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Construction Status Review

Construction Status Review

Was Your Construction Project Shutdown?

In the event of a construction project shutdown, agreeing on and documenting the current status of construction is important in order to minimize impacts to the property. In addition to knowing where a project stands physically, knowing the state of design, entitlement, procurement, and the financial state of the project will be beneficial if/when a project restarts and if/when change order requests materialize.  A Construction Status Review involves a third party observation of the property, review of relevant documentation, and interviews with key stakeholders. The Construction Status Review can be tailored to meet your needs and can range from simply documenting the construction status to very detailed and in-depth reviews that include such items as the collection and review of contracts, subcontracts, lien releases, plans, specifications, submittals, inventory of materials stored on- and off-site, project weatherization and more.

Construction Status Review

Collect and Review Key Documents:
  • Contract
  • Subcontracts
  • Schedule
  • Pay application
  • Insurance
  • Inventory of on-site and off-site stored materials
    • Inspection, UCC-1, other assurance
  • Lien releases
Interview Key Stakeholders: 
  • GC
  • Major subs
  • Suppliers
  • Owner/Developer

Review and Document Site Conditions:
  • Access
  • Security
  • Completion status with copious photo / video documentation
  • On- and off-site stored materials
    • Rough inventory
    • Security
    • Protection from elements
  • Project weatherization
  • Excavations
  • Manpower
  • Site Conditions / SWPPP

    Anytime a project shuts down, it is a good time to seek agreement on payment(s) due for work completed to date. In some cases, contractors may aggressively estimate the value of Work-in-Place in order to generate working capital. Carefully vetting pay applications can be crucial in making sure payments don't outpace the actual work performed. 

    Reopening Construction Sites

    While the reopening of construction projects and the economy in general is under discussion at Federal, state, and local levels, additional project shutdowns are likely in states where COVID-19 is still on the rise. For projects that have already been shut down, it’s a good idea to plan for resumption of the work. Items that may impact the resumption of work include the manner and details of how the project was shut down and current factors such as the financial capacity of the owner/developer, general contractor, subcontractors, and suppliers. The qualifications and availability of personnel and workforce may also impact resumption of the work. 

    Partner stands ready to assist in case of a project shutdown, a project re-start, or both.