The grantor will usually transfer ownership, or use, of existing assets to the project company (whether or not this involves a transfer of legal title) for the purpose of performance of its obligations. These assets may not be identified and categorized before the project company takes over control. Further, the condition of those assets and need for replacement or refurbishment may not be clear until well into the project. The condition of existing assets represents a serious risk for the project company and one which it will be difficult to pass on to any construction contractor or operator. The grantor's requirements will need to allow the project company sufficient flexibility to manage these conditions.