Commercial Property Valuation

[Gilbert Ross Jr]

Does anyone know of an online commercial website that gives a value for commercial property? I have a client looking to sell a property in Newark, NJ and would to know how much the building is worth. If you have any resources that may help finding a value please let me know.

[Derek Carroll]

@Gilbert Ross Jrup commercial property values are determined by the income that the property produces and the markets willingness to pay for that income. Find out the true NOI of the subject and then the prevailing market cap rate for similar properties.

Look at owners operating financial statements for NOI and talk with commercial brokers and appraisers to find cap rate range. Note that I said cap rate range because it's not an exact science and there are a number of factors that can influence this.

Divide NOI by the cap rate to determine approximate value.