Trick questions Flashcards
On google maps it looks like there is a telecommunications tower within the boundary?
Yes however it was no longer active. A planning application had been approved in 2020 for the removal of the telecommunications compound and creation of hardstanding area (for use by occupier of Unit 17) and erection of boundary fencing.
You said that you upheld the RICS Professional and Ethical Standards?
Yes - I am aware that these were superceded by the Rules of Conduct 2021.
If they ask what the P&E Standards are:
1. Integrity
2. High standard of service
3. Promote trust
4. Respect
5. Take responsibility
If can’t remember the above - say that they are similar to the Rules of Conduct but have a lesser focus on diversity, inclusion, and sustainability.
What is a WAULT?
Measures the average amount of time left for all a property’s current leases. Rather than a simple average, the WAULT is weighted because it takes into account the size of each tenant’s rent
How to calculate the net effective rent?
- Multiply annual rent by term certain
- Deduct rent free
- Divide by term certain and area
For the second step - you need to work out the rent free months as a proportion of the year e.g. if 6 months rent free, then that is 3 months after fit-out period, and then you do 3/12 = 0.25
How to calculate the WAULT?
Sum of contracted rents to expiry (or break) divided by the annual contracted rent
Did you cross-check with net effective rents?
Yes. My best comparable (unit 7 - 541 Blandford Rd in Poole) net effective was £8.31. The net effective rent for the Subject was £8.29 - very similar.
