Tuesday, November 15, 2011

Design build remodeling, what you need to know

The first question is, “Do I need a design build team on all remodels or landscaping projects?” The answer is no, not every project needs a design team. 

Example: A simple bathroom remodel

Let’s say you want to change out the shower, toilet, sink, lighting, cabinet and flooring in your bathroom. In this scenario, there is no changing of the structural walls. Now, let's say you have done all the research and have the new products selected to put in your new bathroom. In this remodeling scenario, there are no structural changes involved so you don't need an architect. But, I still would recommend a consult with an interior designer.

Why do I say that? Many people choose not to use an interior designer in situations like this thinking that is going to add a lot of additional costs to the project. In reality, an interior designer will help reduce unneeded expenses, speed up the decision process and produce a better more valuable result. The consumer is happier and the resale value is better. There are many issues like space planning, colors, lighting, flooring types, cabinet styles that will all affect the outcome of what the contractor does.

In my opinion, it is doing a disservice to the customer by not bringing in designers, at least on the planning phase of the remodel. If you are planning structural changes that add space to the building then there is an automatic need for proper design work and engineering. The planning department will require plans and construction documents to work off of for the permitting process.

Design-build can be as simple as using an interior designer in conjunction with the remodeling contractor. But, it is typically for projects that change the structure of the building or increase the building footprint on the property, and will require permits from the planning department. Projects of this size and complication will require design work and construction documents.

Information on projects that require design work and permits

Many design-build remodeling contractors have in-house designers or collaborate with them on projects. Anybody can design something if they have the skill, the software and some training. The question becomes, how well is it designed and how much engineering will it take to satisfy both the builder and the planning department. When doing a remodel that affects the existing structure of the home it is vital to bring in a qualified design team. Of coase, this will vary form state to state and even city to city. Your need to check with your local building department.

The design work, project planning and construction work must be done correctly or it can negatively impact the rest of the house or even the land the building sits on. There are serious things to consider when designing and building additions, large scale remodels or landscaping projects.

Also, many times on complex projects, there are change orders and unforeseen issues that require additional design work, engineering and permitting. The level of skill of the design team can make those situations process much more smoothly for all the parties involved. And ultimately save money and stress and produce a better end result.

Tips and Pointers on design-build remodeling; buyer beware.

When a home owner has multiple contractors giving impute or estimates it may leave the client confused and frustrate on what it will take to get a solid estimate or an accurate project plan. Part of the problem is that consumer will have an idea for a project that they call contractors for the customary “free estimate”. This is absolutely the reverse of the way a complex project needs to be approached.

If you ask four separate contractors for an estimate on a project, you will get four very different concepts and prices. The reason this happens is you are asking the contractor to be the designer and architect. Every contractor will have different ideas and skill sets that define how they would design and build your project. These are actually “guesstimates”. And, you can't go to the bank, define a true budget plan or get a permit on conceptual drawings on a guesstimate. You will also still be short on the construction documents necessary to take to the permit office or do a final budget plan off of.

If you get the design work done first then the same four contractors will give you apples-to-apples estimate on the exact same concept. Commercial projects all start with the design work, construction documents and specifications. When a contractor bids on a project they have everything they need to do an accurate estimate.

Typically, I see a lot of red flags form what other contractors are telling or not telling a customer. Listed below are experiences I have had in the market. This will help you decipher what contractors are saying or not saying and the different ways used to win the job and get the contract signed. You need to be educated, so that you can make the right decision for your needs.

Methods and pointers on how contractors work:
  • Straight forward: All the costs, variables and processes are on the table up front. This includes the costs for design work, architecture or draftsmen, blueprints, engineering, permits, etc. You know what you’re getting into; you can plan an accurate budget and time line for your project.
  • Hidden costs: The blueprint and engineering costs either show up in a design-build agreement or are buried in other aspects of the estimate or project plan. Some remodelers can do draftsman work in house, but unless they are a licensed architect or engineer, they still have to use one to sign off on the plans to be acceptable to the permit office. The better remodelers know that they will spend a lot of non-building time on a complex project and they will want to get those costs covered, including the design work and their estimating and project management time.
  • Half and half: You see a smaller start up costs on items like design work, plans, permits, etc; but the costs are still paid for somewhere in the estimate or project. This is used to sound less expensive in the beginning, and hopefully, to win the job.
  • Omission estimating: This is basically the concept of playing off the ignorance of the consumer. Remodels and landscaping almost always have add-ons and unforeseen issues. Many contractors will bid the project low with little in the way of educating or preparing the consumer for unforeseen issues. These issues become surprises and unexpected expenses during the construction phase. This practice adds stress, delays and blows the budget. Most people are working inside a budget and they need as much exposed in the original estimate as possible.
  • What ever the process, all the costs are paid for by the customer. On complex or larger projects, I choose to use an architect, interior designer and engineer. And, I use an architect instead of a draftsman designer because it helps control the engineering costs.
A design team approach ensures that all the design work and drawings are acceptable to all parties, including the contractor. A good design team stays available through the whole project. There are always unknown factors on complex projects and it's good to have the "experts" on hand to consult with. Design teams can save the client money, time and headaches on remodels and landscape projects.

