Building Options

in order to predict the cost of holding unleased space. Hard Costs — Land, construction costs, including normal contractor costs (overhead, profit and supervision), landscaping, major appliances and site furnishings. Typically, a contingency fee (between 5%-10%) is included in estimates to account for the unexpected, which include owner changes, site conditions or material cost increases.

Making a realistic cost plan can provide a useful indication of the cash flow requirements during the process, which will be of interest to potential lenders, and can allow you to calculate carrying costs or requirements for interim financing.

Scheduling The length of time required to complete the full cycle of planning, financing, design, commissioning of a building and construction often comes as a surprise to ‘proto’ developers. A period of up to several years may be required for a large residence or commercial property once all the factors have been considered.

When projects are geared towards completion for a specific date, planning can become critical – a homeowner entertaining visitors from abroad, a store owner aiming for a holiday retail season, or a company gearing their move-in date around an annual business cycle all need to plan for the unexpected or even the unthinkable. Delays in obtaining statutory approvals, order time for materials or equipment, adverse weather conditions, and design revisions must be considered for a well-planned project.

Good Design – Value Added? A DIY homeowner downloading a set of plans from the internet or trying to design their property themselves may save thousands on architect’s fees but can end up increasing construction costs due to delays, cost overruns or approval issues, than if they had just hired a professional to draft an accurate, detailed set of construction documents. Professional fees (architecture, interior design, engineering, survey), which can quickly constitute 10%-15% of the overall construction budget, will inevitably be value added to the building. However, unlike commodities, it is sometimes difficult to assess the worth.

BUILDING OPTIONS

There are several general models of how construction contracts can be structured, and depending on the circumstances, one may be recommended over another.

Design/Build A general contractor, with in-house or subcontracted design expertise (designbuilder), can often offer a streamlined package, which is attractive to busy people not wanting hands-on involvement in the process beyond initial design and material selection. This ‘one-stop’ approach to a contract is typically a fixed price attached to a material specification and set of design documents. The main advantages of this approach are: (1) convenience (2) guarantee of final cost and (3) minimum risk for the owner. Some disadvantages may be: (1) loss of some flexibility during the process (2) the added cost of the convenience factor and (3) no independent control of quality.

Construction Management In this scenario, a ‘construction manager’ (typically a quantity surveyor) will offer a fixed cost to manage the entire process either from the outset or based on a set of construction documents and specifications prepared independently. The construction manager is functioning in the role of general contractor yet employed by the owner. The advantages of this form of contract are typically: (1) flexibility during construction (2) market competition in sub-trade contracts and (3) cost control flexibility. Some disadvantages of this approach are: (1) risk for sub-trades is assumed by the owner (rather than the construction manager) and (2) loss of market competition in contractor cost (fixed fee for supervision).

This is typically an excellent strategy where a project needs to be rushed (or ‘fast-tracked’ in industry jargon) and there is insufficient time to prepare detailed, coordinated documents for a bid. Another good reason might be if there is likely to be a lot of changes during the design-construction process. Since the construction manager works for the owner on a fixed management fee, they are typically not profiting from changes in the work or work sequence.

Design/Bid/Build This is the traditional method of procurement where an owner works with an architectural designer and related professionals to produce detailed drawings and specifications, often with cost reports. General contractors are invited to offer competitive tenders based on a detailed estimate of the documents within a fixed tender period. This approach has the primary advantage of cost competitiveness and a detailed set of documents will be the best guarantee of maintaining cost control during the process. Some disadvantages of this approach may be: (1) significant time is required for detailed document preparation and the tender period and (2) document errors or revisions to the contract resulting in some loss of cost control since changes can be costly.

The Design-Build project has the overwhelming advantage of convenience. By contrast, the traditional Design-BidBuild and Construction Management approaches have the advantage of the competitive marketplace with multiple contractor estimates (and the possibility of cost-saving).

The traditional/construction manager contracts may allow a high degree of control since design and construction stages will involve an independent professional hired directly by the owner.

