I find that one of the most significant contractual complications in construction that many people don’t understand is why pinning down an exact date for Certificate of Occupancy (C of O) can be so difficult. Our client (or bank examiner or owner’s rep) is often eager for the planned move-in date once we get about halfway completed with a project. And Rafn’s leadership wants to know how we are doing because C of O is often used to define the substantial completion of our contract.
Certificate of Occupancy at Flourish on Rainier Apartments
I recently finished a 182-unit affordable housing project in the City of Seattle, in which the process of obtaining the C of O took three months to complete (62 working days). And that was a project where the process went smoothly! In fact, our inspector for the final fire inspection actually ran through her inspection, literally running from unit to unit to ensure she completed every item on her list in the meager four hours she had that week to get it done. We aren’t always that fortunate.
The Certificate of Occupancy generally assumes that all the work on a construction site is 100% complete. Alternately, a Temporary C of O (TCO) can be used as an interim step for situations where all the work cannot be completed. For example, incomplete landscaping in the dead of winter, right-of-way restoration relying on public utilities, supply chain issues for proprietary components, and separate construction schedules for tenant improvement spaces. The jurisdiction having authority (JHA) must approve our request to pursue TCO. This is a formal written request demonstrating that all requirements can be met.
One hindrance to pinning down the precise date can be the jurisdiction in which we are building. Each jurisdiction (JHA) has a unique process, and those processes are frequently evolving as building codes are updated. Each JHA is also dependent on staff who have unpredictable workloads. At the time I finished that project, a final fire inspection required a 30-day lead time. Imagine if we didn’t pass or weren’t ready and had to reschedule. That alone could take 2 months. Pre-inspection walk-throughs with each inspector to catch any surprises before the final inspection are key to keeping the whole process on schedule.
To start the process, each individual permit needs to be signed off. We usually schedule this process sequentially as systems are completed, with plumbing usually done first. However, for a final plumbing inspection, the electrical system needs to be functional so each dishwasher can be tested and the heat pump hot water system can be operational. The final plumbing inspection also includes gas piping, condensate piping, water pipe disinfection, pipe insulation, and access panels for every shut-off valve.
Plumbing Lines in Parking Garage at Flourish on Rainier Apartments
HVAC Equipment on the Roof at AMLI Spring District Apartments
Mechanical comes next and is typically done by area, depending on the jurisdiction. In some cities this is one inspection, and in other cities it can be multiple, sometimes not all by the same inspector. The same research is necessary for the final electrical inspections – one or multiple? On another recent multifamily project in the City of Bellevue, the inspector tested power in every single outlet in the building. That did not get done in one day.
The first major hurdle on the way to C of O is the final elevator inspection. Sometimes the inspector is from the city (Seattle), and sometimes they are a state L&I inspector, but either way, it is a much more complicated inspection. In addition to just the elevator and hoistway, anything related to smoke control and pressurization is part of this inspection. Elevator pressurization can require a third-party inspector who has to be coordinated. The final electrical inspection must also be clearly and visibly complete. The pressurization inspection process was recently changed in Seattle on my last project and the software used to upload smoke control documentation wasn’t functional, further complicating the process. In Seattle, elevator inspector availability is limited and should be scheduled at least 3 weeks in advance.
The final elevator inspection must be done before the final fire inspection can be scheduled. The wait time for final fire inspections was 30 days on my last project. This inspection requires the fire alarm, line voltage, mechanical, and smoke control to be 100% complete. Public utilities must be physically signed off, and double check valves must be appropriately tagged. All monitoring must be fully functional, and all signage and wayfinding must be done. Temporary barricades, fencing, floor protection, ladders, and tools must be removed from the site before the final fire inspection can commence. Even the blue tape from the punchlist must be gone (I once had an inspector at this stage walk in with a white glove looking for dust in the stairwells). Fire sprinkler tamper switches and flow tests must be complete, and all strobes and smoke detectors must be clean and operational. Finally, the elevator recall is tested, as is the DAS (radio repeater system) and the fire doors.
Signage and Wayfinding at AMLI Mark24 Apartments
Egress Path and Egress Lighting at AMLI Wallingford Apartments
Once the final fire inspection is passed, it is usually an easy next step with the building inspector. Unlike most previous inspectors, they know the building better. It can still be a lengthy process in some jurisdictions, as some building inspectors will want a final look at every room. They will also look at egress paths and egress lighting. And they will ensure that all special inspection final letters have been recorded, the structural engineer’s final report is in the system, and all outstanding fees have been paid.
Right-of-way final inspection can happen after the building inspection and must be done for a C of O (or TCO). Land Use review and acceptance must also be finalized and all permits must be closed in the jurisdiction’s records, including the often-overlooked temporary power permit (which we took out two years prior). This also includes all documents, inspections, final acceptance letters, and operational permits. Now, the project is eligible to receive its Certificate of Occupancy!
This is the straightforward route to C of O when everything goes to plan, but the process is constantly evolving. The value of a great general contractor is to shepherd the project through this ever-changing process by staying up to date on code, inspection protocol, and schedules. I hope this helps everyone involved to see the need for patience while the project team navigates its way as nimbly and efficiently as possible to the much-awaited end date.
John Kellberg
John is currently leading the construction team at Rafn’s AMLI Redmond Apartments project. He was also the Superintendent of Rafn’s Flourish on Rainier, AMLI Spring District, AMLI Wallingford, and AMLI Mark24 apartments projects. These five projects alone represent almost 1,300 units of new housing, both market-rate and affordable, built in the last ten years.