In 1999, the American Society for Testing and Materials (ASTM) published
a Standard E2018-99, which defined “good commercial and customary
practice for conducting a baseline Property Condition Assessment (PCA).”
This standard was specifically written for commercial real estate and largely
intended for commercial real estate transactions. The Standard was
updated in July of 2008 and renamed E2018-08.
The ASTM guide has become the protocol of choice for due diligence building
surveys. This protocol has made it easier for those involved with commercial
real estate transactions, to understand the risks associated with the property
as the survey and report scope, levels of survey, contents and format have been
well defined. 23points can provide any level of survey but recommends the ASTM
baseline as a minimum standard and a starting point to discuss your specific needs
and concerns.
Recommended report contents include:
* An overview of the property in a brief narrative
* Scope agreed to for the survey
* Opinions of probable costs only for immediate &
short-term repairs likely to exceed $3,000.
* Description of finding during survey and
document review.
* Estimates of the remaining useful life for major
building components.
* Document review and building history
* Photographs of typical building elevations, major
systems and major deficiencies noted.
The PCA has been divided into four steps:
* Perform document review
(drawings, maintenance records, permit and code compliance history, etc.).
* Perform a walkthrough survey of the property.
* Prepare costs for deficiencies identified
* Document findings and costs in a written report.