Libraries
This publication is intended for Valuation Officers. It may contain links to internal resources that are not available through this version.
The hereditaments to which this section refers are those libraries which are open to the public and generally provided and funded by the local authority in whose administrative area they are situated. It also includes libraries which are open to the public at large but which are run and maintained by “not for profit” charitable trusts and voluntary organisations whether under the auspices of the local authority or not.
List description: library and premises
Scat code 156: suffix G
This is a Regional Valuation Unit class, except where otherwise determined by the CCT, normally responsibility for valuation will lie with the appropriate business unit. Queries of a complex nature arising from the valuation of individual properties should be referred to the civic buildings 1 class co-ordination team or the appropriate specialist in the National Valuation Unit (NVU)
NVU civics has overall responsibility for the co-ordination of this class. The team is responsible for the approach, accuracy and consistency of valuations for public libraries. The team will deliver practice notes describing the valuation basis for revaluation and provide advice as necessary during the life of the rating list. Caseworkers have a responsibility to:
- follow the advice given at all times
- not depart from the guidance given on appeals or maintenance work without approval from the co-ordination team
- seek advice from the co-ordination team should any issues arise that are not covered in this instruction
Libraries are a sui-generis class and consequently, as a general rule, only evidence relating to hereditaments in the same mode or category of use is pertinent.
See
- Scottish and Newcastle (Retail) Ltd v Williams (VO) (RA 2000 P 119) and the subsequent Court of Appeal decision –Williams (VO) v Scottish and Newcastle Retail and Allied Domecq [RA 2001 P 41]
- re the appeal of Reeves (VO) RA 2007 P168
- Dawkins (VO) v Royal Leamington Spa BC and Warwickshire County Council (1961) RVR 291.
6.1 Method of measurement
Public libraries may be valued by either the rentals method or by reference to the Contractors basis. The basis of valuation will determine the method of measurement required: Net Internal Area (NIA) in respect of the rentals method and Gross Internal Area (GIA) in respect of the Contractors basis. It will be necessary to ascertain the basis of valuation prior to inspection but in case of doubt sufficient measurement and survey information should be recorded to enable valuations to be carried out using either basis.
6.2 Description
The design, specification and size of public libraries varies enormously from small temporary structures of wood and felt construction to very impressive “flag ship” buildings. Generally libraries will fall into two categories these being central libraries and branch libraries. Central libraries have traditionally been the focal point of the library service often acting as a hub for book and other media provision within the local authority area. They may act as an administrative centre and may also incorporate specialist archive and IT facilities and will probably house the main county reference library. They will normally be housed in prestigious buildings which may be contemporary or historic. There will be 1 or 2 central libraries or libraries of equivalent character in each library authority area. Branch libraries are more varied in nature and their character and construction will depend upon the size of the community they serve.
6.3 Requirements
Unit of assessment
The principles referred to in Rating Manual: section 2 part 1 should be adhered to. In cases of difficulty advice from the Technical Advisor/NVU specialist should be obtained. The normal approach should be applied to the identification of hereditaments and no attempt should be made to aggregate property which on normal rating principles constitutes more than one hereditament. Recently(post 2010) some local authorities have moved to providing integrated “one stop” community hubs incorporating a range of services sometimes extending to include library, medical , administrative, sports and leisure services and a police presence all within one building . In these circumstances it is essential the rateable occupier of each part is ascertained and the correct unit(s) of assessment identified
Survey detail
The following information is required
i. A plan (CAD) or otherwise should be obtained where available and check dimensions made on site as necessary; otherwise a plan should be drawn up.
ii. Method of construction - for example traditional brick and tile or steel framed.
iii. Dimensions (where measured to NIA) and description of the accomm odation i.e. lending library, children’s library, archive, administrative office etc.
iv. Where the contractors basis is to be the method of valuation only the GIA of individual building(s) is required unless there is a significant variation in the type of accommodation.
For example a separate GIA will be required if an archive is located within the main library building and has its own distinct characteristics such as design features and plant for the control of humidity, fire and temperature.
v. Description and detail of services to the hereditament for exampleheating, air conditioning, security systems (to include CCTV, barriers, gates and perimeter fencing), solar panels, wind turbines, lifts, escalators etc.
vi. Number of car parking spaces for staff and visitors- or/and parking area, the nature of the surface, and a note of the extent of site landscaping
vii. The site area
Survey information including plans are to be stored on EDRM. Where the library is to be valued using the Contractors basis the GIA of the building(s) is to be entered onto the valuation spreadsheet held on the non-bulk server (NBS). Where the library is to be valued using the rentals method then data, utilising appropriate BCI and sub location codes, should be captured within RSA.
8.1 The rental method should be applied only where there is:
a. direct rental evidence or b. rental evidence derived from the letting of other libraries or c. there is sufficient evidence from other localities to establish that the rents relating to libraries are at a level commensurate with other modes or categories of use.
Where libraries are situated in shopping parades or centres in shop units with minimal fit out, retail rents may carry evidential weight providing it can be demonstrated that a library user would be prepared to pay retail rents to secure the unit (Scottish and Newcastle (Retail) Ltd v Williams (VO) 2000 RA 119) The quality of the rental evidence will depend upon its propinquity to the rating hypothesis and its proximity to the antecedent valuation date. New lettings involving building shells which are subsequently adapted or fitted out for library use may also be useful evidence of value, subject to appropriate adjustment for tenant’s improvements. Evidence on review of such hereditaments must be treated with extreme caution and not applied without sight of the actual lease terms on which the review is based; as such reviews may be geared to the value of the hereditament for alternative uses
8.2 In recent years some local authorities have passed over responsibility for the running of the library service to arms-length not for profit organisations and other voluntary bodies or groups of individuals. These arrangements may incorporate the grant of a lease or licence to use local authority owned assets. Full details, including copies of the lease and service agreements as between the provider and the local authority should be obtained and considered prior to the rents/fees passing under such leases being accepted as having any evidential weight.
8.3 As this class of hereditament does not lend itself to valuation using the receipts and expenditure method then in the absence of sufficient rental evidence to carry out a valuation using the rentals method the contractors basis of valuation should be applied by reference to Rating Manual section 4 part 3 and more particularly the practice note applicable to the relevant Rating List.
Valuations on the rentals method are to be carried out on the Rating Support Application. Valuations undertaken using the Contractors basis are to be carried out using the dedicated library spreadsheet held on the Non-Bulk Server (NBS).
1. Market appraisal
The number of public libraries in England and Wales has fallen since the 1 April 2015 as has the number of paid staff employed and the number of library visits by members of the public. There has been a reported increase in the number of voluntary staff.
Concern over falling library numbers and library visits resulted in the publication in 2014 of a Report entitled “The Independent Library Report for England” which recommended the creation of a libraries “task force”. The task force published the “libraries deliver” strategy in 2016. The strategy outlined a number of components for library development and identified what it considered as critical outcomes for individuals and communities in respect of library usage and has subsequently published a range of material concerned with the development and management of public libraries.
Notwithstanding the fall in the number of libraries local authorities retain an obligation to provide a comprehensive and efficient library service under the provision of section 7(1) of the Public Libraries and Museums Act 1964. However how this duty is undertaken is not specified and as funding has reduced in recent years so new methods of delivery have evolved such that in addition to local authority run libraries there are now:
- commissioned libraries which are part of the statutory service and funded by the local authority, but the running of the service has been transferred to a separate trust or organisation (e.g. a social or commercial enterprise)
- community-run libraries which have some level of ongoing support from the local authority, but staff may sometimes be volunteers. Work is according to a joint agreement such as a Service Level Agreement, Memorandum of Understanding or contract. It may or may not be counted as part of the statutory service
- an independent community library is managed by a non-local authority body and is outside the local authority statutory network
The trend toward co locating libraries with other local authority facilities such as sports and leisure centres or customer service centres, or with facilities occupied by other public bodies such as health centres to provide a “one stop” community service, continues as does the relocation of library facilities to other suitable available premises such as empty former retail outlets where it makes financial sense to do so. It has been reported that digitalisation continues and is likely to gather pace.
Examples of new build libraries can be readily identified researching the internet.
2. Changes from the last practice note
This Practice Note has been revised following the agreed GPCR of the 2017 List. It adopts similar principles but with updated levels of costs, allowances and adjustments. The flat roof allowance has been revised.
3. Ratepayer discussions
No discussions have taken place with any representative body or their agents
4. Valuation scheme
4.1 Valuation using rental evidence
Where libraries are situated in shopping parades or centres in shop units with minimal fit out, retail rents may be used as evidence as long as it can be demonstrated that a library user would be prepared to pay retail rents to secure the unit (Scottish and Newcastle (Retail) Ltd v Williams (VO) 2000 RA 119). The quality of the rental evidence will depend upon its propinquity to the rating hypothesis and its proximity to the AVD. New lettings involving building shells which are subsequently adapted or fitted out for library use may also be useful evidence of value, subject to appropriate adjustment for tenant’s improvements. Evidence on review of such hereditaments must be treated with extreme caution and not applied without sight of the actual lease terms on which the review is based; as such reviews may be geared to the value of the hereditament for alternative uses.
4.2 Valuation using the contractor’s basis
Where no direct rental evidence exists, the contractor’s basis should be used.
