We once had a broker fudge the square footage of a unit (shocking, we know) and when caught, he claimed he was including the unfinished roof. For an office. Dick. Anyway, a much nicer Curbed reader is wondering how best to value a roof deck:
I need help. I am going back and forth with an appraisal firm that has been working on setting a value for a mixed-use building I am trying to refinance. One of the residential units has a 500 square foot roof deck with an outdoor kitchen (stanless steel island with an sink that has hot and cold water, a gas grill and a webber-style charcoal grill). It is fully permited and counts as an additional occupied level. The appraiser doesn't want to assign it much value ($20,000!!) because it doesn't count as "gross leasable area" or enclosed building area. Also, he asked the commercial tenants on the ground floor if they would pay additional rent to use the roof deck (they would need to walk upsairs and through someone's living room to access it!) The commercial tenants said they wouldn't pay much more in rent to use that as a "smoking area." Duh. Any ideas on how to value this roof deck space? Any appraisers done similar vauations?