Factories, workshops and warehouses
Source: gov.uk (2025-05-16)

This publication is intended for Valuation Officers. It may contain links to internal resources that are not available through this version.

1. Scope

1.1 This guidance applies to factories, workshops and warehouses, there are separate practice notes for food processing centres, creameries, large distribution warehouses and large industrials linked to this section.

Wholesale warehouses (Scat 301), self-storage hereditaments (Scat 721) and builders merchants (Scat 994) are the subject of separate manual sections.

2. List description and special category code

3. Responsible teams

3.1 Factories, workshops and warehouses are a generalist/regional class, large distribution warehouses are dealt with by the specialist/national teams.

3.2 It is recommended that each Unit should allocate a named co-ordinator to act as a point of contact within the Unit. This lead valuer will assist in the delivery of the Unit’s valuation scheme and also for liaising on value and technical issues with other lead valuers across adjoining Units.

4. Co-ordination

Factories, workshops and warehouses (SCAT 096) fall within the responsibility of the Regional Industrial Class Coordination Team (CCT), along with many sub classes (e.g. Builders merchants, Tyre and exhaust Centres, Wholesale warehouses). Large distribution warehouses and Large industrials fall within the responsibility of the Industrial specialist - rentals CCT.

Caseworkers have a responsibility to:
- follow the advice contained within the Rating Manual and relevant practice note
- seek advice from the co-ordination team before starting on any new work
- not to depart from the guidance given on appeals or maintenance work, without approval from the co-ordination team
5. Legal framework

There is no specific legal framework for this class.

6. Survey requirements

Factories, workshops and warehouses should be measured and valued to Gross Internal Area (GIA) having regard to the definitions contained in the VOA Code of Measuring Practice for Rating Purposes.

7. Survey Capture

Rating surveys should be captured on the Rating Support Application (RSA). Plans and surveys should be stored in appropriate folder within the Electronic Document Records Management (EDRM) system.

8. Valuation approach

Rental and rental comparison approaches should be used.

Rental evidence for this type of hereditament exists. The class co-ordination teams are available to assist with rental analysis for the sectors covered by a CCT.

9. Valuation support
- Rating Support Application (RSA)
- Class co-ordination team (CCT)
Appendix 1 - Inspections

1. Overview

1.1. The VOA standard of measurement for factories, workshops and warehouses is Gross Internal Area (GIA). An explanation of measurement to GIA can be found in the VOA Code of Measuring Practice for Rating (https://assets.publishing.service.gov.uk/media/63bee58fe90e0771bb4260d4/s3p2_The_Code_of_Measuring_Practice.pdf).

1.2. The Code of Measuring Practice e-learning provides useful information on measuring industrials and can be found on the NDR Learning Homepage.

1.3. Industrial properties come in all shapes and sizes, from small workshops to huge manufacturing sites. There are many hazards to consider so you must follow the site rules and use your personal protective equipment.

2. External features

2.1. The Site

A pen picture should be provided of the locality that notes the following:
- Location
- Situation
- Advantages
- Disadvantages
2.2. An example might be:

“The property is situated on an established industrial estate with good access via an existing made-up road also serving other parts of the estate. There are good main road and rail links nearby but parking on site is limited.”

3. Access, loading and unloading facilities

3.1. Ease of access to and within the property should be noted. The height and width of all access doors must be recorded, together with details of construction and the method of operation (e.g. metal roller shutter, electrically operated). The presence of dock levellers should be noted.

3.2. The position of all access doors must be shown on the plan and any problems with access that may affect loading and unloading or general access recorded.

3.3. The height and width of access doors is important not only to the daily operations at the property but also with regard to plant and machinery.

4. Car Parking

4.1. Note the number of allocated car spaces or calculate the approximate size of the overall parking area together with details of the surface finish.

5. Ancillary Storage Land

5.1. Any ancillary storage land should be measured separately and the surface finish noted. Any land suitable for storage, which is unused, should also be recorded. Ask the occupier if the land is used exclusively by them or is shared. If shared make a note of the area and details of the other occupiers.

5.2. It is important to be aware that there are many different approaches to the way in which ancillary land is valued. It is important to be aware of which approach applies to each area. If in doubt please ask your technical advisor.