4.2.1 Stage 1 - estimated replacement cost
Building costs
Normally, with the exception of areas that are patently not used at the antecedent valuation date, the actual GIA should be used to calculate the Estimated Replacement Cost (Stage 1) of the building. In particular, basement book storage should (unless clearly surplus to requirements) be included at the full rate. The storage of books and archive materials is an essential part of a public library service and has not been overtaken by new technology.
However, exceptionally, where it can be demonstrated by reference to design criteria current at the antecedent valuation date that a branch library is too big, the substitute building approach may be considered. This does not apply to Central libraries. Where it is considered appropriate to adopt this approach to the valuation of a branch library the relevant specialist in the National Valuation Unit (NVU) must be consulted before proceeding.
The costs shown in Appendix A are for ease of reference. In all cases where a cost guide code is shown that must be input into the NBS template, not the costs shown here. Where the cost guide code shows options, the costs shown in this practice note should be used to aid selection. Should the cost guide show differing costs to those shown in a current version of this practice note, please refer to the Class Coordination Team (CCT).
The building cost to be adopted will depend whether the subject hereditament is a ‘central’ or ‘branch’ library. The identification of central libraries will generally be self evident and they will be located within the town or city centre. They are usually of more elaborated design than branch libraries.
All branch libraries should adopt the cost of the modern substitute irrespective of the construction type. The previous separate cost for ‘system built’ libraries is no longer appropriate and has been dispensed with. Exceptionally some branch libraries will be in the form of temporary buildings that have been brought to site on the back of a lorry. In such instances these should have the ‘temporary building’ cost applied as shown in Appendix A. Where the temporary building forms the entire library then the separate scale of external works and developed land additions should apply.
Should any difficulties arise in the classification please refer to NVU / CCT for guidance.
Iconic flagship buildings are to be dealt with on their own merits. When valuing such buildings, it is suggested that NVU / CCT guidance should be sought.
Temporary buildings
The costs for portable buildings are given in Appendix A below
4.2.2 External works
Additions are to be made in accordance with the guidelines given in Appendix B below.
4.2.3 Contract size adjustments should be made in accordance with Appendix C below.
4.2.4 Location factors are to be applied in accordance with Appendix D below.
4.2.5 An addition for fees should be made in accordance with Appendix E below.
4.2.6 Stage 2 – Age and obsolescence
The Estimated Replacement Cost (ERC) established at Stage 1 above is converted to Adjusted Replacement Cost (ARC) by applying an age and obsolescence allowance.
The standard age and obsolescence allowances (non–industrial) to be applied to the ERC of the individual blocks of permanent buildings are set out in Rating Manual: section 4 part 3 - the Contractor’s basis of valuation. The civic scale is applicable to permanent library buildings and is replicated at Appendix F (Table 1). For temporary buildings Appendix F (Table 2) will apply.
The scale contained in Table 1 Appendix F take into account the following salient points:
a) The revised age and obsolescence scale represents the combined age related physical depreciation along with functional obsolescence and technological redundancy exhibited by buildings of each age typical for their quality/specification and condition. It is anticipated that the stated allowances will be adopted in the majority of cases and only either moderated or increased in exceptional circumstances.
b) Extensions are to be given an allowance appropriate to their age unless of a lower specification than would be expected of a building of that age in which case the allowance should be increased to a level appropriate to reflect the specification of the building as a whole.
c) In respect of physical depreciation, the above scales are intended to reflect normal wear and tear and/or deterioration due to the age of the building. The scales assume an average degree of cyclical refurbishment work will have been undertaken, to include whole or partial renewal of building sub-components, most particularly relating to mechanical and electrical services and internal fit-out, but also including periodic renewal of roof coverings and windows.
d) It follows from the above that no adjustment away from the scales is required in the majority of cases where older buildings have been subject to modernisation and refurbishment works, as these are explicitly assumed to have occurred. An exception to this would be for a building taken back to shell and reconstructed with significant renewal of structural elements, where an abatement of age-related physical obsolescence may be required.
e) An example of a building requiring an abatement of the allowances provided by the scales (due to the mitigation of physical depreciation) would be where a major renovation has occurred utilising the original building foundations, frame (including upper floors) but with comprehensive replacement of the external envelope (walls, windows), a complete internal refit and wholescale replacement of mechanical and electrical services.
f) Conversely, the above scales will be insufficient to reflect physical obsolescence in cases where buildings are substantially un-modernised and in any case, the scales do not apply in instances where the hereditament is not repairable at reasonable cost and where it falls to be valued rebus sic stantibus.
g) To qualify as a substantially un-modernised building it is expected that the building will predominantly have the following:
-
single glazed windows;
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original internal layout;
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original ceiling height, with no suspended ceilings;
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original external walls;
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pre 1980 internal finishes (flooring, ceiling and walls, internal doors and fixtures and fittings).
h) In respect of functional and technological obsolescence, for buildings that remain in operational use, the scales include adjustments to reflect functional and technological deficiencies observable in buildings typical of their original period of construction but taking account of the level of assumed cyclical refurbishment reflected in the physical depreciation element of the scales.
i) The type of functional and technological obsolescence factors already reflected in the scales include the following:
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poor energy efficiency and/or environmental sustainability;
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inappropriate layout inhibiting flexible and efficient space utilization;
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modern health & safety, fire or building regulations that preclude or limit the original purposes of the building;
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dated design practices that restrict modern usage (such as lack of/or minimal floor and ceiling voids);
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the absence of modern space heating or air conditioning systems within a building;
j) It follows that only where buildings display specific functional deficiencies or issues of technological redundancy, that are atypical for their age, consideration should be given to applying an additional allowance.
k) One indicator that additional functional obsolescence is present such that the allowance provided by the scales should be adjusted is the presence of new and/or replacement facilities making the existing building surplus. Such replacement or other material redundancy should be considered and may result in the total redundancy of the pre-existing building, i.e. 100% obsolescence.
For the avoidance of doubt the age of the building should be taken as the date the building was completed.
Multi-floor allowances
An allowance of 7.5% overall should be made to the whole of individual pre-2005 buildings, of 4 or more floors where there are no lifts or they are inadequate. In the absence of evidence to the contrary, it will be assumed that pre-1980 buildings have inadequate or no lifts, but those completed between 1980 and 2005 have adequate lifts. Buildings completed in 2005 and afterwards will have adequate lifts to comply with the Disability Discrimination Act and relevant Building Regulations.
This allowance is intended to reflect the operational difficulties of housing a library in a multi-storey building, in particular the problems of the public moving between different storeys. Where the lower floors of a building are larger than the upper floors, the caseworker will need to make a judgement as to the extent to which the extended parts of the lower floors should also benefit from the multi-storey allowance. This will depend on the use of the extension in the context of the use of the building. Where the use in the extension is related to the use in the building then it will be appropriate to apply the allowance to the extended part.
Flat roof allowance
Permanent buildings built prior to 2005 with a flat roof are to receive an additional allowance. The allowance is not to be applied to temporary buildings, stores, workshops or garages.
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£80m2 ARC of the footprint of the flat roof for buildings constructed up to and including 2004.
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No allowance for flat roofs constructed from 2005 and onwards.
Where a building has varying roof types a reasonable apportionment should be made to arrive at the allowance.
What is flat as opposed to a pitched roof will generally be self-evident. In instances where an allowance is sought for pitched roofing caseworkers should seek advice from the National Valuation Unit before proceeding.
This allowance is not to be applied to libraries of temporary construction.
4.2.7 Stage 3 – land value
The developed land value additions are shown in Appendix G below and are taken as percentages of the total aggregate adjusted replacement cost. Developed land is defined as land consisting of the footprint of all buildings, associated landscaped areas, roadways, car parks, hard standings and paths. Any additional land on the site will be viewed as undeveloped land and valued as amenity land for the appropriate region as detailed in the 2023 Land Value Practice Note.
4.2.8 Stage 4 - de-capitalisation rate
The effective capital value (ECV) of the hereditament shall be de-capitalised to an annual equivalent by taking the prescribed (higher) rate. Please note that libraries are not educational buildings within the statutory meaning.
4.2.9 Stage 5 - end adjustments
Any advantage or disadvantage, which might affect the value of the occupation of the hereditament as a whole, should be reflected at this stage. An adjustment under this head should not duplicate adjustments made elsewhere. Issues that it may be pertinent to consider at this stage include:
For branch libraries instances where there is no on-site parking and no public car park or street parking in the vicinity then an end allowance of up to 5% may be appropriate. No allowances should be conceded for the lack of parking on town centre and city centre libraries.
Where a library has oil or LPG fired central heating an end allowance of 5% shall be applied to the valuation.
Limited opening hours
For small local libraries, typically less than £12,000 RV serving centres of population of less than 7,500 persons, the following allowances should be made, where the opening hours are less than 25 hours per week.
