VALUATION OF…
Abattoirs
Meat processing and slaughtering facilities, valued on specialised improvements and, where operational, processing throughput income.
Content status: Methodology and evidence log — Sources, Caselaw and Market Information are added incrementally.
Methodology
Abattoirs are specialised properties. Where let to an operator on a commercial lease, the Income Capitalisation Method applies to the achievable rental; where owner-occupied and trading, the Profits Method may be used; where no income or trading evidence is available, the Cost Approach (Depreciated Replacement Cost) of the specialised processing improvements is the primary method.
Under the Big Five framework, the Income Generating Units are the processing, chilling and ancillary areas, each requiring specialised fit-out that limits alternative-use appeal; contract rental or trading income is compared to market evidence for comparable abattoir or meat-processing facilities, and the capitalisation or discount rate applied reflects regulatory compliance status, throughput capacity and operator covenant.
Because abattoirs rarely transact on the open market, a DRC-based cross-check of the specialised improvements, supported by any available trading or rental evidence, should be used to test the primary valuation.
Caselaw
Case law, regulatory rulings and expert-determination disputes relevant to valuing this asset class. Each entry cites its source and summarises the practice implication for valuers — this is not investment, financial, or legal advice.
The Evidence Log is for VDH Members
The Evidence Log for Abattoirs — sourced sales, disposals and rentals with Valuer’s Lens commentary — is included in VDH Membership: from R125/month for SACPVP candidates and students, R399/month standard. All prices include VAT.
The methodology and case law on this page remain free to read.