the Registration of Firms
27
Rationale for developing new Rules of Conduct
* A simpler structure – easier to understand
* Clear examples – shows real life applications
* Focuses on respect, diversity, and inclusion
* Understanding evolving technology
* Tackling global challenges – sustainability development
28
Terms of Engagement
Must state:
* Proposed fee basis
* Payment of expenses (and how calculated)
* Firms complaints handling procedure available on request
3 steps to follow:
1) Check professionally competent
2) No conflicts of interest or personal interests
3) Confirm Terms of Engagement in writing prior to the commencement of works
Agency work complies to:
1) Section 18 of the Estate Agents Act 1979
2) Money Laundering Regulations, 2017
3) Consumer Rights Act, 2015 – cooling off period of 14 days from the date of agreement
29
Starting a new practice
RICS Compliance
* Inform RICS
* Appoint a Responsible Principal for all RICS communication
* Register with RICS
* Arrange PII and get approval from RICS
* Set up procedures e.g. client handling money
* Register for RICS Valuer Scheme (VRS) if undertaking valuations
* Obtain RICS approval for CHP
* Set up a complaints log
* Appoint a complaint handling officer
* Use a logo kit from the RICS for all practice material to comply with the designation ‘Regulated by RICS’
* Log CPD on RICS CPD Management system
* Complete RICS annual return each year
30
Closing a Practice
RICS Compliance
* Inform the RICS
* Ensure the clients are informed at the earliest opportunity and hand over arrangements made to the new firm
* Return any monies held by clients to their own accounts
* Inform your insurers and procure professional indemnity run off cover for a minimum of 6 years
* Retain a copy of files and record for a minimum of 6 years
31
Bribery Act 2010
* Aims to reduce bribery in businesses
* A bribe can be giving, offering, promising, or receiving of an advantage e.g. payment or gift
Based on 6 key principles:
1) Proportionality
2) Top level commitment
3) Risk assessment
4) Due diligence
5) Communication
6) Monitoring and review
32
Money Laundering, Terrorist Financing and Transfer of Funds Regulations,2019
* Money laundering is when proceeds of criminal activities are disguised or converted and then realised as legitimate assets
Key Provisions of the Regulation:
* Written money laundering and terrorist risk assessment
* Implement systems, policies, controls, and procedures
* Staff training
* New customer due diligence requirements
* Comply with the requirements relating to politically exposed persons (PEPs)
* Ensure appropriate record keeping, policies and procedures
* AML checks to confirm identity of purchaser and check source of funds
* To include additional high-risk factors when assessing the need for enhanced due diligence
33
Money Laundering, Terrorist Financing and Transfer of Funds Regulations, 2019
Three levels of Due Diligence checks
Customer Due Diligence (CDD)
* Identify the client with passport or driving licence
* Identify the beneficial owners of the client
* For a company, its name, company number and register address
* The name of the directors (unless on London Stock Exchange)
Enhanced Due Diligence (EDD)
* Additional procedures required for business relationships with ‘Politically Exposed Person or a PEP family member / business associate
* PEP is a term describing someone who has been entrusted with a prominent public function
* PEP presents higher risk for potential involvement in bribery and corruption by virtue of their position and influence they may hold
34
Money Laundering, Terrorist Financing and Transfer of Funds Regulations, 2019
Other key requirements of the regulation:
* Firms must register with HMRC annually
* Limit of 10,000 euros for acceptance in cash
* Monitor ongoing business relationship
* A nominated person must be appointed to report any suspicions to the National Crime Agency
* Maintain records for a minimum of 5 years
35
Money Laundering, Terrorist Financing and Transfer of Funds Regulations, 2019
Typical requirement for CDD checks:
Typical requirement for CDD checks:
* Public Limited Company – London Stock Exchange Listing
* Publicly Accountable Body - Government Ownership / Control
* Private Limited Company – Certification of incorporation, full name, registered number and office, business address, name of all directors and names of all shareholder with 25% or more
* Private Individual – Copy of passport or driving licence, bank statement, credit card bill, council tax statement or utility bill to show proof of address (not more than 3 months old)
36
Define MV? *
1) Market Value
The estimated amount for which an asset or liability should exchange
o On the valuation date
o Between a willing buyer and a willing seller
o In an arm’s length transaction
o After proper marketing
o When the parties had each acted knowledgably, prudently and without compulsion
37
What is the Red Book and how does this impact your practice?
Set of global valuation standards created to achieve high standards of integrity, clarity and objectivity in adopting valuation best practice.
1. Introduction
2. Glossary
3. Professional Standards
4. Valuation technical and performance standards (VPS)
5. Valuations applications (VPGA)
The International Valuation Standards (IVS)
Ensures consistency and reduces ambiguity in valuation.