Research has been undertaken into the viability of small local libraries of the type identified above, which suggests that in many cases it would not be viable for local authorities to construct a substitute and would instead make provision of a mobile library service. It is recognised that the significant limiting of opening hours is a measure to reduce costs at these less viable facilities and reflects the low demand relative to the cost of supplying the service.
| Opening hours | % allowance |
|---|---|
| 21 to 25 hrs per week | 7.5 % |
| 18 to 20 hrs per week | 15 % |
| 15 to 17 hrs per week | 20 % |
| Less than 15 hrs | 25 % |
Nationally, there is an increasingly widespread implementation of what may be termed ‘Open Library’ or ‘Open+’ access arrangements. This uses technology to allow use of the library facilities outside of normal hours when unstaffed. Providing much greater access not only gains new users but also provides other benefits such as facilitating meeting space for local community groups etc.
In circumstances where such access arrangements are in place, no allowance for limited opening hours is appropriate.
4.3 Vacant libraries
Where a Library is vacant at AVD due to a lack of demand, and there is no prospect of an alternative use within the same mode or category of occupation, the hereditament should be shown in the list at RV of £0.
Where post AVD there is an MCC which results in the closure of the library, such as opening of a new library close by or demolition/decanting of a large area of housing close by, then this may be reflected at the appropriate date.
4.4 IT support
Where the contractor’s basis is appropriate the standard generic contractor’s Spreadsheet held on the Non-Bulk Server should be used for all valuations, selecting ‘Libraries’ from the drop-down menu.
Where the rentals method of valuation is employed, records should be captured and valuations carried out by applying an appropriate scheme using the Rating Support Application (RSA).
Appendix A
Building costs
The costs to be used in valuing this property class are given below.
| Cost Guide Code | Cost £/ m2 | |
|---|---|---|
| Central Libraries | 64500A | £2,450 |
| Branch Libraries | 64500D | £2,100 |
| Temporary Buildings with no WC | 42AC04 | £728 |
| Temporary Building, with WC | 42AC05 | £833 |
Iconic library buildings to be individually costed (see 4.2.1 above).
Appendix B
External works
The cost of external works is to be added in accordance with the following table.
| Central & Branch Libraries | Temporary Buildings | Building ratio*/description |
|---|---|---|
| 5% | 12.5% | Town centre or island site typically with 90% or greater building ratio, no more than a small yard or garden area, and either no car parking, or a very limited number of spaces within the hereditament. |
| 7.5% | 17.5% | As above, but typically with an 80% to 90% building ratio, limited parking, external lighting and landscaping and some boundary fencing. |
| 10% | 25% | Site typically with 50%/75% building ratio, some landscaping around buildings, secure boundary fencing, adequate parking, external lighting and landscaping with limited general parking within the hereditament and boundary fencing. |
| 12.5% | 30% | As above, but typically with 25%/50% building ratio, landscaping around buildings, secure boundary fencing, external lighting, adequate parking within the hereditament. |
Notes
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There may be some instances where a multi-storey library occupies a town or city centre island site with a building ratio in excess of 200% and no tangible land outside of the building footprint. In such circumstances a minimum 2.5% external works addition should be made.
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The plot ratio is the building GIA expressed as a percentage of the total site area (including building footprint).
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An appropriate percentage addition should be chosen from the above ranges to reflect the extent of external works within the hereditament using plot ratio as an indicative guide only.
Appendix C
Contract Size Adjustment
The adjustment for contract size should be made having regard to the total ERC (after adjustment for location but before the addition for fees) in accordance with the following scales:
| ERC £ | % Adjustment |
|---|---|
| Up to 0.25 million | + 10% max |
| 0.5 million | 8% |
| 0.75 million | 6% |
| 1.0 million | 4% |
| 1.5 million | 3% |
| 2.0 million | 2% |
| 3.0 million | 1% |
| 4.0 million | 0% |
| 5.0 million | -0.5% |
| 6.0 million | -1% |
| 8.0 million | -1.5% |
| 10.0 million | -2% |
| 15.0 million | -3% |
| 18.0 million | -4% |
| 20.0 million | -5% |
| 25.0 million | -6% |
| 35.0 million | -9% |
| Over 40.0 million | - 10% MAX |
NB. Intermediate figures may be interpolated.
Appendix D
Location Factors
N.B. The Regions referred to are administrative areas and are not significant boundaries.
| NORTH EAST REGION | NORTH WEST REGION | |||
|---|---|---|---|---|
| Durham County | 0.91 | Cheshire | 0.97 | |
| Northumberland | 0.95 | Greater Manchester | 0.97 | |
| Tees Valley | 0.94 | Lancashire | 0.97 | |
| Tyne & Wear | 0.91 | Merseyside | 0.97 | |
| Cumbria | 0.98 | |||
| YORKSHIRE & HUMBERSIDE REGION | SOUTH WESTERN REGION | |||
| East Riding and North Lincolnshire | 0.92 | Cornwall | 1.05 | |
| North Yorkshire | 0.98 | Devon | 1.01 | |
| South Yorkshire | 0.94 | Dorset | 1.04 | |
| West Yorkshire | 0.92 | Gloucestershire | 1.03 | |
| North Somerset | 1.02 | |||
| Somerset | 1.01 | |||
| Wiltshire | 1.03 | |||
| EAST MIDLANDS REGION | WEST MIDLANDS REGION | |||
| Derbyshire | 1.05 | Herefordshire | 0.92 | |
| Leicestershire and Rutland | 1.04 | Shropshire | 0.95 | |
| Lincolnshire | 1.03 | Staffordshire | 0.94 | |
| Northamptonshire | 1.09 | Warwickshire | 0.98 | |
| Nottinghamshire | 1.03 | West Midlands | 0.95 | |
| Worcestershire | 0.98 | |||
| EAST OF ENGLAND REGION | SOUTH EAST REGION (EXCL. LONDON) | |||
| Bedfordshire | 1.04 | Berkshire | 1.08 | |
| Cambridgeshire | 1.00 | Buckinghamshire | 1.07 | |
| Essex | 1.03 | East Sussex | 1.09 | |
| Hertfordshire | 1.07 | Hampshire | 1.05 | |
| Norfolk | 0.96 | Isle of Wight | 1.05 | |
| Suffolk | 0.97 | Kent | 1.09 | |
| Oxfordshire | 1.04 | |||
| Surrey | 1.13 | |||
| West Sussex | 1.08 |
| WALES | CENTRAL LONDON SOUTH | |||
|---|---|---|---|---|
| North Wales | Lambeth | 1.28 | ||
| Flintshire | 0.89 | Southwark | 1.28 | |
| Conwy | 0.93 | Wandsworth | 1.30 | |
| Denbighshire | 0.90 | |||
| Gwynedd | 0.97 | GREATER LONDON NORTH EAST | ||
| Isle of Anglesey | 0.95 | Hackney | 1.25 | |
| Wrexham | 0.91 | Haringey | 1.31 | |
| Newham | 1.18 | |||
| Mid Wales | Tower Hamlets | 1.26 | ||
| Carmarthenshire | 0.98 | Barking and Dagenham | 1.18 | |
| Ceredigion | 0.99 | Enfield | 1.18 | |
| Powys | 0.97 | Havering | 1.09 | |
| Pembrokeshire | 0.92 | Redbridge | 1.15 | |
| Waltham Forest | 1.18 | |||
| South Wales | GREATER LONDON NORTH WEST | |||
| Blaenau Gwent | 0.96 | Barnet | 1.23 | |
| Bridgend | 0.93 | Brent | 1.22 | |
| Caerphilly | 0.93 | Ealing | 1.27 | |
| Cardiff | 0.94 | Harrow | 1.18 | |
| Monmouthshire | 0.99 | Hillingdon | 1.16 | |
| Neath Port Talbot | 0.88 | Hounslow | 1.16 | |
| Newport | 0.95 | |||
| Rhondda, Cynon, Taff | 0.93 | GREATER LONDON SOUTH EAST | ||
| Swansea | 0.93 | Bexley | 1.25 | |
| Torfaen | 0.91 | Bromley | 1.21 | |
| Vale of Glamorgan | 0.97 | Croydon | 1.24 | |
| Greenwich | 1.24 | |||
| CENTRAL LONDON NORTH | Lewisham | 1.21 | ||
| Camden | 1.32 | |||
| City of London | 1.24 | GREATER LONDON SOUTH WEST | ||
| Hammersmith & Fulham | 1.32 | Kingston Upon Thames | 1.26 | |
| Islington | 1.29 | Merton | 1.24 | |
| Kensington & Chelsea | 1.34 | Richmond Upon Thames | 1.22 | |
| Westminster | 1.30 | Sutton | 1.20 | |
Appendix E
Professional Fees and Charges
Fees should be added at the percentages shown in the VOA published Cost Guide at Section 7. For convenience these are shown below inclusive of the 2% complexity addition. Note that minimum fees may apply to counter inversion.
| Size of Contract | % Adjustment |
|---|---|
| Sums up to £750,000 | 14% |
| £750,000 to £1,499,000 | 13.5% |
| £1,500,000 to £3,999,999 | 11.5% |
| £4,000,000 to £7,499,999 | 10.5% |
| £7,500,000 to £14,999,999 | 9.5% |
| Over £15,000,000 | 9% |
As an exception iconic flagship buildings are to be dealt with on their own merits. When valuing such buildings, it is suggested that NVU / CCT guidance should be sought.
