Fig. 1
Calculation of residual value
| GDV | Certified property | Non-certified property | ||
|---|---|---|---|---|
| Unit value | 3,581 € | 2,949 € | ||
| Lettable area | 15,000 | 15,000 | ||
| GDV | 53,715,000 € | 44,235,000 € | ||
| Development costs | ||||
| CC | Certified property | Non-certified property | ||
| Unit costs | Total costs | Unit costs | Total costs | |
| Hard costs + fitouts | 1,300 € | 19,500,000 € | 1,000 € | 15,000,000 € |
| SC | Certified property | Non-certified property | ||
| Professional fees | 7% of CC | 1,365,000 € | 7% of CC | 750,000 € |
| Project management | 7.5% of CC | 1,462,500 € | 7% of CC | 1,050,000 € |
| Marketing | 2% of CC | 390,000 € | 2% of CC | 300,000 € |
| Disposal fees | 2.5% of GDV | 1,342,875 € | 2.5% of GDV | 1,105,875 € |
| Total SC | 4,560,375 € | 3,205,875 € | ||
| Financial costs | Certified property | Non-certified property | ||
| Interest during building permit process | 3.0% | 1,077,105 € | 3.5% | 1,113,540 € |
| Interest during construction period | 3.0% | 1,355,667 € | 3.5% | 1,330,463 € |
| Interest over void | 3.0% | 317,251 € | 3.5% | 304,295 € |
| Total financial costs | 2,750,023 € | 2,748,298 € | ||
| Development profit | Certified property | Non-certified property | ||
| Profit on total costs | 20% of total costs | 8,952,429 € | 20% of total costs | 7,372,377 € |
| Residual value | 17,952,173 € | 15,908,450 € | ||
Unit transaction price adjustment
| No. | Object | Date built (refurbished) | Price per unit | Adjustment | Final adjustment | Adjusted price per unit | ||
|---|---|---|---|---|---|---|---|---|
| Locality | Age | Transaction date | ||||||
| 1 | BB Centrum Villas | 2002 | 2,000 € | 1.10 | 1.10 | 1.07 | 1.30 | 2,590 € |
| 2 | Oregon House | 2005 | 1,929 € | 1.20 | 1.10 | 1.07 | 1.41 | 2,725 € |
| 3 | Metronom | 2015 | 2,735 € | 1.10 | 1.00 | 1.02 | 1.13 | 3,077 € |
| 4 | Visionary | 2018 | 3,009 € | 1.00 | 1.00 | 1.02 | 1.02 | 3,077 € |
| 5 | Explora Business centre | 2012 | 2,512 € | 1.10 | 1.05 | 1.02 | 1.18 | 2,967 € |
| 6 | Hadovka | 1999 | 2,000 € | 1.10 | 1.20 | 1.02 | 1.35 | 2,700 € |
| 7 | Polygon | 2004 | 2,512 € | 1.00 | 1.10 | 1.02 | 1.13 | 2,826 € |
| 8 | Nestle | 2006 | 2,500 € | 1.20 | 1.10 | 1.02 | 1.35 | 3,375 € |
| 9 | Rosmarin Business Centre | 2012 | 1,702 € | 1.00 | 1.20 | 1.02 | 1.23 | 2,089 € |
| 10 | Prague Marina | 2009 | 2,426 € | 1.00 | 1.10 | 1.02 | 1.13 | 2,730 € |
| 11 | Forum Karlín | 2014 | 2,524 € | 1.00 | 1.05 | 1.00 | 1.05 | 2,650 € |
| 12 | Florenc Office centre | 2018 | 4,636 € | 1.00 | 1.00 | 1.00 | 1.00 | 4,636 € |
| 13 | Palác Karlín | 1999 | 3,396 € | 1.00 | 1.20 | 1.00 | 1.20 | 4,075 € |
| 14 | City West B1 | 2009 | 2,828 € | 1.20 | 1.10 | 1.00 | 1.32 | 3,733 € |
| 15 | Trimaran/City Element | 2018 | 4,365 € | 1.00 | 1.00 | 0.98 | 0.98 | 4,270 € |
| 16 | Waltrovka | 2018 | 3,125 € | 1.10 | 1.00 | 0.98 | 1.08 | 3,363 € |
| 17 | Rustonka | 2019 | 4,459 € | 1.00 | 1.00 | 0.98 | 0.98 | 4,363 € |
| 18 | Crystal | 2015 | 3,472 € | 1.00 | 1.00 | 0.91 | 0.91 | 3,173 € |
| 19 | Main point Pankrác | 2018 | 4,453 € | 1.00 | 1.00 | 0.91 | 0.91 | 4,070 € |
| 20 | Palmovka Open Park | 2018 | 3,077 € | 1.00 | 1.00 | 0.91 | 0.91 | 2,812 € |
| Uncertified property average adjusted unit price | 2,949 € | |||||||
| LEED or BREEAM certified property average adjusted unit price | 3,581 € | |||||||
Selected sample of office transactions in Prague
| No. | Property | Locality | Sustainable certificate | Date built (refurbished) | Transaction date | Transaction price [mio. €] |
|---|---|---|---|---|---|---|
| 1 | BB Centrum Villas | Prague 4 | None | 2002 | 1Q/2018 | 16 |
| 2 | Oregon House | Prague 5 | None | 2005 | 1Q/2018 | 27 |
| 3 | Metronom | Prague 5 | BREEAM | 2015 | 2Q/2018 | 93 |
| 4 | Visionary | Prague 7 | LEED | 2018 | 2Q/2018 | 68 |
| 5 | Explora Business Centre | Prague 5 | LEED | 2012 | 2Q/2018 | 53 |
| 6 | Hadovka | Prague 6 | None | 1999 | 2Q/2018 | 50 |
| 7 | Polygon | Prague 4 | None | 2004 | 3Q/2018 | 26.5 |
| 8 | Nestle | Prague 4 | None | 2006 | 3Q/2018 | 25.5 |
| 9 | Rosmarin B. Centre | Prague 7 | None | 2012 | 3Q/2018 | 40 |
| 10 | Prague Marina | Prague 7 | None | 2009 | 3Q/2018 | 33 |
| 11 | Forum Karlín | Prague 8 | None | 2014 | 4Q/2018 | 53 |
| 12 | Florenc Office centre | Prague 8 | BREEAM | 2018 | 4Q/2018 | 51 |
| 13 | Palác Karlín | Prague 8 | None | 1999 | 4Q/2018 | 54 |
| 14 | City West B1 | Prague 13 | None | 2009 | 4Q/2018 | 69 |
| 15 | Trimaran/City Element | Prague 4 | LEED | 2018 | 1Q/2019 | 110 |
| 16 | Waltrovka | Prague 5 | LEED | 2018 | 1Q/2019 | 250 |
| 17 | Rustonka | Prague 8 | LEED | 2019 | 1Q/2019 | 165 |
| 18 | Crystal | Prague 3 | BREEAM | 2015 | 2Q/2019 | 50 |
| 19 | Main point Pankrác | Prague 4 | LEED | 2018 | 2Q/2019 | 118 |
| 20 | Palmovka Open Park | Prague 4 | BREEAM | 2018 | 2Q/2019 | 80 |