Shopping Center (AVM) Valuation
Shopping center (AVM) valuation is an important process in the retail industry. These valuations are carried out for purposes such as determining the property value of a shopping mall, determining its investment potential, accurately reflecting it in financial statements, and supporting sales or leasing decisions. AVM valuation is made by considering various factors.
First, the mall valuation includes elements such as the physical condition of the property, size, location, general design of the mall, tenant diversity, brand equity and operational efficiency. Features such as retail areas, walking paths, parking lot capacity, restaurants and entertainment facilities of the shopping mall are important factors affecting the valuation. In addition, factors such as the accessibility of the location, density, demographic data and competitive situation are among the factors affecting the valuation.
In shopping mall valuation, factors such as industry trends, market demands, rental rates of similar shopping malls, sales performance and tenant profiles are also taken into consideration. These factors objectively support the valuation and enable a realistic estimate of value. In addition, factors such as economic factors, developments in the retail sector, regional trade policies and consumer behavior are also factors that affect valuation.
AVM valuation is performed by independent appraisers and is generally done in accordance with internationally accepted valuation standards. These valuations ensure that they are accurately reflected in the financial statements and help them determine the true value of the shopping mall. In addition, it supports strategic decision-making processes and provides risk management by providing accurate information in sales or leasing processes.
In conclusion, shopping mall valuation is a process of great importance in the retail industry and helps companies or investors to properly evaluate their shopping mall assets. These valuations are made taking into account various factors such as physical characteristics, location, industry trends, market demands and economic factors. Mall valuation is a critical tool for the successful progress and profitability of retail investments.