Module Title PROPERTY DEVELOPMENT AND APPRAISAL

Module Code 5BU507 Pre-requisite (where appropriate)

None

Date of Approval

Module Level 5

Credit value 20

Total Number of Learning Hours

200

Key Words (10 words maximum)

Finance, Economics. Land values. Property Values. Investment. Risk. Life cycle costing.

Module Delivery Online/Distance Blended/Face to face

Work-based learning

Mode (Please tick as appropriate)

Module Description (200 words max)

Property development is demand-led relative to certain appropriate conditions within the market, time and the vagaries of the location in which the project is to be constructed. The basis of whether to build or not is one where accurate information is supplied to a client on which to base a decision. This module examines the conditions in which developments proceed or not.

Module Learning Outcomes

On successful completion of the module, you will be able to:

1. Understand and research development process. 2. Analyse the components of an investment decision. 3. Evaluate commercial risk factors that may affect any

decision to develop.

Module Content

UK financial structure Demand and supply factors. Markets and information sources. Capital sources. Historical trends in land values. UK planning system. Regional Development Authorities. Development planning and local authorities. Client types.

Economic theory of land values The property market and price determination. Property as an investment compared to other types.

Investment appraisal Types of development. market analysis, site selection, sources of finance, development models.

Commercial risk factors. Discounted cash flow. Interest rates. Specific site appraisal. Disposal strategies.

Life-cycle costing Modelling alternative build strategies for developments.

Module Learning and Teaching Methods

Learning & Teaching Methods:

Delivery will be by interactive lectures, with case studies to illustrate the issues relevant to the property development and appraisal. The teaching methodology will be such as to develop and advance the qualities of you understanding the property developer role in multidisciplinary environment.

Activity Type Percentage Hours Category Lectures 12% 24 1 Tutorial 12% 24 1 Guided independent study:

76% 152 2

Total 100% 200hrs

Module Assessment Method

Formative Assessment (0%) A number of activities will be identified and used as a form of evaluating the level of your learning and thereby provide formative feedback on areas of weakness as well as strength.

Summative Assessment: 50% EX 50%CW EX (50%): Learning outcome 1 to be assessed. A closed book two and half hour examination will be held at the end of the teaching period. CW (50%): Learning outcomes 2 and 3 to be assessed. An individual project where you will be required to analyse an investment appraisal for a given development proposal.

Reading list Link to ASPIRE

Resources: Havard, Timothy (2008) Contemporary Property Development (2nd rev. ed) London: RIBA Enterprise Wilkinson, Sara, and Reed, Richard (2008) Property Development, London: Routledge Baum, Andrew E. and Crosby, Neil (2007) Property investment appraisal (3rd ed.) Oxford : Blackwell Wyatt, Peter (2007) Property Valuation: In an Economic Context Oxford: Blackwell Gimmy, Arthur and Boehm, Michael (2006) The Appraisal of Real Estate: A Guide to Appraisal, Market Analysis, Development and Financing, Fraser W.A (2004) Cash-flow Appraisal for Property Investment Basingstoke: Palgrave Macmillan Parnham, Phil, and Rispin, Chris (2001) Residential Property Appraisal, London: Spon Press

Isaac, David (1996) Property Development: Appraisal and Finance (Building & Surveying) Basingstoke: Palgrave Property in the Economy Agile Working. RICS Property in the Economy Full Report 2008. RICS Ernest Wood (1998) Current Developments in Property Valuation and Appraisal Wyatt, Peter(2007) Property Valuation: In an Economic Context Blackwell Baum, Andrew E. and Crosby, Neil (2007) Property investment appraisal, (3rd ed.) Oxford : Blackwell RICS commercial market survey. RICS Gimmy, Arthur and Boehm, Michael (2006) The Appraisal of Real Estate: A Guide to Appraisal, Market Analysis, Development and Financing, Havard, Timothy (2008) Contemporary Property Development (2nd rev. ed), London: RIBA Enterprises Parnham, Phil & Rispin, Chris(2001)Residential Property Appraisal, Spon Press Isaac, David (1996) Property Development: Appraisal and Finance (Building & Surveying) Basingstoke: Palgrave Wilkinson, Sara, and Reed, Richard (2008) Property Development, London: Routledge Fraser W.A (2004) Cash-flow Appraisal for Property Investment Basingstoke: Palgrave Macmillan Arlen C. Mills and Dorothy Z. Mills (2004) Communicating the Appraisal: The Small Residential Income Property Appraisal Report European Property Sustainability Matters- reduce, reuse, recycle. King Sturge. Property in the Economy Sustainability and corporate real estate. RICS Life cycle costing of sustainable design. RICS

Other Resources:

Online resource center UDo http://udo.derby.ac.uk

Guidance for access to Knovel Interactive Electronic Book Library Look up the book in the Online Library Catalogue (Prism). http://talis-prism.derby.ac.uk/TalisPrism/ When you find the book, select the link (e.g. EBL) & login with your University username & password. Books in the Knovel Interactive electronic book library are not listed and are not in the Online Library Catalogue. The Knovel electronic book library contains about 1700 reference books in technology and applied science and can be searched by subject. Go to the University of Derby Electronic Library https://ulib.derby.ac.uk/library/information_resources.php then choose either Electronic book collections or Resources by Subject. Books and reports published by the Building Research

Establishment are contained in the CIS (Technical Indexes / IHS database) For help ask David Clark (Subject Advisor: Science and Technology) Library (L103), Tel 01332 591203 Email: D.Clark@derby.ac.uk