Leasehold Valuation – Key Principles

Leasehold interests are a large part of the commercial property market and so a practical understanding of valuation methodologies that apply to leaseholds is fundamental for those working in the commercial sector.

As a wasting legal interest, leases can be considered either an asset or a liability. Learn how in valuation terms this is assessed, taking into consideration the important drivers of value; both market and legal.

With real-life case study material and the chance to pose questions directly to an industry expert, this class offer the ideal opportunity for any professional looking to grasp the fundamental knowledge needed for valuing commercial property leaseholds.  

Using a PowerPoint presentation as a basis, you will take part in a series of discussions and interactive exercises that will help apply knowledge learnt in the session to real-life scenarios. The class will end with an open Q&A session giving you the opportunity to pose direct questions to an industry expert.

How do leaseholds differ from freeholds

How to assess the value of a leasehold

• Profit rents
• Years Purchase Dual Rate
• Choice of Yield

Premiums and Reverse Premiums

Lease clauses affecting value

For those looking to gain the fundamental knowledge needed for valuing property. Particularly useful for APC candidates and those looking to gain an understanding of the valuation market.

For anyone moving into commercial property leasehold valuation, looking to extend their knowledge or revisit and update themselves on valuation methodologies in this area.

• Value a profit rent
• Appreciate which lease covenants affect value
• Appreciate when leasehold valuations may be required
• Define the variation in leaseholds and freeholds