05
Property due diligence in an M&A process
In an acquisition the property is often the last thing examined and the first thing to delay the deal. We test the bricks before the other side does, so you are not handed a price reduction in the final week.
In short
A property report for an acquisition or sale, ready before the data room opens.
Discuss it with us
From practice
“The soil issue surfaced in the final week. By then it was too late.”From an acquisition that nearly failed
Before the data roomthe file ready before the buyer asks
Five trackstitle, lease, condition, environmental, value
Price protectionno discount for unknown risk
When does this arise?
Do you recognise any of these situations?
- You are selling your business and want no surprises in the data room.
- You are buying a transport business including its premises and want to know what you are taking on.
- The lease with your own company was never properly documented.
- There has been a refuelling point, wash bay or workshop on the site.
What we do
STEP 01
Documentary review
Title, ground lease, charges, permits, the zoning plan and the leases.
STEP 02
Technical and environmental
Condition of the building, asbestos, soil, tanks and services. With an estimate of the costs.
STEP 03
Valuation
Market and rental value, and what the property does to the value of the business as a whole.
STEP 04
Report and advice
Risks, remedial actions and negotiating points, in language the buyer will also understand.
What it gives you
No delay
The property file is ready the moment the buyer asks for it.
Price protection
Known risks you repair beforehand. Unknown risks cost you a discount.
One narrative
Business and property assessed by the same team, on the same assumptions.
Frequently asked questions
Due diligence — answered briefly
What does property due diligence involve?
We examine five tracks: title and security, the lease, the technical condition, environmental and soil matters, and value. The result is a single report setting out risks, remedial actions and negotiating points — ready to place in the data room as it stands.
How long does such a review take?
For a single site with a complete file, usually two to four weeks. Where permits or soil surveys are missing, the response time at the local authority or environmental agency sets the pace — all the more reason to start early in the process.
I am selling my business — why would I commission this myself?
Because the buyer will commission it regardless. Whoever is first to know that there is an old tank in the ground, or that the lease with their own company was never signed, repairs it beforehand. Whoever hears it from the buyer is handed a price reduction in the week of completion.
Often combined with