A thorough understanding of a property’s actual condition is paramount before any transaction or development decision.
At Realiscon, Technical and Environmental Due Diligence (TDD, EDD) are not just formal reporting exercises; rather, they are critical, decision-supporting professional reviews.
Our objective is to provide investors with the most accurate and comprehensive understanding of a property’s actual technical condition, inherent risks, and development potential. This is achieved by clearly identifying and linking all factors that are truly relevant for informed decision-making.
Experience, expertise, insight
At Realiscon, due diligence assignments are carried out by an engineering team with a strong project management and investor-centric approach. Our architects, civil, infrastructure, mechanical and electrical engineers work on complex development projects on a daily basis and therefore clearly understand how technical details can influence investment decisions, costs and risks.
This practical experience enables us to document the existing condition during due diligence and to interpret its business implications in a business context.
We benefit from having in-house, discipline-specific engineering expertise available both in our project management and technical supervision activities, as well as during the preparation of TDD and EDD reports.
As a result, property due diligence covers all relevant technical aspects, and the findings can be evaluated accurately and professionally, in their proper context.
The outcome of our due diligence process is a realistic and structured summary that not only identifies defects and deficiencies, but also presents potential remedial measures, provides estimated costs, the weight of associated risks and future development potentials.
Fast, structured, targeted process
Our TDD / EDD process is structured in two phases to ensure that key information is available as early as possible to support decision-making.
In the first phase, we prepare a Red Flag report, which within a few days provides a clear and focused overview of the property’s condition, critical deficiencies and “deal breaker” risks in a concise and immediately usable format.
This is followed by a detailed technical and regulatory analysis, in which we assess building systems, the completeness of available documentation and compliance with local building regulations in detail.
As part of the Environmental Due Diligence (EDD), we also explore the site’s history, potential environmental risks, allowing the extent of environmental exposure to be clearly understood prior to the transaction.
More than a technical opinion
A well-executed TDD / EDD process does more than identify risks – it creates a confident decision-making position and, as a result, a negotiation advantage.
At Realiscon, this added value is central to our approach:
- fast response times to ensure that business processes are not delayed,
- comprehensive professional expertise grounded in real development experience,
- clear, decision-supporting reports that leave no room for uncertainty.
At Realiscon, we do not only review a property – we help investors understand its true value and future risks.
TDD / EDD process
Phase I – Red Flag Due Diligence
1. Receipt and review of documentation
- collection of available technical documentation
- assessment of documentation completeness
- identification of missing documents and information (potential risk factors)
2. Site inspection
- on-site inspection of the building or site
- identification of defects, deficiencies and non-compliances
- preliminary identification of remedial measures and estimated costs
3. Preparation of the Red Flag report
- summary of critical “deal breaker” risks
- key technical findings based on documentation review and site inspection
- indication of immediate actions required to proceed
Phase II – Detailed assessment
1. Detailed technical review
- condition assessment of building systems and equipment
- evaluation of expected service life, failure risks and maintenance requirements
- additional site inspections if required
2. Consultation with the operator (optional)
- interviews or consultations with the building operator where necessary
- review of operational experience, previous failures and interventions
3. Regulatory compliance review (optional)
- assessment of compliance with local building regulations and permits
- evaluation of development or extension opportunities
- identification of existing or potential future legal / permitting risks
Content of the final TDD / EDD report
- evaluation of the technical condition of the building or site
- list of identified defects, deficiencies and risks
- proposed remedial measures and estimated costs
- prioritisation of required interventions
- analysis of environmental risks and burdens (EDD)
- assessment of regulatory compliance
- conclusions relevant to the project’s business and development context
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