Technical Due Diligence for vendors, purchasers or prospective lessees
Taking a lease for a building or space is a huge financial investment for a business, and modern leases laden with clauses making a tenant liable for aspects of insurance, repair and maintenance of the building, as well as reinstatement at lease end. In addition to these, you may have plans for a fit out which may or may not be feasible for the space you are taking. The best way to protect from these issues is to gain a professional assessment of the property, which will be inspected physically in line with your specific needs to ensure that the space will suit your operational and fit out requirements, and identify any issues with the building which affect you under the lease so that appropriate protection from major costs being incurred during the lease can be put in place with your legal team.
Gaining a full understanding of an asset prior to purchase is critical in deciding whether to proceed with a purchase. Cardoe Martin
Vendors pre-disposal survey
The benefits of a survey prior to purchase are well understood, however surveying prior to selling less so. Accordingly, many properties enter the market with defects and issues laid open for a diligent acquisition surveyor to identify and give purchasers the upper hand in negotiation. The purpose of a vendor’s survey is to appraise the property before going to market and demonstrate to a potential purchaser that you have considered any issues in your market price, or to have the opportunity to address issues and present your asset in the best possible light to achieve maximum return on investment.
FREQUENTLY ASKED BUILDING SURVEY QUESTIONS
What does a full commercial building survey include?
This is a detailed report, carried out prior to a purchase or new lease, and involves the thorough inspection of all easily accessible areas of a property. It will confirm the type of construction, identify any defects or future risks that may compromise the building’s integrity and assess the general condition. A schedule of defects will be provided as will a schedule of queries. This is usually a list of points that need clarification from the seller to prevent future misunderstanding or transference of risk.
What is a RICS building survey?
This is the most comprehensive report available. It is intended for large scale properties, older or historical ones or when major works are planned. It particularly advises on defects, repairs and future maintenance.