Soft Cost Delay Calculator

Soft costs often accrue during delays even when no hard work happens. This calculator sizes the drag.

Monthly soft cost

Delay months

Re-permit costs

Insurance extension

Total delay soft cost

$61,000

Monthly accrual

$48,000

One-time costs

$13,000

How the math works

Total = monthly × delay months + one-time re-permit + insurance. Soft costs accrue even in idle periods.

Fast-track dispute resolution during delays. Every month of idle adds 3-5% of soft-cost budget. Quick settlements with subs often cheaper than grinding legal positions to completion.

How to Use

Enter monthly soft costs.
Enter delay months.
Enter one-time re-permit costs.
Enter insurance extension cost.
Read total soft cost delay.

Frequently Asked Questions

What accrues?

Legal fees (monthly retainer). Design team (contract keeps running). Insurance (vacant project). Property tax (accruing). Interest (loans). Permit expiration penalties.

Scope creep?

Long delays invite design revisions. Cost engineering, VE, re-bidding. Each triggers fresh professional fees. Tight scope control during delays is critical.

Recovery?

Tough. Most soft costs not reimbursable from force majeure. GC delay claims can recover some. Check contract language; document meticulously.

Who owns this risk — sponsor or lender?

Construction risks are typically shared: hard-cost overrun owned by sponsor (via completion guaranty), soft-cost and delay risks shared per contract, force-majeure excused but bears owner carry cost. Document risk ownership in the loan agreement and GC contract before closing. Disputes get expensive when roles are unclear. Institutional deals spell out every allocation in writing.