THE DÚN Laoghaire-Rathdown Co Council area is set to undergo a revaluation of commercial property as part of a process which has already commenced in South Dublin and Fingal Co Council areas and is set to be rolled out nationally over the next few years.
Managing valuer at the valuation office, Declan Lavelle, said the aim of the initiative – which will affect an estimated 6,000 commercial ratepayers in Dún Laoghaire-Rathdown – is to bring commercial rates into line with current economic conditions and to reflect the changed values of properties in different areas.
This is the latest stage of the national revaluation being undertaken by the Valuation Office, the State property valuation agency. It is based on provisions of the Valuation Act 2001, which sets out the valuations process.
Mr Lavelle said the fundamental principle is to bring more equity, fairness and transparency into the local authority rating system. “Following revaluation there will be a much closer and more uniform relationship between the current rental values of property and their commercial rates liability,” he said.
The valuation of a property is based on its estimated annual rental value at date of valuation, he added. The figure is multiplied by the annual rate on valuation (ARV) to give the amount of commercial rates payable annually.
“The ARV is set each year by each local authority, which then levies and collects rates from the occupiers of rateable properties. Revaluation will lead to a redistribution of the commercial rates burden between ratepayers, depending on the relative shift in rental values between locations and categories of property.”
Mr Lavelle added that revaluation will not increase the total amount of commercial rates collected by Dún Laoghaire-Rathdown Co Council or other local authorities. “The commercial rates income of the local authority will be capped in the year following a revaluation,” he said. A leaflet on the process is being sent to occupiers of commercial property in Dún Laoghaire-Rathdown.