1

CHAPTER-I
INTROCUCTION
1.1 GENERAL
Shares, bonds and real estate are the main asset types available in
the capital market. Real estate is usually negatively correlated to shares,
what makes it attractive for the purpose of risk diversification. On the
other hand, bonds and real estate goes along in their volatility. One
difference between these assets is that property is unique and its data on
price transactions is not computed on a daily basis; on the contrary, it is
very difficult to gather data on prices of similar properties. Shares and
bonds have in this respect identical characteristics and it is easy for
investors to assess their performance at high accuracy levels.
In the real estate market the situation is not as simple as that.
Investors are never sure about the value of a certain property if they were
about to sell or rent it. Property valuation methods are needed for
estimating the most probable value of a property on the market. The
accuracy of valuations is tested when an estimated value equals or
approximates the purchase price, which, in this case, represents the
investment cost.

The need for standardizing and clarifying the meaning and use of
this concept has risen at a point where investors, managers and
supervising authorities in the real estate market look for more reliable
information about the situation in the market.
Theories on macroeconomics, finance and valuation cannot be
viewed separately when examining the valuation concept and its
determinants. As the valuation can be used as a benchmark to
performance, or as determinants of property value or even as an
indicator

of

bubbles

in

the

property

market,

macroeconomic

determinants, and financial theories for the general financial market and
for the specific property market cannot be overlooked.
1.2 UNDRESSING THE OVERALL CONCEPT
Property values keep changing over time. The value of a real estate
is attached to the interest behind the objective of its valuation. The
assessment of a property is based, however, on four basic conditions:
need, limited supply, right of disposal and transferable assets in the
market. Once values change, yields are prone to follow its movements,
but in opposite direction. To better understand its relation, it is
important to see how yields relate to property values.

Property values are classified in three groups, as follows:

1. Market-related value
Efforts have been made to concentrate market value around one
central concept. According to EVS 2000 and TEGoVA recommendations,
the market value concept is defined as follows:
Market value is the estimated amount for which a property should
exchange on the date of valuation between a willing buyer and a willing
seller in an arms length transaction after proper marketing wherein the
parties had each acted
Knowledgeably, prudently and without compulsion.
It is important to perceive the difference between value and price.
The latter refers to an amount in currency in the time when transaction
takes place.

2. Income-related value
Income value is related to an investors expectancies regarding
future inflows of capital into his/her investment and it should, thus, be
regarded separately for each investment (individual nature).
Sometimes, the income value of the subject property is said to have
a built-in long-run intrinsic value, which implies stable returns over
time. It is also said that a market-adapted income value exists, which
assumes it possesses parameters that reflect the market. In other words,
it is regarded as a form of market value, but estimated out of a return
calculation model.
3. Cost-related value
The cost value is calculated in special circumstances, where:
Market is inexistent for special properties
In an insurance context
In countries where the property market is not functional
Even if the cost value concept is of little extent applied in the
Indian market, one should not ignore its existence in certain contexts. It
is important to notice that a number of other value concepts exist in the

property market, which makes the debate concerning the standardization

of concepts through the creation of new ones fiercer.
Going-concern is not a basis of valuation but a pre-requisite for it
since the property and the business depend on each other. It represents
the value created by the business operation in the property and it is,
therefore, more related to the business than to the property itself. The
value generated is capitalised on the profits of the business turnover and
its calculation is similar to as property valuation.
IVSC defines value-in-use as the value a specific property has for
a specific use to a specific user and TEGoVA adds, in accountancy
terms, value-in-use is the maximum amount recoverable from continuing
ownership and ultimate disposal of the asset. Value-in-use is, therefore,
related to the going-concern concept and it may probably be related to
both market and investment values.
Real value is an accounting term that is a synonym to market
value of an asset. Acquisition value is either the price paid for, or the cost
of, producing a resource. However, for a normal value assessment it is
only necessary to define clearly the basic concepts of value, known as
market value and income value.

The relation between both concepts varies accordingly to the point

in time when properties are assessed, as it has been observed that both
concepts preferences are strongly correlated to macroeconomic aspects.
The relevancy of each value depends on the objective of the valuation and
to whom the valuation is done. An interesting finding is that during
economic crises, preference was given to the income value. In opposite
situations, the market value was applied.

1.3 VALUATION OF COMMERCIAL PURPOSE

Buying or leasing real estate for commercial purposes is different
from buying a home or even buying residential real estate as an
investment. Commercial leases are generally longer than residential
leases, and commercial real estate returns are based on their profitability
per square foot, unlike structures intended to be private residences.
Moreover, lenders may require more money for a down payment on a
mortgage for commercial real estate than for a home loan.

1.4 VALAUTION OF INVESTMENT

Unlike other investments, real estate is dramatically affected by the
condition of the immediate area where the property is located, hence the
well-known real-estate maxim, "location, location, location." With the

exception of a national or global recession, real estate values are affected

primarily by local factors such as the availability of jobs, crime rates,
school quality and property taxes.

Buying real estate directly results in profits (or losses) through two
avenues: revenue from rent and appreciation of the real estate's value.
Rental money comes from land already developed into residential or
commercial real estate. Appreciation can come from either developing
raw land or from the appreciation of the area around the land you own,
for instance the appreciation of real estate in some American cities due to
gentrification in the early 21st century.
1.5 PROPERTY
It means any interest in property; movable or immovable.
Immovable property means any land, building or part of a building
together with machinery, plant and other permanent fixtures.
1.6 LAND APPURTENANT TO BUILDING
Where there are building regulations, the land allowed under such
regulations for the enjoyment of the existing building shall be the
appurtenant land.

Where there are no building regulations, the land appurtenant to

the building shall not exceed 2.5 times the built-up areas at ground floor
(assuming) 40% ground coverage.
1.7 FREE HOLD LAND
A parcel of land is said to be free-hold when the owner has
absolute right of enjoyment, possession and ownership over it and it is
free

from

any

kind

of

encumbrance

as

to

the

transfer

of

title/occupancy/use.
1.8 LEASE HOLD LAND
A parcel of land is said to be lease-hold when the right of
enjoyment and possession is vested in a person other than the owner for
a definite period of time in consideration for a fixed sum of rent known as
lease (ground) rent. The owner of the land is known "Lessor" and the
person holding the lease title is known as "Lessee". Apart from the period
of lease and the rate of lease rent, the lease agreement may stipulate
other restrictive covenants such as use of land, sharing of unearned
profit, conversion of title into free hold, renewal of lease, resumption of
lease and right to sale / transfer of land. Long term leases having term of
99 years and above are considered leases in perpetuity.

