Schematic Design Through Construction Documents | Development Series

An owner approved Schematic Design plans for a $14M boutique hotel. Two months later, deep into

Design Development, he decided he wanted the lobby on the north side instead of the south side. That single change cost $230,000 in redesign fees, added 9 weeks to the schedule, and required new structural calculations, new MEP routing, and a re-submission to planning. If he'd raised the same question during Schematic Design — three weeks earlier — the cost would have been about $4,000. The architect would have flipped the plan on the spot. The difference between those two outcomes is the entire reason the AIA design phases exist. Today: the five AIA design phases explained — what gets produced in each, what the owner should decide at each, and why the cost of changes increases roughly 10x with every phase you cross.

What Are the AIA Design Phases?

The five-phase framework that structures nearly every commercial design project

The AIA design phases are a standardized sequence of work that the American Institute of Architects defines for architectural services, used by most owners and architects in the United States to structure a project from concept through completion. The five phases are: Schematic Design (SD), Design Development (DD), Construction Documents (CD), Bidding/Negotiation (B/N), and Construction Administration (CA). Each has distinct deliverables, owner decisions, and approval gates.

The Five Phases at a Glance

Each phase produces specific deliverables, asks the owner a specific question, and ends with a specific approval gate. Skipping or rushing any one of them is where projects get expensive.

Figure 1 — The five AIA design phases with typical fee distribution. CD typically commands the largest share because that's where buildable documents are produced.

ℹ Why Are There Five Phases (Not One)?

Each phase locks in a different level of decision — from concept down to construction detail
Owners approve at the end of each phase before the architect proceeds to the next
Phased approval prevents the architect from drawing a building the owner doesn't want
Cost estimating happens at each phase boundary — you check budget before committing further

The phases align with how design knowledge actually develops — concept first, then refinement, then detail

Inside Each Phase — What Gets Produced

Detailed scope, deliverables, and the owner's role at each stage

Knowing what each phase produces — and what it doesn't produce — lets you review the architect's work intelligently and make timely decisions.

Phase 1: Schematic Design (SD)

What gets produced: Overall floor plans showing room locations and approximate sizes; site plan; rough exterior elevations; basic massing studies; preliminary materials concept; rough order-of-magnitude (ROM) cost estimate.

What does NOT get produced: No precise dimensions; no specifications; no structural calculations; no

MEP system sizing; no finish selections; no permit-ready documents.

Owner's job: Confirm the program is captured correctly; approve the overall layout and concept; flag

any major directional concerns before DD begins. This is the cheapest moment to change your mind.

Typical fee share: 10–15% of total design fee; 1–3 months for residential, 2–4 months for commercial.

Approval gate: Owner signs off on schematic drawings before the architect proceeds to Design

Development. This is a hard gate — don't proceed without explicit approval.

Phase 2: Design Development (DD)

What gets produced: Dimensioned floor plans; refined elevations and sections; material palette

What does NOT get produced: No final specifications; no construction details; no permit-ready set; no finish schedules; no door/window schedules; no shop drawings.

Owner's job: Approve material selections, fixture specifications, and system locations. Verify that DD plans still meet your program. Confirm cost estimate is acceptable before CD.

Typical fee share: 15–25% of total design fee; 2–4 months typical.

Approval gate: Owner approves DD before CD begins. After this gate, every change becomes

meaningfully more expensive. Take this approval seriously.

Phase 3: Construction Documents (CD)

What gets produced: Full architectural drawing set (typically 80–500+ sheets for commercial); complete specifications book (CSI Master Format divisions 00–48); structural, civil, and MEP drawings; door/window/finish schedules; details at multiple scales; permit-ready set.

What does NOT get produced: No shop drawings (contractor's responsibility); no field changes (those

come during CA); no contractor selection (that's the next phase).

Owner's job: Make final finish selections, hardware decisions, and accessory choices. Review and

approve schedules. Once CDs are issued for permit, changes become genuinely expensive.

Typical fee share: 35–45% of total design fee — the largest share because of document volume; 3–6

months for typical commercial.

Approval gate: Owner approves the CD set for bid (or permit). After this point, every change becomes a change order with paperwork, repricing, and schedule impact.

Phase 4: Bidding / Negotiation (B/N)

What gets produced: Bid set documents (often slightly different from permit set); RFI log with

architect's responses; addenda (formal modifications to the bid documents); bid analysis comparing contractor responses.

What does NOT get produced: No actual construction happens; no design changes (any clarification gets added to bid documents); no contractor management.

Owner's job: Select contractor based on bid responsiveness, price, schedule, and qualifications. Negotiate contract terms. Avoid scope changes during bidding — they trigger re-bids.

Typical fee share: 5–10% of total design fee; typically 4–8 weeks for commercial bid solicitation.

Approval gate: Owner selects contractor and signs construction contract. This phase ends when shovel

hits ground (or the existing condition gets demolished).

Phase 5: Construction Administration (CA)

What gets produced: Periodic site observation reports; written responses to contractor RFIs; reviewed shop drawings (returned to contractor stamped); certified payment applications; change order documentation; punch list at substantial completion.

