Dilapidation Survey vs Condition Survey – What is the difference?

Dilapidation Survey vs Condition Survey – What is the difference?

What are they? 

A dilapidation survey is typically produced at the time of lease expiry by a commercial building surveyor who is instructed by the landlord. The intention of a dilapidation survey report is to set out the works required to a commercial building to put it in a condition which complies with the tenant’s lease obligations. 

A condition survey is produced to accurately record the construction and condition of a property at a given time. A schedule of condition can be produced prior to the commencement of a lease to limit a tenant’s repair liability; or prior to works being undertaken, particularly for works to a Party Wall.

What is included?

A dilapidation survey report will include a summary of the relevant lease obligations, a schedule setting out the breaches in relation to repair, reinstatement and decoration, a proposal for remediating the breach and budget costs. The schedule of dilapidation should also include a building surveyors endorsement and if it is issued post lease expiry a Quantified Demand should also be provided setting out the full extent of a landlords claim. 

A schedule of condition will provide a brief summary of the property including the location, type of condition, size etc. The schedule will also summarise the different grades/condition ratings which will be referred to later within the condition report. These are typically very poor, poor, reasonable, good and very good. Each rating will be clearly defined. The main section of the report will include a description of the element, the condition and a photograph.

When do I need one?

A schedule of condition is required prior to the undertaking of something, whether this be a lease, or construction works. The purpose is to ensure that at the end of a lease or once works have been completed that there is a clear record of the condition which a part or the whole of a property was in and therefore needs to be returned to. A schedule of condition should be prepared as close to the point when the works or lease commences to ensure it is an accurate reflection of the condition of the property. 

A dilapidation survey report is typically undertaken towards the end of a lease as the commercial building surveyor needs to assess the condition of a property at lease expiry. A landlord should ideally look to instruct a commercial building surveyor between 6 and 12 months from lease expiry as this will enable due consideration to be given as to what the best course of action is for managing the dilapidation matter. However, a dilapidation survey report can be produced and issued following lease expiry, Best practice suggests within 56 days of lease expiry. 

How much do they cost?

The cost of both condition surveys and dilapidation surveys will largely depend on the size and complexity of the commercial building. Typically a schedule of dilapidation will cost more than a schedule of condition owing to the instruction requiring a greater level of detail. The typical cost for either building survey will range between £1k-£10k subject to the requirement for other consultants, access equipment etc. 

We hope you found this blog helpful, you can also check out our dilapidation survey checklist. At Commercial Building Surveyors, we offer Dilapidation surveys in the following parts of the UK: Dilapidation Survey Bristol, Dilapidation Survey London, Dilapidation Survey Manchester, Dilapidation Survey Cardiff.

Or you can head straight here for more information about: Schedule of Dilapidation

We also offer condition surveys in the following locations: Condition Survey Bristol, Condition Survey London, Condition Survey Manchester, Condition Survey Cardiff