Concession Appraisal
Who needs an Appraisal of a Concession?
ADMINISTRATIVE CONCESSION AND FEE
An administrative concession is a public-private-partnership or authorisation awarded by a Public Agency on a public asset to use it privately. This type of authorisation is granted for a certain period in exchange for a consideration or fee. By the end of the concession, the property is returned to the Public Agency.
This type of appraisal requires us to analyse the cash flows produced by the system and fee of the concession, which are particularly common in operating port spaces and buildings or mining and water resources, taking into account the remaining useful life and the reversion or return value at the end of the partnership.
Who needs a valuation of an administrative concession?
APPRAISALS FOR THE CONCESSIONAIRE OR GRANTOR
This type of appraisal is needed by Public Agencies (grantor) and the beneficiaries of the concession (concessionaire).
Frequently Asked Questions
If you are going to bid for a concession, you should know if the fee you will be paying is in line with the tender specifications.
Firstly, it is important to bear in mind that the value is not the same for the grantor and the concessionaire. The most relevant factors are the value in full ownership of the property, the payable fee, the term of the concession and the reversion value of the property at the end of the right.
The tender specifications are essential in the appraisal as they specify all the parameters governing the concession.
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Share with us your concerns by filling out our form and we will contact you to tell us what your needs are.
