Upload
stuarthicks
View
226
Download
2
Tags:
Embed Size (px)
DESCRIPTION
Are there opportunities to reduce property costs and secure cash refunds - here is how.
Citation preview
The 2010 Rating List
www.dunlopheywood.com July 2010
Roots : Shoots : Opportunity?
Stuart Hicks BSc (Hons) MRICS IRRV (Hons)Director, Dunlop Heywood
[email protected] 0161 602 3374
Member 1992 : Royal Institution of Chartered Surveyors
Member: Institute of Revenues Rating & Valuation
Member : Rating Surveyors Association
Who am I ?
Member : Rating Surveyors Association
Member : Chartered Management Institute
Former Chairman : British Retail Consortium Rating Panel (NW)
Recognised as a leading rating advisor across the UK in respect of various categories of
specialist property and empty rates liability.
Specialist in creating strategic solutions for commercial property
in a business rates context
The turmoil of recent times presents the Valuation Office Agency with real challenges in establishing the correct level of value for commercial properties entered in the 2010 Rating List . The valuation date employed is 1 April 2008. It is easy to forget the panic that surrounded the banks and the general economy at that time – what is the correct level of value?
2010 Rating List – Valuation Date 1 April 2008
Is the ball going up or down?
Like the photo, the valuation date is a snap shot. For those undertaking valuations preparing the 2010 Rating List the work was very difficult to undertake. Only now with the benefit of hindsight are we able to understand what the likely pressures on commercial property values were at 1 April 2008.
Some statistics since the UK recession beganSource : The Times 29 August 2009 and Estates Gazette 5 September 2009
• 34,718 businesses have gone bust
• 807,000 extra people are now unemployed
• 176,090 people have declared themselves insolvent
• 55,600 homes have been repossessed
• £19,684 fall in value, average home
andand
• 78% drop in aggregate worth of AIM property sector shares (March 2009)
The Valuation Date: Market evidence v Valuation Office Agency view…
VOA
Valuation Date – 1 April 2008
VOA
The Valuation Office Agency believes that the tipping point of the recession was after 1 April2008 – the valuation date. But available evidence suggests that values were falling wellbefore this date. This is not generally reflected in the 2010 Rating List.
Things
To
Consider
Know your market Understand the
operational business
Assess the
opportunity
Act decisively
Empty Property Rates Strategy
Manage the appeal
process effectively
Challenge
convention
Consider
Target the right individualwithin the VOA
Negotiate firm
but fair
Act decisively
RISKSThink creatively
Results…
Clarence Dock, LeedsActing for Lend Lease Retail – 40% reductions for vacancy
Genting Casinos UKAllowances secured across the UK as a result of the smoking ban.
Peel PortsSecured significant 8 figure savings overtwo rating lists.
reductions for vacancy
Roadchef MotorwaysSecured significant 6 figure refunds in 8 weeks
Sellafield LtdNew valuation methodology being advanced in respect of single assessment of RV £67,500,000.
Cost Saving
Opportunities
There are real opportunities to reduce occupational costs for commercial property occupiers and owners through taking carefully considered advice from professional consultants.
‘Complex problems often have quick,
easy to understand, wrong answers’
[email protected] Tel: 0161 602 3374
Don’t get it wrong; rateable values can go up as well as down!