Construction projects pose unique risks in real estate investment because so many variables can affect the successful completion of the project. Inadequate plans, optimistic schedules and budgets, and even an incomplete understanding of end product can significantly impact the probability of success.
An independent document and cost review, also referred to as pre-construction document and cost analysis, can help to mitigate these risks by evaluation of:
In order to complete the assessment, the following documents are typically needed:
A review of the following documents may also be completed, if provided:
Following a Document and Cost Review, Construction Progress Monitoring can further enhance the management of construction risks.