On-Demand Content

On-demand online courses by leading property experts

Session 1

An Introduction to Development Appraisal

  • Residual Valuation, Development Appraisal or Cost Benefit Analysis?
  • How to value Development Land
  • Land Speculation and Betterment
  • Planning risk vs Development risk – what is the difference?
  • Risk Management and the necessity for profit
  • Redevelopment Options – from redecoration to retrofitting, refurbishments to redevelopment
  • Volatility and interpretation of results
  • The lifecycle of a development project and its different stages
  • Legal, insurance and environmental considerations
  • Energy Performance, Embodied Carbon and Sustainability considerations
  • Where to go to get your data

Presenter:
Simon Wainwright, Managing Director, JPW Real Estate

 

Session 2

Appraisal Methodology & Sensitivity Analysis

  • A detailed ‘walk through’ - an appraisal from A to Z
  • Measurement Standards and Floor Areas
  • Assembling your data and reviewing your information sources
  • Capitalising income and calculating Capital Value
  • Breakdown of Development Costs (with a cost checklist provided)
  • Basis for Site Cost in an Appraisal
  • How to calculate finance costs
  • Measurement of profit and viability
  • Understanding Sensitivity Analysis
  • Version tracking, accompanying notes and assumptions
  • Worked examples

Presenter:
Simon Wainwright, Managing Director, JPW Real Estate

 

Session 3

Project Refinement, Ground Rent Derivation, Inflation & Growth

  • Right scheme, wrong answer? Interpreting the results
  • Scheme refinement, options and choices – measuring efficiency of design
  • Maximising site value, but at what cost?
  • Cost Comparison
  • Marginal Viability Analysis
  • Elemental Viability Analysis and Phasing
  • Additional Development Profit arising from release of Rights of Light
  • Diminution in Value arising from restrictions on development
  • Viability for Planning, Community Infrastructure Levy (‘CIL’) and Planning Obligations
  • Timing, phasing and interim receipts
  • Ground Rent Derivation and Joint Ventures
  • Dealing with construction cost inflation and value projections
  • Tax considerations – VAT, SDLT, Capital Allowances

Presenter:
Simon Wainwright, Managing Director, JPW Real Estate

 

Session 4

Cash Flow & Appraisal Software

  • Project programming and the importance of timing and phasing
  • Finance costs, interest calculations and cash flow ‘S’ curves
  • Turning an appraisal into a cash flow
  • Detailed review of a cash flow model
  • Understanding Discounted Cash Flow (DCF)
  • Internal Rate of Return (IRR) or Net Present Value (NPV)?
  • Review of available appraisal software
  • Dynamic appraisal monitoring and budget tracking
  • Constructing an appraisal model in Excel – template provided
  • Benefits of Appraisal Software such as Argus Developer

Presenter:
Simon Wainwright, Managing Director, JPW Real Estate