Australian Property Institute AnnualReport · Australian Property Institute Valuers Limited...
Transcript of Australian Property Institute AnnualReport · Australian Property Institute Valuers Limited...
Australian Property InstituteAustralian Property Institute
6 Campion StreetDeakin ACT 2600
Telephone: 02 6282 2411Facsimile: 02 6285 2194
Email: [email protected]
Au
stralia
n P
rop
erty In
stitute
- An
nu
al R
ep
ort 2010
ReportAnnual 2010
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 1
Annual Report 2010
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 2
Leading the Property Professions
This report is published by the Australian Property Institute.
Comments or inquiries should be directed to:
The National Director
Australian Property Institute
6 Campion Street
Deakin ACT 2600
Telephone: 02 6282 2411
Facsimile: 02 6285 2194
Email: [email protected]
©2011, Australian Property Institute
ABN: 49 007 505 866
Design and Layout:
Iain Smith, National IT Administrator, Australian Property Institute
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 3
Leading the Property Professions
API’s Vision .............................................................................................................................................. 4
API’s Goals .............................................................................................................................................. 4
National President’s Report ...................................................................................................................... 5
Communications ..................................................................................................................................... 8
Technology & Online Media ...................................................................................................................... 9
Education .............................................................................................................................................. 10
Finance ................................................................................................................................................. 11
International ........................................................................................................................................... 12
Professional and Technical Standards .................................................................................................... 13
Committees & Taskforces ...................................................................................................................... 16
Thanks and acknowledgements ............................................................................................................ 19
Divisional Highlight Reports .................................................................................................................... 20
API Overview ......................................................................................................................................... 27
API Organisational Structure .................................................................................................................. 30
API National Office ................................................................................................................................. 31
API Divisional Offices ............................................................................................................................. 32
API Membership .................................................................................................................................... 34
In Memoriam ......................................................................................................................................... 35
API Organisational Chart ........................................................................................................................ 36
Financial Report ..................................................................................................................................... 38
Notes .................................................................................................................................................... 66
Contents
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 4
Leading the Property Professions
The Australian Property Institute’s vision is to be the premier property
professional organisation in Australia.
API’s Goals To promote the Australian Property Institute as the premier property
professional organisation in Australia.
To encourage all property professionals to join the API.
To enhance the professional standards of members.
To earn and maintain the respect of the community through the
professional credibility of the membership.
To improve the profile and influence of the Institute.
To encourage the provision and maintenance of the highest standard of
property education in Australia.
To ensure the Institute produces the leading property journal in
Australasia, the Australia and New Zealand Property Journal, to educate,
enlighten and challenge the property profession.
API’s Vision
API Vision & Goals
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 5
Leading the Property ProfessionsNational Presidents Report
2010 Highlights
On behalf of National Council I am pleased to
present the Annual Report of the Australian Property
Institute for the year ending 31 December 2010.
The year 2010 saw a number of key strategic
initiatives finalised and implemented and a number
of exciting projects commenced, including;
Establishment of Strategic Initiatives,
Introduction of New Certifications,
Perth International Property Conference (IPC),
Refresh of API Brand,
Signing of a Memorandum of Understanding
between the API and the Institute of
Surveyors Malaysia,
Finalisation of the Presidential Appointment
Policy,
Introduction of the Limitation of Liability
Scheme,
Standardisation of Membership Application
Fees,
Standardisation of Membership Application
Fees,
Development of the Future Professionals
Program, And
Continued liaison and building of relationships
with ASIC & APRA.
Strategic Planning Initiatives
At a combined National Council and Divisional
Presidents strategic planning meeting held in
Canberra in February the following Nine-Point Plan
was established
i. The development of a National Education
Program.
ii. Nationalising the Property Directions Survey
conducted through the New South Wales
Division. It is anticipated that this highly
sought after and well anticipated Survey
within the property industry be expanded to
all states of Australia with anticipated benefits
being an increase in profile for both the
publication and Australian Property Institute
and further enhancing the niche positioning of
this survey.
iii. Standardisation of membership fees.
Membership fees across Australia vary
significantly and present our organisation
as fragmented rather than as a single
organisation. Services provided to members
across Australia are extensive and of a high
quality. The disparity in membership fees is
inexplicable when Australian Property Institute
must present itself to the market as a single
organisation.
iv. Should the Australian Property Institute
expand its membership to include
corporates?
v. Ensuring consistency of property excellence
awards across the country and that such
awards are conducted in every division with
the potential for award winners to move
through to a national awards system.
vi. Establish a National News Subscription for
daily news feeds to members.
National President’s Report
Nick McDonald Crowley FAPINational President
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 6
Leading the Property Professions National Presidents Report
vii. Develop a National Marketing Strategy which
is sensitive to regional considerations.
viii. Review the various accounting functions
undertaken within National Office and the
Divisions seeking to remove duplication and
create efficiencies in association with the new
Coresoft program.
ix. Opportunities be explored to centralise
administrative functions common to all
Divisions, whilst ensuring that Member
services are delivered at a Divisional level.
Work on a number of these initiatives is currently
under way.
Introduction of new Certifications
In the last half of 2010 the Institute established
a number of new certifications primarily for the
benefit of those members working in professional
roles outside of valuation. The Institute
now has a range of nine certifications which
members can utilise and market for their benefit.
The certifications now available to members are as
follows;
Certified Practising Valuer (CPV),
Certified Practising Valuer, Plant & Machinery
(CPV – P&M),
Certified Practising Valuer, Business (CPV –
Bus),
Certified Property Manager (CPM),
Certified Facilities Manager (CFacM),
Certified Property Practitioner (CPP),
Certified Funds Manager (CFM),
Certified Asset Manager (CAM),
Certified Development Practitioner (CDP)
Introduction of a Limitation of Liability Scheme
After nearly two years of hard work, the Institute
established a Limitation of Liability Scheme for
those members who undertake the valuation of real
property.
The establishment of the Scheme aims to provide
better management in relation to the level of Valuers
liability and in time offer a more manageable level of
premiums.
The Scheme commenced on the 1st September
2010 (with members being able to join from 1
December 2010) and on the 8th December 2010,
the Scheme was prescribed for the purpose of
regulation 8A of the Competition and Consumer
Regulations 2010 (formally the Trade Practices
Regulation 1975) as a prescribed Scheme.
The Scheme applies to all members of the
Australian Property Institute Valuers Limited (“APIV
Ltd”). A condition of membership of the APIV is
that a person must also be a member of API and
therefore the following members of API are eligible
for the Scheme;
Life Fellow Member (who hold the certification
of Certified Practising Valuer),
Fellow Member (who hold the certification of
Certified Practising Valuer),
Associate Member (who hold the certification
of Certified Practising Valuer),
Provisional Member (who hold the
designation of Residential Property Valuer),
In addition, only members of API who reside in
Australia and undertake the valuation of real property
will be members of the APIV. The Scheme will also
apply to the partners and employees of persons
who are members of the Scheme.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 7
Leading the Property Professions
The APIV Limited Scheme applies to all States
and Territories with the exception of Tasmania its
legislation does not include mutual recognition
provisions. A separate application will be lodged for
Tasmania in 2011.
International Property Conference, Perth
The 2010 International Property Conference was
held in Perth at the Burswood Convention Centre
over 21 – 23 April was a success following months
of work by the Conference Committee. 384 people
attended the conference with glowing feedback by
participants from across Australia, New Zealand
and S.E. Asia. The next International Property
Conference will be hosted by the Property Institute
of New Zealand in 2013.
Contact Management System
During 2010 the Institute implemented the new
Contact Management System (CMS) which replaces
the disparate computer systems in place around the
country with a single uniform application. The new
centralised web-based application provides the
Institute with an integrated IT infrastructure which
incorporates an effective and efficient membership
database and a delivery platform to enable the
provision of a far greater range of information and
services to members. The CMS forms part of the
“One-API” initiative and will assist in streamlining and
simplifying the administration of the organisation as
well as providing a mechanism that will allow for a
far greater range of products and services to be
available to Members, including a nationwide CPD
program with on-line registration, the establishment
of Professional Communities (with member question
and answer portals, discussion groups), information
papers and business resources, publications, and
the latest property and economic news
Regulatory Authorities
2010 saw a continuation of relationship building
with the Australian Securities and Investments
Commission (ASIC) and with the Australian Prudential
Regulatory Authority (APRA). The Institute regularly
meets with these two important organisations
to discuss issues such as proportionate liability,
valuations for financial reporting, valuations for capital
raising, infrastructure valuations and the importance
of ensuring parties receive independent, expert
professional advice on property related matters.
