Part 3: practice note 1 - revaluation 1995 - the contractor's basis - site values - percentage of building costs
The Valuation Office Agency's (VOA) technical manual for the rating of business (non-domestic) property.
The practice of adopting a percentage of ARC (Adjusted Replacement Cost of Buildings) as the site value input at Stage 3 of the Contractor’s Basis is appropriate for the following classes of hereditament.
|Central London||London Suburbs & Inner Home Counties||Outer Home Counties||Elsewhere|
|Class of Hereditament Maintained Schools|
|Public & Independent Schools|
|Universities & Other Higher Education Institutions|
|Hospitals & Clinics (Private)|
|Edge of Urban||-||20%||20%||10%|
|Public Conveniences||For all areas 5% where connected to mains drainage. De minimis where no mains drainage.|
*Advice to follow.
The percentage of ARC approach should not be used for classes of hereditament where the plot ratio is determined by design requirements which cannot be varied in order to economise on land-take in relatively high value areas (for example, Ambulance Stations and Fire Stations).
Where no percentage of ARC is suggested, the Valuer should have regard to the advice contained in Practice Note 1 para 5.
The areas may be defined as follows:-
|Central London||EC and WC postal districts, W1, W2, W11, W8, SW1, SW3, SW5, SW7, SW10.|
|London Suburbs and Inner Home Counties||Remaining London postal districts and parts of Kent, Surrey, Bucks, Herts and Essex within M25 boundary.|
|Outer Home Counties||Kent, Surrey, Sussex (East and West), Hampshire, Berkshire, Oxfordshire, Buckinghamshire, Hertfordshire, Bedfordshire, Essex, the Bournemouth section of Dorset and the City of Cambridge. (Except those parts of these counties within the M25).|
|Elsewhere||All other parts of England and the whole of Wales.|