Schedule of Dilapidations
Dilapidations, or more specifically “Schedules of Dilapidations” relate to the disrepair of buildings and land, commonly where the landlord or the tenant has an obligation to repair. Our chartered surveyors can be used to support either the tenant or the landlord, in varying instances.
Acting on behalf on the landlord
Any real or potential risk to the asset value of the property is thus halted before a problem develops. This is best done through the service of an interim Schedule of Dilapidations. Although this interim measure is more limited than a final schedule, it will usually focus the attention of the tenant on existing problems.
“Landlords need to ensure that their property is correctly maintained by warning tenants in advance of any neglect.”
A final schedule of dilapidations will identify items of disrepair to be “made good” by the tenant; chiefly in order to protect the asset value to the landlord at the expiration of the lease. Where the tenant has not complied with his repairing obligations, the schedule can often form the basis of a financial claim by the landlord.
Acting on behalf on the tenant
Tenants are sometimes presented with very large dilapidations claims by their landlord at – or very near to – the expiry date of a lease. In such circumstances, the validity of the landlord’s claim should be investigated with specific reference a) to the specification and pricing of the works involved, b) the scope of repair obligations undertaken by the tenant, and c) to the loss in value of the reversion. When a claim is submitted in good time prior to the lease’s expiry, it is sometimes beneficial for the relevant repair works to be carried out (albeit less expensively) by the tenant.
Almost all of our local surveying directors will be able to carry out Schedule of Dilapidation reports, offering professional advice tailored to protect the client’s interest, whether landlord or tenant.