Real Estate · Engineering & Technical Advisory
Real Estate Technical & Capex Due Diligence
Buy property knowing the physical risks and the capital spend ahead of you
Discuss this serviceWhat it is
Real Estate Technical & Capex Due Diligence
Technical Due Diligence (TDD) is a physical and compliance assessment of a property before acquisition or financing. We review structure, building envelope, MEP systems, fire and life safety, and statutory approvals, and translate what we find into a costed capex forecast your deal team can use.
- Typical duration
- 2 to 3 weeks
- Industry
- Real Estate
The business problem
Why clients need this
Commercial buildings can carry deferred maintenance, ageing MEP plant, or unapproved modifications that only surface after closing, when they hit net operating income.
- 01
Unbudgeted spend on HVAC, waterproofing, lifts, or electrical upgrades undermines the investment case.
- 02
Gaps in occupancy approvals, fire-safety documentation, or other permits create operating and legal exposure.
- 03
Deal timelines leave little time for a thorough engineering review.
Our approach
How we deliver it
- 1
Approvals & Document Review
Checking occupancy approvals, permitted plans, fire-safety records, and maintenance contracts.
- 2
Physical Inspection
Inspection of structure, façade, HVAC, electrical substations, plumbing, fire systems, and building management systems.
- 3
Capex Forecasting
Separating immediate (Year 1) repairs from a 5-to-10-year replacement and reserve forecast.
- 4
Red-Flag Reporting
A deal-focused summary separating potential deal-breakers, negotiation points, and routine costs.
Data & AI
How technology strengthens this service
Remaining-life estimates for major equipment are built from manufacturer data, published lifecycle benchmarks, and the asset's own maintenance and operating records, rather than age alone.
How we use AI across our workTypical deliverables
What you receive
- Technical Due Diligence (TDD) Report
- 10-Year Capex Forecast Model (Excel)
- Statutory & Fire-Life Safety Compliance Checklist
- Red-Flag Summary for Investment Committees
Outcomes
What changes for you
- An evidence base for price negotiation, holdbacks, or indemnities
- A realistic post-acquisition capex budget built into the model from day one
- Fewer surprises from undisclosed structural, MEP, or approval issues
Who it is for
- Real estate funds & REITs
- Corporate property buyers
- Family offices investing in property
- Commercial real estate lenders
FAQs
Common questions
Can you work to tight transaction timelines?+
Yes. We scope the work around your exclusivity period and can issue a preliminary red-flag memo within about a week of site access, followed by the full report before closing.
Do you cover environmental and fire-life safety compliance?+
Yes. We review applicable local building and fire-life-safety requirements, and a Phase I environmental review can be added.
How does the capex forecast fit into our financial model?+
We provide a structured Excel workbook separating immediate life-safety items, short-term catch-up repairs, and long-term reserves, ready to link into your model.
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Discuss real estate technical & capex due diligence with our team
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