• Properties often enter service with construction defects
• Early involvement of facility and property managers reduces friction losses
• Structured processes and clear responsibilities ensure a stable operational phase
Berlin, March 31, 2026 – In recent years, an increasing number of commercial and residential properties have been completed and added to the portfolio—a result of the many project developments acquired during the real estate boom. Newly built properties promise state-of-the-art technology and design, no wear and tear, and attractive rents. But the reality is often quite different: While tenants are already moving in and income is supposed to be flowing, defect remediation, warranty enforcement, and technical adjustments are taking place simultaneously. This risks performance losses, reputational damage, and dissatisfied tenants. Experience shows that the first few months after handover are crucial for the economic success
of a new building.
At the invitation of RUECKERCONSULT, Berkan Gülen, Head of Asset Management at Savills Investment Management; Markus Grabau, Head of Technical Property Management at B&L Property Management; Jürgen Hau, Managing Director of INDUSTRIA Immobilien; and Sascha Nöske, CEO of STRATEGIS, discussed typical problem areas, operational challenges, and potential solutions.
No Longer Construction Defects, but Greater Time Pressure Amid Rising Complexity Contrary to widespread perception, the panelists do not see a general increase in construction defects in their work. Rather, the nature of the challenges has changed.
“Due to the increasing complexity and interconnectivity of technical systems, it takes significantly longer today for buildings to operate reliably,” explained Berkan Gülen. Building services in particular—but also missing documentation or incomplete records—can complicate the commissioning process.
Markus Grabau sees time pressure as the main problem: “In order to generate rental income more quickly, the time available for rectifying defects has become significantly shorter. As a result, properties are entering operation with outstanding issues more frequently than
before.”
Speaking on behalf of apartment tenants, Sascha Nöske elaborated: “The first defect reports come in during the first few weeks after move-in. Then we have to determine whether it’s a warranty defect, an acceptance defect, or an insurance claim. We have to pre-sort these, otherwise we run the risk of overburdening the developers or the architectural firm.”
Jürgen Hau added: “To speed up defect management and increase tenant satisfaction, we’ve entered into a framework agreement with a nationwide partner as part of a pilot project to immediately rectify minor structural defects and settle them later with the general contractor.”
Commissioning as a Separate Project Phase
A key takeaway from the discussion: The commissioning of a building should be understood as a separate, complex project phase. “We distinguish between technical, commercial, and organizational commissioning,” said Berkan Gülen.
“Common sources of error on the technical side include missing utility meters or systems that have not been properly inspected. From a commercial perspective, the handover of contracts and guarantees is a critical issue. Often, no warranty management has been commissioned, and we must ensure that insurance policies take effect as close to the start of operations as possible. With regard to organizational commissioning, it is important to clarify responsibilities and interfaces, define escalation paths and communication channels with tenants, and clearly establish how the defect rectification process—from reporting a defect through its resolution to confirmation of resolution—should be structured. Furthermore, many problems can be avoided through preliminary inspections and regular
site inspections during the construction phase can help avoid many problems.”
Markus Grabau emphasizes: “With the handover to property management, we also assume operational responsibility. If safety-related defects arise, this often leads to the refusal of acceptance. And if contractually agreed move-in dates cannot be met, this results in high costs, especially for commercial tenants. In contrast, cosmetic defects are less problematic, as they can be rectified during ongoing operations.”
Early Involvement of Property and Facility Managers as a Key Success Factor According to the panelists, a major structural shortcoming lies in the lack of standardized responsibilities among the parties involved. While collaboration usually works in practice, friction can still arise. Clear responsibilities and defined processes could significantly improve efficiency and quality.
A recurring theme in the panel discussion was the late involvement of property and facility managers. This often leads to avoidable operational problems. Early integration, on the other hand, enables realistic budget planning, reliable operating cost calculations, and better coordination of technical requirements.
“The ideal time to bring in a property manager is right at the groundbreaking,” says Sascha Nöske. “Good preparation is everything, even when it comes to calculating operating costs. The calculation of operating expenses must not only be plausible in the first month but also hold up in the twelfth month. That only works if you already know the property well.”
Berkan Gülen confirmed this from the asset manager’s perspective: “We bring property managers on board early on, in part so that we can establish realistic property budgets and ensure a smooth transition to operation. We need to identify deviations from the calculations early on so we can take corrective action.”
Markus Grabau noted: “In practice, we as property managers are sometimes not brought on board until just a few months before completion—which is clearly too late. The facility manager could also mitigate many technical issues if they were brought on board earlier, ideally about three months before completion.”
Jürgen Hau emphasized: “It’s important to ensure that the necessary data and documents are available in a timely manner. This applies above all to maintenance contracts that are chargeable to tenants.”
Tenants Take Center Stage During the Initial Operational Phase
The first few months after completion are particularly sensitive, especially from the tenant’s perspective. Defects, technical problems, or organizational shortcomings have a direct impact on satisfaction and cash flow.
“Tenants expect a property that functions properly, regardless of whether it’s a warranty issue or not,” said Jürgen Hau. Delays could quickly lead to rent reductions and reputational damage. “Construction delays also pose a particular challenge. They can prevent comprehensive inspections from being carried out—at best, only partial inspections are possible. The result: The scheduled move-in date cannot be met—with all the associated consequences: temporary housing that must then be arranged on short notice, and household goods that must be stored.”
Structured onboarding is also crucial, especially for large residential projects with many simultaneous move-ins. “Handing over a hundred or two hundred apartments at the same time is a major logistical undertaking,” explained Sascha Nöske. “Without clear processes, chaos quickly ensues. Access routes, in particular, are a bottleneck. That’s why we work with fixed move-in dates that include time slots. We also have to explain the building systems to the tenants, on the one hand, and ensure, on the other hand, that they are operational and that consumption data can be read.”
The discussion made it clear: Early involvement of the relevant service providers, structured processes, and clear responsibilities are key levers for minimizing friction losses and achieving the planned targets for rental income, operating costs, and energy consumption.
