Last month, on our Commercial Project journey, we considered some important factors to be considered before signing on the dotted line.

This month, we’re moving on to Step 8 on our ‘Roadmap to success’ for commercial projects.

 

STEP 8: BEFORE CONSTRUCTION STARTS

It is very tempting at this stage to just get on with it but, as we’ve found in some of the earlier stages of our journey, patience pays off. There are a few things you should do before you start to protect yourself from possible issues in the future.

Dilapidation report

We recommend that you have your chosen builder complete a dilapidation report highlighting any existing damage before they commence work. This could be as simple as time-stamped photos and/or a video in a shared digital folder.

The onus is on the builder to report any existing damage before starting work. Builders should not be raising issues after the fact or arguing that damage was not caused by them after commencement.

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Insurance, licensing and building permit

Sometimes, you just have to accept that getting the paperwork right is where it’s all at. This is one of those times.

• Obtain current copies of your builder’s insurance policies, including public liability, contract works and home warranty insurance if it is deemed domestic work.
• If you haven’t already done so, now is the time to also check their building licence is current. You can check their licence online with the relevant state’s licensing authority.
• If a building permit is needed, it must be in place before works commence on site. For more information on when building approvals and permits need to be in place, you can read our blog about it.

Get a works schedule

The builder should provide you with a schedule or program of works before commencing works. This will keep you informed of what should be happening each week and assist you in keeping track of their progress. This schedule is normally easily updated and can form part of a regular reporting process.

Notify occupants

Notify all occupants and tenants in the building of the works that will be carried out, as well as the expected timeframes. Give them a copy of the schedule or program you have obtained from the builder, or at least an abbreviated version.

It is also a good idea to provide the occupants with the email address of someone on the project team — encourage occupants to contact the project team rather than the builder directly.

Check your finances

Make sure you have your finances in order. Expect to pay a deposit in accordance with your contract — industry standards usually provide for a deposit of 20% or less of the contract price. It helps to have an additional amount (on top of the contract price) for when things go wrong. The industry norm is to hold an extra 10% for contingency.

Order materials

If you have agreed that you will provide some of the materials, ensure they are ordered with time to spare. Your builder should be able to give you an indication of when they will be needed so you can plan your purchases accordingly.

So there you have it — you’re now ready for works to start. Next month, we’ll cover some do’s and don’ts on how to monitor and vary progress along the way. In the meantime, feel free to reach out to us if you have any queries about your project or any other aspects of commercial property 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