1.9 ECONOMIC LIFE

Economic life of building means its life expectancy with normal
repairs and maintenance. Economic life of structure depends on the type
of

construction,

the

quality

of

construction

materials,

climatic

conditions, use of structure and the level of maintenance and upkeep.

The expected economic life of different types of structure depends on the
type of construction, the quality of construction materials climatic
conditions, use of structure and the level of maintenance and upkeep.
The expected economic life of different types of structures with normal
maintenance.
1.10 DEPRECIATION
Depreciation means the decline in the value of structure/asset due
to its normal wear the tear on account of its use and age.
1.11 GROUND RENT
When land only is given on lease for construction buildings or any
other use by the lessee, the periodic payment the lessee under the
covenants of the lease is called "ground rent". The ground rent is of two
kinds: Secured ground rent unsecured ground rent.

10

1) Secured ground rent: If under the lease agreement the lessee is

required to construct a building on the plot, the ground rent is said to be
secured one.
2) Unsecured ground rent: When under the lease agreement the plot
remains open without any construction of building, the ground rent is
said to be an unsecured one.
1.12 STANDARD RENT
Rent which can be lawfully charged from a tenant under relevant
rent control act is known as standard rent.
1.13 ANNUAL SINKING FUND
Sinking fund is the notional fixed sum of money allocated annually
at the prevailing rate of interest to create the necessary capital for the
replacement of an asset after the economic life span of the asset is over.
1.14 YEAR'S PURCHASE
The multiplier of the net rent or net return to obtain capital value
on material date of valuation is termed as year's purchase. This
multiplier depends upon the rate of return expected from the capital
investment in the property.
1.15 RATE OF CAPITALIZATION

11

It is the rate of return which a prudent investor would expect from

a particular kind of investment in an asset or immovable property.

1.16 VALUE AND COST

The cost of an asset represents the actual amount spend in the
construction of the asset while the value is defined as the present worth
of future rights in the property and depends to a great extent on demand
and supply. The cost relates to the past while the value relates to the
future. With the inflationary trend in land values and construction costs,
it is inconceivable that the historic cost could ever represent the value of
a property on a specific date. In simple words the term value means the
amount of money for which the asset will exchange in the open market.
1.17 MARKET VALUE AND FAIR MARKET VALUE
"Market value" is the price that a willing purchaser would pay to a
willing seller for a property, having due regard to its existing conditions,
with all its existing advantages and its potential possibilities when laid
out in its most advantageous manner.
"Fair Market Value" is the estimated price which any asset in the
opinion of WTO/VO would fetch, if sold in the open market on the

12

valuation date. The terms "Market Value" and "Fair Market Value" are
synonyms except the word "Fair" introduces an element of a hypothetical
market. The expression "if sold" does not contemplate actual sales or
actual state of market. The expression "Open Market" does not
contemplate a purely hypothetical market exempt from restriction
imposed by law. The fair market value excludes sentimental value
advertisement, brokerage, stamp-duty, commission etc. for affecting the
sale transaction.
1.18 POTENTIAL VALUE
This is the inherent value in the property which is realised when
the property is developed in its most advantageous manner. For example,
land on outskirts of a town possesses building potential. Similarly, an
under-developed property possesses value which can be realised by fully
developing the property.
1.19 GUIDELINE VALUE
The value adopted for stamp duty is based on the land / building
rates fixed by the local authorities for the purpose of stamp duty charges.
1.20 SALVAGE VALUE

13

This term is mainly in case plant & machinery. It is the value of an

asset realised on sale after it has outlived its useful span of life but has
not yet become useless. In other words, it is the amount realised over
and above the cost of its removal.
1.21 Present value
It is replacement value less depreciation value. The other value are
liquidation value, intrinsic value, investment value, cost value, warranted
value, true value, written down value, going concern value, commercial
value, rental value, exchange value, appraisal value, face value, utility
value, use value, loss value, tax value, economic value, sale value,
condemnation value, cash value, future value, capital value, mortgage
loan value, forced value etc.
Valuation plays vital a roll in Financial Institutions: Financial
institutions advancing loan to many purposes such as Term Loans, Cash
Credit Loan, jewel Loans, Home Loans, Educational Aiding Loans based
on the Valuation of the property. For Recovery of Loans also Valuation of
Assets becomes necessary.
In this Project the valuation of a property for a Bank for collateral
security purpose is considered. The property is an agricultural land with
an residential building property.

14

Globally, plant and machinery valuation is not a popular

profession compared to land or building valuation even though the size
and value of the plant and machinery can contribute up to 80% of the
company total assets. In Malaysia, a plant and machinery valuation
report is required if the companies rely on the market value approach of
accounting.
In a developed colony, the value of the plot goes on increasing
when number of the available plots goes on decreasing. The fancy price
demanded by the vendor for the remaining plots is known as monopoly
value.

1.22 METHODS OF VALUATION

Valuation should be realistic depending on the nature of property,
its use, potential and all other characteristics.
1.22.1 Accounts Method
If the assessee has maintained proper books of accounts wherein
all details are correctly mentioned duly supported by authentic vouchers
and no defects are pointed out and the books are not rejected then the

15

figures shown therein have to be followed for determining the cost. If the
assessee has produced less vouchers for some of the materials, the same
is estimated and added at the market rates. Similarly, the quantum of
labour payment is assessed and if the assessee has maintained proper
account, the total cost is worked out on the basis of detailed produced by
him. We rarely come across such cases where the assessee submits
complete technical accounting along with justification statements of
materials and labour. Such cases appear where the assessee is a
professional builder or has taken huge loans and payments made
through financial institutions. In such instances, the VOs should be
more vigilant in pointing out the items and specifications which may
have got escaped from the assessee's submission of facts. Such items can
be valued and added separately. However this method yields to a near to
perfect valuation, if the accounts are correctly maintained.

1.22.2 Plinth Area Rates and Cost Index method

This is a commonly used method for determining the cost of a
building by comparing with the known cost of a building. The cost of a
building interalia depends on the major factors - (i) the area and

16

specification of the building (ii) the cost of materials and labour. The first
one is covered by the plinth area rate and the second one cost index.

I.

Identify as many places as possible nearest to the place where the

CPWD has approved Cost Indices for many years. These places should be
within hundred kilometer radius (preferably, within fifty kilometer) of the
concerned place.

II.

Work out the Cost Indices of required time for each place

commensurate with the period of construction of the building for which

year wise value of investment is to be estimated.

III.

