McGees Property’s ongoing evolution in its 40th year continues apace with another
recruitment coup, with retail sector star Dallas Sears appointed as Director – Large
Format Retail.

Sears has 24 years’ experience in the retail industry, and has held multiple positions
that have involved marketing centres, devising sales campaigns and special events,
property management, leasing retail space, and revitalising centres.

For the past 15 years she was at CBRE, leasing large format retail space, starting as
a negotiator and ultimately becoming a Director. Prior to that she worked at Knight
Frank and then Commercial SA.

“Dallas has been the dominant operative in the South Australian market for over 15
years and a more than worthy competitor to McGees Property in its specialisation in
this market,” said McGees Property Director Craig Feely.

“Having Dallas join forces with McGees Property will undoubtedly make us the
leading agent in this market. Moving moving forward I expect us to be clear leaders
in large format retail property services – in sales, leasing, management, and
valuations.”

Sears’ appointment means McGees Property’s Large Format Retail capabilities have
a combined 50 years’ experience in the sector.

“I love my job. I’m passionate about my job. I’ve been engaged in various roles within
the retail property sector for over 24 years and I continue to find it rewarding,” Sears
said.

“Since my journey in the industry began in 2000, I have thrived on the dynamic
atmosphere of working in retail properties – in shopping centres, homemaker and
large format centres, and strip locations – and focusing on enhancing foot traffic and
optimising tenancy mix.

“I don’t just want to do a lease deal – I want to put the best tenant in the best location
for them and the centre. The psychology behind tenancy mix and consumer
purchases remains a captivating subject for me.

“I’m really excited about joining McGees Property. Everyone here has been very
welcoming and I’m glad I made the decision to come across to a fantastic new team.
“I’ll continue to do the work that I have done leasing large format retail, and I’ll also
be able to branch out and be involved in other kinds of retail property sales and
leasing so I can help my clients in different ways, which I’m really looking forward to.”
Sears said, “Adelaide’s large format market has really boomed in the last few years
and it doesn’t feel like it is slowing down any time soon”.

“We have retailers who are looking to expand their network, relocate stores that are
underperforming, who aren’t in the right location, or are in stores that are no longer
the right size.

“We also have clients who recognise the demand for new supply and are looking to
redevelop existing space, or develop and build new large format retail centres.”
Feely added, “As we celebrate our 40th anniversary, McGees Property continues to
evolve and enhance our capabilities by recruiting some of Adelaide’s most respected
real estate operators.”

“Dallas has an intimate knowledge of Adelaide and its real estate sector, something
we value extremely highly at McGees Property.”

McGees Property recently boosted its agency and management capabilities with the
recruitment of highly-respected industry veterans Theo Kaldis, who has been
appointed as Senior Commercial Property Manager, and Boyd Octoman, who has
been appointed at Senior Executive – Sales & Leasing.

FROM OUR VALUATION TEAM

We are often asked by our clients about the scope for objecting to the valuations placed on their properties by the Valuer-General of South Australia.

McGees Property has a high success rate in assisting clients object to their valuation assessments.

Here are some of their frequently asked questions, and our advice.

• What is Site Value, Capital Value, and Annual Value?
• How are these values assessed?
• How do these values affect property owners?
• Is it worth objecting to valuation assessments?
• How to lodge an objection
• Why engage McGees Property to object on your behalf

What is Site Value, Capital Value, and Annual Value?

Site Value is the assessment of the land value of a property excluding any improvements constructed thereon.

Site Value assessments are released by the Valuer-General in July each year. Property owners find out their site values after receiving their Land Tax Assessment Notice from RevenueSA.

Capital Value is the assessment of the value of the property inclusive of land and improvements that can include buildings, structures, leases, agreements, licenses, approvals, and encumbrances.

Capital Value assessments are also released by the Valuer-General in July each year. Property owners can their capital value listed on their council rates, SA Water bill, and Emergency Services Levy bill.

Annual Value is the assessment utilised solely by the Adelaide City Council in lieu of a Capital Value for rating purposes.

Annual Value is based on three quarters of the gross annual rental a property is reasonably expected to realise assuming the landlord is responsible for rates and taxes.

All Statutory Assessments are made as at 1 January each year, and are applicable to the following financial year.

