Modification History
Not Applicable
Unit Descriptor
Unit descriptor |
This unit of competency specifies the outcomes required to manage the development and performance of a property investment contract. It requires the ability to negotiate contract specifications and undertake a due diligence review against an investment feasibility study. The unit may form part of the licensing requirements for persons working in the property industry, including in the real estate, business broking, stock and station agency and property operations and development sectors, in those States and Territories where these are regulated activities. |
Application of the Unit
Application of the unit |
This unit of competency supports the work of those involved in managing the development and performance of a property investment contract. |
Licensing/Regulatory Information
Refer to Unit Descriptor
Pre-Requisites
Prerequisite units |
Nil |
Employability Skills Information
Employability skills |
The required outcomes described in this unit of competency contain applicable facets of employability skills. The Employability Skills Summary of the qualification in which this unit of competency is packaged, will assist in identifying employability skills requirements. |
Elements and Performance Criteria Pre-Content
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the required performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge and/or the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
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1 Formulate contract specifications . |
1.1 Investment contract specifications are negotiated and formulated in consultation with relevant people . 1.2 Communication strategies and processes are established and implemented to assist ongoing communication between contract parties. 1.3 Analysis is made of relevant information and legislation to provide strategic context to investment objectives. 1.4 Instructions are issued to consultants to prepare draft contract. 1.5 Applicable ethical, organisational and legislative requirements are interpreted and applied. |
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2 Undertake due diligence review . |
2.1 Instructions are issued to relevant consultants to undertake due diligence review for assessment against feasibility study. 2.2 Impacts of due diligence review are documented and assessed against feasibility study outcomes. 2.3 Variations to feasibility study are identified and a decision made to proceed, renegotiate or withdraw as required. 2.4 Required variations to contract are negotiated and agreed between parties to reflect outcomes of due diligence process. |
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3 Develop investment contract . |
3.1 Contract is prepared in appropriate style and format ensuring compliance with contract specifications and due diligence outcomes. 3.2 Contract is reviewed to ensure accuracy of information and is disseminated to relevant people for feedback . 3.3 Contract text is amended to include feedback from client in line with organisational policy and procedures. 3.4 Situations requiring specialist advice are identified and addressed. 3.5 Contract is finalised and settlement effected according to agreed timeframes. |
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4 Evaluate investment contract . |
4.1 Contract is reviewed using established evaluation methods relative to contract specifications. 4.2 Reliable evaluation methods are used, making efficient use of time and resources. 4.3 Verifiable conclusions are detailed with due diligence and according to feasibility outcomes. 4.4 Comments and recommendations are made available for review and reformulation of strategic goals and policies. 4.5 Information is securely maintained with due regard to client confidentiality, and legislative and organisational requirements. |
Required Skills and Knowledge
REQUIRED SKILLS AND KNOWLEDGE |
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This section describes the essential skills and knowledge and their level, required for this unit. |
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Required skills :
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Required knowledge and understanding :
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Evidence Guide
EVIDENCE GUIDE
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 candidate's underpinning knowledge would provide additional supporting evidence of competence. The demonstration and questioning would include collecting evidence of the candidate's 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:
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Context of and specific resources for assessment |
Resource implications for assessment include:
Where applicable, physical resources should include equipment modified for people with disabilities. Access must be provided to appropriate learning and/or 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:
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
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: |
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Negotiated refers to negotiation techniques that should include: |
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Relevant people may include: |
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Communication strategies may relate to: |
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Analysis : |
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Relevant information may include information relating to: |
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Strategic context may include: |
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Consultants may be sourced from the following sectors: |
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Organisational requirements may be outlined and reflected in: |
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Legislative requirements may be outlined and reflected in: |
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Due diligence means: |
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Due diligence review may relate to: |
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Feedback may include: |
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Specialist advice may be sought from: |
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Evaluation methods could be qualitative or quantitative and may include: |
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Unit Sector(s)
Unit sector |
Property development, sales and management |
Competency field
Competency field |
Property operations and development |