Real Estate & Property - Valuation and Investment Appraisal Assignment

Real Estate & Property - Valuation and Investment Appraisal - Assignment Example The opinions stated in the valuation are contingent on the assumptions and limitations stated in Section 5 which also forms an integral part of this report. i. An attached brick building includes a single shop unit consisting of an open plan sales area which includes a retail area which extends to the rear. There is also a large basement. The front of the shop is fully glazed and has a number of display areas for terms of inventory. i. Barking Road is located in a very popular and busy shopping and entertainment area. It has a number of restaurants and numerous other shops along the same road and other roads and avenues which are in close proximity. It is also close to the tourist areas. The building is in good condition. Additionally, Barking Road and the streets adjacent to it are clean and well kept. iii. Several hotels and entertainment venues are located in close proximity to Barking Road and so it is accessible to tourists and locals who use their services. More than a few tourists are therefore expected to patronise the business at the location (Rightmove 2012). iv. The Booby Moore Stand of the West Ham United Football Club is located in close proximity – just around the corner from Barking Road. This makes the location ideal for the current tenant and explains the reason for the longevity of the business. There is also some amount of goodwill attached to the business and the location. Goodwill is the excess of the market price over the combined value of the separate assets. It results from the reputation that the business has gained over the years and its quality customer service that keeps customers coming back. It is this reputation that also attracts new customers. viii. The property is in close proximity to the Upton park tube station which approximately 0.4 miles. Two other stations – East Ham and Plaistow are also within a mile of the property (0.8 and 1.0 miles respectively) (Rightmove PLC 2012). x. The