2016 Master Builders SA Builder Magazine August-September

O F F I C I A L

J O U R N A L

O F

T H E

M A S T E R

B U I L D E R S

A S S O C I AT I O N

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S O U T H

AU S T R A L I A

AUGUST – SEPTEMBER 2016

T H E

Cheltenham Apartments sets the benchmark in medium-density apartment living.

Full story on page 40

Planning changes drive economic development in Adelaide page 10

The national wage case – what next? page 24

Skills are the key to a productive economy page 36

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Contents

SA BUILDER AUGUST – SEPTEMBER 2016

President: Richard Bryant Deputy President: Peter Salveson

Cheltenham Apartments

FOREWORDS 03

CEO’s Reprt

04

President’s Report

REPORTS 06

Advocacy Update

08

Master Builders News

Vice Presidents: Mario Romaldi, Christopher Leopold Past President: John Kennett Treasurer: Mark Beatton Councillors: Enzo Zito, Jock Merrigan, Nick Abley, Morry Canala, Neil Mossop, Nathan O’Neill, Fred Pascale, Patrick Innes, Anthony Gow, Des Pawelski Master Builders South Australia PO Box 10014 Gouger St. 47 South Terrace, Adelaide, South Australia Phone: (08) 8211 7466 Fax: (08) 8231 5240 Email: buildsa@mbasa.com.au Executive Editor: Master Builders Association

UPDATES 21

Finance

31

Legal

Published by: Crowther Blayne Media Specialists

33

Development and Technical

Phone: 1800 222 757

36

Skills Investment

FEATURES

Email: publications@crowtherblayne.com.au Web: www.crowtherblayne.com.au Business Development Manager: Trish Riley Sales: Rose Delosreyes and Paul Baird Editorial: Jessica McCabe

37

Building Software

Graphic Design : Danny McGirr

40

Chasecrown – Cheltenham Apartments

Design Team: Andrew Crabb, Michelle Triana

43

The Gawler Animal Hospital

Production: Yvonne Okseniuk

48

Kitchen and Bathrooms

50

Bricks and Pavers

Printed by: Newstyle Printing

IAN MARKOS, MARKOS, IAN

CEO, Master Master Builders Builders SA SA CEO,

CEO’s Report Section Name Goes Here

CEO’s Report Master Builders SA achieved two essential wins for members in this recent State Budget. Together, those wins should increase business opportunities and cut the cost of doing business.

The State Government has committed to extending the stamp duty concession for off-the-plan apartments for another 12 months. More importantly, that concession is now available across South Australia.

In our Budget submission, Master Builders SA called for the dropping of the geographic availability of the concession. After all, why should one development deliver a $15,000 saving for a buyer when another across the road might struggle to do the same? Our industry and the broader economy need to be based around reasons to say “yes” to investment if we are to grow.

The focus on new development is also a good driver of activity.

Higher property prices are producing a strong environment for households to invest in additions and renovations, so any policy setting that triggers additional new investment needs to be welcomed.

While the State Government did not accept the full thrust of our proposal to offer the concession to all property sales below the median price to boost South Australian housing affordability, the impact this would likely have on the broader Budget – where conveyancing tax contributes almost $1 billion of $17 billion – is significant.

However, we will continue to work on finding solutions to ease home ownership demands for those first home buyers wanting more space or a different lifestyle close to family but outside city limits.

The State Government also responded positively to Master Builders SA’s call to extend the payroll tax concession for businesses with taxable payrolls of $1.2 million or less beyond the current year.

The measure was introduced to provide better protection for small businesses wanting to expand. More importantly, it was introduced

to provide one less excuse to hire more people, a vital outcome when South Australia is consistently posting the country’s highest unemployment rate.

The State Government has budgeted a four-year extension to these rebates. That means four more years where small construction businesses can save almost $10,000 in their bid to become larger construction businesses. That in turn means more funds are available to invest in building a stronger business – the skills and systems that can help South Australia’s construction industry become the best.

Master Builders SA has been pushing for these two measures in formal submissions and informal meetings because we know they will make a difference for our members and therefore make for a stronger economy and a stronger community.

We will continue to work closely with the State Government and all political parties to achieve the best outcomes for our industry.

Many of the reforms we are pushing for are long-term goals; most agree there is a need to completely overhaul South Australia’s licensing system to cut red tape, so the next step lies in achieving consensus for the shape of that reform.

