The last draw-down – The eternal conundrum

This is the biggest conundrum facing self-builders and architects in Ireland (forgetting about SI 80 in March this year!):

In order to draw-down the last payment from the bank, banks & solicitors require the following documents:

1. Certificate of Compliance with Planning Permission

2. Certificate of Compliance with Building Regulations

3. Certificate of Identity – this basically says (along with a load of other stuff) that the house is built on the land that you own and on the planning permissions granted.

4. Final Draw-down certificate to bank

5. Certificate of Architect’s Professional Indemnity Insurance (let’s hope the architect doesn’t need to use this)

6. Copy of the Commencement Notice (let’s hope you have one)

7. Confirmation regarding financial obligations related to planning; either receipts or letter stating situation

Be prepared also to resubmit pay-slips, P60’s, blood group certificates (joke)… Also solicitors don’t like to see any exclusions on any of the certificates, so everything needs to be substantially compliant (see my previous posts on this ridiculous meaning).

Typically in Ireland, it’s too much, too late.

Now here’s the conundrum:

How does the architect certify that everything complies when the client needs that last draw-down in order to complete the project? Especially when suppliers are looking for payment at time of purchase.

Some of the money from the draw-down may be on items may be required for items relating to planning conditions or Building Regulations.

The advice therefore is that you need and then need to keep back a very large contingency for this situation – not easy in today’s climate.

Crazy situation. Does the architect take the risk and certify anyway or condition the certificates so that the client can’t obtain the final draw-down and therefore not get paid his final invoice?

If you have a way out of this, please let me know!…

Comments welcome…

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