Contingency and sequencing for a 165 m² Buenos Aires renovation

readsAndMeter

Property investor
The ARS 101,100,000 budget looks workable only if the concealed services do not produce major surprises. My specific concern is coordinating access to plumbing and wiring without repeatedly damaging completed areas.

This is a 165 m² mixed-use building in Buenos Aires, with work planned to the kitchen, bathrooms, floors and decoration, plus electrical assessment and modest efficiency improvements. There is no proposed extension. At this early stage, how much contingency would you keep outside the main contract? I would also welcome suggestions for inspection questions that reveal moisture, service access and likely material delays, as well as contractor exclusions for opening walls and making them good again.
 
With that range of work, I would initially carry about 20% until targeted inspections and opening-up work reduce the uncertainty. Keep it separate from allowances for finishes. Ask each contractor to identify assumptions, exclusions and items priced provisionally, especially wall repairs after electrical or plumbing access, debris removal and making good.
 
Is the building occupied during the work, and do the residential and commercial parts share plumbing runs, electrical service or access routes? Those answers could change the sequence more than the finish specification. I’d also want to know whether bathrooms and kitchen can be reached from below or behind, rather than through finished surfaces.
 
I’m wary of selecting a contingency percentage before confirming what ARS 101,100,000 actually includes. Two bids can show the same total while one excludes protection, temporary services, testing, disposal, permit-related costs or final patching. Issue a scope matrix and make contractors mark every line as included, excluded or allowance. That will reveal more than asking for a single fixed price.
 
The phrase “electrical checks” is too open-ended. Does it mean inspection and testing only, replacing unsafe sections, or allowing for wider rewiring if defects appear? Define the stopping point. For sequencing, investigate moisture first, then confirm service routes, complete disruptive electrical and plumbing work, close walls, and only then proceed with flooring and paint.
 
Agreed on defining the electrical stopping point. I’d add targeted moisture readings and small inspection openings around wet areas, roof or terrace junctions, and any visibly stained walls before cabinetry or flooring is ordered. Also ask whether cracks, deflection or persistent dampness justify a more focused structural assessment; “no extension” does not automatically mean zero structural risk.
 
I wouldn’t open everything at once, though. Broad demolition can create avoidable repair work and leave more of the building exposed while decisions are pending. Start with openings that answer specific questions: pipe condition and direction, cable routes, substrate under flooring, and the source of damp. Expand only where the findings justify it.
 
Another missing piece is how long the budget is expected to remain valid. Ask bidders to state the pricing date, quote-validity period, material lead times, payment schedule and how later price changes would be handled. Keep the contingency for unknown scope rather than quietly using it to absorb an outdated quotation.
 
Because it is mixed-use, map shutdowns and access separately for each part of the building. Find out when water or power can be interrupted, whether noisy work has restricted windows, and which approvals—if any—must be settled before ordering or demolition. Permit timing and imported or special-order materials should appear in the programme, not as footnotes.
 
Before fixing the contingency, I would spend a limited amount on investigation and confirm whether any approval could delay demolition or ordering. Open the most uncertain areas, trace plumbing access, test the electrics, investigate moisture and record any visible structural concerns.

Contractors could then price the same written scope and sequence, including shutdowns and reinstatement. Keeping about 20% at this point seems reasonable, but I would hold it separately and draw from it only for agreed, recorded changes. If the investigations and permit timetable remove some uncertainty, the retained amount can be reconsidered before the full contract is signed.
 
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