Commercial Real Estate Due Diligence & Financial Exposure Analysis
We are an independent advisory, applying structured, asset-level analysis of commercial real estate due diligence documents for buyers. Our review includes analysis of lease provisions, operating history, and documented capital expenditure patterns to identify financial, operational and capital expenditure exposure not readily apparent from individual document review.
Commercial real estate transactions involve extensive lease documentation, operating history, and capital expenditure records. These materials are often reviewed separately through legal, accounting, and technical perspectives, each focused on a specific discipline. While that addresses important details, financial and operational exposure may only become clear when the asset is analyzed as an integrated whole. Fidelis Commercial Advisors applies a structured, asset-level analysis of lease provisions, operating performance, and documented capital expenditure patterns to identify financial and capital expenditure exposure that may not be evident from individual document review.
We serve private investors, syndicators, and family offices acquiring retail, office, and flex/industrial assets who want structured interpretation of lease, operating, and capital expenditure risk prior to closing.
Areas of Risk Often Overlooked
Fidelis Commercial Advisors evaluates retail, office, and flex/industrial assets across three primary areas of exposure:
Lease & Revenue Structure
Economic lease terms and embedded obligations
Expense recoverability and allocation analysis
Base year and modified gross exposure interpretation
Lease renewal and rollover timing risk
Base year and modified gross structures
Rollover concentration and renewal assumptions
Operating Expense Exposure
CAM reconciliation structure
Variance trends within operating history
Recoverable versus non-recoverable classifications
Contract escalation patterns
Capital Expenditure Exposure
Roof, HVAC, and major system replacement timing
Deferred maintenance indicators
Capital clustering risk
Remaining useful life assumptions
Acquisition Risk & Financial Exposure Review
A structured pre-closing analysis designed to identify material financial, lease, and capital expenditure exposure embedded within commercial assets.
Deliverables typically include:
Written risk memorandum
Lease economics interpretation
Expense recoverability analysis
Capital expenditure timing assessment
Identified exposure summary
One advisory review session
This analysis is typically engaged during the letter of intent (LOI) to contract stage to provide underwriters, investors, and deal teams with clarity on exposure drivers before final commitment. Deliverables are structured for use by investors, lenders, and advisors in investment committees and financing reviews.
*Advisory services are based solely on documentation provided and do not include engineering, legal, or inspection services.