AN EXAMINATION OF PROBLEMS AND PROSPECT OF VALUATION OF ASSETS OF PUBIC BODIES IN ENUGU STATE
The state of pubic properties in Nigeria is a source of worry to well meaning citizens of this country. It is common knowledge to see newly completed government properties dilapidate very fast, thereby causing economic waste. Investigations revealed the poor condition of public properties is caused by various act backs there re a member of management, problems, such as insufficient funding poor facility management, political influence, bureaucracy, personal interest and lack of professionalism. Nigeria Railway corporation properties include undeveloped land and landed properties. The landed properties are residential building shops, catering services, office and guesthouses. Management of these properties by the Railway property company limited, under the control of Nigeria Railway Corporation Board had led to the unhealthy nature of these properties. Management of pubic properties by a board is usually characterized by some difficulties such as bureaucracy, political influence, insufficient funding in the management system of the Nigerian Railway Corporation properties to enhance effectiveness and efficiency. In view of the above negative management tendencies by a board of directors, it is necessary to privatize management of properties of the Nigeria Railway Corporation in order to inject prudent Management in the system. Privatization of management system of public properties has been advocated by professional bodies such as the Nigeria Institution of Estate Surveyors and Valuers as the only viable option to turn around the dilapidation of public properties in this country. Privatization encourages prudent management of public properties. In this direction round pegs should be put in round holes. Incapacitating of public properties in Nigeria needs. To be transformed in order to reduce huge economic waste in pubic properties in this country hence the institution of Estate surveyors and Valuers and other related professional bodes in bodies in Nigeria should rise up to advocate private partnership participates in the management of public properties. Management of pubic properties by a board of directors calls for a change. There is the need to join the rest of the civilized world in their style of management of public properties. Private partnership participation in management brings about profitability and it should encourage especially in the Nigeria Railway corporation properties.
TABLE OF CONTENTS
Title page i
Table of contents vi
1.0 Introduction 1
1.1 Background of the Study 1
1.2 Statement of Problem 4
1.3 Aim and objectives of the study 5
1.4 Research Question 5
1.5 Significance of the Study 6
1.6 Scope of the Study 7
1.7 Limitation of the Study 7
1.8 Overview of the study 8
2.0 Literature Review 10
2.1 Meaning of Valuation 10
2.1.2 Concept of Value 11
2.1.3 Method of Valuation 14
2.2 Difference Between Private and Public Properties 20
2.2.2 Property 21
2.3 Summary of Reviewed Literature 22
3.0 Research Methodology and Design 25
3.1 Research Design 25
3.2 Re-statement of the Problem 26
3.3 Brief Description of the Study Area 26
3.4 Population of the Study 27
3.5 Sample Size and Sampling Technique 28
3.6 Sources of Data 28
3.7 Instruments of Data Collection 29
3.8 Method of Data Presentation and Analysis 29
4.0 Data Presentation and Analysis 30
4.1 Presentation of Base Data 30
4.2 Presentation of Data According to Research Questions and Questionnaires 33
5.0 Summary of Findings, Conclusion and Recommendation 39
5.1 Summary of Findings 39
5.2 Recommendations 40
5.3 Conclusion 41
1.10 Background of the study
Estate surveying and valuation in Nigeria is a child of the British system. The theoretical bases and professional curricula for the local training in Nigeria have been molded after the system established in the united Kingdom by Rics/Royal Institution of Chartered Surveyors. It remained a natural fact that Estate surveyor and valuer in Nigeria took after from the practice in United Kingdom.
Valuation may be defined as the art and science of estimating the value of a particular property at a particular time at a particular place taking into consideration all the factors that bear direct and indirect influence on the property market. Valuation as regards to the assets of any organization is usually given much attention because an assets of any organization is the bedrock of such organization.
However assets valuation is an important thing in any organization both public and private because it helps to discover the :Going concern” of the organization, which aimed at discovering whether the organization is growing (improving) or decreasing to avoid liquidation.
The public properties on the other hand can be seen as properties established by the government to serve the public. The state of public properties in Nigeria is a source of worry to well meaning Nigeria. Investigation revealed that poor performances and conditions of public properties is caused by various set back.
Nigeria Railway corporation properties includes undeveloped land and landed properties. Landed properties are residential buildings, shops, catering services, office and quest houses. As one of the public corporation, Nigeria railways corporation was established by law in 1912 by the British colonial masters to provides rail transportation services in the nation. The organization was structured according to the policy objectives establishing it. The headquarters was located at Ebute meta, now in Lagos state and its districts headquarters were located at Ibadan, Enugu, Kaduna, Bauchi and Kafanchan. The district headquarters in turn have their area offices to enhance implementation of management policies, hence the intention of the colonial masters to transport people, products and materials to different parts of the country.
However, it is with great regret that the cooperation have failed to live up to its expectation in all ramification.
It is against this background that the researcher seeks to examine the problem and prospects of the valuation of Assets of public bodies