Development Appraisals - lvl 1 Flashcards
What is CIL?
What is S106?
What are the differences between CIL and S106?
How would you likely estimate the likely S106 and CIL contributions?
How can a development appraisal be used in valuing development?
Tell me about planning/costs/GDV/individual site elements in relation to a development appraisal.
What is a sensitivity analysis?
What variables might you change and why?
What factors affect the sensitivity of a development appraisal?
What is an S Curve?
What sources of information do you use when undertaking a development appraisal?
How do you calculate GDV/NDV/finance costs/project costs/project timescales etc?
How do you calculate developer’s profit?
What other metrics can you produce from a development appraisal?
What is the difference between a development appraisal and a residual land valuation?
What is a development appraisal seeking to measure?
What are the common output metrics?
Talk me through the key inputs when undertaking a development appraisal,
If you do not have specific figures, how do would you account for professional, legal and marketing fees?
How would you estimate build costs?
Which construction industry inflation indices can you use?
Where would you source reliable sales and value information?
How can you use comparable sales information to inform a development appraisal?
What is GDV?
What is IRR?
What is profit on cost?
What the difference between a DCF development appraisal and a ‘normal’ development appraisal?
How can you ensure your cash flow shape is accurate?
What is a discount rate/
On one site, which inputs might change if we are conducting a development appraisal for a specific client versus a generic development appraisal without a specific client in mind?
How would you decide what land value to input in your development appraisal?
When inputting build costs, what measurement basis do you use?
When inputting sales values, what measurement basis do you use?
Tell me about software you have used.
Give me a limitation on a piece of software you have used.
What is profit on cost/profit on GDV?
When would you use one/both of these?
What is the internal rate of return?
How does this differ according to your client’s requirements?
What is viability?
What are the main forms of finance available to developers?
How do you decide what financing rate to use?
What usually impacts a client’s financing rate?
How do you make sensible assumptions about the development programme? Who might you consult?