38
What does the Estate Agents Act 1979 cover? *
- Applies to individuals and firms, governed by the Trading Standard Offices of the local authority:
o Clarity – as to the terms of agency (section 18)
o Honesty and accuracy
o Agreement and liability for costs
o Openness – regarding personal interest (section 21)
o Absence of discrimination
o Legal obligation to tell client about offers received
o Keep client’s money separate
39
Tell me about the Consumer Protection Regulations?
- Consumer Protection Against Unfair Trading Regulations, 2018
o These apply to all agency work – sales, lettings, online agency
o Principle-based regulations offering protection to all consumers in business to consumer activities
o Agents have a duty of care
o Agents must declare everything known about a property
o Agents must not exert undue pressure on buyers
o If information is discovered during the agency process, must be disclosed to all parties
o Any omissions can lead to a breach
o Full due diligence is required on all new instructions and must be verified by the client
o Policed by Trading Standards Office
o Disclaimers do not apply to this criminal offence
- There are also Business Protection from Misleading Marketing Regulations, 2008 which apply to business to business activities
40
What is the Misrepresentation Act?
- The Misrepresentation Act 1967
o Relates to the misrepresentation or false statement of fact made by a party during pre-contractual enquiries
o The vendor and/or agent can be sued for damages and contract rescinded
o It is a civil office – actionable as tort
o Misrepresentation can be fraudulent, innocent or negligent
o Agent has a duty of care to check advice, information and opinion is reliable
o Exclusion/disclaimer may protect vendor and their agent if fair and reasonable
o Hedley Byrne Co Ltd v Heller Partners (1964) created THREE tests to decide an agent’s liability for negligent claims:
1. Forseeability – the damage was reasonable foreseeable
2. Proximity – relationship can be characterised in law as being sufficiently proximate
3. Fairness – it is regarded as fair, just and reasonable for such a duty of care to arise
41
What are the LBTT bands?
- For purchases:
o Up to £150,000 – 0%
o £150,001-£250,000 – 1%
o Over £250,000 – 5%
- For Leases:
o Up to £150,000 – 0%
o £150,000 - £2m – 1%
o Over £2 million – 2%
o For lease premia – LBTT bands are the same as for purchases/conveyances
- These thresholds remain unchanged for 2022/23
42
Talk me through the Profits Method of Valuation?
- Methodology:
o Turnover – costs = gross profit
o Gross profit – reasonable working expenses = unadjusted net profit
o UNP – operators remuneration = fair maintaining profit
o FMP can be expressed at the Earnings Before Interest, Taxation, Depreciation and Amortisation (EBITDA)
o Capitalised at an appropriate yield for market value and cross checked with comparable evidence where possible
43
What are the standard scale references for a plan?
- Room plan 1:50
- Building plan 1:100
- Street plan 1:1250
- Location plan: 1:2500
- Road map 1:50,000
44
What are the main differences between IPMS3 and NIA?
- All columns are included in IPMS3
- Measurements taken to internal dominant face
- If split to 50% of wall depth
- Covered balconies and galleries for exclusive use of one tenant are included and stated separately
45
Tell me about section 63
- All buildings over 1,000 sq m require an action plan which details the actions to be followed in order to improve the energy efficiency of the building
- Not needed for buildings constructed with buildings regs from 2002 or if lease period is under 16 weeks
- You have 3.5 years to act on the action plan or you can formally report annually on a display energy certificate
46
What is IFRS 16?
- The International Financial Reporting Standards 16 is the lease accounting standard all companies must comply with when using IFRS
- The full cost of leases have to be recognised as a liability, though service charge payments would be accounted for separately
- Exemptions exist for a lese of 12 months or shorter
47
GDPR
8 INDIVIDUAL RIGHTS
1. Right to be informed
2. Right to access
3. Right to rectification
4. Right to erasure
5. Right to restrict processing
6. Right to data proportionality (to use for their own purposes)
7. Right to object
8. Rights to be automated decision making and prfiling (as undertaken by insurance companies)
48
Birchard Review
The report’s recommendations include:
* A renewed and increased focus on the public interest remit of RICS, including amending the Royal Charter and creating a public interest panel to advise Governing Council
* Maintaining self-regulation, through greater independence for regulatory functions
* Increased focus on Diversity and Inclusion across the profession and within RICS governance
* Empowering and enabling members through greater support for regional boards, alongside increased member engagement, with renewed focus on younger members
* Undertaking an independent review of RICS’ governance and effectiveness at delivering against its Charter for the public advantage once every five years
* A new simplified, clear, accountable governance structure
* Showing greater leadership on the issues that matter most to society, such as sustainability and climate change
49
Unconscious bias
relates to the associations we hold which are deeply ingrained and outside of our concois awareness or control
50
Inclusive environment
one in which is designed and managed to allow people with diverse range of needs and abilities to access and use it.
