Submission Pack - Potential Questions Flashcards
What are the five RICS rules of conduct?
: Rule 1: members and firms must be honest, act with integrity and comply with their professional obligations.
Rule 2: members and firms must maintain their professional competence and ensure that services are provided by competent individuals who have the necessary expertise
Rule 3: members and firms must provide good quality and diligent service
Rule 4: members and firms must treat others with respect and encourage diversity and inclusion
Rule 5: members and firms must act in the public interest, take responsibility for their actions and act to prevent harm and maintain public confidence in the professions.
Explain the potential offences that relate to being bribed?
Bribing, Receiving a bribe, bribing a foreign public official and failing to prevent bribery.
Who does the RICS professional standard countering bribery, corruption, money laundering and terrorist financing (2019) apply to?
This professional standard applies to all RICS members and RICS regulated firms involved with works where there is potential for bribery, corruption, money laundering and / or terrorist financing.
What is your company’s procedure for accepting gifts or hospitality?
I am required to decline any gifts or hospitality offers over the sum of £150. Regardless of the value and if I have accepted or declined, I will declare all gifts or hospitality on my company’s anti bribery form.
How would you determine whether a gift is reasonable and proportionate?
The value and nature of the expenditure is not disproportionate to the occasion.
Explain how you deal with sensitive and confidential material?
I would save the data in a location which can only be accessed by people within my team. I also ensure that I do not re-use the same password for multiple accounts.
Provide examples of how you might hold yourself in a professional manner?
I always communicate with my client in a clear manner and in a format that they can understand. I always ensure my client’s priorities are at the forefront of what I am doing.
Provide an example of when you might use an oral / visual / written communication?
Oral: a phone call / teams meeting for a general discussion on a given topic.
Visual: a presentation to a landowner / agent in a bid interview.
Written: a report requesting approval to exchange contracts on a new site.
What are the key considerations when deciding on your communication style?
Who is the target audience? Are there any time limits or urgency required? Do you need to record the communication in writing? Is there a history of communication between the parties? What is the most appropriate method of communication? What is the intended message?
Give an example of where you needed to be flexible to ensure the deal was progressed, but you still had your client’s expectations first?
When negotiating a contract with a vendor, my client wanted to ensure any increase in CIL was a deductible item from the land price within the contract. The vendor was unwilling to accept this, but my client similarly did not want to accept the risk. It was then decided this would be dealt with by way of onerous condition and we were able to walk away and be refunded for all of our costs on the project to date should the level of CIL reach a level where the scheme becomes unviable.
Explain the general duties of employees at work within section seven within the Health & Safety Act (1974)?
It shall be the duty of every employee while at work: to take reasonable care for the health and safety of himself and of other persons who may be affected by his acts or omissions at work and as regards a duty or requirement imposed on his employer or any other person by or under any of the relevant statutory provisions to cooperate.
Explain the purpose of the RICS guidance note on surveying safely (2018)?
The RICS guidance note on surveying safely is there to protect individuals from any harm across the globe and across industry and sectors and governmental organisations. This can be used at corporate level (RICS regulated firms) and for individual members of the RICS.
Explain your company’s lone working policy?
When working alone, I need to ensure I have made someone else in my team aware of this and told them where I am. I also need to make sure I have a mobile phone accessible to me at all times.
Name the 5 required pieces of PPE?
Hard hat, gloves, steel toe capped boots, high vis jacket / vest and safety goggles.
Explain what the purpose of a balance sheet / profit & loss account / cash flow statement is?
Balance sheet: a quantitative summary of a company’s financial position at a specific point in time
Profit & loss account: a financial statement that summaries the revenues generated, and costs incurred during a period of time.
Cashflow statement: a financial statement that shows how the cash of business was generated and spent during the year, broken down into – operating activities, investing activities and financial activities.
Explain the difference between an evidence-based opinion and an expert opinion?
Expert evidence is there to assist the tribunal in forming its independent judgement, where an opinion is developed using incomplete knowledge of facts.
Explain the difference between expert determination / arbitration / mediation?