Selecting Your Team Before making any decisions about a direction for your particular project, talk to professionals knowledgeable in the construction industry in Cayman. Architects, builders and quantity surveyors will usually be willing to share their experience with no obligation.

Each method described previously has its devotees and detractors and it is ultimately up to the owner to decide which of the various methods will be a good fit. Seeking professional help from someone with a detailed working knowledge of these procurement options, and how they work in the Cayman Islands, can help you make an informed choice. Do not simply copy what someone else has done. It is important that you choose an approach after weighing all the pros and cons. While each approach may have a very different risk profile to you (after all some people like to base-jump, while others would rather take a nice stroll along the beach), it is very important that you own this decision fully.

Whatever approach you choose, it will be the people you select to work with and manage the process, who will be the key players in developing and managing a

WE KNOW THE ART OF BUILDING

Stop by our offices for a complimentary coffee and consultation with an architect.

To learn more about Design Cayman Ltd. please visit: www.design-cayman.ky or contact Brian Macdonald at: 345.916.0930

BOUTIQUE ARCHITECTURE + DESIGN STUDIO DESIGNING PLACES THAT INSPIRE

INFO@MJMDESIGNSTUDIO.COM 345-743-4656 MJM_DESIGN_STUDIO successful project. Consider the following when choosing your design and build professionals: integrity and reputation should always be the main ingredients when selecting people, so look at current, recent and past jobs, talk to past customers and check their payment and litigation history. Choose design professionals who are adaptable and have a team spirit. Ask your contractor, construction manager and architect to provide a checklist and procedures for administering, inspecting and testing the various stages of your project. It is strongly recommended that you meet everyone who will be a part of making your project a success. Make sure you establish a good working relationship and feel comfortable with all the people who are involved.

Enquire about their current workload – can they handle your job and give you the attention and support you desire? Can you communicate with this individual or team openly? It is important that you do your homework, take your time and make sure that all of the design professionals you intend to engage carry professional indemnity insurance. Only agree to terms after you are absolutely sure you have the ‘dream’ team that truly has your best interests at heart! While there are many components to consider carefully, some being significantly challenging and time consuming, building your own home is an exciting project and for many people, it is a dream come true; so you should endeavour to have some fun too!

Interior Design in the Building Process Consider hiring an experienced interior designer to review your plans with your architect before they go to the builders. A qualified designer can look at architectural plans and work out whether the space and dimensions allowed will work or raise potential problems and limitations for functionality. They will look at the plans, room by room, and work out their function, including ease of access, amount of light, acoustics, seating and places to store or set things down. They

will also consider how the space will be used, whether it will be for work, leisure or entertainment, and their goal will be to create a unified whole. For more information on Interior Designers, refer to the Home Improvements chapter on page 234.

For your kitchen, finding a designer who specialises in creating functional, beautiful spaces is essential. In today’s modern homes, kitchens are now the focal point; they are usually free-flowing spaces that are well integrated into the rest of a home, and also the primary place for entertaining. If you want a kitchen that is well-designed and suited to your lifestyle, then we recommend the following two companies, which have a proven track record and lots of examples of beautiful kitchens they have designed: Bon Vivant (Tel: (345) 623 2665 or visit www.bonvivant.ky) which is the luxury kitchenware and design store in Camana Bay and also Pooley Cabinets (SEE AD PAGE 234) (Tel: (345) 947 6780 or visit www.pooleycabinets.com) which specialises in custom cabinetry design and installation. Their in-house designer can provide expert advice on kitchen design.

Designing a Security System To have an electronic security system that is well integrated into the design of your new home, a plan should be drafted at the conceptual stages. You, your architect and an experienced security professional should work closely together to identify your needs and see what technology will be suitable to achieve your goals. Refer to page 243 for companies that can assist.

