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Dilapidations - Pre-occupation

1.1 Pre-occupation inspection
1.2 Schedules of condition
1.3 Lease review

1.1 Pre-occupation inspection

While it is likely that the decision to occupy a property is often governed more by commercial pressures than by faults in the building, the pre-occupation inspection process alerts the purchaser/occupier to issues that will affect the building as an asset. This would cover future maintenance and operation costs as well as outlining the potential dilapidations liabilities to leave the property upon lease expiry.

We regularly prepare schedules of condition in respect of limiting liability in relation to new leases and where a client occupies on internal repairing terms, we advise on service charge caps. We also provide advice with regards to alternative lease incentives, for example, rent free periods, or amendments to lease clauses to mitigate the update of dilapidations..

This process often involves other professions and services to provide the purchaser/occupier with information to make an informed decision to proceed with a lease agreement.

1.2 Schedules of condition

A schedule of condition demonstrates the condition of a property at the commencement of a tenancy, and when correctly referenced to the lease covenants can limit the tenant’s repairing liability with regard to future dilapidations.

We prepare comprehensive schedule of conditions tailored to your requirements, but agreed by both parties and appended to the lease, to evidence the pre-existence of any disrepairs should a dispute later arise, in any dilapidation claim.

1.3 Lease review

We can aid a potential tenant in reviewing heads of terms from a practical perspective and feedback on the affect on potential future dilapidation liability.

The heads of terms and agreement for lease usually set out various items that each party would be responsible for in connection with the leasing of premises, from building works to services and compliance works.

We provide advice on the scope of work that should be undertaken by either party and the impact of any incentives that are included within an agreement. We also often procure and mange any building works in connection with lease obligations.


City Centre Offices
Client: Health and Safety Authority
Office: Dublin
Cost: N/A


East Mill
Client: A B Gee Ltd
Office: Birmingham
Cost: N/A

Narrow Quay House

Narrow Quay House
Client: Standard Life Investments
Office: Bristol
Cost: N/A


Contact your local Watts office