The Institute promotes the professional qualities of
its members and the high standards (professional
and technical) the Institute has established for the
benefit of members and their clients. The Institute
continues to stress the importance of the public
benefit test in providing impartial advice to these
regulatory bodies
Refresh of API Brand
Following market research in late 2009, the Institute
undertook a refresh of the Australian Property
Institute brand. The market research confirmed that
Australian Property Institute is the best brand for the
organisation and as a result the existing brand was
refreshed rather than replaced.
The revised look is a modernisation of the existing
logo and it is supported with strict protocols for its
application. The new logo became available on 01
May 2010.
Nick McDonald Crowley FAPI
National President
National Presidents Report
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 8
Leading the Property Professions Communications
The Editorial Committee is responsible for producing
the most highly regarded professional property
journal in Australia and New Zealand, enhancing and
promoting the standing of the property profession,
informing Members and other interested parties
about the activities of the Institute using the Journal
as a promotional tool and educating the readership
on the latest technical developments and thinking
in the property profession by sourcing contributions
and articles for inclusion.
Editorial Committee Members
Aaron Hall (Editor), Brett McAuliffe, Michelle Leong
Glastris, Chris Eves, Sean Ventris, David Clark
(PINZ), Ian Mitchell (PINZ), John Darroch (PINZ) and
Professor Richard Reed (Consulting Editor).
National Office support was through the National
Communications Manager, Phil Turner.
The Australian and New Zealand Property Journal
has been published under this banner for four years.
The content of the Journal continues to be highly
regarded in professional property as a valuable
resource for technical information. The Australian
and New Zealand Property Journal Editorial
Committee consistently selected an interesting
array of leading property articles to feature in the
March, June, September and December issues of
the Journal.
The API National E–newsletter is a fundamental
national communication tool used primarily to
inform members of changes and up-to-date news
in the property industry. In 2010, the Institute’s
E-News was circulated to members in February,
March, April, May, June, August, November and
December.
Communications
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 9
Leading the Property Professions
API National Technology is a new initiative of the
Australian property Institute. The initiative was
developed to administer & deliver new technology
strategies of the API to its members.
Since its inception, the API has delivered a new
technology base to serve its members in a more
efficient & cost effective approach. Such deliveries
are
The National Data Management Plan
a. API secure Data Storage
b. Coresoft Membership Management
Repository
c. Email Management & Archive
The Online Media Strategy
a. The new API website Application
b. Social Media Strategy
c. Search Engine Optimisation & Marketing
Strategies
Infrastructure Platform
a. Cloud based technology foundation
b. Unified technology methodology
The new national Data Management Plan has
been orchestrated as part of the overall technology
delivery vehicle. The Data Plan aims to facilitate the
API with a more uncomplicated approach to deliver
products, services & solutions to its members; cost
effectively and timely.
The new API website resides on the platform
outlined by the Data Management Plan. The new
API website is a continually expanding & improving
product of the API, which aims to deliver up to date
information & services to Members.
The Online Media Strategy closely integrates the
new Website and Social Media & Search Engine
strategies as an all-encompassing entity. The API is
able to publish online content through the new API
Website, with a much wider reach to Members &
the general public.
Technology & Online MediaUtilising the Data Management Plan & Online Media
Strategy, the API’s Contact Management System
(provided by Coresoft) employs the data framework
developed under the Data Management Plan and
easily access online solutions established by the
Online Media Strategy.
The overall Technology Delivery established by
the API is utilising the tools at hand to assist with
delivering existing & newer solutions of the Australian
Property Institute.
The FPP (Future Professionals Program) is a solution
derived from the Education Board in an attempt
to assist those Graduate Members entering the
workforce. The Online Strategy & Data Management
plan provided the basis for this program to be
developed & delivered.
During 2011 the API will invest in Social Media,
through implementing its Social Media Strategy
in conjunction with the new API website. The
new investment is expected to increase the API’s
exposure online and increase the Institute’s image,
enhancing the API’s member base.
Technology & Online Media
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 10
Leading the Property Professions Education
The National Education Board (NEB) is responsible
for the development and provision of advice on
education and membership entry requirement
matters on behalf of members of the Institute, on a
national basis.
The National Education Board met on four occasions
in 2010, March, June, September and November.
National Education Board Members
Philip Western (Jan to May), Chris Plant (June
to December), Joseph Agnello (Chair), Clyde
Eastaugh, Greg Costello, Mark Kay, Professor
Richard Reed, Marcia Bowden, Dr Garrick Small,
Richard Feenaghty, Professor Mike Hefferan,
Professor Chris Eves (June to December) and Alan
Smee (PINZ).
The National Education Board is supported by the
National Education Director, Sally Allen.
Highlights of the 2010 year included the
endorsement of five Universities (Deakin / UTS
/ CQU Postgraduate / RMIT / UQ) and Sydney
Institute (TAFE), the introduction of a Rural Text,
scoping for a P&M Qualification and ongoing
support and review of the Institute’s Future Property
Professionals Program.
The Board undertook research into the property
profession 2020, by surveying a number of key
stakeholders nationally, with an eye on national and
international trends and global impacts. The results
will provide further ongoing research opportunities
for industry and academic partners.
Academic entry requirements were reviewed
throughout 2010 with a new Accreditation Policy
to be presented to National Council in March 2011.
The new policy includes the abolition of the pathway
for applicants to complete a Master’s Degree only to
achieve Associate Membership and CPV. Masters
EducationDegrees will be undertaken in combination with
approved prior academic qualifications from January
2011. The new Policy will also see the introduction
of Accreditation Benchmarks, which the Board
agrees will ensure the Institute maintains relevance
and leadership in the area of property education.
With the introduction of the Institute’s new
certifications, the Board reviewed the Knowledge
Fields and specialisation areas required to achieve
academic coverage. In 2011, endorsed partners
will be invited to apply for accreditation of the new
certifications to assist the Institute in rolling these
out in the marketplace.
In 2011, the Board will focus on the finalisation
of the Future Property Professionals Program,
the development of a rural qualification and a
qualification for P&M, the ongoing development
of parameters around the new certifications and
implementation of the new accreditation policy.
The API will continue to partner the property
education PRRES Conference (Pacific Rim Real
Estate Society), and look to strengthen partnership
with all endorsed providers and kindred property
educators, both locally and internationally.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 11
Leading the Property ProfessionsFinance
The National Finance Board (NFB) has the
responsibility to ensure that all assets, liabilities,
income and expenditure of the Institute are properly
managed and accounted for, and that the financial
impacts of all strategic plans and changes are
properly assessed and budgeted. In addition, the
NFB is entrusted with the financial management of
the Institute’s Research Trust Fund and Institute’s
Awards Trust Fund.
National Finance Board
Philip Western (Chair), Robert Smythe, Peter
Barnes, Bryan Hurrell and Nick McDonald Crowley.
The API National Finance Manager is Andrew
Tregenza.
The Australian Property Institute financial accounts
for the year ended 31 December 2010 have been
finalized and have been audited by RSM Bird
Cameron.
The results for the year ending 31 December reflect
a draw down from the Institute’s reserves as a
reinvestment into the long-term restructuring of the
API to enable a wider influence across all sectors
of professional property. Significant investments
have been made to the new Contact Management
System and website. Consequently, the end of year
results reflect a deficit of $906,494.
Income for 2010 declined by $0.54m over 2009
figures, due primarily to a decrease in CPD revenue
(down $0.62m) and Presidential Appointment fees
(down $0.05m). Expenditure for 2010 increased by
$0.54m over 2009 figures due to increased staffing
costs (up $0.38m), IT Expenses (up $41,676) and
contractual and other expenses (up $247,388).
