Property Asset Management: The Handover Phase Source: https://www.tfgassetmanagement.com/news/real-estate/property-asset-management-the-handover-phase.aspx
TFGAM’s recent Property Management whitepaper analyses the most frequent issues appearing after receiving the Building Completion Certificate. During the handover phase the investors should ensure that the property is free of defects before accepting the handover of the units. Consult an expert who can assume this responsibility.
TFGAM has compiled a Property handover checklist covering the main challenges of the handover phase.
The key points in documents handover include
• Building Permit, Certification & Fit for purpose; • Architectural and Engineering drawings; • Testing and Commissioning documents; • Statutory, Legal & Insurances; • Preparation for Owners Association etc. “Fit for purpose” design means a unit is fit for its intended use. It should provide optimum space standards. The furniture design also influences the functionality and spatial flow. The asset manager must detect any missing or misplaced components.
During the process of testing and commissioning, all aspects of the building should be tested and commissioned, including lighting, life safety systems, air and water balancing, HVAC and domestic hot water systems.
Amid the snagging and de-snagging process, the investor must detect any small defects: leaks, wall cracks and MEP faults. The most common causes for these defects are a lack of formal training, and the poor selection of sub-contractors during the construction phase.
If owners fail to consult experts with specialist knowledge, underlying issues will go unnoticed. It is therefore important that a professional asset management firm carries out the snagging and resolves any issues encountered.