The timely and accurate flow of funds to cover the costs of construction is critical to the health of a project.

Construction Monitoring Services are typically performed monthly and include the following:

• Visit to the Construction Site by a Trained Professional

• Review and Analysis of each Monthly Payment Application (typically using AIA G702 / 703 format)

• This Payment Application review includes:

  • Budget Revisions, Corrections or Reallocations

  • Change Orders

  • Adequate Funds to Complete the Work

  • Calculation and Transcription Errors

  • Percentage of Completion of each item

  • Retainage Errors, Releases, or Revisions

  • Stored Materials Documentation (on and off site)

  • Proper Funding Credits to Subcontractors and Suppliers

  • Coordination of Funding among Bank, Owner and Contractor

  • Required Signatures and Approvals

• Review and Analysis of Lien Waivers and Releases

• Comparison of Actual Work Completed to Required Progress Schedule to:

  • Confirm Target and Completion Dates

  • Review of Gantt Chart & Critical Path Schedules

  • Track any potential or actual Liquidated Damages (if applicable)

• Review and Analysis of Change Orders for:

  • Analysis of effect on Loan Collateral

  • Confirmation of Change Order Scope and Costs

  • Required Signatures and Approvals

  • Proper inclusion into the Contracts and Budgets

• Materials Testing Reports for:

  • Proper approvals of material adherence to Specified Quality

  • Notification and Tracking of low quality materials

• A full written Report of our findings including:

  • Observations of our Site Visits

  • Discussion the items noted above

  • Extensive, documentary photographs of the Site and Buildings from our visit.

  • Copies sent to Owner, Contractor, other lenders or interested parties