WE AT the RICS are urging firms throughout the region not to buy or lease a commercial property without commissioning a building survey from a chartered surveyor first. With the recent extremes in the weather and bank balances generally depleted, it is essential that businesses make sure they are adequately protected and check that their insurance covers all the potential risks to which they might be exposed to the full extent of any potential claims.
Before signing for commercial property, a building survey provides a report on the condition of a building, both internally and externally, which identifies any urgent repair requirements or future concerns that there may be.
Leases usually require tenants to keep premises in good order.
By law, this means that, if the premises are in disrepair, substantially or hardly at all, the tenant must put them into repair.
This can impose a large liability and burden on a new tenant.
In my opinion, it is very important that anyone taking on a building to expand their business consults a surveyor to advise upon the condition, the likely cost of any repairs and the repairing clauses in the proposed lease, if necessary drawing up what is called a schedule of condition.
I know from personal experience when acting for tenants at the end of the lease how painful this can be if the tenant has not prepared for this outcome.
While a survey might act as evidence further down the line, should a landlord try to make a firm pay for work that they don’t think is justified, a chartered surveyor will assist in preparing a formal record or schedule of the building’s condition to protect the tenant.
When commissioning a building survey, RICS recommend that all businesses use an RICS member and must tell their surveyor the purposes of the survey and its scope.
He or she will not report in detail on the likes of the premise’s heating and electrical equipment or the underground drains unless asked to do so.
Therefore, if these items need to be covered, the surveyor must be clearly instructed and they will then arrange to bring in the appropriate experts for you.
