Short answer
A commercial property valuation assesses market value or market rent for a commercial property interest as at a stated date and purpose.
Commercial valuation work may involve sales evidence, rental evidence, lease terms, outgoings, incentives, tenant fitout, yields and income analysis.
Commercial instructions should be assessed case by case having regard to property type, complexity, required expertise, report purpose and risk.
Commercial valuation instructions are accepted only where the property type, lease structure, evidence, income information and valuation purpose fall within the valuer’s professional competence. Specialist assets, complex lease interests, going-concern businesses, telecommunications leases, compensation matters or highly specialised commercial properties may require referral to a specialist valuer.
Start here
Commercial property valuation is often more dependent on income evidence and lease terms than standard residential valuation work.
The same property may be assessed with vacant possession, subject to lease, or on another basis required by the instruction.
Where related-party occupation, expired leases or incomplete rental information exist, the valuer may need to make assumptions or assess market value and market rent on an arm’s-length basis.
Information that may assist
Useful documents may include lease agreements, rent schedules, outgoings, floor areas, plans, title information, zoning, tenancy details, fitout information, rental evidence and sale evidence.
Where lease or legal interpretation is required, the relevant adviser should confirm the legal position before the valuation is finalised.
Common questions
- What is a commercial property valuation?
- What is market rent?
- Vacant possession vs subject to lease value
- What documents are needed for a commercial valuation?
- How are yields used in commercial valuation?
- How is tenant fitout considered?
Discuss your valuation instruction
Provide the property address, property type, valuation purpose and date, together with available leases, rent and outgoings information. Northbourne Valuers will first confirm whether the property and instruction fall within the practice’s scope.
Related glossary
- Commercial Property
- Market Value
- Market Rent
- Lease
- Vacant Possession
- Subject to Lease
- Outgoings
- Capitalisation Rate
- Yield
- Tenant Fitout
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Prepared by:
Tigran Amiyants, Certified Practising Valuer (CPV), Managing Director, Northbourne Valuers.
Last reviewed:
12 September 2026.
General information note:
This page provides general information only and does not constitute valuation, legal, taxation or financial advice. Every valuation depends on the specific property, purpose, valuation date, evidence, assumptions and instructions. Legal, taxation and financial matters should be discussed with the appropriate qualified adviser.