Practical completion is a contract decision

Practical completion usually means the works have reached the state defined by the contract, with only minor defects or omissions that do not prevent intended use, subject to the certifier's assessment. It does not necessarily mean every account is settled or every defect obligation has ended. The exact effect on possession, insurance, retention and the defects period comes from the signed agreement.

Plan the process several weeks ahead. The contractor should run its own inspections, complete testing and clean the works before inviting the formal review. The client and consultants should identify required demonstrations, authority steps and documents. Moving furniture into incomplete rooms makes inspection and repair harder.

Inspect systems, not only finishes

Walk each room and external area systematically. Check doors, windows, locks, ceilings, finishes, fittings, drainage falls, roof-water disposal, paving and paint. Then verify function: water pressure and drainage, leaks, electrical operation through competent testing, pumps, tanks, hot-water or solar systems, ventilation and any fire or security equipment included in the scope.

Inspect during daylight and, where useful, after rain. Do not open live electrical systems or access unsafe roofs without competent personnel. Structural concerns, significant cracks, standing water or safety failures are not minor cosmetic snags. Refer them promptly to the responsible professional and apply the contract rather than accepting an informal promise.

Write snags so they can be closed

Each item should state a unique number, exact location, observable issue, required outcome, responsible party, date and status. Add a photograph where it helps. “Fix paint” is vague; “repair blistered paint on lower east wall of bedroom two after diagnosing moisture source” is actionable. Group items by trade for efficient return visits, but keep the location visible.

  • Agree access and protection for remedial work.
  • Retest systems affected by a repair.
  • Record accepted alternatives through the authorised process.
  • Close an item only after verification, not when someone says it is done.
  • Keep contractual completion and defects-period lists distinct.

Collect the building's operating record

Handover may include approved and as-built drawings, test and commissioning results, completion documents, warranties, manuals, paint or finish references, keys, meter information, supplier contacts and maintenance schedules. Confirm what the contract and authorities require. Demonstrate equipment to the people who will use it and record serial numbers where helpful.

Set dates and reporting contacts for outstanding work and defects. The owner should begin routine cleaning of gutters and drains, servicing and other maintenance; misuse or neglect is not the same as a construction defect. At the end of the defects period, inspect again before any final certificate or retained money is dealt with. A disciplined handover preserves evidence, reduces arguments and helps the building perform as designed.

Before accepting keys, record meter readings, utility status, spare materials and all items handed over. Test duplicate keys and label controls without exposing security information publicly. The owner should nominate the person authorised to sign the inventory and the contractor should retain an acknowledged copy. Where several tenants or departments will occupy, explain defect reporting through one controlled channel.

Schedule an early post-occupancy review after users have operated the building. Their feedback can reveal confusing controls, drainage behaviour or minor adjustments while the project team remains available. Record observations against design intent and contract responsibility rather than treating every preference as a defect. The same review also improves future briefs.

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