How are these values assessed?

The Office of the Valuer-General conducts a mass appraisal of properties in South Australia and analyses data from identified submarket groups to derive an index by which to determine Site Value and Capital Value. The City of Port Adelaide Enfield undertakes separate assessments for non-residential properties.

The City of Adelaide undertakes assessment of Annual Value each year.

How do these values affect property owners?

Statutory authorities use these values to establish rating and taxing levies, including State Land Tax, Council Rates, SA Water Rates, and Emergency Services Levy for the new financial year.

Any increase in these values will see a direct rise in the rates and taxes payable by South Australian property owners.

The Revaluation Initiative was recently completed by the Office of the Valuer-General. We have noted substantial increases across a number of property and asset classes. This is compounding the recent aggregation measures introduced.

Is it worth objecting to valuation assessments?

A reduction in the assessed Site Value, Capital Value or Annual Value of a property can result in a significant saving on rates and taxes for that financial year (and beyond). The following example illustrates potential savings on a hypothetical reduction involving Site Value assessments:

As the recovery of State Land Tax is prohibited under the Retail and Commercial Leases Act, any reductions are generally returned directly to the property owners.

How to lodge an objection

To object to a valuation assessment placed on your property, you must provide sufficient market evidence to support your claim that your valuation assessment is incorrect. You are required to lodge the objection within 60 days of receiving the first rates notice from any statutory authority (i.e. SA Water, Council, Emergency Services, Revenue SA).

To achieve an amendment to assessed values, you must provide evidence that the current statutory assessment is more than 10% in excess of the market.

Why engage McGees Property to object on your behalf?

Our highly skilled team of qualified valuation professionals are experienced in building a strong case for Site Value, Capital Value, and Annual Value objections.

The recent Revaluation Initiative, coupled with aggregation measures, have resulted in substantial increases to property owners costs. Without careful review of your portfolio and appropriate professional advice, you may have Statutory Assessments which are well beyond market, costing you and your tenants. Professional and qualified valuation advice in relation to your Statutory Assessments is more important now than ever.

With access to the latest market intelligence and sales/rental data, the team can clearly articulate with the Valuer-General the best case for a reduction in the assessed value(s) of a property, particularly with reference to the Valuation of Land Act 1971.

Our clients who are property owners tell us that land tax is their greatest concern. In FY 2021 we achieved an over 90% success rate in assisting with objections, saving our clients thousands of dollars.

To discuss objecting to the Site Value, Capital Value or Annual Value of your property, please contact Nathan Robins or Tom Rowe in our Valuations division:

Contact Nathan

Contact Tom

See all Valuation services

McGees Property is South Australia’s largest privately-owned commercial real estate firm, dedicated to helping our clients achieve their property-related goals.

The information contained in this article is general in nature and must not be relied upon for your own circumstances. You should discuss this with your own legal and accounting advisors.

Under existing superannuation laws, you are required to value investment assets held within a SMSF as part of your fund’s annual return submission.

The basis of the assessment is to determine market value. See how the ATO defines ‘market value’.

Why you should appoint an independent valuer

Appointing an independent valuer to determine the correct market value of your property assets within your SMSF will save you time and, ultimately, money.

Even though the ATO provides guidelines for assessing the market value of your assets, your SMSF auditor needs to ensure the valuation undertaken has been done in an appropriate manner, is accurate and is based on objective and supportable data. This way you will not incur penalties from the ATO.

As of February 2020 the ATO has listed not valuing SMSF’s assets at market value as one of the top 5 mistakes when submitting SMSF annual returns. This demonstrates that assessing the market value of your assets can be difficult and that inaccurate assessments are common. This reiterates the importance of obtaining a valuation from an appropriately qualified expert.

How McGees Property can help

Our qualified and independent valuers are experienced in valuing property assets within SMSF and are knowledgeable in what the ATO requires. You will also receive a verifiable, accurate assessment of actual value for your assets in a detailed report.

This will not only ensure compliance with your SMSF auditor and avoid penalty, but it will provide you a formal third party advice of what your assets are worth. For super funds, this is particularly important where property makes up a large percentage of the total value of your fund.

Talk to us about valuing your SMSF assets