Planning a commercial renovation in LA: which decisions come first?

You spend the first months of design with your architect and interior designer working through finishes, you select everything, and you love it. Then the final mechanical, electrical and plumbing selections come in, and they put the project well over budget. Now you have to tell the people who spent that time on selections that some of what they chose is gone, and you are paying the architect, the interior designer and the contractor to value engineer a design you had already signed off on.

I would rather lock in what is absolutely necessary first: the structural scope, the electrical service, the mechanical system and the plumbing, core infrastructure that is required to meet your program and also to maintain code compliance. I would put those decisions at the front of the design process, because they set the budget for the core infrastructure and the timeline for rough construction, and they are the decisions that are really hard to value engineer later. Once they are settled, you have a realistic idea of how much money is left for finishes before full attention goes to them.

Program, code and existing conditions

Two things have to be known before the infrastructure can be priced: what the intended program is for the building, and what we can and cannot use from the existing building. During design, our team acts as a second set of eyes for the design team with an overall code review: accessibility, fire and life safety, kitchen infrastructure and energy.

The existing building is the other half. Our team walks the space with an understanding of the overall design, looking at the electrical service, the existing sanitary sewer, the existing building structure and behind concealed surfaces where there is existing access. Whatever the walk cannot confirm will be proposed as additional exploratory probes, so we can uncover as many unknowns as possible from the start.

Price the infrastructure before the finishes

The finishes still get the design team's time early. At concept, our team prices the project as a budget range from unit costs, quantity takeoffs and current Los Angeles construction costs, so the range can steer the design toward the right budget while the selections are still open. When the design and the budget are not lining up, we show you what is driving it and where cost can come out with the least effect on the project, and you and your design team decide.

This is the order I would put the decisions in on a renovation. It is a general sequence, and every building changes some of it.

Decision	Why it comes early	What waits on it
Structure and existing conditions	An existing building will present unforeseen conditions, and an investigation takes time	Framing, supports for roof equipment and existing conditions behind walls and ceilings
Electrical service	A larger service can mean utility upgrades and long lead switchgear	Equipment selection, panel layout and the permit set
Mechanical equipment	Size, weight and power dictate structural upgrades and service requirements	Ceiling heights, duct routes, reinforcement and the electrical design
Plumbing and drainage	Fixtures, floor sinks and the sewer connection dictate trenching requirements	Underground work and the kitchen or restroom layout
Finishes	Guided by the budget remaining after infrastructure and code requirements	Millwork, lighting and the final finish selections

Some of these come early because of time as much as cost. Switchgear and rooftop mechanical units can carry long lead times, and a supplier's lead time often starts only once drawings are approved and a deposit is paid, so those selections have to be made while the design is still developing. Our team tracks lead items and required order dates proactively, so the team understands when decisions need to be made by.

The due diligence required for value engineering

The same problem shows up later as a different headache. During value engineering, someone proposes a different air-conditioning unit that saves cost or arrives sooner, and it is accepted without the review the original unit went through in design. Then it turns out the electrical engineer never reviewed the new unit's power, and the circuit back to the panel has to change. Or the unit is a few inches taller, and the ceiling has to come down to fit it.

On our projects, no product is substituted without the design team's review. When we propose an alternative, it comes with its effect on the schedule and design impacts, and you and the design team decide. A substitute should get the same review the original unit got in design. These are the things we think about when a unit changes, and the things any general contractor on your project should be thinking about:

• Has the electrical engineer reviewed the new unit's power, and does the circuit back to the panel still work?
• Is it taller, wider or heavier, and does that change the ceiling height, the roof framing or the equipment curb?
• Do the controls and the Title 24 compliance forms still match the new unit?
• Can a technician still reach it for service once the ceiling and the roof work are done?
• Does the landlord need to approve the roof equipment or a new penetration again?
• What starts the new unit's lead time, and where does it get stored if it arrives before the space is ready?

If someone else is building it

Every one of these steps is the general contractor's job, whoever that contractor is. If you're working with another builder, a few questions early will tell you how the overall project is likely to run. During a precon engagement, has a budget for infrastructure and code compliance been set before selecting level of finishes? Are long lead items being tracked and actively communicated to design and ownership when decisions need to be made? If the contractor is proposing an alternate, is it clear what the benefit will be if it requires another review by the design team for something that had already been vetted?

How we help

On every renovation there is a point where most of the design meetings are about finishes. I want the structural scope, the electrical service, the mechanical system and the plumbing settled before that point, with a budget that is backed up by a detailed scope of work and quantities for each trade. When the decisions go in that order, the level of finishes is chosen against a budget that already carries the infrastructure and the code requirements, and value engineering, if the project needs it, has a more realistic target because we understand the full picture of the project. This is how our team looks to engage on preconstruction opportunities and provide value to the team: getting involved while the design is still developing, early budgeting, and a constructability review of the drawings before the permit set is final.