Labor day

Secretariat will be closed during 1st and 2nd May. First working day is 3rd May 2023.

The latest cost of capital infographic from Kroll

US BV News

Inflation appears to have peaked, per Kroll

The latest cost of capital infographic from Kroll says that inflation seems to have topped out toward the end of 2022. Inflation estimates over the long term rose from 2.0% in June 2020 to 2.9% in October 2022 but declined to 2.4% at the end of December 2022. Long-term inflation expectations are a key starting point to evaluate the long-term growth rate used in the terminal year for a DCF analysis.

Cost of capital inputs: The same infographic says that, as of Jan. 17, 2023, Kroll’s recommended U.S. equity risk premium (ERP) is 6.0% and the normalized risk-free rate is the higher of 3.5% or the spot 20-year U.S. Treasury yield as of the valuation date. This guidance is effective when developing USD-denominated discount rates as of June 15, 2022, and thereafter

You can find the latest cost of capital infographic at https://www.kroll.com/-/media/kroll-images/pdfs/cost-of-capital-infographic-jan-2023.pdf

THE VALUE OF TOKENIZED INTERESTS IN REAL ESTATE by Dennis A. Webb, MAI, ASA, FRICS 7th December 2022 at 15:0 CET

We are pleased to invite you to register for ONLINE seminar scheduled for 7th December 2022 at 15:00h CET with the topic – THE VALUE OF TOKENIZED INTERESTS IN REAL ESTATE by Dennis A. Webb, MAI, ASA, FRICS – a business and real estate appraiser, former syndicator and engineer.

 

The blockchain brings us tokens and a brave new world of fractionalization that can dramatically expand avenues for real estate investment. But is everything what it seems? In this guidance packed Webinar, Dennis will provide an eye-opening, multidisciplinary perspective on tokenized and otherwise-shared real estate ownership.

 

We will discover how the partly new tokenized ownership structure can both mitigate and worsen risk to the token holder. You will come away with principles that you can use to help your clients understand tokenization’s economic realities, and be able to:

 

  • Identify key attributes of real estate tokenization that affect value
  • Make important comparisons with familiar ownership structures
  • Ask the right questions about new risks investors might be taking on with tokens
  • Find out how the promised token marketplaces might be helpful for owners and valuers

Dennis A. Webb, MAI, ASA, FRICS, is a business and real estate appraiser, former syndicator and engineer. Webb is the principal of Primus Valuations® a specialty valuation and litigation consulting firm with offices in Los Angeles and Denver. Webb’s practice is focused on the business of holding and operating real estate, allocating value to special-use real estate, and business valuation. His passion is bringing understanding, clarity, collaboration and technology to bear on valuation of hard-to-value asset interests, a niche specialty which has long proved vexing for appraisers, advisors, the courts, and property owners alike. His mission has resulted in numerous articles and presentations for valuation professionals, lawyers and property owners. His most recent work is the definitive “Valuing Fractional Interests in Real Estate 2.0,” a complete upgrade of the valuation process for LLC, LP and common tenancy interests. A native of Los Angeles, Dennis now lives in Denver, Colorado, and enjoys writing, hiking, traveling and dancing Argentine Tango (not necessarily in that order). Contact: dwebb@primusvaluations.com

 

Attendance on this online seminar brings you 2 points for CPD – Continuing Professional Development for REV certified valuers . Also, according to the RICS system for CPD qualifying activities which is based on personal assessment i.e. individual member deciding which activities are relevant for their professional development, we recommend this seminar for your personal professional development in valuation profession.

 

Seminar will be broadcasted via online web platform (we will send you the link). Participants will be able to send questions to speakers via CHAT on the platform or via email.

Seminar will be available only in scheduled time in Belgrade time zone (CET).

 

Fee:

Fee is 70 EUR (+VAT)

For members of NAVS fee is 50 EUR (+VAT)

 

You can register by sending an email to office@procenitelji.org.rs (name of the participant, email address, information about payer)

 

1st edition – European Plant, Machinery & Equipment Valuation Standards (EVS-PME)

The first edition of  European Plant, Machinery & Equipment Valuation Standards (EVS-PME) developed by TEGOVA is published. EVS-PME 2022 is effective from 1 November 2022.

See the original news here https://tegova.org/european-plant-machinery-equipment-valuation-standards-evs-pme

You can find the document here: https://tegova.org/static/0228680b3e78095d8e5baea9c4a59ec6/EVS-PME%202022.pdf

Members of the EVSBM-PME Board: https://tegova.org/european-plant-machinery-equipment-valuation-standards-board-evsb-pme

 

INTRODUCTION

by Konstantinos P. Pallis MEng DEA REV, Chairman of the European Plant, Machinery & Equipment Valuation Standards Board and Member of the Board of TEGOVA

In this book, concepts such as ‘fixed assets’ and ‘in situ’/’ex situ’ values, scrap value and the three types of obsolescence (technological, functional and economic) and many more particular to PME are defined and standardised, in order to set a common language for valuation practice in the European Union, the European Economic Area, candidate EU member states and EU-associated and Neighbourhood countries.