For each time average out the Cost Indices of all places nearest to

the place under consideration and adopt this figure as Cost Index of the
place that time.

IV.

As further check work out the current Cost Index of the place after

collecting prevailing market rates of materials and labour and compare

with that derived from the above Method. If there is large deviation,
average out Cost Indices of those places which give figure closest to the
figure of current Cost Index worked out considering prevailing market
rates of materials and labour of the place. This can easily be achieved by

17

trial and error method. For past Cost Indices, take average of Cost
Indices of those places only whose average current Cost Indices
correspond nearest to current Cost Index of place.

V.

It would be appropriate to choose as many places as possible

surrounding the place under consideration so that average figures of

Cost Indices at difference time will represent as closely as possible to the
Cost Indices of the place under consideration related to those time. In
case only one or two nearby places are available where Cost Indices at
different time have been approved by CPWD then following method may
be adopted :

a)

Work out the current Cost Index of the place under consideration

based on prevailing market rates of materials and labour and that of the
other nearest places based on CPWD approved Cost Indices of those
places. Work out Cost Index differential factor of the place under
consideration with reference to the nearest places.

b)

Determine Cost Indices of the place under consideration for

different time by applying Cost Index differential factor on the Cost

Indices approved by the CPWD for these nearest places. If there is more
than one nearest places, then average figure may be adopted. Cost

18

Indices thus worked out shall be adopted for estimating value of

investment in construction.

c)

Following practice for arriving at the cost of construction to bring

uniformity may be adopted for working out the Weighted Cost Index:1.22.3 LAND AND BUILDING METHOD
As the name indicates, in this method the value of land is added to
the value of structure to arrive at the fair market value of the property.
The method is generally adopted in the following situations:(a) In the case of self occupied property.
(b) In the case of property partly self occupied (i.e. more than 60%) and
balance tenanted.
(c) In the case where it is not possible to obtain fair and maintainable
rent.
(d) In case where there is no direct evidence of rent such as schools and
hospitals etc.
(e) In the case where the property is not fully developed, or the return
from the property is not commercial.

19

1.22.4 EXTRA ITEM

Mainly the items of flooring, ceiling, internal, external finishing of
walls, doors, windows, costly sanitary water supply fittings, cupboards
and electrical installation etc. are to be accounted for the cost
adjustment. One method is to analyse each item by considering the
amount of different materials, labour and T & P involved and considering
their prevalent market rates. Other method is to account for the cost for
the materials involved and the finished rate of labour.
1.23 SUMMARY
This chapter explains the details of introduction and valuation
method were explained. The next chapter deals with review of literature
are explained.

20

CHAPTER - II
REVIEW OF LITERATURE
2.1 GENERAL
Review of related literature is an essential part of research work. It
enables the investigator to know about the related studies and their
conclusion. This gives an idea for the present investigator to do her work.
Sometimes, even the research problem is selected from the studies
reviewed. The review helps the investigator to acquire a thorough
knowledge about the present problem and helps in the development of
research procedures.
Therefore, the present investigation went through the earlier
studies made in her field of research and they are presented in the
succeeding paragraphs.

21

2.2 REVIEW OF LITERATURES

Freeman's (1979) comprehensive and often cited study of hedonic
price modeling techniques provides a useful review of the theory and
assumptions guiding this method. Freeman briefly discusses application
of the theory to cases of air, water and noise pollution. He concludes
that, despite limitations and uncertainties, hedonic modeling has
significant explanatory power. Market segmentation (i.e. division of a
regional market into smaller segments each with distinct hedonic price
functions), for example, is one area where Freeman encourages
additional research. Freemans recognition of differences within regional
housing markets foreshadows attention to neighborhood variables in
later hedonic studies.
Brennan & Schwartz (1985) Consequently, NPV kills many
projects with strategic value with an expected NPV benchmark. They
proposed that the true value of real asset investment should be adjusted
by adding the values of all embedded real options to the net present
value of the underlying asset. In technology innovation investment, NPV
holds back firms effort in disruptive technology exploration. When a
disruptive technology invented and introduced to the market, the new

22

technology S curve starts below the one of its precursor. The financial
criteria may disapprove the investment of the technology based on a
small discernible market. However, the new products may accumulate its
popularity with an accelerating rate. Therefore, sticking to NPV which
does not tell the potential of a new technology may obstruct firms
technology competitiveness development.
Like Reichert et al (1989) employed survey methods to assess
changes in property values before and after a Los Angeles Superfund
hazardous

waste

site

was

closed.

Notably,

the

survey

results

demonstrated a considerable divergence in residents' and experts'

perceptions of health risks. In addition to the influence of media and
community mobilization variables.
McClelland et al (1989) found that variation in public perceptions
of risk were attributable to specific characteristics of the respondents.
With these additional variables derived from the survey technique, the
study found that, before site closure, value losses totaled 23.6 million.
After site closure values partially rebounded, demonstrating value losses
of 19.7 million. Though the survey technique yielded new information
about how variations in public perceptions of risk impact property

23

values, the authors acknowledged standard problems of survey bias.

Examples of survey bias include intentional misrepresentations of risk
perception in an effort to influence policy outcomes.
Smith and Nau (1995) reviewed about decision trees and utility
theory in their project management course. In financial management
courses, they are taught about how the discounted cash flow and
discounted rate are used to model risks. In advanced finance courses,
they learn option valuations in the complete market using risk neutral
probabilities. The result of all these trainings is the graduates who may
understand each method but fail to appreciate the relationships between
them and their relative strengths and weaknesses. A similar gap between
the decision analysis and finance disciplines exists in the academic
literature and professional practice. This gap has become increasingly
apparent with the development of option pricing techniques for valuing
projects in which managerial flexibility or real options play an important
role.
Kumaraswamy (1996) tested the core proposition using data
collected through a mail survey of high-technology firms. Exploratory
analyses indicated that the adoption of a real options perspective of R&D

24

encourages investment in long-term R&D, and enhances certain aspects

of R&D performance - particularly, the success rate of projects funded,
the

number

of

new

products

introduced

and

the

performance

improvements achieved in current products. Results also indicate that

option-based project evaluation practices alone are not sufficient for
enhanced R&D performance. Rather, options-based project evaluation
practices yield desired results only when supported by the adoption of
appropriate organizational structures/practices and a well-endowed R&D
resource base.
Galli & Armstrong (1999) compared with real option pricing
models, decision trees model flexibilities with unknown underlying asset
distributions. In many publications, the distributions of real asset
investments in real option pricing modeling have not been studied
carefully. Rather, Geometric Brownian Motion or Arithmetic Brownian
Motion was adopted for granted in calculation. Moreover, since decision
tree framework models reality without no arbitrage assumption, which
is a must in option pricing models, it can be applied in all kinds of
markets, complete or incomplete. Therefore, decision tree modeling
provides an alternative to resolve the fundamental problem in real option
pricing.

