Houston Office Renovation :: Tenant Buildout :: Interior General Construction

F r e q u e n t l y A s k e d Q u e s t i o n s

Q	Who does IGC work for when building out a tenant's space?

A	Typically our services are contracted for by the building owner.

Q	Can you provide an accurate construction cost estimate from my preliminary space plan?

A	If your job is limited to building standard office space, a space plan is frequently sufficient to get a good construction cost estimate. The more complicated the job, i.e., those with detailed high quality finishes, heavy technical infrastructure in data centers or mechanical items associated with HVAC, kitchens, etc., more information is needed to obtain accurate pricing estimates. The majority of the construction costs in these more detailed projects are frequently associated with the engineering specs and finish details that are not yet included on a preliminary plan.

Q	What determines how long a construction job will take to complete?

A	Numerous things impact a construction schedule including; having all necessary decisions from the tenant, getting final completed construction documents from the architect and engineers, obtaining the building permit from the city which may require corrections by the architect or engineers, delivery time of special materials, waiting for periodic inspections from city building and fire officials at numerous points throughout the construction process.

Q	Why has the cost of construction increased so much recently?

A	Two main reasons are increased fuel costs and world demand for building materials. We have all seen higher prices at the pump and the big trucks that move these materials around the country are no exception. We have also seen other countries, especially China and India, begin to use significant amounts of materials as their economies quickly grow.

Q	Why does an item frequently cost more in my high rise office building than the price I can buy it for at the local building supply store?

A	Two primary reasons are quality and code compliance. There is usually a significant difference in quality between materials specifically designed for class A office buildings and those available off the shelf in a building supply store that primarily targets the residential market. Secondarily there are numerous code requirements that must be met in an office building (material standards, sprinklers, strobes, rated walls, etc.) all of which have a price tag.

Q	Why do I not get to spend all of my construction allowance on the construction of my lease space?

A	Before construction can commence, and architect and engineer must create the detailed construction documents so everyone clearly understands what is and what is not going to be built. Larger jobs frequently also have a construction manager involved whose fee typically is carved out of the construction allowance. City Hall insists that all construction jobs be permitted so they know to inspect the job throughout the construction process to insure compliance with codes. The permit fee is typically a percentage of the total cost of construction. Sometimes there are required construction expenses outside of a lease space that are necessary for the lease space to meet code; these might include extending a corridor, installing common area life safety features, providing additional electrical capacity, etc.

Q	What is TI?

A	TI stands for Tenant Improvement, also referred to as construction allowance. This is the money that a landlord typically contributes towards the cost of construction.

Q	What is a CM?

A	CM is a Construction Manager or Construction Management. Typically a third party hired to help supervise the construction work.

On Time. In Budget. No Surprise Endings.

IGC Construction, Inc. • 3613 West Alabama • Houston, Texas 77027 • Phone 713.626.1260 • Fax 713.626.1187