CM 4900 SENIOR CAPSTONE

STUDENT HANDBOOK
CONSTRUCTION MANAGEMENT DEPARTMENT SOUTHERN POLYTECHNIC STATE UNIVERSITY MARIETTA, GEORGIA

TABLE OF CONTENTS
1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 Course Administration for All Capstone Students........................................ 1-2 General Guidelines for All Capstone Students ........................................... 2-5 Capstone Project Requirements (General Concentration)........................... 6-11 Capstone Project Requirements (Development Concentration) ................. 12-20 Capstone Project Requirements (Specialty Concentration) ........................ 21-26 Capstone Project Requirements (Facility Management) 27-31 Project Approval Requirements.................................................................... 32-33 Progress Sign Off 34-38 Appendix Checklists ...40-50 Additional Items for Consideration 51-52 Time Card/Daily Activity Log 52

[Updated January 2012]

B.S. CONSTRUCTION MANAGEMENT PROGRAM SOUTHERN POLYTECHNIC STATE UNIVERSITY SENIOR CAPSTONE

1.0 Course Administration for ALL Capstone Students

1.1 1.2 Turn in Project Proposals with plans and specifications on or before first class meeting to the Course Professor for approval. The Capstone Project Lab is reserved for the use of CM 4900 students during scheduled class time and whenever the room is not otherwise scheduled. Other CM students may use the lab at the Capstone Professors discretion. Lab class time attendance is to be two continuous hours per class-day in the time period of scheduled class time. Timesheet/work logs for the previous week shall be electronically delivered. The Project is due according to the schedule issued by the professor and dates indicated at the beginning of this Handbook. Capstone projects will not be accepted early unless scheduled by the Capstone Professor. Project Defenses will be scheduled for the end of the semester as indicated by the syllabus. Senior Exit interviews with the Program Head will be scheduled for that afternoon. These are two different appointments: one with the Capstone Defense panel, one with the Program Head. Students shall confirm with the CM Department Secretary that they have properly entered their information on the Alumni system. This course is comparable to industry employment. Attendance is presumed. A professional atmosphere of courtesy and cooperation is expected. Attendance at presentations and guest lectures are required. Final grading for the Capstone Course will be determined by the Course Professor based on Defense Panel assessment and professionalism. A one-hour "firm meeting" time is scheduled for the first hour of the first class meeting of the term. Firm meetings will be held in subsequent weeks at the discretion of the Course Professor. The schedule for these meetings, and milestone requirements, will be established during the first firm meeting or by syllabus. Students are expected to prepare a schedule that establishes milestones leading to the successful completion of the Capstone project in one semester. Student schedules are due by the second meeting of the semester. This latter schedule will be reviewed for acceptability by the Course Professor and used to assess student progress throughout the semester. The schedule must comply with the Capstone Statement of Understanding. Absence from required class meeting will only be considered with prior notice to the Capstone Professor.

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1.10 The MS Excel timesheet workbook is to be kept current daily, completed fully and accurately, and transmitted on the day of the week and by the time specified by the Capstone Professor. 1.11 No food, no drinks, no cooking appliances, nor radios are permitted in the Capstone Project 1

Laboratory. NO TOBACCO PRODUCTS, including chewing tobacco, are permitted in the Lab. You may use the CD feature of the computers with earphones for music. 1.12 The CM faculty feels strongly that the interaction between seniors working on their projects and shared knowledge leads to the development of better projects by each and every student in the class. This experience is uniquely designed to provide the opportunity for professional interaction of the participants in an automated construction office atmosphere. Up-to-date equipment; similar project work goals; adequate workspace; and, most importantly, a group of well-educated (soon to be practicing) professionals interacting in an office "team" setting are important elements of the course. 1.13 Faculty supervision should not be expected, but is always available during class meeting times. 1.14 Do not change the "desktop" settings on the laboratory computers. Do not install any software/shareware on the laboratory computers. Do not put personal passwords on any program. You are not the exclusive users of the laboratory. Computers are subject to complete re-formatting by the Department at any time so you should maintain backup copies of your work AT ALL TIMES. 1.15 Prior term Capstone projects are available for reference. They will be available for review during class times only and may not be removed from the capstone lab. Do NOT take papers from these project books. 1.16 Students are required to sign a contract with the Capstone Professor to meet all milestones established by the Capstone Professor for the semester within the deadlines announced in the syllabus or they will not be able to defend their project and receive a passing grade. 1.17 Each student is required to prepare the standard weekly schedule for time management in completing their Capstone Project. Format for this schedule shall be provided by the Capstone Professor and the student shall submit by the date shown on the Capstone Calendar. 1.18 Students are not allowed to use projects they have worked or are currently working on at their jobs for their Capstone Project.

2.0 General Guidelines for ALL Capstone Students

2.1 Academic honesty & integrity are vitally important to your successful completion of this Course. Students are expected to be very familiar with what constitutes plagiarism. Evidence of plagiarism in the Capstone Project may result in a grade of "F" and further disciplinary action. Each student shall be neat, thorough, and original. Only clean copies of documents are acceptable. EACH STUDENT SHOULD HAVE SOMEONE PROOF READ THE PROJECT FOR SPELLING, TYPING AND LOGIC ERRORS. A PROFESSIONAL QUALITY PRESENTATION IS EXPECTED! Each student should use a binder and include your name and semester on the cover sheet. Each student must do his/her own work. Cooperation with fellow students, exchange of ideas and discussion of problems is encouraged; however, be careful not to be misled by a fellow student. Each student is encouraged to consult with members of the CM faculty 2

2.2 2.3

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when appropriate. Information may be gained from contractors, architects, suppliers, building officials, or anyone associated with the construction industry. The best sources for information should be those who are associated with your project. Include with your project extra work that is of interest to you. Enhance your total project; for example, photographs and tailored digital video may add to the quality of the presentation. Materials from prior capstone projects or directly from industry employers are not to be included in your project. 2.6 2.7 2.8 Drawings and specifications may NOT be returned to the student at the end of the Capstone Defense. Any proposal for changing the scope of the Student's project shall be submitted to the Course Professor for approval within the first ten calendar days of the semester. Keys and security information for the capstone laboratory can be obtained from the Capstone Professor at the beginning of the semester. They must be returned by on the date of Project Defenses. Failure to return keys will result in a grade of "Incomplete, (I)". Students should plan to turn in an original of your project on the due date. At the Defense your original project may be kept by the Department, so you may want to prepare and keep a copy of the project for your records. An electronic copy of your project must also be submitted on the day of Project defenses. Each student shall maintain a "timecard and work log" for each day worked keeping track of office (and other) time and briefly indicating activities done by the student during office or other hours. Completed and signed timecards are to be included as part of the project. The published minimum requirements must be submitted in order to receive a passing grade. Failure to fulfill a minimum requirement may be allowed by the Course Professor in rare cases. Both the request for and approval of deviation must be in writing. Typed (word-processed) Projects are required however, professional quality lettering is permissible in some parts of the Capstone Project. Quantity take-off sheets do not need to be typed. Any questions concerning the quality of your lettering may be resolved by checking with the Course Professor. Organization of the Project is important. It must be in a logical order. The Projects are read and evaluated by several people in the brief time between due date and Project Defense. The degree of professionalism and legibility of your Capstone Project is a significant factor in the evaluation of your project. A Table of Contents and the Minimum Requirements Checklist are required.

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2.14.0 Basic Assumptions: 2.14.1 All major equipment is rented. 2.14.2 All utilities are available. (exception for 'development' project) 2.14.3 No site access difficulties exist. (except as shown in 'development' projects) 2.14.4 Unless stated to the contrary in the contract documents, there is no rock on the site. 2.14.5 No difficulty will occur with any government authorities. 2.14.6 No union unrest will occur. 3

2.14.7 Your company is over 5 years old. 2.15.0 Scheduling Considerations: 2.15.1 All construction activities shall be shown at a level of detail appropriate to the type of construction. 2.15.2 The total number of activities shall be appropriate to size and complexity of the project being constructed. 2.15.3 All activities shall be coded so as to allow different displays of information for various project management and owner personnel. 2.15.4 Supplemental information showing activity floats and derivation of activity duration shall be provided. 2.15.5 Schedule calculations shall allow for holidays, weather, and alternates as appropriate. Recommended drawing size is size C (17"x22"). All schedules shall be neatly folded and included in the project books. 2.16.0 Quantity Survey & Estimate Guidelines. 2.16.1 Quantity Sheets, Cost Analysis Sheets, and Summary Sheets may be designed by the student. It is advisable to have them reviewed by the Course Professor. 2.16.2 All quantity calculation sheets may be completed in pencil, but must be neat and legible. All estimating work should be self-explanatory. 2.16.3 Published cost data may be used for developing the material and labor prices; however, on major items, students are encouraged to check the prices with the actual sub or supplier prices. All published cost data must reflect Project locale. 2.16.3 Estimate summary, schedule of values, etc are to be itemized using updated CSI format (not Div 1-16) 2.16.4 Change order proposal to be submitted identifying the scope and cost of at least three (3) materials, process/procedure, or equipment, etc that would enhance the sustainability or LEED credit for the project (required for General and Specialty ONLY) 2.17.0 Business & Project Management Considerations. 2.17.1 All documents included in the Project shall be completed with all blank spaces filled in as appropriate. All documents shall be properly signed and sealed. 2.17.2 The organizational structure and company overhead should match with the Project size. Appropriate management principles shall be used in staffing the organization. 2.17.3 The financial statements for your organization shall be issued by the Capstone Professor within the first two weeks of the academic term. Adjustments may be made by the student to match company profile. 4

2.17.4 Ensure consistency when assigning dates for your project. You may need to change bid date or data dates for your company financials to be consistent. You can do this by addenda to the contract documents or by statement in your list of assumptions. Company data dates, cash flow, contract execution, bid date, subcontract execution, change-order examples should be consistent with each other. 2.17.5 Prepare a narrative that describes how your company plans to minimize the Projects impact on the environment (e.g. air, water, energy, soil, noise, etc.), and community. 2.18 Capstone Project Defense and Panels

2.18.1 Your Capstone Project is graded by panel members, with the chairperson presiding. 2.18.2 The final grade in the course is determined subsequent to the Project Defense. The panel grade is submitted to the Course Professor who, after considering your performance throughout the semester, assigns the final grade. 2.19 When the final Project is received by the Capstone Professor, the student shall show the Capstone Professor, or the Capstone Professors designee, each item listed on the minimum requirements list. If minimum requirements have not been met, the student may receive an "I" for the course, as determined by the Course Professor for further action. Once the student shows the Capstone Professor that the minimum requirements have been met, the student will be given contact information for his/her Capstone Panelists. The student is then responsible for transporting their own Capstone Project between Panelists as directed by the Capstone Professor. Each panel member will prepare questions (referencing the Project page number) to ask each student during the Capstone Defense. Students should arrive early for their Defense dressed in professional attire: men-a business suit or sport coat & tie; women-pant suit, skirts, dress, as appropriate. Project Defenses shall commence promptly. The chairperson will introduce the panel members and the student. The student will brief the panel on the Project. The members of the panel will then take turns asking questions at the direction of the chairperson. At the end of the defense, the student will be excused and the panel will confer. Panels may determine the grade for each student at the end of each defense or, after all Defenses are complete, at the discretion of the panel chairperson. In the event of any disagreement about the grade, their chairperson shall make the final determination. An assessment form is completed by each panel member and student may review these sheets the week following the defense.