Appendix F
Age & Obsolesence Allowances
Table 1: Civic Buildings Obsolescence Allowances
| Age | % Obsolescence | Age | % Obsolescence |
|---|---|---|---|
| 2023 | 0.00% | 1986 | 43.75% |
| 2022 | 0.75% | 1985 | 44.50% |
| 2021 | 1.50% | 1984 | 45.00% |
| 2020 | 2.50% | 1983 | 48.00% |
| 2019 | 3.50% | 1982 | 51.00% |
| 2018 | 4.75% | 1981 | 54.00% |
| 2017 | 6.00% | 1980 | 56.75% |
| 2016 | 7.25% | 1979 | 57.25% |
| 2015 | 8.50% | 1978 | 57.50% |
| 2014 | 10.00% | 1977 | 58.00% |
| 2013 | 11.25% | 1976 | 58.25% |
| 2012 | 12.75% | 1975 | 58.50% |
| 2011 | 14.25% | 1974 | 58.50% |
| 2010 | 15.75% | 1973 | 58.75% |
| 2009 | 17.25% | 1972 | 59.00% |
| 2008 | 18.75% | 1971 | 59.00% |
| 2007 | 20.25% | 1970 | 59.25% |
| 2006 | 21.75% | 1969 | 59.25% |
| 2005 | 23.25% | 1968 | 60.00% |
| 2004 | 24.50% | 1967 | 60.00% |
| 2003 | 26.00% | 1966 | 60.00% |
| 2002 | 27.50% | 1965 | 60.00% |
| 2001 | 28.75% | 1964 | 60.00% |
| 2000 | 30.00% | 1963 | 60.00% |
| 1999 | 31.25% | 1962 | 60.00% |
| 1998 | 32.50% | 1961 | 60.00% |
| 1997 | 33.75% | 1960 | 60.00% |
| 1996 | 35.00% | 1959 | 57.50% |
| 1995 | 36.00% | 1958 | 55.00% |
| 1994 | 37.00% | 1957 | 55.00% |
| 1993 | 38.00% | 1956 | 55.00% |
| 1992 | 39.00% | 1955 | 55% |
| 1991 | 40.00% | 1954 | 55% |
| 1990 | 40.75% | 1953 and earlier | 55% |
| 1989 | 41.50% | ||
| 1988 | 42.25% | ||
| 1987 | 43.00% |
Table 2 - Temporary Buildings Obsolescence Table
| Age | % Obsolescence | Age | % Obsolescence |
|---|---|---|---|
| 2023 | 0.00% | 2002 | 31.50% |
| 2022 | 1.50% | 2001 | 33.00% |
| 2021 | 3.00% | 2000 | 34.50% |
| 2020 | 4.50% | 1999 | 36.00% |
| 2019 | 6.00% | 1998 | 37.50% |
| 2018 | 7.50% | 1997 | 39.00% |
| 2017 | 9.00% | 1996 | 40.50% |
| 2016 | 10.50% | 1995 | 42.00% |
| 2015 | 12.00% | 1994 | 43.50% |
| 2014 | 13.50% | 1993 | 45.00% |
| 2013 | 15.00% | 1992 | 46.50% |
| 2012 | 16.50% | 1991 | 48.00% |
| 2011 | 18.00% | 1990 | 49.50% |
| 2010 | 19.50% | 1989 | 51.00% |
| 2009 | 21.00% | 1988 | 52.50% |
| 2008 | 22.50% | 1987 | 54.00% |
| 2007 | 24.00% | 1986 | 55.50% |
| 2006 | 25.50% | 1985 | 57.00% |
| 2005 | 27.00% | 1984 | 58.50% |
| 2004 | 28.50% | 1983 and earlier | 60.00% Max |
| 2003 | 30.00% |
Appendix G
Developed Land Value
| Geographic area in which library is located | Central Libraries | Branch Libraries | Branch Libraries Temporary Buildings |
|---|---|---|---|
| % Addition to ARC | % Addition to ARC | % Addition to ARC | |
| Central London N | 20.50% | 17.75% | 41.50% |
| Central London S | 12.75% | 11.25% | 26.00% |
| GLNW | 7.50% | 10.75% | 25.25% |
| GLSW | 7.25% | 12.50% | 29.00% |
| GLNE | 9.50% | 11.25% | 26.00% |
| GLSE | 7.75% | 9.00% | 21.25% |
| North East | 1.25% | 2.75% | 6.00% |
| North West | 2.00% | 4.50% | 10.25% |
| Yorkshire & Humberside | 2.25% | 4.75% | 10.50% |
| East Midlands | 1.00% | 2.50% | 5.25% |
| West Midlands | 2.00% | 4.50% | 9.75% |
| East of England | 5.00% | 11.00% | 24.75% |
| South East | 4.00% | 8.75% | 19.25% |
| South West | 2.50% | 5.50% | 12.25% |
| North Wales | 1.50% | 3.25% | 7.00% |
| South Wales | 2.00% | 4.50% | 9.75% |
| Cardiff | 5.25% | 11.50% | 25.75% |
For iconic libraries where bespoke costs have been adopted liaison is required with the Class Coordination Team member/National Valuation Unit.
1. Market appraisal
As with other publicly funded facilities, the provision of library services has decreased with the current tightening of public finances. The trend to reduce the number of outlets seems set to continue whilst the culture of library use is also changing with a decrease in the number of visits to libraries. The internet has played its part in the decline of library visits and this in itself has reflected in the way libraries have changed their operation with more space being devoted to providing IT facilities
As local authorities seek to save money smaller libraries are being located in local authority owned shops in parades or centres. There is a significant trend to locate libraries in the same building as other community facilities. These mixed use community hubs can contain sports facilities, doctor and dentist surgeries and IT facilities. Transferring library services to local Trusts and resident groups of volunteers is also adopted by some local authorities in order to achieve financial savings as is reduction in opening hours.
2. Changes from the last practice note
The sector is becoming increasingly more complex with the advent of libraries run by volunteers and trusts, libraries being affected by more restricted opening hours and libraries being part of a larger community hub building. These factors will affect the choice of valuation method to be adopted and the resultant rateable value calculation. When using the contractors basis as the preferred method of valuation, the following changes have been made.
-
The costs to be applied at Stage 1 of the contractors basis relate to the modern substitute and do not relate to the cost of replacing the actual building as was the approach adopted for the 2010 List.
-
The costs for ‘system built’ libraries has been discontinued following the implementation of the revised Stage 2 age and obsolescence scale.
-
The age and obsolescence allowances applied at Stage 2 now reflect the attributes and disadvantages of the actual buildings in comparison with the modern substitute and has been revised in line with other civic classes.
-
Stage 5 allowances have been also been reviewed as some previously expressed allowances are now properly reflected within the civic obsolescence scale (Stage 2).
3. Ratepayer discussions
Discussions have taken place with representatives of the Library sector namely Wilkes Head & Eve, Gerald Eve, Avison Young, Lambert Smith Hampton, Jones Lang LaSalle and Lancashire County Council as part of the Group Pre Challenge Review (GRCR) 36303579. The agreed scheme relates to those Libraries valued on the contractor’s basis.
4. Valuation scheme
4.1 Valuation using rental evidence
Where libraries are situated in shopping parades or centres in shop units with minimal fit out, retail rents may be used as evidence as long as it can be demonstrated that a library user would be prepared to pay retail rents to secure the unit (Scottish and Newcastle (Retail) Ltd v Williams (VO) 2000 RA 119). The quality of the rental evidence will depend upon its propinquity to the rating hypothesis and its proximity to the AVD. New lettings involving building shells which are subsequently adapted or fitted out for library use may also be useful evidence of value, subject to appropriate adjustment for tenant’s improvements. Evidence on review of such hereditaments must be treated with extreme caution and not applied without sight of the actual lease terms on which the review is based; as such reviews may be geared to the value of the hereditament for alternative uses.
4.2 Valuation using the contractor’s basis
Where no direct rental evidence exists, the contractor’s basis should be used.
4.2.1 Stage 1 - estimated replacement cost
Building costs
Normally, with the exception of areas that are patently not used at the antecedent valuation date, the actual GIA should be used to calculate the Estimated Replacement Cost (Stage 1) of the building. In particular, basement book storage should (unless clearly surplus to requirements) be included at the full rate. The storage of books and archive materials is an essential part of a public library service and has not been overtaken by new technology.
However, exceptionally, where it can be demonstrated by reference to design criteria current at the antecedent valuation date that a branch library is too big, the substitute building approach may be considered. This does not apply to Central libraries. Where it is considered appropriate to adopt this approach to the valuation of a branch library the relevant specialist in the National Valuation Unit (NVU) must be consulted before proceeding.
The costs shown in Appendix A are for ease of reference. In all cases where a cost guide code is shown that must be input into the NBS template, not the costs shown here. Where the cost guide code shows options, the costs shown in this practice note should be used to aid selection. Should the cost guide show differing costs to those shown in a current version of this practice note, please refer to the Class Coordination Team (CCT).
The building cost to be adopted will depend whether the subject hereditament is a ‘central’ or ‘branch’ library. The identification of central libraries will generally be self evident and they will be located within the town or city centre. They are usually of more elaborated design than branch libraries.
