This Canadian Property Valuation article is available both at the IAAO Library and via the CPV website.
Abstract:
This real estate case involves a lender’s requirement to separate the market value of a three-story walkup apartment building with and without the contributory value of the solar panels located on the roof. This would be a reasonable request since the life expectancy of the solar panels is significantly lower than the remaining economic life of the building. Furthermore, the income from the solar panels represented 10% of the overall gross income of the property. If the solar panels added significantly to the overall value of the property, this might require an additional risk rate over and above typical mortgage rates. The author determines the market value of the property with and without the solar panel income using Quality Point in the Discount Cashflow Analysis.