Тел.: +7 495 639 93 78
E-mail: contacts@pgo.ru
Bagrationovskaja, Fili
Park Pobedy

Valuation of commercial real estate

Home Services Valuation of commercial real estate
Our established clients:
Мостотрест Крост RTM

We offer our clients a wealth of many-year experience in valuation of commercial real estate (retail outlets, trade and office centers, detached houses, hotels, warehouses and industrial real estate). The key projects realized by our Firm in the preceding years are as follows:

  • Within the frameworks of our cooperation with JSCB EVROFINANCE MOSNARBAN, we have valued commercial and industrial premises located in the Federation Tower;
  • Within the frameworks of our cooperation with OJSC MOSTOTREST, we have valued production capacities;
  • Within the frameworks of our cooperation with OJSC CONSTRUCTION AND INDUSTRIAL CORPORATION RAZVITIYE, we have valued concrete works;
  • Within the frameworks of our cooperation with CJSC HORUS CAPITAL, we have valued multifunctional office centers (Lutch, Fabrika Stanislavskogo, Krugozor, Lefort, Avinion, Gamma);
  • Within the frameworks of our cooperation with RUSSIAN UNIVERSAL BANK, we have valued real estate owned by KROST construction concern;
  • We have valued multifunctional complex Discovery Russian Realty Paveletskaya Project Ltd under construction to date;
  • Within the frameworks of our cooperation with JSCB TRANSSTROYBANK, we have valued the following hotels: Courtyard Marriott in Moscow, Renaissance St. Petersburg Baltic Hotel in St. Petersburg, Renaissance Marriott in Samara, Courtyard Marriott in Kazan, etc;
  • Within the frameworks of our cooperation with CJSC RTM Development, we have valued certain real estate assets;
  • Etc.

FAQs

1. Valuer’s fee amount will depend on:

At average the valuation of commercial real estate services fee will depend upon the respective valued property’s function, area, and number of the objects.

Our approximate price list we usually apply in Moscow and the Moscow Region is as below:

Function Area Number
of objects
Valuer’s fee
amount, in
terms of RUR
Non-living premises Office/commercial/services, etc., premises. Up to 250 m2 1 15 000 - 25 000
From 250 m2 1 20 000 – 30 000
Non-living premises (detached house) Office/bank - 1 30 000 – 50 000
Non-living premises Retail centre - 1 45 000 – 60 000
Hotel / restaurant - 1 50 000 – 90 000
Multifunctional complex (office-commercial- entertainment) - 1 50 000 – 90 000
Warehouse - 1 15 000 – 20 000
Production departmentх - 1 20 000 – 30 000
Land and property complex Industrial real estate/logistics or warehousing complex - 5-10 50 000 – 90 000
10-15 75 000 – 100 000
20-30 100 000 – 150 000
About 50 150 000 - 200 000

2. What documents you should submit?

Where commercial real estate is valued, collection of information may be performed in several stages:

1st stage – preliminary.

At this stage you should deliver the following documents to us:

  1. The title document (Property deed, etc.).
  2. Extract from the technical passport issued by BTI (advisable).

If we obtain such information we will be able to:

  • Understand what type of real estate the subject property relates to;
  • Identify location and key construction and technical parameters;
  • Determine our labor input required to perform the engagement;
  • Inform the client about the fee amount and the terms of our valuation services.

2nd stage – working.

As a rule at this stage a contract for valuation works is effective and the client has several days to gather the following documents and prepare the requested information:

  1. Certificate of State Registration of Title;
  2. Documents issued by BTI which remain effective to date:
    • Technical passport or an extract from it (BTI Form 1a);
    • Legend (BTI Form No. 22);
    • Floor plan;
    • Certificate about the building/premises condition (BTI Form No. 5);
  3. Contract of land lease or any other document that confirms the land title (if any);
  4. Contracts of land rent in case the subject property is leased out;
  5. Average annual expenses to maintain the real estate subject property, specifically:
    Semi-fixed costs:
    • Property tax;
    • Insurance contributions (property insurance payments);
    • Land payments;
    • Other expenses.
    Semi-variable costs:
    • Community charges (cold and hot water, heating, power, etc.);
    • Maintenance of the ventilation and conditioning system, access and video control system, fire prevention system;
    • Maintenance of the cable system;
    • Elevators maintenance;
    • Security services;
    • Provider’s services;
    • Complex cleaning (day-to-day cleaning, windows doing, roof cleaning of snow and overflow ice);
    • Wages of the operating personnel with account for taxes;
    • Advertisement and making rent contracts, consulting and legal services;
    • Property management;
    • Other expenses.
  6. Carrying amount (historical cost, net book value) of the building (where the building is on the books of a legal person);
  7. Safeguard certificate (if the subject property is a historical, cultural or architectural monument);
  8. Where repair and construction works are performed for the subject property then we will request for the following documents be delivered:
    • Estimate of works costs;
    • Contract for work and labor;
    • Works acceptance certificates.