Expert determination: a third part expert is appointed by the parties to a contract to make a decision on an issue – the expert’s opinion is usually binding and has a contractual affect between the parties.
Arbitration: A panel of arbitrators or an independent arbitrator is chosen by the parties to make a decision on the dispute – this is often used when the evidence is not straightforward.
Mediation: A neutral third party is brought in to help the parties to a dispute and negotiate a settlement.
Provide an example of when you have been diligent and cautious when retrieving data?
I was required to download and store a data room that had been issued to me by a agent. It was the first time I had been sent information from this agent. I therefore decided to send this to our internal IT team to check that the link was valid – this a mandatory procedure set by my client.
Explain the content within section two, chapter six and seven within the data protection act (2018)?
his section relates to the definition of a controller and public authority or body.
Controller: the person on whom the obligation to process the data is imposed by the enactment.
Public authority or body: for the purposes of GDPR when performing a task carried out in the public interest or in the exercise of official authority vested in it.
Explain the purpose of the GDPR regulations (2018)?
The GDPR regulations are there to: protect individual’s rights, establish a system of independent authorities and list the rights of data subjects.
What is your client’s procedure for handling data?
My client follows all of the policies set out in the data protection act (2018).
What are the protected characteristics of the equality act (2010)?
Age, disability, gender reassignment, marriage & civil partnership, pregnancy & maternity, race, religion or belief, sex and sexual orientation.
List some of the characteristics that create a collaborative and positive team environment?
Clear goals, defined roles, open communication, trust & respect, mutual support, diversity and adaptability.
Name some of the characteristics of a good team player?
Reliability, strong communication skills, adaptability, positive attitude, good problem-solving skills, initiative and commitment.
How can a building be designed to ensure it is inclusive for everyone?
Wheelchair accessible - M4(3), lifts, ramps, automatic doors, disabled bathrooms, clear and well-lit paths and adding assistive technology.
Name the three objectives within the NPFF that intend to achieve sustainable development?
Section 2 – economic objectives, social objectives and environmental objectives
Explain the fundamentals of the new Part S legislation?
Came into place in June 2022 and it gives in depth advice to help all new projects to comply with Part S of the building regulations by installing the appropriate charge points for electric vehicles. Part S applies to: new resi & non-resi buildings, buildings undergoing a material change of use to dwellings, resi & non-resi buildings undergoing major renovation and mixed-use buildings that are either new, or undergoing major renovation.
Apart from using LandInsight how would you look to collect new build and second-hand comparable evidence?
I would check Rightmove / Zoopla to understand what new build or second-hand properties are on the market for. Both of these websites also have a feature where you can see the sold prices of units (land registry have the same feature as well). I would also talk with estate agents to understand if they had sold anything in the area I was searching in and ask them to share comps / assumed pricing if they are able to.
Explain how you might also check the accuracy of a map that you might provide within a board report?
I would check who / what produced the map to understand if it was from a reputable / reliable source. I would also ensure it had a north arrow facing the correct way and a scale bar.
List the different types of measurement that could be used for measuring properties or land?
Measuring tape, rangefinders, aerial imagery, land software (check boundaries with the land reg) or a trundle wheel.
Explain the purpose of the RICS guidance note on the code of measuring practice?
The purpose of the code is to provide succinct, precise definitions to permit the accurate measurement of buildings and land.
Explain the difference between GIA, GEA & NIA and when you might use them?
GEA (Gross External Area): Town planning, council tax implications and build cost estimates for houses
GIA (Gross Internal Area): Estate agency, rating, build cost estimates for commercial assets and valuation for industrial / warehouses (approx. a 2-3% reduction from GEA).
NIA (Net Internal Area): Similar to GIA but for shops (approx.. 15% reduction from GIA) but is quite dependant on what it is being used for.
What key pieces of information does your client look for you to provide when you are undertaking a market appraisal?
£psf, capital value, sold date, type of property, freehold / leasehold and location of the unit.
Give an example of a market condition?
SDLT, rates, overseas buyers, development activity and interest / mortgage rates.
What are the limitations of a market appraisal?
