Appeal No. VA96/2/065
AN BINSE LUACHÁLA A.I.B. Bank, Limerick APPELLANT RE: Bank at Map Ref: Part 106 to 108 (including 20
Lr. Cecil Street (ground floor and basement)), B E F O R E JUDGMENT OF THE VALUATION TRIBUNAL By Notice of Appeal dated the 23rd April, 1996 the appellant appealed against the determination of the Commissioner of Valuation in fixing a rateable valuation of £925 on the above described hereditament. The grounds of appeal as set out in the Notice of Appeal are that: The Property: Valuation History: Tenure: Written Submissions: Ms. O'Buachalla supported her case with three comparisons. A written submission was received on the 21st January, 1997 from Mr. Shay Aylward, B.Comm, a District Valuer with 22 years experience in the Valuation Office and a graduate of the ACCA on behalf of the respondent. In his written submission, Mr. Aylward described the subject premises and gave its valuation history as set out above. Mr. Aylward gave his assessment of rateable valuation on the subject
premises as follows:- Mr. Aylward supported his estimate of rateable valuation with four comparisons. Oral Hearing: Ms. O'Buachalla while accepting that the subject premises was situated on the main shopping street in Limerick city, pointed out this was a secondary location and this was accepted by Mr. Aylward. In continuing, she indicated that the prime shopping part of O'Connell Street was about two blocks away at the junction of Bedford Row opposite the entrance to Cruises Street Shopping Centre and the Arthurs Quay Shopping Centre. Ms. O'Buachalla also emphasised that the zoning of banking hall areas was inappropriate and in support thereof referred to the Tribunal's findings in Ulster Bank Limited v. Commissioner of Valuation (VA95/1/046) where at page 8 it was stated "1. That the zoning method of valuation is not appropriate in this instance and that an overall rate psf should be applied to the banking hall area at ground floor level". She also referred to Champion Sports Limited v. Commissioner of Valuation (VA95/1/104) wherein Mr. Cuddihy stated that "he knew of no other premises on Grafton Street valued at an overall rate psf other than possibly banks and department stores". In referring to her comparisons, she pointed out that comparison No. 1 the Bank of Ireland at 94, O'Connell Street was an inferior location to the subject. However, this comparison was less than half the size of the A.I.B Bank premises and could be quite relevant when suitable allowances were made for size and location. In referring to the respondent's comparisons, Ms. O'Buachalla questioned as to how £40 psf on the subject property could be justified, when a similar price psf was used on 125 - 128, O'Connell Street, that is, the Bank of Ireland premises, which was in a far superior location. Mr. Shay Aylward having taken the oath adopted his précis as being
his evidence in chief and in general had no major queries in regard to
the appellant's submission. He emphasised that the zoning of banking halls
had occurred previously and he referred to two cases where this had been
established with rating consultants:- In view of the foregoing precedents, he submitted that it was reasonable for the Tribunal to adopt the zoning method as being a suitable approach for assessing a fair rateable valuation on the subject property. Mr. Aylward also pointed out that, after allowing for the agreed floor areas and a suitable allowance for the subject property not being situated in as good a position as the locations of comparison A, that is, 125 - 128 O'Connell Street and comparison B, that is, 131 O'Connell Street, he had arrived at an effective rate psf for the banking hall area of £15.50. Determination: The Tribunal would like to encourage all agents and valuers appearing before it to endeavour, as far as possible, prior to the Tribunal hearing to agree all major points, in particular the floor areas involved. Also it would be most desirable to obtain suitable maps and photographs for the subject properties and all comparisons referred to. In view of the arguments made by the appellant's agent and referring to the Ulster Bank Limited and Champion Sports Limited cases the Tribunal are of the opinion that the use of the zoning method for banking hall areas is not appropriate in this case. In view of the foregoing and accepting that the subject property is in a secondary location to comparison A, that is, 125 - 128 O'Connell Street, which is occupied by Bank of Ireland, we would consider this to be the most appropriate comparison in enabling us arrive at a fair rateable valuation on the A.I.B premises at 106 - 108 O'Connell Street. In analysing an overall rate psf on the banking hall area of comparison A, it is accepted that a rate psf of £16.56 approximately is applicable. Having considered all of the evidence submitted and points raised, we
are of the opinion that the correct assessment of rateable valuation on
the subject property should be as follows:- In conclusion, the Tribunal hereby determines the correct rateable valuation to be £900.
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