What Happens When You Skimp on a Property Condition Assessment?
Property Condition Assessments (PCA) provide business owners and investors with an extensive and detailed view of a property’s condition. When done right, it helps the buyer make a sound purchasing decision, avoid or reduce financial risks present during the purchase, and obtain professional cost estimates for the repairs and replacements on the assessed property, among other benefits.
Many commercial business owners and investors in New Jersey know the importance of a PCA before they close on the purchase of a property. However, many tend to overlook the crucial role of a professional to conduct the PCA. There are companies that would even use a discount service for a PCA, thinking that it will save them more time and money while at the same time obtain a professionally-done Property Condition Report (PCR). But this couldn’t be farther from the truth.
Read on as we further discuss the things that could happen when a company decides to skimp on a Property Condition Assessment and fail to retain the service of a professional engineer for the job.
Overlooked Property Defects
Commercial buildings and facilities are usually complex and comprised of specialized components that require more than just a “cheap service” to diagnose accurately. Elements such as chillers, roof drainage, storm water equipment, air dehumidifiers, elevators, sprinklers, and security components warrant specialized technical knowledge and analysis to inspect and report on.
Being frugal on a PCA could also lead to many environmental issues being unidentified. A cheap PCA is likely to be conducted by an inexperienced inspector, and that means that he or she is more likely to miss dangerous issues and recommend specialized inspections on issues that require immediate action such as groundwater contamination, asbestos, radon, and more.
Increased Liability Risks
Skimping on a PCA could also lead to a report that does not include a detailed review of the property’s history. This is because most discounted PCA services focus on the on-site assessment itself only and not on the necessary background check that could provide a substantial explanation about the property’s current condition.
In contrast, PCAs conducted by professional engineers in NJ takes advantage of every system and tool they have to reveal the full history of the property as well as the legal issues it could have faced in the past. An experienced engineer would also recognize on-site indications of potential liability risks, such as mediocre retrofits or incomplete remodeling, as well as open permits that could put the new property owner at a financial and legal disadvantage.
Unreliable Property Condition Report (PCR)
Lastly, skimping on a PCA could lead the client into the hands of unscrupulous inspectors that recycle old inspection reports from the properties they inspected in the past. Not only does it make their job easier – just pull up the report from the property similar to the one they have to inspect and change or add a paragraph or two – but it also allows them to save on time and cost of creating a new report, thus allowing them to charge cheaper than the legitimate ones.
A professional PCR is customized and detailed for the needs of the client. They might consult old reports to gain insight into a certain property defect, but they don’t assume that the defect from two separate properties is the same. In the end, a commercial building engineer in NJ relies on their extensive analytical skills and engineering knowledge to ensure that the report will provide accurate and objective findings to the client.
How to Obtain a Professional PCA Report?
The ASTM E2018 – 15 serves as the industry standard for baseline Property Condition Assessments. It outlines the purpose and scope of the PCA, including the walkthrough survey, document reviews and interviews, and the contents that must be included in the PCR – all of which requires the expertise of an experienced and qualified field observer.
It is recommended that commercial property operators and investors consult a professional building engineer in NJ for their PCA needs, not only to ensure a PCR that meets the standards of the ASTM but also to have an experienced professional that can provide them an expert help throughout the project.
Lockatong Engineering understands and complies with ASTM requirements guiding and governing Property Condition Assessments. Our experience conducting PCAs in New Jersey also means we’re sensitive to the possible issues that may arise during the project: We’ve worked well with owners, managers, and stakeholders to deliver the optimal results for the organization.
Contact Lockatong Engineering today to learn more about our Property Condition Assessments service.