The main income streams for the Institute in 2010
were membership subscriptions $3.67m, CPD
Income $1,68m, Publication sales $0.25m, Rental
Determination Admin Fee $0.18m.
FinanceMajor expenditure items for the year related to
the Contact Management System, Professional
Development, staffing, Member Services &
Functions and Publication expenses.
At the end of 2010 the Institute held unencumbered
reserves totaling $11,853,989. A significant
proportion of these reserves will be reinvested
back into long-term sustainable structuring of API
to enable a wider influence across all sectors of
professional property.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 12
Leading the Property Professions International
The International Committee (IC) is responsible for
the Institute’s international affairs in accordance
with the terms of reference contained in the by-
laws on behalf of members of the Institute on a
national basis. During 2010, the Committee met
three times, in February (Teleconference), August,
and November.
International Committee:
James Pledge (Chair), David Moore, Bob Connolly,
John Martin, Greg McNamara and Chris Stanley.
National Office support is through the National
Director, Grant Warner.
2010 Outcomes:
International Relationships: - in September
2010 the Institute signed a Memorandum
of Understanding (MOU) with the Institute of
Surveyors Malaysia. Discussions are being
held in relation to entering into a MOU with
the Indonesian Society of Appraisers.
During 2010 John Martin continued to
chair the ‘Valuation Advisory Forum’
which provides a link between valuation
organisations and the International Valuation
Standards Council.
Institute representatives attended the 25th
Pan Pacific Congress in Bali, which provided
an opportunity to discuss issues of mutual
interest with kindred organisations. The API
will host the 26th Pan Pacific Congress in
Melbourne in October 2012.
During 2010, the Institute continued with the
strengthening of the relationship between
the API and the Property Institute of New
Zealand. The Strategic Alliance between the
API and PINZ is providing a framework that
will see both countries being vowed as a
single market for property professionals.
International Following a recommendation from the
International Committee, the Institute will
progress the establishment of relationships
with kindred organisations across South
East Asia both directly and indirectly
through the ASEAN Valuers Association.
The establishment of formal relationships
with kindred organisations in other countries
facilitates the transportability of property
professionals between countries as well as
providing a mechanism for establishing a
consistent approach to professional and
technical standards.
In light of the increasing number of requests
for membership from overseas property
professionals, it is proposed that an overseas
membership class be established in 2011.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 13
Leading the Property ProfessionsProfessional and Technical Standards
National Professional Board (NPB)
The National Professional Board is responsible for
the execution and implementation of professional
and technical policy matters on behalf of Members
of the Institute on a National basis.
The National Professional Board met four times in
2010, in February, May, August and November.
Professional and Technical Standards are
developed and administered on behalf of the
Institute by the National Professional Board (NPB)
and the Australian Valuation & Property Standards
Board (AV&PSB).
NPB Members
Cameron Harris (Chairman), Matthew Page, Roy
Farthing (Chair AV&PSB), Nicholas Munn, Kym
Dreyer, Tony Gorman, Denis Lovell (from May AGM),
Matthew Shadbolt (until May AGM), , Bob Dupont
and Chris Stanley (PINZ).
Australian Valuation and Property Standards Board (AV&PSB)
The Australian Valuation and Property Standards
Board is responsible for the review of Practice
Standards, Guidance Notes and Information Papers
under direction from the National Professional Board
on behalf of the Institute.
The Australian Valuation and Property Standards
Board met three times in 2010, in April, July and
October.
AV&PSB Members
Roy Farthing (Chairman), Peter Beverly (Mortgage
Industry Association), Dennis Bluth (Property
Law Group of Law Council of Australia), Neil Bray
(Valuers General), Graeme Addicott (Government
Valuers), Blue Hancock (PINZ), Natalie Batsakis
(AASB), Rod Hyman (API), William Reynolds
(API), John Gibson (Business Valuers Special
Interest Group) and Bob Connolly (until 30 April).
National Office support is through the National
Professional Standards Manager, Tony McNamara.
Practice Standards and Guidance Notes
The Boards continues to review Standards and
Guidance Notes with the view to updating as
appropriate.
The International Valuation Standards Council (IVSC)
is currently undertaking a complete review of its
publication, International Valuation Standards with a
view to reworking the existing Valuation Standards
to a more principles-based style. It is also proposed
that the Guidance Notes be reworked into Technical
Information Papers. The IVSC has announced that
the new Standards should be available in July 2011
for effect from 1 January 2012.
The following documents were released in 2010:
Guidance Note ANZVGN 11 – Valuation of Self Storage Facilities
Following extensive consultation with industry
and members, the document was released as a
Guidance Note effective from 1 January 2011.
The purpose of the Guidance Note was to set
out matters to be addressed in the valuation of
operating self storage facilities.
Professional and Technical Standards
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 14
Leading the Property Professions Professional and Technical Standards
Exposure Draft – Guidance Note – Market Value of property, plant and equipment as part of a going concern business
This document was released as an Exposure
Draft on 1 March 2010 in response to a need
for guidance to members, which was identified
following a Supreme Court of Victoria case dealing
with a stamp duty matter.
The Exposure Draft will be issued as a Guidance
Note in 2011.
Exposure Draft – Guidance Note – Valuations for Insurance Purposes
A recent review of the Standards and Guidance
Notes revealed a need to substantially re-work the
existing Guidance Notes on this subject. The two
existing documents are:
AVGN 2 Valuations for Insurance Purposes
NZVGN2 Insurance Valuation Reports
Recent catastrophic events such as the earthquake
in Christchurch, the Victorian bushfires and
Eastern Australia floods have highlighted the need
for consistent guidance in the area of insurance
valuations and API and PINZ members have an
important part to play in the provision of insurance
valuation services both pre and post loss.
It was proposed that the API and PINZ Guidance
Notes should be brought into alignment whilst at
the same time allowing for certain differences in
legislative requirements.
This document was released as an Exposure
Draft on 1 December 2010 and will be issued as a
Guidance Note in 2011.
Member Alert - GST Margin Scheme
In the June 1010 edition of the National E News the
Australian Property Institute issued a GST Margin
Scheme alert to members when dealing with
residential development valuations for mortgage
security purposes.
International Valuation Guidance Note - IVGN 4 - Valuation of Intangible Assets (Revised 2010)
Effective from 1 March 2010 the IVSC issued the
revised Guidance Note on the Valuation of Intangible
Assets.
International Valuation Guidance Note - IVGN 17 - The Valuation of Investment Property under Construction
Effective from February 2010 the IVSC issued the
Guidance Note on the Valuation of Investment
Property under Construction.
IVSC Discussion Paper – Definition of a Professional Valuer
Following the release of the Discussion Paper –
Definition of Professional Valuer in July 2010 the
Australian Property Institute provided a response to
the issues raised.
IVSC Discussion Paper – Valuation Uncertainty
Following the release of the Discussion Paper
– Definition of Professional Valuer in September
2010 the Australian Property Institute provided a
response to the issues raised.
IVSC Exposure Draft – Proposed Code of Ethics for Professional Valuers
Following the release of the Exposure Draft –
Proposed Code of Ethics for Professional Valuers in
July 2010 the Australian Property Institute provided
a response to the issues raised.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 15
Leading the Property ProfessionsProfessional and Technical Standards
IVSC Exposure Draft – Proposed New International Valuation Standards
Following the release of the Exposure Draft –
Proposed New International Valuation Standards in
June 2010 the Australian Property Institute provided
a response to the issues raised.
National Licensing
At its meeting on 3 July 2008, the Coalition of
Australian Governments (COAG) agreed to establish
a national trade licensing system that will remove
inconsistencies across state borders and allow for
a much more mobile workforce as one of its 27
priority areas for regulatory reform and deregulation.
The proposed national licensing system will initially
cover a limited number of occupation areas. One of
these areas is property agents which encompasses
the valuation profession.