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3.0 Capstone Project Requirements General Concentration

3.1 General Requirements: The Capstone Project must be realistic. All assumptions should be reasonable. For example, most General Contractors subcontract much of the work. All work to be subcontracted should be estimated, totaled and marked-up as if done by a subcontractor. This can be done on the regular Cost Sheets and Summary Sheets under the Subcontractors name. The marked-up price is entered under "Sub" on your Summary Sheet. 3.2 Oral Presentation: The student should have a presentation of approximately fifteen minutes prepared using PowerPoint and, optionally, presentation boards. The presentation will be of professional quality. Contractors/owners are required to convince clients, lenders, and public officials of the viability of their projects. This requires excellent presentation skills. The students should demonstrate that he or she has acquired these skills by beginning the Capstone Defense with the presentation. Copies of presentation slides should be included in the Capstone Binder. 3.3 Administrative Submittals: This section should include the following: Plan Request (approval), Time Cards Daily Activity Log Minimum Requirements, Checklist with page numbers, and all other administrative requirements set out in the Capstone Project Student Handbook and as designated by Capstone Professor. 3.4 Table of Contents: Identified by the tab section with page numbers of the items included in each section. 3.5 Executive Summary: should be written to articulate what you want the reader to conclude after reading the rest of your submittal. An Executive Summary is the most important part of the submittal; should focus on the conclusion you want the evaluator to reach and not on summarizing everything in your proposal. The student should provide a one or two page (maximum) executive summary at the beginning of the report that provides the significant findings of the students research, analysis and compilation of material. The following should be included: Describe the project in terms of use, location, size and any other features that the reader needs as part of the executive summary to envision the project. Scope, objectives, and limiting conditions of report: Describe what is covered by the report, the purpose of the report and list the objectives to be achieved in the study. Summary of significant points; list all of the major findings. Summarize the conclusions you have reached as to the pricing, scheduling, and profitability of this project from a contractors or construction managers perspective. 3.6 Business Organization and Financials The student should focus on the organization of the firm, which may or may not include the following divisions: preconstruction, interiors, and project management. If these divisions are not part of the company (but are needed for the project), then a narrative explanation should be provided as to how the services are to be provided to the project. This section should also include a discussion of non-employee business professionals including their roles, duties and responsibilities. Among these are attorney, bankers, etc. all professionals not in your employ that are required to support your business operations. 6

The ownership vehicle for the company should described (L.L.C., S Corp., Inc., partnership, etc.) and the management control structure and decision making authority for the project should be detailed. The balance sheets and income statements of the hypothetical company provided shall be analyzed to show a complete picture of the financial health of the company. Annual comparisons with industry standards shall be part of this analysis. Further, the estimate and proposal for the Capstone Project shall reflect the financial and cost structure of the hypothetical company. As part of the analysis of the hypothetical company, a narrative shall be provided which describes the present state of the company, the trends underway at the end of the last given year, and a financial and strategic plan of action for the next three years for the company. Company Narrative & Qualifications: Company Size (volume and number of projects per year) Identify key criteria such as project size, field overhead, location, other overhead, profit margin, etc. Any factor that will be considered in the decision to pursue projects should be listed and explained as part of the qualifications statement and cannot use form statements (such as A305 or consensus document) it must be an original submittal. Organizational chart that reflects all key figures/departments in the company. State why this form of organization was chosen and describe the benefits and limitations of the chosen form. Listing of the major duties and responsibilities of each key employee. Professional Resumes of key personnel and should be brief (one half page each) but should cover the work and education qualifications of each key individual. Describe the projects completed (or currently underway) by the company and set out any strong capabilities that the organization has developed. If there is a strong specialty of the organization, bring that out. Provide a corporate schedule in bar chart format for the next three years showing when projects will start and when they will be completed. List of consultants for the company and describe the services to be provided. Company financial statements past and future projections (three years). Statements are to be consistent with industry standards. Balance Sheet, Income Statement, and Cash flow to include a detailed explanation of G&A is required including how it is recovered. Ratio Analysis and Trend Analysis on the companys operation should be provided to include a narrative that explains trends. 3.7 Project Strategy and Planning - This section should include at least the following: Location of Project State the location of the project. How many states does your company work and why? Scope of Project? What does your company intend to selfperform and what was the rationale for selecting what scope of work to self-perform? Project Acquisition: Describe the strategy used to acquire the project. What percentage was won through a hard bidding process? Was the contract negotiated? Was the contract a public bid? Explain which type of contract (i.e., negotiated or competitive bid) your company prefers and why? 7

Source(s) of capital: Describe how loans were structured (amounts, terms, costs, guarantees, etc.) and the sources of financing. Provide a detailed analysis of the minimum project loan desired for your capstone project. Bonding: What is the bonding capacity of your company and how was it determined? Was and what types of bond(s) are required for the project? 3.8 Construction Cost Estimate Included in the Capstone Project must be detailed estimates covering all work required for General Conditions, Sitework, Concrete, and Masonry. Show calculations and totals (include all work for quantity take-offs). All detailed estimates will be taken-off and priced using "bare" costs. Mark-up, taxes, labor burden, etc. will be applied on Summary Sheets. Crew breakdown plus labor and equipment rates will be developed and included. Include a schedule of wage rates. All other subcontracted work will be taken-off in sufficient detail to permit costing by either "unit" or "assemblies" approach. You should ensure that the final subcontractor cost includes all appropriate subcontractor mark-up prior to entering totals on the Summary Sheet. The appropriate units of measure should be shown for each item (square foot, linear foot, etc.) along with the quantity and unit costs of each. These are totaled and other costs are added (permits, fees, indirect costs, overhead, profit, etc.) to arrive at the cost estimate of the project. Any unit prices or alternates required by the Bid Form shall be estimated separately and must include mark-up. Contract change orders shall also include mark-up. Be sure to include the following: General and Administrative expense allocation Cost Analyses for GC and Subcontractor Work Cost Summary and Bid Preparation Detailed take-off for General Conditions, Sitework, Concrete, and Masonry including material (quantity and price) and labor (hours and price) Provide a square-foot estimate cost for all other areas of scope. (MEP, Finishes, etc.) 3.9 Project Contract This section shall include a fully-executed standard contract between a GC or CM and an owner. Discuss the sections that pertain to contract dollar amount, payment schedule, final payment, start date, completion data, liquidated damages, termination, and extra work. Include a fully-executed standard contract between your company and one of the subcontractors you intend to use on your project. Include fully executed Change Order which is also to be reflected in payment applications schedule of values. Change order form and backup to be submitted identifying the scope and cost of at least three (3) materials, process/procedure, or equipment, etc that would enhance the sustainability or LEED credit for the project. 8

3.10 Project Financials A monthly cash flow projection should be provided for the project separate from the corporate cash flow. This should including billing, retainage, amount received, amount paid to subcontractors, and general and administrative expenses. Provide three consecutive pay applications (with lien waivers). Use the project schedule to estimate to prepare three (3) monthly draw requests, beginning with the first month of the project and ending with the third month of the project. Also, use the schedule and estimate to prepare a project cash flow projection. Assume on-time project and payments. 3.11 Site Utilization Plan: This section should include the following: Provide separate drawings and corresponding narrative descriptions of the site utilization plan. Illustrate on your drawing and explain in your narrative, the anticipated use of the site at intervals in which conditions change. Include, as a minimum, temporary roads, barricades, field office(s), parking, dumpster, entrance/exit, fencing, lay-down and staging areas, and a crane. 3.12 Regulatory Issues: A complete discussion of permits required for your project should be provided. This should include building, demolition, and all forms of environmental permits. If special consideration for noise and dust control is required by the project or its location, this should be discussed along with planned mitigation. The licensing requirements, if any, for contractor employees should be discussed. The following should be covered: regulatory requirements, permits and approvals; prepare and include in your presentation all necessary permit applications and other legally required documentation and approvals required of contractors in the city or county in which it is located. (If the project is located outside the Atlanta Metro area, you may substitute forms from any urban building authority in the Atlanta area except Cobb County or the City of Marietta). 3.13 Subcontractor Selection and Bids: include any subcontractor employed by the contractor (MEP, etc.). You will develop and provide subcontractor selection criteria, a bid invitation and instructions to bidders, a bid form, and all required bond forms. 3.14 Project Start-up and Schedule The construction project team should be discussed in a narrative to include the role played by the general contractor, owner, architect, design engineers, and subcontractors, and any other specialty consultants. General construction issues should be discussed (such as site utilization plan (staging), safety program, etc.). Discuss the contractors role and duties in providing oversight of the construction process (such as administering applications of payment to the owner/developer, providing for periodic inspections of work in progress, managing budget issues, additional work items, etc.). Develop and provide a job startup checklist for the project that lists specific tasks and to whom those tasks are assigned (for both field and office operations associated with the project). Include all requirements imposed by local building authorities, all elements necessary for efficient conduct of the project and the requirements imposed by contract. Project Planning & Schedule A good, solid plan of HOW the project is to be completed must be in place before the 9

