Expert dilapidations surveys and lease-end assessments for commercial landlords and tenants, delivered by experienced RICS Chartered Surveyors.
PM+ provides professional dilapidations survey services for commercial landlords and tenants across the UK. Our RICS Chartered Surveyors help clients understand their lease obligations, prepare accurate Schedules of Dilapidations, and negotiate fair settlements at the end of a commercial lease.
Whether you are a landlord protecting your property investment or a tenant preparing to vacate premises, a professional dilapidations survey ensures the condition of the property is properly assessed and any claims are fair, accurate, and compliant with UK legal standards.
A dilapidations survey is a detailed inspection of a commercial property carried out by a chartered surveyor to assess whether the tenant has complied with the repair and maintenance obligations set out in their lease.
Following a dilapidations survey, the surveyor may prepare a Schedule of Dilapidations, which outlines the repairs or compensation required to return the property to the condition required under the lease.
Dilapidations surveys are typically carried out towards the end of a commercial lease, although they can also occur during the lease term.
Dilapidations disputes are governed by a combination of lease covenants, case law, and statutory provisions. Understanding this framework is essential to managing your position effectively, whether you’re a landlord issuing a claim or a tenant responding to one.
The Schedule is the formal document that sets out the landlord's alleged breaches of the tenant's repair and decoration covenants. It must be grounded in the specific obligations contained in the lease — not a general wish list of improvements. PM+ prepares and reviews schedules with close attention to what the lease actually requires, not what might be commercially convenient.
Under section 18(1) of the Landlord and Tenant Act 1927, a landlord's claim for dilapidations cannot exceed the reduction in the market value of the property caused by the disrepair. This is a critical protection for tenants, and one that landlords and their advisors sometimes overlook or underestimate. If the property is to be demolished or substantially altered after the lease ends, the cap can reduce the claim to nil.
Dilapidations claims don't only arise at lease end. A landlord can serve an interim schedule during the lease term where a tenant is in breach of a repairing covenant. These must be handled carefully, as the Leasehold Property (Repairs) Act 1938 gives tenants the right to serve a counter-notice in certain circumstances, requiring the landlord to apply to court before forcing repairs.
The RICS Professional Statement on Dilapidations sets out the expected conduct for surveyors on both sides, including the use of a Scott Schedule to set out agreed and disputed items for negotiation. PM+ operates in full compliance with this guidance, which means our reports and schedules are structured to facilitate efficient resolution rather than prolonged dispute.
A professional dilapidations survey helps both landlords and tenants manage financial risk and avoid costly disputes at the end of a lease.
Landlords rely on dilapidations surveys to protect the value of their commercial property investment. A survey allows landlords to identify breaches of lease covenants and recover the cost of necessary repairs or reinstatement works.
Commissioning a dilapidations survey before lease expiry it allows tenants to understand their obligations early and reduce potential claims. By identifying issues in advance, tenants can carry out required repairs before lease expiry & avoid legal disputes.
A Dilapidations Liability Assessment estimates the likely cost of dilapidations at the end of a lease.
This type of dilapidations assessment is particularly valuable for businesses that want to understand their financial exposure before lease expiry.
For example, if a lease requires the tenant to redecorate or reinstate alterations, a dilapidations survey can identify these requirements early and allow works to be planned in advance.
When a commercial lease expires, a landlord’s ability to recover the cost of disrepair depends almost entirely on the quality of the evidence gathered. A professionally prepared Schedule of Dilapidations is the foundation of any credible claim.
PM+ prepares schedules that are accurate, compliant with RICS guidance, and defensible under scrutiny.
For tenants, a dilapidations claim can arrive as an unwelcome and sometimes inflated surprise at the end of a lease. The landlord’s Schedule of Dilapidations is prepared in the landlord’s interest. It is not a neutral document, and tenants are entitled to challenge it.
Appointing PM+ to review a landlord’s schedule allows you to understand which items are legitimately your liability, which are overstated, and where the diminution in value cap limits what can actually be recovered.
A Schedule of Dilapidations is only as useful as the rigour behind it. A poorly drafted schedule will be challenged, reduced, and can damage your credibility in negotiations before they’ve properly begun.