25

Adam Borison (2003) disagreed and proposed that risks with

different characters should be measured differently. In his model of gas
investment project, he decomposed the risks of the underlying asset into
two categories: the entirely market-dominated and the entirely privatedominated. He said if the investment falls into the former category, risk
neutral valuation, i.e. the financial option pricing mechanism, should be
used. If the investment falls into the latter, decision trees with the
estimated real probabilities is proper. In his model, he claimed the
amount of the gas discovered has private risk and the price of gas has
market risk. To take advantage of the strength of both decision trees and
option models, his hybrid model incorporates this binomial model of gas
prices in the tree together with the three-state model of gas amount and
roll the tree back at the risk free rate. Integrating the risk neutral
valuation and specific risk valuation.

Laate (2006) compared the valuation of a new biotechnology

development and commercialization using NPV and RO. In his study,

26

NPV valuation rejected the R&D project but Real Options approved it.
Besides suggesting the value of flexibility, his study also proposed Real
Option models should be adopted in public policy and R&D investment
management. Li and Johnson (2002) build Real Option calculation based
on technology switching costs and the nature of competition.
2.3 SUMMARY
This chapter explains the details of review of literature were
explained. The next chapter furnishes with the review of literature are
explained.

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CHAPTER - III
RULES FOR FIXING CAPITAL VALUE
3.1 INTRODUCTION
No.AC/NTC/1310/2011-12 dated 20.03.2012. In exercise of the
powers conferred by clause of sub section (1B) of section 154 of the
Mumbai Municipal Corporation Act (Act No.Bom. III of 1888), and of all
other powers enabling him in this behalf, the Commissioner, after having
obtained the approval of the Standing Committee, as required under the
said sub-section (1B), hereby makes the following rules to provide for the
factors and categories of users of buildings or lands and the weightage by
multiplication to be assigned to various such factors and categories for
the purpose of fixing the capital value of building and lands in Brihan
Mumbai, namely:1.

Short title and commencement: - These rules may be called the

Factors and categories of users of building or Lands (Assignment of

Weightages by Multiplication) Fixation of Capital value Rules, 2010.
(2) They shall come into force forthwith.

28

2. Definitions In these rules, unless the context otherwise requires:(a) Act means the Mumbai Municipal Corporation Act (Bom. III of
1888);
(b) flat means a separate part or portion of a building used or intended
to be used for residence, or office, or show room, or shop, or go down,
or for carrying on any industry, or business, or business, or profession,
or vocation;
(c) Hoarding includes boards used to display advertisements, erected on
poles, on the around or on a building;
(d) land appurtenant to a building means open spaces on all sides of a
building required to kept open in accordance with the relevant provisions
of the development control regulations for Greater Bombay, 1991 or any
such regulations, for the time being in force; 1
(e) Luxurious RCC building includes a RCC building having a
swimming pool, whether in use or not, and also any one or more of the
following amenities or facilities, namely;i.
ii.
iii.
iv.

Gymnasium
Club house
Jogging track
Health club

29

v.
vi.

Private terrace as a part of each flat in a building

Multiplex means a cinema house having more than one screen

vii.

with in a building
Open land includes land not built upon or land being built upon,

viii.

but does not include land appurtenant to a building

Ready Reckoner means the Stamp Duty Ready Reckoner, for the
time being n force referred to in sub-section (1A) of section 154 of

ix.

the Act;
Relative rate of base value means the rate of open land, or rate of
land

plus

residential

building,

office,

shop,

commercial

or

industrial building, as the case may be, as indicated in the Ready

x.
xi.
xii.

Reckoner;
Schedule means a schedule to these rules;
Section means a section of the Act;
Star hotel means hotel classified as a star hotel with a specific
number of starts assigned there to by the Ministry of Tourism,

xiii.

Government of India;
Storage tank includes a tank, whether underground or on any
floor of a building, used for the storage of commodities, except the

xiv.

one used for storage of water;

Tower includes television tower, cable tower, telecom tower or any
other

such

tower,

transmission

tower,

cellular

antenna,

broadcasting antenna or the like, erected on the surface, or no top,

xv.

or on any other open space, of a building;

words and expressions used in these rules and not defined

30

xvi.

But defined in the Maharashtra Regional and town planning Act,

1966 or in the development control Regulations for Greater
Mumbai, 1991, or any such regulations, for the time being in force,
shall have the meanings respectively assigned to them in the said
Town Planning Act or in the Development Control Regulations, as

xvii.

the context may require.

Capital value of open land :- Save as otherwise provided in these
rules, where within the precincts of a building there is vacant land
other than the land appurtenant to the building, such land shall
be treated as open land and the capital value there of shall be fixed

xviii.

accordingly as provided for in rule 21.

User categories of open land and weightages by multiplication to be
assigned there to: - User categories of open land shall be as
specific in column of part I of schedule A and the weightages by
multiplication to the base value to be respectively assigned there to
for the purpose of fixing capital value shall be as shown in column

xix.

of the said Part I of schedule A.

User categories of buildings or part thereof and weightages by
multiplication to be assigned there to:- User categories of buildings
or part there of shall be as specified in column of each of parts II,
III and Iv of schedule A and the weightages by multiplication to
the relative base value to be respectively assigned there to for the

31

purpose of fixing capital value, shall be as shown in column of

xx.

each of the said Parts II, III and IV of schedule A.

The nature and type of building and the

weightage

by

multiplication to be assigned there to: - The nature and type of a

building shall be as specified in column of schedule B and the
weightage by multiplication to be assigned there to for the purpose
of fixing capital value, shall be as shown in column of the said

xxi.

schedule B.
The weightage by multiplication to be assigned to a building on
account of the age there of : - The weightage by multiplication to be
assigned to a building on account of age factor, for the building as
shown

in

column

of

schedule

and

the

weightage

by

multiplication to be assigned there to shall be as shown in column

xxii.

of the said schedule C.

The weightage by multiplication on account of floor factor to be
assigned to RCC building with lift: - Weightage by multiplication on
account of floor factor to be assigned to a RCC building with lift for
the purpose of fixing capital value shall be according to the
number of floors as shown in column of schedule D and the
weightage by multiplication to be assigned there to shall be as
shown in column of the said schedule D.