first shovel of dirt is turned. A successful project meets the owners needs and expectations and is completed on time and within budget. Effective Planning and scheduling is the key to successful project delivery. Planning provides an overall strategy to accomplish goals and scheduling entails the individual activities/tasks necessary to carry out the plan. Project Planning is the process of selecting construction approach, methods, and sequence of work. During the planning process several questions should be analyzed. For example: How will this project interface with existing conditions? What project delivery method will be used? What are the constraints of the work environment? What is initial completion date? Etc (re: Planning the Project handout posted) The schedule is the tool to implement the plan. CPM Network schedules are composed of activities and milestones that are tied together by activity relationships. Activity relationships define the sequence in which the project is carried out and completed. Determining the activity logic should be developed considering physical, safety, quality, and resource relationships between activities. (re: Scheduling the Project handout posted) Provide a Primavera P6 CPM schedule showing sequence of construction. This diagram shall be displayed in such a way so that the overall sequence of construction is easily determined. The schedule shall show activities in ES/EF order as a minimum. Activities shown on the schedule shall also include submittal and procurement activities for key material items and owner-provided items. Training, inspections, and commissioning activities must also be reflected on the schedule. Provide schedule narrative that discusses your approach and strategy for completing the project. 3.15 Risk Management Analyze/Identify all project specific liability issues to be managed during all phases of the project. Provide a narrative that explains risk analysis including strategy, risk identification, assessment and mitigation, contingency planning and to include a risk register Insurance Analysis: The insurance requirements for the project should be discussed. This should include (but not necessarily be limited to) liability, all risk or other forms of property/building insurance, builders risk, unemployment insurance and auto property and casualty. Amounts and types if insurance required should be stated Develop a job site specific program safety including inspections and rules. Include a narrative that identifies safety precautions unique to this project. Boilerplate safety programs will be considered unresponsive to this requirement. 3.16 Environmental Protection Plan: Prepare a narrative that explains the measures that will be taken to protect any significant and unique environmental features of the project site (creeks, streams, trees, wildlife, etc.), if present. Include a statement of your understanding of the environmental assessment requirements (typically noted on Civil drawings/specifications) 3.17 Conclusions and Recommendations The student should provide a conclusion section at the end of the report that identifies all 10

findings and conclusions relative to your project including profit and length of project schedule. 3.18 References Provide all references in appropriate format (i.e., MLA or APA). Professional resources journal: Students are encouraged to seek out industry professionals throughout the Capstone process to discuss their project and maintain a journal of meetings and discussions documenting date, time, and items/issues, etc discussed. Provide a narrative summary of information learned and how these industry resources influenced the preparation of the students Capstone Project. Include a constructive statement of evaluation and recommendations for the Capstone course.

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4.0 Capstone Project Requirements Development Concentration

4.1 Oral Presentation: The student should have a presentation of approximately fifteen minutes prepared using PowerPoint and, optionally, presentation boards. The presentation should be of near professional quality. Developers are required to convince investors, lenders and public officials of the viability of their projects. This requires excellent presentation skills. The students should demonstrate that he or she has acquired these skills by beginning the Capstone Panel with the presentation. Copies of presentation slides should be included at the back of the Capstone Binder under Tab 14. 4.2 Administrative Submittals: Administrative Submittals: This section should include the following: Plan Request (approval), Time Cards Daily Activity Log Minimum Requirements, Checklist with page numbers, and all other administrative requirements set out in the Capstone Project Student Handbook and as designated by Capstone Professor. 4.3 Table of Contents: Identified by the tab section with page numbers of the items included in each section. 4.4 Executive Summary The student should provide an executive summary at the beginning of the report that sets out, in paragraph form, the salient findings of the students research, analysis and compilation of material. The following should be included: Describe purpose of report. Development students should assume that their report is in the format of a formal bank loan package in which the student (who is intending to develop the project) has prepared the report as background material to solicit a bank loan or other type of financing in order to develop the project. Describe the project in terms of use, location, size and any other features that the reader needs as part of the executive summary to envision what is being proposed. Provide overview of how project will be executed. Provide overview of market study that pertains to project along with conclusions and recommendations on product type, mix and projected absorption rates. Provide overview of the conclusions reached based on the financial analysis that pertains to project. This section should include a summary of the projected budget, as well as all other significant assumptions (absorption rates and pricing, interest rates and preferred returns, etc.) related to the financial analysis. Based on your market study and subsequent financial analysis, the student should state the conclusion that they have reached as to the economic viability of the project and set out their recommendations in terms of timing, pricing, product mix, etc. 4.5 Project Description and Design Development Provide the following information in both a graphical and narrative format where applicable: Location: State the location of the site and provide a location map. Boundary survey: Provide a reduced copy (11x17 fold-out) of the boundary survey in the document that graphically describes the shape and size of the parcel. Legal description: In addition to the boundary survey described above, provide a traditional written ALTA legal description of the project site. 12

Provide a schematic master plan containing a development program (mix, density/yield, phasing, etc.) in a tabular format somewhere on the plan. Prepare a development program summary table that reflects the units to be built, by type, size, etc. and the timing of the unit construction, the acreage allocated to each use category and the corresponding yields/densities. The narrative for this section should cover the following topics in addition to presenting the above referenced exhibits: Selection Criteria: Set out key criteria such as parcel size, yield of units per acre, location, zoning, traffic counts, visibility, etc. that were considered in the decision making process to purchase the site and provide a written narrative in a bullet format explaining each one. Site Analysis: Provide a complete site analysis in a written bullet format that touches on the following issues: parcel size and configuration, existing site improvements, land ownership, current and past site uses, hazardous waste issues, wetlands and other waterway issues, access and traffic patterns at the site, zoning and other land use related requirements/issues, vegetation, topography and slope analysis, drainage and hydrology, flood plain, soils, adjacent property land uses, utility availability (water, sewer, gas, power), neighborhood transportation, site opportunities map, site constraints map, conceptual land use plan and schematic land use plan. This section should also include aerial and ground level photographs of the Project site, as well as maps, etc. that provide graphical back up for all of the above topics. Provide a graphical plan summarizing the opportunities and constraints of the site based on the above issues. Final Site Plan Development: Provide a written narrative explaining how you took the information learned from the Site Analysis above and developed your final Site Plan for the Project. If appropriate, provide interim copies of any Conceptual and Schematic site plans that were developed prior to finalizing ones Site Plan. Since the typical Capstone Project is based on a development for which plans already exist, the student should prepare the above work as if these plans did not exist. The work, however, may be in support of this final set of plans from which the student is preparing the cost estimate. This should be the students work and not copies of work previously prepared by a land planner as the basis for the final set of plans. 4.6 Project Execution and Schedule Project execution and schedule should be discussed in detail to include the following topics: Purchase strategy/technique: Describe the strategy used to acquire the site. Was an assemblage required? Was a purchase money mortgage utilized? Was the site acquired directly by your firm or through a nominee? What were the contingencies that had to be met before your firm was required to close? How much time was available to you under the contract to complete due diligence? This is not a complete listing of items to be covered. You should provide all information that is relevant to your situation. Construction Management: Discuss the following topics related to hiring the general contractor for the project: General contractor selection criteria (including safety program) Bid invitation and instructions to bidders Bid form and proposed fee Bonding requirements 13

The construction project team should be discussed to include the role played by the Developer (owner/principal who may or may not also be serving as his own general contractor), as well as subcontractors employed and by whom, construction manager (if applicable), etc. General construction issues should be discussed (such as site utilization plan (staging), safety program, etc.). The Developers role and duties in providing oversight of the construction process (such as administering applications of payment by general contractor, providing for periodic inspections of work in progress, managing budget issues, additional work items, etc.). should also be addressed. If the selected property is a subdivision, builder selection criteria and restrictions placed on product and work activities should be addressed. It is to be remembered that the developer is the principal/owner who is managing the GC (or construction manager as the case may be) as well as consultants and builders selected to build in the subdivision (if that is the case). The duties of the architect, MEP engineer, structural engineer, civil engineer, surveyor, and other design team consultants during construction should also be discussed. Describe the services to be provided by each consultant as well as their method of compensation. In addition to the above, the following exhibits should be prepared and included in this section: 1. A master project schedule on a monthly basis should be provided that shows the timing and sequence for the following activities: Land acquisition and associated due diligence including initial market studies Pre-development activities such as master plan design, development of marketing concept and land acquisition funding Regulatory approvals such as rezoning, subdivision, site plan, land disturbance and building permit approvals Preparation of project financing book (lender package) and obtaining final financing for project Installation of subdivision and site infrastructure (if applicable) for the construction of buildings and/or homes Vertical construction activities for all buildings and site amenities If more than one building or phase is to be constructed (residential subdivision or multibuilding apartment complex for example), each building/phase should be reflected separately on the master schedule Project closeout, marketing to final lease-up or sell out (as applicable) 2. A master project organization chart that shows in a tree style format how all of the following parties relate to each other: Developer Design consultants (ie. architect, MEP engineer, civil engineer, surveyor) Other consultants (ie. soils engineer, environmental engineer, attorney) Construction team (GC, site contractor) 14

Marketing team (leasing/sales team) Property Management team 3. A master project team list that identifies the name of all firms employed by the Developer as well as their respective role in the project. 4.7 Development and Construction Cost Estimates In this section the student should address the following cost estimates associated with developing the project: 1. A pre-development budget should be provided to reflect the all pre-development activities such as land acquisition, rezoning, land planning, market analysis, architectural and engineering design, legal fees, etc. that are required before construction can commence. 2. A site work cost estimate should be provided that includes a cut and fill analysis prepared by the student using the grid method (the use of computer methods are to be discussed and approved by instructor). The cut to fill analysis should include the grid and table showing each calculation and totals. In addition to the cut to fill analysis, the site work cost estimate should address the cost to install all underground utilities (domestic water, storm water, sanitary sewer, underground power and gas), roads, sidewalks, site amenities, landscaping & irrigation, etc. 3. A vertical construction estimate should be provided that includes a budget cost (preliminary estimate) for the construction of all building(s) for the project based on a square foot or assemblies of work. Note care must be taken in adding profit to the construction cost estimate. If the developer is acting as general contractor (GC) and taking a profit or fee for that service or is using a general contractor, then profit should be added. However, if the developer is acting as his own GC and using his own equity capital then you may elect to omit the profit as a cost item. The profit will, therefore, be reflected as an increase in the return calculations for the project as a whole. The student should explain the selected option and the reason for it. 4. Finally, the development cost budget should also provide projected cost estimates for the following items: Design costs Other soft costs (marketing, financing costs, etc) Permitting fees Land costs (including acquisition and financing costs) The Development Cost Budget should be presented in a tabular format that includes three columns. Column one should list the total absolute dollar cost for each item. Column two should include the Cost/SF or Unit (as applicable) and Column Three should indicate the Cost of each item as a percentage of the overall total projected budget. 4.8 Market Study and Marketing Plan In this section the student should address the following marketing related issues associated with developing the project: 15

