Practice Notes
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Approved for Publication 12/04/2004
PUBLIC BUILDINGS COMMITTEE
Practice Note 22
REVALUATION 2005
Valuation of Occupational Centres, Occupational Therapy Workshops and Sheltered Workshops
1.0 INTRODUCTION
This Practice Note covers subjects designed for the care of people with physical or learning disability aged between 16 and 65. Purpose built accommodation normally consists of a main reception hall, a number of rooms each capable of housing 8-9 people, a kitchen and toilet facilities. Some of the rooms may take the form of specialised workshops, e.g. wood working workshop. Fittings are usually adapted to meet service users' needs e.g. wider door, handrails, walk-in showers, lowered switches, etc. This type of subject is normally situated within the community close to facilities such as shops, recreational areas, etc. Subjects will normally have some associated land for car parking, recreational use and perhaps the teaching of gardening. The principal aim of typical occupiers of these subjects is to give service users the opportunity to develop life skills.
2.0 BASIS OF VALUATION
2.1 Subjects that are akin to industrial, office or other classes of subjects should be valued on the comparative basis in line with local evidence.
2.2 In the absence of comparative evidence, a contractor's basis valuation following the various stages and steps outlined in Basic Principles Practice Note 2 (Contractor's Basis Valuations) should be carried out.
3.0 VALUATION
3.1 The valuation comprises three main elements namely building cost, external works cost and land value.
3.1.1 Building Cost
A unit cost rate of £750 per square metre of gross external area should be applied to arrive at estimated replacement building cost.
3.1.2 External Works Costs
External works should be valued by reference to Public Buildings Practice Note 4 (Contractor's Basis Valuations External Site Works Costs, Allowances and Land Value).
3.1.3 Land
Land value should be determined by reference to local evidence. If no local evidence is available, a rate of £10 to £50 per square metre over the whole site may be used.
4.0 ALLOWANCES
4.1 Guidance on allowances is provided in Public Buildings Practice Note 4
4.2 In the case of multi-storey buildings, the following general allowances should be made to the building cost. Reduction factors for subsidiary floors should not be applied.
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3 storeys -5%
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4 storeys -10%
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5 storeys + -15%
5.0 DECAPITALISATION RATE
The appropriate statutory decapitalisation rate should be applied.
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