As we approach the last two months of 2024, many of us are thinking ahead – especially if we operate a business. If renovating your business space is on your 2025 goals list, you’re in the right place. This guide details everything you need to know about choosing a commercial construction contractor for your renovation or remodel next year.
Commercial vs Residential Construction
First things first, let’s make sure you’re looking for the right contractor. There are two types of contractors, and they complete very different project types:
- Commercial contractor: works with businesses on building, renovating, or remodeling their commercial locations. This includes office buildings, retail storefronts, restaurants, healthcare facilities, assisted living homes, commercial units for rent, and multi-family units for rent, among others.
- Residential contractor: works with families or individuals on units where one family or individual lives, not properties with multiple apartments or townhouses.
Both types of contractors are great, but not for the same project. If you’re running a business of any kind, you want to work with a commercial contractor because they understand the ins and outs of renovating so a space suits a business’s needs. They’re also mindful of how a renovation will impact your bottom line.
Plus, a good commercial contractor will take the time to understand your business’ vision and how a commercial construction project can support that vision and your business’ goals.
5 Things to Consider When Hiring a Commercial Construction Contractor
When hiring a commercial contractor, the worst thing you can do is hire the first person you talk to without interviewing other candidates and thoughtfully considering each contractor’s proposal. As you evaluate a contractor’s proposal and any communication with them up to this point, evaluate how they perform in these five areas.
Their Communication Style
A relationship with a contractor is important; it’s the basis for your renovation or remodeling, and a good relationship will make the project easy to complete. A lackluster one will lead to delays, headaches, and higher costs than what are in the proposal.
An important distinction between contractors who fall into the former (easy to work with) and those in the latter (hard to work with) is their communication style. If a contractor is easy to communicate with and you feel comfortable speaking openly with them, it’s probably a good sign that they will provide regular project updates and answer any questions you have once working together.
Their Track Record
While a contractor should talk a good game, they should also deliver one. The best way to tell if a contractor has a nuanced understanding of their craft is by looking at samples of their past work. Usually, their past work will be highlighted on their website. These project highlights should highlight any obstacles they overcame, the final result, and if they were able to finish on time and on budget.
Examples of strong past project highlights include:
- This remodel for Warriors for Life
- This multi-year project for Bay Lakes Retirement Community
- This renovation for Adele Diamond
You can also ask for a past client’s contact information in order to have a more candid conversation about the process of working with a specific contractor.
Their Expertise
When looking at past project highlights, pay attention to the types of projects they take on. Are the businesses they work with similar to yours? Does the finished renovations look similar to the style you’re after? Do they work with businesses in your area?
Answering these questions is important before deciding to work with a contractor. If you operate a retail store and are opening up a location in Lynn Haven Mall, for example, it may be beneficial to work with a contractor who has worked on other storefronts at that location. Similarly, a condo complex may want to work with a contractor who has renovated a commercial residential property.
Their Location
Buying local is always great advice, but it’s especially pertinent when it comes to choosing a contractor. A local contractor is often more invested in a community and takes pride in their work. Plus, they’ll know the best subcontractors in the area and understand any rules or regulations set by local governments.
Before working with a contractor, ask them about the areas they work in and the connection to your city. You can also ask for any resources they have on local laws, such as a guide to building permits in Virginia Beach or Chesapeake, Virginia.
Their Proposal
The devil is in the details – and when it comes to construction, those details are stated in the proposal a contractor will provide.
All reputable contracts will include:
- Retainage: a contract clause that prevents contractors from failing to complete work or providing shoddy construction
- Payment terms: this clause specifies when a client must pay.
- AIA Forms: The American Institute of Architects (AIA) provides standardized forms for construction contracts
- COIs: COI stands for Certificate of Insurance and should be part of the contract documents
- Subcontractors: state the process a contractor uses to hire subcontractors
- Change orders: instructions on how to change aspects of a project, when necessary
- Termination clauses: information on the process for terminating a construction contract
Choosing Your Contractor
Aiming to complete a commercial renovation project in 2025 is a great goal, but it will take some planning (that should start in 2024). Your first step is to use the five criteria above to choose the best contractor for your project. Before the new year, gather quotes and proposals from contractors in your area and sit down with your business’ decision makers to choose the right one for your business’ future.
If in the Virginia Beach, Hampton Roads, or Chesapeake, Virginia areas, consider Carlton Building Services. Our team can provide an honest assessment of your commercial renovation project and determine if we’d be a good match.