All branch libraries should adopt the cost of the modern substitute irrespective of the construction type. The previous separate cost for ‘system built’ libraries is no longer appropriate and has been dispensed with. Exceptionally some branch libraries will be in the form of temporary buildings that have been brought to site on the back of a lorry. In such instances these should have the ‘temporary building’ cost applied as shown in Appendix A. Where the temporary building forms the entire library then the separate scale of external works and developed land additions should apply.
Should any difficulties arise in the classification please refer to NVU / CCT for guidance.
Iconic flagship buildings are to be dealt with on their own merits. When valuing such buildings, it is suggested that NVU / CCT guidance should be sought.
Temporary buildings
The costs for portable buildings are given in Appendix A below
4.2.2 External works
Additions are to be made in accordance with the guidelines given in Appendix B below.
4.2.3 Contract size adjustments should be made in accordance with Appendix C below.
4.2.4 Location factors are to be applied in accordance with Appendix D below.
4.2.5 An addition for fees should be made in accordance with Appendix E below.
4.2.6 Stage 2 – Age and obsolescence
The Estimated Replacement Cost (ERC) established at Stage 1 above is converted to Adjusted Replacement Cost (ARC) by applying an age and obsolescence allowance.
The standard age and obsolescence allowances (non–industrial) to be applied to the ERC of the individual blocks of permanent buildings are set out in Rating Manual: section 4 part 3 - the Contractor’s basis of valuation. The civic scale is applicable to permanent library buildings and is replicated at Appendix F (Table 1). For temporary buildings Appendix F (Table 2) will apply.
The scale contained in Table 1 Appendix F take into account the following salient points:
a) The revised age and obsolescence scale represents the combined age related physical depreciation along with functional obsolescence and technological redundancy exhibited by buildings of each age typical for their quality/specification and condition. It is anticipated that the stated allowances will be adopted in the majority of cases and only either moderated or increased in exceptional circumstances.
b) Extensions are to be given an allowance appropriate to their age unless of a lower specification than would be expected of a building of that age in which case the allowance should be increased to a level appropriate to reflect the specification of the building as a whole.
c) In respect of physical depreciation, the above scales are intended to reflect normal wear and tear and/or deterioration due to the age of the building. The scales assume an average degree of cyclical refurbishment work will have been undertaken, to include whole or partial renewal of building sub-components, most particularly relating to mechanical and electrical services and internal fit-out, but also including periodic renewal of roof coverings and windows.
d) It follows from the above that no adjustment away from the scales is required in the majority of cases where older buildings have been subject to modernisation and refurbishment works, as these are explicitly assumed to have occurred. An exception to this would be for a building taken back to shell and reconstructed with significant renewal of structural elements, where an abatement of age-related physical obsolescence may be required.
e) An example of a building requiring an abatement of the allowances provided by the scales (due to the mitigation of physical depreciation) would be where a major renovation has occurred utilising the original building foundations, frame (including upper floors) but with comprehensive replacement of the external envelope (walls, windows), a complete internal refit and wholescale replacement of mechanical and electrical services.
f) Conversely, the above scales will be insufficient to reflect physical obsolescence in cases where buildings are substantially un-modernised and in any case, the scales do not apply in instances where the hereditament is not repairable at reasonable cost and where it falls to be valued rebus sic stantibus.
g) To qualify as a substantially un-modernised building it is expected that the building will predominantly have the following:
-
single glazed windows;
-
original internal layout;
-
original ceiling height, with no suspended ceilings;
-
original external walls;
-
pre 1980 internal finishes (flooring, ceiling and walls, internal doors and fixtures and fittings).
h) In respect of functional and technological obsolescence, for buildings that remain in operational use, the scales include adjustments to reflect functional and technological deficiencies observable in buildings typical of their original period of construction but taking account of the level of assumed cyclical refurbishment reflected in the physical depreciation element of the scales.
i) The type of functional and technological obsolescence factors already reflected in the scales include the following:
-
poor energy efficiency and/or environmental sustainability;
-
inappropriate layout inhibiting flexible and efficient space utilization;
-
modern health & safety, fire or building regulations that preclude or limit the original purposes of the building;
-
dated design practices that restrict modern usage (such as lack of/or minimal floor and ceiling voids);
-
the absence of modern space heating or air conditioning systems within a building;
j) It follows that only where buildings display specific functional deficiencies or issues of technological redundancy, that are atypical for their age, consideration should be given to applying an additional allowance.
k) One indicator that additional functional obsolescence is present such that the allowance provided by the scales should be adjusted is the presence of new and/or replacement facilities making the existing building surplus. Such replacement or other material redundancy should be considered and may result in the total redundancy of the pre-existing building, i.e. 100% obsolescence.
For the avoidance of doubt the age of the building should be taken as the date the building was completed.
Multi-floor allowances
An allowance of 7.5% overall should be made to the whole of individual pre-2005 buildings, of 4 or more floors where there are no lifts or they are inadequate. In the absence of evidence to the contrary, it will be assumed that pre-1980 buildings have inadequate or no lifts, but those completed between 1980 and 2005 have adequate lifts. Buildings completed in 2005 and afterwards will have adequate lifts to comply with the Disability Discrimination Act and relevant Building Regulations.
This allowance is intended to reflect the operational difficulties of housing a library in a multi-storey building, in particular the problems of the public moving between different storeys. Where the lower floors of a building are larger than the upper floors, the caseworker will need to make a judgement as to the extent to which the extended parts of the lower floors should also benefit from the multi-storey allowance. This will depend on the use of the extension in the context of the use of the building. Where the use in the extension is related to the use in the building then it will be appropriate to apply the allowance to the extended part.
Flat roof allowance
Allowances attributable to the presence of a flat roof have been amended to accord with current advice as to both the durability of modern coverings and market perception. Permanent buildings with a flat roof are to receive an additional allowance as follows:
a) £80m2 is to be applied to the footprint of the flat roof for buildings constructed up to and including 2004.
b) £60m2 is to be applied the footprint of the flat roof for buildings constructed after 2004.
Where a building has varying roof types a reasonable apportionment should be made to arrive at the allowance.
What is flat as opposed to a pitched roof will generally be self-evident. In instances where an allowance is sought for pitched roofing caseworkers should seek advice from the National Valuation Unit before proceeding.
This allowance is not to be applied to libraries of temporary construction.
4.2.7 Stage 3 – land value
The developed land value additions are shown in Appendix G below and are taken as percentages of the total aggregate adjusted replacement cost. Developed land is defined as land consisting of the footprint of all buildings, associated landscaped areas, roadways, car parks, hard standings and paths. Any additional land on the site will be viewed as undeveloped land and valued as amenity land for the appropriate region as detailed in the 2017 Land Value Practice Note.**\ **
4.2.8 Stage 4 - de-capitalisation rate
The effective capital value (ECV) of the hereditament shall be de-capitalised to an annual equivalent by taking the prescribed (higher) rate. Please note that libraries are not educational buildings within the statutory meaning.
4.2.9 Stage 5 - end adjustments
Any advantage or disadvantage, which might affect the value of the occupation of the hereditament as a whole, should be reflected at this stage. An adjustment under this head should not duplicate adjustments made elsewhere. Issues that it may be pertinent to consider at this stage include:
For branch libraries instances where there is no on-site parking and no public car park or street parking in the vicinity then an end allowance of up to 5% may be appropriate. No allowances should be conceded for the lack of parking on town centre and city centre libraries.
Where a library has oil or LPG fired central heating an end allowance of 5% shall be applied to the valuation.
Limited opening hours
For small local libraries, typically less than £10,000 RV serving centres of population of less than 7,500 persons, the following allowances should be made, where the opening hours are less than 25 hours per week.
Research has been undertaken into the viability of small local libraries of the type identified above, which suggests that in many cases it would not be viable for local authorities to construct a substitute and would instead make provision of a mobile library service. It is recognised that the significant limiting of opening hours is a measure to reduce costs at these less viable facilities and reflects the low demand relative to the cost of supplying the service.
| Opening hours | % allowance |
|---|---|
| 21 to 25 hrs per week | 7.5 % |
| 18 to 20 hrs per week | 15 % |
| 15 to 17 hrs per week | 20 % |
| Less than 15 hrs | 25 % |
Nationally, there is an increasingly widespread implementation of what may be termed ‘Open Library’ or ‘Open+’ access arrangements. This uses technology to allow use of the library facilities outside of normal hours when unstaffed. Providing much greater access not only gains new users but also provides other benefits such as facilitating meeting space for local community groups etc.
In circumstances where such access arrangements are in place, no allowance for limited opening hours is appropriate.
4.3 Vacant libraries
Where a Library is vacant at AVD due to a lack of demand, and there is no prospect of an alternative use within the same mode or category of occupation, the hereditament should be shown in the list at RV of £0.
Where post AVD there is an MCC which results in the closure of the library, such as opening of a new library close by or demolition/decanting of a large area of housing close by, then this may be reflected at the appropriate date.
4.4 IT support
Where the contractor’s basis is appropriate the standard generic contractor’s Spreadsheet held on the Non-Bulk Server should be used for all valuations, selecting ‘Libraries’ from the drop-down menu.
Where the rentals method of valuation is employed, records should be captured and valuations carried out by applying an appropriate scheme using the Rating Support Application (RSA).