We will accept the photocopies of all the listed above documents and those do not need certification by notary.

3. What is a rough estimate of the client’s subject property?

We do not provide consultations for free. The result of our works will be a valuation report, i.e., an official instrument that has a legal effect and which can be used as a basis for all types of deals with the valued subject property.

4. How much time is required to value the subject property?

Generally, the valuation of the commercial real estate may vary from 3 business days (valuation of premises) to 2 business works (valuation of industrial real estate). It is a noteworthy fact that if you are pressed in time and if it is necessary to obtain a valuation report in 2 or three days, then it will be possible provided that:

  1. You deliver information to us within the shortest possible time. Often a failure to do this has an adverse effect on the valuation term. The client urgently needs the report but the client’s accounting office gathers the package of the documents during several days or even a week;
  2. Several experts will be engaged to perform the project (one expert will acquire and process information, the second one will analyze the market data, the third one will perform the required calculations, the fourth one will proceed with the execution of the report articles, and the fifth one will control the following process). It is possible to complete the project by a 3 to 5 man strength team within the shortest time but its work will increase the fee amount due 1.5- or 2-fold.

5. We will be pleased to answer all your questions. Please call us:

+7 (495) 639-93-78. Our managers will promptly advice you.

Last news

27 December 2016
The Federal Service for State Registration, Cadastre and Cartography registered a new self-regulated organization (SRO) - “Federation of Professional Appraisers” Alliance (fsosro.ru).

On December 27 the Council of the SRO “Federation of Professional Appraisers” Alliance met for the first time at the conference hall of the Pekin hotel to discuss matters of priority appearing on the new SRO agenda.

Our congratulations to Alyona Verkhozina (Rogich), President of the SRO “Federation of Professional Appraisers” Alliance, and all members on the completion of the official registration, and best wishes for the fruitful journey ahead.

We also congratulate Irina Komar, Managing Partner of the Professional Group of Appraisal, on her appointment as Vice-President of the SRO “Federation of Professional Appraisers” Alliance.

16 December 2016
The Public Consultation Council yesterday held an extended meeting in the Moscow City Duma to closely review the situation surrounding the collection of the individual property tax in the city of Moscow. The meeting brought together leading experts in the field, representatives of the concerned ministries and departments of the Moscow City Government, as well as City Duma and State Duma deputies.

Irina Komar, Managing Partner of the Professional Group of Appraisal and Vice-President of the SRO “Federation of Professional Appraisers” Alliance, was invited to participate in the meeting as an expert representing the appraisers’ community.

16 December 2016
On 14 December 2016 the Commission for Operational Aspects of Bankruptcy Management (Liquidation) shortlisted a number of expert organizations accredited with the Agency that had submitted bids for provision of services to BANK GOROD (Protocol No. 60). The Commission resolved to pronounce the Professional Group of Appraisal as the winning bidder in the “Valuation Services” nomination.

14 December 2016
On 14 December RICS Russia & CIS professional groups organized a round-table meeting at the VIVALDI PLAZA Business Center to discuss the topic of Valuation Departments and Projects Management.

Anna Isaeva and Irina Komar, Managing Partners of the Professional Group of Appraisal, were invited to take part in the event, which unfolded in a friendly and professional atmosphere. One of the key messages of the meeting was delivered to the RICS members by Maarten Vermeulen, RICS Managing Director for Europe, Russia and CIS: "Notwithstanding the closure of the RICS office in Russia, the Institute will continue to organize professional events for the members in Russia and the CIS. As before, these will include conferences, round-table meetings and Assessments of Professional Competence (APCs)".

All news