Meaning
Detailed photographic and descriptive records capture the state of a property at the exact moment a lease or production run commences. Establishing a dilapidation baseline protects both the tenant and the landlord from disputes regarding damage and wear. This document serves as the evidence for future repair claims.
Asset Condition
Surveys conducted before any equipment is moved onto the floor identify existing cracks or mechanical issues. The dilapidation baseline includes notes on the state of the walls, floors, ceilings and utility connections.
Liability Assessment
Comparing the end of term state to the original records allows for a fair calculation of repair costs. A dilapidation baseline prevents a landlord from charging for pre-existing defects. It provides a clear legal defense when a project concludes and the site is vacated.
Restoration Benchmark
Contracts often require a facility to be returned to its original configuration once production ends. The dilapidation baseline sets the standard for what original means in a technical sense. Without this record, the cost of vacating a facility can escalate as every mark is treated as a new defect.
Proper documentation at the start of a ten year lease saves considerable sums during the decommissioning phase.