ᐅ Land purchase > Architectural design > Tendering (or bidding) > Construction

Created on: 8 Nov 2015 08:05
R
R0Li84
Yesterday, we visited the prefabricated house exhibition in Poing. I was faced with around 100 floor plans, construction methods, and prices—but none of the offers seemed truly comparable to me. I also don’t see a way to make such a wide range of proposals comparable.

That’s why I’m considering having a soil survey conducted after purchasing the plot, and then hiring an architect to handle the preliminary and design planning according to HOAI. With the tender documents, I would then like to look for a construction company (possibly with the architect’s support). (I have professional experience with tenders, bid comparisons, and price negotiations, so I feel confident handling that.)

I would prefer not to split the individual trades. The only exception might be to contract the basement separately. Otherwise, the house should be delivered more or less turnkey (except for flooring installation and painting).

Has anyone here done it this way, and what were your experiences?
B
Bauexperte
9 Nov 2015 11:10
Hello,
R0Li84 schrieb:

That’s why I’m considering having a soil survey done after purchasing the plot, and then hiring an architect for the preliminary and design planning according to HOAI. With the tender documents, I would then like to find a construction company (possibly with support from the architect). (I have often handled tendering, bid comparisons, and price negotiations professionally, so I feel confident about this).

That’s one possible approach and not uncommon. Many homeowners feel more comfortable having an architect design the floor plan during the planning phase.

Regarding the topic of “tender documents,” it’s as merlin83 aptly described it. In my opinion, you won’t find a general contractor (GC) or construction manager (CM) willing to customize every single aspect of their specifications exactly to your tender.
R0Li84 schrieb:

I would rather not split the individual trades. The only thing I could consider is possibly contracting the basement separately. Otherwise, the house should be handed over more or less turnkey (except for flooring installation and painting).

That will probably not work either. If you want to hire a GC/CM for the entire project and the house is to be built as a solid structure, the contractor will likely not be happy if the basement is excluded from their scope. I wouldn’t agree to that either, as it will inevitably cause issues during the warranty period.

So first, you need to clarify for yourself how much you want to be involved in the process or if that is important to you. If yes, building a house through an architect is certainly a good choice for you. That obviously also means contracting the trades separately and trusting the architect you hire.

Best regards, Bauexperte
J
jx7
9 Nov 2015 11:24
Yes, if you want to decide for yourselves which construction methods (which type of brick or block? Which insulation material? Ventilation system installed below or within the concrete ceiling?) are used, and which manufacturers and brands are selected (basement company, heating, ventilation, windows, front door, etc.), you will need to work with an architect and contract each trade separately. This is because the general contractor will not deviate from certain concepts that have been tested and proven by the construction company. Requests for specific features like those I mentioned should, however, be possible with all construction companies.

When everything comes from a single source, the advantage is that one company takes full responsibility and can be held accountable if necessary. If an independent building inspector is also involved (who can advise you in choosing the construction company), you are very well protected.
R
R0Li84
9 Nov 2015 12:53
I don’t necessarily want to decide everything myself. Honestly, I don’t mind which type of masonry material, insulation, or exactly how the ventilation system is installed. What’s important to me is simply not being overcharged on the individual prices. Right now, I have that feeling with a quote where a basement that can be used as living space (without soil investigation, tiles, or screed) is priced at a flat 80,000€ (about $85,000). I’m pretty sure I could get that significantly cheaper from construction companies specializing in that, although of course I understand that these companies will also charge for warranty coverage and project management (which is fair). However, this quote includes everything from a single source.

In the next few weeks, I’ll have several more discussions and then decide which direction to take. Some colleagues of mine, for example, worked with a general contractor who operates without an architect. The plans are developed together with a structural engineer and an energy consultant. That’s definitely a concept worth considering.
B
Bauexperte
9 Nov 2015 13:11
R0Li84 schrieb:

What matters to me is that I’m not being overcharged on the individual prices.
For that, you first need to know what is considered a "normal" price. It is often overlooked that not only labor and profit margin are added to a product "x," but also an allowance for the warranty period.
R0Li84 schrieb:

I have that feeling right now with an offer where a basement usable as living space (without soil survey, without tiles and screed) costs a flat 80,000€ (about 87,000 USD). I can probably get it much cheaper from construction companies that specialize in this...
Much cheaper, if other offers are in the same price range? Probably not; and certainly not significantly.
R0Li84 schrieb:

In the next few weeks, I will simply have several more discussions and then decide which direction to take.
In my opinion, that is a good decision!

Regards, Bauexperte
R
R0Li84
9 Nov 2015 13:44
I understand that surcharges apply for warranties and additional efforts. Typically, these are around 15% (at least in the industry I work in). For a basement, let’s say 20%; then I would consider a total of about €60,000 acceptable. (I arrive at a similar price from other companies based on initial information—assuming there are no special conditions concerning the ground).