Why You Need a Building Inspection on Your Property
If you are planning to buy, lease, or sell a commercial building, you may wonder whether you should complete a building inspection. You may assume that because the property is new, you do not need one. Or the city may have provided a code inspection, so you feel it is not necessary. But, a building inspection is often critical and can end up saving you time and money down the road.
At Commercial Real Estate Inspectors, LLC, we provide comprehensive inspections on commercial properties throughout Southern California. We have decades of experience and will provide you with a detailed report regarding needed repairs or maintenance and information about the expected lifespan of each system within the property.
The Importance of a Building Inspection
Yes, you do need a building inspection. When you purchase, sell, or lease a property, you are likely making the most expensive venture of your life, or at least a very substantial one. It only makes sense to have a professional examine it for you. A professional who has no vested interest in telling you if something is good or bad.
How We Can Help
At Commercial Real Estate Inspectors, we recently completed a commercial inspection of a brand-new building in Downtown Los Angeles. The project was not completed, but the new buyers wanted us to go through it and tell them what we thought.
We had informed them ahead of time that we would NOT be doing a code inspection since that is the city’s job. The buyers understood but wanted a professional, other than the current contractor or the city, to look at everything and list out what still needed to be done and how well things were being done.
We found approximately $200,000 – $300,000 of work either not done or not done properly. We took pictures and provided a detailed report of the findings. We were then called in about a month later when the contractor said he was done. At that time, we found about $20,000 – $30,000 still left to do or not done to professional standards. Finally, we were called in about a month after that and found everything was done and done to professional standards. All of this cost the buyer less than $3,000. They said it was the best money they had ever spent.
How Much Does a Building Inspection Cost?
There is no standard rate for the cost of commercial building inspections because they vary from property to property. The cost will be determined by the size of your property.
On the lower end of the scale, building inspections for a small property might cost you anywhere between $200 to $300. For larger properties, the cost can range closer to $800 to $3,000.
But as mentioned above, building inspections are important not only because of health and safety but because they can alert you to any flaws in the structure, thus saving you money in future repair costs.
What Happens During An Inspection?
Usually, a building inspector will look at older buildings. Our company has inspected buildings dating as far back as the 1860s. But, no matter the age, we inspect them fully, which generally takes around 1-3 hours using at least two building inspectors, depending on size and complexity.
We gather our notes and take pictures and ensure we have everything we need to put together the report back in the office. We usually go through what we have found on the site with our clients if they are present or one of their representatives.
How Long Does It Take to Receive the Report?
We then assemble everything back at the office and usually email the report out that same day. However, it could take up to 3-5 days later, depending on the size and complexity of the site. We can usually do up to a 20,000 – 30,000 thousand sq. ft. office building in one day and get the report out that same day.
We let you know what we have found. We inform you what shape the building is in and how much you should expect to pay over the next five years for the building per industry standards.
What Are the Most Important Aspects of a Building?
There are generally six essential systems in any building. These are the most important aspects of the property.
The most important aspects of any building are:
- HVAC – (Heating, Venting, and Air Conditioning)
Our office reviews each of these systems and provides a detailed report about our findings. We do not include the costs of routine maintenance or any cosmetic issues, as this is up to the buyer or lessee.
Completing a Comprehensive RISK Assessment™
For each system, we assess several things. The assessment provides a complete picture of the property and the expected maintenance and repair costs needed now and in the foreseeable future.
For each essential system, we assess:
- What is the expected useful life left in the system per industry standards?
- What repairs/maintenance are needed now, and how much this will cost?
- What you should expect to pay over the next five years for each system.
These three things comprise what we refer to as our RISK Assessment™. It gets you the answer to the most important question that is asked regarding Commercial Real Estate – Namely – How Much? That is the question we can and do answer. We answer it per industry standards and consultation with local contractors.
We can tell you who we feel are reliable contractors. We have not found it workable to refer you to the cheapest contractors. This never seems to work out over the long haul. And we are in this for the long haul.