3 Tips for Commercial Due Diligence

All buildings require maintenance and repairs. Commercial properties on the market may have hidden issues, especially if they have been vacant for awhile. These properties, especially require the detailed eye of a professional building and site inspector. One cannot always see what lies beneath the surface.

Infill redevelopment is on the rise and older buildings like the former naval hospital in Charleston, South Carolina, are undergoing renovations. New building materials can be damaged before a leaky roof is discovered.

3 Tips for commercial due diligence for potential purchasers:


Obtain a Property Condition Assessment (PCA) from an experienced, reputable building inspection team. Find a team of experts to rely on, now and in the future.


Ask that the building systems be thoroughly inspected by a professional, who will climb on the roof and inspect all roofing systems on site (not all PCA's include a rooftop inspection); and


Request that a Phase I Environmental Site Assessment (ESA) also be conducted along with the PCA (this is the only way to detect potential or existing environmental contamination liability). If the Phase I should reveal a contamination issue, decisions can then be made whether to proceed with further investigation with a Phase II ESA, where soil samples are analyzed for hazardous substances.

Hint for Hiring Commercial Building Inspection Team: Check out the work truck and ladders the building inspectors use before hiring. If they don’t carry a couple of tall ladders, they might not walk roofs.

For more information about Property Condition Assessments (including rooftop inspections) and Phase I Environmental Site Assessments, please visit:

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