Book 1 - Appraisal Institute of Canada

Learning AdvisorySpotlight on Continuing Professional DevelopmentFEED YOUR FUTUREwith CPD FRIDAYSThe UBC Real Estate Division continues its series of live, online,web-based seminars or webinars on Friday, March 5, 2010, from8 am - 10 am Pacific time (11 am - 1 pm Eastern time). TheseCPD Fridays webinars consist of a 2-hour presentation with an expertinstructor, who will present an interactive online classroom sessionand answer any questions you may have. By attending the session andcompleting two hours of pre-reading on your own, you will receive fourAIC CPD credit hours. There is no quiz or exam required to receive thesecredits.In this article, we highlight three upcoming webinars in the UBC RealEstate Division’s CPD Fridays series. Feed Your Future!CPD 101: Business Enterprise ValuationPresented March 5, 2010 by Ron Muller, CGA, CBV, CIM, ASAReal property professionals increasingly require an understanding ofbusiness valuation principles. For example, when valuing the real estateholdings of a business, separating the real estate value from a sharesale transaction, or analyzing the real property value in a mixed assetportfolio, there is a complex blend of real estate value and business valuethat must be addressed. International Financial Reporting Standards (IFRS)also brings increasing complexity to the valuation of real estate, whenbusiness entities are involved.This course introduces students to the valuation of businessenterprises, including accounting fundamentals, the reasons that businessvaluations are required, and the basic principles of business valuations.The materials and case studies emphasize both asset-based valuations,such as the liquidation method, plus valuation approaches applicable togoing-concern businesses, including goodwill and its application to anearnings/cash-flow based valuation.This course provides an introduction to a variety of applicationsof business valuation, and does not focus solely on hotel valuation orproperty tax assessment. The issues related to ‘business enterprisevaluation’ for these contexts are touched upon briefly in this course, butare not explored in depth.CPD 125: Green Value –Valuing Sustainable Commercial BuildingsPresented May 7, 2010 by John Peebles, AACI, P. App.A cursory review of real estate promotional literature suggests that ‘greenreal estate’ is increasingly important to market participants. This growthcan be attributed to many causes, including legislative and buildingcodes changes, reducing operating costs, improving leasing potential,and maintaining property value. However, a key reason for the recentinterest in green concerns may be societal change – people are nowdemanding more responsible real estate development that looks beyondthe traditional bottom line.This course examines what a ‘green building’ is in terms ofarchitectural design and building construction practices. The agenciesthat evaluate and rate green buildings are reviewed, most notably theLeadership in Energy and Environmental Design (LEED) program.The course focuses on how green issues impact real estate decisionmaking.We compare the costs of building green against the benefitsto see if green features really do add to real estate’s market value. Is theso-called ‘green premium,’ or increased construction cost for sustainablereal estate, compensated by higher market value? Is ‘green value’ factor fantasy? How does a triple bottom line approach impact real estatedecisions and with what impact on you, the real estate professional?Those offering real estate advisory services will increasingly need toaddress green issues, as this becomes an expected part of a consultant’sdue diligence.30Canadian Property Valuation Volume 54 | book 1 | 2010 Évaluation Immobilière au Canadaclick here to return to table of contents