Commercial Appraisals in Edmonton
Founded in 1991, Landucation Appraisals are providers of commercial real estate appraisal and related consulting services. Family-run, and offering full-service valuations, we are ahead in local knowledge, specializing in rural and Northern Alberta for over 20 years.
Licensed by the Real Estate Council of Alberta, we adhere to Canadian Uniform Standards of Professional Appraisal Practice, with all our appraisers being members of the Appraisal Institute of Canada.
For accredited professionals in Edmonton that can assist you with a variety of needs, rely on Landucation Appraisals for your commercial property valuation.
How Does Commercial Appraisal Work?
A commercial real estate appraisal is an unbiased valuation of your commercial space’s worth. If you are selling your old commercial space, an appraisal of its value is the most important step for coming up with a listing price. If you are a buying a commercial space, it is important to know the value as well—especially if you are involving any lenders in the process. When we appraise your property, we will:
- Research public records.
- Investigate demographic information.
- Compile sales and rental comparisons.
- Determine proximity to local transport.
- Examine the general condition and safety of the structure.
- Supply you with a detailed and unbiased report.
A commercial appraiser is making their valuation based on the data that they’ve collected while surveying your property and the information you have given them. If you want to get the most out of your appraisal and not wind up with a dissatisfactory figure, they’re going to look at more than just the property itself. A high-quality appraisal is also going to look at similar property listings, comparable sales, capitalization rates, and the construction costs for newer buildings in the Edmonton area.
Don’t go blindly into any buying or selling situation. Call Landucation Appraisals to get all the knowledge you need, and move ahead with buying or selling in Edmonton with confidence!
Aerial Mapping for Land Appraisals
If Landucation Appraisals begins the process of inspecting your property, don’t be surprised if we suggest aerial photography via UAV (Unmanned Aerial Vehicle) drones. Aerial photography can provide yourself and us with information about your property that would otherwise be impossible to obtain.
Don’t worry, we won’t be billing you for the cost of a plane or helicopter rental. With the use of UAV technologies, aerial photography has never been easier. This will ensure that we leave no stone unturned when evaluating your Edmonton property. Aerial Imagery can also help to entice buyers when it comes time to sell your property.
It might seem excessive, but if you want an appraiser to go above and beyond for you, this is what we’re going to do! Aerial imagery will ensure that our valuation is accurate and fair.
Vacant Commercial Land Appraisal
At Landucation Appraisals we don’t just valuate properties with buildings on them, we are able to appraise vacant land with the potential for commercial construction.
Before anything else, you’ll want to determine whether your land already is, or could be zoned for commercial use. If this is not possible, you’re going to have to find another option.
When appraising vacant land, we’ll take into consideration neighbourhood profile and the results of a site analysis. While steps like researching sale prices of nearby land and proximity to local transport are still valid in a vacant land appraisal, curb appeal, structural soundness and how well a building has aged are not.
Because of this, vacant commercial land appraisal is generally a fast process than other types of commercial real estate appraisal.
Common Commercial Appraisal Methods
Generally, there are three approaches to commercial property appraisal.
First, there is the cost approach. The cost approach is not as popular as it used to be. This approach assumes that the value of your commercial property is equal to the costs of construction or replacement costs. This would mean that the buyer of your commercial property would not have to pay anything more than what it would cost to build that same property again.
As you can see, this approach doesn’t account for many of the other variables we have discussed, such as proximity to public transportation, comparable sales, similar property listings, and so on. It is a very bare-bones approach to property assessment and appraisal.
There is also the Sales Comparison approach. This method, like the name suggests, involves comparing the sales of other similar properties. The properties that are compared are usually in the same market area to ensure that the comparison is fair. The value of your property is then determined by the available sales data of other properties.
Lastly, there is the Income Capitalization method. This approach involves considering the current value of the property and the expected cash flow of the property in the future.
It is best to find an appraiser who applies an approach that combines all three of these methods if necessary. Alternatively, one of these approaches may suffice. It is also common for appraisers to seek out other data as well.
In the end you want your appraiser to gather as much information about your property as possible. No stone should be left unturned!
Can my Property be Appraised?
No property is too challenging for an established real estate appraiser. If you have been told previously that your property is not able to be appraised for lack of comparison, contact Landucation Appraisals today.
- New and existing properties
- Hotels, motels, and resorts
- High-rise and low-rise office buildings
- Mixed office/corporate/industrial warehouse facilities
- Manufacturing facilities
- Shopping centers/strip malls
- Automotive centers/car dealerships
- Medical clinics
- Condominiums and other investment properties
We’ve worked with all types of commercial real estate, including development land. Let Landucation Appraisals determine potential income and other details so that you don’t have to.
Our team is proud to have been service providers for financial institutions, the legal community, business owners, real estate developers, residents, municipalities and more in the Edmonton area.
In-Depth Market Analysis
When you come to Landucation Appraisals for your commercial appraisals in Edmonton, you can count on our certified appraising professionals to always do an in-depth and detail-oriented market analysis.
Being able to determine every possible factor that will impact the value of this commercial property is the job of every real estate appraiser, and by employing only the most dedicated and educated team members we have been able to accomplish just that for our many clients.
