In Australia, property valuation is a regulated profession. We have state-run land registry departments that tell the tax office what value to assume for each piece of land for tax purposes. If you disagree with the valuation, you can pay for your own private one (from a registered valuer).
Local government taxes (“shire rates”) are indirectly based on “Gross Rental Value” (that is, if the rented out the property at market value, how much would you expect to receive per year?).
There is also land tax, which is based on undeveloped property value.
Most commercial leases have the tenant pay the rates & taxes. If you own a property with 10 equally-sized shops, and one of them is empty, then you by law must pay 1/10 of the rates & taxes (and any other outgoings, like repairs). You cannot split the outgoings nine ways. This acts as a vacancy disincentive.
Local government taxes (“shire rates”) are indirectly based on “Gross Rental Value” (that is, if the rented out the property at market value, how much would you expect to receive per year?).
There is also land tax, which is based on undeveloped property value.
Most commercial leases have the tenant pay the rates & taxes. If you own a property with 10 equally-sized shops, and one of them is empty, then you by law must pay 1/10 of the rates & taxes (and any other outgoings, like repairs). You cannot split the outgoings nine ways. This acts as a vacancy disincentive.