The bottom line for most contractors is to get the job or at least a design agreement signed. I'm not saying any method is wrong, but for me, I want my clients to see all the facts up front and make informed decisions.

Remodels and landscaping projects are laced with hidden issues, add-ons and change orders. It's at the end of the project, that all these details will make the difference, both in costs, quality of work, resale value and the relationship with the client. The first most important thing to me is to help the client understand what their getting into and give them the information needed to make the right decisions for their home and budget.

THE BENEFITS OF USING THE DESIGN-BUILD PROCESS

Contrasting with the "traditional “design-bid-build approach where you would be responsible to hire designers, architects, engineers and contractors independently, the design-build process allows you, the client, to contract a single source for all the design and construction services for your project.

The advantages for a client who chooses to use the Design-Build system are:
  • One source accountability
  • Gives you an accurate cost estimate before you start a project
  • Enhanced communication between the service providers and the client
  • Better budget control through the project build phase
  • A completed design that expedites the construction process
  • An efficiently managed project
  • Saves time in the design and estimating phase
  • Assurance that your project will be done correctly the first time

THE DESIGN-BUILD ADVANTAGE

Design building is the best way for a contractor to deliver value to you. Obtaining design services independently of the contractor generally costs more and may lead to lapses or conflicts between project design and execution.

A quality design-build contractor has extensive knowledge of real costs and building processes and can design a project that fits your budget parameters. A good design can also save costly mistakes. If a problem arises during a project, it can be taken care of quicker and more efficiently. This ensures quality work and allows a contractor to warranty their projects.

THE DESIGN-BUILD PROCESS

1. The First Meeting

The introductory meeting is to learn about you, your home and the ideas you have about your project. The contractor can also educate you on the process involved to turning your ideas into a reality. This is also where a contractor will determine if the project is appropriate for their firm.

2. The Design Agreement and Estimate Process

This phase will include an architect, interior designer, the contractor and any other pertinent professionals necessary to the project. The design agreement states that, for a fee the contractor will design your project produce construction documents and an estimate to meet your budget and goals. This process is not about giving you an estimate for an idea you have, it’s about designing a plan to meet your goals and budget.

THE DESIGN PROCESS
  • Conceptual designs: The Architect and interior designer works with the client's ideas and turns them into sketches or concepts.
  • Design Development: All the designers and trades people participate. Drawings are taken to a more detailed level. Structural issues are addressed and the concepts start evolving into the final design.
  • Construction Documents: The blueprints and specifications are produced. The contractor can do the estimate, permits can be obtained and budget driven project plan can be developed.
  • The Design-Build Package: A detailed visual package is created. Written specifications, work time lines, payment schedules, and material samples move the venture from the concept to reality.
  • The Review, Final Details, Selections and Plan Approval: All parties walk through the details of the proposal with you and you're encouraged to ask questions. As concepts and final selections of finish materials and appliances are defined, you are provided budgetary feedback, letting you know the impact of the decisions you make. At the end of this phase, the hard work by you and the design team comes together into a well-defined project  
    3. The Construction Agreement

    The construction agreement is drawn up, reviewed, signed and the initial payment is collected. The progress payments are scheduled, the start date is set, and the schedule and project completion procedures are defined.

    4. Construction Phase

    The work begins. The construction crews and trade contractors are scheduled. A quality team will be very professional, personable and helpful. Respecting your property and minimizing disruption are constant guidelines, as is regular communication with you. When decisions are needed from you, or unforeseen conditions are encountered, these items will be brought to you in an expedient manner. If these situations affect your budget, you will get a change order detailing the credit or cost.

    5. Project Completion & Follow Up

    At the end of the project there will be a detailed walk through and thorough explanation of systems and maintenance schedules, and how to deal with any warranty issues. Then, before a year is up, the contractor will contact you to see if there are any warranty issues that may need attention. Most importantly, you get to enjoy the results of a well planned and managed project.

