CHECKLIST · DD
Due diligence checklist for real estate investment
A structured DD checklist for investors receiving an Investor Memorandumfrom us. Covers legal, technical, financial and commercial due diligence — plus specific additions for BESS, data centers and industrial properties.
Legal DD
- Title register and ownership history (5 years back)
- Encumbrances, mortgages and other restrictions
- Lease contracts — main terms, termination, indexation
- Tenant covenants and any bank guarantees
- Zoning and planning (local plan, municipal plan)
- Environmental (contamination, building substances)
- Building permits and occupancy certificates
- Corporate structure (holding companies, SPV)
- Ongoing litigation and arbitration
- Tax structure (property tax, VAT, capital gains)
Technical DD
- Building technical review (roof, foundation, installations)
- Energy certificate (EPC) and report
- Maintenance plan and CapEx need (5-10 years forward)
- PCB, asbestos and other hazardous materials
- Technical installations (HVAC, electrical, IT)
- Building physics (moisture, mould, insulation)
- Fire and safety compliance
- Accessibility and building code compliance
Financial DD
- Rental income — actual vs. market
- Operating costs (maintenance, admin, insurance)
- NOI calculation and historical cash flows (3-5 years)
- Vacancy rate and renewal history
- Tenant credit review (ratings, accounts for major tenants)
- Existing financing and refinancing terms
- Tax implications (property tax, VAT, gains tax)
- DCF model with sensitivity analysis (rate, growth, exit yield)
Commercial DD
- Local market dynamics (rental market, vacancy, trends)
- Comparable transactions (cap rates, pricing)
- Competing developments in the area
- Demographic and macroeconomic drivers
- Transport and infrastructure access
- Exit strategy and expected buyer pool 5-10 years out
Asset-specific DD
For BESS projects
- Grid connection and TSO agreement (Energinet)
- Power trading agreements and FCR/FRR/aFRR market exposure
- Battery specifications, warranties and degradation terms
- Technical operations and O&M agreements
- Regulatory approvals (environment, building, grid)
For data center sites
- Power capacity and grid connection timeline
- Water supply (150,000-300,000 l/day hyperscale)
- District heating integration and excess-heat potential
- Zoning and local plan process
- Geo-technical assessment and archaeology
For industrial properties
- Environmental report and contamination history
- Conversion potential and zoning flexibility
- Production dependency and tenant operating status
- Technical plant salvage value (demolition vs. retention)
Typical DD timeline
| Week | Activity |
|---|---|
| 1-2 | IM received under NDA, initial review |
| 2-3 | Data room opens, DD team kick-off |
| 3-5 | Legal, technical and financial DD in parallel |
| 5-6 | Site visit(s) and Q&A rounds |
| 6-8 | DD report, SPA negotiation |
| 8-12 | Closing preparation, financing, signing |
We coordinate the full DD flow with your advisors (legal, audit, technical DD) and maintain transaction pace. Our role is seller-side or buyer-side, but always focused on closing.
Questions on due diligence?
Discuss a specific case, methodology or advisor coordination.