Nick Tyrrell Prize 2022 Approaches for Prudent Property Valuations across Europe Report
30
Jun
2023
The 2022 Nick Tyrrell Prize was awarded to joint authors Neil Crosby, University of Reading and Professor Aart Hordijk, Tilburg University, (retired) for their paper, ‘Approaches for Prudent Property Valuations across Europe’. The paper explores previous research on the topic, including the IPF’s major report. Long-term Value Methodologies in Commercial Real Estate Lending, published in July 2020. The researchers then carried out a detailed analysis of the different concepts of value, analysed the differences between exchange price, through-the-cycle and under-the-cycle methods, and discussed how the new definition of prudent value fitted into these different concepts. The over-riding conclusion was that the prudent value process is a market analysis not a valuation process.
