Introduction

Abstract

There is a need for alternative approaches to traditional valuation methods. This has arisen for several reasons. In the first place, large-scale investment in the property sector in recent years has led to more monitoring of investment situations and comparison of the price paid for investments with their eventual performance. Secondly, decreasing returns in the sector have led investors, especially institutional investors, to reappraise their investments and the investment criteria. Thirdly, there is a mood abroad of public awareness akin to consumerism, and this has expressed itself in more attention being paid to the activities of property professionals with specialists in other areas trying to come to terms with the level of property values and attempting to clarify property valuation methods used. Finally, there is in general more attention being paid to analysis of property transactions and performance from investment analysts, such as stockbrokers and analysts, trying to appraise property investments.