Supply Chain Exposure in Luxury Development: Material Sourcing, Logistics, and Builders Risk Coverage in 2026

It is February 2026. You are 14 months into construction of a $380 million ultra-luxury residential tower in Miami Beach. The building structure is 65% complete. Interior finishes are scheduled to begin in March.

Then you get the call from your project manager: the hand-fabricated marble cladding from Carrara, Italy—$18 million of it, scheduled to arrive in April—is now showing 18-month lead times due to labor shortages at the quarry. Your marble will not arrive until August instead of April.

Three hundred residential units are now 16 weeks behind schedule. Your lease-up timeline is in jeopardy. Your lender is concerned. Your pre-sales agreements have delivery date guarantees you may not meet.

You have insurance. But does it actually cover the cost of this delay?