Appendix A
Building costs
The costs to be used in valuing this property class are given below.
| Cost Guide Code | Cost £/ m2 | |
|---|---|---|
| Central Libraries | 64500A | £1,997 |
| Branch Libraries | 64500D | £1,716 |
| Temporary Buildings, without WC | 42AC04 | £619 |
| Temporary Building, with WC | 42AC05 | £709 |
Iconic library buildings to be individually costed (see 4.2.1 above).
Appendix B
External works
The cost of external works is to be added in accordance with the following table.
| Central & Branch Libraries | Temporary Buildings | Building ratio*/description |
|---|---|---|
| 5% | 12.5% | Town centre or island site typically with 90% or greater building ratio, no more than a small yard or garden area, and either no car parking, or a very limited number of spaces within the hereditament. |
| 7.5% | 17.5% | As above, but typically with an 80% to 90% building ratio, limited parking, external lighting and landscaping and some boundary fencing. |
| 10% | 25% | Site typically with 50%/75% building ratio, some landscaping around buildings, secure boundary fencing, adequate parking, external lighting and landscaping with limited general parking within the hereditament and boundary fencing. |
| 12.5% | 30% | As above, but typically with 25%/50% building ratio, landscaping around buildings, secure boundary fencing, external lighting, adequate parking within the hereditament. |
Notes
-
There may be some instances where a multi-storey library occupies a town or city centre island site with a building ratio in excess of 200% and no tangible land outside of the building footprint. In such circumstances a minimum 2.5% external works addition should be made.
-
The plot ratio is the building GIA expressed as a percentage of the total site area (including building footprint).
**3. **An appropriate percentage addition should be chosen from the above ranges to reflect the extent of external works within the hereditament using plot ratio as an indicative guide only.
Appendix C
Contract size adjustment
The adjustment for contract size should be made having regard to the total ERC (after adjustment for location but before the addition for fees) in accordance with the following scales:
| ERC £ | % Adjustment |
|---|---|
| Up to 0.25 million | + 10% max |
| 0.5 million | + 8% |
| 0.75 million | +6% |
| 1.0 million | +4% |
| 1.5 million | +2% |
| 2.0 million | +1% |
| 3.0 million | ZERO |
| 4.0 million | -1% |
| 5.0 million | -2% |
| 7.0 million | -3% |
| 10.0 million | -4% |
| 15.0 million | -5% |
| 18.0 million | -6% |
| 20.0 million | -7% |
| 25.0 million | -8% |
| 35.0 million | -9% |
| Over 40.0 million | - 10.0% MAX |
NB. Intermediate figures may be interpolated.
Appendix D
Location factors
N.B. The Regions referred to are administrative areas and are not significant boundaries.
| NORTH EAST REGION | NORTH WEST REGION | |||
|---|---|---|---|---|
| Durham County | 0.98 | Cheshire | 0.91 | |
| Northumberland | 1.02 | Greater Manchester | 0.91 | |
| Tees Valley | 1.01 | Lancashire | 0.91 | |
| Tyne & Wear | 0.98 | Merseyside | 0.91 | |
| Cumbria | 0.91 | |||
| YORKSHIRE & HUMBERSIDE REGION | SOUTH WESTERN REGION | |||
| East Riding and North Lincolnshire | 0.91 | Cornwall | 1.03 | |
| North Yorkshire | 0.97 | Devon | 1.01 | |
| South Yorkshire | 0.93 | Dorset | 1.03 | |
| West Yorkshire | 0.91 | Gloucestershire | 1.02 | |
| North Somerset | 1.01 | |||
| Somerset | 1.00 | |||
| Wiltshire | 1.02 | |||
| EAST MIDLANDS REGION | WEST MIDLANDS REGION | |||
| Derbyshire | 1.06 | Herefordshire | 0.91 | |
| Leicestershire and Rutland | 1.04 | Shropshire | 0.93 | |
| Lincolnshire | 1.05 | Staffordshire | 0.92 | |
| Northamptonshire | 1.10 | Warwickshire | 0.96 | |
| Nottinghamshire | 1.04 | West Midlands | 0.94 | |
| Worcestershire | 0.96 | |||
| EAST OF ENGLAND REGION | SOUTH EAST REGION (EXCL. LONDON) | |||
| Bedfordshire | 1.03 | Berkshire | 1.12 | |
| Cambridgeshire | 0.99 | Buckinghamshire | 1.11 | |
| Essex | 1.04 | East Sussex | 1.14 | |
| Hertfordshire | 1.07 | Hampshire | 1.09 | |
| Norfolk | 0.96 | Isle of Wight | 1.08 | |
| Suffolk | 0.98 | Kent | 1.13 | |
| Oxfordshire | 1.08 | |||
| Surrey | 1.17 | |||
| West Sussex | 1.12 |
| WALES | CENTRAL LONDON SOUTH | |||
|---|---|---|---|---|
| North Wales | Lambeth | 1.17 | ||
| Flintshire | 0.90 | Southwark | 1.17 | |
| Conwy | 0.94 | Wandsworth | 1.19 | |
| Denbighshire | 0.91 | |||
| Gwynedd | 0.98 | GREATER LONDON NORTH EAST | ||
| Isle of Anglesey | 0.96 | Hackney | 1.15 | |
| Wrexham | 0.93 | Haringey | 1.18 | |
| Newham | 1.08 | |||
| Mid Wales | Tower Hamlets | 1.15 | ||
| Carmarthenshire | 0.98 | Barking and Dagenham | 1.06 | |
| Ceredigion | 1.01 | Enfield | 1.08 | |
| Powys | 0.99 | Havering | 0.98 | |
| Pembrokeshire | 0.93 | Redbridge | 1.05 | |
| Waltham Forest | 1.07 | |||
| South Wales | GREATER LONDON NORTH WEST | |||
| Blaenau Gwent | 0.97 | Barnet | 1.09 | |
| Bridgend | 0.95 | Brent | 1.11 | |
| Caerphilly | 0.95 | Ealing | 1.16 | |
| Cardiff | 0.96 | Harrow | 1.06 | |
| Monmouthshire | 1.01 | Hillingdon | 1.07 | |
| Neath Port Talbot | 0.90 | Hounslow | 1.06 | |
| Newport | 0.96 | |||
| Rhondda, Cynon, Taff | 0.94 | GREATER LONDON SOUTH EAST | ||
| Swansea | 0.94 | Bexley | 1.12 | |
| Torfaen | 0.94 | Bromley | 1.09 | |
| Vale of Glamorgan | 0.98 | Croydon | 1.12 | |
| Greenwich | 1.13 | |||
| CENTRAL LONDON NORTH | Lewisham | 1.10 | ||
| Camden | 1.19 | |||
| City of London | 1.11 | GREATER LONDON SOUTH WEST | ||
| Hammersmith & Fulham | 1.18 | Kingston Upon Thames | 1.14 | |
| Islington | 1.16 | Merton | 1.13 | |
| Kensington & Chelsea | 1.23 | Richmond Upon Thames | 1.12 | |
| Westminster | 1.19 | Sutton | 1.10 |
Appendix E
Professional fees and charges
Fees should be added at the percentages shown in the VOA published Cost Guide at Section 7. For convenience these are shown below inclusive of the 2% complexity addition. Note that minimum fees may apply to counter inversion.
| Size of Contract | % Adjustment |
|---|---|
| Sums up to £750,000 | 14% |
| £750,000 to £1,499,000 | 13% |
| £1,500,000 to £3,999,999 | 11.5% |
| £4,000,000 to £7,499,999 | 10.5% |
| £7,500,000 to £14,999,999 | 9.5% |
| Over £15,000,000 | 9.0% |
As an exception iconic flagship buildings are to be dealt with on their own merits. When valuing such buildings, it is suggested that NVU / CCT guidance should be sought.
