Why get a Commercial Ingoing PCR?
A Commercial PCR supports the ‘Make Good’ clauses in your lease documentation. The Property Condition Report provides both written and photographic evidence showing the condition of the property before being occupied by a new tenant.
What does a ‘Make Good’ clause typically say?
Return the Premises to the standard and configuration they were in prior to the Commencement Date
Reinstate any part of the Premises which has been altered by the Tenant
Repair any damage to the Premises caused by the Tenant
Remove all Tenants Property
This is all very subjective wording. A Commercial PCR can bring clarity to the situation particularly in long-term leases where the Property Manager may change several times during the course of the lease.
How does it help?
Having a PCR in place at the beginning of a lease brings clarity to the obligations of the landlord and tenant and can avoid potential issues including:
Structures that have been added or removed without approval from the owner such as:
Mezzanine floors in warehouses
Partitioning in offices
Gantry cranes and hoisting systems
Heavy duty equipment
Damages caused by the tenant during the lease term, including:
Oil stains on driveways
Damage to walls or doors
Damage to kitchens or bathroom facilities
Rubbish abandoned at the property
Responsibility for removal of equipment and disputes over ‘make good’ provisions at end-of-lease, such as:
Shelving units left in showrooms
Surveillance cameras left in retail shops
Cooking equipment left in kitchens
Why do you need one?
Without documented evidence of the property’s condition before the tenant takes possession, it can be difficult for the property owner to clearly show the pre-existing condition of the property. This can be a critical factor in the event the condition of the property becomes the subject of:
‘Make Good’ clause dispute
A bond dispute
An insurance claim
Why choose us?
Prompt and reliable service
Fast turn-around time on reports
Detailed site inspections
“We are very pleased with the service provided by Asset Reports – their professionalism, attention to detail, excellent communication and end to end support leaves us with no hesitation in highly recommending them. We are comfortable knowing that all our assets, fit out and condition of all items is fully documented in a format that is easy to understand and ready to provide to any tenant or sub-tenant.
Thank you for the service provided.”
– ADAM SAUNDERS (CBH GROUP)
Sydney | Melbourne | Perth