5 Best Practices for Successful Commercial Construction Projects

Getting a commercial construction project off the ground can be a daunting process. Many moving parts need to work together with your commercial contractor, including skilled labor, materials, and equipment. It also takes financial resources and a commitment from business owners, developers, and stakeholders that will be involved with the project.  To help ensure your project is a success, follow these five best practices in commercial construction:

Develop a Plan

Every successful commercial construction project starts with a plan. It is where you tell your story and share your vision for your project with prospective contractors. Whether you are planning to build a steakhouse, renovate a hotel, modernize a theme park, or any other commercial project, it is essential to outline your ideas and requirements to potential contractors. The commercial contractor you select will use your plan to bring your vision to reality.

Define a Budget

Your budget is not necessarily the funds that are available for your construction project, nor is it a cost estimate. But instead the financial resources you are committing for the project. Defining a budget gives you better control over costs. If your budget is too low, however, you may need to adjust it to reflect actual construction estimates.

Plan to Negotiate

The lowest bidder may not be the best contractor for the job. Make sure to interview contractors with experience in building commercial projects that are similar to yours. When you find the best commercial contractor for your project, engage in good faith negotiations for better pricing and terms. You will have a more favorable outcome if you are prepared to compromise. The general contractor may be able to offer different delivery terms or material substitutions that are less costly without affecting the integrity of the project. Or you may be willing to take on more risk for a lower price.

Establish Realistic Schedules

Establishing realistic timelines for critical milestones is vital to the success of any construction project. It is crucial to work with your commercial contractor to develop these schedules in advance. Although labor shortages and materials delays can affect plans, still it lets all stakeholders monitor the different phases of construction throughout the process.

Communicate with Stakeholders

It is essential to communicate with stakeholders throughout the entire construction process. But a recent study revealed that less than half (44%) of owners effectively communicate with stakeholders, according to a 2016 report published by Dodge Data & Analytics. Having regularly scheduled meetings with your single point of contact with the commercial contractor and keeping stakeholders informed will help eliminate surprises. It will also reduce the time for owners and project managers to make critical decisions when they arise.