An existing use value of the site can be obtained through information that the landowner may already hold or by looking at comparable transactions within a defined area. This can be obtained via our own independent investigations or where necessary appointing a RICS-registered valuer. To ascertain the approximate value of the site with planning, Interurban will start by undertaking a preliminary “residual valuation”. The calculation is Gross Development Value minus the overall build costs plus an industry standard profit margin, the residual represents that approximate land value with planning in place. This figure will be anecdotal until a clearer idea of the scope of allowable construction as a result of conversations with the necessary consultants. Furthermore, it is necessary to undertake more sophisticated calculations based on specifications, unit sizes and a number of other variables / practicalities.