During a webinar titled “The New Edifice of Vacant Property: Protecting Asset Value as Commercial Real Estate Slowly Recovers” presented by PropertyCasualty360.com, Zurich's Jeff Shearman, senior risk-engineering consultant, reviewed a host of security best practices for idle and vacant properties.
When preparing to idle a facility, “do a vulnerability analysis” to identify areas that natural elements can affect, such as roof hatches and windows, as well as areas that human elements can affect, he says, referring to human actions ranging from setting fires to squatting.
Shearman distinguishes between idle and vacant properties, giving slightly different definitions for risk-engineering purposes. Idle properties are those with contents and systems left in place so that the facility can be used for the same purpose in very short order.
In vacant facilities, the heating, ventilation, air-conditioning and alarm systems are shut off, contents are removed, and the building is secured in a more permanent manner.
Because an idle facility is merely “stopped in time”—where it was when the last person walked out the door and shut the lights—valuable resources remain on site and become attractive targets for thieves. They are going to be watching, Shearman notes, recommending that owners perform “regular, though not predictable tours” daily or weekly.
“Don't go every Tuesday at 2 o'clock,” Shearman says. And the tour shouldn't be a “WD-40,” he adds, coining his own phrase for a drive-by at 40 miles per hour.
In a vacant facility, such tours can be done more irregularly and less frequently, he says.
For an idle facility, it's very important that protection (fire- and security-alarm systems) remain in place. “In a vacant facility, insurers still like to see such systems as much as possible. But if there's just bare concrete and block walls, then…it's more palatable to idle or take down [protection] systems,” Shearman says.
In either case—whether a building is idle or vacant—resources such as copper pipe and wiring may remain on site, making it a good idea to maintain a security-alarm system. Shearman advises owners to check whether the security system is “tied into the fire-alarm dialer.” In some instances Shearman knows of, owners believed they were taking only the fire-alarm system out, not realizing that the burglar alarms were on the same modem, and they unknowingly took those offline too.
Other guidelines Shearman provided that apply to both idle and vacant buildings:
- Consider fencing the facility perimeter; there are security systems available that will activate if a fence is cut.
“They can make decorative fences that don't make it look like a prison but provide some added level of security,” he says, helping owners to balance the goal of security with curb-appeal for potential buyers.
- Secure mail slots and drop points, such as night deposits for banking facilities.
“Those are places people can pour flammable liquids into to set buildings on fire,” he says.
- If you have a shed or portable building on site, consider getting them off the property.
Shearman suggests that such buildings can be turned into methadone labs or storage facilities for contraband.
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