Commercial Property Valuations

A commercial property's value depends on more than its building condition. The nature of the legal interest, tenancy arrangements, income profile, location, comparable market evidence, occupational demand and assumptions made for the instruction can materially affect the valuation opinion.

I AM Surveyors undertakes commercial property valuation assignments where the purpose, property type, available evidence and required competence are suitable. Our Registered Valuer experience informs an evidence-based approach to clearly defined valuation instructions.

Commercial valuation purposes

Depending on the property and our acceptance criteria, the team can consider independent valuations to support acquisitions and disposals, asset-related decision-making, selected investment assessments, private client instructions and other agreed professional purposes.

Some secured lending, financial reporting, taxation, court and statutory purposes impose particular instructions, lender panels, assumptions, independence requirements or reporting standards. Acceptance is not automatic and must be confirmed in advance.

The valuation process

Agree the purpose: identify the client, intended users, interest to be valued, valuation date, basis of value and relevant reporting requirements.

Review information: gather available tenancy, lease, floor area, planning, title and other documents relevant to the property and instruction, with legal verification by appropriate advisers where necessary.

Inspect where required: undertake an inspection consistent with the agreed terms, evidence and applicable valuation standards.

Analyse market evidence: consider suitable comparable transactions, rental information, investment characteristics and relevant market circumstances, applying a professionally justified valuation method.

Report: communicate the opinion, material assumptions, special assumptions if agreed, limitations and applicable professional declarations.

RICS Red Book valuation

Where the instruction requires a formal Red Book valuation, the appointed valuer follows the applicable *RICS Valuation – Global Standards* and UK national requirements. The currently published Red Book Global Standards edition took effect on 31 January 2025. We distinguish a formal valuation report from an informal discussion or preliminary market commentary.

How condition and valuation interact

Building defects, anticipated capital expenditure and unusual construction may influence the assumptions or market assessment in a valuation. A valuation inspection is not automatically a full commercial building survey. Where significant condition risk is present, a separate building survey or defect investigation may be appropriate.