LIMITED CHECKLIST FOR DOCUMENTS TO REQUEST FROM SELLER FOR DUE DILIGENCE IN A COMMERCIAL REAL ESTATE ACQUISITION
- Environmental reports and correspondence related to environmental issues, if any
- Building condition/engineering and geotechnical reports
- Recent appraisals
- Title insurance policies and title reports
- Rent roll
- Copies of leases (including any amendments)
- Any formal lease notices and any lease guarantees
- Leasing commission agreements
- Tenant correspondence files
- Existing permits, licenses and any outstanding building applications
- Any existing building department violations or proof of resolution of same
- Summary of any planned capital improvements
- All plans and specs and pictures and/or renderings (as-built and proposed)
- Recent surveys
- Any market information that seller may have
- Certificates of insurance and risk management contact
- Zoning compliance letters, recent zoning analysis reports
- Copies of all warranties, guarantees and/or contracts (i.e. roof).
- Current certificate of occupancy
- Recent and prior year tax bills
- Utility bills (at least two years of monthly statements) (or recap report from provider showing usage and cost)
- Bank statements showing deposits for last twelve months
- Property operating statements, 3 years if possible
- Retail sales figures for any tenants paying percentage rent
- Management agreements and service contracts, if any
- Litigation History: details of any past or pending litigation
- List of security deposits and bank statements evidencing them (including any letters of credit)
- Any site plans or floor plans
- If debt is to be assumed, all loan documents including prior year’s lender reporting
Disclaimer
The information contained in this checklist (“checklist”) is provided for general informational purposes only, and may not reflect the current law in your jurisdiction. This checklist in no way should be considered a comprehensive list of due diligence items or transactional documents required for any real estate transaction. In accessing this checklist you understand that there is no attorney client relationship between you and Tomlin Law, PLLC. No information contained in this checklist should be construed as legal advice from Tomlin Law, PLLC or the individual author, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through, this Checklist without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the recipient’s state, country or other appropriate licensing jurisdiction. Although the information on this checklist is intended to be current and accurate, it is not guaranteed or promised to be current, accurate, or complete.