First-Time Owner? Here's What to Expect During the Design Phase

If this is your first construction project, the design phase can feel abstract and technical—drawings evolve, meetings multiply, and costs seem to shift before anything tangible exists. Yet this phase quietly sets the foundation for everything that follows. By the time construction starts, most of the project's cost and risk profile has already been locked in.

Understanding what happens during design—and what your role should be—helps you stay in control without micromanaging.

What the Design Phase Actually Includes

While terminology varies, the design phase typically progresses through three structured stages:

1. Concept / Schematic Design

What happens:

• Project goals are translated into preliminary layouts and concepts
• Major systems, size, and configuration decisions are made
• Initial cost opinions are developed

Why it matters:

This is where high-level decisions with large cost implications are set. Changes are relatively inexpensive at this stage.

Owner focus:

• Confirm the design aligns with business and operational goals
• Challenge assumptions early
• Ensure the scope matches the budget intent

2. Design Development

What happens:

• The design becomes more detailed and coordinated
• Structural, mechanical, electrical, and civil systems are defined
• Materials and major equipment are selected

Why it matters:

This phase locks in many cost drivers. Late changes here are still possible—but increasingly expensive.

Owner focus:

• Validate that systems match operational needs
• Review constructability and maintenance implications
• Ensure cost estimates reflect increasing design detail

3. Construction Documents

What happens:

• Drawings and specifications are finalized for pricing and construction
• Contract requirements are established
• Bid packages are prepared

Why it matters:

These documents become the basis for contractor pricing—and future claims.

Owner focus:

• Ensure scope is complete and clearly defined
• Confirm risks are identified and intentionally allocated
• Avoid rushing to bid before documents are ready

Key Milestones Owners Should Pay Attention To

Even if you are not managing the design day-to-day, several milestones deserve your direct involvement:

• Design kickoff: Align expectations, roles, and decision authority
• Cost estimate updates: Confirm the project remains financially viable
• 30/60/90% design reviews: Validate scope completeness and risk exposure
• Pre-bid readiness check: Ensure the documents are buildable, not just complete

These are decision points—not just status updates.

How to Stay Engaged Without Micromanaging

Effective owners stay involved at the decision level, not the drafting level.

Productive owner behaviors:

• Ask how decisions affect cost, schedule, and risk—not just aesthetics
• Request clear options with tradeoffs, not open-ended recommendations
• Document decisions and assumptions as they are made

Unproductive owner behaviors:

• Redlining technical details without context
• Deferring major decisions "until later"
• Relying on optimism instead of validation

A Common First-Time Owner Trap

Many first-time owners believe construction is where risk begins. In reality, the design phase is where risk is created or reduced. By the time problems appear in the field, the opportunity to fix them cheaply has passed.

The Owner's Advantage During Design

During design, owners still have leverage. Alternatives can be evaluated, scope can be clarified, and risks can be addressed before they turn into change orders. Engaged—but disciplined—owner participation during this phase consistently leads to better outcomes.