International Accounting Standards: A paradigm shift for corporate real estate?

Abstract

This paper is concerned with International Accounting Standards (IAS) and their impact upon existing accounting practices for property within the UK. It also anticipates the wider international and European demands for IAS. There are two primary points to consider. First, the European Union (EU) has stated that it expects publicly listed companies quoted on the stock exchanges of EU member states to adopt International Accounting Standards by 2005. Others are encouraged to do so, with an implication that this will become mandatory at some future date. In earlier papers, the authors examined the recent changes within property accounting and the role played by property professionals within that process. This paper examines the requirements of international standards within the context of the British position as explained earlier. Differences are noted, the contrasting debates analysed and suggestions offered for corporate real estate professionals to consider. Secondly, unlike British Accounting Standards, IAS do not recognise property professionals or any professional organisation representing them, such as the International Valuation Standards Committee (IVSC), and none of their regulations are represented within the standards. This situation is examined, and commentary provided upon the repercussions and possible solutions.

Citation

Eccles, T. and Holt, A. (2001), "International Accounting Standards: A paradigm shift for corporate real estate?", Journal of Corporate Real Estate, Vol. 4 No. 1, pp. 66-82. https://doi.org/10.1108/14630010210811750