Commercial Building Inspections: What Tenants Need to Know
Before your business moves into new offices in Cape Town, an ingoing inspection is crucial to ensure that the property is in top condition. For prospective tenants, understanding this process and knowing what to expect can reduce the stress of renting an office or industrial space.
In this article, we look at the benefits of a comprehensive incoming and outgoing inspection, the steps involved in the process, and what preparations tenants may need to make before inspection day.
Let’s start by outlining how the inspection works and what it entails.
Commercial property inspections are not the same as residential inspections
Commercial property tenants should note several key differences between a commercial property inspection and the typical residential inspections for rental properties.
Size and Scope: Commercial buildings are larger and contain complex facilities beyond the scope of most homes. As a result, inspections for commercial tenants include elements not seen in residential inspections, such as:
- Facilities: Elevators, HVAC units, security systems, and computer networks, which require thorough checks.
- Common Areas: Meeting rooms, passageways, and storage spaces are part of commercial inspections, unlike residential properties.
- Warehouses: For storage facilities, especially those involving cold or hazardous materials, inspections must ensure compliance with health and safety regulations.
Additionally, many aspects of the inspection process, including the submission of compliance documents (e.g., electrical and plumbing), cannot be completed digitally. This allows landlords and tenants to proceed efficiently with moving in, taking occupancy, or vacating the premises.
Incoming Property Inspections are Far from Routine
Compared to routine maintenance inspections, which often involve little more than the building maintenance manager taking a look around and asking if there’s anything that needs repairing, an incoming or outgoing inspection can be extremely thorough.
These inspections typically cost R500 per hour or more, depending on the size of the property. For smaller office units, you might expect the inspection to take a couple of hours, while larger industrial spaces could take several hours, making the total cost range from R1 000 to R3 000 or more.
Before your business moves into new premises, or when you vacate, you’ll need to ensure that an inspection takes place so both tenant and landlord can be confident that the premises are in the best condition possible.
Incoming and outgoing inspections tend to cover the same items. This ensures tenants receive a well-maintained premises, while vacating tenants leave the office in good condition, allowing them to recover their full rental deposit.
The following elements are typically inspected with both the tenant and the landlord’s representative present:
- The roof
- Exterior and interior spaces, including yard areas and boundaries
- Offices
- Ablutions and fire hydrants
- Electrical systems, and plumbing
Additionally, it’s not unusual for the inspection to include checks on HVAC and air conditioning systems, as well as any security-related equipment in the office unit.
Internet and connectivity devices, including routers and cables, may also be examined.
A comprehensive commercial property inspection in Cape Town can take anywhere from an hour to half a day, depending on the size of the premises.
During the inspection, a professional or team of professionals will carefully note any damages and compile a report for the landlord, outlining repairs that need to be made. Tenants will receive a copy of this report, along with any follow-up inspections done prior to the move-in date to verify that repairs have been completed as agreed.
Outgoing Inspection: Your Deposit on the Line
During the course of any lease agreement, the tenant is obliged to keep the property in good condition, with any deterioration limited to what falls under normal wear and tear.
In an office context, this means that scratches on walls, scuffed floors, and worn skirting boards, as well as the natural decay of building amenities, remain the landlord’s responsibility to repair.
However, any significant damage, whether accidental or deliberate, is the tenant’s responsibility.
The outgoing inspection gives tenants the opportunity to prove that they’ve taken good care of the premises and that only repairs covered by the landlord remain to be done.
A clean inspection, with no fault on the tenant’s part, means the landlord should refund the rental deposit in full, barring any deductions for repairs, mandatory cleaning fees, or other costs specifically stipulated in the lease agreement.
To avoid disputes, we always recommend to our Cape Town office tenants that any damage be reported to the landlord as soon as it occurs.
Most landlords will appreciate the gesture and may even be willing to share the repair costs with the tenant or explore options like claiming from their insurance to cover the expense.
Even if the landlord is less cooperative, tenants can still benefit from spreading the cost of repairs over several months or financing them, rather than having their deposit consumed by a repair completed after they’ve vacated the premises.
The Benefits of a Thorough Inspection
Given the scale of investment involved in renting premium Cape Town office space, tenants need to ensure they are receiving premises that are in top condition.
- During the inspection, it’s important to be present at the office unit and point out any concerns you may have to the inspector.
- Once the landlord receives the inspection report, they should take steps to make repairs and render the office unit in good condition before you take occupancy.
- From a business perspective, a modern office space with no visible signs of decay projects a professional and vibrant image.
- Taking the time to request repairs at the outset can enhance your company’s performance, especially if you frequently receive clients and visitors at your premises.
Find Your Ideal Office Space with Us Today
Finding the ideal office space in top condition makes achieving your business objectives that much easier.
The Commercial Space team has a large portfolio of premium office spaces that are ideal for dynamic corporate clients across the Cape Peninsula. Contact us today to start your search for the ideal office space.