Introduction
This essay explores the critical role of feasibility studies in the context of commercial property relocation, drawing on a case study where I, as a building surveyor, was tasked with assessing a potential office space for a client facing an expiring lease. The purpose of this analysis is to evaluate the process of conducting a feasibility study under constrained conditions, the limitations of such studies, and their implications for decision-making in property management. The essay examines the client’s requirements, the constraints of a visual-only inspection, and the subsequent design and tendering process, while highlighting the importance of technical due diligence. Through a structured discussion, it aims to demonstrate a sound understanding of building surveying practices and their relevance to real-world applications, particularly in commercial leasing contexts.
Understanding Client Needs and Feasibility Study Scope
The client, facing the non-renewal of their existing office lease, sought to relocate staff to a nearby ground-floor, open-plan office within a multi-tenant, three-storey building. My role as the building surveyor was to undertake a feasibility study to ensure the new space could accommodate the client’s staff and operations within budget constraints. During an initial conference call, the client outlined their expectations for the study, emphasizing the need for actionable insights to support their relocation decision. This aligns with the broader purpose of feasibility studies in property management, which is to assess whether a proposed space meets operational, financial, and technical requirements (RICS, 2018).
However, a key challenge emerged early in the process. Due to landlord restrictions, the inspection was limited to a visual survey without invasive investigations or opening-up of building elements. While I acknowledged the utility of a visual survey in providing a preliminary overview of the space—encompassing double-glazed steel curtain walling, tile-clad rain screens, suspended grid ceilings, and an unfinished raised floor—I raised concerns about its limitations. Indeed, such surveys cannot uncover hidden structural or mechanical issues, which could significantly impact renovation costs or suitability (Ball and Carter, 2020). I therefore advised the client that while the feasibility study would aid decision-making, it should not be the sole basis for a major commercial commitment.
Limitations of Visual Surveys and the Need for Technical Due Diligence
The restricted nature of the inspection necessitated a cautious approach. In the feasibility report, I included a clear caveat regarding the limited access and reiterated that the findings were preliminary. This step reflects best practices in building surveying, where transparency about the scope of investigations is critical to managing client expectations (RICS, 2020). Furthermore, I recommended a comprehensive technical due diligence process if the client wished to proceed with the lease. Technical due diligence, encompassing detailed structural and M&E (mechanical and electrical) assessments, is essential for identifying potential risks in commercial properties, particularly in shared buildings with complex landlord-tenant arrangements (Poon and Fellows, 2021). Without such diligence, the client risked unforeseen costs or operational disruptions post-relocation.
Progression to Design and Tendering
Following the client’s review of the feasibility report, I was instructed to progress with design options and prepare a tender pack. This phase required stakeholder engagement to align the design with the client’s operational needs and the building’s constraints, such as shared facilities (e.g., toilets and reception) under the landlord’s demise. Notably, the client’s urgency to go out to tender within 14 days, driven by the impending lease expiry, introduced time pressures. While this timeframe was ambitious, it underscored the importance of efficient project management and clear communication in building surveying (Wilkinson and Sayce, 2019). Preparing a tender pack under such constraints required prioritizing key design elements, such as spatial planning for the right-angled office layout, while ensuring compliance with building regulations and landlord stipulations.
Conclusion
In summary, this case study illustrates the pivotal role of feasibility studies in commercial property relocation, while highlighting their limitations when constrained to visual surveys. My approach as a building surveyor ensured transparency with the client regarding the scope of the study and emphasized the need for technical due diligence to mitigate risks. The progression to design and tendering, despite tight deadlines, further demonstrated the importance of adaptability and stakeholder engagement in property projects. Arguably, this experience underscores a broader implication for building surveying practice: while feasibility studies provide valuable initial insights, they must be complemented by thorough investigations to support significant commercial decisions. Future projects should prioritize early negotiation with landlords for invasive inspections to enhance the reliability of assessments and safeguard client interests.
References
- Ball, M. and Carter, A. (2020) Property Development and Risk Management. Routledge.
- Poon, J. and Fellows, R. (2021) Real Estate Development and Management. Wiley-Blackwell.
- RICS (2018) Feasibility Studies in Property Development: Guidance Note. Royal Institution of Chartered Surveyors.
- RICS (2020) Building Surveys and Technical Due Diligence of Commercial Property. Royal Institution of Chartered Surveyors.
- Wilkinson, S. and Sayce, S. (2019) Property Management: Principles and Practice. Palgrave Macmillan.
