Valuing the View: Putting a Number on Aesthetics

As much as the property business is about figures such as square meters and market value, the real spirit of the industry is all about the intangibles. Things such as aesthetics, security, and neighbours are always among the top concerns when people are looking for a new room or apartment. But there is one intangible that never fails to become a unique selling point – the view.

Quantifying the View

Many buildings, both residential and commercial, use the view as something to pull prospective tenants as either the initial icebreaker, or the final nail in sealing the deal. The power of the view is undeniable, with some sources within the industry claiming that properties with what can be considered a good view sells 5-15% faster. Everyone admits that there is no consistent way to quantify the value of a view, but it has not stopped many from trying.

Market researchers suggested using a multiple regression analysis tool to try to put how much of a boost a view gives a property. Now, while using the MRA sounds technical and official, there are several problems with the accuracy of the tool. First, the data is scarce and there are no guidelines on how to interpret the numbers that are available. Second, no one would probably understand it even if someone did manage to do it right.

The Real Focus

As for our buildings, while we value the drawing power of the view, we do not put all of our stock in that alone. Locations that focus too much on using the view to attract prospective tenants have a tendency of cutting corners on the other aspects of the rooms. Still other considerations such as space, the number of rooms, and essential utilities take precedence over the view.

There are plenty of things for tenants to think about when looking at new properties, and the most responsible thing a provider can do is provide as much information as possible. If you are looking for a new apartment that has everything contact us today. We have convenient locations all over the city that focus on space, security, as well as an amazing view to go with them.