RICS Level 2 Surveys in EC3A

EC3A ranks among the most commercially concentrated postcodes in the country. In the eastern part of the City of London, it includes major financial institutions such as Lloyd's of London, the Leadenhall Market conservation area, and historic churches including St Andrew Undershaft and St Katharine Cree. Homes here are a small, specialised part of the market, and the stock is made up almost entirely of flats, typically averaging £850,000 to £900,000.

Because the area is so heavily commercial, EC3A sees relatively few residential transactions. Sales in the City of London are often grouped across postcodes instead of being published at EC3A level, and the resident population is small beside the daytime working population. Most buyers are professionals in financial or professional services, and many will pay a premium to live close to work. That steady demand helps keep values high despite the limited supply.

We usually see 2 main types of property in EC3A. One is pre-1919 stock, buildings first put up for commercial use and later converted into flats, often with original brickwork, high ceilings and period windows still in place. The other is post-1980 development, modern apartment blocks and mixed-use schemes delivered during phases of City regeneration and growth. The survey approach is different for each.

For a RICS Level 2 survey in EC3A, fees will often sit between £500 and £900 or more. That reflects both the high values involved and the added complexity of inspecting central London property. Against the purchase price of an EC3A flat, it is a small outgoing, and the survey can repay that cost many times over if it picks up problems before exchange.

In older converted buildings across EC3A, damp is one of the issues our surveyors most often find. Rising damp, penetrating damp through original masonry and condensation linked to poor ventilation all come up regularly in pre-1919 properties, especially in basements and on lower floors. In such a dense urban setting, moisture can travel in indirect ways and be hard to track without specialist damp meters and experience of this building type.

Roofing problems come up often as well, particularly in converted commercial buildings. A lot of EC3A's historic stock began life as warehouses, banks or offices, and the roof may not have had the same maintenance priority seen in purpose-built residential blocks. Flat roofs are especially prone to membrane failure and water ingress, while lead flashings on older pitched roofs can deteriorate with age.

We also see timber defects quite regularly in pre-1919 stock. Woodworm and rot can affect original floor joists, roof timbers and internal joinery where these survive. Our surveyors inspect all accessible timber carefully and will state where a specialist timber treatment contractor should carry out further investigation.

In modern apartment blocks, the main concerns are usually cladding systems, balcony drainage and noise transmission between units. Since Grenfell, external cladding has come under much closer review, so our surveyors note any visible concerns and recommend further investigation where needed. High service charges are not a structural defect, but they matter financially. Our reports comment on the state of communal areas, which often drives those service charge costs.

Parts of EC3A sit within, or close to, several City of London conservation areas, including the Leadenhall Market Conservation Area and sections of the Bishopsgate Conservation Area. Those designations recognise the area's architectural and historic importance, and they limit the sorts of alterations that can be made within their boundaries. Anyone buying here should be aware that some changes may not need formal planning permission, but many will.

There is also a notable concentration of listed buildings in the area. Historic churches such as St Andrew Undershaft and St Katharine Cree are Grade I listed, and many commercial and civic buildings are Grade II listed. Where a residential property forms part of, or adjoins, a listed structure, the legal and practical obligations increase. Any alteration to a listed building needs listed building consent, and earlier works carried out without it can create real complications for a buyer.

Our reports flag visible evidence of alteration and note where listed building advice or extra legal enquiries may be sensible before exchange of contracts. For any EC3A property with listed status or conservation area status, a RICS Level 2 survey is the minimum we would usually suggest. If the structure is more complex and historic, a Level 3 Building Survey is often the better fit.

Where buyers are purchasing modern apartments within larger mixed-use schemes in EC3A, the focus changes. We look at communal areas, the external building envelope and shared services, because those affect every resident and are usually managed through the service charge. If communal elements are poorly maintained, leaseholders can face substantial cost risk, so our reports point out areas that appear to be deteriorating.