Services

Construction Solutions

CONSTRUCTION SERVICES
Thank you for your interest in CONSTRADA CONSTRUCTION SOLUTIONS. We take a great deal of pride, not only in the quality of services we provide, but also in the professional manner in which they are provided.

“Professionalism”… is the one word that is used most often by our clients to describe the way we do business. At CONSTRADA CONSTRUCTION SOLUTIONS, our experienced project managers understand the importance of budgets, timelines, critical paths, project requirements and specifications. They also understand how to listen to client goals and translate them into realistic design requirements and project plans.

As you will see from reviewing the documentation provided in this workbook, there is a lot more to the construction and development of real estate than merely picking out paint colors and flooring samples. However, you might be surprised how many builders and general contractors utilize a “seat of the pants” approach. One of the biggest mistakes made by general contractors is the failure to properly plan and document the project before actually starting construction. This is the primary reason why so many projects end up being over budget and behind schedule.

OUR APPROACH
At CONSTRADA CONSTRUCTION SOLUTIONS, we have developed a system to the construction and development of all of our projects which helps us avoid many of the common pitfalls associated with construction. By following a structured yet flexible system, we can have confidence that the client’s goals will be achieved in a timely and efficient manner. That doesn’t mean there won’t be problems. Someone once said that construction is merely a sequence of problems. Our job is not to eliminate the problems, but to anticipate, isolate and manage these problems so the overall effect on the project is minimized.

PRICING METHOD
We also take a different approach to how we price our services. There are a variety of pricing methods used in the construction industry. Some contractors use a “fixed cost” approach which means they give you a fixed price for completing your project. What this also means is that the contractor’s profit is built into this fixed cost and they have every incentive to take short cuts (lower quality) wherever they can to maximize their profits. This is obviously not in the best interest of the client. Other contractors use a “cost plus a percentage” approach which means the contractors profit is determined by the size of the project. This also means the contractor is naturally motivated to increase the size of the project in order to maximize profits regardless of whether this meets the client’s goals and objectives. At CONSTRADA CONSTRUCTION SOLUTIONS, our goal is to be aligned with the client in every way (including financially). The only pricing method which facilitates this goal is our “Cost Plus Fee” approach. This means the client knows what our fees are before we ever start working on the project. Since our fees are set at the beginning, this allows us to become partners with the client through the remainder of the project. This means we are constantly working to control costs while not sacrificing quality or the project schedule. In addition, we are able to create leverage across multiple projects to achieve better costs for our clients. Once we spend some time together, we think you’ll quickly recognize the key areas that distinguish us from regular contractors. Our commitment to you is to manage your project in a professional manner and to do everything within our power to deliver the best value for your construction dollar.

CONSTRUCTION SERVICES APPROACH
One final thing that sets us apart, is our “Construction Services” approach to project management. Most regular contractors may meet with you a couple of times but will be highly motivated to limit the services they perform for you until you sign a contract for the full project. This is a result of their flawed approach to pricing and project management. In addition, once you sign the contract, you may not really know what you are going to get in return for their fees. Very few contractors fully document their specific deliverables and services. Instead, they will just commit to a general timeframe and a target budget. In this case, the following questions should be asked:

• Has the contractor really completed the necessary planning steps to avoid project delays and cost overruns?
• How do you hold the contractor accountable if there is little or no documentation to work from?
• When the project is finished, are you really going to get what you wanted?
• What if you determine mid-stream that the contractor is not serving your interests?
• Will you have enough documentation to move to another builder if necessary?
• Can you get started on the “Pre-Construction” processes without signing a long-term contract?

PRE-CONSTRUCTION SERVICES
At CONSTRADA CONSTRUCTION SOLUTIONS, we offer a full set of “Pre-Construction Services” which allow us to work closely with you during the early phases of the project, regardless of whether you are ready to commit to the full project.

We also document specific deliverables for each step of the process. This means you always know what you’re paying for and what it means to the overall project. We are confident that clients who choose to build a relationship with us will be so impressed with our “Pre-Construction Services” that they will naturally choose us to complete the project.

On the following pages, we clearly outline each of our Construction Services with clear deliverables and specific pricing for each step. Once you have a full understanding of our approach, you may find yourself wondering why anyone would do it any other way. If you have any questions regarding these services, please do not hesitate to contact us for more information.

