Initial contact
You submit your request and provide initial information about the property.
Appraisal · Rental value
Rental value: rents, lease renewals and eviction indemnities
Cabinet ExpertImmo | RABENIMANANA Normand determines the rental value of real estate in Madagascar, for residential, commercial, industrial and office leases. Each report is prepared and signed by Mr RABENIMANANA Normand, accredited Building & Real-Estate Expert, registered with the CAREA (Compagnie des Arbitres Rapporteurs et Experts Agréés près les Cours et Tribunaux de Madagascar) since 1990.
Rental value in brief
Rental value is the annual rent that a property is likely to generate under normal letting conditions, regardless of any rent actually received. It is used for commercial leases, tax declarations, rental disputes and the valuation of investment properties.
When should rental value be determined?
- 01
Lease renewal
Determination of rental value when a lease is renewed.
- 02
Rent review
Assessment of the rent during the lease against the rental value.
- 03
Eviction indemnity
Setting of the eviction indemnity.
- 04
Rental disputes
Report admissible before the civil and commercial courts of Madagascar. See the Judicial appraisal page.
- 05
Tax declaration
Rental value used for a tax declaration.
- 06
Investment properties
Valuation of residential apartment buildings, offices and shops on the basis of their rental income.
Rental value and rent actually received
The rent stated in a lease results from a negotiation concluded on a given date. Rental value is the market rent that the same property could generate today, under normal letting conditions. A gap between the two often gives rise to a renewal, a review or a dispute.
Leases concerned
The Firm determines the rental value of residential, commercial, industrial and office leases throughout Malagasy territory. For assignments outside Antananarivo, travel costs are quoted and submitted for your approval before any commitment.
Method
How the expert determines rental value
The expert compares the property with the rents charged for similar properties in the same area, analyses the current lease and its clauses, then adjusts for the specific characteristics of the premises. For an investment property, the expert cross-checks this result with the income capitalisation approach.
For an investment property, rental value is the basis of the income capitalisation approach: the annual net rental income is divided by a capitalisation rate representative of market conditions for this category of property. The expert applies a rate reflecting the conditions of the Malagasy real-estate market.
The three valuation methods are presented on the Open-market valuation page.
Factors taken into account
- Location and surroundings
- Floor area and layout
- Condition of the building and fittings
- Authorised purpose and use of the premises
- Lease clauses (term, service charges, works)
- State of the local rental market
Who calls on the expert?
- Landlords
- Tenants (shops, offices, industrial premises)
- Credit institutions, for investment properties
- Notaries, lawyers and courts in the event of a dispute
Documents usually requested
- Current lease and amendments
- Rent receipts or rent statement
- Plans and floor areas
- Land title or land certificate
- Schedule of condition
How the assignment unfolds
Fee agreement
A free quotation is issued, followed by a written agreement signed before any work begins.
Site visit and document collection
Detailed inspection of the property, technical measurements, examination of the land title and supporting documents.
Analysis and drafting
Application of the valuation methods, comparative analysis, drafting of the reasoned report.
Delivery of the report
Signed and stamped report. For a standard property in Antananarivo, allow generally 5 to 15 business days from receipt of the signed letter of engagement and the necessary documents.
Frequently asked questions about rental value
The rent stated in a lease results from a negotiation concluded on a given date; rental value is the market rent that the same property could generate today, under normal letting conditions.
Yes, as part of an amicable assignment, under a prior agreement signed by the parties.
Yes: the Firm’s reports are admissible before the civil and commercial courts of Madagascar. See the Judicial appraisal page.
See also
Open-market valuationOpen-market valuation report prepared by an accredited, independent expert: land, houses, buildings, commercial premises, anywhere in Madagascar.View the page Assets and estatesValuation of corporate real-estate assets and of family or institutional estates: contributions in kind, balance sheets, disposals, due diligence, successions, divisions of property.View the page Judicial appraisalExpert accredited to the Courts and Tribunals of Madagascar: appraisals for estates, divorces, expropriations and construction disputes.View the page
Request an appraisalForm, telephone or appointment: tell the Firm what you need.Contact
Contact
Get in touch
Confidential discussion of your file. A personalised fee proposal is sent to you after review of your request.
Or write to contact@expertimmo.mg