FAQ Commercial Building Assessments

  1. Q: What is a Property Condition Assessment?

    A: Property Condition Assessments (PCA), or Capital Needs Assessments (CNA), is an in-depth report of the physical condition of the property and how much money it’s going to cost to maintain the buildings components over the next five to twenty years. All these assessments start with the ASTM E 2018-08 baseline property condition assessment guidelines. From there we can tailor it to fit your particular statement of work (SOW)

  2. Q: I have an appraisal – why do I need a Property Condition Assessment?

    A: Both reports can help in determining a fair value for the property. Appraisals help in determining value for the property at the present time in that area. Property condition assessments is a more in depth report of the buildings condition and how much it’s going to cost to operate the building over the next five to twenty years.

  3. Q: I’m leasing the building – why do I need a Property Condition Assessment?

    A: Single net lease, double net lease, or triple net lease all require the tenant to be responsible for most or all of the operating expenses. When it comes time to terminate your lease a Property Condition Assessment can make all the difference in determining who’s responsible for paying the repair and replacement cost.

  4. Q: How much does a Property Condition Assessment cost?

    A: It depends, first we need to look at the building and determine what professional services are needed to be involved in the assessment. Then we begin our due diligence of gathering all the documents and information needed to accurately complete the assessment. This process can be very time consuming and can cost between a few hundred to a few thousand dollars. We always give you a price upfront before starting the assessment.

  5. Q: Is a Property Condition Assessment the same as a home inspection?

    A: NO! Home inspections are mainly based on the client (buyers) emotions and they want to know if the components of the property work. Property Condition Assessments are based on the investors’ financial investment. How much money is this property going to cost me up front and over the term of the loan? Will it produce a profit? The Property Condition Assessment will help in making investment decisions.

  6. Q: What all can we use the Property Condition Assessment for?

    A: The Property Condition Assessment is a valuable document to have on hand, for many reasons. It can be a vital document to help in determining the current and future condition of your investment prior to making a decision before investing your money. After acquiring the property you can refer to it to help bring the physical condition of the property up to date. Facility managers and property managers can refer to the Property Condition Assessment to help in projecting annual budget expenses’. Facility engineers can refer to it to help in implementing preventative maintenance plans.

  7. Q: How do I and my staff prepare for the Property Condition Assessment?

    A: After everyone involved with the Property Condition Assessment has signed the agreement, PMICommercial will send your office a list of documents that our staff will need to start the due diligence process. These documents include but are not limited to As-built drawings, appraisals, certificate of occupancy, maintenance contracts and warranties, previous PCA’s, ADA surveys, transitional plans and a copy of your rent roll. Once this part is complete we come to the property and perform are walk through assessment.

  8. Q: Do I really need an ADA survey?

    A: The American Disabilities Act Title III is a civil rights law that was enacted in 1990 to provide people with disabilities access to buildings that are considered to be places of public accommodations and that engage in commerce. Buildings that are not ADA compliant is in violation of the civil rights law. The cost of bringing your building in compliance with ADA is a capital expense that is included on the cost data section of the property condition report. If these costs are not included in the cost data section your report is not totally complete and your cost data totals are inaccurate.

  9. Q: Dos the Property Condition Assessment include an ADA survey?

    A: The Property Condition Assessment includes a limited visual accessibility survey and does not include any measurements, counts or cost data required to comply with a full accessibility survey. A full accessibility survey is a separate survey in addition to the Property Condition Assessment. A full ADA survey can be completed the same day as the walk through assessment and added to the report at a discounted rate.

Schedule a property inspection today by calling Peace of Mind inspections Bloomington at (812) 964-1934 and Bedford at (812) 329-7712, or simply follow this link to book an appointment online.

Contact Us

Peace of Mind Inspections, LLC
Jym Littrell Email Us
Bloomington Office:
3802 East 3rd St Suite # 208
Bloomington, IN 47401
(812) 964-1934

(812) 329-7712

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