Dobson-Grey provided expert witness services for a dispute over a jointly owned residential property. The instruction was to deliver an independent valuation for two scenarios: Open market value with vacant possession and Investment value subject to existing Assured Shorthold Tenancy (AST).
The property, a semi-detached dwelling, presented several complexities requiring careful expert consideration:
- Considerable Disrepair: Its poor condition significantly impacted its value.
- Restricted Access: Limited access to certain areas during inspection necessitated informed assumptions about internal conditions.
- Tenant Occupancy: The presence of tenants and concerns about deposit sufficiency added layers of complexity.
- Suspected Asbestos: The potential presence of Asbestos Containing Materials (ACMs) posed challenges for future works and landlord responsibilities.
- Informal Agreements: Informal arrangements regarding tenant use of property areas also needed factoring in.
As a RICS – regulated Chartered Surveyors, we acted as a Single Joint Expert Witness, adhering to RICS Red Book standards.Our approach involved:
- Thorough Inspection: Conducting a comprehensive inspection of accessible areas.
- Market Approach: Utilising a market-based valuation, comparing the property with similar recent sales or listings.
- Market Data Analysis: Analysing macro and micro residential market trends to understand buyer demand and pricing.
- Tenancy Impact Assessment: Carefully considering the existing AST agreement and relevant documents.
- Clear Assumptions: Stating all assumptions and limitations due to restricted access or missing information, reserving the right to revise opinions if new data emerged.
- Condition Factor: Factoring in the property’s condition and refurbishment costs, anticipating a lower capital value per square foot compared to better-maintained comparables.
Our impartial and well-supported report provided a robust basis for resolution, aiming to avoid further litigation and facilitate a fair settlement between the co-proprietors.