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Application of Income Approach for Valuation of Football Club Ilia SolntsevAbstract The chapter treats practical problems related to the valuation of the football clubs. These problems are addressed
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01
Gather all necessary financial information and documents including income statements, balance sheets, and cash flow statements.
02
Calculate the net operating income (NOI) of the property or asset by subtracting operating expenses from the potential rental income or revenue.
03
Determine the capitalization rate (CAP rate) by dividing the NOI by the property's estimated value or market price.
04
Estimate the future income stream of the property by considering factors such as annual rent escalations, vacancy rates, and market trends.
05
Discount the future income stream to present value using an appropriate discount rate.
06
Value the property using the income approach by adding the present value of the future income stream to the present value of the property's reversionary value.
07
Complete the application of income approach by summarizing the calculations and findings, and include any supporting documentation or analysis.

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01
Real estate appraisers and professionals who want to determine the value of a property or asset based on its income potential.
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Property owners and managers who need to understand the income-generating potential of their properties.
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Government agencies and tax authorities for assessing property taxes and valuation for regulatory purposes.
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Businesses and individuals involved in buying, selling, or leasing properties who require accurate valuation based on income approach.

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