We strongly recommend commissioning a Schedule of Condition before entering into any commercial lease. This report provides a comprehensive snapshot of the property’s condition at the outset of the lease, including photographic and written documentation of any defects. It acts as vital evidence in the event that the landlord serves a dilapidations claim at the end of the lease term. In many cases, a properly prepared Schedule of Condition can help protect tenants from being held liable for repairs or reinstatement works that were not their responsibility.

These reports are especially important for tenants entering leases that include a full repairing obligation or reinstatement clause — where the property must be returned to its original condition. A standard repairing covenant may require the tenant to maintain both the structural and internal elements of the building, including the roof, external walls, floors, windows, doors, ceilings, and finishes. Tenants are also commonly responsible for statutory compliance, decoration, and alterations. Without clear evidence of the building’s condition at lease commencement, tenants risk inheriting substantial and avoidable liabilities.

To limit your exposure during and at the end of a lease, a Schedule of Condition should be prepared and agreed with the landlord. By documenting the building’s state of repair at the outset, the tenant can avoid the obligation to return any element to a better condition than it was in at the start.

Schedules of Condition are also commonly used in connection with building works carried out near or adjacent to a property. This is particularly relevant under the Party Wall etc. Act 1996. In such instances, a schedule of condition serves to record the condition of a neighbouring property before works commence. If damage occurs during or after the building works, the original report provides a crucial point of reference to determine whether any harm has been caused.

A Schedule of Condition is a carefully prepared report that records the condition of a property in detail at a specific point in time, typically before a lease begins or prior to nearby construction works. The surveyor will document all relevant aspects of the property using high-resolution photographs, video (where appropriate), and clear written descriptions.

Our reports are structured so that each photograph is supported by explanatory text, ensuring that the observations are easy to understand and can be relied upon by all parties. The focus is on highlighting defects or items of disrepair to both the external and internal fabric, structure, and services of the building as they exist at the time of inspection. The severity of any issues identified is described clearly, offering essential insight into the current state of the property.

At SJM Surveyors, we ensure that our Schedules of Condition are produced to the highest professional standards. Our experienced commercial surveyors have extensive expertise not only in Schedules of Condition, but also in dilapidations matters and full building surveys — equipping us to identify the types of defects and liabilities most likely to become contentious at lease end or following nearby building works.

Whether you're a tenant, landlord, developer or adjoining owner under the Party Wall etc. Act 1996, our reports offer clear, reliable protection and peace of mind.

Either during the lease or at its conclusion, a landlord may serve a Schedule of Dilapidations, setting out the alleged breaches of the tenant’s repairing obligations. This schedule identifies the elements of disrepair the landlord believes have occurred, outlines how these should be remedied, and, in the case of a terminal schedule, includes cost estimates for the required works.

At SJM Surveyors, we have supported many clients, from small independent businesses to large national businesses, who felt unfairly held responsible for defects that were present prior to their occupation. Often, these disputes arise because there was no formal record of the property's condition at the lease outset.

A Schedule of Condition, when properly prepared and appended to the lease, provides vital protection against this scenario. By clearly recording the condition of the premises at the beginning of the term — including any existing disrepair — the tenant has a robust defence against future claims for works they were never responsible for.

In practice, this means that when a Schedule of Dilapidations is served, the tenant can refer back to the original Schedule of Condition to challenge items the landlord is seeking to include, helping to mitigate or eliminate unfair liabilities.

In our experience, this simple yet essential step can prevent tenants from being pursued for costly remedial works that fall outside their true obligations. For this reason, most solicitors will strongly recommend that a Schedule of Condition is prepared and formally incorporated into the lease agreement.