Surveyors drawing up a global property measurement standard

Property buyers and end-users in Hong Kong stand to get more "bang for their buck" if a proposed global property measurement standard is implemented, a valuation expert says.

"End-users will benefit in a very big way if the premises they are getting is clearly defined. This is important, especially to flat buyers," says David Faulkner, chairman of the Asia Valuation Professional Group Board and past chairman of the Royal Institution of Chartered Surveyors Hong Kong.

Hong Kong would not want to fall behind international standards, Faulkner added, and if there was more consistency and transparency in property measurement standards across the board, listings of foreign companies and foreign investment were also likely to be boosted.

A global property measurement standard is being set up.

Preparatory work is being done by the International Property Measurement Standards Coalition (IPMSC), which has selected 19 real estate experts from around the world to join its standards setting committee.

The coalition says the manner in which property assets - office, residential, retail and industrial - are measured vary considerably from country to country. The different methods make it difficult for global investors and occupiers to accurately compare premises.

With the implementation of a measurement standard, properties will be consistently measured, creating a more transparent market place, greater public trust, stronger investor confidence and increased market stability, it says. The standard will have a significant impact on the way property is measured, leading to improvements in valuation and financial reporting consistency across international markets.