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TelferYoung Discuss Motel Valuations And Consultancy

Friday 29 January 2016, 3:39PM

By Beckie Wright

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In this press release, Alastair Pratt of TelferYoung discusses the first of a two-part series, deliberating on the important roles and responsibilities of a registered valuer in the motel industry, focussing on how the valuer’s role might pertain to the client.

When the client picks up a phone or emails a valuer, the three most likely reasons to do so would be along the lines that they need to establish the market value of their property; they need to have a rental value assessed for your property or they require an insurance value for their property.

In terms of the first point – that is establishing a market value for a property, these are most commonly for sale (or purchase) purposes, or for lending purposes where the owner wishes to borrow against their asset.

With regards to the rental value, a valuer is usually called to assess a market rental for the purposes of either establishing a new lease or for rent review purposes under an existing lease. This may be for either the Lessor or Lessee and may involve the valuer being required to negotiate the reviewed rent or act as an arbitrator in the event that the Lessor and Lessee are unable to reach agreement on the reviewed rent.

The final point relates to the valuer assessing an insurable value of the buildings and site development, normally for reinstatement value purposes.

In addition to these common roles, a specialist motel valuer can also provide motel owners with expert consultancy advice including lease structuring, development feasibility or other valuation advice for other assets. Early engagement with an appropriate valuation expert can often save money and the potentially avoid a bad decision. In the next article Alastair will finalise his discussion around the roles and responsibilities of a valuer by discussing their responsibilities to motel owners and to their profession.

Alastair Pratt of TelferYoung specialises in the valuation of commercial, industrial and residential property; assessments of compensation where property is required for central or local government works; and the valuation of special purpose properties such as retirement villages, rest homes, hotels, motels, shopping centres, service stations, kiwifruit post-harvest facilities and development land. Clients include all New Zealand trading banks, major financial institutions, Government Departments, Local Authorities, local companies and a substantial private client list.

For more information please visit the website at http://www.telferyoung.com.