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Helping Lenders Navigate the Commercial Real Estate Appraisal Process

Simonson Real Estate

In 2022, Simonson Appraisals completed a steady stream of financing assignments with planned new construction or significant proposed renovations. On several occasions, we were presented information about construction or renovation plans well after the initial assignment was started. Lenders, what’s in it for you?

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Why Appraisers Don’t Depreciate Land

Cleveland Appraisal Blog

What’s the difference between a newly constructed home and a hundred-year-old home? Hopefully, you found this article to be interesting. Here are some links to other articles I’ve enjoyed recently! For my readers in the CLE area… here are some articles related to news in our local area. Depreciation!

Appraisal 284
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Appraising Industrial and Flex Buildings: What Info Do You Need?

McKissock

Why might you be engaged to appraise a single or multi-tenant industrial or flex style office building? To examine the feasibility of renovating, expanding or repositioning an existing building. Copies or outlines of any leasing that has been obtained pre-construction. Reasons for engagement. A set of building plans.

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What’s New in Appraisal Membership: Summer 2022

McKissock

Renovation and Remodeling Appraisal Considerations. When appraising proposed modifications, remodels, or renovations to a residential property, appraisers must decide the feasibility of the modification, if it adds any contributory value, if it extends the remaining economic life, or possibly improves the property’s marketability.

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7 Top-Rated Appraisal Job Aids (Free for Members)

McKissock

Commercial Real Estate Leases In this job aid, you will find a table outlining the five main types of commercial leases and the expenses that landlords and tenants usually bear according to these types of leases. Learn about the benefits of membership.

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Yield on Cost: A Beginner’s Guide

Property Metrics

In this article we’ll take a closer look at the yield on cost in real estate. The development spread tells you how much additional return you are earning in exchange for taking on all of the risk of construction and development. The yield on cost is a commonly used metric when evaluating real estate development and value-add projects.

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Eleven Types of Risk in Commercial Real Estate

Property Metrics

In this article, we’ll look at eleven types of risk in commercial real estate investment. . Similarly, leased property includes a risk that tenants will not be able to make timely lease payments as expected. Vacancy rates increase, and finding a new tenant is challenging. Credit/Default Risk. Inflation Risk. Interest Rate Risk.