127.

241 Property Market Principles

Assignment 1 – Report worth 30% of your final grade.
Due Friday 24th May 2024, 11.59 pm, to stream

This assignment will enable you to provide evidence of your competence in the following
course learning outcomes:
• Describe the factors that influence the real property market.
• Critically analyse how environmental and/or sustainability factors impact on property
decision making.
Summary: Prepare a report where you determine an alternative highest and best use for the
Quad A and Quad B Building/s on the Massey Albany Campus. Please refer to the story of 18
December 2023, ‘Cash-strapped Massey University to sell or lease parts of its campuses’ by
George Heagney: https://www.stuff.co.nz/national/education/301026066/cashstrapped-
massey-university-to-sell-or-lease-parts-of-its-campuses
Working for HIJ Consultants, you need to address the report to Professor Jan Thomas, Massey
University, PO Box 123, Auckland. Professor Thomas wants to understand what potential
buyers may use the buildings and land for.
The buildings are currently used by Massey University staff; however, your task is to find an
alternative use from this current use. Your conclusion cannot be that the current use is the
highest and best use, as this is not the point of the assignment. There is no one right answer,
rather, we are looking at how you determine your conclusions.
The definition of highest and best use is: “the use of an asset that maximises its potential and
that is physically possible, legally permissible and financially feasible.” (International Valuation
Standards Council). Consequently, you should base your answer upon the physical, legal, and
financial dimensions of the property.

1. Physical: You should briefly describe the property, the location, and any other
pertinent factors. What is the property best suited for, or what can it accommodate
practically? You may find the screenshot in the appendix helpful, where you can
estimate an area around the buildings. Please refer to the heading: ‘Extract from
Auckland Council Geomaps.’

2. Legal: What does the District or Unitary Plan say you can do with the property? You
will need to visit https://www.aucklandcouncil.govt.nz/plans-projects-policies-reports-
bylaws/our-plans-strategies/unitary-plan/Pages/default.aspx

In this assignment you are required to identify how the Unitary plan protects the
sustainability of land on the subject site. We prefer that you comment on one or two
sustainability factors, in depth, rather than listing numerous examples.

Additionally, refer to the Record of Title, which is at the back of this question
information.
 3. Financial: What current market trends help to justify your choice? You do not have to
carry out a detailed financial feasibility; however, any broad financial indications of the
rent, sale price etc would be highly regarded.

With the above points 1-2 inclusive you need to critically analyse each possible option (i.e.
residential, retail etc.) by evaluating the advantages and disadvantages. Also, include a
recommendation for how the property could be redeveloped, or reused in an acceptable way
to Massey University. Massey will continue to own and occupy other parts of the campus.

Further comments:
1. Be sure to comment on a sustainability factor/s from the unitary plan. Note that I would
prefer that students go into depth on one or two factors rather than discuss many
different factors.
2. To encourage attendance in class, for this assessment only, I will allow students to
submit an assignment as a group. The maximum group number is five (5) students, but
to be eligible, those students must regularly attend classes in person, or who have
justifiable reasons for not attending e.g., a note from a doctor specifying they have
been medically unwell. Please send me the list of group members prior to week nine.
The motive for allowing this option is to encourage class attendance. Students will need
to manage the group themselves, as there will be different styles and motivation levels.
In the worst-case scenario, some group members may not contribute at all, so choose
wisely. There are no additional marks for level of participation for this assignment, but
I do want you to indicate what contribution each student made (not part of word
count). In serious circumstances where a student does not contribute at all then the
other group members can provide me with written feedback, and after trying to
communicate with the student, I reserve the right to award reduced marks or a mark
of zero to the non-contributing team member.

DO NOT CONTACT THE OWNER/S OR ANY OTHER PROFESSIONAL MENTIONED ANY

DOCUMENTS YOU UNCOVER.

PLEASE BE SENSITIVE ON THIS ISSUE AS IT MAY BE UPSETTING FOR SOME STAFF AND
STUDENTS
Marking guidelines
Structure A well-formatted and clear document. It
Total marks out of Comment
should include:
10 if any
1. Title page. The report title, authors, author’s
organisation, client, and date of completion should
all be here.

2. Introduction. This should explain the rationale for

the report, subject property description, report
content, indications on how the report use,
limitations and key recommendations.

3. The other items mentioned below, such as the

discussion section, and recommendations. The
content of the discussion and recommendation
sections are assessed below.
Total marks out of
Discussion:
50
Clear, logical, and accurate discussion of physical, legal,
and financial aspects is used to justify selected highest
and best use.
A thorough research process should support your
discussion.
As part of this process, you need to critically analyse
each of the options by evaluating the advantages and
disadvantages of each option put forward.
Internal Massey code: CRIT

Sustainability: One two aspects of land development Total marks out of

identified in the documentation that enhance 10
sustainability are identified.
Internal Massey code: ENVIRO
Total marks out of
Recommendation: Concisely stating the main
5
recommendation of what the highest and best use is.
Academic writing: Writing is fluent, coherent, and Total marks out of
concise, and spelling and grammar show evidence of 20
meticulous proof reading.

Adherence to an 1800-word restriction, excluding

references, Place the word count at the end of the main
body of the report, just prior to the reference section.

Internal Massey code: WCOMM

Referencing: In-text citations and the reference list are Total marks out of
complete, accurate and formatted consistently with 5
APA style.
Any supporting documentation, provided in the
appendix.
Report writing – some comments.

In setting these assignment guidelines from the introductory Accounting course (115.112)
have been used because it should be a format familiar to both Construction and Property
students alike. Please use a reasonable layout that needs to be focused, concise and
summarised.

The following extract may be of assistance:

‘Writing reports gives practice applying theoretical concepts to a real-life context. If you are
planning a career in an organisational context, it is likely that at various stages in your career
writing reports will be required. Learning to write a report, therefore, is not just a method by
which your lecturers evaluate you; it is also part of professional development, and a way of
learning business principles, integrating them into your critical mind.

Organisations call for reports when they have difficult decisions to make. They therefore
require the author to exhibit investigative skills, judgment, and the ability to write
persuasively. Writing persuasively for a report, means that you need to appear to be
objective. You are required to produce proof or evidence to support your ideas.

Remember above all that a report is a practical project. A report assumes that someone has a
problem, and they want guidance on how to deal with the problem. If you are writing for a
particular person, keep that person in mind.

(Emerson, L. (2000). Writing Guidelines for Business Students. pp. 32-33. Palmerston North,
Dunmore Press.)
The following is an example of a basic report structure (to follow the heading):

Title Page

Introduction
1. Identify subject, context and specific problem.
2. Define specific objectives

Discussion/Analysis
1. Sub-divide into logical units
2. Use headings and arrange into logical sequence
3. Present evidence to support conclusions
4. Focus on objectives (the specific problem)

Conclusions/Recommendations
1. Relate to objectives
2. Follow from facts

(Extract from Emerson, L. (1998) Report Writing, p. 2. Student Learning Centre, Massey
University.)

Your assignment report does not require an index, introductory letter etc. Fuller guidance
may be found on the Massey website:

http://owll.massey.ac.nz/assignment-types/business-report-writing-resources.php
Title information above provided by https://prover.co.nz/Prover/Property/#
Extract from Auckland Council Geomaps

Calculating an approximate land area is easy to do as the land is all under one large title. You
may want to indicate the size of a future site in your report. Please see the link and other
information in the screenshot below from the Auckland Council website.

Source: https://geomapspublic.aucklandcouncil.govt.nz/