Are properties constructed by Leopalace21 but managed by other companies subject to investigations?
We will investigate all properties constructed by Leopalace21, regardless of the current management company or construction period.
We will receive approval of investigations from the current owner of the property, as well as contact the management company and verify the occupancy status of the property. Thereafter, we will adjust investigation schedules and inform the owner, management company, and tenants, and conduct the investigations. We will submit the results as a report to the owner.
Concerning properties subject to top-priority investigations noted in the press release announced on April 27 and May 29,2019 we will compensate for the rent of vacancies during a period designated by Leopalace21.
Also, concerning properties not subject to top-priority investigations, if parting wall defects are confirmed as a result of investigations, we will compensate for the rent of vacancies during a period designated by Leopalace21.
We will prepare and submit a report, including photographs taken during the investigation. If there are deficiencies in the parting wall construction and repair works are deemed necessary, a personnel from Leopalace21 who is responsible for a property owner will visit and explain the situation in detail.
The repair work method and dates will be fixed after consultation with specific administrative agencies.
Will there be any burden on property owners concerning repair works?
As a result of the investigation, if it is confirmed that the parting wall is absent or there is any problem regarding construction, we will take responsibility and conduct repair works at our expense.
Will fire insurance still cover damages caused by fire to properties with parting wall defects?
Insurance contracts wll not become invalid based solely on the fact that the property is in violation with the Building Standard Law. Therefore, standard procedures will be taken and insurance payments will be determined by investigating the situation and cause of damages. We believe fire insurance contracts will not become invalid due solely to parting wall defects (violation of the Buildings Standard Law).
