{"id":21548,"date":"2024-03-04T07:40:32","date_gmt":"2024-03-04T07:40:32","guid":{"rendered":"https:\/\/www.clearway.co.uk\/?p=21548"},"modified":"2024-03-18T10:34:53","modified_gmt":"2024-03-18T10:34:53","slug":"your-complete-vacant-commercial-property-risk-list","status":"publish","type":"post","link":"https:\/\/www.clearway.co.uk\/news\/your-complete-vacant-commercial-property-risk-list\/","title":{"rendered":"Your Complete Vacant Commercial Property Risk List"},"content":{"rendered":"

As a landlord, investor, or commercial property manager, we hold this truth to be self-evident:<\/p>\n

Your clear-cut worst-case scenario is the premises becoming vacant \u2013 even temporarily. It costs you money in deferred rental income, but there\u2019s more: unplanned financial outlays due to potential damage and theft can rack up substantially.<\/p>\n

Without robust protection and security, owners can pay heavily.<\/p>\n\n

Vacant and Vulnerable? Know Where You Stand<\/h2>\n

Intruders are smart; they can spot vulnerability at 50 paces.<\/p>\n

And, most likely, your building will not be the first one they target. They\u2019re old hands at this game. \u201cNatural\u201d risks are critical, too. Mother Nature has a unique way of wreaking expensive harm through snow, ice, wind and rain. There are also other critical risks, which we\u2019ll include in this article.<\/p>\n

So, where do you start, and how do you manage the situation?<\/p>\n

Every property is different. Its use and function will be distinct from its neighbour\u2019s; the location, size and contents will also count. We believe you need to know the risks and\u00a0where<\/em>\u00a0they are. In other words, the potential weak spots. Thus, you\u2019ll recognise the best and most robust security measures you can take to safeguard your investment.<\/p>\n

Here, we recommend an initial risk assessment, as everything will progress from there.<\/p>\n\"how\n

Proper Prevention Prevents Poor Performance<\/h2>\n

Clearway provides in-depth security risk assessments<\/a>,<\/strong>\u00a0which we\u2019ve explored in depth in a previous article.<\/p>\n

We cannot overstate the importance of these.<\/p>\n

Why? Because information is power. Quite literally. A risk assessment is an independent review of your vacant factory, warehouse, shop or office premises to determine where, if any the security gaps are. Equally, whether your current safeguarding measures are strong enough.<\/p>\n

The result is an easy-to-read yet detailed written report and analysis and your recommended to-do list to reduce and manage threats. With Clearway\u2019s engagement, this isn\u2019t selling anything to you \u2013 that would be counter-productive.<\/p>\n

However, it will offer food for thought.<\/p>\n\"Clearway\n

So, what\u00a0are<\/em>\u00a0the risks? In no particular order, here are the key hazards faced by unoccupied commercial properties and a couple of bigger-picture problems that could be looming over the horizon.<\/p>\n

Squatting<\/h2>\n

We\u2019ve referenced this issue in some earlier articles, but the uncomfortable reality is that, still in 2024, squatting in commercial buildings of any type is NOT illegal.<\/p>\n

However, residential properties are another matter \u2013 this has been a criminal offence since 2012.<\/p>\n

Therefore, like a TV with the volume and brightness buttons turned up, the problem has intensified. Squatters now target more business-related sites: empty storage facilities or industrial locations are a good example. While we would always extend understanding and humanity to those in need, the fact remains that they can create quite a mess. And, they may be involved in drugs-related or other illegal activity. Not to mention the hazards created by discarded hypodermic needles left behind.<\/p>\n

(Incidentally, simply occupying a non-residential property is not illegal. When damage is caused, theft and fly-tipping are involved, the police\u00a0can<\/em>\u00a0intervene.)<\/p>\n

Flooding and Water Damage<\/h2>\n

Water always finds a way, it seems. It has a mind of its own.<\/p>\n

And, it wreaks a lot of havoc \u2013 or it can do.<\/p>\n

Generally, in commercial buildings, there are more water \u201cfeatures\u201d than in those found in homes. And, they\u2019re bigger, so there\u2019s more to go wrong, and on a larger scale: for instance, substantial heating systems and air conditioning. Of note is the location of the toilets in office blocks, for example. They\u2019re often the same layout and place from floor to floor. Therefore, this stacking design can lead to a cascading effect if there\u2019s an incident on the top floor.<\/p>\n

Did you know that according to the Association of British Insurers, Escape of Water claims (EoW)<\/a> are costing UK insurers \u00a32.5 million a day?<\/p>\n

Suppose your property is in a more remote location, or you live several miles away without robust management and regular inspections. In that case, the damage may not be attended to for several weeks.<\/p>\n

Theft and Vandalism<\/h2>\n

There are an estimated 165,000 vacant privately owned commercial and business premises in the UK \u2013 a surprisingly high number.<\/p>\n

From unpleasant, anti-social graffiti to break-ins, criminal damage and thefts, sites left empty are an easy target. Should windows get broken or the building appear forlorn or unmanaged, a far-reaching siren call of vulnerability could attract all and sundry. These are easy, instantaneous, tell-tale signs that there\u2019s no one there.<\/p>\n

Metal theft is an issue, with high prices paid on the black market for copper, aluminium, brass, lead and bronze. As may sound obvious, these materials may not simply be lying around; most likely, they\u2019re part of the fixtures and fittings, and their removal will cause even more harm to the fabric and structure of the building.<\/p>\n

However, your roof tiles, landscape stones, doors, timber, and almost anything else not nailed down are also attractive prospects.<\/p>\n\"fuel\n

Neglect<\/h2>\n

One day, the property looks fine, and the next \u2013 almost overnight \u2013 its neglected, mismanaged appearance becomes a big issue. Clearly, dilapidation doesn\u2019t happen this fast, but it\u2019s easy to forget it\u2019s happening. Until that is, maintenance checks fail to occur, property inspections fail to materialise, and everything takes on a faded air of abandonment and neglect.<\/p>\n

A lack of care can damage morale in the local community, attract crime, put people at risk and, by and large, look like a giant eyesore. Notably, the building will draw lawbreakers.<\/p>\n

Your repair costs could be astronomical to put things right. And, your insurance may be invalid.<\/p>\n

Fly Tipping<\/h2>\n

Fly-tipping is gruesome.<\/p>\n

Council data suggests that the problem was increasing even pre-pandemic, with 55,000 fly-tipping incidents involving commercial waste in 2020, accounting for 6% of total incidents in England. No doubt, it\u2019s a higher statistic now.<\/p>\n

In brief, organised criminals operate waste disposal services for a fee. And, they may have designs on\u00a0your<\/em>\u00a0vacant commercial property. It\u2019s illegal, damages the environment and involves large sums to dispose of safely and legally. Plus, you should know that the Environment Agency will only clear it away if there is an immediate risk to the surroundings and to human health.<\/p>\n\"\"\n

Arson<\/h2>\n

The most common cause of fires in commercial buildings is arson.<\/p>\n

It threatens life, destroys assets and affects the local community. Undoubtedly, as there is no one at the property, it will spread quickly, with no alarm raised or control measures implemented.<\/p>\n

Other Risks to Know About<\/h2>\n