Government, through its Interim Advisory
Committee on Property Agents has commenced it
review of licenses dealing with such. It should be
noted that Advisory Committee to look at the review
of licensing of the valuation profession is yet to be
established and any outcome is not expected until
after mid 2013.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 16
Leading the Property Professions Committees and Taskforces
During 2010 a number of issues were addressed
by Taskforces and Committees established by
National Council. These included; CMS Taskforce,
Future Valuations Taskforce, Future Property
Professionals Taskforce and the Environment
Standing Committee.
Contact Management System Taskforce
The CMS Taskforce was established in 2008 to:
Identify the requirements for a Contact
Management System,
Assess systems currently available in the
market,
Identify resource requirements (physical &
financial) for implementation and on-going
functionality of a CMS,
Identify impediments from previous CMS
development process,
Establish a Business Plan for the
implementation of a CMS,
Management of CMS development and
implementation, and
Development of a CMS Management Policy.
The Taskforce consists of Tony Gorman (Chair),
James Pledge, Andrew Bell, Cathy Sirel, Amy Guy,
Joel Leslie and Grant Warner.
The Institute’s former AMPL database and separate
MYOB accounting systems did not provide the
required functionality that would enable the API to
manage its membership into the future (including
the provision of a broader range of services). As a
consequence the Institute embarked on a project to
establish a single cohesive integrated membership
system that facilitated the provision web-based
services to members at the same time providing the
Institute with an effective management tool.
Committees and TaskforcesDuring 2010 the Taskforce worked on the
implementation of the new CMS, focussing on
establishing business rules for the system, identifying
and rectifying any bugs and improvements associated
with the implementation of the application. The main
issues that required addressing were associated
with the financial application, most of which have
now been addressed. Work will continue through
the System Administrator on further improvements
to the useability of the application.
The result has been the adoption of the Coresoft
application which is being implemented from
December 2009.
Future Valuations Taskforce
The Future Valuations Taskforce was established in
2008 to:
Continue development of the Matrix detailing
the Risk Classification of Real Property
Valuation by Valuation Product Type.
Develop an information Paper(s) on the
uses and limitations of emerging valuation/
assessment practices and whether they meet
the professional standards required by the
Institute.
Make recommendations to the National
Council and the National Professional Board
as to any necessary changes to the Rules
of Conduct and/or Practice Standards and
Guidance Notes.
Review and make necessary changes to
PropertyPRO .
The Taskforce consists of Robert Hecek, Andrew
Cubbbins, Richard Reed and Tony McNamara.
During 2010 the primary focus of the Taskforce has
been the review of PropertyPRO. Consultations,
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 17
Leading the Property ProfessionsCommittees and Taskforces
including workshops in July and November, were
undertaken with the major lending institutions, the
mortgage insurers, major residential valuation firms
and valuation management system providers in an
endeavour to enhance the product for the client and
valuer, with particular emphasis on consistency and
clarity associated with the risk ratings.
The revised PropertyPRO product is expected to be
released midyear 2011.
Sustainability and the Environment Standing Committee
The Sustainability and the Environment Standing
Committee was established in 2007 to identify and
address issues relating to sustainable property.
Its primary focus has been on issues associated
with Green Buildings and the commercial property
sector.
In May 2010 Bill Hames FAPI was accepted as
the Australian Property Institute nominee on the
National Australian Built Environment Rating System
(NABERS) Industry Advisory Committee which has
been established to formalise engagement with key
industry and other stakeholders on a national basis.
The September 2010 edition of the National E
News included advice to all members about the
Commercial Building Disclosure Program which is
a national program designed to improve the energy
efficiency of Australia’s large office buildings. New
disclosure obligations came into effect on 1 July
2010 by the enactment of the Building Energy
Efficiency Disclosure Act 2010.
During 2010 the Australian Property Institute
provided advice to government on its National Green
Leasing Policy. The National Green Leasing Policy
represents a fundamental step in the development
of a national policy by Australian, State and Territory
governments, as tenants of buildings, to drive a
reduction in the environmental impact of buildings
through improved operational performance.
In May 2010 the Australian Property Institute
responded to the Discussion Paper released by
the Senior Officials Group on Energy Efficiency via
the Department of Climate Change and Energy
Efficiency. The Discussion Paper being “National
Building Energy Standard – Setting, Assessment
and Rating Framework”.
On 2 August 2010 the Australian Property
Institute, jointly with the Spatial Industries
Business Association, submitted a response to
the Issues Paper Performance Benchmarking of
Australian Business Regulation: Planning, Zoning
and Development Assessments released by the
Productivity Commission in May 2010 for public
consultation and input.
A special thanks to Marcia Bowden, Richard Reed,
John Sheehan and Bill Hames for their contributions
during 2010.
The Institute acknowledges the work undertaken by
John Sheehan in relation to property rights issues,
including those associated with Native Title, carbon
property rights and water property rights.
John presented a paper to the 4th Conference of
the International Academic Association for Planning,
Law and Property Rights, Dortmund, 10 February
2010 titled New ‘Old’ Property: Compensation
for Indigenous Cultural Heritage. A copy of John’s
paper was included in the June 2010 edition of the
ANZPJ. John also attended the Expert Meeting of
the UNFAO on Land Tenure in Rome in November
2010 on behalf of the Institute. A copy of John’s
report on that meeting will be included in the June
2011 ANZPJ.
John’s attendance at these meetings keeps
the Institute at the forefront of these debates
and has positioned the API as leading the
debate and working on solutions for these
issues internationally. Without John’s input this
would be most difficult.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 18
Leading the Property Professions Committees and Taskforces
Future Professionals Program
The Future Property Professionals (FPP) Taskforce
was established in 2008 to develop a value
add program for graduates that will bridge the
gap between academic rigour and professional
competency. In 2010, the Taskforce finalised the
program, to be rolled out on an optional basis
in 2011, for compulsory participation starting 1
January 2012.
13 FPP Modules have been written by experts
in the field (more Modules to be written over the
coming months) and these cover specialist areas
including written communication, professional
communication, ethics, data collections, GST,
networking, preparation for professional interview,
leases and corporate real estate. These will be
available on line, and participants will be required to
complete a work based activity, with competency
to be assessed by the appointed (employer)
supervisor.
All participants, employers, supervisors and
associated stakeholders will receive program
information throughout 2011.
The FPP Taskforce will be scaled back in 2011, to
implement a Management Committee to manage
the implementation and review of the program
moving forward.
The Institute recognises the work undertaken by the
FPP Taskforce and extends its gratitude and regard
to the Members:
Clyde Eastaugh (TAS & Chair), Marcia Bowden
(ACT), Kym Dreyer (SA), Judy McAdam (SA), Geoff
Page(SA), Joseph Agnello (WA), Gail Walker (WA),
Monica Csesko (VIC), Robert Dupont (NSW), Prof.
Terry Boyd (QLD) and Sally Allen (National Education
Director).
P.I. Subcommittee Taskforce
Limitation of Liability Scheme.
The P.I. Subcommittee consists of Robert Hecek
and Grant Warner.
In 2010, the Australian Property Institute was
granted approval by the Professional Standards
Council in respect of the establishment of the
Australian Property Institute Valuers Limited Liability
Scheme pursuant to the Professional Standards Act
1994 (NSW). Mutual recognition provisions in the
legislation mean that the Scheme will operate in all
jurisdictions with the exception of Tasmania.
The Scheme commenced on 1 September 2010,
with the establishment of administrative structures
allowing members to join from 1 December 2010.
The Limitation of Liability Scheme is administered
through Australian Property Institute Valuers Limited
(APIV Limited), a company limited by guarantee,
established by the Australian Property Institute as
an occupational association for members of the
valuation profession.
In essence, the Scheme will cap the occupational
liability of participating APIV Limited Members to
an amount between $2 million and $10 Million,
depending on the Upper End Value of the property
being valued, and to the extent that liability can
be limited under the respective State or Territory
legislation.
Since the Scheme was established, the Institute has
engaged Betty Warner-Lehman as the Institute’s
Professional Indemnity and Compliance Manager.
Betty will administer the Scheme and provide
assistance to members in the area of Professional
Indemnity Insurance going forward.
