April 28, 2025
Whether you’re buying, selling, letting, or refinancing a commercial building, one thing you’ll need early on is a commercial property valuation. It’s the backbone of any serious transaction and can influence everything from your borrowing potential to your investment decisions.
At Jacobs Steel, we support landlords, investors and business owners across the South Coast with accurate, reliable valuations. In this blog, we’ll break down what you need to know before getting one.
What is a commercial property valuation?
A commercial property valuation determines the current market value of a building used for business purposes. This might be anything from an office block or retail unit to an industrial estate or development site.
The valuation takes into account a wide range of factors including:
- Location and transport links
- Size, layout and condition
- Current and potential rental income
- Market comparables (similar properties recently sold or let)
- Lease terms (length, rent reviews, tenant covenants)
- Planning permissions and use class
What’s the difference between commercial and residential valuations?
While residential valuations focus on what people are willing to pay for a home, commercial land valuations are more income-driven. The valuer will look at the property’s ability to generate rental income over time, as well as potential development opportunities if land is involved.
When do you need a commercial valuation?
You might need a valuation for a number of reasons, including:
- Buying or selling a commercial property
- Agreeing a new lease or lease renewal
- Securing finance or refinancing with a lender
- Inheritance or capital gains tax calculations
- Divorce settlements or dispute resolution
- Portfolio performance reviews
If you’re planning to develop or convert land for commercial use, a commercial land valuation can help you understand its potential value before you commit.
Who carries out the valuation?
At Jacobs Steel, our commercial valuations are carried out by Leigh, our Commercial Manager. With 28 years of experience in the Sussex property market, Leigh brings a deep understanding of local trends and market dynamics.
His expertise spans commercial sales and lettings, as well as residential sales, allowing him to offer a well-rounded perspective to every valuation. Over the years, he has successfully represented a wide range of private and corporate clients, helping them navigate property decisions with confidence.
How to prepare for a commercial valuation
To make the process as smooth (and accurate) as possible, it helps to have the following ready:
- Copies of lease agreements
- Floorplans and title documents
- Details of rental income and outgoings
- Any recent refurbishment or planning documents
- Service charge and maintenance records
Being transparent with this information allows your valuer to make a well-informed assessment, and gives you peace of mind that the result reflects real market value.
Need a commercial valuation on the South Coast?
Whether you’re looking to buy, sell or refinance, Jacobs Steel can help. Our experienced commercial team provides commercial property valuations and commercial land valuations. Want to chat through your options? Get in touch with our commercial department today.
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