Contaminated land ‐ the inevitability of an explicit appraisal model

The reasons for the development of explicit methods of appraisal, in general, are outlined and examples given. The acceptability of a discounted cash flow (DCF) approach for appraising contaminated land is considered and the knowledge requirements are described. The principles for such a model are examined and a suggested framework put forward reflecting the knowledge and expertise required. The argument is made that only an explicit DCF approach is logical and defensible. Concludes that such an approach is inevitable as clients demand to know what has been taken into consideration, and how this has been accounted for, in the appraisal of contaminated land.