Appraisals and Opinions on Market Value
At the moment of purchase, the relationship between supply
and demand evidently sets the value of an asset. For establishing
an approximate estimate for such value, prior to the purchase
or other transactions, GSA offers two types of studies:
- Appraisal, which is performed according to standard formulas for establishing the appreciation and depreciation of a real estate property. The useful life of a construction is estimated according to the economical growth and infrastructure of a country. In Venezuela, it takes a period of 40 years to increase the value of the land in which the construction is located only.
- Market value opinions, which, contrary to the appraisal, are based on consolidated purchase and sale transactions regarding similar assets at the same geographic area (or other similar area) in which the real estate property object of the appraisal is located. Taking into consideration several comparative criteria, the value opinion is the main price indicator for a land or construction.
Market
Researches
In virtue of our permanent contact with sellers, purchasers
and real estate brokers, GSA is in a favorable position when
describing the market’s actual conditions, identifying
current trends and foreseeing potential future conditions
regarding space vacancies, price evolution and other aspects;
essential information for taking decisions and successfully
completing different types of negotiations.
Design
and Adaptation of Spaces
Sometimes the space requirements of an organization may
be solved through certain simple internal adaptations within
the same premises already being used. In GSA, we analyze
the use of space based on criteria such as:
- Number of personnel
- Organizational structure
- Type of work performed
- Installed machinery
- Standards issued by the parent company
We provide advice on the optimum arrangement of working
areas, including office spaces and cubicles, hallways, meeting
rooms, copy and printing areas, cafeterias and restrooms,
reception, etc.
This service is available also for organizations seeking
to move their operations due to the purchase or lease of
new spaces. In both cases, optimization of working areas
usually involves a reduction of the area actually used and,
consequently, saving money.
Legal and Financial Advice
When analyzing a property, GSA first verifies its ownership
and several conditions: starting from the possible existence
of prohibitions to sale, liens or mortgages to its solvency
regarding taxes, real property tax (derecho de frente), payment
of public utilities and other obligations provided by the
law.
However, only a greater or lesser knowledge about the possible
contractual terms will determine the ability of each organization
to achieve its business objectives through the final document.
During a negotiation, we provide legal assistance, offering
alternatives which take into consideration our clients’ recommendations
and meet their needs.
In the event of agreeing upon a transaction, we make sure that
the process complies with the formal requirements provided
by the law, whether at a mercantile registry office (in the
event of purchase-sale) or at a notary public office (in the
event of leases).
- Legal
advice and management
Within the legal aspect, we analyze the
possibility of acquiring bank loans or other financing
means, including the engagement of potential partners
for making purchases, profitable
investments, built-to-suit projects or other real estate businesses.
We carry out processes related to bonds and creation of
trusts for managing accounts and provide assistance in
the acquisition of loans, gathering the necessary documents
required by banking institutions and following up application
processes.
In addition, we have a wide range of resources for combining
the financial interests of the two parties involved in
a negotiation: financial instruments for clearing the cash
flow of a company, loophole formulas or investment plans
in the adaptation of spaces, among several alternatives.
Finally, we adjust payment methods to the possibilities
and policies of each company, pursuant to the dispositions
of law. In this sense, we inform our clients about the
effects of each local control and condition and clarify
specific cases in which parent companies located abroad
the country of transaction intervene.
- Financial advice and management
Within the financial aspect, we analyze the possibility
of acquiring bank loans or other financing means, including
the engagement of potential partners for making purchases,
profitable investments, built-to-suit projects or other
real estate businesses.
We carry out processes related to bonds and creation of
trusts for managing accounts and provide assistance in
the acquisition of loans, gathering the necessary documents
required by banking institutions and following up application
processes.
In addition, we have a wide range of resources for combining
the financial interests of the two parties involved in
a negotiation: financial instruments for clearing the cash
flow of a company, loophole formulas or investment plans
in the adaptation of spaces, among several alternatives.
Finally, we adjust payment methods to the possibilities
and policies of each company, pursuant to the dispositions
of law. In this sense, we inform our clients about the
effects of the foreign currency exchange control applicable
in Venezuela and provide advice regarding specific cases
in which a parent company located abroad intervenes in
a transaction.
Advice
for Built-to-Suit Projects (Built to suit)
A built-to-suit construction is usually an appealing but complex
project. For purposes of its execution, GSA seeks investors
who own lands and who are willing to build facilities under
previously defined features to be subsequently leased by specific
companies. In these cases, we establish minimum leasing periods
of 10 years. |
