'If it's still on the mind, it's worth taking a risk.' However, making an informed decision after a careful evaluation of the probable risks, foreseeing issues, and the transaction's potential is crucial for a gainful investment.
We at Colliers inspect, review, analyse, evaluate the holdings through every aspect and provide Technical Due Diligence expertise to investors, banks, financial intuitions & developers who are scheduling to acquire real estate assets into their portfolios.
Having spearheaded several such Technical Due Diligence assignments from the Western region of our subcontinent, I have found the challenges of every transaction unique and enriching.
An exhaustive groundwork and meticulous Technical Due Diligence are pivotal to a successful merger/ transition.
At Colliers, our team of experts carry out a rigorous analysis after scrutiny of various aspects: setbacks/ sufficiency for fire tender movement as per the CFO requirements, the elements of physical completion as per the developer's requirements, quality of the finishes, and overall project quality are inspected. Post collection of data received from the client, systematically sorting and reviewing data into our comprehensive checklist, simultaneously capturing the discrepancies/ vagaries observed.
A detailed report on the following lines is furnished: a review of approval status and NoCs (Fire NoC, Sanction Plans, EC Clearances, Pollution control board, to name a few) required/received from various authorities, FSI potential of the land, buildability aspect, RERA compliance and other compliances with the statutory regulations. Review-sufficiency of MEP equipment, parking numbers, etc., are also detailed out. An exhaustive chart is prepared to highlight the discrepancies in the FSI area, RERA area, construction area, and saleable area.
As part of the acquisition, a forecast is provided in terms of cost to complete and schedule for committed future developments. An executive summary highlighting the potential issues that the project holds and foreseeing the problems later is made available to help decision-makers identify and understand the asset-related risks in the transaction.
Our clients can make fully informed decisions for a reasonable costing, with due precautions to safeguard the investment before executing the deal.
As per the famous adage "Risk and opportunity are sides of the same coin," we at Colliers invest in understanding clients' business and offer tailor-made solutions which help them accelerate their success.
About the blogger:
Chris Geety is General Manager – Development, PjM West of Colliers, comes with expertise in acquisition projects; officiated as the lead in Colliers' most significant acquisition project for facilitating the takeover process. Over 17 years, my belief in establishing a lasting relationship with the client has borne rich dividends as we have been invited to participate in their future endeavours. Completing the upgrade works to enhance the value of the property, improving the leasing rates.