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xxiii.

Area of hoarding or tower for the purpose of fixing capital value: Area of hoarding or tower for the purpose of fixing capital value
there of shall mean, in the case of a hoarding the area of the
square of the extremities of the poles on which the hoarding is
erected plus the area of the hoarding and in the case of a tower the
area covered by the extremities of the foundation of the tower. Built
up area of a flat or a building;
The total built-up area of a flat shall be reckoned by including the area

of the following items namely:1.

2.
3.
4.
5.

Terrace in exclusive possession

Mezzanine floor
Loft (excluding loft in residential flat) or attic
Dry balcony and
Niches; and the total built up area of a building shall be reckoned

by including the areas of the following items, namely;6.

Total area of the flats in the building computed in accordance with
sub rule
(ii) Basement, (iii) stilt, (iv) porch, (v) podium, (vi) service floor, (vii) refuge
area,
(viii) entrance lobby, (ix) lounge, (x) airconditioning plant room, (xi) air
handling room, (xii) the structure for an effluent treatment plant and

33

(xiii) watchman cabin (3) The built up area of any of the following items
shall not be reckoned while computing the built up area of a building or
part there of namely:- (i) lift room above ropmost storey, (ii) lift well, (iii)
stair case and passage there to including staircase room, (iv) chimney
and elevated tank, (v) meter room, (vi) pump room, (vii) underground and
overhead water tank, (viii) septic tank, (ix) flower bed and (x) loft in
residential flat.
4. Where only the carpet area of a flat or building is available on the
record of the Corporation and the total built up area there of computed
in the manner as aforesaid in sub rule (1), or as the case may be sub
rule (2) is not available on such record then the total built up area of the
flat or as the case may be of a building shall be arrived at in the following
manner namely: Built up area = 1.2 x carpet area as available on the record of the
Corporation + the built up area of the items specified in sub rule (1) or as
the case may be sub rule (2), unless already reckoned in such carpet
area.
11. fixation of capital value of a flat or building or part thereof
(1) while fixing the capital value of a flat the capital value of any one or

34

more of the relevant items specified in sub rule (1) of rule 10, as fixed in
accordance with the provisions of rules 14, 15, or sub rule (1) of rule 16,
as the case may be shall be added to the capital value of the flat.
(2) While fixing the capital value of a building or part there of the capital
value of any of the one or more of the relevant items specified in sub rule
(2) of rule 10 as fixed in accordance with the provisions of sub rule (2) or,
as the case may be, (3) of rule 416, shall be added to the capital value of
the building or part thereof.
12. Fixation of capital value of a building where there are tenants:The capital value of a building or part thereof which is occupied by
a tenant shall be fixed at 75% of the capital value of such building or
part thereof; fixed in accordance with the provisions of sub rule (1) or, as
the case may be sub-rule (2) of rule 11.Explanation for the removal of
doubts it is hereby declared that the provisions of this rule shall not
apply to a building or part thereof it,
1.
2.

it is occupied by a licensee to whom it is given on leave and licence

it is occupied by an office bearer or officer or an employee of the

landlord

35

13. Fixation of capital value of religious buildings:- The capital value of a

religious building which is a temple math gurudwara, mosque, takth,
church, durgah, synagogue, or agiary or the like, and is used or intended
to be used for the purpose of religious worship or offering prayers or
performance of any religious rites or rituals by a person of or belonging
to the relevant religion, creed, or sect, shall be fixed at the rate of base
value applicable to

a residential building as indicated in the ready

Reckoner; and by applying the relevant weightages by multiplication

provided for in these rules.
14. Fixation of capital value of open terrace:- If an open terrace in
exclusive possession is attached to a flat, the capital value of such
terrace of a non-residential flat shall be fixed at 40% of the relative rate
of base value of such flat and of residential flat shall be fixed at 10% of
the relative rate of base value of such flat; and by applying the relevant
weightages by multiplication provided for in these rules.
15. Fixation of capital value of mezzanine floor loft and attic floor,
a. the capital value of mezzanine floor shall be fixed at 70% of the relative
rate of base value of the flat beneath the mezzanine floor; and by

36

applying the relevant weightages by multiplication provided for in these

rules;
b. the capital value of loft or attic floor shall be fixed 50% of the relative
rate of base value of the flat beneath the loft or as the case may be the
attic and by applying the relevant weightages by multiplication provided
for in these rules; Provided that where the rate of base value applicable
to the mezzanine floor loft or attic floor having regard to its user is higher
or as the case may be lower than the rate of fixed at 70% or 50% as the
case may be of such higher or lower rate of base value and by applying
the relevant weightages by multiplication provided for in these rules.
16. Fixation of capital value of certain other items which are part of a flat
or a building or part thereto, (1) The capital value of dry balcony and
niches shall be fixed at 25% of the relative rate of base value of the flat if
any one of these items are part of the flat; and by applying the relevant
weightages by multiplication provided for in these rules (2) The capital
value of any one or more of the following items namely:- (i) porch (ii) air
conditioning plant room (iii) air handling room (iv) structure for an
effluent plant (v) watchman cabin and (vi) refuge area, shall be fixed at
25% of the relative rate of base value of the building or part thereof if any
one or more of these items are part of the building or part thereof and by

37

applying the relevant weightages by multiplication provided for in these

rules. (3) The capital value of any one or more of the following items,
namely: (i) service floor, (ii) entrance lobby and (iii) lounge, shall be fixed
at the relative rate of base value of the building or part thereof; and by
applying the relevant weightages by multiplication provided for in these
rules.
17. Fixation of capital value in respect of demolished building:- (1) Where
a building is fully demolished or has fully collapsed the land beneath it
shall be deemed to be open land and the capital value thereof shall be
fixed accordingly as provided for in rule (21). Explanation for the purpose
of this rule it is here by declared that where a building is or is being
demolished or has collapsed resulting in the land on which it stood or
stands being rendered open land or only walls or the like are standing
but there is no structure as such which can be occupied and no such
demolition or collapse debris or any remains of the demolished or shall
be deemed to be open land (2) Where only part is yet occupied by
occupiers land beneath the portion of the building which is demolished
or has collapsed shall be deemed to be open land and the portion of the
structure which is occupied shall be treated as a building for the purpose
of fixing the capital value thereof. 6 (3) Notwithstanding anything

