Module 5 - INREV NAV

Across different types of vehicles, the bottom line of performance is net asset value (NAV). 

Both investors and managers seek an approach to calculating NAV that is consistent across the real estate industry, as the application of different accounting standards has led to inconsistency in calculating an adjusted NAV.

The INREV NAV improves transparency and comparability of performance across different types of investment vehicles by providing a standard for calculating NAV. The INREV NAV has been constructed to reflect a more accurate economic value of the investment . It is based on the fair value of the underlying assets and liabilities - as at the balance sheet date, as adjusted for the spreading of costs-that will benefit different generations of investors,  compared to an NAV based solely on generally accepted accounting principles.

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