Solution Business Plan Assignment
Added on 2021-02-17
13 Pages3669 Words25 Views
|
|
|
BUSINESS PLAN
Table of ContentsINTRODUCTION...........................................................................................................................1MAIN BODY...................................................................................................................................1The Property...........................................................................................................................1Estimated Rental Value and All Risks Market Yield.............................................................3Rateable Value of the building and Rates Payable including SBRR.....................................5Hypothetical Scenario 1.........................................................................................................8Hypothetical Scenario 2.........................................................................................................9CONCLUSION..............................................................................................................................10REFERENCES..............................................................................................................................11.......................................................................................................................................................11
INTRODUCTIONValuation of leasehold property is the complex concept and it will calculated throughcritical financial ratios to measure the value of property (Ball, Lizieri and MacGregor, 2012). Itis direct for freehold property but in case of leasehold property, it more complicated to determinebecause of their limited shelf life. It include typical tenure for the different leasehold propertysuch as 99 years for the residential or commercial property and 30 to 60 years for the industrialproperty. This report cover various topics such as Estimated Rental Value (ERV) of the propertyand it also include the All Risk Yield (ARY) which used for the valuation of risk related toinvestment. In addition, Market Risk Yield (MRY) is the market risk of purchasing property. MAIN BODYThe PropertyAddress: 85 Chester Street, Aston, Birmingham, B6 4AE Rental Price: £ 121,478 per annum exclusiveTenure: To Let(Leasehold)Property Type: Industrial / WarehouseDetails: Approx. 8.1m eaves heightAccommodation: Near about 1736 sq m. 1
Location: The prospective property is located on Chester Street within Aston area ofBirmingham. The property area can be used either as industrial, office, residential orwarehousing purposes. The property is highly accessible with interconnectivity between centralpoints of the city. It is roughly 1 mile away from Birmingham City as well as 2 miles away fromJunction 6 of M6 Motorway, that can be accessed via A38M Aston Express Way and A5127Lichfield Road (Bellotti, 2017). Description: https://www.harrislamb.com/properties/85-chester-street-aston-birmingham/Infrastructure: The premises are a single bay industrial or warehousing unit made out ofsteel portal frame with a pitched steel profile clad insulated roof. The roof containstranslucent roof lights, part block-part steel profile clad elevations as well as a concretefloor that is beautifully painted. The eaves height of the building is about 8.1m with atleast 7m of working height. Floors: It comprises a integral two-storey design. The two floors are connected with twostaircases. The ground floor includes a reception area, trade counter and a combination ofopen plan, cellular offices as well as work kitchen or canteen. Along with this, there arewater closet facilities available in the building for disabled, females as well as malefrequenters. On the first floor, a showroom is available in addition to a boardroom,cellular offices, another kitchen and water closet facility. It also has an additionalmezzanine floor area with works office that enhances its storage capacity (Challinor andet.al., 2014).Floor AreaSquare Metre (sq m)Building Area1257.16Ground Floor247.03First Floor157.47Mezzanine74.6Total Gross Internal Area (GIA)*1736.26*These measurements have been identified in accordance with RICS Code of Measuringpractice. 2
End of preview
Want to access all the pages? Upload your documents or become a member.
Related Documents
Business Plan Concept - Assignmentlg...
|13
|3669
|17
Commercial Practice Real Estate - PDFlg...
|15
|3435
|74