The Institute acknowledges the work undertaken
by Robert Hecek and Grant Warner in getting the
Scheme established.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 19
Leading the Property ProfessionsThanks and ackknowledgements
I would like to thank all National Councillors, Philip Western (NSW & Senior Vice
President), Chris Plant (VIC & Junior Vice President), David Moore (WA & Immediate
Past President), John Forsythe (VIC), James Pledge (SA), Andrew Cubbins (TAS),
Cameron Harris (QLD), Jim Eager (NSW) and Clyde Eastaugh (TAS) for their
enormous contribution throughout the year. A very special thank you also goes to
Greg Preston (NSW) who has contributed to the API over many years and completed
his term as Councillor at the May AGM. In June 2010, Greg was awarded a Life
Fellowship of the API.
The 2010 year (and into 2011) has been a time of significant growth and
development for the Institute as we continue to implement new strategies and
initiatives as a priority to maintain industry relevance and continue to lead the
property professions. National Office staff under the leadership of Grant Warner
have continued to work effectively meeting challenges and I would like to take this
opportunity to acknowledge their contribution.
Best wishes to all members and thank you for the opportunity to serve the Institute.
Nick McDonald Crowley, FAPI
National President
THANKS AND ACKNOWLEDGEMENTS
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 20
Leading the Property Professions
Australian Capital Territory Division
In 2010, Mr Robert Smyth was re-elected President
of the ACT Division of the Australian Property
Institute. The ACT Division has representation
with a number of Kindred bodies and associations
such as the Residential and Commercial Advisory
Groups, and other professional associations in
matters of mutual interest.
In 2010 the Continuing Professional Development
Committee provided a variety of interesting and
relevant educational and training forums for our
members and new professionals into our industry.
Some highlights were:
4 o’clock Forum on the Land Development
in the ACT – A legal Perspective. This was
presented by Mr Alfonso del Rio, Partner
Clayton UTZ and it was well received by a
large number of members and non members.
Another interesting and relevant forum
was a presentation by Mr Tony Adams
of CB Richard Ellis addressing issues on
Concessional Leases.
Mr Andrew Balzanelli, Managing Director
of Jones Lang LaSalle commented on the
major events in the ACT commercial property
market in 2010 and provided an insight to the
market expectations for 2011.
The ACT Divisional Annual General Meeting
and lunch was a success as usual and well
attended by members and guests. Mr Greg
Marr of the GPT Group as guest speaker
provided an insight from the perspective
of an institution as to the benefits and
disadvantages of investing in the Canberra
property market.
The ACT Division gives thanks and appreciates the
participants who contributed to the success of our
Continuing Professional Development program.
The Excellence in Property Awards at the Lobby
Restaurant was held in November and this event
continues to highlight the Institute as the leading
property organisation in Canberra.
New South Wales Division
The support for the API from members and
the industry generally has assisted in making
the Division’s 2010 operation a success with
membership numbers and attendance at events
remaining strong as well as organisations continuing
their sponsorship support.
Robert Hecek, Chair of the National API PI Insurance
Committee and API NSW President, contributed a
great deal of time and expertise in working with the
API National Director, Grant Warner, to establish a
capped liability scheme for valuers and, over time, it
is expected that there will be significant benefits for
API members from the Scheme.
CPD and Networking
A comprehensive CPD program was presented
in 2010 and the Division’s major annual events
– Kiparra Day, the Country Conference, the
Public Sector Property Conference and the P&M
Valuation Conference – were all well attended
with topical subjects delivered by expert and high
profile speakers. The joint NSW and ACT Country
Conference was held in Canberra and proved to
be a successful format for offering another joint
conference sometime in the future. The other
successful joint events - API/FINSIA seminars and
the API / ADPIA Profitable Sustainability in Property
Conference – continue to cement our good working
relationships with those organisations.
Numerous other CPD events were held including
the Rating Practice Module and the Expert Witness
Associate Professional Certificate along with short
topical seminars.
Divisional Highlight Reports
Divisional Highlight Reports
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 21
Leading the Property ProfessionsDivisional Highlight Reports
Four sold out Young Property Professionals’ (YPP)
events were held in 2010. Under the Chairmanship
of Layne O’Neill, the YPP Committee compiled an
impressive line up of speakers and topics for the
year and held another great end of year event held
at La Cita Latin Bar.
A successful Annual Golf Day was held at Concord
Golf Club on 22 July with the Gunning Commercial
players winning the tournament.
Raising the Profile and Industry Liaison
There were numerous issues raised by the Division in
various metropolitan and regional media throughout
2010 and these included coastal sea level rises,
climate change policy, water rights, planning issues,
valuers’ liability and carbon trading. Liaison on
these matters as well as on retail leases and valuers’
regulation was also undertaken with Government
during the year.
API members ably represented the Division on
various external committees such as the OFT
Property Services Advisory Council, the Law Society
of NSW Environmental Planning and Development
Committee, the Land and Environment Court Users’
Group, the Land Valuation Specialist Advisory
Group and Disability Access Forums.
Three meetings of the Division’s Banking & Finance
Liaison Group were held in 2010 and the information
exchanged at these meetings has led to a better
understanding of the challenges facing both the
property and finance industries. A number of
meetings of the Carbon Property Rights Committee
were held last year resulting in submissions and
relevant papers being produced.
Research
The two issues of the API Property Directions
Survey in 2010 attracted widespread media
attention across all forms of media – print, radio,
television and electronic. The Survey continues to
be recognised by the media as being a quality and
accurate survey of sentiment within the property
industry.
The API and ADPIA (Australian Direct Property
Investment Association) “Doing Well by Doing
Good Down Under” project is a research project
on the value of investment in sustainable Australian
commercial office buildings. The project aim
is to see if there has been any additional return
on investment from greening commercial office
buildings. The study is comparing the rental
returns and valuation impact of energy efficient
and demonstrated sustainable buildings with
similar buildings which do not demonstrate these
attributes. API NSW Is providing the administrative
support for this ground breaking research and it is
planned to release the results in mid 2011.
Recognising Excellence
This year, the Division provided 22 awards to
students for academic excellence in the API
endorsed property courses as well as recognising
outstanding performance in the property industry
via the NSW Excellence in Property Awards. On 21
October, the Excellence in Property Awards were
presented at a very well attended cocktail function
at Sydney’s iconic Powerhouse Museum.
Membership
2010 saw over 400 members gain the new member
certifications covering all areas of property practice.
In addition to those certifications, the Division
processed 429 membership applications, transfers
and resignations, conducted 107 profession\al
interviews and 6 membership inductions.
Broadening the API’s representation of the various
sectors in the property industry saw five new Fellow
members from the funds management and property
finance areas inducted into the Institute under the
Property Leaders’ program at an event at the Mint
in November last year.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 22
Leading the Property Professions Divisional Highlight Reports
Appreciation
Appreciation is extended to the over 400 members
and non-members who generously gave of their
time and expertise to assist the Division in providing
member services during the year.
Queensland Division
2010 was a successful year for the Queensland
Division with the easing of the difficult global
economic conditions and improving implications
for the Institute and our members although private
sector practitioners report increasing difficulties with
insurance renewal issues.
Our membership base remains strong at the
end of 2010. Encouragingly, the membership
numbers continue to grow. At the end of 2010 the
Queensland Division had 1,678 members and this
number has increased by over 260 members in the
last five years. The current membership numbers
include 283 student members and there continues
to be a good progression from student membership
to more senior membership status.
The Division’s CPD Program has again been strong
during 2010. Some of the highlights of the 2010
Program included:
3,289 registrations received for 26 CPD
events during the year;
Over 740 attendees at the Queensland
Property conference on the Gold Coast in
November; and
The Rural Conference in Toowoomba
and North Queensland Property Conference in
Townsville both attracting increased numbers over
previous years with very positive feedback from
delegates.
Residential Valuation Market Condition
Practitioners in this market sector report increasingly
difficult market conditions with significant pressures
on fee levels, falling volumes of instructions,
increasing incidence of professional indemnity
claims and difficulties with staff retention.
Land Valuation Act 2010
2010 was a busy year for the Queensland Division
of the Institute which worked closely with the
Queensland Government in the drafting of the
Land Valuation Act 2010. All of the Institute’s
recommendations were incorporated into the
legislation and the Division continues to assist in the
implementation of the provisions contained within
the new Act.
