We are often asked to carry out a market appraisal of a commercial asset because the owner is not aware of the value of their asset and would consider selling it – either to a private party already interested or on the open market.
Here is a case study of a satisfied client who had an interested party approach them and needed an appraisal to ensure they were getting the right value for their mixed use takeaway with residential accommodation.
Thanks Ms Lai for her efficient service which I have found most pleasing.Mr. Li (Private individual)
She came to my shop, did all the necessary measurements, asked me a few questions and after a little over a week she produced an appraisal report for me to use and hence I can give a asking price for my shop with confidence.
The process, which is typical of our approach is that, we carry out a property inspection and take detailed measurements to enable us to analyse the value. The property’s condition, location, size, amenities and any unique features could affect its value.
We carry our market research and look at comparable transactions for a sales analysis. We will conduct thorough market research to gather information on recent sales of similar commercial properties in the area. They will also consider current market trends, vacancy rates, rental rates, and demand for commercial properties. Based on the market research, the agent will identify comparable properties that have recently sold or are currently on the market. They will compare these properties to yours, considering factors such as size, location, condition, and amenities. This analysis will help determine an appropriate market value for your property.
Considering the findings from the comparable sales analysis and income analysis, we arrives at an estimated market value for your commercial property. As a valuer we will take into account factors such as property condition, market demand, location, and current economic conditions.
We provided a detailed report outlining the market appraisal findings, including comparable sales data, income analysis, and their professional opinion on the property’s value. They may also provide recommendations on pricing, marketing strategies, and any improvements or repairs that could enhance the property’s value.
Following the appraisal of the takeaway which included a 3 bedroom maisonette, Mr Li was able to confidently negotiation himself with the buyer that he had already been in discussions with. The initial price offered by the buyer was lower than the appraisal value, and he was able to negotiate a better price because he had the confidence to do so. He was then happy to achieve a fair price and knew that he was not under-selling it.
The client successfully sold his asset and was able to retire and move into a more suitable property.
** It’s important to note that a market appraisal is our estimate of value and may not reflect the final sale price. The actual sale price will depend on various factors, including negotiation, market conditions at the time of sale, and buyer interest.