Know Your Project’s Final Cost Before You Build
Avoid end-of-project “Sticker Shock”
How can you keep a construction project’s final cost stable and predictable, from concept through completion? Challenge the assumption that “low bid is best.”
Simply obtaining competitive bids for the lowest initial price is unlikely to meet your fiduciary responsibility to your team, investors, board of directors, building committee and to yourself. In fact, the near opposite is true.
Take the responsible approach. Work with a proven contractor from the start, whose due diligence pinpoints the final cost up front.
6 GC Best Practices to Keep Costs & Quality on Track
Look to your GC to:
- Provide accurate budget pricing. Beginning with the schematic design level, the contractor who helps you understand projected costs will prevent post-design surprises and enable you to determine the program early.
- Deliver the greatest value for the intended life of ownership. A knowledgeable contractor will equip you to make decisions that will impact expenses over time, weighing costs and durability of roofing, HVAC and other building systems.
- Provide the greatest “bang for the buck.” From design through completion, access to the most knowledgeable people ensures you of accurate input for determining features on which money is best spent.
- Use top-quality construction methods. Realize that a low-bid selection process can incentivize contractors to sacrifice quality to “get low.” Partnering with a design/build contractor from the outset ensures both quality and savings.
- Minimize the risk of errors. We call it Value Design® – using preconstruction expertise and a team approach to get the details right, up front. Preventing errors costs far less in design than in the field and minimizes exposure to change orders.
- Adhere to strict budget and schedule controls. Continual cost projection and budget reporting during construction, coupled with sophisticated master scheduling look-ahead updates, ensure a project will be delivered on time and within budget.