Topic outline

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    Welcome to the course! 

    The course will be implemented this year as a normal lecture course based on the present information. There will be lectures and an assignment will be done. The course will end with an exam.

    Course content and schedules: preliminary draft, changes are possible, not binding

    Times and topics of lectures Tue and Thu 14.15-15.45 (LR 326), preliminary, may change, non-binding

    •19.4. Introduction of the course. Real Estate Valuation (REV). Assignment and group division. Attendance required. Kauko Viitanen and instructors for the assignments
    •21.4. Bases of value. Valuation approaches and valuation data. Kauko Viitanen
    •26.4. Income approach. Henri Timperi, Realia ltd
    •28.4. Datscha, web-based tool for analyzing and valuing commercial real estate markets. Emma Kaasinen, Datscha Oy
    •3.5. Market approach. Kauko Viitanen
    •5.5. Sustainability in valuation. Anahita Rashidfarrokhi
    •10.5. Valuation assignment. Valuation report. Kauko Viitanen
    •12.5. Cost approach. Kauko Viitanen
    •17.5. Valuation of compensations. Kauko Viitanen
    •19.5. Valuation uncertainty. Authorization. Valuation ethics. Kauko Viitanen
    •24.5. Presentation of assignments and discussion. Attendance required. Kauko Viitanen and instructors
    •2.6. Exam at 14:00-17:00

    Assignment
    A valuation report on the selected commercial property will be prepared as an assignment. The assignment is done as a group work. Group members and their instructors will be announced in the lecture on 19th April, which will also provide more detailed information on the assignments and their implementation. In addition an agreement to use Datscha's analysis and valuation tool will be signed. The tool will be presented in a lecture on 28th April. To use the tool a user ID will be created for students (requires acceptance of the criteria for the tool). Take your laptop on the lecture to be able to take part on the presentation already then. In addition, e.g. the City of Helsinki's real estate map as well as other online materials may be used. It's also possible to make the assignment without the tool. The valuation report shall be prepared using, where applicable, the International Valuation Standards (IVS). Physical target visits will be organised by instructors. The finalized essay shall be submitted to MyCourses latest on Monday 23th May at 08:00 am. 

    Exam and exam requirements

    • There will be three exams in 2022. The first exam will be held on June 2nd, 2022 from 14:00 to 17:00 (LR 326). You can register for the exam normally in Sisu no later than one week earlier. The exam requirements are set out below.
          No course material may be used in response, and plagiarism and any cooperation with others in response is prohibited.
      Re-exams will be at September 8th from 16:30 to 19:30 (Lecture rooms D, E, C, Aalto) and November 3th from 16:30 to 19:30 (Lecture room C). Be sure to sign up for them at least a week before in Sisu.

      Changes possible. They are announced on the course pages.

      Specified evaluation criteria and methods, and familiarize with the evaluation (applies to this year's course):
      • Exam and assignment, scale 0-5
      • In exam pass-through limit 50% of maximum points, rating 5 approx. 80% of maximum points
      – More detailed instructions later depending on the coronavirus situation
      - The assignment is graded 0-5, applying the criteria for the evaluation of bachelor's thesis, as applicable, active attendance required in first and last lectures and in the group work, in more detailed in the first lecture.
      - Course grade is determined as a weighted average of an acceptable exam (50%) and assignment (50%), i.e., both subareas have to be accepted (scale at least 1).

      Workload calculation (applies to this year's course):

      Workload calculation 6 ECTS = 160 h
      – Contact teaching 18 h
      - Assignment 40 h
      – Independent learning + exam and preparing for it 102 h (~500 pages)
    Study material (applies to this year's course):
    - Appraisal Institute (2020) The Appraisal of Real Estate. 15th Ed. Chicago, USA. Pp. 1-6, 15-28.
    - Betts, R.M., Ely, S.J. (2008) Basic Real Estate Appraisal: Principles and Procedures. 7th Ed. Thomson South-Western. USA. Pp. 16-27, 114-118, 127-129.
    - Blackledge, M. (2009) Introducing Property Valuation. Routledge. Abingdon, UK. Pp. 5-17, 24-28.
    - French, N. & Gabrielli, L. (2004) The Uncertainty of Valuation. Journal of Property Investment & Finance, Vol. 22:6, Pp. 484–500. https://www.emerald.com/insight/content/doi/10.1108/14635780410569470/full/html
    - International Valuation Standards Council (2021) International Valuation Standards (IVS), www.ivsc.org. Pp. 1-126
    - Klamer, P., Bakker, C., Gruis V. (2018) Complexity in valuation practice: an inquiry into valuers’ perceptions of task complexity in the Dutch real estate market. Journal of Property Research, Volume 35, 2018, Issue 3, Pp. 209-233. https://doi.org/10.1080/09599916.2018.1510429
    - KTI (2021) The Finnish Property Market | 2021. Pp. 18-69. https://kti.fi/wp-content/uploads/2021/09/The_Finnish_Property_Market_2021.pdf
    - Lusht, K.M. (1997) Real Estate  Valuation: principles and applications. Irwin. USA. Pp. 45, 47-65
    - TEGoVA (2020) European Valuation Standards (EVS), 9th Edition - 2020, https://tegova.org/en/p5fa0280f9d296. Pp. 23-94, 147-221, 225-235, 322-323

    - Viitanen, K., Falkenbach H., Nuuja K. (Eds.) (2010) Compulsory Purchase and Compensation - Recommendations for Good Practice. FIG Publication No 54, International Federation of Surveyors (FIG). 36 p. ISBN 978-87-90907-89-1. https://fig.net/resources/publications/figpub/pub54/figpub54.asp

    - Lectures and lecture materials