Title: Integration of Sustainability Factors in Property Valuation - A Qualitative Study on the Impact of Sustainability Factors on the Valuation Process of Commercial Properties in Sweden

Subject: Bachelor's Thesis in Business Administration, 15 Credits

Authors: Sebastian Åkerlund & Wilmer Grunditz

Supervisor: Peter Palm

Research Questions:

• How are sustainability factors managed in the process of valuing a commercial property?
• How do sustainability aspects impact risk assessment in property valuation?

Purpose: The study aims to investigate how sustainability aspects are managed in the valuation process of a commercial property. It also seeks to explore how sustainability aspects influence the risk assessment of a property during valuation. The study intends to collect empirical data from expert actors within the Swedish property valuation industry. This includes external consultants from independent entities, internal appraisers, and appraisers from credit institutions.

Method: The study was conducted using a qualitative research approach and involved semi-structured interviews with property valuers from various segments and geographical areas in Sweden.

Conclusion: The conclusion is that property valuers handle sustainability factors differently due to the lack of an industry standard. Furthermore, sustainability aspects impact risk assessment differently due to the nature of property valuation and the lack of transparency in the commercial property market. It is evident that the valuation industry is undergoing significant changes with sustainability integration.

Keywords: Property Valuation, Sustainability, Risk Assessment, Commercial Properties, Sustainability Integration