Want to Eat Out - Restaurant Valuation Issues

Course overview

RESTAURANT VALUATION ISSUES This four hour seminar provides continuing education for Michigan assessors and appraisers. The seminar begins with an overview of the quick serve and casual dining restaurant sector, the evolution of its changing real estate requirements, the effects of Covid-19 on building design. The definition of highest and best use is reviewed including USPAP citations in Standards 1-3, 2-2 and 6-8. Examples of changing highest and best use and feasibility rent are explored. Court cases involving restaurant valuation issues are identified. Valuation issues including short economic lives and forms of depreciation are addressed via market examples. The sales comparison and income approaches are examined from both leased fee and fee simple perspectives. A case study highlighting changing property rights leading to a different highest and best use conclusions and its effect on value is presented.