DESCRIPTION ESTIMATED COST
PROJECT REQUIREMENTS DEFINITION
The purpose of this step is to determine the basic requirements of the project as well as the overall goals of the client. During this step, we discuss “Time vs. Quality vs. Price” and other construction principles that help you make more effective decisions. Once we have identified your goals and requirements, we conduct a feasibility study to make sure these goals are realistic. This study is based on market studies, industry research data and our own professional experience. Once we have completed this study, we produce a Preliminary Cost Report and a Preliminary Project Schedule which establishes the framework for the rest of the project. Deliverables: Preliminary Cost Report,  Preliminary Project Schedule Complimentary Provided After Initial Interview

SITE REVIEW
During this step, we provide assistance in selecting your building site. Once we have selected a target site, we complete surface inspections, soil reports, topographical and landscape analysis, intrusive site inspections and determine requirements for foundation footings, septic and water systems. In addition, we acquire a site survey which will be required in other steps of the construction process.

Deliverables: Soil Reports, Topographical Maps, Landscape Analysis, Intrusive Site Inspection Report, Site Survey 1% of Lot Cost $1,000 minimum Example: $150,000 lot cost x 1% = $1500

REGULATORY REVIEW
Before any type of construction begins, we must verify all city, county and state zoning regulations that might affect the project. This could include city building codes, county land regulations and agricultural regulations. In addition, we investigate mineral rights and air space restrictions that can have a bearing on the long-term use of the property. Deliverables: City, County and State Regulatory Filings, Agricultural Filings, Mineral Rights Report, Air Space Restrictions $500

PLAN REVIEW
The purpose of this step is to research and identify floor plans which match the goals and requirements of the project. Once we have identified a target floor plan, we complete a site layout of the selected plan to show how the plan would be positioned on the site. This site layout includes site access (driveways, walkways, etc.), major landscape features, tree preservation plans, and preliminary excavation plans. Deliverables: Site Layout of Floor Plan Square Footage of the Plan X $0.50 Example: 3500 sq ft x $.50 = $1750

PRELIMINARY DESIGN / PRODUCT SELECTIONS
You might be wondering why we are making preliminary product selections so early in the process. Many builders wait until later in the project to complete this step. However, many of these selections can impact several aspects of the project including floor plan design, architectural plans, cost estimates, project scheduling and contractor selection. As a result, it is important that this step be completed as early as possible to avoid project delays and cost overruns later in the project. It is not necessary to finalize all of the minute details during this step, but most of the product selections should be completed here. This includes: Exterior Finish Selections (roofing, siding surfaces, doors/windows, trim options), Landscape selections (pools/spas, fences/decks, irrigation, lighting, driveways, trees/shrubs), Interior Finish Selections (appliances, plumbing fixtures, electrical fixtures, cabinetry, floor and wall coverings).
Deliverables: Exterior Finish Schedule, Interior Finish Schedule, Plumbing Finish Schedule, Product Samples Square Footage Of Plan X $1.00 Example: 3500 sq ft x $1 = $3500

3D MODELING
This is one of the most exciting stages of the process because this is when it all starts to come together and you actually get to see what you’ve designed. Utilizing state-of-the- art 3D Modeling software, we produce a full model of your project which literally allows you to walk through the project and see what it will look like before we ever start construction. Some builders’ idea of utilizing technology is buying a cordless drill. One of our primary strengths is our ability to harness modern technology to make the construction process experience as pleasurable and hassle-free as possible. Deliverables: Full 3D Rendering Of Floor Plan Square Footage Of Plan X $1.00 Example: 3500 sq ft x $1 = $3500

ARCHITECTURAL PLANS
Once the 3D model accurately represents your goals and expectations, we are ready to produce the final architectural plans which will serve as the master blueprint for the rest of the project. Many builders draw up blueprints in the early stages of the project. This can be a costly mistake, because the blueprints will either need to be modified several times or will not accurately represent the requirements of the project. In addition, you will end up paying higher architectural fees as a result. Deliverables: Full set of Architectural Plans Square Footage Of Plan X $5.00 Example: 3500 sq ft x $5 = $17,500

INTERMEDIATE COST ANALYSIS & PROJECT SCHEDULING
Once we have a final set of architectural plans to work from, we can now get more specific with our cost estimates and project schedules. As a result, this is the stage where we update the Preliminary Cost Analysis and Project Schedule which was produced in the first stages of the project. Deliverables: Intermediate Cost Analysis & Project Schedule Square Footage Of Plan X $0.50 Example: 3500 sq ft x $.50 = $1750

