• Office properties are typically assessed using the income approach to value, which estimates the value of a property based on the income it generates. Most office properties are developed and operated based on their income- generating capabilities relative to prevailing macro-economic trends and positioning within their respective geographic trade area.
  
  Income approach involves developing typical market rents, vacancies, expenses, and capitalization rates to estimate value of the fee simple estate.

Office properties may be assessed based on their underlying land value if the value of the vacant land exceeds the income value of the existing structure.​ As a result, the land value more accurately represents market value. Land values are derived using the sales comparison approach.

Typically, there are three instances where income generating properties tend to be valued in this manner: low demand for the product, underutilized land, and highly depreciated improvements.

Underutilized Land:

This occurs when a property contains a small improvement relative to the overall building potential of the lot. Alternatively, the land use of the site may allow for greater development potential.

Highly Depreciated Improvement:

This occurs when a structure is nearing the end of its economic life. As an asset ages, it tends to generate less income and higher operating costs over time, and thus contributes little to no value.

An office property would typically not be assessed based on land value if it was given a heritage designation by any level of government which restricts the redevelopment of the property. 

The sales comparison approach, also known as the direct comparison approach, is used to determine market value by comparing the sale prices of similar properties to the subject being valued.

Office Condos, House Conversions, and Land are typically valued using the sales approach as there is usually a high percentage of sales relative to the total property inventory. Components affecting the value include unit layout, location, size, age, and quality.

Cost approach has been used to estimate assessed values of partially developed office properties. Improvement values are determined by the degree of completion of construction of the property as of the physical condition date of the assessment year. Land Values are derived from sales of comparable land properties. Data centres are also valued using this approach because they are unique, purpose-built, or have limited market data to lend comparability.