Looking Forward
The Queensland Division is looking to focus its
efforts over the next 12 months on:
Reviewing and upgrading services that are of
value to Members;
Better equipping Members for inevitable
changes in demand for their services into the
future particularly in the area of residential
valuations;
Implementing a mentoring program
throughout the Young Property Professionals
group with the property students from the five
accredited courses in Queensland, given that
they represent the future of the profession;
Preparing for likely federal government moves
towards professional deregulation over the
next few years; and
Seminars and Nominations of independent
chairpersons for future objection conferences
under the provisions of the Land Valuation
Act.
Ongoing assistance with amendments to the
Retail Shop Leases Act in conjunction with
the Queensland Government.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 23
Leading the Property ProfessionsDivisional Highlight Reports
South Australia Division
2010 has been a diverse and interesting year in
the property market, from the residential to the
commercial and rural markets.
It has been a challenging year for the Australian
Property Institute as a whole, with elevations of
members, creation of new membership certifications
for non valuer property professionals, introduction
of a contact management system, and a continued
structural review of the Institute.
The SA Division has maintained its strong working
relationship with Uni SA, providing practical
workplace exposure to students via the mentor
scheme, as well as meeting regularly with Prof David
Parker and staff to discuss the course and foster
strong bonds between the API and the University
and our future property professionals.
During the year we met with the Valuer General
and his representatives to discuss issues and voice
opinions. A new Review Valuer Panel was formed
and approved by Cabinet and ably supported by
over 30 of our members.
The Young Property Professionals Committee,
chaired by Nadine Wessel continues to provide
our student and graduate members with events
which have been well supported. This forum
provides invaluable communication and educational
opportunities for the younger members of the
profession.
The CPD Committee conducted a well attended
and varied program. This was complemented by
the work of the Property Conference Committee
who once again organised an outstanding and
interesting event with an attendance in excess of
half the practicing members in the Division.
The Membership Applications Committee has
been particularly busy with many applications
from existing Provisional and Graduate members
advancing to meet the transitional arrangements for
the new classes of membership.
2010 has been a year of progress the changes
made to key structural and operational aspects of
our Institute will offer rewards and benefits to our
membership in the future.
There still remains much work to do but the many
initiatives of 2010 will lead to successful outcomes
and benefits in 2011 and beyond.
Tasmania Division
After our previous relationship with Association
Offices running the divisions affairs; 2010 saw the
Tasmanian Division closing off our first financial year
out our new premises, within the Valuer Generals
Office in Hobart. Coupled with the first financial year
out of the new Coresoft Customer Management
System it was a challenging year. We are very
pleased to report very positive outcomes on all
aspects of the Tasmanian Divisions operations.
The Tasmanian year started with the Annual Market
Update CPD Seminar, held at Somercotes just
south of the historic township of Ross in central
Tasmania. Other sessions included seminars on
Green Buildings and Sustainability; residential,
rural and financial market updates, site inspections
and an update from the Tasmanian Irrigation
Development Board.
The Annual Property Summit was held at the famous
Henry Jones Art Hotel on Hobart’s waterfront in
October. This is a joint venture with REIT and PCA
in October and was reasonably well attended by
API members.
During 2010 the membership base increased to
around 110 active members excluding students
and retired category memberships. API (Tas)
comprises a current total membership of 125
across all membership classes. Up 8% on 2009.
It has been pleasing to note an increase in student
and graduate/provisional members and a number
of private firms and the government again taking on
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 24
Leading the Property Professions Divisional Highlight Reports
trainee valuers’ to assist with the aging profile of the
profession in Tasmania
As at the 31st December, 2010, we had 70 Associate
members, 20 Fellows, 6 Graduates, 4 Life Fellows,
5 Non Practicing, 6 Provisional, 3 Retired, and 11
Students.
We are looking forward to another successful year
in 2011.
Victoria Division
This year comprised a number of new initiatives for
the Division, the continued reinvestment of revenue
into member services, and significant headway into
raising the API profile and relevance in the property
industry. That so much has been achieved is a
testament to the enthusiasm of all involved.
We achieved a sound financial position in 2010 and
note that our member numbers continue to rise,
membership services have increased and there
has been a continued and concentrated effort in
raising the API profile in the public sphere and with
stakeholders such as our major employers, financial
institutions and various government bodies.
Growth of our Professional Certificate Programmes
Specialist programmes have been developed
in response to the public need for independent
experts in particular asset classes. The success
of Specialist Water and Specialist Retail Valuer
Professional Certificate Programmes was evident
by high attendance and the number of participants
in the subsequent accreditation process. The
Victorian Division released the latest in this suite of
programmes in November this year with the launch
of the Professional Certificate in Giving Expert
Evidence. This course was very well received and
was similarly designed to fulfil a market demand and
to add value to API membership.
Young Property Professionals
Supporting and developing our young property
professionals is crucial to the growth and relevance
of the API. Property students are encouraged to
join the API and to see the enormous benefit of API
membership throughout their property career. In
2011 we will meet with secondary school students
to promote careers in property and enhance
our support of the three accredited universities
via student awards and scholarships. The API
is invested in working collaboratively with the
Universities to ensure that the best possible balance
exists between tertiary study and professional
practice.
The YPP Committee commenced 2010 with a
rebranding to the YPP from the YPG. All YPP
events were well subscribed, generally surpassing
expectations and the quality of the events is a
tribute to those involved.
Regional Discussion Groups
The Chairs of all API Discussion Groups had
their annual meeting to share their strengths and
initiatives and to ensure that the API is providing
the best and most appropriate support to the
groups. Since allocating every Victorian member
to a group in 2008 we have seen an increase in
the number of members engaged in these groups,
whether by participating in their leadership group
or by attending the more widely available CPD and
networking events. The annual meeting enables
direct access to and from the API and engendered
feedback that relates directly to the profession and
API services.
Continuing Professional Development
The third Annual State Conference attracted
record numbers, particularly in regards to the rural
programme offered on the Saturday. The Conference
Committee again delivered a programme that
met the professional development interests of API
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 25
Leading the Property ProfessionsDivisional Highlight Reports
members across a variety of property specialisations
and geographical locations. The “Watch This
Space” seminars have been well received, enabling
the API to provide presentations on the most up-to-
date and contemporary topics.
Excellence in Property Awards
Yet another successful Excellence in Property
Awards took place at the Spice Market in August.
There was a considerable line up of award
nominations and sponsors and a wonderful evening
of networking and entertainment. In addition, the
API continued its alliance with the Property Industry
Foundation in support of its fund raising efforts to
help homeless youth.
Western Australia Division
2010 was a successful year for the Division
notwithstanding challenges.
The Division has now delivered 10 consecutive
years of profit, with Members equity now totalling
over $2.2 Million (which includes the Institutes office
at 27 Charles Street, South Perth) at the end of
2010.
During the first year in which the Institute was
utilising a new whole-of-business operating system
and endeavouring to adjust to meet implementation
challenges presented by the Coresoft system,
Divisional resources were stretched. The
effectiveness of the effort made to ensure that the
Division and its Members were sheltered from the
necessary refocus of resources is evidenced by the
bottom line black ink in 2010.
Primary income streams were reviewed when
framing the 2010 budget. Divisional Council did
not increase the component of annual membership
subscriptions retained by the Division. Members
did, however, pay a 4% increase in the per capita
contribution to National Council.
Divisional Council had a strong focus on expenditure,
with the outcome being that 2010 expenditure
was less than that of 2008, a deduction which
importantly did not impact on the services to our
Members.
The Division budgeted for a gross operating inflow
of about $662,000 for a net operating deficit of
about $3,000. The budget reflected the inability of
the Division to conduct an annual State Conference
and other events in the period leading up to the
International Property Conference convened by
API/PINZ and held in Perth in April 2010
Audited revenues approximated $673,000 for
a small surplus of some $4,700 after absorbing
unbudgeted costs of $50,000 associated with
National Council programmes. The annual per
capita payment to API National was $183,700 in
2010.
