Due Diligence


Due Diligence is About Avoiding Construction Defects and Protecting Your Investment

Due diligence is defined as an investigation or audit of a potential investment. When applied to construction it is not always easy for a layperson to identify potential issues that may significantly impact the value of the investment they are about to make, even if they appear obvious. Construction is fraught with examples of buildings that have been “dressed up” with cosmetic applications to hide what may be significant structural defects with the potential to create serious legal implications. ARCOR-Inc, is well versed in the practice Due Diligence required for  Construction Risk Profiling™, ADA Compliance and Construction Defects

Due diligence may also involve a review of building systems to evaluate deferred maintenance items and construction defects that can materially affect the operation and value of a property. At ARCOR we know how important it is to ask the right questions in order to find answers. Information acquired and if utilized appropriately, with regard to how significantly the usability of a building has been impacted, can be an effective negotiating tool.



Issues to Look For

Were any parts of the building constructed illegally? Does the property conform to the appropriate building codes? ADA accessibility and compliance is a perfect example as the Federal and State codes are not always in concert with one another and depending on certain aspects a building constructed to previous codes may have to meet current codes and cannot be “grandfathered” with respect to disabled access compliance. These are all questions that if not asked and appropriately  answered can turn an investment into a liability.

Due Diligence: Assessing a Sound Investment or a Substantial Loss

At ARCOR-Inc., our unique skill sets and extensive experience in construction and design, as well as construction defects and claims, affords our clients the very best in evaluating whether a deal involves a sound investment or a substantial loss.