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Elements and Performance Criteria

  1. Formulate contract specifications.
  2. Undertake due diligence review.
  3. Develop investment contract.
  4. Evaluate investment contract.

Required Skills

This section describes the essential skills and knowledge and their level required for this unit

Required skills

communication skills to negotiate contract arrangements obtain feedback and consult with clients

computing skills to access the internet and web pages prepare and complete online forms lodge electronic documents and search online databases

evaluation skills to analyse contract information and specifications assess feasibility study outcomes and review contracts

interpersonal skills to relate to people from a range of social cultural and ethnic backgrounds and varying physical and mental abilities

literacy skills to interpret written and oral information

management skills to plan contract development processes achieve contract objectives and make decisions about impact of due diligence outcomes on feasibility study

organisational skills to manage consultative processes and determine appropriate timeframes

Required knowledge and understanding

commercial and contract law

due diligence processes

economics as they relate to the property industry

feasibility studies

limitations of work role responsibility and professional abilities

property appraisal methods and interpretation of findings

relevant Australian standards

relevant federal and state or territory legislation and local government regulations related to

antidiscrimination

consumer protection

environmental issues

equal employment opportunity EEO

financial probity

franchise and business structures

industrial relations

OHS

privacy

property sales leasing and management

risk management strategies

strategic management principles and practices

strategic planning

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria required skills and knowledge the range statement and the Assessment Guidelines for this Training Package

Overview of assessment

This unit of competency could be assessed through practical demonstration of managing the development and performance of a property investment contract Targeted written including alternative formats where necessary or verbal questioning to assess the candidates underpinning knowledge would provide additional supporting evidence of competence The demonstration and questioning would include collecting evidence of the candidates knowledge and application of ethical standards and relevant federal and state or territory legislation and regulations This assessment may be carried out in a simulated or workplace environment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

A person who demonstrates competency in this unit must be able to provide evidence of

interpreting and applying applicable legal ethical and organisational requirements

evaluating the property investment contract against contract specifications due diligence and feasibility outcomes and documenting conclusions for future strategic goals and policies

knowledge of organisations practices ethical standards and legislative requirements associated with managing the development and performance of a property investment contract

preparing a property investment contract within agreed timeframes and ensuring the interests of the client are protected

undertaking a due diligence review against feasibility study and negotiating required variations to study or contract

using effective communication strategies to formulate property investment contract specifications

Context of and specific resources for assessment

Resource implications for assessment include

a registered provider of assessment services

assessment materials and tools

candidate special requirements

competency standards

cost and time considerations

suitable assessment venue and equipment

workplace documentation

Where applicable physical resources should include equipment modified for people with disabilities

Access must be provided to appropriate learning andor assessment support when required

Assessment processes and techniques must be culturally appropriate and appropriate to the language and literacy capacity of the candidate and the work being performed

Validity and sufficiency of evidence require that

competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace

where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision of competence only taken at the point when the assessor has complete confidence in the persons competence

all assessment that is part of a structured learning experience must include a combination of direct indirect and supplementary evidence

where assessment is for the purpose of recognition RCCRPL the evidence provided will need to be current and show that it represents competency demonstrated over a period of time

assessment can be through simulated projectbased activity and must include evidence relating to each of the elements in this unit

In all cases activity and must include evidence relating to each of the where practical assessment is used it will be combined with targeted questioning to assess the underpinning knowledge Questioning will be undertaken in such a manner as is appropriate to the language and literacy levels of the candidate and any cultural issues that may affect responses to the questions and will reflect the requirements of the competency and the work being performed


Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording in the performance criteria is detailed below. Add any essential operating conditions that may be present with training and assessment depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts.

Investment may include:

concepts and plans

strategies and placement of capital in property for investment

productive use of property and assets

customer service outcomes.

Negotiated refers to negotiation techniques that should include:

clearly presenting options and consequences

control of tone of voice and body language

demonstrating flexibility and willingness to negotiate

using positive, confident and cooperative language

using language and concepts appropriate to the people involved

using strategic questioning and listening to gather information and direct the focus of people involved

using summarising of positions and agreements to move understanding.

Relevant people may include:

agents

clients

company directors

consultants, including legal, banking, financial architectural, engineering, surveying, environmental, valuation, planning and insurance

governing body

government personnel

management and colleagues

members of industry associations

property or facilities owners and managers.

Communication strategies may relate to:

clear and concise use of technical terminology

direct line supervision paths

face-to-face meetings

lateral supervision paths

organisational communication protocols and procedures

organisational networks

telephone, facsimile and written communication.

Analysis:

may be:

explorative, descriptive, causative or predictive

quantitative and qualitative

may include:

basic statistical analysis

critical analysis

mathematical calculations

problem solving.

Relevant information may include information relating to:

financial, accounting and taxation records

insurances

leases

legal information relating to the property, including current claims, court actions, trade mark issues, prior charges and current ownership structures

licences

maintenance contracts

ownership, operational and adjoining owners' agreements

plans, photos and other property documentation

plant and equipment

property details

property investment feasibility study

remedial and contamination issues

research into investment market, demographics, competition and development proposals

technical issues, including:

building specifications

quantity surveyor's reports

statements of defects

building permits

structural, mechanical, electrical, hydraulic and fire services and protection

air conditioning and ventilation

refrigeration

vertical transport

asbestos

valuations.

Strategic context may include:

competitive

cultural

financial

legal aspects of organisational functions

operational

political

social.

Consultants may be sourced from the following sectors:

architectural

banking

engineering

environmental

financial

insurance

legal

planning

surveying

valuation.

Organisational requirements may be outlined and reflected in:

access and equity principles and practice guidelines

business and performance plans

complaint and dispute resolution procedures

goals, objectives, plans, systems and processes

legal and ethical requirements and codes of practice

mission statements and strategic plans

OHS policies, procedures and programs

policies and procedures in relation to client service

quality and continuous improvement processes and standards

quality assurance and procedure manuals.

Legislative requirements may be outlined and reflected in:

Australian standards

general duty of care to clients

home building requirements

privacy requirements

relevant federal, and state or territory legislation that affects organisational operation, including:

anti-discrimination and diversity

environmental issues

EEO

industrial relations

OHS

relevant industry codes of practice covering the market sector and industry, financial transactions, taxation, environment, construction, land use, native title, zoning, utilities use (water, gas and electricity), and contract or common law

strata, community and company titles

tenancy agreements

trade practices laws and guidelines.

Due diligence means:

the process by which an investor, lawyer, consistent auditor or other qualified person, verifies the accuracy of data provided by another organisation.

Due diligence review may relate to:

financial issues, such as taxation and accounting

legal issues, such as current claims, court actions, trademark issues and prior charges

legal searches

planning and development

property documentation, including agreements, contracts, leases, valuations, authorities, plans and maintenance

research conducted on such things as demographics and competition

technical issues

tenancy analysis

town planning.

Feedback may include:

formal and informal discussions, reviews and evaluations with:

colleagues and directors

existing and previous clients

information provided by others involved in a professional capacity, both internal and external to the organisation.

Specialist advice may be sought from:

clients and stakeholders

company directors

governing body

management and colleagues

relevant consultants, including legal, banking, financial, architectural, engineering, surveying, environmental, valuation, planning and insurance.

Evaluation methods could be qualitative or quantitative and may include:

checklists

cost data analysis

expert and peer review

interviews

observation

questionnaires

review of quality assurance data.