51
Anti Money Laundering policy at GS
- Requirement to undertake a check on all parties in a buying or selling transaction
- Requirement to undertake checks on all parties in leasehold transactions where the annual rent exceeds £100,000
- Follow a risk-based approach with any high risk clients and Politically Exposed Persons escalated to the MLRO for approval
- Key checks
o Client due diligence (identity checks)
o Source of Funds Checks (if funds come from another party than the purchaser, must also be checked)
o Source of Wealth (what is known about the client is consistence with their expected income)
o Counterparty checks (other side of the transaction
- Checks must be undertaken before ‘establishing a business relationship’
- Individual client lead is responsible for assessing risk with assistance from AML analyst
- AML records are kept for 5 years after completion
- Staff provided with training when they join with additional annual training.
52
Tell me about the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations, 2017 – as amended 2019
- Cover estate agency work inside and outside UK by a firm
- Key provisions are:
o Requirement to have a written risk assessment
o Implement systems, policies and control to address ML
o Adopt appropriate internal controls
o Staff training
o Comply with customer, enhanced and simplified due diligence
o Comply with polices for Politically Exposed Persons (PEP)
o Appropriate record keeping
o AML checks to confirm identity of purchaser
o Include high risk factors when assessing need for enhanced DD e.g. high risk third countries
53
red flags
unwilling to show documents of identification
changes to parties involved in transactions
urgency
unusual currencies
54
What are the types of due diligence?
1. Customer due diligence
- Identify client and verify identity via reliable doc (passport)
- If a company – name, company number, address of registered owner
- For a company, names of directors required unless the company is listed on a regulated market such as LSE
2. Enhanced due diligence
- If a person from a high-risk country
- PEP and/or their family members
55
What due diligence would you undertake prior to commencing an instruction?
- Confirmation of client entity
- Confirmation of property address
- Conflict check
- Inspection and measurement of property
- Review of title documents
- If occupied, review leases and check tenant covenant
- Check planning history
56
What is in a bussiness plan
key factors to include an analysis of the opportunties and risks of the bussiness and the resources required to service clients.
swot analysis
Budgets
fee forcasts
57
What is the main legislation relating to Health & Safety?
- Health and Safety at Work Act 1974
58
What is included in the Health and Safety at Work Act, 1974?
- Duty to every employer to ensure, so far as reasonably, practicable, the health, safety & welfare at work of all employees
- Policed by the Health and Safety Executive (HES) as a criminal offence – fines and/or imprisonment
- Must report injuries and dangerous occurrences
- Must undertake, record and regularly review risk assessment
- Hazard refers to anything that has the potential to cause harm
- The probability/likelihood that someone will be harmed is a risk
- Detailed H&S information should be held on site, usually in the Operations & Maintenance manual
59
What are the RICS regulations on Health & Safety?
- RICS Guidance Note Surveying Safely – Health and Safety Principles for property professionals 2nd edn, 2018
- Includes
o ‘Safe Person’ concept to mean that each individual assumes individual behavioural responsibility for their own, their colleagues’ and others’ health and safety while at work
o Assessing hazards and risks
o Asbestos regulations 2012
o Occupational health
o Procurement and management of construction work
- RICS regulated firms must ensure:
o A safe working environment
o Safe work equipment
o Safe systems of work
o Competent staff
60
What would you do if you observed asbestos unexpectedly during an inspection?
- I would photograph the suspected asbestos and the condition
- Immediately notify my client to undertake an asbestos management survey
- Ensure it was safe to continue the inspection
- If in doubt, assume materials contain asbestos
61
What is your firm doing to improve diversity and inclusion?
- Blind hiring practices
- Flexibility of working from home or outwith 9 to 5 hours for parents etc.
- Rules on work experience or hiring in terms of nepotism
- Apprenticeship scheme this year
62
What is unconscious bias?
- Underlying attitudes and stereotypes that people unconsciously attribute to another person or group of people that affect how they engage with that person or group
63
How do you combat unconscious bias?
- Workplace training
- Pay particular attention to the bias associated with the 9 protected characteristics
- Speak out if you notice bias in your team or by your managers
- Blind recruitment processes (initial stages)
64
What is an EPC, tell me about them?
- Energy Performance Certificate (EPC) measures energy efficiency of a property on a scale of A-G
- Required for all commercial properties over 50 sq m, newly built, newly refurbished, HVAC alternations or building is subject to building regs.
- Exemptions for listed buildings, buildings with no heating, religious buildings, temporary buildings, buildings with no heating and buildings due to be demolished
- EPC should:
o Display indicated of current CO2 emissions
o Provide an indication of potential emissions and potential energy use of the building
o Record a list of cost-effective improvements
- Required to have for marketing a property
65
What is sustainability?