    Chris

    Cascadia Design Build
    Arch-Eco Design
    Corporate Facebook Profile

    Saturday, November 12, 2011

    Professional design fees and why you pay these rates

    “I would rather pay for a pallet of pavers than pay for apiece of paper with landscape or house plans. I feel totally ripped off, but I need them for my building permit”.

    I have heard this enough times in my career as a consultant and builder. This is not unusual. People’s natural interpretation or deduction is that there is nothing to show for it but they could not be further from the truth. What is lacking is information and experience.

    The reason why there are 250,000 architects and 175,000 landscape architects in this country is not to make money. If that is your modus operandae then you’re better off to be a lawyer and bill out at a 10 minute rate. No, designers are in the business because they love the work and they truly believe they are providing a service that directly improves the quality of life for communities, families and individuals even to the sacrifice of monetary gain. And most importantly today, many are interested in participating in the clean up of our country.

    Designers do not typically bank a steady income. Income is generated sporadically or in stages that often depend on construction seasons, schedules and markets. Fees are determined by regional commerce trends (market oriented) and not set by any institute or government agency. Typically the investment on education does not correspond to the salaries in these professions. They are far below what any other professional earns unless you are based in a large metropolis. This is at least what I have observed while working in the various six capitals/cities of the western world these past thirty years.

    Let’s get down to particulars for the analytical crowd. You are not paying for the final sheet of plain drafting that lies before you. You are paying for the following laundry list that was necessary to generate that sheet of paper. You need to understand that there is a lot more to it than sitting at a drafting table or CAD work station and cranking out six hours of line drawing.

    The cost is derived by the even breakdown of all these tasks and additional fees you do not see directly on your invoice:
    • Travel time to and from the project site
    • Meetings with the clients
    • Walking the site and taking inventory (recording all the natural resource data and human impacts eg. Soil types, geology, erosion issues, pollution, environmental .impacts, orientation, aspects, shading, hazards, circulation types, parking issues, site context and what is happening along the property boundaries, relationships or factors that influence change on the site or building, and on and on)
    • Collecting all the base information the client was not able to gather or in many cases is just not available (base maps, surveys, elevations, utility locations, etc)
    • Revisiting the site to discuss new details or observe construction (… just drop by and see if things are being done right? What do you think?) , or supervise the subs/trades in the field.
    • Photo inventory
    • Site inventory and gather or seek out base information from other agencies at the County or State agencies.
    • Review local codes in that construction area
    • Hire specific consultants necessary for this particular task on the project
    • Pay your annual license installment. Do you have any idea what that is. For one license in one State or Province is $1000 annually. Many professionals have multiple licenses.
    • Pay your annual insurance installment
    • Pay your annual software and hardware installment
    • Pay your monthly rent and utilities fee
    • Pay for your required professional continuing education fees (x credits per year)
    • Pay your employees
    • Pay your health & benefits
    • Pay your employee salaries and benefits
    • Pay for your transportation and vehicle maintenance.
    • Pay into company profit deductions
    • Phone calls and emails with the client. Have any idea how much time you spend talking or emailing with your consultant? That is costing a lot of time and production of a different kind.
    • And more…
    It is not the fee derived from one person alone. It is not the take home earnings by any means. Many are confused by that.

    I know you wish you did not have to pay for it. Somehow there is more satisfaction for some people to be able to visualize their expense(s). Think of it as a loaf of bread only it is nutrition for your brain and not your stomach… and a gain in the following:

    The intangibles_ difficult to measure such as quality of life, health benefits, peace of mind, sense of place, sense of belonging, the home feeling, the my personal office feeling, the
    feeling that this is very comfortable but I cannot describe why it is so, the sensation that everything in this newly designed environment flows well into each other, the unification, the spirit and emotion these new spaces produce. Put a dollar value on that for me please!

    What is it worth to you?
    • Increase in productivity
    • Increase in relaxation
    • Increase in a healthy state of mind
    • Increase in property values and resale
    • Increase in spending time efficiently
    • Better or improved natural environment
    • Better programming
    • Efficient use of your immediate resources (natural and others)
    • Less waste, less pollution, less toxicity (lower VOCs), less maintenance = right attitude
    • Education source for others
    • A little pride and ego build up
    • Energy and spatially efficient
    • And it is more comfortable
    If you still disagree you need to talk to us some more because this is just the tip of the iceberg. I hope you gain something from this.

    Markthor MacFarlane
    Landscape Architect and F.Architect
    Arch-Eco Design

    Cascadia Design Build
    Corporate Facebook Profile