PM+ prepares Schedules of Dilapidations that are grounded in the specific obligations of the lease, structured in line with RICS guidance, and built to withstand scrutiny.
Most dilapidations disputes settle without going to court, but the outcome of that settlement depends heavily on who is representing you and how well-prepared their position is going in.
PM+ acts as surveyor and negotiator for both landlords and tenants, approaching settlement discussions with a clear understanding of the legal framework, a thorough knowledge of the property’s condition, and a realistic assessment of what each side can reasonably expect to achieve.
A Dilapidations Liability Assessment estimates the likely cost of dilapidations at the end of a lease.
This type of dilapidations assessment is particularly valuable for businesses that want to understand their financial exposure before lease expiry.
For example, if a lease requires the tenant to redecorate or reinstate alterations, a dilapidations survey can identify these requirements early and allow works to be planned in advance.
Businesses with commercial leases may need to account for future dilapidations liabilities within their financial reporting.
At PM+, we prepare FRS 102 compliant dilapidations assessments, enabling companies to accurately estimate and account for potential liabilities.
Under Financial Reporting Standard 102 (FRS 102), a dilapidations liability may be recognised where there is:
Dilapidations require a surveyor who understands not just building condition, but how lease covenants are interpreted, how claims are structured, and how negotiations play out in practice.
PM+ brings RICS Chartered Surveyors with direct dilapidations experience to every instruction. That experience matters when it comes to knowing which items to include, how to value them correctly, and how to negotiate a settlement that reflects the true legal position.
We are also independent. We don’t have a commercial interest in inflating a landlord’s claim or minimising a tenant’s liability beyond what the evidence supports. Our job is to give you an accurate picture of your position and the best possible outcome within it.
A dilapidations survey is an inspection carried out by a chartered surveyor to assess whether a tenant has complied with the repair and maintenance obligations within a commercial lease.
Dilapidations surveys are typically carried out towards the end of a commercial lease, although tenants often benefit from arranging a survey 12–24 months before lease expiry.
A dilapidations survey typically includes:
Inspection of the property condition
Review of lease repair obligations
Identification of breaches of covenant
Preparation of a Schedule of Dilapidations
Yes. Tenants can appoint their own dilapidations surveyor to review the landlord’s claim and prepare a counter-schedule if the claim is considered unreasonable.
The cost of a dilapidations survey depends on the size and complexity of the property. Surveyors will typically provide a quote after reviewing the lease and property details.
Under section 18(1) of the Landlord and Tenant Act 1927, a landlord’s dilapidations claim is capped at the actual reduction in the market value of the property caused by the disrepair, not simply the cost of carrying out the works. This means a landlord cannot recover more than the property has actually been devalued, regardless of how extensive the schedule of works may be. Where a property is being redeveloped or demolished after lease expiry, this cap can dramatically reduce or eliminate the claim entirely.
Yes. A landlord can serve an interim schedule of dilapidations during the lease term where a tenant is in breach of their repairing covenants. However, if the lease has more than three years remaining, the Leasehold Property (Repairs) Act 1938 gives tenants the right to serve a counter-notice, requiring the landlord to seek court approval before compelling repairs. PM+ can advise both landlords and tenants on the implications of interim schedules and the appropriate response.
FRS 102 is the UK financial reporting standard that requires businesses to recognise provisions for future liabilities on their balance sheet — including estimated dilapidations costs under a commercial lease. If your business holds a commercial lease and prepares statutory accounts under FRS 102, your auditors may require a dilapidations provision. PM+ prepares compliant assessments that give your finance team the documented basis for an accurate and defensible provision figure.
The timeline varies depending on the complexity of the property, the extent of the claim, and how far apart the parties’ positions are at the outset. Straightforward cases can settle within a few weeks of the schedule being served; more complex disputes involving significant sums or contested items may take several months. PM+ aims to resolve negotiations efficiently by preparing thorough, well-evidenced documentation from the outset, reducing the scope for protracted back-and-forth.
If your commercial lease is approaching expiry, or you have received a Schedule of Dilapidations, our RICS Chartered Surveyors can help.
Contact PM+ today to arrange a professional dilapidations survey or liability assessment.
128 City Road, London, EC1V 2NX
info@wearepmplus.com
+44 20 4614 4700
