I consider it cheap insurance to have the building your purchasing be field measured and verify the square footage, if applicable. Many times, sellers will overstate the building square footage either inadvertently or on purpose. It’s relatively inexpensive to have it professionally measured and documented. That way there’s no questions about it. At the very least, compare the building plans square footage to what the offering memorandum states or the seller is telling you.
Story: I was purchasing a property that was comprised of two office buildings. We decided to check the square footages because of some discrepancies we uncovered in some tenant lease documents. One of the buildings was being quoted as about 12% larger than it was. We called the seller on it. He told us that it didn’t matter to him. If we still wanted to buy it, he was not going to give us a discount. We passed on the investment. It just wasn’t that great a deal.
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