Metropolitan Area Economic Overview: Provide an overview of the metropolitan area within which the project is to be developed. This should include an analysis of factors and conclusions as to how each of these impacts the feasibility of the project, location of the site, population, employment, housing, income, transportation, directions of growth and land use patterns and factors relative to the specific market within which the project will compete (office, single family homes, etc.) Subject Market Area Economic Overview: Provide an overview of the target market area within which the subject Project is to be developed.. This should include an analysis of the following factors and conclusions as to how each of these impact the feasibility of the project: location, population, employment, housing, income, transportation, directions of growth, land use patterns and quality of services (schools, etc) as well as any other factors that will affect the projects feasibility, such as property taxes, crime, etc. 3. Market Analysis: Definition of market area applicable to the projects location and map showing boundaries should be provided. This Map shall also indicate the location of all competing projects. The market analysis should address competitive properties as well as future supply and demand trends for the market area. Each competitive project shall have its own separate page within the report that provides at least one photo of the project as well as description of its attributes and features in a bullet format. Each projects rental rate/sales price as well as its vacancy rate/available inventory shall be indicated on its comp sheet. The demand analysis should be documented with appropriate demographics and psychographics and should conclude with an absorption schedule for the project. A formal empirical demand analysis (in a spreadsheet format) should be prepared that quantifies the projected demand for the subject property. The tabular demand analysis for the market area should be supported by a written narrative that clearly explains all of the students assumptions used in preparing the analysis. Assumptions used for this analysis should be derived from the data presented by the student in the above Subject Market Area Economic Overview. Pricing of units should be clearly demonstrated from the market data for the subject comparables. The market analysis should develop a clear conclusion that outlines the product type(s), features to be developed along with an applicable absorption schedule for each product type. 4. Sales, Leasing and/or Marketing Plan: Based on the above information presented in items 1-3 above, a detailed Marketing Plan outlining how the project is to be marketed should be provided. The marketing plan should covers sales and leasing personnel, a marketing budget and a description of advertising and promotion materials to be used. A schedule of projected leasing or sales activity should be provided that is derived from the market analysis above. This information will be used as a primary input into the projects financial pro-forma discussed in Tab 6 below. Commission rates for sales and leases should be clearly stated. 4.9 Project Financials and Cash Flow In this section the student should address the following financing related issues associated with developing the project: 1. A detailed discussion outlining the source(s) and use(s) of capital required to develop the project should be provided. This discussion should include a description of how all loans are to be structured (amounts, terms, costs, guarantees, etc.) and the sources of financing for acquisition, development, construction and permanent loans. This section should 16

clearly set out the amounts and sources of equity capital required to develop the project, as well as how they have been (or will be) acquired. If the developers operating capital is used, the amounts and timing of application should be consistent with the company financials. If investors capital is used, set out the parameters of the investment agreement(s) (timing for return of capital, returns and profit sharing). The sequencing (timing) and relationship of each loan/equity infusion to the other should be discussed. The amounts and terms of each loan should be stated and reflected in the cash flow projection below. For simplicity, the student may elect to assume a package loan for the acquisition, development and construction phases together. Permanent financing must be handled as a separate loan. 2. A detailed cash flow projection on a monthly basis should be provided for the project starting from the date of placing the property under contract until the date that stabilized income/sell out is reached. This should include a calculation of internal rate of return, project value, equity value and project net present value. It should be based on the absorption schedule derived from the students market analysis, as well as the development cost budget assumptions outlined in Tab 4 above. 3. A set of assumptions that allow the reader to clearly understand the basis for the cash flow projection should be provided in a bullet format that includes the following: Sources, amounts and terms for all equity capital Sources, amounts and terms for all 3rd party financing (loans) Product type, pricing and absorption schedule For all rental income producing projects, provide assumptions for operating deficits starting construction completion and flowing through the date of final lease up to stabilized income. Profit Analysis and investor return calculations 4. For all rental income producing projects, a stabilized first year operating statement shall also be provided that will serve to substantiate the final projected value of the project. 4.10 Permitting and Risk Management A complete discussion of all permits required should be provided. This should include the following types of permits: building, demolition, clearing and grading, and all forms of environmental permits. Based on the political jurisdiction that the project is located a bar chart schedule outlining all applicable steps should be provided as well as a discussion of the expected time requirements for each step and the process as a whole should be stated. If wetlands, endangered species, hazardous waste or any other environmental issues exist at the site, they should be discussed and a strategy for dealing with them should be set out. If special consideration for noise and dust control is required by the project or its location, this should also be discussed along with a planned mitigation strategy. If applicable, the process for subdivision approval should be described for the political jurisdiction in question. A chart of the steps should be provided and the expected time requirements for each step and the process as a whole should be stated. The same shall apply in the event that the project requires rezoning before subdivision/site plan approval can be obtained. 17

The student shall also address all pertinent insurance requirements associated with developing the project from the Developers perspective. This should include (but not necessarily be limited to) general liability, all risk or other forms of property/building insurance and builders risk. The student should research the projected cost for each one of these types of insurance by calling a local commercial insurance broker such as Marsh & McLennan for a quote based on the projects projected cost and final completion value. 4.11 Legal Issues (Tab 8) If the project units are to be sold, then the proposed sales contract should be provided and discussed, including all costs to be borne by seller and buyer. If an outside broker is to be used to market the project, this should be covered and a listing form should be provided and discussed. If the property is to be leased, then the lease form should be provided and discussed and any cost to be borne by the landlord should be stated. As with the above, if an outside broker is to be used to market the project, this should be covered and a listing form should be provided and discussed. Finally, if a third party property management firm is to be used to manage the project, this should be covered and a management agreement should be provided and discussed. Additionally, the following areas should be addressed and examples provided as applicable: Construction and Design consultant related contracts including a change order proposal (develop the change order proposal in the form of a letter to your architect identifying the at least three (3) materials, process/procedure, or equipment, etc that would enhance the sustainability or LEED credit for the project). Declaration of restrictions, easements, liens and covenants Property Association Agreements (e.g. homeowners, merchants, etc.) Construction and Architectural design guidelines for all residential subdivision projects 4.12 Conclusions and Recommendations The student should provide a conclusion section at the end of the report that sets out findings and conclusions relative to the areas below. In short, a clear statement should be provided as to whether the project should be undertaken and why or why not based on the following considerations: Viability of proposed design Profit and rate(s) of return Proposed product characteristics, mix and quantity Projected market absorption Property management issues Miscellaneous legal/regulatory issues Finally, student shall also provide a statement of evaluation and recommendations for the capstone course that is a constructive critique. 18

4.13 Company Organization and Financials In this section the student should address the following issues related to the organizational and financial structure of their firm: Provide a brief narrative background on the organization along with a description of the projects completed (or currently underway) by the company. This narrative should also set out any particular strengths that the organization has developed. Describe the legal form of the organization (sole proprietor, general or limited partnership, REIT, LLC, C- Corp. etc.). State why this form of organization was chosen and describe the benefits and limitations of the chosen form for your purpose. Provide a company organizational chart that reflects all key figures/departments in the company. Provide a listing of the major duties and responsibilities of each key company employee. Provide professional resumes of key personnel in a brief (one half page each) format that cover the work and education qualifications of each key individual. Provide company financial statement (balance sheet and income statement) that are consistent with industry standards and that cover the previous 2 years of operation before the project is developed, as well as a projected balance sheet and income statement for the period covering development and completion of the project. Note that the projected balance sheet and income statements should reflect the income, expenses, increase in asset value and liabilities associated with developing the project. For those firms engaged in income producing property development, students should assume their development company is the general partner for at least 4 other completed fully leased projects and owns a 10% interest in each one of these projects and that it will have a 10% ownership position in the subject property to be developed as well as receiving a 3% development fee for developing the new project. All income producing projects are assumed to be managed by a third party property management firm that will receive a 3% fee based on gross revenues. For those firms engaged in lot sale property development, students should assume their development company is the general partner for at least 4 other completed projects that are 100% complete from a construction standpoint but are still in the process of final lot sell out. For ease of computation, students may assume that all 4 completed projects are debt free resulting in a 10% distribution to the general partner based on their particular lot sale revenue. For the new project to be developed, students should assume that their development company will own a 10% ownership position in the subject property to be developed, as well as receiving a 3% development fee for developing the new project. Principals personal financial statement is to be consistent with industry standards. The Principals financial statement (balance sheet only) should reflect the fact that they hold at least a 10% limited partnership (or other similar vehicle) ownership position in each one of the above referenced projects discussed in the preceding paragraph. Note that this is in addition to the 10% owned by the Principals development company. 4.14 Property Management Plan (as applicable) Property Management plan: For all income producing projects, the manner in which the property is to be managed should be discussed. As noted above, the student should 19

assume that all income producing projects will be managed by a third party fee manager. This section should address property management fees (3% of gross revenues), management agreement contract, annual budget preparation, maintenance and capital improvements, management reports, insurance, legal, life-safety and environmental issues. Note that someone at the Developers central office should be tasked with overseeing all third party property management firms/vendors. 4.15 Site Engineering and Construction Plans In this section the student should provide reduced copies (11x17) of the following plans as well as appropriate narrative (when applicable) related to each plan and their project: Site Plan: Discuss all factors that influenced final layout. Grading Plan: Describe the important factors in the grading plan and how the plan is to be carried out. ( rock and soil problems affecting the plan, high water table and dewatering requirements, grading order or phases, steps, environmental issues addressed, etc). Erosion and Sediment Control Plan: Set out the salient features of the plan to include methods used, phasing relative to grading and construction, special problems encountered and how addressed, etc. Storm Water Management Plan: Describe the storm water management infrastructure to be installed and discuss the approach taken; underground-hard pipe solution, surface swales, retention and detention ponds, combination of the above, etc. If part of the infrastructure was utilized as desirable design features (open space, ponds, etc) describe the approach used. Discuss phasing issues as appropriate. Landscaping and Tree Preservation Plan: Discuss species used, placement, measures taken to preserve trees, etc. Water and Sanitary Sewer Plans: Discuss materials used and construction issues to be encountered. Street Design: Describe the type of street design, materials selected and why chosen. Building Plans: Describe the buildings to be constructed in terms of architecture, materials, sizes, unusual structural or mechanical features, etc. 4.16 References References should be given in appropriate format (i.e., MLA or APA). Professional resources journal: Students are encouraged to seek out industry professionals throughout the capstone process to discuss their project and maintain a journal of meetings and discussions documenting date, time, and items/issues, etc discussed. Provide a narrative summary of information learned and how these industry resources influenced the preparation of the students Capstone Project. Include a constructive statement of evaluation and recommendations for the capstone course.

