Tuesday April 19 2011
Date published:
You only have to open a newspaper to see the increasing number of news stories reporting on vacant properties being taken over by squatters or used to hold an illegal event.
Just a few weeks ago a £40m building between High Holborn and Oxford Street was taken over by partygoers to host an illegal Halloween party. The building was occupied for nearly 48 hours until the trespassers finally called an end to the party, leaving behind a repair bill costing tens of thousands of pounds. Another high profile case saw serial squatters take over two buildings in Mayfair, including the former Mexican Embassy, worth a combined total of £50 million.
The impact of the global recession on the property industry is clearly visible, as regeneration schemes and new developments lay dormant because progress has stalled. The situation may be set to get worse once the proposed cuts to housing allowance set out in the Government’s Comprehensive Spending Review take effect next year. According to research commissioned by housing charity Shelter, over 134,000 households will either be evicted or forced to move as they will be unable to negotiate cheaper rents leading to a rise in homelessness.
The Government has recently published guidelines for homeowners on how to evict squatters, but commercial property owners need to be aware too. Safe Estates recommends taking the following crucial steps to ensure vacant property is well protected:
- You are required by law to inform your insurer immediately when your property becomes vacant. They may have specific requirements to ensure you are properly covered
- Have a professional security survey/inspection completed to assess potential risks, such as fire hazards and public liability exposure
- Isolate the power and gas supplies and drain down your water systems to avoid flooding
- Install a letter box seal to prevent arsonists setting fire to the property. A build up of mail is also a vital clue that a property is empty
- Clear the unit making sure to remove any combustible material
- Secure the property with a permanent security officer and/or an alarm (which includes passive infrared smoke detectors and water detectors) and where required steel fittings to windows and doors
- Instigate a minimum weekly inspection both internally and externally – as required by most insurance providers
Author: John Wright, UK Director of National Accounts