Building Greener Those looking to build more consciously will be pleased to discover the many environmentally responsible construction practices that are widely embraced on Island. Green construction in Cayman is recognised by the Governor’s Award for Design and Construction Excellence in Sustainability and the Environment. The idea of the award is to foster and maintain innovation, sustainability and excellence in the Cayman Islands’ construction industry. Some ways in which that is being upheld include: using recycled building materials and timber, tapping into alternative energy and waste-water systems and employing more eco-friendly home automation. Other green tips for building include, ensuring that your property is orientated to make effective use of the prevailing wind and windows are positioned so as to avoid filling the house with the heat of the afternoon sun in a nod to traditional Caribbean architecture. Reduce energy consumption by insulating the exterior walls and roof of your home and make use of the Island’s year-round sunshine with solar power panels and energy units. LEED certification is also available on-Island to give you an idea of how environmentally-friendly your home or property is. For more information on building green, refer to the Being Green chapter.

FLOWERS FOAM PRODUCTS

623-0000

A Division of The Flowers Group

A new generation of construction innovation technology from a name you can trust

Insulated Concrete Forms (ICF’s)

• Poured concrete walls with reinforced steel • Hurricane resistant • Lower energy costs • Sound Transmission control qualities • High production capacity • Cost effective • Can be used for Commercial,

Residential or Industrial Projects

Architectural Shapes

• Flexibility of shapes • Custom look • Manufactured locally to specification • Easy installation,cost effective • Columns Pediment • Arches • Bases & Caps

Foam Flat Sheets

(for pre-existing concrete walls) • Insulation qualities • Sound transmission qualities • Lower energy costs

Custom Foam Signs

• Ideal for entryways • Manufactured locally to any specification

Steel Studs

• Steel Studs and tracks in a variety of lengths and gouges to specifications

Cay Deck

• Foam Insulation

Flooring Systems • Insulation for floors decks and roofs

ICF’s Architectural Shapes Foam Flat Sheets Custom Foam Signs Steel Studs Cay Deck

CHALMERS GIBBS

ARCHITEC TURE | PLANNING | INTERIOR DESIG N Insulated Concrete Forms If you want to insulate yourself from the ambient sounds of the outside world, Insulated Concrete Forms (ICF) may be the right option. ICFs are forms used to hold fresh concrete in place permanently. Not only are ICFs excellent for protecting the structural integrity of your home during severe weather, it also provides highly effective insulation to keep the heat out.

Flowers Group 184 Seymour Road, Industrial Park Tel: (345) 623 0000 Email: customerservice@flowersgroup.com www.flowersgroup.com The Flowers Foam Products division of the Flowers Group supplies state-of-the-art, locally manufactured building products including Insulated Concrete Forms (ICF), foam flat sheets, steel stud and tracks, architectural components and custom shapes and signs.

SEE AD PAGE 255

Concrete Blocks & Pavers

Flowers Group 184 Seymour Road, Industrial Park Tel: (345) 623 0000 Email: customerservice@flowersgroup.com www.flowersgroup.com Established by pioneer Clarence L. Flowers, the Flowers Block division of the Flowers Group specialises in the manufacturing and delivery of concrete products including building blocks, grass and keystone blocks, multi-colour rectangular pavers and cobblestone pavers. SEE AD PAGE 255

Driveway & Paving

Flowers Group Tel: (345) 623 0000 www.flowersgroup.com Part of the Flowers Group, Flowers Block provides a wide selection of pavers, including cobblestones in numerous colours and sizes.

SEE AD PAGE 255

Island Paving Tel: (345) 949 8294

Roofing The old adage that you should always have a good roof over your head is essential wisdom in a country that receives heavy downpours during the region’s rainy season and also suffers from the occasional hurricane. A good roof will help to keep you dry, and if constructed accordingly, can also keep your house cool. Do not be fooled by going for the cheapest roofer. Ask for a detailed quote and count exactly how many stainless steel pins they will use to hold the roof in place, and if it is half the number of the other company with a more expensive quote, then you have your