01Owners and investors
Valuation and market research
Broker opinions of value, market studies and quarterly submarket fundamentals.
- Owners and investors
- Twin Cities metro
- Written scope before we start
- Turnaround
- 10 to 15 business days
- Not an appraisal
- Broker opinion
- Research cadence
- Quarterly
How it works
A broker opinion of value is not an appraisal, and we say so on every page of one. What it is: a defensible view of what an asset would trade for, with the comparables and the arithmetic attached.
Owners need a value opinion far more often than they need an appraisal: before a refinancing conversation, at a partnership buyout, for an estate, ahead of a disposition decision, or simply to know whether the 2021 basis still means anything.
A Northline broker opinion of value sets out the in-place net operating income with the adjustments named, the comparable sales with the reasons each one is or is not truly comparable, the capitalisation rate range we believe applies and why, and a value range rather than a single number. Where we are uncertain, we say where.
We also publish quarterly submarket fundamentals for office, industrial and retail across the metro: vacancy, net absorption, under construction square footage, asking rates and sublease availability. That research feeds every other practice in the firm.
What the assignment includes
- 01
Broker opinion of value
Income approach and sales comparison, with the comparable set, the adjustments and the capitalisation rate reasoning shown in full.
- 02
Rent roll and lease abstract review
Term remaining, escalations, options, recovery structure and the mark to market on each tenancy.
- 03
Comparable sales research
Recorded transactions with price per square foot, going-in cap rate where it can be established, and a note on what made each deal atypical.
- 04
Market and feasibility studies
Supply, demand, absorption and pricing for a specific use in a specific submarket, for development or expansion decisions.
- 05
Quarterly submarket fundamentals
Vacancy, net absorption, deliveries, under construction, asking rate and sublease availability by property type and submarket.
- 06
Litigation and partnership support
Written opinions and testimony support for partnership disputes, estates and dissolution matters.
The sequence
- 01
Scope
Purpose, date of value, and the interest being valued.
- 02
Collect
Rent roll, leases, operating history, capital history, site and building documentation.
- 03
Inspect
A physical walk of the asset and a drive of the competing set.
- 04
Analyse
Income approach, sales comparison, capital reserve and mark to market.
- 05
Report
A written opinion with a value range, the comparables and the arithmetic.
- 06
Debrief
A working session on what would move the number, and by how much.
Why clients keep us on retainer
- 1A value range with the reasoning attached, not a single unexplained number
- 2Comparables shown in full, including the ones that argue against our conclusion
- 3Quarterly fundamentals published for every submarket we cover
- 4Clear statement of what a broker opinion is and is not, on every page
Questions we get asked
More across the whole firm on the questions page.
An appraisal is prepared by a state licensed or certified appraiser to the Uniform Standards of Professional Appraisal Practice and can be relied on by a lender. A broker opinion of value is prepared by a licensed real estate broker, is not USPAP compliant, and cannot be used in place of an appraisal for federally related lending. It is faster, less expensive, and for most owner decisions it is sufficient.
From the comparable sales where a going-in cap rate can actually be established, adjusted for lease term remaining, tenant credit, building age and condition, and the depth of the buyer pool for that asset type and size. We show the adjustments individually rather than presenting one rate as a conclusion.
Yes, though the income approach becomes a stabilisation model: lease-up period, leasing cost, free rent, improvement allowance and carry, discounted back. The value range widens considerably and we will say so.
Our own tracked inventory across the submarkets we cover, recorded transactions, listing services, and direct verification with the brokers on both sides of a deal wherever they will confirm terms. Figures on this website are illustrative samples for a demonstration build.
Related practices
02Owners and investors
Landlord representation
Positioning, pricing and absorption for office, industrial and retail assets.
Practice detail03Occupiers
Tenant representation
Search, tour, negotiate and occupy, with one advisor on your side of the table.
Practice detailTell us the requirement
Size, timing, the constraint you cannot move. We will say honestly whether we are the right firm for it.