What does NOT get produced: Not construction supervision (that's the contractor's role); not full-time on-site presence; not project management of subs.

Owner's job: Be available for design decisions on field-discovered conditions. Approve change orders. Sign payment applications. Walk the punch list at substantial completion.

Typical fee share: 15–25% of total design fee; runs concurrent with construction (typically 6–24+

months).

Approval gate: Substantial Completion (most of the building is usable for its intended purpose) and then Final Completion. Each triggers payment and warranty start dates.

How the Drawings Actually Evolve

Same floor plan, three levels of detail across the phases

The clearest way to understand the AIA phases is to watch a single floor plan develop through SD, DD, and CD. The plan is the same project — the level of resolution is what changes.

Figure 2 — Same reception/meeting room layout shown at SD (concept), DD (dimensioned), and CD (fully detailed for construction).

How to Review Drawings at Each Phase

Reviewing SD drawings: Focus on the BIG picture: Is every space we need on the plan? Are spaces in the right relationship (kitchen near dining, bathroom near bedrooms)? Does the overall building shape work on the site? Don't worry about dimensions or finishes yet.

Reviewing DD drawings: Focus on SYSTEMS: Are dimensions reasonable for the function (offices large

enough, corridors wide enough)? Are wall types specified? Are mechanical systems located where they make sense? Are major fixtures shown? This is your last chance to change rooms before serious cost.

Reviewing CD drawings: Focus on DETAILS: Are finishes specified? Are hardware schedules complete?

Are accessories shown? Are door swings correct? At this stage, you're reading for completeness more than design — making sure nothing is missing for the contractor to bid.

Common review mistakes: Reviewing SD as if it were CD (looking for missing finish information that

won't exist yet); reviewing CD as if it were SD (making layout changes that should have happened months ago); skipping reviews because 'the architect knows what they're doing'.

ℹ What 'Drawing Sets' Mean and Why It Matters

30% set = end of Schematic Design — concept locked, no detail
60% set = end of Design Development — dimensions and systems in, finishes not selected

90% set = nearly complete CDs, often used for budgeting and pricing reviews
100% set = Construction Documents, issued for permit and bid
Issued for Construction (IFC) set = final, used during construction
When asking your architect for a 'set,' specify which milestone you mean

Why Changes Get So Expensive So Fast

The cost curve every owner needs to understand

The single most important concept in design phase management is the cost-of-change curve. Decisions made early are cheap. Decisions made late are exponentially expensive.

Figure 3 — The cost-to-change curve grows roughly 10x with each phase. A change costing $1 in SD costs roughly $35 if made during bidding and $100+ once construction has started.

Why the Cost Curve Is So Steep

Each phase locks in decisions that downstream phases depend on. When you change a decision after dependent work has been done, all the dependent work has to be redone — and you pay for every hour of redo. Change Impact by Phase — A Concrete Example 5%

Move a wall in SD

Move a wall in DD (after structural)

30%

Move a wall in CD (after MEP routing)

65%

Move a wall during bidding

85%

Move a wall after framing starts

100%

Add a window in SD

Add a window during construction

95%

✓ How Professional Owners Manage the Cost Curve

Schedule formal program review meetings BEFORE SD begins — get the brief right before drawings start

Bring all stakeholders to the SD approval meeting; everyone signs off before DD starts
Hire an owner's representative if you're not experienced — they catch issues you'd miss
Build in formal cost estimates at SD, DD, and 90% CD — three checkpoints, three chances to coursecorrect

Maintain a written log of every decision; revisiting settled questions wastes design time
Resist the temptation to 'just tweak something' once CDs are issued — every tweak is a change order
When changes ARE necessary in CD or later, group them — one change order with five items is cheaper than five separate ones

Commercial vs. Residential: How Phases Differ in Practice

Same framework, dramatically different formality

The AIA five-phase framework was developed for commercial projects, but it applies in some form to virtually every architect-designed project. The depth and formality differ significantly.

AREA

🏢🏢 COMMERCIAL

🏠🏠 RESIDENTIAL

Contract Form

AIA B101 Owner-Architect Agreement (or

B102/B103); explicitly references the five phases

AIA B105 (residential) or custom letter

agreement; phases often informal or compressed

Phase Formality

Each phase has formal kickoff, deliverable list, owner sign-off, and approval gate

Phases often blur together; SD and DD

frequently combined; less formal approvals

Drawing Volume

80–500+ sheets across all disciplines at 100%

5–25 sheets at permit submission; specifications often integrated into drawings

Owner Reviews

Formal owner review at end of each phase with

documented written approval

Informal architect-owner meetings; approvals

sometimes verbal (not advisable)

Cost Estimating

Three formal cost estimates: SD (±20%), DD

(±10%), 90% CD (±5%); checked against budget at each

Often one cost estimate near end of design; sometimes no formal estimate at all

Construction Admin

Multiple site visits per month; formal submittal

review; certified pay applications

Site visits as needed; sometimes architect's

only role is permit drawings

Change Orders

Formal AIA change order process (G701); priced, scheduled, signed

Often informal owner-contractor agreement; no written documentation common

Typical Design Fee

5–15% of construction cost across all five

phases

8–15% of construction cost; sometimes lump

sum, sometimes hourly

Key Insight: Residential Owners Often Compress Phases — At Their Peril

On smaller residential projects, designers often skip Schematic Design entirely and dive into something between DD and CD. This works for simple projects, but causes problems on anything complex. The phases exist for a reason — they let you make decisions in the right order with the right information.

