In a dynamic market we are often approached by clients who want to quickly assess refurbishment options for their assets – be it for a purchase, sale or letting. Assets in scope may be those that are due to become vacant in a few months, or in some cases those that have been sat empty for several years.

Whilst a full feasibility survey will assist in de-risking schemes at the front end, they often require substantial capital expenditure and take time; a luxury which some investors cannot justify without prior occupier commitment. The issue is particularly prevalent across the retail property sector at present.

To assist our in the decision-making process we combine our in-depth knowledge of Project Management with our commercial approach to swiftly provide user-friendly option appraisals. This is a quick-fire assessment of market demand Vs investment objectives to achieve the end goal of providing appropriately refurbished assets to meet occupiers’ needs and budgets, aligned with the clients’ objectives and business plan. Assessing whether flexibility for future adaption can be incorporated into the appraisal enables the asset to move with occupier and market demand.

A high-level steer on options
This approach doesn’t replace a full feasibility survey but uses our experience and knowledge across a breadth of similar schemes and sectors to quickly provide a high-level steer on refurbishment options, cost, programme and risk. Alternative uses should be considered – a like-for-like refurbishment isn’t always the answer.

Incorporating ESG objectives – achieving net zero
The property industry has historically been accused of paying lip service to sustainability and ESG matters. A refurbishment provides the perfect opportunity to review how energy efficiency can be improved, along with future-proofing assets to achieve net zero carbon emissions in the future.

The impact of rates liability
Within the current market an adaptable and flexible procurement strategy needs to be considered at inception. With rates liability becoming an increasing issue across all sectors, mitigation or an early strip out phase is often a key requirement.

If you would like to know more about how we could help you to manage portfolios and refurbishment programmes to achieve investment objectives please get in touch.

by Matthew Osborne, Building Consultancy Partner
Email Matthew for more details