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5.0 Capstone Project Requirements Specialty Concentration

5.1 Oral Presentation: The student should have a presentation of approximately fifteen minutes prepared using PowerPoint and, optionally, presentation boards. The presentation will be of professional quality. Contractors/owners are required to convince clients, lenders, and public officials of the viability of their projects. This requires excellent presentation skills. The students should demonstrate that he or she has acquired these skills by beginning the Capstone Defense with the presentation. Copies of presentation slides should be included in the Capstone Binder. 5.2 Administrative Submittals: This section should include the following: Plan Request (approval), Time Cards Daily Activity Log Minimum Requirements, Checklist with page numbers, and all other administrative requirements set out in the Capstone Project Student Handbook and as designated by Capstone Professor. 5.3 Table of Contents: Identified by the tab section with page numbers of the items included in each section. 5.4 Executive Summary: be written to articulate what you want the reader to conclude after reading the rest of your submittal. An Executive Summary is the most important part of the submittal; should focus on the conclusion you want the evaluator to reach and not on summarizing everything in your proposal. The student should provide a one or two page (maximum) executive summary at the beginning of the report that provides the significant findings of the students research, analysis and compilation of material. The following should be included: Describe the project in terms of use, location, size and any other features that the reader needs as part of the executive summary to envision the project. Scope, objectives, and limiting conditions of report: Describe what is covered by the report, the purpose of the report and list the objectives to be achieved in the study. Summary of significant points; list all of the major findings. Summarize the conclusions you have reached as to the pricing, scheduling, and profitability of this project from a contractors or construction managers perspective 5.5 Business Organization and Financials The student should focus on the organization of the firm, which may or may not include the following divisions: preconstruction, interiors, and project management. If these divisions are not part of the company (but are needed for the Project), then a narrative explanation should be provided as to how the services are to be provided to the Project. This section should also include a discussion of non-employee business professionals including their roles, duties and responsibilities. Among these are attorney, bankers, etc. all professionals not in your employ that are required to support your business operations. The ownership vehicle for the company should described (L.L.C., S Corp., Inc., partnership, etc.) and the management control structure and decision making authority for the project should be detailed. 21

The balance sheets and income statements of the hypothetical company provided shall be analyzed to show a complete picture of the financial health of the company. Annual comparisons with industry standards shall be part of this analysis. Further, the estimate and proposal for the Capstone Project shall reflect the financial and cost structure of the hypothetical company. As part of the analysis of the hypothetical company, a narrative shall be provided which describes the present state of the company, the trends underway at the end of the last given year, and a financial and strategic plan of action for the next three years for the company. Company Narrative & Qualifications: Company Size (volume and number of projects per year) Identify key criteria such as project size, field overhead, location, other overhead, profit margin, etc. Any factor that will be considered in the decision to pursue projects should be listed and explained as part of the qualifications statement and cannot use form statements (such as A305 or consensus document) it must be an original submittal. The section should include the following: Organizational chart and legal form: Provide an organizational chart that reflects all key figures/departments in the company and state the legal form of the organization (sole proprietor, general or limited partnership, REIT, LLC, C- Corp. etc.). State why this form of organization was chosen and describe the benefits and limitations of the chosen form for your purpose. Organizational chart that reflects all key figures/departments in the company. State why this form of organization was chosen and describe the benefits and limitations of the chosen form. Listing of the major duties and responsibilities of each key employee. Professional Resumes of key personnel and should be brief (one half page each) but should cover the work and education qualifications of each key individual. Describe the projects completed (or currently underway) by the company and set out any strong capabilities that the organization has developed. If there is a strong specialty of the organization, bring that out. Provide a corporate schedule in bar chart format for the next three years showing when projects will start and when they will be completed. List of consultants for the company and describe the services to be provided. Company financial statement is to be consistent with industry standards. Principals personal financial statement is to be consistent with industry standards. Company balance sheet is to be consistent with industry standards. Company 3-year income and expense statement or budget projection statement is to be consistent with industry standards. Scope of Projects: Will your company be providing all MEP subcontracted work? Explain which MEP functions will be provided and why they were selected by your company. Project Acquisition: Describe the strategy used to acquire the projects. What percentage was won through a hard bidding process? What percentage was negotiated? What percentage was design/build? Were any other methods employed? Which method does 22

your company prefer and why? Source(s) of capital: Describe how loans were structured (amounts, terms, costs, guarantees, etc.) and the sources of financing. Provide a detailed analysis of the minimum project loan desired for your capstone project. Bonding: What is the bonding capacity of your company and how was it determined? Was a bond required for the project?

5.7 Specialty and Construction Cost Estimates The specialty cost estimate should include all specialty areas (HVAC, plumbing, and electrical including control systems). Show calculations and totals (include scratch papers used for the takeoff). The cost estimate for the specialty should reflect labor, materials, equipment, overhead, etc. While the student may submit bid sheets as backup for the detailed cost estimate, costs should not be pulled from bid sheets as the basis of the estimate. The remainder of the building cost estimate may be a square foot cost estimate. The appropriate units of measure should be shown for each item (square foot, linear foot, etc.) along with the quantity and unit costs of each. These are totaled and other costs are added (permits, fees, indirect costs, overhead, profit, etc.) to arrive at the cost estimate of the project. Note: Care must be taken in adding profit to the cost estimate. If the specialty contractor is acting as the prime contractor (PC) and taking a profit or fee for that service it should be noted and explained in detail. Include: Plan and Specification take-off for building specialty systems including material quantity and prices and labor hours and price. Square-foot estimate for the remainder of the project. General and Administrative expense allocation. Estimate summary sheet showing markup etc. 5.8 Analysis of the Building Specialty Systems Provide a detailed list of all codes that apply to the specialty systems for this project. Conservation and Energy Efficiency: Is the building in your project LEED certified? If not what changes in the MEP systems would you recommend that might contribute to a minimum LEED certification? Plumbing: provide an overview of the installation and operation of the buildings plumbing systems. This should include an estimate of water usage and the size of the required sewage system. What sizes and types of materials are used in the building piping systems and why? Are any unusual plumbing materials or equipment used on this project? Explain why they were used. Explain how the construction of this system is integrated into the overall construction project. HVAC: Provide an overview of the installation and operation of the buildings air conditioning systems (heating, cooling, dehumidification, humidification, and ventilation). This should include an estimate of cooling capacity and demand. What sizes and types of materials are used in the building air conditioning systems and why? 23

Are any unusual/interesting air conditioning materials or equipment used onthis project? Explain why they were used. Explain how the construction of this system is integrated into the overall construction project. Electrical Provide an overview of the installation and operation of the buildings electrical systems (power, lighting, and energy management). This should include an estimate of electrical usage and demand. Explain the control strategy for the air conditioning and lighting systems. What sizes and types of materials are used in the building electrical systems and why? Are any unusual/interesting electrical materials or equipment used on this project? Explain why they were used. Explain how the construction of these systems is integrated into the overall construction project. 5.9 Project Contracts Provide an executed contract that is used for agreements between the general contractor and the specialty contractor. Discuss the sections that pertain to contract dollar amount, payment schedule, final payment, start date, completion data, liquidated damages and extra work. Provide an executed contract that is used for agreements between the specialty contractor and a subcontractor. Discuss the sections that pertain to contract dollar amount, payment schedule, final payment, start date, completion data, liquidated damages and extra work. Include fully executed Change Order which is also to be reflected in payment applications schedule of values. Change order form and backup to be submitted identifying the scope and cost of at least three (3) materials, process/procedure, or equipment, etc that would enhance the sustainability or LEED credit for the project 5.10 Project Financials A monthly cash flow projection should be provided for the project separate from the corporate cash flow. This should including billing, retainage, amount received, amount paid to subcontractors, and general and administrative expenses. Provide three consecutive pay applications. Use the project schedule to estimate to prepare three (3) monthly draw requests, beginning with the first month of the project and ending with the third month of the project. Also, use the schedule and estimate to prepare a project cash flow projection. Assume on-time project and payments.

5.11 Specialty Engineering and Construction Plans Site plans: Provide a narrative description of the site plan and how the MEP services are provided to the site and building. Mechanical plans: Highlight the location of the major mechanical systems (air conditioning, ventilation, waste interceptors, hot water heaters, etc.) Electrical plans: Highlight the location of the major electrical systems (transformers, main electrical distribution panel and sub-panels, energy management).

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5.12 Regulatory Issues A complete discussion of permits required for your project should be provided. This should include building, demolition, and all forms of environmental permits. If special consideration for noise and dust control is required by the project or its location, this should be discussed along with planned mitigation. The licensing requirements, if any, for contractor employees should be discussed. The following should be covered: regulatory requirements, permits and approvals; prepare and include in your presentation all necessary permit applications and other legally required documentation and approvals required of contractors in the city or county in which it is located. (If the project is located outside the Atlanta Metro area, you may substitute forms from any urban building authority in the Atlanta area except Cobb County or the City of Marietta). 5.13 Subcontractor Selection and Bids: includes any subcontractor employed by the MEP contractor (controls, etc.). You will develop and provide subcontractor selection criteria, a bid invitation and instructions to bidders, a bid form, and all required bond forms. 5.14 Construction and Project Management The construction project team should be discussed to include the role played by the Specialty contractor as well as the general contractor, owner, architect, design engineers, and other subcontractors. General construction issues should be discussed (such as site utilization plan (staging), safety program, etc.). Discuss the Specialty contractors role and duties in providing oversight of the construction process (such as administering applications of payment to the general contractor, providing for periodic inspections of work in progress, managing budget issues, additional work items, etc.).

5.15 Project Planning & Schedule A good, solid plan of HOW the project is to be completed must be in place before the first shovel of dirt is turned. A successful project meets the owners needs and expectations and is completed on time and within budget. Effective Planning and scheduling is the key to successful project delivery. Planning provides an overall strategy to accomplish goals and scheduling entails the individual activities/tasks necessary to carry out the plan. Project Planning is the process of selecting construction approach, methods, and sequence of work. During the planning process several questions should be analyzed. For example: How will this project interface with existing conditions? What project delivery method will be used? What are the constraints of the work environment? What is initial completion date? Etc (re: Planning the Project handout posted) The schedule is the tool to implement the plan. CPM Network schedules are composed of activities and milestones that are tied together by activity relationships. Activity relationships define the sequence in which the project is carried out and completed. Determining the activity logic should be developed considering physical, safety, quality, and resource relationships between activities. (re: Scheduling the Project handout posted) Provide a Primavera P6 CPM schedule showing sequence of construction. This diagram shall be displayed in such a way so that the overall sequence of construction is easily determined. The schedule shall show activities in ES/EF order as a minimum. Activities shown on the schedule shall also include submittal and procurement activities for key 25

material items and owner-provided items. Training, inspections, and commissioning activities must also be reflected on the schedule. A schedule for the entire project (summary overall schedule) to include A detailed schedule for the MEP portion of the project An explanation of how the MEP portions of the project will be integrated into the overall project schedule. An explanation of how the MEP work might influence the critical path of the entire project schedule.

