Leading property professionals from around the world have been appointed to create the first global standard for measuring property.
Leading property professionals from around the world have been appointed to create the first global standard for measuring property.
In a statement released on Wednesday, the Royal Institution of Chartered Surveyors (RICS) said the International Property Measurement Standards Coalition (IPMSC) has selected 19 real estate experts from around the world to join its Standards Setting Committee to develop a global standard for measuring property.
The Standards Setting Committee will act independently and is tasked with the job of drafting and consulting industry on a global standard measurement methodology.
Currently, the way property assets are measured can vary considerably from country to country, making it difficult for global investors and occupiers to accurately compare space.
With the implementation of a global property measurement standard, properties will be consistently measured, creating a more transparent marketplace, stronger investor confidence and increased market stability, RICS said.
The standard is aimed at improving valuation and financial reporting consistency across international markets.
‘Property is a global business for international investors, corporate occupiers and their advisers, but floor space measuring practices vary from country to country and even between markets in the same country,’ said Max Crofts, chair of the Standard Setting Committee.
‘Encouraged by our first meeting at the World Bank, we intend to create standards of measurement that will not only complement international financial reporting and valuation standards but also enable the collection and use of reliable data across worldwide markets,’ he added.
The Standards Setting Committee will start work on the drafting of the new methodology immediately and aims to have a draft ready for widespread consultation in the early part of 2014.
