Criterium Engineers’ commercial building pre-purchase inspections guide our clients through the due diligence process. The inspections and the resulting reports, performed by licensed, Professional Engineers, inform the prospective buyer regarding important aspects of the property and may also assist in negotiating a purchase price, depending on what is found. All of Criterium’s reports conform to widely recognized national standards such as the American Society for Testing and Materials (ASTM), and Standard and Poor’s.
Every year, we assist prospective buyers in support of thousands of real estate transactions all across the country.
Our three inspection options are described in order of complexity:
Commercial Building Inspection (CBI) $
- A thorough, on-site visual inspection encompassing a property’s overall condition, focusing on all key building components and site improvements (structure, weather envelope, heating, ventilation, electrical, plumbing, storm drainage, paving and more), life safety issues and common environmental factors.
- A written report and captioned photographs detail our findings, highlighting building assets and strengths, as well as any deficiencies, potential problems we observe.
- The building’s current condition is clearly explained, so our clients can make confident, informed decisions about their purchase.
Enhanced Building Inspection (EBI) $$
- The same general scope as a CBI (outlined above) and a similar report.
- Includes review of available property documentation and interviews with available knowledgeable persons.
- Identifies needed short-term and long-term major repairs and replacements and a projection of associated capital budgets over a 10-year planning period. This helps prospective buyers anticipate cash flow requirements.
Property Condition Assessment (PCA) $$$
- The gold standard for commercial building inspections. Our most comprehensive inspection. Often required by lenders.
- Encompasses all work described above for a CBI and EBI, and provides more information and greater value.
- May serve as the starting point for more involved investigations to satisfy any special client-requested due diligence requirements, if needed.
- Includes research into known compliance and safety issues, including inquiries with municipal or county officials, or other controlling jurisdictions.
- More detailed engineer’s observations and findings for each component and system, and identifies deferred maintenance and significant deficiencies requiring further capital investment.
- A Property Profile summary table is included to easily reference key information.
- A Repair/Replacement Cost Table is included with three categories: Immediate for critical corrective actions; Short-Term for recommended year one work; and Long-Term for anticipated major expenditures. The length of the study period and level of detail is determined based on our client’s business needs.
- The third-party detailed information in a PCA provides a prospective buyer with an objective tool to advise sellers of property deficiencies and may assist in re-negotiation of purchase price.
Download our “Commercial Building Inspections: Three Options” sales sheet