DUE DILIGENCE

The successful development, management, purchase, and sale of a property or portfolio require a full understanding of the physical and administrative characteristics of the asset itself. The due diligence prepared by Twotech, based on many years of experience in the sector, is tailored to the specific needs of the client. Specifically, Twotech provides the following services:

1. Technical due diligence of real estate development projects, supporting the technical, economic, and financial planning of the project and its financing;
2. Acquisitive due diligence of individual assets or portfolios to support the purchase decisions of investors and lenders;
3. Post-acquisition due diligence, supporting the planning of asset management activities;
4. Vendor due diligence, supporting the market proposition activities of individual assets or portfolios.

More specifically, the technical due diligence of real estate development projects includes the following activities:

• Analysis of the authorisation framework;
• Analysis of the project’s organisational structure and the skills of the parties involved;
• Analysis of the contractual framework of the primary contracts for construction and services envisaged for project development;
• Technical analysis of general and specialised design with regard to feasibility, conformity, and adequacy (value engineering);
• Analysis of environmental risks;
• Verification of the development cost budget (hard and soft costs) and scheduling of activities;
• Verification of the project’s business plan sustainability;
• Risk analysis of the project by developing a risk matrix and identifying mitigation actions, including analysing the insurance programme.

Acquisitive, post-acquisition, and vendor due diligence services cover the following aspects:

• Maintenance status;
• Compliance with technical, environmental, fire-fighting regulations;
• Building area assessment;
• Land register and urban planning compliance;
• Real estate transferability requirements;
• Public registries inspections and searches (land registry, mortgages, easements, encumbrances, urban planning);
• Regularisation and adaptation actions required and related costs.