Dilapidations Surveys

Dilapidations Surveys & Schedule of Dilapidations

Dilapidations Surveys & Schedules

ASL RICS Chartered Surveyors & Valuers

At ASL, our team of chartered surveyors provide RICS dilapidations services for both landlords and tenants. These lie among our commercial building surveys and commercial property valuations.

Whether for small shops or large industrial and office buildings, leases between landlords and tenants outline specific obligations for the repair, maintenance, and decoration of the property.

What is a Dilapidations Survey?

A Dilapidations Survey is a detailed inspection and assessment of a leased property, conducted to document its condition and identify any repairs or maintenance required under the terms of the lease agreement.

A Dilapidations Survey is an essential tool in managing property leases. It helps clarify a tenant’s repair obligations, and ensures a property is maintained to the agreed standard. It also plays a crucial role in avoiding disputes and protecting the interests of both landlord & tenants at the end of a lease.

When Is A Dilapidations Survey Needed?

Dilapidations surveys are most often commissioned towards the end of a lease, or upon lease renewal.

Key Components of a Dilapidations Survey

Condition Assessment: The dilapidations surveyor will conduct a thorough examination of the property, noting any damage, wear and tear, or deficiencies. This includes inspecting the building's structure, fixtures, fittings, and any alterations made by the tenant.
Lease Compliance Check: A comparison of the property's current condition with the standards set out in the lease agreement, including any specific obligations for repairs, maintenance, and reinstatement.
Schedule of Dilapidations: The findings from the survey are compiled into a document known as a Schedule of Dilapidations. This schedule details the items of disrepair, the required actions to remedy these issues, and estimates of the associated costs.
Negotiation Basis: The survey provides a factual basis for negotiations between the landlord and tenant regarding the responsibility for repairs and any financial settlements required to address the dilapidations.

Schedule of Dilapidations for Landlords

What Is A Schedule of Dilapidations?

Requested by a landlord, a Schedule of Dilapidations is a detailed document compiled following a dilapidations survey.

Purpose: to identify and document a tenant’s breaches of lease obligations, typically regarding repairs, reinstatement, or maintenance of the property, and their associated costs.

Focus: outlines what the landlord believes the tenant must rectify or compensate for. Often including items requiring repair or reinstatement, estimated costs for remedial works, and legal obligations as per the lease terms.

Outcome: used by landlords to negotiate settlements with the tenant or pursue legal action if necessary.

What Does A Schedule of Dilapidations Include?

Description of Disrepair: Detailed descriptions of any damage, wear and tear, or defects that need to be addressed.
Required Repairs: Specific actions that the tenant must take to rectify each issue, such as repairing, repainting, or replacing items.
Cost Estimates: Estimates of the costs associated with each required repair, which may be used to negotiate a financial settlement if the tenant is unable or unwilling to complete the repairs themselves.
Legal Basis: References to the specific clauses in the lease agreement that relate to the tenant's obligations for maintaining and repairing the property.

Benefits of a Schedule of Dilapidations for Landlords

Landlords are safeguarded ensuring tenants adhere to the lease terms, and return a property in good condition, ready for re-letting.
Property value is protected: a well maintained property, preserves value & appeal for future leases or sales.
Legal compliance & evidence: a detailed record of property condition, essential for negotiation, legally substantiating any claims for repairs or compensation at the end of a lease.
Accurate assessment of repairs: a professional assessment of required repairs or maintenance, ensuring tenants meet their obligations under the lease agreement.
Prevent tenant disputes: by providing clear, unbiased documentation of a property's condition & any necessary works.

Dilapidations Liability Assessments for Tenants

What Is A Dilapidations Liability Assessment?

Commissioned by a tenant to estimate potential costs for lease obligations such as repairs and reinstatements. A dilapidations liability assessment helps tenants budget, plan remedial work, or negotiate claims with their landlord effectively.

Purpose: to estimate a tenant’s potential liability under the lease for dilapidations.

Focus: provides the tenant with a realistic assessment of likely costs for repairs, reinstatements, and other obligations, insight into areas of potential dispute with the landlord, and a basis to negotiate with the landlord.

Outcome: helps tenants understand their position, challenge excessive claims, or plan remedial work to minimise liability.

What Does A Dilapidations Liability Assessment Include?

Review of lease obligations: analysis of lease terms to identify tenant responsibilities for repairs, reinstatement, and maintenance.
Property inspection: a survey to assess the condition of the premises and identify areas of non-compliance with lease terms.
Schedule of works & cost estimates: a list of required remedial actions and potential costs, of repairs, reinstatements, or other obligations.
Strategic advice: to minimise liability, challenge excessive claims, or negotiate settlements with the landlord.

Benefits of a Dilapidations Liability Assessment for Tenants

Facilitates negotiation: a foundation for negotiating fair settlements, with repair claims based on professional, impartial assessments rather than subjective judgments by landlords.
Documentation of condition: a detailed record of property condition at the beginning of a lease, protecting tenants from unfair claims for pre-existing conditions.
Minimises tenant liability: potential issues can be identified early, allowing tenants to address maintenance responsibilities before they escalate.
Repair cost management: to avoid unexpected expenses at the end of the lease term.

