Property Valuation Expert Witnesses: CPR Part 35 & RICS Red Book Guide

RICS Red Book Compliance

All property valuation expert evidence must comply with RICS Valuation Global Standards (the Red Book). VPS 4 applies specifically to valuations for litigation and dispute resolution. The expert must demonstrate Red Book compliance in their report, including basis of value, valuation date, and assumptions.

CPR Part 35 Requirements

Property valuation expert reports must comply with CPR Part 35 and Practice Direction 35. The report must include: the expert's qualifications and experience; the instructions received; the documents relied upon; the methodology applied; the assumptions made; a statement of truth; and a declaration of compliance with CPR Part 35.

Residential vs Commercial

Residential valuations typically use the comparable sales method with adjustments for location, size, condition, and tenure. Commercial valuations may use the investment method (capitalisation of rental income), comparable sales, or residual method for development land. The expert must justify the approach for the specific property type.

Compulsory Purchase

CPO valuations apply the open market value standard: the price the land would achieve absent the scheme. Disturbance compensation covers relocation costs and loss of goodwill. The Upper Tribunal (Lands Chamber) hears disputed compensation claims with expert evidence from RICS valuers.

Professional Negligence

In negligent valuation claims, the independent expert assesses whether the defendant valuer fell below the RICS standard of care. Loss is quantified as the difference between the negligent valuation and the correct valuation (the SAAMCo cap). The expert must opine on both breach and causation.

Lease Renewal

Rent in LTA 1954 lease renewal proceedings is determined at open market rent. The RICS expert applies comparable letting evidence, adjusting for the specific terms of the new lease including rent-free periods, break clauses, and repairing obligations.