5.16 Risk Management Analyze/Identify all project specific liability issues to be managed during all phases of the project. Provide a narrative that explains risk analysis including strategy, risk identification, assessment and mitigation, contingency planning and to include a risk register Insurance Analysis: The insurance requirements for the project should be discussed. This should include (but not necessarily be limited to) liability, all risk or other forms of property/building insurance, builders risk, unemployment insurance and auto property and casualty. Amounts and types if insurance required should be stated Develop a job site specific program safety including inspections and rules. Include a narrative that identifies safety precautions unique to this project. Boilerplate safety programs will be considered unresponsive to this requirement.

5.17 Conclusions and Recommendations The student should provide a conclusion section at the end of the report that identifies all findings and conclusions relative to your project including profit and length of project schedule. 5.18 References Provide all references in appropriate format (i.e., MLA or APA). Professional resources journal: Students are encouraged to seek out industry professionals throughout the capstone process to discuss their project and maintain a journal of meetings and discussions documenting date, time, and items/issues, etc discussed. Provide a narrative summary of information learned and how these industry resources influenced the preparation of the students Capstone Project. Include a constructive statement of evaluation and recommendations for the capstone course.

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6.0 Capstone Project Requirements Facility Management

6.1 Objective: Students will analyze a facility management department of a large corporation; the project should be set in the prospective of the Vice-President of Facility Management who is trying to justify an expense or approach to the Board. It needs to be realistic enough to demonstrate the project without being so realistic as to match the current economy to the point that the project cannot be accomplished. This project needs to demonstrate the broad range of skills the student has acquired throughout his education. 6.2 Oral Presentation: The student should have a presentation of approximately ten minutes prepared using PowerPoint. The presentation will be of professional quality. VPs and Directors of facility management divisions are required to convince corporate officers, the board of directors, lenders, bonding agents and public officials of the viability of their projects and ideas. This requires excellent presentation skills. The students should demonstrate that he/she has acquired these skills by beginning the Capstone Defense with a presentation. Copies of presentation slides should be included in the Capstone Binder. 6.3 Administrative Submittals: This section should include the following: Project Request (approval), Time Cards Daily Activity Log Minimum Requirements, Checklist with page numbers, and all other administrative requirements set out in the Capstone Project Student Handbook and as designated by Capstone Professor. 6.4 Table of Contents: Identified by the "tab" section with page numbers of the items included in each section. 6.5 Executive Summary: An Executive Summary is the most important part of the submittal and should focus on the conclusion you want the evaluator to reach and not on summarizing everything in your proposal. The student should provide a one or two page (maximum) executive summary at the beginning of the capstone report that provides the significant findings of the student's research analysis and compilation of material. The following should be included: Describe the division in terms of use, location, size and any other features that the reader needs to envision the capstone project. Scope, objectives, and limiting conditions of report: Describe what is covered by the report, the purpose of the report and list the objectives to be achieved in the study. Summary of significant points: list all of the major findings. Summarize the conclusions you have reached as to the pricing, scheduling, and profitability of this project from a Vice-President of Facility Managements perspective as if trying to justify an expense or approach to the Board

6.6 Business Organization and Financials The student should focus on the organization of the facility management division and departments; include the following areas (minimum): development, construction, asset management, maintenance, and energy management. This section should include a discussion of non-professional and professional employee business associates including their roles, duties and responsibilities. Among these are attorneys, bankers, developers, contractors, maintenance providers, energy consultants. The ownership vehicle for the company should described (S Corp., Inc., or LLC, partnership, etc.) and the management control structure and decision making authority for the facility management department should be detailed. The budget and cash flow statements for the virtual division/departments provided shall be analyzed to show a complete picture of the financial implication of the division to the company. Annual comparisons with industry standards shall be part of this analysis. Further, the budgets and proposal for the Capstone Project shall reflect the financial and cost structure of the virtual division. As part of the analysis of the virtual division, a narrative shall be provided which

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describes the present state of the company and the division, the trends underway at the end of the last given year, and a financial and strategic plan of action for the next three years for the company and facility management division. Division Narrative & Qualifications: Development and Construction Department - budget - size - (volume and number of projects per year). Identify key criteria such as if the project is owned or leased, project size, field overhead, location, other overhead, cash flow, etc. Any factor that will be considered in the decision to pursue projects should be listed and explained.

The section should include the following: Organizational chart and legal form: Provide an organizational chart that reflects all key figures/divisions within the company and state the legal form of the organization (sole proprietor, general or limited partnership, REIT, LLC, C- Corp. etc.). State why this form of organization was chosen and describe the benefits and limitations of the chosen form for your purpose. Organizational chart that reflects all key figures/departments in the division. State why this form of reporting structure was chosen and describe the benefits and limitations. Listing of the major duties and responsibilities of each department and department head. Professional Resumes of key personnel and should be brief (one half page each) but should cover the work experience, education qualifications and what the employee is doing for the virtual division. Describe the projects completed (or currently underway) by the divisions and set out any strong capabilities that the organization has developed. If there is a strong specialty of the organization, bring that out. Provide a division schedule in bar chart format for the next three years showing when projects will start and when they will be completed. Construction/Development Projects; Describe the strategy used to award the projects. What percentage was awarded through a hard bidding process? What percentage was negotiated? What percentage was design/build? Were any other methods employed? Describe the maintenance departments function. Describe the energy management departments function: 3-year budget and cash flow statements to be consistent with industry standards. Scope of Division: Will your company be providing all facility management functions? Explain which functions will he provided and why they were selected by your company? Source(s) of capital: Describe how leases were structured (amounts, terms, costs, guarantees, etc.) and the sources of financing. Provide a detailed analysis of the minimum division budget desired for your capstone project. Bonding: Does your division require construction projects to be bonded? Why or why not.

6.7 Facility Management Division and Departments Budget The division budget should include all facility management areas (development, construction, asset management, maintenance, & energy). Show calculations and totals (include scratch papers used for the estimating process). The division budget should include as a minimum (division employees costs, subcontracted work costs, maintenance work costs and energy costs). While the student may submit actual bills as backup for the detailed budget estimate, costs should not be pulled from the bills as the basis of the budget. The construction cost estimates may be conceptual (based on square foot costs). The appropriate units of measure should be shown for each item (square foot, linear foot, etc.) These are totaled and other costs are added (permits, fees, indirect costs, overhead, profit, etc.) to arrive at the construction and remodel budgets of the division.

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6.8 Analysis of the Division and Departments Provide a detailed analysis of how the division reports to the corporation. Provide a detailed listing of the services your division provides to the corporation. Explain the division organizational chart in detail. Write a job description for the VP of facility management

Development and Construction Department include an organizational chart for this department explain the chart in detail write a job description for each employee list all services provided o in-house o using consultants

Asset Management Department explain how this function is satisfied does it have any dedicated employees list services provided o in-house o using subcontractors

Maintenance Department include an organizational chart for this department explain the chart in detail size of department o include non-professional and professional employees write a job description for each employee type and number of subcontractor companies o Determine budget o Insurance requirements o Hold-harmless agreement list all services provided o in-house o subcontractors Type and number of subcontractor companies o Determine budget o Insurance requirements o Hold-harmless agreement Budget

Energy Department Include an organizational chart for this department explain the chart in detail size of department o Include non-professional and professional employees write a job description for each employee list all services provided o in-house o consultants o subcontracted Are the buildings, that your company is designing and having built, high performing buildings and/or (LEED certified)? If not, why not and what are you doing to change this? How are you monitoring energy

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o o o

use demand costs

6.9 Division Contracts Provide an executed contract that is used for agreements between your company and a general contractor. Discuss the sections that pertain to contract dollar amount, payment schedule, final payment, start date, completion data, liquidated damages and extra work. Provide an executed contract that is used for agreements between your company and a maintenance contractor. Discuss the sections that pertain to contract dollar amount, payment schedule, insurance required and the hold harmless agreement. Provide an electric bill, water bill, gas bill and then explain the billing structure for the corporate office outlet store

6.10 Division Financials A monthly cash flow projection should be provided for the division separate from the department cash flows. Provide justification for the department budgets.

6.11 Regulatory Issues A complete discussion of permits required for your division to provide services should be provided. This should include building, demolition, and all forms of environmental permits, maintenance and energy permits. If special consideration for noise and dust control is required by the corporations buildings, this should be discussed along with planned mitigation. The licensing requirements, if any, for contractor employees should be discussed. The following should be covered: regulatory requirements, permits and approvals 6.12 Subcontractor Selection and Bids: includes any subcontractor employed by the division (controls, maintenance, etc.). You will develop and provide subcontractor selection criteria, a bid invitation and instructions to bidders, a bid form, and all required bond and insurance forms. 6.13 Division Control of Construction and Project Management: Discuss the role played by the project managers employed by the facility management division as it relates to the general contractor, architect, design engineers, and other subcontractors. General construction issues should be discussed (such as site utilization plan (staging), safety program, etc.). Discuss the divisions role and duties in providing oversight of the construction process (such as administering applications of payment to the general contractor, providing for periodic inspections of work in progress, managing budget issues, additional work items, etc.). 6.14 Division Control of the Project Schedule A schedule that agrees with the cash flow schedule for the entire capital project program should be included: lease approval land acquisition construction new facilities remodeled facilities updates

6.15 Risk Management Analyze/Identify all division specific liability issues to be managed. Provide a narrative that explains risk analysis including strategy, risk identification, assessment and mitigation, and contingency planning.

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Insurance Analysis: The insurance requirements for all functions of the division should be discussed. This should include (but not necessarily be limited to) liability, all risk or other forms of property/building insurance. builder's risk, unemployment insurance and auto property and casualty. Amounts and types of insurance or bonds required should be stated Develop a division specific risk program.

6.16 Conclusions and Recommendations: The student should provide a conclusion section at the end of the report that identifies all findings and conclusions relative to your division including costs, and cost avoidance. 6.17 References Provide all references in appropriate format (i.e., MLA or APA). Professional resources journal: Students are encouraged to seek out industry professionals throughout the capstone process to discuss their project and maintain a journal of meetings and discussions documenting date, time, and items/issues, etc discussed. Provide a narrative summary of information learned and how these industry resources influenced the preparation of the student's Capstone Project. Include a constructive statement of evaluation and recommendations for the capstone course.

6.18 Oral Presentation This section shall contain a hard copy of the student's final Oral Presentation. This will be attached immediately after the student has completed their final presentation to their respective Capstone Panel.

