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What causes delays and defects in construction projects?

On Behalf of | May 23, 2022 | Uncategorized

As delays in construction projects continue across the country, labor and building costs also continue to rise. Many contractors also struggle to complete projects on time due to shortages of suppliers and issues with manufacturers.

While the overall rate of multifamily construction starts dropped between 2020 and 2021, around 83 percent of developers surveyed stated that they experienced construction delays in mid-2021.

Leading causes of construction delays

Construction Dive discusses the numerous construction delays and contributing issues such as the problems leading to increased costs. Construction materials faced an enormous surge in price, causing distress to many developers. Lumber alone amplified by 200 percent in cost between 2020 and 2021.

Developers had to cut costs in other ways due to this increase in lumber costs. 49 percent reportedly cut costs through the elimination of other fixtures and materials. 62 percent also provided customers with project price revisions. Unfortunately, whatever option they took, this often caused major delays in construction which often lead to the necessity of renegotiating contracts.

Sources of defects in a project

Delays and defects in construction projects these days thus often require special clauses that help prevent breaches of contract. Potential sources of defects in a project can include the misinterpretation of a construction plan’s details, and deficiencies in workmanship.

When developers need more time to complete projects or need to start sourcing different materials, contracts might need revisions. Revisiting and renegotiating a contract is one way to help stay out of court, which is a valuable incentive for everyone. Court battles unfortunately have a heavy financial cost for everyone on top of taking up even more time, and thus everyone should work to avoid it.