Purpose & Use

Office 2While most appraisals are for the purpose and use for mortgage underwriting, a great number of issues call for appraisal and consulting for significantly different purposes and uses.  The former purpose and use is a conventional appraisal practice.  While the latter is a non-traditional practice, which is our company’s service mission.  Federal Appraisal, LLC has been created and is well qualified to provide appraisals and consulting services for non-traditional and complex issues and purposes and uses.

Business, Real and Personal Property Valuation Consulting and Appraisal

Mark to Market

Federal Appraisal, LLC provides “Mark to Market” Appraisal Services as required by the Government Accounting Standards Board (“GASB”) new rule, Statement 52. The rule requires state and local government endowment funds that hold land and other real estate as investments to report the asset or liability at fair value beginning next year. When real estate is “marked to market”, for accounting purposes it is assigned the value that it would fetch in the open market. Currently, governments report such assets and liabilities at historical cost.

Accounting, Tax or Audit

Whether your accounting/consulting firm is working on tax, audit or management consulting issues, Federal Appraisal, LLC can offer solutions.

Litigation, Arbitration & Mediation

Federal Appraisal, LLC provides expert dispute resolution, litigation and technical support for complex real estate litigation issues.  We provide our clients with both geographical and topical dispute resolution support expertise, regardless of where the assets are located, what type of assets are involved, and what kind of issues are involved.

Federal Appraisal, LLC provides arbitration and mediation services both as arbitrator and mediators and as experts to the panelists.

Business Interruption Consulting, Damages Estimates

Federal Appraisal, LLC provides consulting and appraisal services to individuals and companies suffering from business interruptions and damages from natural and man-made disasters and accidents.  If the loss or diminution of the use of your real estate is causing a loss in business income and/or is reducing the utility or value of your real estate, then Federal Appraisal, LLC may be able to help you recoup your damages.  Even tenants in damaged or reduced utility space can benefit from our services.

Corporate Real Estate and Small & Mid-Sized Business Real Estate

Unless the corporation in question is in the real estate industry, it is only prudent to seek consulting assistance with their real estate and real estate valuation issues.  Federal Appraisal, LLC offers services tailored to corporations, large and small.  The corporate issues may involve tax issues, SEC & investor relations issues, or corporate real estate due diligence and management solutions.

Until the creation of Federal Appraisal, LLC, small and mid sized companies had difficulty finding the real estate appraisal and consulting services that they needed.  Today, small and mid sized companies can turn to Federal Appraisal, LLC for all of their real estate appraisal and consulting services.   Federal Appraisal services small and mid sized  accounting and consulting firms, law firms, corporate real estate groups, private and public investors, developers, and management companies.

Federal also services private owners.

Property Taxes

There are numerous occasions where the value of a property is related to taxes.  Each taxing situation requires special appraisal and consulting considerations.  The considerations might be a specialized appraisal for cost segregation, depreciation and income tax.  Another might be a explanation and justification for a divergence from the purchase price basis for a transfer or gains tax calculation.  Others pertain to tax position, basis or feasibility, as with impairments, structured leases, barter agreements, gifts and estates.

Each taxing situation requires appraisal and consulting experience in order to maximize taxing goals.  Federal Appraisal, specializes in providing appraisals for tax issues.

See our Property Tax Services pages and our Property Tax Management pages.

Business Appraisal

Business appraisals and valuation services are needed for a number of purposes.  Federal Appraisal and Consulting LLC provides these services to both large corporations and small businesses.  Business appraisal differs from general real estate appraisal in that special care must be exercised in differentiating the various classes of assets during the analysis and in the reporting.

Federal provides business and business asset appraisals for financing, tax reporting, investor reporting and litigation.

Purchase Price Allocation

Federal Appraisal, LLC provides full reports, and management support when, allocating a purchase price among the various assets included in a multi-asset or portfolio acquisition or dispostion.  A purchase price allocation is based on the value of the various assets.  As appraisal experts serving a large geographic area where a portfolio of assets is more likely to occur, and as appraisal experts on special and complex assets where various classes of assets are more likely to have significant value, Federal Appraisal, LLC is uniquely qualified to serve.

Cost Segregation

Cost Segregation allows taxpayers to substantially increase their after-tax cash flow and deferring federal and state income taxes, by accelerating depreciation expenses.  Non-segregated residential real estate is depreciated over 27.5 years and a non-segregated commercial real estate is depreciated over 39 years. A cost segregation study will identify and reclassify the costs of the elements of the real estate.  Some real estate elements have depreciation schedules of five, seven and 15 years, which are dramatically shorter than 27.5 and 39 years.

Federal Appraisal, LLC provides cost effective, USPAP-compliant cost segregation studies that are certified by MAI’s, ASA’s and that are conducted by professionals with engineering backgrounds.  

Public Utilities

Power Generation, Transmission and Distribution, Transportation Systems and Telecommunications

Utility Properties may include power generation facilities (generation, transmission and distrbution), telecom facilities, railroad assets and water and sewer facilities, and all of the capital assets that may be involved.  Federal Appraisal services all types of utility properties, for IRS and SEC reporting purposes, property tax appeals, investment and lending underwriting and other purposes.

We service hydroelectric, cogeneration, nuclear and fossil fuel generation, transmission and distribution facilities around the country and around the world.

Appraisal Management

If your company needs numerous appraisals on a regular basis, then it incurs costs from two activities. First there is the obvious cost of writing the appraisals.  Secondly there is the cost of managing the appraisal process.  Even if no appraisals are written in house, your company will still incur significant costs from its need to manage the appraisal process.

Federal Appraisal, LLC can manage the process for you!   Our appraisal management clients enjoy a superior level of management and administration, while also reaping reduced costs.

Research Services

Federal Appraisal, LLC provides customized research analysis services on either an hourly rate basis or a fixed fee basis.   Federal Appraisal’s deliverables can range from research materials and bibliographies, to analyses, spreadsheets and databases, to client work products or certified work products, and to executive summary or full narrative reports.

Government Services

Appraisal and appraisal consulting requirement vary significantly from government agency to government agency.  While the variance are often simple, the failure to meet the requirements can lead to a critical non-compliance.  The non-compliance may be non-recoverable and often costs thousands of dollars, but could cost tens to hundreds of thousand of dollars.  Federal Appraisal offers expert appraisal and appraisal consulting services for many of the major government agencies.

Conventional and Non Traditional Appraisal Reporting Services

Federal Appraisal, LLC provides all types of appraisal and consulting report formats.   Let us consult with you to determine which format is right for you.  We will consider your legal, accounting and reporting, and business needs.  Your budget and timing will also be considered.

See our Business Appraisal and Valuation and our Property Type pages for more.


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