A lot of development projects look great on paper. The numbers stack up, the design works, the approvals come through. Then construction starts, and that’s when the real site problems show up. Watch the full episode above to hear exactly how experienced proeprty developers handle these surprises and protect their margins.
What unexpected problems appear once construction starts?
The issues that catch developers out are the ones you can’t see before a machine hits the ground. Soil tests and authority plans only tell you so much.
A soil test usually samples two or three boreholes. It can’t tell you what sits between those points. So hitting unexpected soil mid-build means redesigning footings, calling your engineer back in, and burning time and money you didn’t budget for.
Underground services are the same story. Authorities give you plans and as-built drawings, but some are 50 years old. Pipes shift, records don’t. That gap between paper and reality is where projects get expensive in a hurry.
What site conditions cause the biggest site problems?
Bad soil, mislabelled utilities, and rock are the three big ones. Each can stop a project cold and force a redesign mid-build.
Rock is brutal. Boreholes often miss it, and once you find it you’re paying to break it out before you can even remove it. Then you’ve got a gap where the rock used to be, so you need extra concrete, fresh compaction, and a re-engineered footing.
Underground services hurt just as much. If you nick a sewer, water main, or power line feeding nearby properties, costs cascade fast. Before excavating near any easement, get the builder to hand dig and locate the asset first.
How do experienced developers handle site surprises?
Speed and relationships. When something goes wrong, everything stops, and the right people need to be on site within days, not weeks. Engineer, architect, authority, and townhouse builder, all looking at the same problem together.
That’s where relationships matter. If you’ve been a difficult client, you’ll find out in a crisis. The consultants who reprioritise their week to help you out are the ones you’ve looked after along the way.
Contingency is the other half. It’s site specific, not a blanket figure. Flat suburban blocks need less. Sloped or rocky sites need plenty more. Build that into your numbers at due diligence, not after construction starts.
Key takeaways from this episode:
- Soil tests sample points, not the whole site.
- Old utility plans often don’t match what’s actually underground.
- Rock means breaking, removing, refilling, and re-engineering.
- Strong property development consultant relationships move fastest when things go wrong.
Conclusion
Every site has surprises waiting. Real due diligence, site-specific contingency, fast decisions, and solid relationships are what carry projects through. Plan for the unexpected before you buy, not after the machines arrive.