They do not always account for the economic background / any market influences and they will not interpret the data i.e. they will not account for trends & hotspots, supply & demand etc.
Explain the purpose of CDM?
The CDM regulations aim to improve health and safety across all stages of a project’s development to minimise risk to workers and site visitors.
What is a duty holder in the context of CDM and provide a scenario when someone might become the duty holder?
A duty holder is a person or organisation that has legal responsibilities under the CDM Regs (2015) – they are responsible for managing the risk associated with construction project to ensure compliance with CDM guidelines.
An example of a duty holder could be the principal designer who is appointed by the client and manage, monitor and coordinate health and safety in the pre-construction phase of a project.
What is the purpose of the NPPF within the planning system?
The NPPF sets out how the government sees the planning system in England working in practice in accordance with primary and secondary legislation.
Primary legislation: acts of parliaments or statues – laws passed by the government
Secondary legislation: Codes, orders or regulations, these are laws made by ministers or other bodies under the powers given to them by an act of parliament.
Give an example of one of the relevant pieces of information you were required to include within your application at Rusper?
A biodiversity survey / report – these are required where development is likely to impact upon existing habitats and/or species.
What are the five methods of valuation?
Comparable method: uses market information to compare what you are trying to measure with other properties.
Investment method: used when there is an income stream to value – an implied growth rate is derived from the market capitalization rate (yield)
Discounted cash flow: seeks to determine the value of a property by examining its future net income or projected cash flow.
Profits method: Used where the value of the property depends upon the profitability of its business and its trading potential.
Residual & development appraisal method: Both are used to financially assess the financial viability of a scheme
Provide an example of when you have seen the value of a development site be affected when reviewing it?
When reviewing a site which had a detailed planning consent in Woodgate, I discovered that the landowner had signed up to a S.106 agreement which meant the incoming developer would have to pay c.£4m in 106 contributions. This meant that in order for me to produce a GPM satisfactory to my client, the value of land would have to significantly decrease.
Explain the purpose of the residual method and the potential pros and cons?
Residual appraisal: A specific valuation of a property holding to find the market value of the site based on market inputs – ‘at one moment in time’
Pros: accounts for all potential development costs, it provides a realistic value of site at a specific point in time, and it helps assess the viability of a project
Cons: Subjectivity of assumptions, speculative assumptions of the future, difficult to predict and requires detailed estimates.
Explain the purpose of the comparable method and the potential pros and cons?
Development appraisal: A calculation or series of calculations to establish the value/viability/profitability/suitability of a proposed development based upon the clients’ inputs
Pros: Easy to understand, based on actual market data, provides insights, reliable in a stable market, and widely accepted.
Cons: there can be a lack of comparable data (makes it inaccurate), subjectivity, market conditions, intangible factors (buyer / seller preferences), required access to sales data and doesn’t allow for future trends.
Explain how through value engineering you managed to reduce the build cost with your commercial team?
Myself and the commercial head reviewed the build cost inflation forecast over the expected project length and applied an accurate to include within the contingency pot. This produced a lower contingency than using my clients’ standard rates. We were required to present this to my client, and we got approval to proceed.
What is the difference between a residual and development appraisal?
A development appraisal is used to financially assess the viability of a development scheme, with inputs specific to the owner whereas a residual valuation uses market inputs to calculate the land value.
A development appraisal is prepared to reflect the particular circumstances of the developer rather an open market valuation.
Development appraisals have a role in residual valuations of development sites, but they are two different activities.
What are the fundamental inputs for a residual and development appraisal?
Build costs, professional fees, planning fees, marketing, letting & disposal costs, contingency and finance costs.
Name another external influence that may affect a development or residual appraisal?
Supply and demand – when engaging with HAs, they have suggested before that in certain areas / LAs there can be higher demand for rented products. This can often reduce the amount they can offer us as rent rates are often restricted through 106 agreements.
Where would you look to source accurate information on a build cost to inform a residual or development appraisal?
My client has internal commercial / estimating functions which I predominately use. If we were unable to, I would use the BCIS website.
