Punch lists
The list that closes out a capital project after the building is usable but not yet finished.
A punch list is the record of items still to complete or correct after a capital project reaches substantial completion, the point where the space is usable even though minor work remains. The contractor prepares it and the architect verifies and amends it. It does not push back the warranty period, which starts at substantial completion, not at punch list close.
Why a punch list exists at all
Substantial completion is a milestone of usability, not a statement that no work remains. Once the roof, the clubhouse, or the pool deck is far enough along for the association to use it, the project can hit that milestone even though small items, a scratched countertop, a door that will not latch, a mislabeled panel, are still outstanding. The punch list is simply the written inventory of those leftover items.
Boards sometimes assume "substantial completion" means "done." It does not. Treating it that way is the fastest way to release final payment before anyone has confirmed the small stuff actually got fixed.
Who writes it and who checks it
Under the AIA's standard process, the contractor writes the first draft, and the design professional checks it and adds anything missed.
"the contractor prepares a list of items to be completed or corrected following substantial completion, and the architect verifies and amends this list."
Source: Instructions, G704 Certificate of Substantial Completion, American Institute of Architects
On smaller association projects with no architect of record, who drafts and verifies the punch list depends on your contract. Confirm whether your engineer, your manager, or a board committee is assigned that role before the walkthrough happens.
What it does, and does not, hold up
Substantial completion is also what starts the clock on warranties and lets the association actually use what it paid for.
"was developed to establish the date of Substantial Completion for the purpose of commencement of applicable warranties and to allow the Owner to occupy or utilize the Work."
Source: Instructions, G704 Certificate of Substantial Completion, American Institute of Architects
A punch list still open does not mean the warranty period has not started, and it does not mean the association cannot use the space. What it does affect is money: many contracts tie some portion of final payment to closing the punch list. Whether, and how much, payment is held back for open punch list items is a contract term, not a fixed rule, so check your own construction contract or ask your retainage terms directly.
Check yourself
Answer before you read the explanation, recalling it is what makes it stick.
Your contractor announces the clubhouse renovation has reached substantial completion, but a walkthrough turns up chipped tile and a door that will not latch. What should the board expect?
Under the standard AIA process, who is responsible for the punch list?
A contractor asks for final payment before finishing two items from the substantial completion walkthrough. What is the board's best first move?
Sources
- Instructions, G704 Certificate of Substantial Completion, American Institute of Architects
Capital Projects
Once the punch list closes, the project still owes you paperwork. See Closeout documentation for what to collect next.
Who prepares and verifies the punch list, and whether final payment is held back until it closes, are both contract terms that vary by project and by whether an architect is involved. Check your construction contract for both.