38

contained in sub rules (1) and (2) where a cessed building is or being
demolished or has collapsed the land beneath the building or portion of
the building which is demolished or collapsed shall be deemed to be open
land and the capital value thereof shall be fixed as open land and
assigning there to a weightage by multiplication of 0.30 of the base value
of open land.
18. The capital value of storage tank. The capital value of storage tank
shall be fixed in the following manner namely: - (1) storage tank above
the ground level.
(a) land at the rate of open land in the Ready Reckoner and weightage
by multiplication to be assigned there to shall be 1.25,
(b) storage tank capacity of storage tank in litres multiplied by the rate
of Rs.40 per litre, with weightage by multiplication to be assigned thereto
on account of age factor as in schedule C.
(c) total capital value of a storage tank = total of items (a) and (b).
(2) storage tank below the ground level.
(a) land at the rate of open land in the Ready Reckoner and weightage by
multiplication to be assigned thereto shall be 1.25,

39

(b) storage tank capacity of storage tank in litres multiplied by the rate
of Rs.50 per litre, with weightage by multiplication to be assigned thereto
on account of age factor as in schedule C,
(c) total capital value of a storage tank = total of items (a) and (b).
19. Capital value of amenities of luxurious RCC building not to be
separately fixed again where the capital value of a luxurious RCC
building is fixed under these rules then no capital value of the amenities
specified in the definition of the expression luxurious RCC building shall
be separately fixed for the purpose of levy of property tax.
20. Valuation of open land capable of utilizing more than 1 floor space
index (F.S.I.) or transfer of development right (T.D.R.) as the Ready
Reckoner provides for the rate of base value of open land with 1 floor
space index open land which is capable of utilizing more than 1 floor
space index or any transfer of developed right shall be valued at an
increased rate in proportion to the higher floor space index or transfer of
development right proposed to be utilized and approved under the
building plan submitted to the Corporation for approval.

40

21. Capital value of open land or building or part thereof capital value of
open land or building shall be fixed under the provisions of the Act and
these rules in the following manner namely:(1) Capital value (CV) of open land Rate of base value (BV) of a open
land according to Ready Reckoner X weightage by multiplication as per
user category (UC) (part I of schedule A) X permissible or approved floor
space index (FSI) X area of land (AL). CV=BVxUCxFSIxAL (2) Capital
value (CV) of a building Relative rate of base value (BV) of a building
according to Ready Reckoner X weightage by multiplication as per user
category (UC) (Parts II, III, or as the case may be, IV of schedule A) X
weightage by multiplication as per the nature and type of building (NTB)
(schedule B) X weightage by multiplication on account of floor factors
(FF) for RCC building with lift (schedule D) X built up area (BA) CV = BV
x UC x NTB x AF x FF x BA examples:- Some examples based and worked
out on the formulae as aforesaid are shown in the Appendix.
22. Non application of Guidelines of stamp duty valuation.
Notwithstanding anything contained in the Important Guidelines of
Stamp Duty Valuation as specified in the Ready Reckoner the provisions
made in these rules shall have primacy over those guidelines and none of

41

those guidelines shall apply for fixing capital value under the Act and
these rules.

DETAILS OF FACTORS AND USER CATEGORIES OF BUILDINGS AND

LAND AND WEIGHTAGES BY MULTIPLICATION TO BE ASSIGNED
THERETO
SCHEDULE - A (See rules 4 and 5)
Part I Open land
User categories of open land and corresponding weightages by
multiplication Sr. No User category of open kand Weightage by
multiplication to the base value (1) (2) (3)
1 Airport land:(a)

Land used for movement and parking of aircraft including runway

and taxying bay 1.25

(b)
Any land other than land covered by entry (a) 1.002 Amusement
park 1.253 Golf course 1.254 land around weighbridge 1.255 land of
open air thenatre 0.106 land of stadium where no tickets are sold for

42

entry 0.10 7 land of stadium where tickets are sold for entry 1.008 land
of petrol pump/service station/LPG, CNG station/kerosene station 1.259
open air electric substation 1.25 10 open land non residential:- (a)
Commercial 1.25 (b) Industrial 1.10 11 open land residential 1.00 12
open land under reservation:- 9(a) partial impermissibility 0.10 7 land of
stadium where tickes are sold for entry 1.00 8 land of petrol
pump/service station/LPG, CNG station / kerosene station 1.25 9 open
air electric substation 1.25 10 open land non residential:Part II
User

Residential buildings
categories

of

residential

buildings

and

corresponding

weightages by multiplication Sr.No.

User category of residential building or part thereof weightage by
multiplication to the related base value (1) (2) (3) 1. Bungalow 1.25 2. Car
park in stilt, or basement, or podium 0.25 3. Clubhouse and any other
amenity in co-operative housing society used its members 1.00 4. Duplex
flat / apartment 1.25 5. Enclosed garage 0.25 6. Penthouse 1.25 7.
Room, or flat, or apartment, or tenement and like 1.00 8.Row house 1.25
9. Society office 0.10 10. Swimming pool 1.00 10.
PART III

43

Shops / Commercial Building user categories of shops commercial

building and corresponding weightages by multiplication Sr.No. User
category of shop / Commercial Building or part thereof weightage by
multiplication to the related base value (1) (2) (3) 1. Advertisement
hoarding 1.00 2. Airport building 1.10 3.Asset management company
and trustee company of Mutual Fund 1.20 4. Automatic Teller Machine
Center and Money Changing Center 1.20 5. Bank 1.20
in still/basement/podium 0.25
1.00

6. Car parking

7. Cinema hall/theatre/drama theatre

8. Club house, etc. (excluding the one in co operative housing

society used by its members) 1.00 9. Co-operative credit society 1.00 10.
Coaching class 1.00

11. Commodity exchange 1.20

12. Department

store and shoping center 1.10 13.Dispensary clinic and pathological

laboratory 1.00 14.Educational institution 0.70 15. Electric sub-station
of a commercial building 0.80 16. Electric sub-station of a residential
building 0.10 17. Enclosed garage 0.25 18. Film shooting studio 1.00 19.
Godown/Storage/warehouse 1.00 20.Hanger and workshop at airport
1.10 21.Hospital 1.00 22.Hotel five star and above 1.25 23. Hotel up to
four star and service apartment 1.10 11 24.Life and non-life insurance
corporation

or

company

1.20

25.Mall

1.25

26.Mangal

karyalaya/hall/community hall/convention hall/ party hall, etc. (air

44

conditioned) 1.20

27. Mangal karyalaya/ h all. Community hall/

convention hall/party hall, etc. (non air conditioned) 1.10 28. Multiplex
1.25 29.Non-banking financial institutions 1.20 30.Nursery, kids corner,
playgroup0.70 31. Nursing home 1.00 32. Office 1.00 33. Open air
theatre stage and other structure 0.30 34. Passenger terminal at airport
1.10 35. Private health club, gymnasium 1.00 34.passenger terminal at
airport 1.10 35.private health club gymnasium 1.00 47. Tires of seats
for specter in a stadium where no tickets are sold 0.06 48. Tower 1.00
49. Unstarred hotel 1.00 12 50. Weighbridge 1.00

