Can anyone recommend either a good online calculator or (more likely) a repeatable process to quickly estimate the value of commercial real estate:
1) Warehouses
2) Countryside hotels (with land)
in the UK?
To be repeated several times to assess funding/structure options for various deals where the business owns its real estate. So not with an expensive on-site valuer.
The idea being that in the UK, you can get a 70% mortgage on commercial property. To assess how that fits into the overall financing/structure, I need to have an estimate of '70% of how much'. To get to LOI. And then post LOI, do a more thorough valuation exercise.
Multiple of rent is often mentioned, but establishing an arms-length level of rent is tough when the real estate and business belong to the same owner.
Any tips much appreciated!
Tips for quickly valuing UK commercial / hotel real estate?
by a searcher from University College London, University of London
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