Construction Progress Monitoring BRINGING CONFIDENCE TO OUR CLIENTS construction administration

Construction Progress Monitoring

Construction is where deals are won or lost. A project that looks solid on paper can unravel quickly in the field — through scope creep, billing disputes, schedule slippage, subcontractor failures, or simply work that doesn’t match the plans. The clients who fare best are the ones who have a qualified, independent set of eyes on the project throughout the construction process, not just at the beginning and end.

NAC provides Construction Progress Monitoring services for lenders, LIHTC equity investors, developers, and property owners on commercial and multifamily construction and rehabilitation projects nationwide. Our monitoring engagements are led by experienced field professionals under the oversight of a licensed architect — giving clients a technically credible, independent assessment of project status at every stage of construction.

We work on projects tied to construction loans, and we work on projects that aren’t. LIHTC equity investors in particular have an independent interest in confirming that construction is proceeding as underwritten — separate from whatever monitoring the construction lender may be performing. NAC serves both roles, often simultaneously on the same project.

Construction Loan Monitoring

For lenders disbursing construction loan proceeds, NAC’s monitoring services provide the independent oversight needed to confirm that draw requests are supported by actual work in place, that the project is tracking to schedule and budget, and that issues are identified and reported before they become expensive problems.

NAC’s construction loan monitoring engagements include an initial Document and Cost Review at project inception, followed by regular site inspections and monthly reporting throughout the construction period, through to a final closeout report at project completion. Every draw request is reviewed against actual construction progress before disbursement is recommended. Change orders are reviewed for scope justification and cost reasonableness. Lien waivers are tracked and confirmed. Schedule variances are flagged and explained.

The goal is simple: the lender’s capital should move in step with the construction — no faster, no slower. NAC’s monitoring gives lenders the confidence to disburse funds knowing the work is there to support it.

LIHTC Equity Investor Monitoring

Tax credit equity investors have a direct financial stake in the construction proceeding as underwritten. If the project doesn’t deliver the units, the amenities, and the accessibility features required by the LIHTC program and the partnership agreement, the credits are at risk. That risk doesn’t belong to the construction lender — it belongs to the investor.

NAC performs independent construction monitoring for LIHTC equity investors, tracking progress against the approved plans and specifications, monitoring compliance with LIHTC-specific scope requirements, and reporting directly to the investor throughout the construction period. Our monitoring is conducted independently of any lender monitoring on the same project — giving investors their own line of sight into project status rather than relying on reporting prepared for a different party with different interests.

relying on reporting prepared for a different party with different interests.

Owner’s Representation

For developers and property owners who need a professional advocate managing the construction process on their behalf, NAC provides Owner’s Representation services from project inception through closeout. As owner’s representative, NAC acts as the client’s eyes and ears on the project — attending project meetings, reviewing contractor applications for payment, monitoring schedule and budget performance, evaluating change orders, and coordinating with the design team and contractor to keep the project on track.

Owner’s representation is particularly valuable for nonprofit developers and affordable housing organizations that have strong real estate finance expertise but less experience managing the construction process directly. NAC bridges that gap — bringing construction oversight experience to organizations that need it without the overhead of a full-time construction management staff.

Completion Cost Reviews & Distressed Construction Assessment

Construction projects don’t always go as planned. When a project stalls, a contractor defaults, or costs escalate beyond the original budget, lenders and investors need an independent, technically credible assessment of where things stand — and what it will actually cost to finish.

NAC’s completion cost review services provide lenders, equity investors, and surety providers with a clear-eyed evaluation of distressed construction situations. Our assessments document the percentage of work in place, evaluate the quality and completeness of work already performed, identify deficiencies that will need to be addressed before the project can be completed, and develop an independent estimate of the remaining cost to complete the project scope as designed.

That analysis requires exactly the kind of architectural and construction expertise NAC brings to every engagement — the ability to read a set of construction documents, evaluate what’s actually been built against what was specified, and produce a defensible cost opinion that lenders and investors can rely on when making difficult decisions about distressed projects.

Completion cost review services are available on a standalone basis or as part of a broader construction monitoring engagement.

Pre-Construction Reviews

Before a project breaks ground, NAC conducts pre-construction reviews that establish the baseline for everything that follows. Pre-construction reviews include evaluation of the construction contract and general conditions, review of the project schedule for feasibility, confirmation that the contractor’s insurance and bonding are in order, and an initial assessment of the budget relative to the approved plans and specifications. Identifying issues at this stage — before the first shovel hits the ground — is always less expensive than addressing them mid-construction.

Aerial Site Documentation — FAA Part 107 Licensed

NAC’s FAA Part 107 commercially licensed pilot can provide aerial site documentation as part of construction progress monitoring engagements — capturing site conditions, construction progress, and staging from above in a way that ground-level photography cannot replicate. FAA Part 107 certification is the federal requirement for commercial drone operations. It is a meaningful credential that separates professional commercial operators from unlicensed hobbyist flights — and it matters when aerial documentation is being produced for lenders, investors, and institutional clients who need to rely on it. Aerial documentation is particularly useful on large multifamily sites, scattered site projects, and engagements where visual documentation of overall site progress is a priority.

Services Available

  • Pre-Construction Reviews
  • Construction Contract and General Conditions Review
  • Schedule Feasibility Review
  • Insurance and Bond Confirmation
  • Construction Loan Monitoring — monthly inspections, draw review, and reporting
  • Pay Application and Draw Request Review
  • Change Order Review and Analysis
  • Lien Waiver Tracking and Confirmation
  • LIHTC Equity Investor Construction Monitoring
  • Owner’s Representation
  • Project Closeout Reporting

Never Assume....Assess!

Investing in real estate is a time consuming and risky adventure. Let NAC's team of experts provide you with the information you need to make informed decisions regarding your real estate investments.
construction administration
construction administration