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7.0

Project Approval Requirements

Select a project that is of interest to you (ie., medical building, retail center, etc) For All Projects: In general, warehouses, pre-engineered "Butler" type buildings, renovations, and tenant build-out are not appropriate for the Capstone Project. Usually such projects will not be approved. A minimum floor area of 3500 s.f. must include finished floors, ceilings and partition walls Project budget of $1,000,000 (minimum) and up to $3.5 - 4 million Project approval will be done in person only. Do not email document files to instructor for review. If you have access to project documents through your employment or industry contacts, bring drawings/specs for instructor approval. If you are using a plan room (ie LDI), save at least the following documents on a thumb drive or disk for instructor review: General: grading plan, floor plan, exterior elevations Development: overall site plan, grading plan, utilities plan, exterior elevations Specialty: utility site plan, HVAC plan, electrical plan, Plumbing plan Facility Management: discuss with instructor

Print out the following Project Approval Sheet and bring with you for project review and approval.

Project Approval Deadlines: Fall/.Spring Semesters: First day of class Summer Session: One month prior to start of summer session

If you choose to work with a partner: Development / General Project cost to be at least $10 million with a Design-Build project delivery General / Specialty Project cost to be at least $6 million with a Guaranteed Maximum Cost project delivery General / General Project to be a multi-million dollar heavy civil project (only). Both students must be present for the project review and approval. 32

Senior Capstone PROJECT APPROVAL REQUEST

This form is to be submitted with the drawings and specifications to the Course Professor or Designee. Term / Year of Capstone Project: _________________ Student Name: ________________________ Date submitted for review & approval: ________________ Date on Plans: ________________ Exact title on plans: ____________________________________________________________ Location of Building--State: _________________________City: _________________________ PLEASE Check The Appropriate Box Below to Indicate Your Concentration & Complete Section: GENERAL Concentration -BS Construction
Anticipated Cost of Project (It is recommended that the project shall cost between $1,000,000 and $3-4,000,000. Can use actual bid amounts or an A/E's or GC's estimate) $_________________________

DEVELOPMENT Concentration -BS Construction

Anticipated Cost of Project may be significantly higher than suggested above. Scope of capstone project work should include infrastructure development (complete), and amenities (possibly including model) meeting the minimum finish area requirements below.

SPECIALTY Concentration
Anticipated Cost of Project (It is recommended that the project shall cost between $850,000 and $2,500,000. Approximately 40% of the Total Project Cost shall be for MEP Systems. Use the actual bid amount or an A/E's or GC's estimate)

$___________________________ FACILITY MANAGEMENT Concentration

. Student Checklist to be Completed Prior to Submission: Does the Project include concrete form work design? (General Only) ______ Does the Project include earthwork (cut and fill)? ______ Are the Specifications adequate for a detailed estimate? ______ Do the Drawings include Site, Architectural, Structural, Mechanical, Electrical, and Plumbing? _____

Remarks or Addenda with this submittal:________________________________________________

--------------------------------------------------------------------------------------------------------------------FACULTY REVIEW: Date: __________________________ _____ ACCEPTABLE _____ UNACCEPTABLE (see comments)_____ ACCEPTABLE AS NOTED Course Professor Signature:_________________________________________ Comment:__________________________________________________________________________

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8.0 CAPSTONE - SIGN OFF EXPECTATIONS

(Subject to change with notice)

If you have specific questions concerning the following, you are to communicate directly with the faculty member that will be signing off for each requirement.
Contracts 75% Determination of your Project Delivery method and the appropriate contract type Reviewed draft of agreement between Owner & Contractor (general and development) Reviewed draft of agreement between Contractor and MEP (specialty) Reviewed draft of General conditions (all) Reviewed draft of agreement between subcontractor and contractor (general) Reviewed draft of agreement between a design professional and developer (development) Reviewed draft of agreement between MEP and a subcontractor (specialty) List of all bond requirements Draft narrative discussing project delivery, selected contract(s) types, terms, conditions, and any contract modifications Estimate 75% Required detailed quantity take-offs and pricing completed (all concentrations) Cut-fill analysis, site development take-offs & costs (development) Detailed line items for general conditions identified and priced Preliminary total construction budget Organization & Financials 50% (General and Specialty) Organization chart, legal form of business, resumes and responsibilities of key company personnel, company qualifications, and any other company organization information Project cash flow 3 Pay applications (G702 & G703) Organization & Financials 75% Monthly analysis of billings, payments received, allocation of G&A, payments to subcontractors, and retainage

Company cash flow Company 3-year projected income and expense statement Company balance sheet Ratio and trend analysis

Safety 75%

(General & Specialty) You are the PM/Superintendent of about $1-$4 Million project. The safety 34

manual is very important for you and your company to prevent accidents and also to reduce OSHA penalties and citations. In your safety manual, you may need to incorporate all the required elements so that employee of your company and sub contractors can find the information regarding your project safety when it is needed. Provide a final draft: Site/project specific safety manual; you may need to include the following: Company Goal and Mission Project Goal and Scope Site manager's (superintendents, PMs and safety officers) responsibilities (who will be responsible for your project safety, whom he/she is going to report, how) Employee responsibilities and participations Accident investigations, record keeping and reporting (log 300, 301 and 301 A) New hire policy and orientation Training and tool box meeting Alcohol and Drug abuse policy Safety hazard analysis Safety budget Sub contractor coordination Job Start-up Safety incentives and disincentives Emergency plans Material Safety Data Sheet (MSDS) and so on. You may need to incorporate most of the important subparts such as fall, excavation, fire, PPE, Tools, electrical, housekeeping, cranes, equipments, confined space and so on. Most importantly, the manual should be your own works rather than copying from other sources. Schedule 50% Provide Work Breakdown Structure with estimated durations (Word or Excel) to include headings and hierarchy of detailed activities (similar to an outline) Provide hand-drawn logic diagram to illustrate your understanding of the logical sequence and flow of work to also including the interrelationship between scopes of work. Schedule 75% Primavera P6 (ONLY) Gantt plot 1. 2. 3. Illustrating activity logic with predecessors (utilize leads and lags for efficiency) Identify Critical Path Include at least three milestones

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For Development students: Preparation of project schedule using Primavera P6 or that clearly shows the following activities, their interrelationships and completion timeframe Placing land under contract Completion of acquisition due diligence or feasibility Procurement of financing to start project Preparation of CDs Bidding of project and finalization of overall budget Procurement of permits required to build project Commencement of construction Completion of major activities during construction phase of project Final punch-out and completion Lease up and completion of tenant improvements (or sales of finished lots) Pay off of construction loan either through lot sales or through closing of permanent loan Draft narrative summarizing the Project Schedule should also be included that discusses the highlights of the schedule focusing on the timeframe required to lease up the project to the point of stabilization or to the point where the construction loan has been paid off in full, whichever is later Market Analysis 25% (Development students only) Completion of Selection Criteria, Site Analysis and Site Plan Development portions of the Capstone Project as outlined in Section 4.5 of the Development Concentration requirements above. Aerial photograph or other similar graphics map showing their site and all competitive properties Photographs of competing properties along with tabular description of each competing property's attributes Market Analysis 75% (Development students only) Completion of those items outlined in 25% sign off, plus Written summary describing Regional (ie. Atlanta Metro) and Sub-Market markets addressing such issues as: Population Household income Household size Employment New construction permits issued Product absorption over past 2-3 years Empirical demand analysis in a tabular spreadsheet format Written draft summary discussing their projected demand analysis and the basis for how one has determined their projected absorption and pricing assumptions that are being used in their financial pro-forma Development Financials 25% Using numbers developed through estimate completion provide a complete development cost budget for the project that includes all costs required to complete project starting with initial land acquisition and ending with final lease 36

up/lot sell out Development Cost Budget should include absolute dollars as well as costs broken out on a per SF basis for commercial projects, per unit basis for apartments & hotels and per lot basis for SF land development Financial income statement and balance sheet spreadsheets for both Project and Company financials as discussed in Section 4.13 above along with written narrative done in a bullet format that clearly outlines all key assumptions for these statements. This may be done in either Excel or MS Word.

Development Financials 75%

Completion of those items outlined in 25% sign off, plus Written summary done in a bullet format that clearly outlines all key assumptions for the financial analysis/proforma. This may be done in either Excel or MS Word. Financial Cash Flow Proforma done in MS Excel that indicates all cash flows on a monthly basis starting with initial land acquisition and ending with lease up the project to the point of stabilization or to the point where the construction loan has been paid off in full, whichever is later. 1. Proforma should take into account all equity investments required to complete project, as well as all pertinent debt and revenue generation activities. 2. One workbook (Excel File) should be developed that has several linked worksheets included with it for debt amortization schedules and revenue generation activities (lot sales or lease up calculations). 3. For income producing properties the proforma should convert to an annual basis after the construction loan has been paid off with the permanent loan and should extend out a minimum of 5 years after lease up. A sale should be assumed at the end of year 5 using a cap rate of 9.0% so that a (i) an internal rate of return for the equity investors can be calculated and (ii) and NPV for the equity investors can be determined using a discount rate of 15.0%. Written draft narrative that summarizes major highlights and conclusions of financial analysis

Facility Management

Organization - Organizational chart & legal form for division - resumes of key personnel - construction/development strategy - scope of division - department functions - department organizational charts - department services provided - department job descriptions Budgets - department budgets - construction cost estimate 37

Financials - 50% - department monthly cash flows - 75% - 3 year division budget and cash flow Controls - roles and duties for oversight of construction - capital project program schedule Contracts - Reviewed draft of agreement between your company and GC - reviewed draft of agreement between your company and maintenance - draft narrative for sections identified in section 6.9 Risk Management - identified liability issues - identified insurance and bond requirement - division specific risk program

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9.0 Appendix

Checklists Additional Items for Consideration Time Card/Daily Activity Log

39

Student Name:

Date of final Review:

Minimum Requirements CHECKLIST GENERAL

Notebook to be organized in the order shown per designated tabs Tabs to be labeled, not numbered
(subject to change with notice) Page Number(s)

Cover Letter Cover Page Table of Contents Executive Summary 1. Company Company Narrative & Qualifications Organization chart Resumes of key personnel (incl responsibilities) List/discussion of non-employee team 3-year schedule of projects Personal Financial Statement Company cash flow Company 3-year projected income and expenses Company Balance Sheet Ratio and Trend Analysis 2. Project Planning Project narrative (incl location, scope, acquisition, sources of capital) 11x17 drawings (min: site plan, floor plan, exterior elevations Subcontractor selection criteria Bid invitation/instructions to bidders Example of bid form (for your subs) Bonding information Project Startup checklist (incl both field operations & administrative) Site utilization narrative Site utilization plan(s) 3. Estimate Estimate narrative incl exclusions, qualifications, clarifications List/discussion of any/all addendums (if applicable)

n/a n/a n/a n/a _______ _______ _______ _______ _______ _______ _______ _______ _______ _______

