Construction Terms Glossary

Construction is a highly technical industry that often seems to have a language of its own. From general job site acronyms to complex commercial terms, the wide array can be overwhelming when building construction projects.

Dig into our glossary of definitions to learn more about the construction process—from precise planning to successful execution.

Common Construction Terminology Abbreviations and Acronyms

APM: Assistant Project Manager

CD: Construction Drawings

CMAR: Construction Manager At Risk 

CM: Construction Manager

COR: Change Order Request

DD: Design Drawings

GC: General Contractor

GMP: Guaranteed Maximum Price

HVAC: Heating, Ventilation, and Air Conditioning

MEP: Mechanical, Electrical and Plumbing

MEPS: Mechanical Electrical Plumbing Sprinkler

O&M:  Operations and Maintenance

PC: Project Coordinator

PE: Project Engineer

PM: Project Manager

PX: Project Executive

RFI: Request for Information

RFP:  Request For Proposal

RFQ:  Request for Qualifications

SOQ:  Statement of Qualifications

SOW: Scope of Work

TI: Tenant Improvement

VAV: Variable Air Volume

Building Type Definitions

Class A Buildings

Extremely well-constructed buildings with high-quality infrastructure and state-of-the-art building systems. Class A Buildings tend to exist in the most desirable locations, are highly accessible for both clients and businesses, and are professionally managed with above-average value in their market and area.

Class B Buildings

Class B Buildings tend to be older structures with more moderate design, aesthetic, and finishes, have good quality management and tenants, and are decently maintained. These buildings do not compete with Class A Buildings at the same price.

Cold Shell

A building structure with an unfinished interior that lacks Heating, Ventilation, and Air Conditioning (HVAC), and doesn’t have existing lighting, ceilings, or walls. Cold Shells may have fully-functioning core (electrical closets, mechanical rooms, elevators, lobbies or restrooms).

Warm Shell

A warm shell is typically considered ready to lease or receive tenant improvements (TI).  These buildings may have partial HVAC systems installed, ready for distribution by tenant. Space may also have a fully functioning cores (electrical closets, mechanical rooms, elevator lobbies or restrooms).

Office Space Conditions 

1st Generation Space

A new office space constructed on a floor that has never been customized for a tenant. These spaces are ideal for tenant improvements or tailored renovations to meet specific business needs. 

2nd Generation Space

An office space previously occupied by a tenant and therefore needs improvements and renovations to fit the needs of the subsequent tenant. 

Construction Process Terms

Construction Development

Construction Development ensures that all logistical, financial, and regulatory aspects are planned for prior to project construction. This phase includes important preparatory tasks like site acquisition, financing, permitting, contractor selection, and schedule finalization.

Preconstruction

Any successful project is established through an efficient and well-run Preconstruction process. This involves methodical communication and coordination with all project parties to develop site logistics plans, constructability assessments, detailed schedules, and accurate cost estimates.

Construction

When all the careful due diligence and planning comes together, the construction phase of a project begins. The highest quality build-out on every project involves meticulous subcontractor coordination, efficient day-to-day project management, and a continuous commitment to safe work environments. 

Post-Construction

A Post-Construction phase to ensure a client’s full satisfaction and that their space is functional, safe, and ready for its intended use. This phase involves finalizing administrative tasks, closing contracts, addressing minor repairs and adjustments, system testing and commissioning, client handover tasks, and occupancy and maintenance planning.

Construction Management, Contracting, and Delivery Methods Terminology

Construction Manager (CM)

The CM is a professional responsible for overseeing and coordinating all aspects of a construction project, from project budget and planning to on-site supervision and completion. Their role may include resource management, timelines, safety protocols, and stakeholder communication to ensure the project is completed on schedule and within budget.

General Contractor (GC)

This  company is responsible for the day-to-day oversight of a construction site,subcontractorand vendor management, and clear communication with all involved parties throughout the course of a building project. It is not uncommon for a GC to act as a CM for certain owners.

