Warren Gordon

Warren Gordon

Head of Real Estate Know How

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08 June 2015

Changes to RICS Code of Measuring Practice for offices from 1 January 2016

The 6th edition of the RICS's Code of Measuring Practice has been around since 2007. It is often referred to in property documentation in the context of a definition of "Gross External Area" or "Gross Internal Area" or "Net Internal Area". The Code applies to office, residential, industrial, retail and mixed use.

 

Commencing on 1 January 2016, the Code of Measuring Practice will no longer apply to offices and will be replaced by "Professional statement: office measurement, being Part 1 of RICS property measurement 1st edition May 2015".

 

The existing 6th edition of the RICS's Code of Measuring Practice will continue to apply to residential, industrial, retail and mixed use and is Part 3 of RICS property measurement 1st edition May 2015 .

 

Between now and 1 January 2016, the 6th edition of the RICS's Code of Measuring Practice continues to be used for the measurement of offices. However, commencing on 1 January 2016 "Professional statement: office measurement" is mandatory for offices for RICS members.

 

Bear this in mind in relation to references to the Code of Measuring Practice in documentation. If the measurement of offices is to take place on or after 1 January 2016, the "Professional statement: office measurement, being Part 1 of RICS property measurement 1st edition May 2015" should be referred to.

 

The key change is to reflect the first International Property Measurement Standard for offices. International standards are at the core of the surveying profession and RICS members will need to adhere to the international standards as a result of these changes. 

 

The terminology under "Professional statement: office measurement" will be different. "IPMS 1" compares closely to gross external area ("GEA") with some differences (balconies and accessible rooftop terraces are included in IPMS 1 but excluded for GEA). IPMS 1 is particularly used in a planning context.

 

"IPMS 2-Office" compares closely but not exactly to gross internal area ("GIA"). In addition to the differences mentioned between IPMS 1 and GEA, areas occupied by the reveals of windows when measured and assessed as the internal dominant face are included in IPMS 2 but excluded for GIA. IPMS 2 is particularly used in a costings context.

"IPMS 3-Office"compares to net internal area ("NIA"), but has the largest number of differences between the old and new measure. IPMS 3 is particularly used in the context of agency and valuation; taxation; and property and facilities management.

 

So from 1 January 2016, GEA, GIA and NIA will effectively disappear for the measurement of offices and the property industry will need to get used to IPMS 1, IPMS 2-Office and IPMS 3-Office. GEA, GIA and NIA will, however, remain the measurement tools for residential, industrial, retail and mixed use.

 

Please click here for details on how to order the RICS property measurement 1st edition May 2015.