Different Types of Dilapidations Surveys

By ASL RICS Dilapidations Surveyors

The different categories of dilapidations help landlords manage their properties effectively, ensuring they are maintained and returned in a condition suitable for continued use or re-letting. Dilapidations surveys also help ensure that tenants fulfil their lease obligations and provide a fair basis for any claims related to property condition at the end of the lease term.

Schedule of Dilapidations

A Schedule of Dilapidations is a detailed survey typically conducted towards the end of a lease to outline a tenant’s responsibilities for repairs, maintenance, and their obligations to return a property to its original condition, per the lease terms. It will detail required repairs, replacements, and other remedial actions.

The process starts with reviewing lease terms on repairs, reinstatements, and alterations, followed by a detailed inspection of the property’s structural and cosmetic elements. This approach ensures all repair obligations are identified, safeguarding the landlord’s investment and clarifying tenant responsibilities.

Interim Dilapidations

Carried out during the lease term, interim dilapidations surveys assess the current state of the property to ensure compliance with the lease terms. It serves as a proactive measure to maintain the property and manage obligations.

This type of survey can help tenants address issues early, potentially reducing costs and disputes at the end of the lease. In the event of a tenant not maintaining the property as per the lease agreement, an interim dilapidation schedule can be issued to rectify these issues for the landlord, while the lease is still active.

Terminal Dilapidations

Terminal dilapidations are conducted at the end of a lease to identify any breaches of the lease terms related to property condition. It involves a thorough assessment of the property to identify any damages or alterations that the tenant needs to address before vacating.

The aim is to ensure that the property is returned in a condition that complies with the lease terms, typically “in repair,” “decorated,” and “clean.”

Final Dilapidations

Final dilapidations involve the final assessment and settlement after the tenant has vacated the property. This determines the financial compensation required from the tenant if they fail to carry out necessary repairs or maintenance as per the lease agreement. It includes the cost of repairs, reinstatement of any alterations made by the tenant, and potentially loss of rent if the property cannot be re-let immediately.

Reinstatement Survey

If tenants have made alterations or improvements during their tenancy, a reinstatement survey determines what changes need to be undone, restoring the property to its original state, unless otherwise agreed upon. This survey ensures compliance with lease terms that may require the removal of tenant modifications.

Manage Lease Negotiations Safely & Fairly with ASL

ASL’s team of RICS dilapidations surveyors provide reliable surveys, reports and advise on all aspects of dilapidations.

Our extensive experience in the commercial sectors allows us to minimise dilapidations claims when defending a tenant and maximise settlement returns when acting on behalf of a Landlord.

Why Choose ASL Chartered Surveyors & Valuers?

Expertise & RICS Certification

Our accreditation, extensive experience, in-depth knowledge of the commercial property market, ensures you receive the highest service with every valuation.

Comprehensive & Transparent Reports

We deliver clear and concise reports providing a complete picture of your commercial property’s condition, value, or life cycle cost analysis.

Accurate & Reliable

ASL deliver comprehensive and precise valuations backed by thorough research and commercial market analysis.

Client-Centric Approach

Your satisfaction is our priority, and we are dedicated to tailoring our valuations to your unique requirements, and answering any questions throughout the valuation process.

Hear From Our Customers

I got ASL to provide a valuation on a property I was purchasing and following their advice I was made aware of a number of repairs which resulted in a lower valuation than the agreed purchase price. I was able to negotiate a new purchase price saving £12,000. The service was quick, efficient and friendly.

Cannot fault the service received from Nick at ASL Surveyors. He ensured that the whole process was quick, efficient and stress free. I had my report back within a few days so I honestly couldn’t recommend him and this company enough. Thank you!!

I used ASL for my recent home purchase. Complete transparency and efficient communication was achieved throughout. I received my full report in a timely fashion and couldn’t recommend the company more to anyone looking to use their services.

We recently agreed a private sale on a bungalow in Gateacre, as there was no agent involved, we were advised to at least get a Home Survey. Gabriella arranged this quickly and we received the report a couple of days after the survey was done. It was really detailed but explained perfectly and the scoring system allowed us to understand it better. We had a couple of questions which James answered on a phone call a few days after. Excellent service throughout, thanks to all involved.

As a firm we highly recommend ASL Chartered Surveyors, rely on their service and we will continue to do so in the future. We have used ASL Chartered Surveyors for our housing disrepair clientele and they always deliver in accordance with the protocol. We are confident in the service ASL Chartered Surveyors provides, and we have always found them to be reliable, approachable and professional – they never hesitate to assist us and indeed our clients with any queries we may have collectively throughout the process.

I can’t fault the service we received and have had a really positive experience with the company. The guys carried out an extensive search on our property and provided a thorough report. On moving in we noticed a couple of issues that we wanted some more information on and contacted them to advise. Mal and Danny came straight out to do another check and were extremely friendly and helpful and gave us some useful tips on how to solve the issues. The service has been very professional and they are clearly a very reputable company to make a second visit and reassure us.