As specialist commercial property surveyors, we conduct surveys nationwide for clients considering commercial property acquisitions, particularly industrial estate and portfolio purchases.
Pre-acquisition surveys form an essential part of the due diligence process and can be as detailed as you wish.
Time is often of the essence, especially with more popular properties, since the information provided in the acquisition survey report is often used to evaluate or support a purchasing decision when other parties might also be considering the same investment.
Therefore, we prioritise pre-acquisition surveys accordingly, so that we can mobilise within the shortest possible timescales and deliver meaningful and comprehensive reports ahead of competing bidders, providing you with a strong advantage in your negotiations.
It is vital that advice provided by the pre-acquisition survey report is clear and concise, concentrating not only on the buildings , but also on the actual investment and factors that might affect it, such as potential dilapidations, potential landlord costs, neighbouring properties, road networks, potential reinstatement costs, suggested improvements etc.
Then there is the issue of confidentiality.
When surveys are being conducted across an entire portfolio, tenants are bound to ask questions, so we place great emphasis on ensuring that those questions are answered with the utmost discretion and with the aim of reducing the natural suspicion surrounding such issues.
Commercial Property Pre-Acquisition Surveys – Example Project
We have been involved the acquisition of many multi-let industrial estates and large distribution centres at different locations throughout the country.
The clients needed to understand the full implications of the purchase and we therefore undertook a standardised approach that includes:
- Initial condition survey of all units with particular emphasis on roofs.
- Preparation of asbestos registers for those properties not previously surveyed
- Condition survey of all roads within the estates
- Preventative Maintenance plan and forecast for the next 5 years for each estate
- Suggestions for estate improvement
- Suggestions for re-branding (including CGI visualisations)
- Report on all leases – including expiry dates, covenant assessment and dilapidations appraisal
- Reinstatement valuations for insurance purposes
The resultant reports are extremely comprehensive and provide the clients with a snapshot assessment of the new investments, allowing them to plan for improvement, maintenance, insurance and dilapidations.
As the retained building surveyors, we also able to advise on all aspects of the investment and work with the landlords to ensure that they receive maximum return with carefully managed on-going maintenance and/or improvement works.
The service doesn’t end with the production of a report following the pre-acquisition surveys.
Instead, we meet with the investors and present our findings personally, going through each estate in turn to provide a down-to-earth assessment of our findings in layman’s terms.
This is far more beneficial to the potential investors as it provides an objective viewpoint directly from the building surveyors who visited the site and formed their own impressions of the potential investment.
This is the part that is always missing from formal reports, but our clients tell us that the “informality” of this approach proves invaluable.
Our experience in this area is vast and we can usually achieve huge savings for our clients, who are often able to negotiate more favourable purchasing terms based on our advice.
We are presently working with several fund managers assisting them by providing detailed pre-acquisition surveys nationwide.
If you are looking for professional and experienced commercial property advisers, to act in your best interests and deliver the returns you need from your commercial property portfolio, please call Bob Street or David Carter on 0121 711 7110 for an initial and informal discussion without obligation.