PART IV Industrial building

User

categories

of

industrial

buildings

and

corresponding

weightages by multiplication Sr.No user category of industrial building or

part thereof weightage by multiplication to the related base value 1, 2, 3
1.
2.
3.
4.
5.
6.
7.

car parking in still basement podium 0.25

Enclosed garage 0.25
Factory including refined 1.25
Industrial estate 1.25
Service industrial estate 1.05
Society office 0.25
Workshop 1.25

SCHEDULE B (See rule 6)

45

Weightages by multiplication to be assigned to a building on

account of nature and type of building Sr.No.Nature and type of building
or part thereof weightage by multiplication 1,2,3
1.
2.
3.
4.

Luxurious RCC building 1.20

RCC building other than luxurious RCC BUILDING 1.00
Pucca building excluding chaw 1 0.70
Semi permanent / Kachha building including 0.50 explanation:-

For the purposes of this schedule 13

a.
b.
c.
d.
e.
f.
g.

RCCbuilding means a building having RCC columns /walls

Pucca building / structure shall include following
Steel frame structure or
Load bearning structure or
Any type of non RCC structure having brick
Hoarding
Semi permanent kachha building means any other type of building

structure not covered by any of the categories and includes temporary

structure made from any materials whatsoever.
SCHEDULE C (See rule 7)
Weightages by multiplication to be assigned to a building on
account of age of the building Sr.No.age of building or part thereof
weightage by multiplication 1,2,3
1.
0 to 5 years 1.0
2.
more than 5 years up to 10 years 0.97
3.
more than 10 years up to 15 years 0.94
4.
more than 15 years up to 20 years 0.91
5.
more than 20 years up to 25 years 0.88
6.
more than 25 years up to 30 years 0.85

46

7.
8.
9.
10.
11.

more
more
more
more
more

than
than
than
than
than

30
35
40
45
50

years
years
years
years
years

up to 35
up to 40
up to 45
up to 50
0.70 14

years
years
years
years

0.82
0.79
0.76
0.73

SCHEDULE D (See rule 8)

Weightages by multiplication to be assigned to a building on
account of floor factor of a RCC building with lift Sr. No. Floor weightage
by multiplication
(1)
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.

(2) (3)
Basement used for car parking 0.70
Basement used for other than car parking 1.00
Lower ground floor 1.00
Upper ground floor 1.00
Ground floor 1.00
From 1st to 4th floor 1.00
From 5th to 10th floor 1.05
From 11th to 20th floor 1.10
From 21st to 30th floor 1.15
From 31st to 50th floor 1.20
From 51st to 75th floor 1.25
From 76th to 100th floor 1.30
Above 100th floor 1.35

47

EXAMPLES FOR FIXATION OF CAPITAL VALUE

(1)

RESIDENTIAL FLAT ON 12TH FLOOR IN ABUILDING WITH LIFT

Weightage
Relative rate of base value Rs,80,600 not applicable category
residential 1.00 nature building RCC building other Age of building 6
years 0.97 floor number 12 1.10built up area 80sq applicable.
CV=BVxUCxNTBxAFxFFxBA
=80600x1.00x1.00x0.97x1.10x80
C.V. = Rs.68,80,016
(2) RESIDENTIAL FLAT IN A BUILDING WITHOUT LIFT
Weightage
Relative rate of base value Rs.80,600 not applicable
User category Residential 1.00
Nature and type of building RCC building other than luxurious RCC
building 1.00
Age of building 6 years 0.97
Floor number 2 not applicable
CV=BVxUCxNTBxAFxFFxBA

48

=80600x1.00x1.00x0.97x80
C.V.=Rs.62,54,560
(3) OPEN LAND IN ISLAND CITY
Weightage
Rate of base value Rs.36,400 not applicable
User category Residential 1.00
Nature and Type of building not applicable not applicable
Age of building not applicable not applicable
F.S.I. Factor 1.33 1.33
Land area 80sq mtr not applicable
CV=BVXUCXFSIXLA
=36400X1.00X1.33X80
C.V.=Rs,38,72,960
(4) OPEN LAND WHERE RESIDENTIAL BUILDING PLAN WITH HIGHER
F.S.I HAS BEEN APPROVED

49

Weightage
Rate of base value Rs.36,400 not applicable
User category open land (Resi) 1.00
Nature and type of building applicable not applicable
Age of building not applicable
F.S.I. Factor 2.50
Land Area 80sq.mtr.not applicable
CV= BV X UC X FSI X LA
= 36400 X 1.00 X 2.50 X 80
C.V.=Rs.72,80,000
(5) OPEN LAND IN SUBURBAN AREA
weightage
Rate of base value Rs.33,200/- not applicable
User category residential 1.00
Nature and type of building not applicable

50

Age of building not applicable

F.S.I. Factor 1.00
Land Area 80sq.mtr. not applicable
CV = BV X UC FSI X LA
= 33200 X 1.00 X 1.00 X 80
C.V.=Rs. 26,56,000
3.2 SUMMARY
This chapter explains the details of rules for fixing capital value
were explained. The next chapter deals with the methodology adopted in
this study. In methodology the objectives and other details are clearly
explained.

51

CHAPTER - IV
METHODOLOGY
4.1 GENERAL
In the present chapter, variables used in this study, formulation of
the objectives and hypotheses to be used in this study and also the
sample used in this study, distribution of the sample, statistical
techniques used in this study, and all other related aspects are presented
here.

4.2 METHODOLOGY:

52

Methodology is an important aspect in any research work. Every

research study has its own objectives. The procedure adopted by the
research works for the realization of these objectives is known as
methodology.
4.3 OBJECTIVE:
The following are the objectives of the present study. They are

To identify the school building valuation in rural areas.

To establish the common valuation concepts, awareness, and

application of valuation methodology and valuation process for
school building valuation in rural areas.