_______ _______ _______ _______ _______ _______ _______ _______ _______

_______ _______ 40

List/discussion of any alternates (bid and voluntary) Estimate recap (summary) G&A workup and analysis Quantity take-off general conditions Quantity take-off sitework Quantity take-off concrete Quantity take-off masonry Square foot cost estimate for other divisions Work sheets (optional) 4. Project Management Project team narrative Project Management organization & administration discussion

_______ _______ _______ _______ _______ _______ _______ _______ _______

_______ _______

(pre-construction, buying out the job, progress/status reports, cost & time control procedures, project documentation, issue/dispute resolution, progress payment process, scope change process, project close-out process, value analysis, etc)

Schedule narrative CPM schedule (Gantt chart)

_______ _______

5. Project Financials General and job overhead analysis (narrative) and Monthly analysis of billings, payments received and disbursed, and retainage (narrative) Cash flow projection Three consecutive applications for payment (G702 & G703) with lien waivers 6. Contracts Contracts narrative Executed agreement between Owner & Contractor General conditions Supplemental conditions (if applicable) Subcontract agreement Executed bond form(s) Change order information

_______ _______ _______ _______

_______ _______ _______ _______ _______ _______ _______

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7. Risk Analysis & Management Narrative of risk assessment and mitigation/risk register discussing any liability or risk issues relevant to the project (including safety) _______ Insurance analysis/discussion including insurance requirements, types, and amounts Executed certificate of insurance Site safety risk assessment and safety program/manual 8. Regulatory & Environmental Narrative of permit requirements (incl permit process for jurisdiction project is located, cost, any special permitting per govt agencies, review process and timing, etc.) Executed permit application from jurisdiction project is located Environmental assessment and protection plan 9. Appendix A Conclusion and recommendations Professional resources narrative Statement of capstone evaluation and recommendations References Presentation slides _______ _______ _______

_______ _______ _______

10. Appendix B Administrative submittals Project approval sheet Sign off sheet Checklist Weekly schedule Time sheets

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Student Name:

Date of final Review:

Minimum Requirements CHECKLIST DEVELOPMENT

Notebook to be organized in the order shown per designated tabs Tabs to be labeled, not numbered
(subject to change with notice) Page Number(s)

Cover Letter Cover Page Table of Contents Executive Summary 1. Design Development Project description narrative Boundary survey/legal description Schematic master plan Development program summary Selection criteria Site analysis 2. Execution and Schedule Purchase strategy/technique discussion Construction management discussion Design team consultants, services provided, compensation Master schedule Project organizational chart Project team list 3. Development and Construction Estimates Pre-development budget Site work cost estimate Preliminary budget for building(s) Projected costs estimate

n/a n/a n/a n/a

_______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______

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4. Market Study & Plan Metropolitan economic overview Neighborhood economic overview Market analysis Sales, leasing, and/or marketing plan 5. Project Financials & Cash Flow Sources and uses of capital detailed discussion Monthly cash flow projection Assumptions for basis of cash flow Stabilized operating statement (income producing projects) 6. Permitting and Risk Management Required permits discussion Insurance analysis/discussion including insurance requirements, types, and amounts Executed certificate of insurance 7. Legal Issues Contracts narrative Land Purchase agreement Sales contract (if sold) Lease agreement (if leased) Property management agreement (if third party) Executed design professional agreement Executed construction agreement and general conditions Change Order Proposal Letter 8. Conclusions & Recommendations 9. Company Organization & Financials Company background/legal form narrative Organization chart Resumes of key personnel (incl responsibilities) List/discussion of non-employee team Personal Financial Statement Company projected income and expenses Company Balance Sheet _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______

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10. Appendix A Property management plan Site engineering and construction plans 11. Appendix B Professional resources narrative Statement of capstone evaluation and recommendations References Presentation slides 12. Appendix C Administrative submittals Project approval sheet Sign off sheet Checklist Weekly schedule Time sheets

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Student Name:

Date of final Review:

Minimum Requirements CHECKLIST SPECIALTY

Notebook to be organized in the order shown per designated tabs Tabs to be labeled, not numbered
(subject to change with notice) Page Number(s)

Cover Letter Cover Page Table of Contents Executive Summary 1. Company Company Narrative (incl company size, legal form, qualifications) Organization chart Resumes of key personnel (incl responsibilities) List/discussion of non-employee team 3-year schedule of projects Personal Financial Statement Company cash flow Company 3-year projected income and expenses Company Balance Sheet Ratio and Trend Analysis 2. Project Planning Project narrative (incl location, scope, acquisition, sources of capital) Subcontractor/vendor selection criteria Bid invitation/instructions to bidders Example of bid form (for your subs) Bonding information Project Startup checklist (incl both field operations & administrative) Site utilization narrative Site utilization plan(s)

n/a n/a n/a n/a

_______ _______ _______ _______ _______ _______ _______ _______ _______ _______

_______ _______ _______ _______ _______ _______ _______ _______

46

3. Estimate Estimate narrative incl exclusions, qualifications, clarifications List/discussion of any/all addendums (if applicable) List/discussion of any alternates (bid and voluntary) Estimate summary G&A workup and analysis Quantity take-off general conditions Quantity take-off all systems that condition air Quantity take-off all plumbing systems Quantity take-off all electrical systems Quantity take-off all control systems Building square foot cost estimate Work sheets (optional) 4. Building Systems Analysis Section Narrative to include: Applicable MEP codes LEED certification statement (if applicable) Analysis of plumbing systems Analysis of systems that condition air Analysis of electrical systems Explanation of how MEP services provided to site Explanation of how MEP systems traverse the site/enter bldg _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______

Specialty engineering and construction plans 5. Project Management Project team narrative Project Management organization & administration discussion Schedule narrative Summary CPM schedule (Gantt chart) entire project Detailed CPM schedule (Gantt chart) MEP scope of work 6. Project Financials General and job overhead analysis (narrative) and Monthly analysis of billings, payments received and disbursed,

_______ _______ _______ _______ _______

_______

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and retainage (narrative) Cash flow projection Three consecutive applications for payment (G702 & G703) with lien waivers 7. Contracts Contracts narrative Executed agreement between specialty contractor & general Supplemental conditions (if applicable) Executed agreement with subcontractor Executed bond form(s) Executed change order 8. Risk Analysis & Management

_______ _______ _______

_______ _______ _______ _______ _______ _______

Narrative of risk assessment and mitigation/risk register discussing any liability or risk issues relevant to the project (including safety) _______ Insurance analysis/discussion including insurance requirements, types, and amounts Executed certificate of insurance Site safety risk assessment and safety program/manual 9. Regulatory & Environmental Narrative of permit requirements (incl permit process for jurisdiction project is located, cost, any special permitting per govt agencies, review process and timing, etc.) Executed permit applications from jurisdiction project is located 10. Appendix A Conclusion and recommendations Professional resources narrative Statement of evaluation and recommendations References Presentation slides _______ _______ _______

_______ _______

11. Appendix B Administrative submittals Project approval sheet Sign off sheet Checklist Weekly schedule Time sheets 48

Student Name:

Date of final Review:

Minimum Requirements CHECKLIST Facility Management

Notebook to be organized in the order shown per designated tabs Tabs to be labeled, not numbered
(subject to change with notice) Page Number(s)

Cover Letter Cover Page Table of Contents Executive Summary 1. Organization Divisions and departments Non-employee associates Ownership Division budget Division cash flow Qualifications Organizational chart and roles/responsibilities Resumes Projects 3-year schedule, budget, cash flow Sources of capital 2. Budgets Development Construction Asset Management Maintenance Energy 3. Departments Analysis of division Analysis of departments

n/a n/a n/a n/a

_______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______

_______ _______ _______ _______ _______

_______ _______ 49

4. Contracts Sub selection criteria Bid invitation example Instruction to bidders Sample bid form Bond and insurance forms Company & general contractor contract Company & maintenance contract Utility bills 5. Division Cash Flow Monthly cash flow Department budget justification

_______ _______ _______ _______ _______ _______ _______ _______

_______ _______

6. Regulatory Permits discussion Licensing requirements

_______ _______

7. Project Management Project management narrative General contractor issues discussion Construction oversight Schedule 8. Risk Management Risk analysis discussion Insurance analysis Division specific risk program 9. Appendix A Conclusion and recommendations Professional resources narrative Statement of evaluation and recommendations References Presentation slides 10. Appendix B Administrative submittals Project approval sheet Sign off sheet Checklist Weekly schedule Time sheets

_______ _______ _______ _______

_______ _______ _______

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Additional Items for Consideration

The following items may/should be considered and possibly incorporated when preparing the Capstone Project. This is not to be considered a complete list of additional considerations.

A-E's Emergency Field Order A-E or Owner's Letter of Acceptance Assumptions Building Permit issued by jurisdiction overseeing project Builder's Risk with Extended Coverage Policy Certificate of Occupancy or Occupancy Permit Certificate of Substantial Completion AIA-G704 Completed Operations Coverage Concrete Pouring Sequence Concrete Tests Consent of the surety for Final Payment AIA-G707 Contract exhibits Contractor's Affidavit AIA-G706 Contractor's qualification statement (if required by specifications-Instruction to Bidders) Equal Opportunity Agreement and/or Statement Equipment Field Completion Reports with profit or loss calculations. Formwork Design Guarantees: Termite, Acoustical Tile, Mechanical Equipment, Roof, Resilient Flooring, Ceramic Tile, etc. Job overhead calculation: supervision, field office, field office insurance, equipment shed, material storage shed, office supplies, utilities, telephone, building permits, temporary lighting, temporary power, temporary toilets, job sign, water and cups, first-aid supplies, clean-up, small tools, OSHA, progress photos, etc. Labor Burden Derivation Letter of Intent List of Figures (or Tables), etc. List of Subs Mechanical and Electrical Assembly Pricing Minutes of Progress Meetings Notice to Proceed

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Office Overhead Budget: Salaries, rent, utilities, telephone, supplies, postage, travel, legal, accounting, licensing, advertising, promotion, insurance, etc. Pricing strategies Project Management team resumes Punch list form example Purchase Order Form Release of Lien AIA-G706A Request for Change Order log Request for Pricing RFI log form Schedule Costs Shop Drawing or catalog cut submittal example Standard Addenda Sheet Temporary structures Transmittal Form Value Analysis and Alternates Vehicles List Wage Rates Worker Compensation coverage and rates Example -Timesheet Form which required to be submitted weekly per capstone calendar

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