- Sustainability focuses on meeting the needs of the present without compromising the needs of future generations
66
Tell me about section 63
- All buildings over 1,000 sq m require an action plan which details the actions to be followed in order to improve the energy efficiency of the building
- Not needed for buildings constructed with buildings regs from 2002 or if lease period is under 16 weeks
- You have 3.5 years to act on the action plan or you can formally report annually on a display energy certificate
67
What is a green lease?
- A lease that incorporates clauses where the owner and occupier undertake specific responsibilities/obligation with regards to sustainable operation/occupation of a property such as:
o Waste reduction/management
o Water efficiency
o Energy efficiency measures
- Not limited to new leases, Memorandum of Understanding can be affixed to lease to provide a roadmap of cooperation between parties to improve environmental efficiency of a building
68
What costs are involved in total development costs?
Site Prep:
demolition, remediation, site clearance
Obtain a contractors cost plan for these.
Planning Costs:
section 75, planning permission, contributions towards local services, planning consulatnt, specialist reports and environment asessment.
Building Costs:
client info (for DA)
QS/BS
BCIS (based on GIA)
Professional Fees
(10-15% plus VAT of total construction cost) Architects usually the most expensive.
Contingency
5-10% of construction cost depending on risk and likely movement in building cost.
marketing costs
fianance cost
69
what is an overage?
(DA)
agreement made on the sharing of any extra receipts received over and above the profits originally expected as agreed prior.
shared between vendor/landowner and developer in a pre-arranged apportionment.
70
What are the three main process available for resolving disputes?
1. Negotiation
2.Mediation or concilliation. Third party intervention which does not bind the parties to the descion.
3. Adjudicative process. An outcome determined by third party.
71
What are Alternative Dispute Resolution process?
process and techniques that fall outside the scope of court litigation.
Advantages include: speed, informalty, greater opportunity for negotiation, cost, quality of descion, confidentiality.
72
What are the main differences between IPMS3 and NIA?
- All columns are included in IPMS3
- Measurements taken to internal dominant face
- If split to 50% of wall depth
- Covered balconies and galleries for exclusive use of one tenant are included and stated separately
73
What are the current industry standards for office specification?
- As set by the British Council for Offices:
- Suspended ceiling with minimum 350mm void
- Raised access floor with min 150 mm void and floor boxes
- Maximised daylight levels 300-500 lux
- Desk density of 8 sq m to 10 sq m per person
- Cycle provision of 1 space to 10 employees
- Shower provision of 1 to 100 employees
- Floor loading capacity of 2.5-3 kN/sq m and 1.2 kN/sq m for partitions
- Air conditioning and double glazed window
- Passenger lifts
- Maximum depth of 12 x 15 m or 15 x 21 m to ensure daylight reaches all areas of office
74
What is the current standard industrial specification?
- Steel portal frame
- Insulated sheet metal cladding on walls and roof
- Blockwork to approx. 2m in height
- 10% translucent light panelling on roof
- 8m clear eaves height
- Full height electric roller shutter doors
- Min floor loading capacity of 30Kn per sq m
- 3 phase power supply
- 10% office content
- Site coverage of 40% (buildings to 60% yard)
75
RAAC (Reinforced
autoclaved aerated concrete)
The potential problems regarding the structural integrity of RAAC (Reinforced
autoclaved aerated concrete) has recently been widely publicised and led to the
closure of some schools, theatres and other buildings. RAAC was a lightweight
form of concrete used in the construction of buildings from the 1950s to the mid-
1990s. Recently it has been assessed as being at risk of collapse.
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Data Protection Act 2018
* The Data Protection Act, 2018 is the UK’s implementation of the GDPR
* Act is a complete data protection system, so as well as governing personal data covered by GDPR, it covers all other general data
* GDPR represents the largest change in data protection law across the EU
* Replaced Data Protection Act 1998 – the obligations are now more prescriptive, and penalties are greater
* Relates to personal data
* Gives people stronger rights to be informed about how their personal information is used
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Principles of the GDPR
* Processed lawfully, fairly and in a transparent manner
* Collected for specified, explicit and legitimate purposes
* Adequate, relevant, and limited to what is necessary
* Accurate and where necessary up to date
* Kept in a form which permits identification of data subjects for no longer than is necessary
* Ensures appropriate security of personal data
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/ Data Protection Act 2018
Individual Rights
1) Right to be informed
2) Right of access
3) Right to rectification
4) Right to erasure
5) Right to restrict processing
6) Right to data portability (to use for their own purposes)
7) Right to object
8) Rights to automated decision making and profiling (as undertaken by insurance companies)
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9) What is the main difference between a cash flow statement and a balance sheet?
The main difference between these is that a balance sheet reflects a specific point in time, whilst cash flow statements and profit and loss accounts reflect a period of time. Cash flow statements are not included in the annual accounts, they are used for management purposes.
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What is the height of a grade a office
2.7 meters