The Forensic Design Phase Management Checklist

Side-by-side review items for each phase transition

Use this checklist as you receive each phase deliverable from your architect. The discipline of formal review at each phase gate is what separates smooth projects from expensive surprises. 🏢🏢 COMMERCIAL

🏠🏠 RESIDENTIAL

☑ Written scope of work matches AIA B101 baseline

☑ Written agreement specifies phases (even if

☑ Phase deliverables defined in contract

compressed)

☑ Fee distribution across phases agreed (e.g.,

☑ Designer credentials verified (architect for permitted

☑ SD package: floor plans, site plan, massing, ROM cost

☑ Concept drawings before detailed drawings

systems

☑ Materials selected before construction documents

15/20/35/10/20)

work)

☑ DD package: dimensioned plans, materials, sized ☑ CD package: full sheets, specs, schedules, details

☑ Three formal cost estimates scheduled (SD/DD/90%) ☑ Owner sign-off documented at each phase gate ☑ Consultant deliverables aligned to AIA phases

☑ At least one written cost estimate before construction ☑ Phase milestones tied to payment schedule

☑ HOA/design review board submission separate

☑ Building department pre-app meeting in DD

☑ Bid set distinct from permit set (or unified — agreed) ☑ CA scope clearly defined (visits, RFI, submittals, pay ☑ Substantial completion / punch list process

☑ Fixtures and finishes documented in writing

☑ Building permit application package complete

☑ BIM coordination integrated into DD and CD

apps)

☑ Floor plans approved before elevations finalized

☑ Construction observation included or excluded clearly ☑ RFI process defined if architect supports during build ☑ Change order process agreed in advance

☑ Final walk-through and punch list process clear

documented

Real-World Cases: When Phase Discipline Mattered

Composite scenarios showing the cost of phase shortcuts 🏢🏢 COMMERCIAL

The Lobby That Moved (After SD Approval)

A $14M boutique hotel developer approved Schematic Design plans showing the lobby on the south side of the building. Two months into Design Development, after structural framing was being detailed and MEP routing established, the developer decided he wanted the lobby on the north side. The change required new structural calculations, new MEP routing, revised facade design, new code analysis, and a re-submission to planning. OUTCOME: $230,000 in additional design fees, 9-week schedule delay, and $180,000 in extended financing carry. Had the same question been raised at SD, the change would have cost approximately $4,000 and zero schedule impact. The architect would have flipped the plan in one meeting. 🏠🏠 RESIDENTIAL

The Custom Home With No Schematic Phase

Custom-home buyers hired a residential designer who skipped Schematic Design and went straight to producing 'construction-ready' drawings. Three weeks into framing, the buyers realized the kitchen island didn't have room for the appliance package they had been planning. The wall between kitchen and dining had to move 18 inches. OUTCOME: $32,000 in revised drawings, demolition, re-framing, and MEP rerouting. A two-page Schematic Design review with appliance dimensions would have caught the issue. The 'time saved' by skipping SD cost 4× the design phase budget. 🏢🏢 COMMERCIAL

The Office Renovation That Stayed on Budget

Tenant improvement project: 35,000 sq ft of office space. Owner insisted on formal AIA phase discipline despite contractor pressure to 'speed it up.' Schematic Design with 5 layout options, formal SD approval, DD with cost estimate at ±10%, then CD. Owner identified one major change at end of DD (combining two conference rooms) — caught and incorporated before CD began. OUTCOME: Project bid at $4.6M vs. $4.8M budget. Construction completed on schedule with only 2 change orders totaling $48,000 (under 1% of contract). Compared to typical TI projects with 5-8% change orders, the formal phase discipline saved approximately $200,000.

Takeaways for Owners & Their Advisors

✓ Action Items for Every Phase

Read the AIA B101 contract phase definitions before signing — they're the baseline scope
Schedule formal phase-end review meetings for SD, DD, and 90% CD on every commercial project
Document approval in writing at each phase gate — verbal sign-offs don't survive disputes
Order a cost estimate at each phase gate — three estimates over the design timeline, three chances to course-correct

Bring every stakeholder to SD review — finance, operations, marketing — once concept is locked, it's expensive to change

Resist the urge to 'just tweak something' once CDs are issued — every tweak is a change order
If you must change something post-CD, group changes into one change order to minimize transaction cost

Hire an owner's representative if your project is over $5M and you're not experienced
On residential, don't let your designer skip SD — even a one-page schematic review saves real money

"What's the most expensive design phase mistake you've encountered — or the cheapest save? Share your story in the comments."

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