Inspection L2 and L3

Question 1

What can you tell me about the inspection of the commercial portfolio in Hull?

Answer 1

• Mixed portfolio of commercial, retail and industrial
• 15 elements across 20-acres
• Previously done in 2016
• Read previous report and attained ordnance plan to assist inspection
• Plan labelled the unit and tenant clearly

Question 2

What can you tell me about the inspection of the retail property in Wakefield?

Answer 2

• Inspection prior to marketing property
• High-street bank tenant
• Liaised with customer to gain lease and title plan
• Arranged inspection with bank manager
• Security because it was a bank
• Provided with measured floorplans
• Check measurements for zoning

Question 3

What measurement bases did you use for the commercial portfolio in Hull?

Answer 3

• Industrial GIA
• Retail NIA
• Sites by acres (Edozo)

Question 4

What is the regulation around re-valuing properties?

Answer 4

VPGA2 Loan Security Valuations:
- disclose any involvement within the last 2 years

Question 5

How did you measure the retail property in Wakefield?

Answer 5

• Measured on NIA basis
• Zoned for retail comparables
• Rent ITZA £27.50 psf
• Comps £25-40 psf

Question 6

What can you tell me about the inspection of the office property in Leeds?

Answer 6

• Victorian former school (up to 1901)
• Inspected for loan security valuation
• Take measurements – provided with fire plan
• Noticed penetrating damp
• Above window at first floor level
• Guttering externally

Question 7

• How did you notice the appearance of damp at the office property in Leeds?

Answer 7

There was brown discolouring to the painted white, plastered wall around the side of the window

Question 8

• How did you determine it was penetrating damp at the office property in Leeds?

Answer 8

Three types of damp:
- Penetrating
- Rising
- Condensation

Rising would come from the floor level and rise to a maximum of 1.5m

Condensation would spot and grow mould on the walls

Penetrating damp is common from a high volume of liquid on the external surface in this case, appearing to be in the location of guttering.

Question 9

• To what extent are you allowed to provide information regarding building defects?

Answer 9

We make a comment as to the condition of the property within our reports to the bank for loan security purposes.

In this case, the comment was to investigate the damp further to prevent any further damage which could detriment the value of the property.

We are not qualified to provide expert advice and requires further investigation.

Question 10

What can you tell me about the inspection of the retail property in Leeds?

Answer 10

• Retail property of 5 units
• One unit previously a café
• Basement provided kitchen and WCs
• Exposed traditional brick walls
• Damp noticed in the corner of the room

Question 11

• How did you notice the appearance of damp at the retail property in Leeds?

Answer 11

Significant mould to the corner of the room with heavy black discolouring on the brick work.

Question 12

• Why could the damp have formed at the retail property in Leeds?

Answer 12

• Excess ground water one of the main causes of damp in basements
• Didn’t appear to have a DPC – barrier typically 150mm above ground level. Can be retrofitted by injection of water repellent chemicals.
• Alternatively, tanking – which is a damp proof liquid membrane applied to the walls below ground level.

Question 13

• How did you advise the client for the Leeds retail property?

Answer 13

• Advised that a lot of damp was present
• Likely penetrating damp
• Required to be brought to a safe and usable standard before letting
• Requires further assessment and treatment
• Remains suitable for loan security - assuming the damp is remedied