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4 Factors that Slow Construction Closeout

September 14th, 2023 | 7 min. read

4 Factors that Slow Construction Closeout

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Construction closeout is the period between Substantial Completion and Final Completion. Although you are free to occupy the building, the contractor will remain on-site to finish the punch list and prepare the building for final approvals. 

On most projects, closeout will only last a few months, but occasionally, the process may take longer. A longer closeout period can feel frustrating for some, especially when you are ready to resume normal operations. 

We’ve guided countless clients through the design and construction process and understand the frustration when not everything goes to plan. This article will explain some of the reasons why construction closeout may last longer than expected and how your architect will assist during this time. 

Understanding Construction Closeout 

Before discussing the factors that slow closeout, we should explain this phase of construction and how it works on a typical project. 

Officially, construction closeout begins when the project reaches Substantial Completion with the contractor receiving a Certificate of Occupancy from your municipality. The owner is free to occupy the space, and warranties start for building systems. 

Occasionally, owners will receive a Temporary Certificate of Occupancy from the municipality if occupancy is necessary before all life safety codes are met. These situations are common with multifamily developments when tenants need to move in before all units are complete. 

Once your project reaches Substantial Completion, your architect will visit the site and perform a punch list review. With you and your contractor present, your architect will walk the space, document issues, and create a list of work that needs to be addressed before Final Completion. Conversations about the punch list review should occur several weeks before Substantial Completion to ensure everything is in place. 

Most punch list items should only take a few weeks to address. Generally, a punch list contains small issues, like a light fixture not hanging correctly or a wall base missing a few pieces. 

While completing the punch list, your contractor will collect submittals and create an Operations and Maintenance Manual. This manual will contain product warranties, which typically last a year. 

You and your facilities staff may also receive systems and equipment training from your contractor or commissioning agent, so you understand the best practices for operating your facility. 

Once your contractor completes the punch list, your architect will perform a final walkthrough and issue a Certification of Final Completion. More complex projects may involve multiple walkthroughs, with the architect performing separate reviews for different work packages. 

Factors that Slow Construction Closeout 

Generally, construction closeout lasts 30 to 60 days, but some projects may experience a longer timeline. A longer closeout period may be due to one of many factors. Below we’ll discuss these factors in greater detail. 

1. Lead Times for Materials 

Although most punch list items are simple on-site repairs, the contractor may need to order a new material or part in some situations. Depending on the material, lead times can slow the schedule. 

Some materials, like certain types of glass, are custom-made for the project. The manufacturer may need to process the order and create the replacement material before it arrives on-site. 

In other words, not all materials are in a warehouse waiting for shipment. You may need to factor in additional time for the item’s production. 

2. Demolition of Completed Work

Occasionally, the contractor may need to demolish and rebuild completed work to address a punch list item. Depending on the scope, this can lengthen your closeout timeline. 

For example, some exterior cladding systems must be installed in a progressive sequence. If your architect discovers a damaged panel during the punch list review, the contractor may need to remove the surrounding panels to replace the damaged one. You may need to adjust your closeout schedule to account for this additional labor. 

3. Code Requirements Not Addressed in the Drawings

Reaching Substantial Completion requires a review with your municipality. In this meeting, officials will check that the building meets code and life safety requirements. 

Occasionally, the municipality may point out a previously overlooked requirement. For example, some doors may require panic devices, or some equipment may require labels for access. 

The municipality may issue a Temporary Certificate of Occupancy, allowing you to occupy the building before the issue is resolved. Depending on the materials and labor involved, these life safety issues may result in a longer closeout period. 

4. Project Complexity

More complex projects may involve a longer closeout period. Projects like multifamily developments, hospitals, and large-scale commercial facilities may involve thousands of repeatable elements. 

To make the work more manageable, the architect may break the punch list into multiple scopes. For example, there may be one punch list of doors, another for hardware, and one for systems. 

Your architect may perform separate reviews for different work packages before issuing the Certificate of Final Completion. Depending on the project’s size and scope, the closeout timeline may lengthen to account for these additional meetings. 

Learn How Your Architect Will Assist with Closeout and Post-Occupancy 

Closeout is the final stage of construction. As your contractor completes the punch list, you and your team can settle into your new space. 

Generally, closeout should take 30 to 60 days, but timelines can vary depending on the project’s scope and the labor and materials involved. If closeout lasts longer than expected, your architect should set expectations and help you understand the timeline. 

Throughout closeout, your architect remains on the project to review work and facilitate communication. They will also stay in contact once the project is complete to remind you of warranty expirations and evaluate the building’s performance. If an issue arises, your architect can communicate with the necessary parties and ensure it’s resolved. 

Whether you need product warranty information, a vendor contact, or a copy of your building plans, your architect can assist. Learn more by reading about what to expect from an architect after construction