Partial Interest Appraisal

[gregb]

Interesting "case study"
[url]http://nerej.com/51884[/URL]

 

[CANative]

Pfffftttttt......each discount is 15-20%. Easy.

I'm still a noob but I see a lot of listings with partial interest transfers for commercial/industrial property. If one looks at the transfer amount and the percentage of the interest transferred and applies that to the estimated market value of that property as a whole one can infer the discount, if any. Frankly, I don't see a lot of discounting. But then I've only done this less than 100 times so maybe I'm full of beans.

I like beans.

 

[Mr Rex]

I've seen several cases where the partial interests transferred required the other partial interest holder have the right of first refusal to purchase upon sale based on a value established by a current appraisal. That might explain CAN's observations.

 

[Stone]

I'm still a noob but I see a lot of listings with partial interest transfers for commercial/industrial property. If one looks at the transfer amount and the percentage of the interest transferred and applies that to the estimated market value of that property as a whole one can infer the discount, if any. Frankly, I don't see a lot of discounting. But then I've only done this less than 100 times so maybe I'm full of beans.

I like beans.

Mmmmmm...beans...

When I've dealt with this an accountant (or someone on the client's end) did the dividing. I've not had to deal with dividing the value between interest holders except as a sort of allocation that had to equal 100% anyway. So, beyond smart remarks, I don't have a lot to add to this discussion.

 

[CANative]

I think I'm gonna make smoked sausage, baked beans and corn bread for dinner tonight.

 

[Pittsburgh Pete]

I think I'm gonna make smoked sausage, baked beans and corn bread for dinner tonight.

Hope the weather is such that you can sleep with the windows open! Sausage and beans--volatile mix!

 

[CANative]

It's my favorite dinner. But for some reason it's my wife's least favorite dinner.

 

[Pittsburgh Pete]

It's my favorite dinner. But for some reason it's my wife's least favorite dinner.

Save it for when the Mrs. has a head cold?