1. Valuing Airport Facilities Bill Ingraham

4. YOU ARE SUCCESSFUL IF: $in = or >$out

5. Rate Setting Methods Bids or Proposals Cost Recovery Rental Rate Survey Return on Facility Valuation

6. Valuing Facilities (Appraisal) Sales Comparison Income Capitalization Cost Summation

7. How to Determine Term Set term for all similar leases Sufficient term to amortize investment How often have you heard… “But that is not long enough to recover my investment!”

8. One Method Given a cost to develop facilities ($) Given a rental value for equivalent facilities ($) Given a return on investment (ROI) Given an inflation assumption (CPI) You can find a length of time where investment in developing facilities equals prepayment of rental on similar facilities

9. Detailed Estimate of Off-Site Costs

10. Detailed Estimate of On-Site Costs

11. Detailed Estimate of Indirect Costs

12. Summary of Development Costs

13. Valuing Airport Facilities Bill Ingraham