IMA IPTI Webinar: Challenges in Valuation of Income Producing Properties - Part 2
Capitalization Rate and Excess Land Analysis
The Direct Capitalization Methodology is widely used in valuation of Income Producing Properties. However, the derivation of Capitalization rates can be one of the more difficult inputs to determine especially in the situations where there are few representative sales available for analysis. This Webinar will discuss the various methodologies for determining capitalization rates and discuss the strengths and weaknesses of various methodologies. In addition, a detailed explanation of excess land analysis will be discussed. The panelists will comment on situations where additional value needs to be considered for the excess land not required to support the commercial activity present on the property.
More information to come.