Master Builders SA is also actively fighting to deliver a smarter, more efficient planning system that backs those wanting to invest, and we are working closely with Master Builders Australia to support industrial relations reforms that will curb illegal activity on worksites.

We are pleased to achieve some fundamental Budget outcomes for our members and the broader industry. And we will keep fighting to deliver more.

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RICHARD BRYANT,

President, Master Builders SA

President’s Report

President’s Report Housing aff ordability consistently rates as one of the highest concerns across Australia. Ask someone wanting to buy their first home. Or looking for a larger home for their growing family.

Industry is doing what it can to ease the problem. We have introduced new financing mechanisms to welcome people to their new home sooner, and have working closely with finance providers to make people’s dreams easier to achieve.

We continue to look for innovations in materials, designs and construction technologies so we can provide the very best homes that people dream of – while still offering them at some of the most competitive price points I have ever seen.

But housing affordability remains a key concern for industry and the broader public. And it is a complex beast with no easy answer.

Historically low interest rates are in place to fuel demand, in part driving eastern states building approvals more than 20 per cent above their 10-year average. Growing populations are also driving this demand as people cross the country from Western Australia’s stalled boom to the services growth of the east.

The supply side seeks to balance rising building and labour costs with falling productivity and a need for higher densities to overcome a very limited resource: available land.

This is the backdrop for one of Master Builders Australia’s key policies for the recent Federal election.

Master Builders Australia called for the major parties to build a stronger economy to support our industry. In particular, there is a need for investment in jobs and skills, a focus on growth, more infrastructure and investment, and less red tape.

Housing affordability is a vital step to building a stronger economy and there are five steps to achieving that goal.

More land must be released for development to ease price pressures for young buyers.

A focus on urban renewal has released land across Adelaide, mixing the widescale development at Bowden with smaller releases. Renewal SA chief executive John Hanlon has flagged his intention that this process will continue, with areas already flagged for turnover in coming months.

However, the opportunities at the urban fringe have now ended.

Recent state planning reform introduced some measures that are likely to boost economic opportunities for our industry, but the introduction of an urban growth boundary – opposed by Master Builders SA – is likely to do the opposite and boost land prices, depressing affordability for those most in need.

There must be a commitment to faster development approvals.

Delays in development approval can stretch a new build beyond 12 months, and inconsistent approaches across council areas – and sometimes within the same department – can add further holding costs for buyers of a new home.

Planning reforms ushered in by Deputy Premier John Rau promise to cut some of these delays through rationalising and digitising the planning process, a promise that Master Builders SA looks to support as we discuss the details of this new system.

I’m optimistic that South Australia has the opportunity to perform well on this measure.

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State Governments should be incentivised and engaged to improve planning and housing outcomes.

In our recent Budget submission, Master Builders SA called for an authoritative study to measure the cost contribution of infrastructure and taxes toward a new home. This would provide the first step toward understanding what can be cut to improve outcomes, and what is needed to complete a build.

The clarification of taxes may show areas for reform on a statewide or even national basis – a worthy investment that could cut red tape for all.

Stamp duty should be cut.

The South Australian government budgeted for $910 million in stamp duty revenue this financial year, or about 5 per cent of its overall budget.

It has acknowledged stamp duty is an inefficient tax; in fact, it was widely welcomed last year when it announced a path towards abolishing the levy on non-residential transactions. But there is little doubt that this tax continues to hit and hurt home buyers.

When the tax adds almost $20,000 to the price of a median-priced home in Adelaide – not to mention the interest on that tax through long-term mortgage fi nance – it is easy to support the need for rapid change to support housing affordability.

Negative gearing should be protected.

Negative gearing is so firmly entrenched in our housing prices that its abrupt abolition would risk significant disruption to everyone in the housing market.

Negative gearing supports private investment in the housing market.

It enables the provision of rental accommodation and eases significant upwards pressure on rents. In short, it is a key positive in the battle for housing affordability.

The housing market is such an essential part of our economy that it needs to have a separate focus. Affordability is a key stepping stone for many, so any steps that can be bolstered through positive policy need to be addressed as a matter of urgency.

In the meantime, our housing industry will continue to do what it does well: innovate, support and build.

SA BUILDER AUGUST – SEPTEMBER 2016

“

… I don’t think we could have got a better product for this particular project than Fujitsu.

”

- Andrew Stewart, Managing Director of Rival Air.