This book also serves the many practicing valuers throughout Europe who are asked to assess the value of both real estate and PME for lending purposes, financial reporting, and business purposes, helping bridge both fields of practice to deliver quality valuations to the highest standard.

These Standards, like all Blue Books, are in lock step with the EU regulatory framework. Environmental protection, energy conservation, health and safety in particular are becoming drivers for the depreciation of assets; valuers need uniform guidance in dealing with such issues.

EVS-PME 2022 was conceived and designed to foster convergence in PME valuation across Europe, providing common ground and best practice regarding methodology, reporting and valuation approaches to a fast-mutating industrial landscape.

 

PREFACE

It is a euphemism to call this Book ‘timely’. It’s a perfect conjunction of right time, right place, right industrial and geopolitical context.

When TEGOVA decided to develop the standards in the spring of 2020, the motivation was the high demand from European practitioners who wanted standards tailored to the European manufacturing context and to the general principles of valuation in TEGOVA’s European Valuation Standards. To that extent, it was the same as for the first ever European Business Valuation Standards, launched that year: filling a gap and not having to rely on whatever non-European norms and training were out there.

The European Plant, Machinery & Equipment Valuation Standards Board was already at work when the world changed, with the hydra of climate, pandemic and war and the sickening realisation that Europeans had gravely compromised their prosperity, health, safety and security – and raised their carbon footprint – by extending their supply lines to far away authoritarian or rogue regimes.

To the surprise of many sceptics, the European Union rose to the challenge with a massive and comprehensive legislative agenda for the repatriation, regeneration and greening of European industry and even more surprisingly, with a common EU budget to back it up.

Good and timely regulation has a way of kick-starting change even before it hits the statutes, and it’s happening now. This puts an absolute duty on the valuation profession to undergo its own transformation and learn to put a value on the components of the industrial transformation as it happens.

So it is that EVS-PME 2022 is at once steeped in the tradition and culture of all Blue Books – it has the same format and enunciates the same central valuation principles – and yet is also very different, driven by the nature of PME and because it is the child of economic and political forces that had not yet erupted during the gestation and development of EVS 2020 and EVS-BV 2020.

With this third pillar, TEGOVA’s valuation standardisation work now covers the entire European real estate, business and industrial economy with significant synergies between the three Blue Books.

Krzysztof Grzesik REV FRICS
Chairman of the Board of TEGOVA

4th RICS-NAVS conference 18th October 2022

We are pleased to announce that Royal Institution of Chartered Surveyors – RICS and National Association of Valuers of Serbia – NAVS are organizing traditional, annual 4th joint RICS-NAVS conference on the 18th October 2022 at ENVOY conference center.

Event will be organized in hybrid format meaning that you can choose between participating in conference in person, live at Envoy conference center in Belgrade, street Gospodar Jevremova 47 or participating via ONLINE platform from your comfortable home or office.

Discussion during four panels at 4th RICS-NAVS conference will cover topics about current factors in the real estate market that have an impact on the value of real:

  1. Is carbon neutral real estate portfolio achievable for investors in Western Balkans by 2030?
  2. How will „people centric“ asset management add value to the buildings?
  3. Trends to watch after COVID rapid increase in prices
  4. From constructor’s point of view: Which issues challenge successful completion of the RE project?

 

Find Agenda and Speakers bios at conference website: https://rics-nups.onlineedu.rs/en/pocetna-english/

 

You can register to participate LIVE in ENVOY conference center* (Gospodar Jevremova 47, Belgrade) or ONLINE via video platform.

*the number of participants in Envoy conference center is limited

 

Simultaneous translation is provided.

Participants will get certificates of attendance for 7 CPD education.

 

Fee with discount for RICS and NAVS members is:

160 eur + VAT for LIVE attendance at ENVOY conference center*

120 eur + VAT for ONLINE attendance via video platform

 

Regular fee for the conference is:

200 eur + VAT for LIVE attendance at ENVOY conference center*

160 eur + VAT for ONLINE attendance via video platform

 

Register to conference by sending e-mail with information about participant and payer to office@procenitelji.org.rs

 

Nano-learnings for business valuers

The International Institute of Business Valuers (iiBV) has opened a website page in the Serbian language, where business valuers and other interested will be able to get information about the most current topics in this area, in the Serbian language. This very significant project was made possible by the long-term cooperation of NUPS and iiBV. From now on, short nano-learnings courses with the following topics are available:
1. Crypto & Digital Assets – Value Creation & Valuation – link: https://iibv-courses.thinkific.com/courses/nano-learning-crypto-serbian
2. Mathematical Models for Calculating DLOM – link: https://iibv-courses.thinkific.com/courses/mathematical-models-for-dlom-serbian
3. The Control Premiums / Market Participant Acquisition Premium – link: https://iibv-courses.thinkific.com/courses/nano-learning-control-premium

*You can registred exclusively through the NUPS page on the iiBV website www.iiBV.org

New journals

TEGOVA issued new European journal with two new podcast (https://tegova.org/podcast)

NAVS member, Marko Popović, prepared an article about functional obsolescence in PME.

