Everything You Need to Know About Starting a New Building Project
Any kind of project is susceptible to problems, and this is especially true when it comes to commercial construction projects. Many things can go wrong when building a new building. Commercial construction projects are notorious for going over budget or taking too long to complete.
So how can you make sure you start construction without facing problems and delays? This article tells you everything you need to know about planning a successful building project.
Create a Realistic Budget
The first step in the construction project is to figure out what your budget will be. Often when people start a project, they underestimate the budget. There are many reasons for underestimating the costs of a new building.
While you might think a lot about the materials, you might underestimate how much it will cost to hire contractors. In some cases, you might even need to hire subcontractors as well.
Before starting a project, it’s vital that you sit down with all the relevant stakeholders and figure out how much things will cost. Once you have a solid budget in mind, you’ll be able to consider how you’ll secure the funds.
Secure the Funds
You don’t necessarily need to have all the cash on hand to start a project. If you can’t afford to fund construction, you might consider something like a construction spec loan.
This works kind of like a mortgage. A bank funds most of the construction costs, and you pay them back over time.
Check out this guide to construction spec loans to learn more about how this process works.
Choose the Right Location
You also need to make sure you select the right location for your construction project. There are certain things like zoning laws you need to be aware of. For example, there might be restrictions on where commercial buildings are allowed to operate.
You’ll need to make sure you select a viable location before construction can begin. Once you’ve chosen a location, you’ll need to start the process to get a zoning permit and a building permit.
Choose a Start and End Date
With specific construction projects, the start and end dates are somewhat flexible. This isn’t always the case.
In some situations, you might need access to the new building by a specific date. For example, maybe you’re relocating your offices, and you’ll lose access to the old location on a specific date.
If you’re in this kind of situation, you’ll need to make this clear to the contractors.
Planning Is the Key to Your Building Project
As you can see, you need to take the time to plan your building project correctly. Failing to consider things like zoning permits and end dates could cause severe issues for you later on.
If you want to learn more about other topics relating to commercial construction and project management, check out the rest of our blog posts.