CMG, Inc. Insights

Opening Your First Location? Here’s What Nobody Tells You About Construction

Written by Trevor McArthur | Jul 1, 2026 2:36:30 PM

A First Time Construction Buildout Survival Guide

Everyone gets excited about the fun stuff.

The brand.

The design.

The opening party.

The fancy espresso machine that nobody can actually operate.

Nobody talks about the part where construction slowly turns you into a part-time therapist, accountant, firefighter, and amateur mechanical engineer.

If you’re opening your first location, here’s the survival guide nobody gives you.

1. Your landlord is not your project manager

This one hits people hard. Just because a landlord says: “Should be straightforward.” … it does not mean:

• the power is adequate

• the HVAC works for your use

• the plumbing can be moved where you need it

• permits will be easy

• their “approved vendors” won’t charge you like they’re rebuilding the Vatican

A vanilla shell can still financially ruin a project.

The lease gets signed based on optimism. The construction budget gets built on reality and those are rarely the same number.

2. Design takes way longer than you think

Most first-time tenants are laser focused on getting the lease signed.

Then reality hits:

you still need to actually design the space.

Not sketch it.

Not Pinterest-board it.

Actually design it.

That means:

• test fits

• layouts

• revisions

• consultant coordination

• landlord comments

• city comments

• value engineering

• more revisions

• “can we make this cheaper?” meetings

• another round of revisions after that

Getting a project from “cool idea” to a real tender-ready drawing package can easily take months.

And until the drawings are coordinated properly, pricing is mostly fiction.

3. “We’ll figure it out later” is the most expensive sentence in construction

Every unresolved decision becomes:

• delay

• rework

• expedited shipping

• overtime

• stress eating

• another consultant

You do not want your GC standing on site asking:

“So… where exactly is the reception desk going?”

That question costs money now.

4. Your drawings are not done just because they look done

If this is your first buildout, you’re about to discover the magical world of:

• missing dimensions

• conflicting details

• consultants blaming each other

• “not in our scope”

• “existing site conditions differ from drawings”

Construction is basically a team sport where everyone’s PDF disagrees with each other.

5. The city does not care about your opening date

Your Instagram launch campaign means absolutely nothing to the permit department.

Neither does: “We already ordered furniture.”

Permits move at permit speed. And the truly fun part? You often receive comments one week before you thought you were approved and ready to break ground.

6. Tenant Improvement Allowances are not free money

This one surprises almost everyone.

What people hear:

“The landlord is giving us a $150k TI allowance.”

What they think:

“Great, that helps fund construction.”

What actually happens:

You front all of the money yourself first.

Then, after construction:

• all deficiencies need to be closed

• closeout documentation gets submitted

• statutory declarations get reviewed

• lien periods expire

• every consultant, contractor, subtrade, and possibly the guy who delivered the drywall needs to sign paperwork

Only then does the landlord maybe begin processing your reimbursement.

Getting TI money from a landlord can feel like trying to draw blood from a stone.

It is extremely common for tenants to wait 2–3 months post-construction before seeing those funds. So yes — your landlord may be “contributing.” But your cash flow still needs to survive the entire project first.

7. Long lead items will humble you

You think:

“We’ll order lighting later.”

Suddenly:

• lighting is 14 weeks

• millwork hardware is 10 weeks

• tile is stuck in customs

• your one specialty sink comes from northern Italy apparently handcrafted by monks

Now your entire project is waiting on a faucet.

8. Construction pricing is not logical

One subcontractor prices a job at $18k.

Another prices the exact same thing at $61k with the confidence of a person ordering appetizers.

Nobody knows why….Welcome to tendering.

9. The schedule is fake until demolition starts

Every first schedule looks incredible.

Then demo starts and someone finds:

• buried plumbing

• unmarked conduits

• asbestos

• structural surprises

• an abandoned gas line from 1987

• three layers of flooring and emotional damage

Now your “8-week fitout” becomes a personality test.

10. Cheap project management is unbelievably expensive

A lot of founders think PM fees are overhead.

Then they spend:

• $40k on preventable changes

• 6 weeks arguing with vendors

• another month coordinating issues nobody owned

Good PMs don’t just “manage construction.”

They prevent chaos before it starts.

Big difference.

And despite all of this:

• the stress

• the RFIs

• the permit comments

• the mystery leaks

• the HVAC unit that only fails on Fridays at 4 pm

…opening day somehow still happens.

Then you open location #2 and suddenly become the person saying:

“Trust me, we need to review the reflected ceiling plan before signing the lease.”

Construction changes people.