Construction Manager At Risk (CMAR)

The Construction Manager at Risk (CMAR) is a delivery method that involves a commitment by the Construction Manager (CM) to deliver the project within a Guaranteed Maximum Price (GMP). The GMP is based on construction documents and specifications plus any reasonably inferred items or tasks. The CMAR provides professional services and acts as a consultant to the owner in design, development, and construction phases.

Design-Bid-Build

This is the most traditional process. A Design-Bid-Build project involves a business contracting directly with an architect, designer and/or engineer to prepare project designs that are then bid on by General Contractors.

Design-Build

This method consists of a business owner hiring a single entity to carry out both project design and construction under a single contract. This sometimes involves portions of the entirety of design and construction being subcontracted to other companies. This process by necessity involves intense collaboration between the design and construction disciplines, design input from multiple trades, and a single entity bearing project risk. Design-Build is often touted as the most efficient, cost-effective delivery method for construction projects.

Agency Construction Manager or Project Management

A fee-based service in which the Construction Manager (CM) is responsible exclusively to the owner and acts in the owner’s interests throughout each stage of the project. An agency CM does not contract with subcontractors. The agency CM advises the owner on matters such as optimal use of available funds, control over the scope of the work, and project scheduling.

Lump Sum Contract or Stipulated Sum Contract 

This contract type requires that the contractor agrees to provide specified services for a fixed price.  

Guaranteed Maximum Price (GMP) Contract

A Guaranteed Maximum Price (also known as GMP, Not-To-Exceed Price, NTE, or NTX) Contract stipulates that a contractor is compensated for actual costs incurred plus a fixed fee subject to a ceiling price.

Lean Construction

This is a construction process that strives to improve project quality and efficiency through methodologies such as value creation, waste reduction, continuous improvement, collaboration, just-in-time delivery, and standardization.

Construction Management Software

A digital tool or suite of tools designed to assist with construction planning, coordination, and execution. These technologies streamline project management processes like scheduling, budgeting, resource allocation, reporting, and team communication in order to improve collaboration and project efficiency.

Basic Construction Terms

Architectural Drawings or Blueprints  

Technical drawings created by architects or designers to visually communicate project details. These drawings serve as a guide for construction, showing everything from the overall layout and dimensions to specific details like materials, finishes, and structural elements. Some may include multiple views (floor plans, elevations, sections, detailed diagrams, etc) to provide a comprehensive blueprint for the construction team.

Building Code

A set of regulations established by local, state, or national authorities to ensure buildings meet specific quality and safety standards to ensure the welfare of occupants. Building Codes provide specific regulatory guidance for construction practices, including requirements for structural integrity, fire safety, electrical systems, plumbing, accessibility, and energy efficiency. 

Tenant Improvement (TI)

Changes made to the interior of a commercial or industrial property by its owner, landlord, or tenant.

Tenant Improvement Allowance

Tenant Improvement Allowance is the amount a landlord is willing to pay to the tenant to renovate or retrofit their office space. It is usually expressed in a $/sq.ft. amount or a total dollar sum, and is decided upon during lease negotiations.

Retrofitting 

The process of adding functional components to a space that was not included in its original build. This process typically involves the installation of new building systems, but may also include additions to the fabric of a building, such as insulation. 

Seismic Retrofitting 

The modification of existing structures to resist seismic activity in areas at risk of earthquakes, ground motion, or earth slides. 

Demising Wall

The wall that separates a tenant suite from another tenant suite, or other building common areas. In most cases, a Demising Wall will be constructed from floor to either roof deck or floor deck. The wall may also be a Fire Rated Wall.

Partition Wall

A wall constructed to create work areas such as offices or conference rooms. Depending on security needs, a partition wall may not be constructed to the roof or floor decking, but may terminate at lower points such as a suspended ceiling.

Punch List

A list of incomplete or unacceptable construction items which upon completion will complete the obligations of the contractor.

Substantial Completion

The point during construction at which the contractor is ready to turn the property over to the tenant or client for acceptance and final punch list. This usually occurs upon the issuance of a certificate of occupancy.

Abatement

The process of removing previously installed hazardous materials from a site, such as asbestos or lead paint.