Appendix F
Age & obsolesence allowances
Table 1: Civic buildings obsolescence allowances
| Year of Building Completion | % Age and Obsolescence Allowance | Year of Building Completion | % Age and Obsolescence Allowance |
|---|---|---|---|
| 2017 | 0.00% | 1985 | 40.00% |
| 2016 | 0.75% | 1984 | 40.75% |
| 2015 | 1.50% | 1983 | 44.00% |
| 2014 | 2.50% | 1982 | 47.25% |
| 2013 | 3.50% | 1981 | 50.50% |
| 2012 | 4.75% | 1980 | 53.75% |
| 2011 | 6.00% | 1979 | 54.50% |
| 2010 | 7.25% | 1978 | 55.00% |
| 2009 | 8.50% | 1977 | 55.50% |
| 2008 | 10.00% | 1976 | 56.00% |
| 2007 | 11.25% | 1975 | 56.50% |
| 2006 | 12.75% | 1974 | 56.75% |
| 2005 | 14.25% | 1973 | 57.25% |
| 2004 | 15.75% | 1972 | 57.50% |
| 2003 | 17.25% | 1971 | 58.00% |
| 2002 | 18.75% | 1970 | 58.25% |
| 2001 | 20.25% | 1969 | 58.50% |
| 2000 | 21.75% | 1968 | 58.50% |
| 1999 | 23.25% | 1967 | 58.75% |
| 1998 | 24.50% | 1966 | 59.00% |
| 1997 | 26.00% | 1965 | 59.00% |
| 1996 | 27.50% | 1964 | 59.25% |
| 1995 | 28.75% | 1963 | 59.25% |
| 1994 | 30.00% | 1962 | 60.00% |
| 1993 | 31.25% | 1961 | 60.00% |
| 1992 | 32.50% | 1960 | 60.00% |
| 1991 | 33.75% | 1959 | 57.50% |
| 1990 | 35.00% | 1958 | 55.00% |
| 1989 | 36.00% | 1957 | 55.00% |
| 1988 | 37.00% | 1956 | 55.00% |
| 1987 | 38.00% | 1955 and earlier | 55.00% |
| 1986 | 39.00% |
Table 2 - Temporary buildings obsolescence table
| Age | % Obsolescence | Age | % Obsolescence |
|---|---|---|---|
| 2017 | 0.00% | 1996 | 31.50% |
| 2016 | 1.50% | 1995 | 33.00% |
| 2015 | 3.00% | 1994 | 34.50% |
| 2014 | 4.50% | 1993 | 36.00% |
| 2013 | 6.00% | 1992 | 37.50% |
| 2012 | 7.50% | 1991 | 39.00% |
| 2011 | 9.00% | 1990 | 40.50% |
| 2010 | 10.50% | 1989 | 42.00% |
| 2009 | 12.00% | 1988 | 43.50% |
| 2008 | 13.50% | 1987 | 45.00% |
| 2007 | 15.00% | 1986 | 46.50% |
| 2006 | 16.50% | 1985 | 48.00% |
| 2005 | 18.00% | 1984 | 49.50% |
| 2004 | 19.50% | 1983 | 51.00% |
| 2003 | 21.00% | 1982 | 52.50% |
| 2002 | 22.50% | 1981 | 54.00% |
| 2001 | 24.00% | 1980 | 55.50% |
| 2000 | 25.50% | 1979 | 57.00% |
| 1999 | 27.00% | 1978 | 58.50% |
| 1998 | 28.50% | 1977 | 60.00% |
| 1997 | 30.00% | Pre 1976 | By Agreement |
Appendix G
Developed land value
| Geographic area in which library is located | Central Libraries | Branch Libraries | Branch Libraries Temporary Buildings | ||
|---|---|---|---|---|---|
| % Addition to ARC | % Addition to ARC Urban Location | % Addition to ARC Rural Location | % Addition to ARC Urban Location | % Addition to ARC Rural Location | |
| Central London N | 31.25% | 33.50% | N/A | 73.25% | N/A |
| Central London S | 11.75% | 12.75% | N/A | 27.75% | N/A |
| GLNW | 4.50% | 8.00% | N/A | 17.25% | N/A |
| GLSW | 10.50% | 22.75% | N/A | 49.50% | N/A |
| GLNE | 6.50% | 11.75% | N/A | 25.75% | N/A |
| GLSE | 8.25% | 14.50% | N/A | 32.00% | N/A |
| North East | 1.00% | 2.50% | 1.25% | 5.50% | 2.75% |
| North West | 2.00% | 5.50% | 2.75% | 11.75% | 6.00% |
| Yorkshire & Humberside | 1.75% | 4.75% | 2.25% | 10.25% | 5.00% |
| East Midlands | 1.00% | 2.50% | 1.25% | 5.50% | 2.75% |
| West Midlands | 1.75% | 4.50% | 2.25% | 9.75% | 5.00% |
| East of England | 3.25% | 8.75% | 4.25% | 18.75% | 9.25% |
| South East | 3.25% | 8.25% | 4.25% | 17.75% | 8.75% |
| South West | 2.25% | 6.00% | 3.00% | 12.75% | 6.25% |
| North Wales | 1.50% | 3.75% | 2.00% | 8.25% | 4.00% |
| South Wales | 2.00% | 5.00% | 2.50% | 10.75% | 5.25% |
| Cardiff | 4.75% | 12.50% | N/A | 26.75% | N/A |
Notes
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Caseworkers should use their own discretion in deciding between “urban” and “rural” categories, but it is suggested that libraries located in villages with a population in excess of 3,000 and above should be regarded as urban in this context.
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For iconic libraries where bespoke costs have been adopted liaison is required with the Class Coordination Team member/National Valuation Unit.
1. Co-ordination Arrangements
This is a generalist class. Responsibility for ensuring effective co-ordination lies with NDR business units.. For more information see Rating Manual - section 6 part 1: Practice Note 1: 2010.
The R 2010 Special Category Code 156 should be used. The appropriate suffix letter is G.
2. Approach to the Valuation
Caseworkers should have regard to the contents of RM 5: Section 620 in carrying out valuations for the 2010 Rating Lists.
The following guidance relates to the valuation for rating purposes of Public Libraries other than those for which, rebus sic stantibus (as it stands), a rental market exists. The valuation approach to be applied is the Contractors Basis.
Care should also be taken when valuing libraries occupied by parish councils or bodies other than local authorities where a rent may be passing and for which regard may need to be had to ability to pay.
Where a Library is located in a former shop or office with little or no adaptation and there exists recent direct evidence of a new letting demonstrating that the rent passing is commensurate with local rental tone, the library may be valued by reference to that direct rental evidence. New lettings involving building shells which are subsequently adapted or fitted out for library use may also be useful evidence of value, subject to appropriate adjustment for tenant’s improvements. Evidence on review of such hereditaments must be treated with extreme caution and not applied without sight of the actual lease terms on which the review is based; as such reviews may be geared to the value of the hereditament for alternative uses.
For an account of the background to the public library service, see Appendix 1 to R2000 Practice Note.
The following website also provides useful information on the design/construction of library buildings;
http://www.designinglibraries.org.uk
This property is valued using the non-bulk server. The manual can be accessed here.
3. The Contractors Basis
3.1 Stage 1 (Building Cost)
Normally, with the exception of areas that are patently not used, the actual GIA should be used to calculate the Estimated Replacement Cost (Stage 1) of the building. In particular, basement book storage should (unless clearly surplus to requirements) be included at the full rate. The storage of books and archive materials is an essential part of a public library service and has not been overtaken by new technology. However, exceptionally, where it can be demonstrated by reference to design criteria current at the antecedent valuation date that a branch library is too big the substitute building approach maybe considered. This does not apply to Central libraries. (Where it is considered appropriate to adopt this approach to the valuation of a branch library the relevant specialist in NVU must be consulted before proceeding). In valuing main libraries that are of elaborate design it should be assumed that the library authority would still require one or two central libraries within its area, and so a cost higher than that typically used for branch libraries should be applied.
The costs to be applied are:
| Age | Central Libraries | Branch Libraries |
| Post 2006 | £1,920/m2 | 1,650/m2 |
| 2005 -2006 | £1,862/m2 | £1,600/m2 |
| 1995 – 2004 | £1,730/m2 | £1,475/m2 |
| 1985 – 1994 | £1,471/m2 | £1,274/m2 |
| Pre 1985 | £1,305/m2 | £1,084 /m2 |
These costs are based on a building without air conditioning, where this exists an addition to the basic cost will need to be applied depending upon the particular circumstances. For larger &/or more modern Libraries a certain amount of mechanical air handling, falling short of full air conditioning, may be treated as being reflected within the Build Cost.
The costs above should not be applied when assessing iconic flagship buildings such as for example the British Library, the Library of Birmingham and Canada Water in Southwark. Libraries such as these are to be cost on their own merits, having regard to actual costs where appropriate.
Multi Storey Allowance
The following general allowances should be made to the whole of individual buildings with the following number of storeys. To this end, each principal building should be considered separately:
| Branch Library | Central Library | |
| 3 storeys | 5% | Nil |
| 4 storeys | 10% | 2.5% |
| 5 - 7 storeys | 17.5% | 7.5% |
| 8 storeys & over | 22.5% on 8th floor & above, 17.5% on 7th floor & below | 12.5% on 8th floor & above, 7.5% on 7th floor & below |
The differential between Branch & Central Libraries is that the latter tend to have more departments, which may typically suit a layout of up to 3 storeys.
These allowances are intended to reflect the operational difficulties of housing a library in a multi-storey building. In particular, they reflect the problems of members of the public moving between different storeys. Where the lower floors of a building are larger than the upper floors, the caseworker will need to make a judgement as to the extent to which the extended parts of the lower floors should also benefit from the multi-storey allowance. This will depend on the use of the extension in the context of the use of the building. Where the use in the extension is related to the use in the building then it will be appropriate to apply the allowance to the extended part.
System Built Libraries
The cost to be adopted in respect of a system built library will be in the range of £850 –1050 per m2. The lower end of the range will apply, typically, to a lightweight steel framed building with infill panels and flat felt roof, whilst the upper end of the range will be used for a partly brick built structure with some infill panels and pitched felt roof.
Portable Buildings
| Adjusted £/m2 | Adjusted £/m2 | |
| Date | Temp, no WC (TN) | Temp, with WC (TW) |
| Pre 1995 1995 – 1999 2000 – 2002 2003 Onwards | £302/m2 £431/m2 £493/m2 £520/m2 | £353/m2 £506/m2 £579/m2 £607/m2 |
The date of any building shall be taken to be 12 months prior to its first use. Where a building has been substantially altered at a later date, its date for the purpose of these tables should be adopted as being representative of the building as a whole.
