8. Land and Buildings In PPP Schemes
[This section will need complete revision once implications of change to IFRS become apparent.]
More Information
Introduction
Overriding Principles
Criteria for Judging Whether to Include Land in a PPP Scheme
Criteria
Ownership of the land prior to sale to the project company for subsequent resale: retained estate
Value obtained on disposal
Protection for surplus land value on early termination
Timing of sale of surplus land
Accounting for Land Sold to the Private Sector
Effect of overage
Where the land does not become available until later in the contract period
Land or Buildings Leased to the Private Sector Which Subsequently Form Part of the PPP Scheme
Options for land on completion of the primary period
Lease of Land Only
Land and Existing Buildings are Leased
Buildings integral to the PPP scheme
Worked Examples
Injection of donated land, buildings or other assets into a PPP Scheme
Residual Interests
Revaluation, Indexation and Impairment
Funding Implications
Capital charges
Worked Examples
Other Issues
Tax
Equipment
Further information
[ANNEXES]