TECHNICAL DUE DILIGENCE – TDD
Secure the deal maximizing the asset value. Control and accelerate the transaction process.
Most buildings have defects or deficiencies that can affect their performance in the short, medium, or long term. As an owner, operator, or lender in the construction and real estate industry, you need to understand risk and associated mitigation methods before investing finance on construction projects (greenfield or brownfield).
Technical due diligence (TDD) provides insight into the need for repairs of defects resulting from insufficiently planned preventive maintenance, neglect, misuse, insufficient capacity, or non-compliance with the regulations.
In-depth technical due diligence is an extremely important step to minimize risks before transferring, merging, restructuring, acquiring the management right of a real estate project.
UNDERSTAND TECHNICAL, FINANCIAL, LEGAL, AND SOCIA-ENVIRONMENTAL RISKS AND MITIGATION STRATEGIES
Use Bureau Veritas Vietnam technical due diligence service to:
- Provide a technical evaluation of the assets
- Manage and control communication & negotiations
- Anticipate questions or concerns of the stakeholders
- Optimize planning and asset & equity value
From there, Bureau Veritas Vietnam will support you in:
- Estimating the cost of operation and maintenance of the asset
- Preliminary assessment of the development potential of the project
- Estimated transfer costs
- Create a basis for negotiating transfer prices
BUREAU VERITAS' TECHNICAL DUE DILIGENCE PROCESS
- Design review: Identify changes from the original
- Analysis of technical factors: Ensure compliance with Vietnamese and international standards. Assessment of construction solidity, fire safety, electrical safety
- Evaluate the architecture and aesthetics of the building: External condition, the influence of weather conditions on the building (painting peeling, rusting, waterproofing ...)
- Evaluation of the performance and function of the project after the transfer: Structural bearing capacity, ability to be renovated, maintain, and upgrade
- Evaluation of construction equipment: Elevators, ventilation and air conditioning systems, fire protection, exit systems, water treatment systems, and maintenance and servicing conditions analysis
- Environmental assessment: Risk assessment from environmental impacts, pollution risks, measurement of soil, water, air pollution, flood risk analysis, seismic risk...
- Cost estimation: Estimate the cost of renovation, upgrading, and transfer of the work