Valuations of Renewables Schemes

Bell Ingram have a number of RICS Registered Valuers who are experienced in undertaking valuations of either Leasehold interests in Renewables schemes or in valuating small scale renewables schemes for owner operators.

In recent years Bell Ingram’s valuers have prepared valuations for private clients, including government bodies, of the Leasehold interest in medium to large scale windfarms and in hydro electric generating schemes. The valuers will review the lease terms and the rents received since the scheme became operational and will value the leasehold interest over the remaining lease term. A suitable yield is applied to the rents, based on the likely level of risk to the rent and income of the individual scheme.

Where a scheme has yet to be built, a value can be applied to a signed Option Agreement with draft lease. The value would be discounted to take into account the risks of the scheme not proceeding, depending on for example the schemes planning or grid connection status.

For owner operators of small-scale renewables schemes, Bell Ingram’s valuers are able to value the scheme itself and have valued small scale, wind, hydro and biomass schemes over the last 15 years.

The valuation would be based on the income generated from electricity sold, along with any subsidies received and taking the average annual operating costs, as provided by the owner. We agree the anticipated life of the scheme with the owner and prepare a Discounted Cash Flow, applying a suitable yield based on the likely level of risks win operating the individual scheme.