By making the decision to find out the real property value of your potential purchase, you’ve already taken a step in the right direction. Too many times, buyers are overly eager to proceed with a purchase when in fact they could be getting a much better deal.
Data sources we may look to during the commercial real estate appraisal process include:
- Population statistics
- Income statistics
- Interest rates
- Traffic statistics
The type of business you plan to run can also come into play. For example, if you plan on managing a high rise apartment building you’re going to need to look into a bit more than the property itself but also who your potential renters are and how much rent you can expect them to provide.
Planning to open a daycare? You’re going to want to research census results. If there are no children living in your neighbourhood, a lack of schools, and transportation is difficult, this is not the property for you.
By working with a skilled real estate appraiser at Landucation Appraisals, you’ll find out so much more than property value. A commercial appraisal is the step that can make or break your business. A commercial building is only as good as its business potential, and if you don’t have that, you shouldn’t be investing.
How Much Does the Typical Commercial Real Estate Appraisal in Edmonton Cost?
Being a commercial landowner is a tough job. While many people think that it just involves collecting rent cheques without doing any work, the reality of the situation couldn’t be further from the truth. Negotiating commercial real estate deals is a stressful and often very expensive process, and profit margins are tight.
Which is why so many clients that Landucation Appraisals works with are anxious to know exactly how much a commercial real estate valuation is going to cost before they work with us. Unfortunately, there’s no easy way to estimate this ahead of time, because every building appraisal is as different as the history and location it is built upon.
The Real Commercial Real Estate Appraisal Cost? Cheaper Than the Alternative
Some appraisals can cost $500, others can cost $5,000. It all depends on the size of the property and the length of work involved. The fact of the matter is that no matter how high your real estate appraisal cost, the alternative is going to be much more expensive: getting hit by penalties by your financial institution or even on the hook for commercial damages after something goes wrong.
Landucation Appraisals prides ourselves on providing the highest-quality appraisals in Edmonton without the stinging price tag. If you’re looking for a fair and honest assessments by a trained team of technicians, look no further and give us a call today! We’re happy to provide free over-the-phone estimates and set a time to meet and look over your entire commercial real estate property.
How Long are Commercial Appraisals Good For?
As you already know, there are many different reasons why you might need to acquire a commercial appraisal. Whether you need to address mortgage financing, land development, separation of marital assets, estate settlement, property tax appeal, foreclosure, expropriation, investment decision making, depreciation allocation, lease rate determination, expert testimony or replacement costs, the Landucation Appraisals team is often asked how long their commercial appraisals last for.
You always check the expiration date on the food in your fridge, why not take the same precaution for real estate? There is no concrete expiration date for real estate, but remember that there isn’t a lender in the world, let alone the Edmonton area, who plans to stay in business that will be willing to give you a loan based on an appraisal performed 30 years ago, or even one year ago. By and large, the standard is that appraisals performed between 60 and 90 days. This is typically a good rule of thumb, but it’s not an exact science.
So, if it’s been a while since the last time you got a commercial real estate appraisal, make sure you take the time to give us a call and get a current commercial appraisal.
Commercial Appraisal Tips
If you have never been through the commercial appraisal process, it can be a daunting because you want to do everything you can to tip the scales in your favor. Take it from us, this doesn’t really work. If you aren’t sure how to get the best possible appraisal, then you might want to review some of our top tips below.
The inspection isn’t everything. Depending on the size and complexity of the property to be appraised, it might take less than hour or it might take several hours to inspect. Some clients think that this is the entire process but it’s just the beginning. We also research public ownership and zoning records, investigate demographics and lifestyle information, compile comparable sales, replacement costs and rentals. We then analyze this information as it relates to the value of the property. The inspection is just the beginning.
Don’t try to misrepresent the facts. Commercial appraisers are professional skeptics. They will seek to verify anything that you tell them from other sources. So, if you try to fudge the facts, your appraiser will investigate it and if it turns out to be false, you will have hurt your credibility going forward.
Don’t withhold information. You will probably be asked if you can provide a property tax bill, a set of drawings of the property, income statements and other things. You might not know why an appraiser is asking you for something, but it is best to provide whatever you can. Dispute the appraisers value opinions and produce additional information that wasn’t provided from the onset, and you have wasted valuable time.
We understand that this process can be nerve-wracking, but whenever you act transparently and comply with what your commercial appraiser needs, the easier it will be for all parties involved.
Local Knowledge, Professional Advice
If you’re looking for a business with that extra level of personal consideration that only a family-run business can offer, look no further. Landucation Appraisals has been serving the Edmonton area like one of our own for more than two decades, so we know what we’re talking about.
We take our business seriously and strive to be the leading provider in local knowledge and professional advice. Using our substantial database, we can accurately identify trends, financial risks and future projections.
When you want a company that goes above and beyond, look to Landucation Appraisals, Not only do we provide detailed commercial property valuation, but we’re also here if you need feasibility studies, expert witness testimony as well as knowledge from up-to-date studies in land utilization, supply and demand.
Request a free quote by calling today! (888) 870-0204