Above all Divisional Council resolved to ensure the
Members of the Division were not impacted by the
challenges being addressed internally.
A calendar of CPD events which would provide
opportunities for all levels of API membership to
achieve professional development were prepared
and conveners appointed to each event.
Registration fees for CPD were maintained at pre-
2004 levels for members.
We continued to promote CPD widely and sought
REBA accreditation whenever possible in an
endeavour to meet the needs of members and
other property professionals.
The Division continued to enhance exposure
and focus on the status of the API as the peak
representative body of property professionals,
assisted by a coordinated programme of media
liaison. This focus recognises the importance of the
API as a responsive and impartial commentator on
property
Membership numbers remained stable over 2010
and registrations for CPD events were strong.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 26
Leading the Property Professions Divisional Highlight Reports
Calendar 2010 could be described as a year in
which the Division strove for stability in the face
of innovation and accordingly a conservative
operational prudence was maintained.
Intensity of Divisional activity and overall outcomes
are broadly reflected in financial results however, the
magnitude of profit was not a prime focus given the
issues faced during 2010 and the general state of
the local and national economy’s.
The Regional Conference in Kalgoorlie confirmed
the importance of this event in the Division’s CPD
Calendar. Arrangements are already well underway
for the delivery of a first class Regional Conference
in Broome in October 2010.
The introduction of a series of young professional
boardroom luncheons was well received by an
important sector of our Membership which finds
breakfast or 4PM forums incompatible with their
work commitments.
The Risk Management Module was delivered in
2009. Unfortunately the RMM Manual has yet
to be delivered and no alternative to the face-to-
face workshop has been developed. The bylaws
in relation to undertaking the module will not be
applied while there is no module available to those
members who were unable to attend a face-to-face
workshop in 2009. The API has acknowledged
that this has caused problems for Members and
National Council is endeavouring to solve the issue
as a matter of priority.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 27
Leading the Property ProfessionsAPI Overview
API OverviewBackground and Role
The Australian Property Institute (API) was originally
formed in 1926 as the Commonwealth Institute
of Valuers. The Institute has undergone several
name changes over the last century as the array of
services offered for its members expanded.
Today, the API represents the interests of more than
8,00 property professionals throughout Australia.
API members include residential, commercial and
plant and machinery valuers, property analysts
and investment advisors, property fund and asset
managers, property and facility managers, property
lawyers, property researchers and academics.
The Institute’s primary role is to set and maintain
the highest standards of professional practice,
education, ethics and professional conduct for its
members and the broader property profession.
API Governance
API Corporate Governance Statement
The Australian Property Institute is committed to
implementing and maintaining an effective and
comprehensive Corporate Governance Policy,
and in turn, practices and procedures. The policy,
practices and procedures have been developed
in accordance with the Australian Standard ‘Good
Governance Principles’ (AS 8000-2003). This
statement has been published in the Annual Report
to ensure transparency in this Policy.
API Structure
Established on 5th November 1926 in Adelaide
under the name of the Commonwealth Institute
of Valuers, the Australian Property Institute is
incorporated under Associations Incorporation Act
1985 (SA).
The Australian Property Institute is a not-for-profit
organisation with individuals as members. Councils,
Boards, Committees and Staff are responsible to
the membership for the financial management of
the Institute.
The API operates in a federated environment under
a national structure, comprising a single legal entity
API Incorporated (API Inc) with seven Divisions
located across six States and one Territory. API
Inc. is also the controlling entity for API Ltd, API
Education Awards Trust and the API Research Trust.
The Institute’s Board of Directors is comprised of
members of API’s National Council. National Council
is the supreme policy making body of the Institute
responsible for overseeing the management and
operation of the Institute as a whole.
API Limited (API Ltd) is a Company Limited by
Guarantee, established in 1995 by API Inc. The
Directors of API Ltd are the National Councillors of
API Inc.
API Inc has established two Trusts as enabled in its
Constitution. These Trusts are as follows:
API Education Awards Trust established
in 1994 for the education, training and
development in the fields of valuation and
land economy.
API Research Trust established in 1994 to
facilitate the undertaking of scientific research
in the fields of valuation and land economy.
National Council is the supreme policy making body
of the Institute, and oversees the management
and operation of the Institute as a whole. Its board
members are directors of the API, and therefore,
National Council is effectively the Institute’s board
of directors.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 28
Leading the Property Professions API Overview
National Council has (through the Constitution) the
authority to delegate functional roles to other Boards
or Committees, and does so for the API’s National
Boards and Committees, in the key areas identified
in the Institute’s Strategic Plan; communication,
education, finance, governance, international,
membership and professionalism. National Council
is represented on all of the Institute’s National
Boards and Committees.
Institute Divisions are established to manage the
business of the Institute at the State and Territory
level. Divisions exercise the powers, duties and
discretions set out in the By-Laws, subject to the
control and policies of the National Council.
Board and Committee Members’ Duties and Responsibilities
Board and Committee member’s duties:
To fulfil their role in good faith with the best
interests of the Institute as a whole.
To act with care and diligence.
To exercise independence of judgment on all
matters.
Where a member becomes aware of a
conflict of interest, they are to declare that
conflict to the Board, and to refrain from
participating in any matters where that
conflict arises.
To serve the interests of the particular Board
of which they are a member.
To preserve the interests of the Institute
nationally when considering issues.
To be aware and supportive of the Institute’s
values and strategies.
To ensure compliance with applicable laws.
One such law with particular and ongoing
relevance, due to the Institute being a
member serving organisation, is the Privacy
Act 1988 (Cth), which sets requirements for
dealing with personal information.
To ensure compliance with the Institute’s
Constitution, By Laws, Code of Ethics and
Rules of Conduct.
Within the applicable area of responsibility
to the member, make reasonable inquiries
to ensure the Institute is operating efficiently,
effectively and legally towards achieving its
goals.
The specific roles, responsibilities, and composition
of each of the Institute’s Board’s are detailed in the
Institute’s Constitution and By Laws, which are
available through the Institute’s website. Additionally,
the individual members of National Council and
the National Executive are detailed in this Annual
Report.
Operating Guidelines for each of the National
Board’s have been developed which outline the role
of the Board, and the responsibilities of its members.
These Operating Guidelines are accompanied by
a Declaration, which each Board member signs,
agreeing to abide by the Operating Guidelines.
Disclosure, Transparency and Accountability
The Institute maintains disclosure and transparency
in its financial situation by including accurate Financial
Reports in each Annual Report. The Financial
Reports are accompanied by an Independent Audit
Report, and Directors Report.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 29
Leading the Property ProfessionsAPI Overview
The Annual Report also discloses the Institute’s key
objectives for the year ahead, and any issues that
may be of concern or material to the membership.
Performance Review
The API has a formal and systematic process
in place to review the performance of senior
management and all staff. Performance reviews are
conducted annually. The National Executive reviews
the National Director’s performance based on both
national goals, and personal objectives that have
been set.
Each Board has a duty to periodically report
on its goals, achievements, and activities. The
performance of each Board is assessed on the
achievement of objectives from its Strategic Plan.
For any further information on the Institute’s
Governance, please contact the National Director.
Customers and Stakeholders
The API’s primary stakeholders are the Institute’s
members. Other stakeholders include property
professionals, kindred organisations, industry,
investors and the general community.
Funding Arrangements
The API is a not-for-profit organisation. Revenue
is generated from a number of sources including
membership fees and product sales.
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 30
Leading the Property Professions API Organisational Structure
National Council
TThe API’s focus and strategic direction is determined by the National Council.
The National Council is comprised of the National President and National Councillors. All
appointments are on a voluntary basis with Councillors appointed from each State and Territory
across Australia.
