Do you really need due Diligence reports?
That’s the question that some commercial buyers have had and we’re here to answer those questions.
Now it’s true, our company provides due diligence reports, so we are bias. The reason a property condition report (PCR) is so important is that it consists of the building equipment, systems, the finishes, their current useful life and then a cost analysis to help you as the buyer understand the maintenance and replacement. Now that’s a big help considering if you’re a landlord and your tenants go belly up. If that’s the case, and we hope it isn’t, but let’s be real it may, at least now you know exactly the costs.
So that’s another question, how do the cost tables even work?
Using typical pricing for construction, the type of costs will be broken down per year and can be converted over 12 months. For you the buyer, that’s important to understand! Structural issues, foundation, plumbing, electrical, roof leaks and so forth, can be conditions of the building you are purchasing. we gather that data with photo documentation and include it in the reports.
What we know from speaking to many property owners of commercial real estate is the larger the investment, the larger the responsibility. And that’s where the property condition report (PCR’s) can help you.
Now you want to know the cost for a PCR report.
That varies on the size of the building, or the quantity of the buildings, and the distance from our offices. So with that being said, call us today and let one of our engineers answer that one.