Real Estate Investing Adventures

Construction Completion 

The typical construction project starts off slow, goes like crazy for awhile and then slows back down to a crawl as you are trying to get the project done. Finishing the last 10% of a project is tougher than doing the middle 30%. You are dealing with all the little finish details and items that didn’t quite work right that were put off until the end. The coordination of the various types of work and the large number of subcontractors all make the final 10% of completion a real challenge. So how do you manage it? There is no easy answer. You just have to dig in and push every day. It is well worth your time to do so. Without actively managing the completion of a project, you could lose a month or two. In interest carry alone, think of what that does to your potential profit. When you add up all the costs, management time and missed opportunities, the cost of not completing well can be staggering.

Completion List - Managing the Last 10% 

Here’s an actual example of a completion list spreadsheet that I used on this project to manage the completion. This is not a punchlist. That is something completely different. This is a list of those items that aren’t yet complete. I walked the project and made a list of all the items that weren’t complete. Then met with the contractor and got a commitment on when he would be done. And then every week, I walked the project again and updated the status of the items on the list. This was then e-mailed to the contractor with my comments.

It is a simple, but effective tool. As the weeks start marching by and the work is not complete, it becomes almost embarrassing for the contractor. This simple tracking tool makes him want to get the items checked off the list. Same concept as when you put together a “to-do” list for yourself. Ever add any itmes to your own list that were already done or could be done instantly just so you could get the satisfaction of crossing them off?! Same concept.