CONTRACTOR SELECTION
There are several steps involved in selecting qualified contractors. However, the one step that most builders choose not to complete is the writing of detailed specifications for each sub-contracted component in the project. Instead, they merely provide basic information as part of their bid requests. This generally results in cost overruns, project delays, quality issues and poor sub-contractor performance. It also makes it difficult to inspect and quantify the contractor’s work. As a result, we spend a great deal of time writing very detailed specifications before we ever request bids from subcontractors. While this takes more time and effort, it pays huge dividends in the final outcome of the project. Once we have completed the project component specifications, we will issue bid requests to qualified contractors in the area. Upon receipt of these bids, we begin our due diligence process on the contractors whose bids are within our acceptable ranges. This includes verification of insurance, background checks, and reference checks. The end result is higher-quality sub-contractors, fewer project delays and ultimately a better quality product. We are not looking for the cheapest contractors in town, because they are generally the contractors with the most problems. Instead, we are looking for contractors that provide the best overall value and quality.

Deliverables: Project Component Specifications, Contractor Bids, Contractor Due Diligence Reports Square Footage Of Plan X $0.50 Example: 3500 sq ft x $.50 = $1750

PRODUCT PROCUREMENT
The step has several purposes. First, determine the availability and delivery schedule for all of the products selected for the project. Many builders wait until the last minute to order their products only to find out there is a 4-week delay in getting the product. This can wreak havoc on a project schedule that has many interdependencies. Second, this step secures specific pricing for each selected product. This is critical if we expect to produce accurate cost estimates before we start construction. Thirdly, by evaluating our purchase options we can often recognize substantial savings by ordering in bulk, ordering in advance, or leveraging orders across multiple projects. These cost savings get passed directly to you. Lastly, we need to determine any storage and/or Square Footage Of Plan X $0.50 Example: 3500 sq ft x $.50 = $1750 Does not include the cost of actual materials/product security requirements for products that may be delivered before they are actually needed. This may seem strange to have products delivered before they are needed. However, one of the primary causes of project delays is shipping delays with the products. If we expect to stay within our schedule, it is critical to order most of our products in advance. Deliverables: Product Pricing Schedule, Product Delivery Schedule, Product Storage/Security Plan

FINAL PROJECT SCHEDULE & COST ESTIMATES
Once we have completed our product pricing and contractor bids, we are ready to produce the Final Project Schedule & Cost Estimates. These are the numbers and dates we are measured for the remainder of the project. By this point, you should feel very comfortable that we have a thorough project plan in place and that we have covered all the important steps in the construction process. Any builder that has not completed all of these steps should not even be considered as the general contractor responsible for managing the construction of your home. In addition, by going through these steps, you should feel very confident that every effort will be made to complete your project on time and within budget. Deliverables: Final Project Schedule & Final Cost Estimates Square Footage Of Plan X $0.50
Example: 3500 sq ft x $.50 = $1750

FINANCING ASSISTANCE
Many of our clients have never been involved in the construction process before and are unaware of the steps involved in obtaining interim financing for the construction of their project. This is where we can help. Not only can we guide you through the process, but we can also introduce you to some reputable lenders who specialize in this type of financing. Once you have selected a lender, we work closely with the lender to provide all the construction documentation required to close the loan. At this point, you’ll begin to understand the value of taking the step-by-step documented approach that we’ve outlined. The level of documentation we provide to the lender will make underwriting your loan a much easier process for the lender. Deliverables: List of lenders specializing in interim financing, Construction Documentation required by lender Complimentary

CONSTRUCTION CONTRACTING
At this point, we are ready to start signing contracts that will initiate the construction phase of your project. This is the point where you will sign a contract with us to actually construct your project. If any GC asks you to sign a contract prior to completing all of these steps…DON’T DO IT. If you have not completed the proceeding steps with your GC, you probably don’t know them well enough to let them build your project. This is also the step where we sign contracts with the sub-contractors who were selected as part of the Contractor Selection phase of the project. Deliverables: Signed Contracts, Initial Construction Draws Complimentary

CONSTRUCTION MANAGEMENT
The first step in actually starting your construction is filing the required municipal documents and obtaining permits. Once we are in the process of construction, you will receive regular updates as well as updated project documentation (including updated cost estimates and project schedules). We’ll also send you digital photographs on a regular basis for those people who may live out of town during construction. We are also responsible for securing the construction site to minimize any losses associated with theft, vandalism, weather, etc. Deliverables: Municipal Permits, Progress Reports, Digital Photographs of each phase of Construction, Inspection Reports, Cost Estimate Updates, Project Schedule Updates
Determined During Project Requirements Phase (After Initial Interview)