5.3. Where there are temporary buildings, cabins and/or storage containers (SCN) etc. located on land, then the area of this land must not be deducted. The value of the temporary buildings and/or storage containers and the like, must be added in addition to the land value. Depending on the circumstances, this can be done in the valuation either by a suitable line entry or by using other additions. Other additions is the preferred approach.

6. Age

6.1. It is important to correctly identify the age of any property when carrying out an inspection. The occupier should be able to give you information on the age of the property. If you are unable to obtain this information take photographs to allow identification. The Industrial Age Recognition Guide is a useful tool to help identify the age of your industrial property.

7. Internal features

7.1. Ancillary Accommodation

You should note any ancillary accommodation that may be available e.g. office space, toilets, washrooms, canteens etc.

7.2. Measuring to GIA, ancillary accommodation within the same building may not need to be separately measured if it is of similar quality and value as the main space. Only note the facilities and finish.

7.3. Office space within solid walls or on mezzanine/1st floors, or areas of differing quality will need to be measured.

8. Heights

8.1. The height of an industrial property can have a significant effect upon the value. Eaves height is often used in industrial scales to determine value.

8.2. To record a height note it on the plan at the point it was measured and circle it to distinguish it from the linear measurements.

8.3. The following diagrams show three different types of height in traditional and modern industrial units. The Inspection Checklist only requires you to note the eaves height, which should be measured internally. If the clear height is significantly lower than the eaves height, this might affect the value of the property so should also be recorded.

Diagrams of three different types of height in traditional and modern industrial units. (https://assets.publishing.service.gov.uk/media/63bee837d3bf7f6c27b46c72/RM380_appendix_1_Image1.jpg)

The following diagrams are added for clarity and show the points of measurement for internal eaves height and clear height. It is worth noting that some letting brochures will only state clear height (measured to the underside of the eaves haunch).

Diagrams of the points of measurement for internal eaves height and clear height. (https://assets.publishing.service.gov.uk/media/63bee879e90e0771b49f1cbb/RM380_appendix_1_Image2.jpg)

8.4. Definitions of heights can be found in the VOA Code of measuring practice: definitions for rating purposes. Those for internal eaves and clear height are reproduced below.

8.5. Internal eaves height: the height between the floor surface and the underside of the roof covering, supporting purlins or underlining (whichever is the lower) at the eaves on the internal wall face.

8.6. Clear height: the height between the floor surface and the lowest part of the roof trusses, ceiling beams, roof beams or haunches at the eaves.

8.7. The RICS code of measuring practice has similar definitions with an explanatory diagram which is shown below for reference.

Explanatory diagram for RICS code of measuring practice. (https://assets.publishing.service.gov.uk/media/63bee89ed3bf7f6c2065dc66/RM380_appendix_1_Image3.jpg)

8.8. There may be a number of buildings on the site all with different internal eaves heights in which case separate survey units may be needed to record differing heights.

9. Floor

9.1. Differences in the loading capacity of floors should be recorded. Limitations on the load carrying capacity of the floors (particularly 1st floors and mezzanine storage platforms) should be noted, where available, as this may restrict the full use of the floor.

10. Mezzanine

10.1. A Mezzanine is a “Supported First Floor” (SFF) a floor or series of floors installed independently inside part of the of the main building.

10.2. The construction details, method of access and the clear height above and below the SFF should be recorded, the area below is usually shown as a separate item and deducted from the overall GIA of the ground floor.

10.3. Where possible you should record the load carrying capacity of the Mezzanine floor. This can usually be found on a plate attached to the steel support framework.

11. Bay widths and stanchion grids

11.1. A note should be made of any item, which restricts clear floor space. Columns, piers, pillars, stanchions etc are all included within the GIA and there is no need to take individual measurements of these features. The number, their approximate positions and sizes should be shown on the plan. Where pillars or stanchions form a grid within an area the grid widths should be shown.

12 Lighting

12.1. The provision of natural and artificial lighting must be recorded. For example ‘’Clear Perspex roof panels and suspended strip lights’’.

13. Plant and machinery

13.1. Industrial property, particularly workshops and large factories, are the bulk property where the majority of Plant & Machinery can be found.