AIC-RICS Guidance Note Addresses Canadian Application of Valuation Standards for Dual AIC-RICS Members

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Jun 17, 2015, 11:30 ET

Document demonstrates effective industry collaboration, groups say

TORONTO, June 17, 2015 /CNW/ - Two major real estate valuation organizations, the Appraisal Institute of Canada (AIC) and RICS (Royal Institution of Chartered Surveyors), are pleased to announce the release of a joint Guidance Note for Canadian valuation professionals whose work is required to comply with both RICS' Red Book 2013 and AIC's Canadian Uniform Standards of Professional Appraisal Practice (CUSPAP) 2014.

The Guidance Note highlights the differences between the two Standards of practice, with the intent of guiding practitioners with dual memberships to ensure that all appraisal assignments they conduct meet the highest possible standards. CUSPAP sets out the rules and content requirements that all AIC members are expected to adhere to in conducting their work, similar to the Red Book for all RICS members. AIC and RICS intend to regularly update the Guidance Note to reflect any changes to CUSPAP and the Red Book, respectively.

Both AIC and RICS lauded the Guidance Note as an important example of how two valuation organizations can work together for the mutual benefit of their members and more broadly. "RICS was pleased to have this chance to work with the Appraisal Institute of Canada to develop a document that will be useful for appraisers with dual memberships," said Neil Shah, Americas managing director for RICS. "Collaborative efforts such as this one help our industry address challenges and take advantage of opportunities presented by our rapidly changing business environment."

"This Guidance Note reflects the hard work of the Canadian Jurisdiction Application Working Group, as well as the oversight of AIC's Professional Practice Committee, Standards Sub-Committee and leaders, as well as their RICS counterparts in London, New York and Toronto," said AIC President Daniel Doucet, AACI, P.App, MRICS. "AIC welcomed this opportunity to collaborate with RICS in the best interest of members of both organizations and the public we both serve, and to promote our mutual commitment to the highest degree of professionalism."

A Canadian industry leader also emphasized the importance of the joint Guidance Note and effort. "As the commercial real estate market continues to grow in its significance as a global asset class, the imperative for standardization has never been greater. By promoting a set of comprehensive standards for use in Canada, this document will help emphasize and endorse the need for increased consistency, transparency and comparability," said Colin Johnston, President, Research, Valuation and Advisory, Canada, Altus Group. "While advising clients on both national and international investments, we depend on accurate market data and transparency, which can differ from country to country. Working towards universal standards will help level the playing field and ultimately, improve the overall quality of information across a broader marketplace."

About AIC

The Appraisal Institute of Canada (AIC) is a leading real property valuation association with over 5,000 members across Canada and around the world. Established in 1938, the AIC works collaboratively with its ten provincial affiliated associations to grant the distinguished Accredited Appraiser Canadian Institute (AACI™) and Canadian Residential Appraiser (CRA™) designations. The AIC is a self-regulating organization that is guided by a Code of Conduct, and AIC's Canadian Uniform Standards of Professional Appraisal Practice (CUSPAP) to ensure that our members:

maintain the highest level of integrity and professionalism
engage in conduct that will instill confidence and protect the public interest
provide quality services within their areas of competence and
commit themselves to principles that reflect high standards of professionalism.

CUSPAP are internationally recognized valuation standards that are in compliance with the International Valuation Standards Council's International Valuation Standards.

AIC Designated Members are highly qualified, respected professionals who undertake comprehensive curriculum, experience and examination requirements. They are committed to ongoing continuing professional development to maintain the highest level of competency within an evolving marketplace. AIC members provide unbiased professional services on all types of properties within their areas of competence. For more information, please visit www.AICanada.ca.

About RICS

RICS promotes and enforces the highest professional qualifications and standards in the development and management of land, real estate, property and construction. Our name promises the consistent delivery of standards – bringing confidence to the markets we serve.

We accredit 118,000 professionals, including approximately 1,000 in Canada, and any individual or firm registered with RICS is subject to our quality assurance. Their expertise covers valuation and management across all asset classes; the costing and leadership of construction projects; the development of infrastructure; and the management of natural resources, such as mining, farms and land. From environmental assessments and building controls to negotiating land rights in an emerging economy; if our members are involved, the same professional standards and ethics apply.

With offices covering the major political and financial centers of the world, our market presence means we are ideally placed to influence policy and embed professional standards. We work at a cross-governmental level, delivering international standards that will support a safe and vibrant marketplace in land, real estate, property and construction, for the benefit of all.

In the Americas we have staff in New York, Toronto, Washington D.C., Los Angeles, Chicago, Sao Paulo and Barbados.

SOURCE Appraisal Institute of Canada