API’s National Councillors in 2010 were (with portfolio responsibilities as at 31 December 2010):
API Organisational Structure
Councillor Division Membership Class Role
Nick McDonald Crowley ACT FAPI
National President
Governance
Finance
Philip Western NSW FAPISenior Vice-President
Finance
Chris Plant VIC FAPIJunior Vice-President
Education
David Moore WA FAPIImmediate Past President
International
James Pledge SA FAPI
National Councillor
International
Contact Management System
Cameron Harris QLD FAPINational Councillor
Professional
Andrew Cubbins TAS FAPINational Councillor
Future Valuations Taskforce
John Forsythe VIC FAPINational Councillor
Communications
Jim Eager NSW FAPINational Councillor
Legal and Governance
Clyde Eastaugh TAS LFAPIAdditional Councillor
Future Professionals Program
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 31
Leading the Property ProfessionsAPI National Office
The API’s National Office provides the API National President, National Councillors and National Boards and
Committees with high levels of administrative and strategic support. It also produces a range of educational
and professional seminars and programs, products and publications for national distribution to API members
through the Institute’s local, national and international network. National Office will also manage and coordinate
the Institute’s new Content Management System, including the membership database and website.
The contact details for API National Office are:
6 Campion St
Deakin ACT 2600
Tel: 02 62822411
Fax: 02 62852194
API National Office
Staff Member Position Responsibilities
Grant Warner National Director Governance & International Affairs
Tony McNamara Professional Standards Manager Professional & Technical Standards
Sally Allen Education Director Education & Membership
Andrew Tregenza Finance Manager Finance
Phil Turner Communications Manager Communications & Marketing
Joel Leslie IT Manager Information & Communication Technology
Alec Ellis Graphic Designer Graphic Design
Tamara Lloyd Executive Assistant National Director, National Council
Barbara Jones Reception/Administrative Assistant National Office
Davide Lucchetti Finance Officer Accounts Payable
Shadreck Zinyemba Finance Officer Financial Accounting
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 32
Leading the Property Professions API Divisional Offices
API Divisional OfficesAPI-ACT Division
PO Box 145
CURTIN ACT 2605
6 Campion Street
DEAKIN ACT 2600
Ph: (02) 6282 5541
Fax: (02) 6282 5536
Email: [email protected]
API-NSW Division
Level 3,
60 York Street,
Sydney NSW 2000
Telephone: 02 9299 1811
Facsimile: 02 9299 1490
Email: [email protected]
API-QLD Division
PO Box 106
SPRING HILL QLD 4004
Suite 202, Level 2, 131 Leichhardt Street
SPRING HILL QLD 4000
Ph: (07) 3832 3139
Fax: (07) 3839 0438
Email: [email protected]
API-SA Division
PO Box 246
KENT TOWN SA 5071
5a, 15 Fullarton Road
KENT TOWN SA 5067
Ph: (08) 8132 0092
Fax: (08) 8132 0480
Email: [email protected]
API-TAS Division
PO Box 745
HOBART TAS 7001
Level 5
144 Macquarie St
HOBART TAS 7000
Ph: (03) 6223 3011
Fax: (03) 6223 3022
Email: [email protected]
API-VIC Division
10 Beach Street,
Port Melbourne VIC 3207
Telephone: 03 9644 7500
Facsimile: 03 9646 4635
Email: [email protected]
API-WA Division
PO Box 502
SOUTH PERTH WA 6951
27 Charles Street
SOUTH PERTH WA 6151
Ph: (08) 9474 2784
Fax: (08) 9474 1157
Email: [email protected]
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 33
Leading the Property Professions
Divisional Presidents & Executive Officers (at 31 December 2010)
Divisional President Executive Officer
API – ACT Division Robert Smythe Cathy Sirel
API – NSW Division Robert Hecek Gail Sanders
API – QLD Division Michael Hefferan Andrew Bell
API – SA Division Mark Kay Moira Mundy
API – TAS Division Tim Grant Melanie McMeekin
API – VIC Division Steve Simpson Amy Guy
API –WA Division Ross Hughes Gail Walker
Divisional Presidents & Executive Officers
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 34
Leading the Property Professions API Membership
API MembershipThe table below shows API membership numbers at 31 December 2010.
Division: ACT NSW QLD SA TAS VIC WA National Total
Members
Life Fellows 2 15 6 5 4 8 6 46
Fellows 27 449 125 53 20 190 69 933
Associates 100 1,764 1,138 307 70 1,086 588 5,053
Provisional Members 10 38 31 54 6 102 7 248
Graduates 3 153 20 103 6 28 53 366
Provisional Associates 0 90 2 1 0 4 2 99
Retired 1 52 24 19 3 51 10 160
Non-Practicing 5 64 44 17 5 44 21 200
Student 13 462 283 57 11 265 36 1,127
Honorary 0 4 5 1 0 4 0 14
Total 161 3091 1678 617 125 1782 792 8246
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010 PAGE 35
Leading the Property ProfessionsIn Memoriam
In Memoriam
It is with sadness that we report on the passing of
Dr Tom Whipple in January 2010, Life Fellow of the
Australian Property Institute.
Dr Tom Whipple was both a leading property
academic and author in the Western world and had
been for some 25 years.
In 1949, he started his professional life by joining
the Commonwealth Bank of Australia, where he
gained experience in Mortgage Financing and Real
Property Conveyancing.
For the next 15 years, he continued to explore real
estate and real estate consulting, holding varying
roles and positions that would allow him to travel
to destinations in South-East Asia, South and East
Africa, even Hawaii.
Dr Whipple was admitted as an Associate of the
Commonwealth Institute of Valuers in July 1960. He
was elevated to Fellow in February 1984.
His academic accreditation includes a Ph.D.,
Diploma and Master of Town and Country Planning,
all of which were gained at the University of Sydney.
His academic standing has been recognised
internationally through being Visitor by Invitation
to the University of Cambridge and Aberdeen,
England and Visiting Fellow, Princeton University,
New Jersey and the University of Wisconsin, USA.
In 1982 he launched the Postgraduate Course in
Land Economy and in 1989 was appointed as the
inaugural Professor in Valuation and Land Economy
at Curtin University of Technology, Perth. On his
retirement from the chair academic recognition was
granted by elevation to Emeritus Professor in 1998.
Published books include Property Valuation and
Analysis 1995 and Urban Renewal and the Private
Investor 1971. He also edited Real Estate Valuation
Reports and Appraisals, Accounting for Property
Development and Commercial Rent Reviews – Law
and Valuation Practice for the Law Book company.
Other publications and significant papers are too
numerous to list, many of which are used in America,
England and New Zealand as well as Australia.
Tom had been an active member of the Institute for
many years. In particular he had been a member of a
team that set up the Property Education Foundation
and had served it as both Secretary and Member of
the Board of Trustees.
Tom developed the Property Course in Western
Australia to its current standard. He had done this
by working closely with both the Institute and the
property industry thus ensuring its current relevance.
He had given unstintingly of both his time and
knowledge and had always been available to give
papers to Continuing Professional Development
seminars and other occasions.
By his leadership and example Emeritus Professor
Dr Reginald Thomas Milner Whipple had shown
himself to be a worthy recipient of an Australian
Property Institute Life Fellowship.
Obituary: Emeritus Professor Doctor Reginald Thomas Milner Whipple LFAPI
AUSTRALIAN PROPERTY INSTITUTE ANNUAL REPORT 2010PAGE 36
Leading the Property Professions API Organisational Chart
National Council
National Office
National Director & Staff
National Boardsand Committees
National Education Board
National Finance Board
National Professional Board
Australian Valuation andProperty Standards Board
International Committee
Communications Committee
Standing Committee onSustainability & the Environment
National Task Forces
API Divisions
ACT NSW QLD SA TAS VIC WA
DivisionalCouncil
DivisionalCouncil
DivisionalCouncil
DivisionalCouncil
DivisionalCouncil
DivisionalCouncil
DivisionalCouncil
ExecutiveOfficer& Staff
ExecutiveOfficer& Staff
ExecutiveOfficer& Staff
ExecutiveOfficer& Staff
ExecutiveOfficer& Staff
ExecutiveOfficer& Staff
ExecutiveOfficer& Staff
API Organisational Chart
Australian Property InstituteAustralian Property Institute
6 Campion StreetDeakin ACT 2600
Telephone: 02 6282 2411Facsimile: 02 6285 2194
Email: [email protected]
Au
stralia
n P
rop
erty In
stitute
- An
nu
al R
ep
ort 2010
ReportAnnual 2010