turnkey operation
In the construction industry, turnkey operation refers to the practice by contractors of building on speculation and then selling the completed project to a buyer.
Additional Information
Under the provisions of standard liability insurance, such operations can be subject to an alienated premises exclusion that removes coverage in connection with premises sold by the insured. If a contractor has in any way "occupied" a building it has constructed on speculation before selling it—for example, displaying it as a model—then coverage should be modified to preserve coverage for this turnkey operation exposure.
