What is this?
Technical Due Diligence is an investigative process which makes it possible learn about the general state of a building, with the aim of minimising or limiting the risks in real estate transactions by analysing multiple aspects: the legal-administrative situation and compliance with the provisions, a purely technical assessment of the state of the building and of its installations, and an estimate of costs.
Technical Due Diligence can be complemented with additional studies which provide a more accurate and comprehensive view of the state of the building.
Whom does it target?
- Potential buyers, to evaluate the risk of their investment.
- The sellers, to provide added value to their sale.
- The existing owners, to reveal the current state of their building, and an evaluation of possible reforms.
What are the benefits?
- To confirm that the building is in compliance with the applicable provisions.
- To reveal the technical condition and the design of the property.
- To identify shortcomings in the building.
- To assure that the building is suitable for the planned use.
- To assess present and future costs which must be met by the owners to ensure that it is correctly maintained.
- To provide a substantial base for negotiating the price and locating the risks.
How is it done?
Based on a comprehensive study of the documentation available on the building and of the provisions applicable to it in each specific case – licences, projects approved by the body with jurisdiction, the legalisation of installations, the situation of the property in relation to current planning, its cataloguing, limitations should potential work be carried out – and on a visual inspection of the property, the result of the investigation is given form in a report which details the shortcomings detected, recommending possible solutions and making an estimate of the costs associated with those shortcomings.
EUROCONTROL has a multidisciplinary team of specialists in each of the areas involved in the Technical Due Diligence. Our experience and technical competency makes it possible for us to offer a customised service which responds to a client’s specific needs and is based on a working methodology which is adapted to each specific case.
The aspects analysed
An analysis of the documentation available on the building.
An analysis of the carrying capacity of the structure, and its stability: an inspection of the surrounding, the structural system, the building envelope and skin, the interior divisions and finishes, health standards and habitability.
An analysis of the state and of the maintenance operations of the following facilities:
- Electrical: high and low voltage, fire protection
- Mechanical: air conditioning, plumbing and drainage, lifting apparatus, solid, liquid and gaseous fuels, renewable energies, etc.
- ICT: telecommunications, domestic automation, building automation, security.