The costs shown in the table above are exclusive of fees and external works. This cost reflects standard obsolescence for this type of building and no further allowance should be made.
External Works
An addition for external works would typically be in the range of 2 ½ % - 10 %. The following percentages would normally apply but are not intended to be prescriptive: -
| Description | Max. Addition |
| A site with almost 100% site coverage or a branch library with only garden areas and no parking. * In exceptional circumstances, for libraries where plot ratio is typically over 800% with minimal external works, a minimum addition of 1% may be applied. | 2 ½ %* |
| A site with possibly 2-3 car parking spaces for staff/public & a minimal amount of landscaping. | 5 % |
| A site with adequate car parking typically 4-7 spaces and sufficient landscaping. | 7 ½ % |
| An expansive site, with in excess of 8 spaces and significant amounts of landscaping. | 10 % |
Where actual landscaping is considered to be excessive and would not be replicated in the modern substitute, the appropriate external works percentage should be arrived at having regard to the lesser notional external works.
When considering the appropriate addition regard should be had not only to the extent of the external works but also to the number of storeys as this will increase the ERC without necessarily increasing the cost of external works.
Contract Size & Location Adjustments
Contract size adjustments should be made, and location factors applied in respect of this class in accordance with the scales in the cost guide.
Fees
Guidance on the amount to be added for fees is provided by the R2010 Cost Guide. An addition for fees of 13% is appropriate for most libraries. The exceptions being system built libraries where 10% and portable buildings where 7 ½ % would be appropriate.
3.2 Stage 2 (Age and Obsolescence Allowances)
The following scale is intended to provide a degree of uniformity of allowance but need not rigidly be applied. In the case of buildings which have been significantly refurbished a lower allowance may be applied, particularly where the works undertaken have enabled internal re-modelling to improve the functional aspects of the library. The allowances should not be applied to portable buildings
| Year of Completion | % Allowance |
| 2000 onwards | 0 – 5 |
| 1990 – 1999 | 6 – 15 |
| 1985 – 1989 | 16 – 20 |
| 1970 – 1984 | 21 – 35 |
| 1960 – 1969 | 36 – 45 |
| Pre 1960 | 45 – 50 |
It would not normally be appropriate to make an allowance in excess of 50%, since few buildings of this age are likely to exist in their original form. Most will have been the subject of modernisation programs and will have been improved to a standard comparable with a more recent age band. Higher allowances should therefore only be granted in exceptional circumstances, on particular facts.
Care should be taken when considering the potential difficulties of implementing policies on new technologies e.g. The New Library Network .The most significant cost element there will be in the provision of non-rateable elements (multi-media terminals) which do not impact on the value of the hereditament. Only the provision of additional wiring and sockets would affect rateable value. Space requirements to fulfil the possible need to provide for new technologies will be less problematic where efficient book management systems are in place to reduce shelf-space requirements.
Limited Opening Hours
For small local libraries typically less than £10,000 RV serving centres of population of less than 7,500 persons the following allowances should be made where the opening hours are less than 25 hours per week.
Research has been undertaken into the viability of small local libraries of the type identified above, which suggests that in many cases it would not be viable for local authorities to construct a substitute and would instead make provision of a mobile library service. It is recognised that the significant limiting of opening hours is a measure to reduce costs at these less viable facilities and reflects the low demand relative to the cost of supplying the service.
Opening Hours
Allowance
21 – 25 hrs per week
7.5 %
18 – 20 hrs per week
15 %
15 – 17 hrs per week
20 %
Less than 15 hrs
25 %
The above scale is to be applied sequentially, after any standard age and obsolescence allowance. For the avoidance of doubt, these Stage 2 allowances should not be aggregated prior to being applied and therefore any allowance for limited opening hours should be applied to the figure already depreciated for Age & Obsolescence.
3.3 Stage 3: Land Value
The following percentages are recommended to be applied to the results of Stages 1 and 2 to arrive at the appropriate land value:
Location
Central Libraries
Urban Branch Libraries
Rural Branch Libraries
Central London
20%
40%
N/a
Inner London (exc Central London)
17.5%
25%
N/a
Outer London
15%
21%
N/a
M 25 belt
12.75%
15.5%
7.75%
Rest of South East
7.5%
9.25%
4.625%
Rest of England & Wales
5.5%
6.5%
3.25%
For the purposes of the above table:
a. Central London should be taken to include the following postal districts: EC & WC, W1, W2, W11, W8, SW1, SW3, SW5, SW7 and SW10 Postal Districts)
b. Inner London should be taken to include the London Boroughs of Hammersmith & Fulham, Camden, Islington, Hackney, Tower Hamlets, Greenwich, Lewisham, Lambeth, Southwark, Wandsworth, and the Royal Borough of Kensington & Chelsea and the Cities of London and of Westminster (excluding portions falling within Central London as defined)
c. Outer London should be taken to be the remaining London Boroughs
d. The M25 Belt should be taken to be the whole county of Surrey, plus Windsor & Maidenhead, Slough, Wokingham, Bracknell Forest, South Bucks, Chiltern, Wycombe Reading, Oxford (City), Cambridge (City), Dacorum, Three Rivers, Watford, St Alban’s , Hertsmere, Welwyn/Hatfield , E Herts, Broxbourne, Epping Forest, Brentwood, and Sevenoaks
e. The Rest of South East consists of those parts of the counties of Kent, East Sussex, West Sussex, Hants (exc Isle of Wight), Berks, Bucks, Oxon, Herts, Beds, and Essex,( to the extent that they exclude the BAs listed as in the M25 belt), plus Bournemouth, Poole and Christchurch
NB
(i ) It is not intended that there should be abrupt changes in the approach to site values between the above locational groupings, and shading of these percentages may need to be applied close to their boundaries.
(ii) Caseworkers should use their own discretion in deciding between “urban” and “rural” categories, but it is suggested that the sites of hereditaments situated on the fringe of build-up areas with populations not exceeding 3000 should be designated rural. While shading between the rural and urban percentages is permitted for schools sited on the urban fringe, it should only be applied where the developed land within the school hereditament falls within an area where alternative development would not be likely to be permitted.
3.4 Stage 4 (Decapitalisation Rate)
The Adjusted Replacement Cost (ARC) of the hereditament shall be decapitalised to an annual equivalent by taking the prescribed rate. Please note that libraries are not educational buildings within the statutory meaning and the lower decapitalisation rate should not be used.
3.5 Stage 5 (End adjustments)
Any advantage or disadvantage, which might affect the value of the occupation of the hereditament as a whole should be reflected at this stage. Issues that it may be pertinent to consider at this stage are (this list is for guidance only and is not exhaustive)
Poor or Inflexible Layout which cause operational difficulties. 5.0%
Inadequate Staff Room / Meeting Room Facilities 2.5%
Inadequate Toilet Facilities. (ie Staff 1.25% & Public 1.25%) 2.5%
No on site parking nor public car-parking close by. 7.5%
The above are suggested maximum allowances. It is considered probable that some or all of these maximums may apply to a small minority of libraries in each local authority area
Flat Roof Allowance
For all Libraries with flat roofs , a reduction of decap rate x £80 psm of roof ‘foot print’ should be made to the value of buildings aged up to and including 2004 and £60 psm for post 2004 buildings up to a maximum allowance of 15%.
Where a building has varying roof types a reasonable apportionment should be made to arrive at the allowance.
What is flat as opposed to a pitched roof will generally be self evident. Flat roofing allowances will automatically apply here to all types of flat roof. In instances where an allowance is sought for pitched roofing caseworkers should seek advice from the National Specialist Unit before proceeding.
Oil, LPG or Electric Central Heating
Where a library has oil, LPG fired central heating or electrical heating, an end allowance of 5% shall be applied to the valuation
Any adjustment made at Stage 5 should not duplicate adjustments made elsewhere, in particular care should be taken that any allowance for layout does not duplicate an allowance for multi-storey where already given.
Where allowances are appropriate it is expected that they should not normally exceed 15%. Furthermore, it would be unusual for one issue in isolation will warrant the full allowance.
When taking all factors to be considered at Stage 5 into account these will not normally exceed 15% in total. However, exceptionally, where a flat roof allowance, considered by itself, amounts to 15% or more of the value resulting from Stages 1- 4, while the allowance for flat roof is capped at 15%, additional allowance may be given for other stage 5 factors, provided that the total aggregate allowance for all stage 5 factors should not normally exceed 20%.
3.6 Vacant Libraries
Where a Library is vacant at AVD due to a lack of demand, and there is no prospect of an alternative use within the same mode or category of occupation, the hereditament should be shown in the list at an RV of £1.
Where post AVD there is an MCC which results in the closure of the library, such as opening of a new library close by or demolition/decanting of a large area of housing close by, then this may be reflected at the appropriate date
4. IT Support
Where the Contractors basis is appropriate the standard generic Contractors Spreadsheet should be used. It can be accessed from the Desk Top icon Non-Bulk R2010. Instructions for use are provided in the Non-Bulk Server Manual on the Rating Homepage.