Province – valuation advice on disposal of submerged terminal development site
In an acquisition negotiation between a port authority and the province the need arose to have a free market value for a submerged site where a 2.5 million teu terminal and railroad causeway were slated to be built. The income approach was not allowed to be used, making the valuation even more challenging. The acquiring party’s valuation was approximately ten times lower than the eventual value determined by our analyses.
An international assessment of terminals built on reclaimed land was conducted, development costs analyzed and a fair market value determined.
THE NET RESULTS:
The value developed from the valuation analyses was accepted by both parties and the submerged site was sold.