In this episode of Built Different, we examine counterparty risk concentration in modular construction. Katerra's 2021 collapse left developers scrambling. Other factories have failed more quietly. Size and institutional backing aren't protection against failure—but structural deal protections can reduce exposure.

Topics covered:

• How modular concentrates counterparty risk vs. traditional construction
• Lessons from Katerra and other high-profile modular factory failures
• Limits of financial due diligence on factory health
• Structural protections: payment terms, performance bonds, letters of credit
• Contract terms for work-in-progress ownership if factory defaults

Who this episode is for: Developers structuring modular contracts, construction attorneys negotiating factory agreements, lenders assessing counterparty exposure, and investors conducting factory due diligence.

Key takeaway: The question isn't whether your factory could fail. It's whether you've structured the deal to survive if they do. Payment terms, bonds, and WIP ownership provisions reduce the severity of a factory failure.

Built Different is produced by Spring Street Management Group. New episodes on modular construction risk, off-site building contracts, and volumetric construction drop every weekday at 6 AM Pacific.

In this episode of Built Different, we examine schedule risk transformation in modular construction. Traditional construction distributes schedule risk across many activities. Modular concentrates it at critical convergence points with zero slack—and the post-set completion phase is consistently underestimated.

Topics covered:

• Concentrated vs. distributed schedule risk in modular construction
• Factory delays: the most common source of late modular projects
• Why site delays matter more in modular than traditional construction
• The post-set completion trap: connections, punchlist, inspections
• Building contingency into factory and site schedules

Who this episode is for: Project managers scheduling modular construction, developers modeling delivery timelines, general contractors coordinating factory and site work, and lenders underwriting modular construction schedules.

Key takeaway: Model realistic factory production timelines—not the optimistic ones in the sales pitch. Build foundation schedules with buffer. Budget adequate time for post-set completion. The schedule advantage is real, but only if you don't give it back.

Built Different is produced by Spring Street Management Group. New episodes on modular construction schedules, off-site building timelines, and volumetric construction drop every weekday at 6 AM Pacific.

In this episode of Built Different, we examine design liability fragmentation in modular construction. Traditional construction has relatively clear responsibility chains. Modular fragments design across multiple parties with contracts that often fail to clarify who owns what—and insurance policies that may not respond when claims arise.

Topics covered:

• How design responsibility fragments across architects, factory engineers, and consultants
• Contract ambiguity that enables finger-pointing after defects emerge
• Professional liability vs. product liability coverage gaps
• Insurance policy triggers, exclusions, and limits for design defects
• Questions to answer before signing modular construction contracts

Who this episode is for: Developers negotiating modular contracts, architects working on modular projects, factory engineering teams, construction attorneys, and insurance professionals covering modular construction.

Key takeaway: Before you sign contracts, map design responsibility explicitly. Who owns connection details? Who certifies structural adequacy? Who is responsible for code compliance? Ambiguity is cheap until there's a claim.

Built Different is produced by Spring Street Management Group. New episodes on modular construction liability, off-site building contracts, and volumetric construction drop every weekday at 6 AM Pacific.