4.4 SCOPE
The scope of this research will initiate and enhance the common
awareness, understanding and implementation of school building
valuation in rural areas in India. It will focus to improve school building
valuation in rural areas, and not for the valuation for the assets as a
whole. This research is the first phase in developing school building
valuation in rural areas guidelines in India that can be evolved in the

53

future. This proposed school building valuation in rural areas guidelines

will assist various organisations and individuals, such as the government
agencies, financial sectors and clients to have a better understanding of
school building valuation in rural areas basis and process, as well as
guidance for valuers in conducting school building valuation in rural
areas.
4.5 DATA USED
Primary and Secondary data are to be used. The Primary data it is
the fresh data collected from the survey. The Secondary data are to be
collected from the secondary sources like records documents and
internet resources.
4.6 STATISTICAL TECHNIQUES USED

Descriptive analysis

Differential analysis

4.6.1 Descriptive analysis

The means, standard deviations of the entire sample are computed.
4.6.2 Differential analysis
Differential analysis is an important procedure by which the
researcher is able to make inferences involving in the determination of

54

the statistical significance of difference between groups with reference to

selected variables. It involves the use oft test. At test is a numerical
procedure that takes into account that the difference between means of
two groups, the number of subjects in each group and the amount of
variation of spread present in the score. Thus thet test is used to
determine whether the performance of two groups is significant or not.
4.9 SUMMARY
This chapter explains the details of research methodology were
explained. The next chapter deals with result and discussion are clearly
explained.

CHAPTER V
RESULT AND DISCUSSION
5.1 GENERAL

55

Any research work could be meaningful when the data are

analyzed and interpreted properly. Therefore, the researcher has given
much importance to this part.

The data collected from the sample

analyzed and interpreted.

5.2 T-Distribution test
A 5% level of significance is chosen to reflect the degree of accuracy
obtained. There is significance for the cost between the financial years
and different zones response as shown in Table 4.1. It is significant at
level of 5% for two-tailed test. Results indicate that the maximum control
is around 26.2 percent only as shown in Table 4.2.
Table 4.1 Zone wise school building rate in lakhs
Zone/Region
2012
South
North
Centre
East
West

25
20
35
19
23

2013

Rate in lakhs
2014
20
26
33
18
22

Table 4.2 One-Sample Statistics

2015
22
27
32
19
20

26
24
35
25
21

56

Year

Mean

Std. Deviation

2012
2013
2014
2015

24.40
23.80
24.00
26.20

6.39
5.93
5.43
5.26

Std. Error
Mean
2.86
2.65
2.43
2.35

Table 4.3 Independent Samples Test

Year
2012
2013
2014
2015

t
8.542
8.970
9.881
11.131

df
4
4
4
4

Sig.
.001
.001
.001
.000

T-distribution result will reflect the difference between the two samples. Here the
answers given by both Financial years and different zone are same except. From this test
we can conclude both zone and years had the same level of awareness with respect to
cost.
Table 4.2 Significance analysis
ANOVA
Source of
Variation
Rows

SS

df

MS

456.8

114.2

Columns

18

Error

76

12

6
6.3333
33

Total

550.8

19

F
18.031
58
0.9473
68

P-value

F crit

0.00518

3.259167

0.044815

3.490295

57

The calculated P-value is significant. P < 0.01. So the null

hypothesis is rejected and alternate hypothesis is accepted as shown in
Table 4.3. So it is concluded that there is a significant difference in zone
wise school building rate in lakhs as shown in fig 4.1 -4.4.

Fig 4.1 Zone wise school building in 2012

58

Fig 4.2 Zone wise school building in 2013

Fig 4.3 Zone wise school building in 2014

Fig 4.4 Zone wise school building in 2015

59

5.3 SUMMARY
This chapter explains the details of result and discussion were
explained. The next chapter deals with summary of findings and
conclusions are clearly explained.

60

CHAPTER VI
SUMMARY OF FINDINGS AND CONCLUSIONS
6.1 CONCLUSION
The findings of the present study lead to the following concluding
remarks. It is inferred that there is a significant difference in zone wise
school building rate in lakhs.
Based on the findings of this research, there are numbers of
research that can be ignited in the future. Firstly, the study on the plant
and machinery fundamental structure for practices can be conducted in
the future. The fundamental structure can be replicated from Chapter 2
of this research and be tested in the Malaysian market on their
suitability to be applied. The following list contains the most common
errors that the author has detected in the more than one thousand he
has had access to his capacity as business consult or trapped in a
speculative bubble is to not enter it to never buy what seem to be
extensions even if advised to do so by certain.

61

6.5 SUMMARY
This chapter explains the details of summary of findings and
conclusions were explained.

REFERENCES
1.
2.

Valuation of real estate Annamalai University.

Practical valuation (Vol I To VIII) by B.Kanagasabapathy, senor

3.

valuer and former national vice president of institution of valuers.

Valuation practice of immoveable properties B Sri C. H. Gopinatha

4.

Rao.
Books for valuation of properties by Er.S.Mohan, lecturer, civil
engg.

5.
6.

dept.,

Annamalai University

and

Er.Perumal

Kabilan,

chartered engineering, Chidambaram, Tamil nadu.

A text book of estimating and costing by D.D. Kholi & R.C. Kohli.
Property valuation hand book, published by college of estate
management, U.K., R.I.C.S Books stall 12 A., great George ST.

7.

Parliament square, londan.

Ashoke nain, professional valuation practice, tata Mcgraw Hill

8.

Publishing Co.,Ltd New delhi.

Model town and country planning act published by town and
country planning organization (2002), govt. of India.

62
9.

Publication of international Valuation, standards committee on

various valuation standards, valuation and appraisal manual
published by the royal institution of charatered surveyors and
guidance note published by the European group of valuers of
assets. Joseph C.Mancuso, Mastering Technical writing.

APPENDIX

Zone

: Tirupathi SRO

: Thilak Road

Survey Numberwise Guideline values

Enter the Survey Number
74

SURVEY NO

GUIDELINE VALUE

GUIDELINE VALUE
(IN METRIC)

CLASSIFICATION

74/1

300/Sq.Ft

3230/Sq.Mt

Residential Class I Type - II

74/2A

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

74/2B

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

74/3A1

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

74/3A2

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

74/3B

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

74/4

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

Survey Numberwise Guideline values

Enter the Survey Number
76

63

SURVEY NO

GUIDELINE VALUE

GUIDELINE VALUE
(IN METRIC)

CLASSIFICATION

76/1

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

76/2A

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

76/2B1

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

76/2B2

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

76/3

1300000/Acre

3212500/Hect.

Wet Lake irrigation Double Crop Type - I

76/4

1300000/Acre

3212500/Hect.

PHOTO VIEWS OF
SCHOOL BUILDING

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