Delivery Condition Gap Calculator

Delivered space often misses spec. This calculator sizes remediation.

Punchlist cost

HVAC shortfall

Electric/plumbing shortfall

ADA/code gap

Project management %

Total remediation cost

$220,000

Hard cost subtotal

$200,000

PM cost

$20,000

How the math works

Remediation = punchlist + systems shortfalls + ADA/code + PM overhead.

Delivery gaps typically surface 2-8 weeks post move-in and total 5-12% of original landlord work letter budget. Build the remediation budget into contingency, and keep holdback/offset rights baked into the lease so the tenant has real leverage to force completion.

How to Use

Enter punchlist items dollars.
Enter HVAC shortfall cost.
Enter electric/plumbing shortfall.
Enter ADA/code gap cost.
Enter project management %.
Read total remediation cost.

Frequently Asked Questions

Common gaps?

HVAC tons below spec (especially at perimeter). Insufficient electric capacity or panel position. ADA non-compliance (doors, bathrooms, parking). Missing fire-rated demising. Punchlist items lingering. Each commonly 3-10% of original budget.

Remedy?

Force landlord completion under work letter. Tenant remediates and bills back with holdback. Negotiate rent credit equivalent. Terminate for material breach. Each path varies in cost, timeline, and relationship damage.

Holdback logic?

Tenant withholds rent until delivery meets spec. Typical 1-3 months rent held in escrow. Released as items cleared. Prevents landlord abandonment of unfinished items after rent commences.