Severe Weather Conditions: What Are a Landlord’s Responsibilities?

With the weather becoming more and more unpredictable, understanding what your responsibilities as a commercial property landlord are in extreme conditions is essential. Whether it’s high winds causing roof damage or flooding, the repercussions of bad weather can have lasting impacts on you, your building and your tenants. While there may be certain measures that landlords can take to protect the building from such inclement weather, ultimately, the responsibility falls on you as an owner in the event of any destruction or damage that occurs. This post will explore what it takes for a landlord to stay prepared and compliant when faced with severe weather changes.

Inspections and insurance

Once it is safe to do so, properties should be inspected for damage. Please ensure that one of your next steps is contacting your insurance broker or insurance company so that a claim can be lodged at your premises. In the event of flood damage, ensure to exercise inspections with caution. Not only does the water carry raw sewage and contaminants, but it may also conceal hidden dangers and conduct electricity, posing serious health risks. If there is significant water damage, avoid turning on the electricity until it’s been inspected by a professional. Photograph as much as you can of the damage to the property (remember, every picture you provide will help better support your insurance claim). Photographs are essential as videos cannot be uploaded to support claims. Make sure to measure and clearly mark on the property where the water levels have reached their highest point and photograph and document. Insurance claims should be submitted as soon as possible. Normally a quicker response will occur if you submit insurance claims online. Be aware that your property won’t be the only one needing repairs, so the sooner you put a claim in, the better. You may be able to remove any damaged goods or carpets that pose health risks, but contact your insurer before you do so and let them know. Especially if the removal of the good or carpet avoid additional damage being inflicted at the premises – such as the creation mould or a pest infection.

Maintaining the building

As the owner of the building, it is your responsibility to maintain it, especially if its condition prevents your tenant from trading. In times of acts of God, commonly termed “Force Majeure”, your contractor network becomes vital. Like insurers, their phones will be ringing off the hook, so having existing solid and trusting relationships will help put your name at the top of the list. Get tradespeople in quickly to assess and quote for repair works involving essential services like water, electricity, gas and sewage is top priority (note: keep copies of invoices for these services for insurance purposes). As mentioned, if you can completed works onsite that would prevent further damage – then do so. Where possible, weatherproof areas of the property to protect it against further damage.

Tenants

Communication with tenants is key in the event of severe weather. Make sure your tenants are safe and clearly understand the steps you are taking to restore the property. While landlords are responsible for the overall condition of the property, tenants are responsible for making their own insurance claims if their stock or fit out has been damaged. If a property has been completely destroyed and is unusable (as in the case of many during the Christchurch earthquakes), the lease could be terminated depending on the terms agreed to between a landlord and tenant in there deed of lease. In cases where repairs are necessary, but trading can continue within the premises, suitable reductions should be made on rental payments in line with the damages incurred.

Commercial property managers

As a landlord, it is important to be prepared for any potential weather-related damage and take steps to protect your property. Make sure that your property is insured and insured for the correct reinstatement value, make sure that your insurance valuations are up to date. However, the extent of severe weather usually goes beyond just your investment properties. The added pressures of having to restore your own home on top of your commercial properties can be a heavy burden – that’s where Azure can help. As your commercial property manager, Azure will cover inspections and insurance claims, ensuring that in the event of extreme weather or natural disasters, both you and your tenants are taken care of. We will also handle all the communication your tenant requires, as well as being a calm presences during stressful times. We have an established network of trusted contractors to help speed up the repair processes and keep clear communication lines between investors and tenants. Whether it is a hurricane or perfect sunny weather, our main goal is to protect your investment and keep your tenants trading and happy.