Exposed aggregate or coloured oxide vs plain concrete are easy options.

Multiple agencies are a waste of time unless it is a conjunctional agency agreement.

@cjaysa says it’s low, @fredwisely says it’s too high. It requires more analysis especially regarding shifting of risk from vendor to purchaser.

@gshaheen @fxdaemon – direct comparison is not used for commercial property (primarily used in residential). I would used IRR & NPV as my primary valuation methodology and the summation method for my secondary review.

Being tenanted doesn’t guarantee a higher valuation but provides the valuer a basis for deeper questioning – they then need to determine the sustainability of that rent, ie is it above market or too low? Is the lease favourable to the lessee (if currently owner occupied)

There are distinctions between commercial and industrial premises dictated in part by zoning. Warehouses and factories may have an office component but the zoning will determine which is prevalent.

Real estate agents cannot provide valuations unless they are registered valuers, they provide appraisals.

Other commercial properties include retail and special premises eg. Telco facilities, marinas, purpose built facilities etc.

FX – generally to attract a blue chip (or quality tenant) you need to have a decent asset – that does not necessarily mean expensive, large or A grade.

These tenants looking for well located, well maintained, good presentation etc. I have one client who has had a publicly listed building supplier for the last 20 years and more recently in another a string of no-names until an Foreign listed company moved in followed by another of the same ilk – with zero vacancy at change over to boot.

If you want growth look to areas which are under redevelopment pressure (not just via rezoning but also due to functional obsolescence).

As for dd on the tenant – won’t be forthcoming if it is a privately held company. You could ask but until you’re under contract, it would be unlikely that the tenant will provide you with any of its financials.

Congrats!! Are you going to develop it as a turnkey project or going to flog it with the DA in place?

The answer to your question is yes, no and maybe.

If the insurance claim is for loss of rent, then the agent would be entitled to charge their % + gst, if it were for damage then they may only get whatever has been agreed in the management agreement for other charges (eg management of make good etc).

Not sure what you are asking in the third paragraph but I assume that you mean does the agent charge % on the bond when there is a claim, as above they would be entitled to be paid on the bond if it were applied to loss of rent.

Freedom wrote:

Moving on. I mean get their Real Estate Licence in order to buy/sell their own properties and investments that they purchase through their companies.

A developer, selling their own properties (100% ownership), does not require a real estate licence. If they are in a JV, then they are selling someone else’s property.

Unless they build the properties, they don’t need a builders licence either.

The answer is how long is a piece of string. You mention 8 storeys but what does that really mean? Is that a fsr of 8:1? or you can build up to 8 storeys but only cover 1/10th of the site? The results are totally different? How much open space is required? How does the building envelope fit the site? Your group may be best served by contacting a valuer and town planner to come up with a highest and best use for the site.

Issue a notice under the security of payments act through a debt collector experienced in this area.