Woking Office - LSV

Question 1

Describe the property?

Answer 1

Office Building located in the centre of Woking town. Close proximity to the train station.

Totals 21,786 sq ft over a ground and three upper floors, as well as a basement car park.

Refurbished to a high standard,
including a remodelled reception area, fully refurbished ground floor office suite,
showers, cycle facilities and EV chargers in the car park.

Question 2

Describe the local office market

Answer 2

• Woking has positioned itself as a key South East office market.
• Home to many national and international businesses including: Petrofac, Fidessa, IDBS Financial Express, TGS, Plan International, Hitachi, CapGemini, Surrey County Council, WSP, Yum Brands and McLaren.
• Prime rent has grown significantly in recent years, as best-in-class product like the Forge have been delivered, achieving rents of £37.00-40.00 psf.

Question 3

How did you calculate market rent?

Answer 3

• Sourced and analysed comparable evidence .
• Applied weightings and discounts to determine suitable market rent.
• Applied market rent of £35 psf

Question 4

What is a loan security valuation?

Answer 4

Conducted to establish whether the value of a loan requested from a lender will be secure, so considering the risk of default

Question 5

What kind of factors do you include in a SWOT analysis?

Answer 5

Strengths: ESG credential / newly refurbished. Good town centre location.

Weakness: Short waults, risks associated with office occupational market.

Question 6

How did you calculate void costs?

Answer 6

Find the rateable value of your business property. This is an estimate of its open market rental value on 1 April 2021.

Check the table to find out which ‘multiplier’ to use. Use the standard multiplier if your rateable value is £51,000 or more. Use the small business multiplier if your rateable value is below £51,000.

Multiply your rateable value by your multiplier. This shows you how much you will have to pay in business rates (before any relief is deducted).

Take away any business rate relief that you’re entitled to. If your business rates are increasing as a result of the 2023 revaluation, this may include transitional relief so that changes to your bill are phased in gradually.

Question 7

What was your advice?

Answer 7

Property was suitable for secured lending