Property Valuation Model
M2 Property Valuation Model is among the most sophisticated worksheet-based property valuation models for real estate valuation. Structured as a discounted cash flow model, this functionally advanced solution handles a wide range of lease agreement structures. It offers sensitivity analysis reporting on the fly, and enables various charts and tables to be directly attached to, and updated in, Word or PowerPoint documents.
The model is currently used by multiple organisations, including valuators, transaction advisors and fund managers, for valuing and analysing real estate assets worth billions, from period to period.
Tested on the actual market, the standard M2 Property Valuation Model is ready for use as is. However, we usually refine it to take account of our clients’ specific valuation issues.
For Valuators and Advisors
- Upload client input data, including rent roll, into models automatically, within seconds;
- Where needed, apply rent-free periods, step-up rents and forward-start leases to cash flow forecasts;
- Adjust the cash flow calculation period, between 10 and 20 years in one-year increments;
- Create valuations automatically from large portfolios, by utilising a data transfer tool within the model;
- Define critical parameters that determine the property value, and draw up a sensitivity report, outlining the effect that changes in each variable have on the property value;
- Establish an acquisition analysis for the asset, including IRR estimates, investment multiples and financial covenant prognosis
|
|
For Fund Managers and Investors
- Upload input data into models, directly from the database or Excel reports
- Use the model to create numerical estimates and financial targets for property business plans
- Attach the model to a hold/sell analysis tool, by enabling the model to generate future cash flows, an exit price, IRR profile and optimal disposal time for each property
- Use the model to experiment with alternative business plan ideas and letting/development strategies
|
See how to value large property portfolios efficiently
VIEW REPORT
