Tag Archive for: investor

Plant and Machinery Valuations

More notes on Plant and Machinery Valuations;

Machinery are often leased for the following reasons:

A lease is “the right to use” an asset rented for a period for predetermined production etc.

Specialised maintenance is more economical as per lease contract!

A lease offers a more predictable lifespan of a machine and further the renewal options and at the end of lease the options are to a greater extent.  Read more

Redevelopment of Property

Redevelopment of Property:  One property or an entire suburb!

  • Timing
  • The rate of development

redevelopement-graph

Urban Land Economics 2004; Jack Harvey and Ernie Jowsey

As can be seen from the above graph is that with the acquisition, the use of the building for income generation takes priority. The land presents a secondary value apportionment. Let us assume that the economical lifespan of the building is 25 years, which is presented by the figure Z.

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