ASSET VALUER: Smart Cities and Initiatives Asset Valuation service as the part of SDP’s Management Consulting & Government Advisory service offering for Public, Private and Social sector clients.
Product/ Service Delivery Duration:
Min 2-3 months depending upon Size of offering required and Scope of Work.
Ideal Client Type:
Public, Private and Social sector clients: International Agencies, National Governments-Ministries; Local Governments-Municipalities, Development Authorities, Smart City SPVs/ offices, Private Companies.
What is in the package of Product/Services (Deliverables)?
- Smart Cities & Initiatives Asset Valuation Report.
- Support Excel Exercise File.
Product Offering/SoW Overview:
Clearly identify and describe the property being valued.
Due Diligence and Review of the location, site plans, Plant & Machinery and due diligence on planning approvals / reservations from various regulatory authorities as applicable, lay outs etc. Review of physical encumbrances, if any.
Collect information and conduct due diligence of matters like market information, quotations and offers of similar assets sold or available in close proximity to the subject property.
Finalize the methodology for valuation before start of work. The methodology for valuation will generally be the Realizable Value method. In case of any alternate method, the Valuer shall suitably provide the justification/ logic /assumption for selecting the appropriate method for valuation.
State any assumptions or limiting conditions that may affect the analysis, opinions and conclusions.
Provide sufficient information to permit those who read and rely on the report to fully understand the data, reasoning, analyses and conclusions underlying Asset Valuer`s findings, opinions and conclusions.
Completely and understandably set forth the valuation report in a manner, which will be comprehensive, accurate, and not in any manner misleading.
The Valuer will be responsible for generating a draft report and making detailed presentations on the subject matter as may be required by Smart City. Post presentation, the Valuer, shall, if required, incorporate the suggestions as may be requested by Smart City or provide for any other additional clarification that may be required. The final deliverable shall be a Final Valuation Report, incorporating the change/ modifications as may be suggested above.
The Valuer shall calculate the Real Market value/Fair Value, realizable value, Distress Sale Value and Liquidation Value at both ‘Piece-Meal’ and ‘Scrap Value’ basis. The Valuer shall also advise on the Reserve Price for the asset.
The Valuer shall carry out the valuation of personal movable and immovable assets as per the details provided by the Smart City, if available.
Optimized maintenance schedules, and early identification of issues before repair costs start to escalate;
Better planning and risk mitigation, through data management and predictive modeling.
Extended asset life, reducing the need for capital investment; and
Maximizing revenue generation across the asset base, e.g. by ensuring up-to-date market rents are charged, and utilisation is maximized. In addition, there are a number of secondary benefits that professional Asset Management can bring Greater transparency of the use and state of publicly held assets.
Increased collaboration between agencies, and between agencies and providers (which in turn can generate cost savings through e.g. procurement bundling or streamlined business processes).
A boost to savings potential (on average, 20% savings as a result of rationalizing public assets or co-locating local services based on customer need)
Additional Free Offerings:
•Poor financial performance, due to a focus on tactical or reactive decision making, as opposed to a whole life cost view.
•Absence of long term planning and performance sustainability.
•Misalignment of Asset Management strategies and practices with the city’s longer-term goals and objectives.
•Asset Management being seen as an overhead to be ‘controlled and managed’, disjointed from the rest of the city’s organizations' activities.
•A sporadic and reactionary approach to improving Asset Management capability