The architect's report
A conversion asks buyers to trust a building they did not watch being renovated. The architect's report puts the building's condition on the record.
What it covers
The report assesses the property's structural integrity, its safety features, and the expected remaining life of its major components. It is included in the Public Offering Statement, where both buyers and the District read it.
How it connects to the warranty
Conversions in the District carry a structural defect warranty, backed by security equal to 10% of the estimated construction and conversion costs. The security is held for two years and returned if no claims are made. The report and the warranty describe the same building, so what one says bears on the other.
Why timing matters
The report describes the building at a point in time. Commissioned too early, it may describe conditions the renovation has since changed. Commissioned too late, it can hold up the offering statement and everything that waits on it.
Where it goes wrong
- A report that does not reflect the finished scope of work.
- Not planning for the warranty security in the project's financing.
- Treating the report as a formality, when buyers will rely on it.