 

Also, NAVS issued new journal https://procenitelji.org.rs/biblioteka/nups-bilteni/

Multidisciplinary Guidance & Insight Newsletter #1 by Dennis A. Webb, ASA, MAI, FRICS

Welcome to the cutting edge of multidisciplinary valuation. The first issue of the free newsletter that is intended to make your cross-disciplinary valuation work highly credible and persuasive. Emphasis will be on partnerships, LLCs, and common tenancy interests, but also allocating asset values for a going concern and more on cross-disciplinary issues that are controversial and often difficult for appraisers and clients alike. One of objectives is to inspire awesomeness and to provide guidance for “asking the right questions in the other discipline’s language,” a significant theme you will see in successive newsletters.

See full newsletter at: https://us13.campaign-archive.com/?e=__test_email__&u=397d1387c290474336106d12b&id=c7b6eb12b5

For next newsletters you can SIGN UP HERE.

iiBV 105 course – Valuation of Intangible Assets in Serbian language

We are pleased to announce that we are continuing the educational program “iiBV – Business Valuation courses” organized by the National Association of Valuers of Serbia in cooperation with iiBV – International Institute for Business Valuation and for the first time it will be in Serbian language.

 

iiBV 105 on Serbian language will be held from 9th April – 14 April 2022. Lectures are scheduled at:

Date       / day; Time:
9. April / Sat 10-13h CET
10. April / Sun 10-13h CET
12. April / Tue 15-18.30h CET
13. April / Wed 15-18.30h CET
14. April / Thu 15-18.30h CET

The lectures will be held via online platform – Zoom and by qualified lecturer. 

 

You can find the Agenda and Application form on the link: Agenda iiBV 105  i FormularPrijave-ApplicationForm-iiBV105 April 2022

 

Educational courses iiBV 101 and 102, iiBV 103 and 105 are recognized by the American Society of Appraisers – ASA. Successful completion of these courses forms a part of the requirements for obtaining a globally recognized professional designation – ASA for business valuation appraisers.

Online seminar 04.03.2022 – Valuing Real Estate Fractions – Application Software by Dennis A. Webb, ASA, MAI, FRICS

We are pleased to invite you to register for ONLINE seminar scheduled for 04 March,2022 at 14:00h CET with theme – Valuing Real Estate FractionsApplication Software by Dennis A. Webb, ASA, MAI, FRICS – a business and real estate appraiser, former syndicator and engineer.

 

ABSTRACT

A major, online software application makes using 2.0 fast and easy. It guides the valuer through a carefully organized checklist of all of the facts and circumstances that are likely to be important for the holder of a fractional interest in real estate. It’s algorithm completely eliminates the need to build valuation models, while providing instant results for all input changes. This session illustrates the entire valuation process through several case studies.

 

The stepwise process begins with the underlying real estate assets, then the entity, management of the real estate, control attributed to the subject interest, a partition lawsuit (if an available option), marketability and likely holding period based on restrictions and barriers to a pro rata exit.

 

In attachment you can find biography of the instructor.

 

Associated with NAVS – National Association of Valuers of Serbia, D.Webb held online seminars Valuing Fractional Interests in Real Estate – Introduction to Real Estate Fractions and Valuing Undivided Interests in Real Estate (Valuation Methodology and 2.0)

 

Attendance on this online seminar brings you 2 points for CPD – Continuing Professional Development for REV certified valuers . Also, according to the RICS system for CPD qualifying activities which is based on personal assessment i.e. individual member deciding which activities are relevant for their professional development, we recommend this seminar for your personal professional development in valuation profession.

Also, this seminar is a part of continuous education of members of  American Society of Appraisers (ASA) and the Appraisal Institute (AI).

 

Seminar will be broadcasted via online web platform (we will send you the link). Participants will be able to send questions to speakers via CHAT on the platform.

 

Fee for 25 February is:

Fee is 50 EUR (+VAT)

Members of NAVS can participate for free

 

*number of online participants is limited due to limitation of online platform

 

You can register by sending an email to office@procenitelji.org.rs (name of the participant, email address, information about payer)