Construction is Finished – Now What? Steps 11 & 12

Aug 25, 2023 | Commercial and Industrial

We’re so close to the finish line on our construction project journey!

This month, in Steps 11 and 12 on our Roadmap, we identify those final wrap-up tasks that you need to attend to.

 

STEP 11: TO-DO’S AFTER CONSTRUCTION

Once construction is finished, you are almost at the end of your project. But, before you toast to a job well done, ensure you have received the relevant permit and warranty documents.

Occupation (final) certificate

If you had to acquire a building approval or permit (as outlined in this blog, the names vary from state to state) before starting construction, your builder should provide you with an occupation (final) certificate.

Warranties

Your builder should provide you with warranty documents and, where applicable, relevant manuals for equipment operation. Ensure you are crystal clear on the warranty period to save yourself any issues later.

The defect liability period

Usually, the defect liability period under a construction contract is 12 months. This period gives you the opportunity to occupy the building and/or properly inspect the works. If any issues arise in the defect liability period, your builder is obligated to promptly rectify the issue.

It is standard practice to hold a retainer (called a retention) of 2.5-5% of the contract value until this period ends. This is the builder’s incentive to ensure that any issues are rectified promptly.

We recommend setting a reminder for yourself one month before the defect liability period ends so you can conduct one final inspection before your warranty expires and before making your final retention payment. If you are not confident in carrying out the inspection, there are other third-party companies that will assist.

Your obligations under the warranty

Ensure you uphold your end of the warranty agreement by servicing and cleaning equipment according to instructions, reporting any issues promptly and keeping up with general maintenance, such as cleaning gutters and unblocking drains.

Engaging another contractor to remedy works

Don’t be tempted to arrange for another contractor to remedy any defects. There is no guarantee that your original builder will reimburse you for this — in fact, engaging someone else will probably void their warranty. If you are struggling to communicate with or have your builder remedy defects within a reasonable timeframe, contact the licensing body for your state or territory. They will normally provide advice and step in if needed.

Update your insurance

With any luck, you have increased the value of your asset. It is crucial that you now review your building’s insurance policy and update it, if necessary. Make sure you are not under insured.

Check your maintenance contracts

Now that your construction is completed, you may have had new equipment added or maybe your building’s floor and/or surface area may have increased. If you have maintenance contracts in place for cleaning or maintaining equipment, for example, contact your maintenance contractors to ensure your ongoing maintenance contractors are updated to accurately reflect your current maintenance needs.

When reviewing your maintenance contracts, bear in mind it is not uncommon for servicing of any new equipment to be already included by your builder for 12 months (or for the length of the defect liability period under your building contract). It may be that your maintenance contracts do need updating, but with effect from a future date. Be sure to diarise to follow up on this if this is your situation.

Now that your construction is completed, you may have had new equipment added or maybe your building’s floor and/or surface area may have increased. If you have maintenance contracts in place for cleaning or maintaining equipment, for example, contact your maintenance contractors to ensure your ongoing maintenance contractors are updated to accurately reflect your current maintenance needs.

 

STEP 12: PAT YOURSELF ON THE BACK

Well done — you made it!

Be proud of what you have achieved. This is the part where you sit back and enjoy what you have created. If all has gone to plan, your builder should join you in reflecting on a great job.

Once the dust settles, you can start planning the next stage of the grand plan for your building.

We hope you found our 12-step construction project roadmap useful. If you’d like any further guidance or assistance with your upcoming project, or ongoing commercial maintenance, you can find us at:

Head Office (AU)
7/121 Newmarket Road
Windsor QLD 4030
www.core4service.com.au
hello@core4service.com
1300 267 333

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