ABSTRACT
The demand for an increasingly wide range of leisure property formats was high; institutional investors had begun to move in and there was a corporate hunger for expansion. Under planning legislation, critical factors in relation to the valuation of leisure properties are found not only in the main statutory provisions but also in the statutory instruments, and in the planning policy statements (PPSs). The Red Book gives clear guidance on the matters to be investigated when carrying out any valuation. For rental valuations, the first task is to establish the fair maintainable trade in the hands of the reasonably efficient operator. The single earnings multiplier is the approach most commonly adopted for commercial leisure properties that are sold to an operator rather than an investor. Leisure properties are found in the occupational portfolios of both public sector bodies and private sector organisations, and they are increasingly acceptable within institutional investment portfolios.
