A valuation is a simplified, one-page document that states the assessed market value of a property without providing detailed supporting information or analysis. It is primarily intended for use by the notary to determine the applicable property transfer tax. A valuation can also be requested for personal use, but it provides limited information and is not suitable for mortgage financing or insurance purposes.

A full appraisal report provides a more comprehensive and documented opinion of value, based on a property inspection, market research, and established valuation methods. It includes supporting information and relevant property details and can be used by banks, insurers, courts, and other parties.

For commercial properties in Sint Maarten, such as hotels, retail buildings, apartment complexes, offices, or large parcels of land, the appropriate type of report depends on its intended purpose and the requirements of the party requesting it.

Valuation vs appraisal: the short answer

The two words are often used as if they meant the same thing. In practice, the difference is about purpose and documentation:

• A valuation is a one-page assessment primarily used by the notary to determine property transfer tax. It provides limited information and may also be requested for personal use.
• A full appraisal report answers “what is this worth, how was that figure reached, and can a third party rely on it?” It is the document lenders and other outside parties expect.

If a bank, an insurer or another party has to rely on the value, you need the full report.

What a simplified valuation is

A simplified valuation follows the same assessment process as a full appraisal, including a property inspection, market research, and valuation analysis. The difference is in the documentation provided. Instead of a detailed appraisal report, the client receives a one-page document stating the assessed market value, without the supporting analysis and detailed property information.

Because the information is limited, a simplified valuation is not suited to mortgage financing, insurance, or purchasing, selling and investment decisions. Tell ICE how the value will be used, and the team will confirm which document fits.

What a full commercial property appraisal report contains

A full appraisal report from ICE starts with a visit of the existing property, inside and outside. The report then sets out the standard values a buyer, owner or lender usually needs:

• Market value: the expected price in a normal sale.
• Auction value: the value in a forced sale.
• Reconstruction value: what it would cost to rebuild the building.
• Reconstruction value of site improvements: walls, paving, pools and other works on the lot.
• Rental income: what the property can earn, a key figure for commercial assets.

Other values or breakdowns, such as a value per room or per unit, are available on request at an extra cost. That option matters for hotels and apartment buildings, where a per unit figure can help with financing or sales. For a section by section tour of the document, read what’s in a property appraisal report.

Valuation vs full appraisal at a glance

	Simplified valuation	Full appraisal report
Main purpose	Property transfer tax at the notary	Decisions that others rely on
Typical users	Notary, owner for personal use	Banks, insurers, notary, courts, investors
What you receive	One page stating the assessed market value	Full report with analysis, supporting information and several values
Inspection	Same assessment process: inspection, market research, valuation	Inspection, market research, valuation
Accepted for financing or insurance	No	Yes, when prepared for the right bank

When a simplified valuation is used

A simplified valuation is primarily intended for use by the notary to determine the applicable property transfer tax. It consists of a one-page document stating the assessed market value of the property, without detailed supporting information or analysis.

Although it can also be requested for personal use, the limited information provided makes it less suitable for making informed purchasing, selling, or investment decisions.

When you need a full appraisal report

For mortgage financing, insurance purposes, or situations requiring a detailed assessment of the property, a full appraisal report is recommended. A full commercial property appraisal report is the safe choice whenever a third party has a stake in the value:

• Bank financing: purchase loans, refinancing or construction loans. ICE reports are accepted by all banks on the Dutch side: Windward Islands Bank, RBC Royal Bank, Orco Bank, CIBC FirstCaribbean, Scotiabank and Postbank. Each bank has its own requirements, so tell ICE which bank the report is for. More on this in our guide to the bank approved property appraisal process in Sint Maarten.
• Insurance: the reconstruction value helps you discuss coverage with your insurer on a documented basis.
• Disputes: separations between partners, estate matters or any situation where the value may be challenged. Your lawyer or notary will tell you what form of report is required.
• Partners and investors: when you bring in a partner, buy out a shareholder or present a property to investors, a full report gives everyone the same reference.

How commercial property is valued: three approaches

Appraisers generally use three methods for commercial real estate. Which one carries the most weight depends on the type of property and the data available.

Income approach

The value is linked to what the property earns. This is central for hotels, apartment buildings, offices and retail units that are rented out. Accurate figures on rents, occupancy and operating costs make this approach far more reliable.

Sales comparison approach

The property is compared with similar properties that have sold. On a small island, truly comparable commercial sales can be rare, which is one reason local knowledge counts.

Cost approach

The value is built from the land value plus the cost of rebuilding the structures, adjusted for age and condition. It is useful for special buildings and for new construction, and it connects directly to the reconstruction value in the report.

What to prepare for a commercial appraisal in Sint Maarten

The better your documents, the smoother the assignment. For a commercial property, gather:

• Rental income data: leases, rent rolls or revenue figures, since rental income is one of the values in the report.
• A recent “Schriftelijke Inzage” (title search) from the Kadaster, showing the legal owner and any mortgages or attachments. If you don’t have one, ICE can request it at the Kadaster’s cost plus 25%.
• The Meetbrief number (Certificate of Admeasurement), so ICE can locate the property. ICE checks its own database first, otherwise it gets the location plan from the Kadaster and passes on the fee.
• Plans of the building, and for apartment units the complex and index numbers.
• For new construction: the building permit plans and the list of finishes. If the bank wants progress reports during the works, also the contractor’s quote with the payment schedule.

Fees and deposit for commercial properties

You can order your appraisal online with a form and a US$400 down payment, by card or bank transfer. The balance is billed on time spent when the report is delivered. For commercial buildings, apartment buildings, large villas and land over 2,000 m², a higher down payment may apply, and ICE will let you know quickly. You can also ask for a quote, which will be indicative if plans are not available.

Appraisal reports are generally completed within 10 working days following the property inspection, provided all required documentation and information have been received. This is an estimate, not a guaranteed deadline. Reports are delivered digitally.

Property Appraisals Backed by Engineering Expertise

ICE (Independent Consulting Engineers) has been based in Sint Maarten since 1982. In addition to property appraisal, the firm provides structural engineering, civil engineering, construction supervision, quality control, materials testing and geotechnical engineering services. An appraisal includes a general visual assessment of the building’s condition, but not a detailed structural inspection. If specific technical concerns arise, our engineers can carry out a separate assessment, subject to an agreed scope of work. To see how valuation and condition checks fit together, read appraisal vs home inspection.

ICE covers Sint Maarten, Saba and Sint Eustatius. Find the full details on our property appraisal services page.

FAQ

Is a valuation the same as an appraisal?

Not quite. ICE follows the same assessment process for both, but a simplified valuation is a one-page document stating the assessed value, mainly for the notary. A full appraisal report adds the documented analysis and several values that banks, insurers and other parties can rely on.

Will a bank accept a simplified valuation for a commercial loan?

No. A simplified valuation is not suitable for mortgage financing: banks expect a full appraisal report. Each bank has its own requirements, so tell ICE which bank the report is for before the work starts.

Which approach is used to appraise a commercial property?

Usually a mix of the income, sales comparison and cost approaches. Income weighs heavily for rented properties such as hotels and apartment buildings; cost matters more for special or new buildings.

How long does a full appraisal report take?

Generally within 10 working days of the inspection, once all required documents have been received. This is an estimate, not a guaranteed deadline.

Should I order a simplified valuation or a full report?

If the value is only needed by the notary for the transfer tax, the simplified valuation may be enough. For financing, insurance or any important decision, order the full report. Tell ICE what the value is for and the team will confirm.

Need a value for a commercial property in Sint Maarten, Saba or Statia? Order your appraisal online or contact ICE to discuss which document you need.