Prepare a report for Mr Holder setting out your advice on the following matters:
1. The market value of Harnhill Manor Farm, making a special assumption that it is owner-occupied and able to be sold with vacant possession.
2. The market value of the same property in its current situation, subject to Mr Whitehead’s tenancy.
3. The price that you recommend Mr Holder should expect to receive for the freehold of the farm, based on a review of the perspective of both landlord and tenant.
The report should comply with Valuation Practice Statements (VPS) 3 and 4 of the 2014 RICS Red Book, be around 2500 words in length, with additional appendices to include all calculations and a spreadsheet of (sorted) comparable evidence used. You do not need to provide terms of engagement, but they should be referred to within the report as ‘agreed and included in Appendix 1’. You should make your valuations excluding any ‘hope value’ for development, although comment should be made where this would merit further investigation.
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