FORM MEETS

FUNCTION

With a stunning design and sought after location between Victoria Street and the Yarra River, Green Square Apartments is one of the hottest new developments in Melbourne.

HVAC mechanical contractor, Rival Air, needed a unique cooling and heating solution that combined units that matched the high-end finish of the apartments without condensers in sight or earshot of the residential area.

This presented a challenge with the distance between some units and condensers being up to 10 floors. Working with the engineers and architects, Rival Air came up with a solution in conjunction with Fujitsu to use varying lengths of refrigerant pipe runs.

Fujitsu’s solution included 165 indoor units connected to 42 Airstage J-II Series heat pump outdoor units, 464 wall mounted split systems and 8 ducted systems offering various refrigerant pipe runs to meet the requirements of the project.

To find out how Fujitsu can help you with your project, contact your Business Development Manager or call 1300 882 201.

IAN MARKOS,

CEO, Master Builders SA

ADVOCACY UPDATE Master Builders SA has a strong voice in a crowded market. That gives us opportunities to push for change and represent members on a multitude of issues, all of which ultimately affect member businesses and their prospects.

But achieving the best outcomes requires a strong and consistent focus, which is why we are targeting three key areas in the short term.

Each has been selected because of the magnitude of the area’s impact on member businesses and the availability of the opportunity to influence outcomes to the benefit of members.

A new prequalification regime The Department of Planning, Transport and Infrastructure is reviewing its prequalification system with a view to paring it back to reduce administrative demands. There is a push to cut areas that are rarely, if ever, used, such as prequalification for residential construction, and a push to cut back some areas where there is a paucity of prequalified companies.

Master Builders SA’s Industry Futures Working Group, a representative body of subcontractors, commercial contractors and contract experts, agreed there was a strong case to maintain prequalification.

The system offers businesses recognition for their investment in essential systems that support safety and quality work. Those systems deliver certainty of safety and quality outcomes for clients, including the State Government, and as a result, there is a strong benefit for the State Government in maintaining prequalification in most cases.

DPTI’s current thinking is to maintain prequalification for demolition and asbestos removal because there is a direct contractual link but the Department is questioning whether there is a need for mechanical, plumbing, electrical and fire protection categories given the existence of existing certification regimes.

Master Builders SA is currently working with key voices in DPTI to support elements of the existing prequalification regime and to propose workable alternatives that may lessen demands on Departmental resources. This is a key focus given the current opportunity to influence outcomes for members.

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Advocacy Update Section Name Goes Here

Planning for the next 30 years The State Government earlier this year finalised the broad structure of its planning reforms and invited Master Builders SA to join the Minister in shaping the implementation of the system. It is likely that the Planning and Design Code and the Community Engagement Charter will be the first elements to be discussed, and Master Builders SA will be looking to establish processes that minimise demands on businesses and their clients.

The current planning regime was introduced in 1993; this new system is expected to shape the environment for development investment for the next 30 years.

The Government is also reviewing its 30 Year Plan for Greater Adelaide. Master Builders SA is working with all parties to get a better understanding of the impact of likely changes and will share that information when finalised.

Potential changes to business and consumer protection Small Business Commissioner John Chapman has released a discussion paper flagging further changes to the Security of Payment Act including the introduction of penalties for intimidation of contractors, the publication of adjudication outcomes and the possibility of an enforceable Building and Industry Code of Conduct.

This is a key issue for industry and one that is likely to have significant ramifications for business finance, operations and contractual relationships. Master Builders SA is the only body to represent all facets of the building industry and therefore has a responsibility to deliver a response that will best serve the broader industry.

Any proposal must protect the rights of all parties; but those same solutions must also be assessed for their administrative demands and costs. This will be the touchstone for Master Builders SA’s response.

We will consult all sector Committees for their response to individual measures within the Discussion Paper and will take those responses to our Industry Futures Working Group to reconcile any differences that might arise between sector recommendations.

Master Builders SA is also working closely with Consumer and Business Services on reform proposals relating to consumer protection.

Any solution must have minimal impact on our industry.

SA BUILDER AUGUST– SEPTEMBER 2016

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IAN MARKOS,

CEO, Master Builders SA

Master Builders News

Arrium closure will not devastate our industry The closure of steel maker Arrium would present challenges for the South Australian building and construction sector but would not spark a collapse, Master Builders SA says.

Arrium administrator Mark Mentha has been reported as saying that the Australian construction industry “would cease within six weeks” if the sale of Arrium failed.

However, Ian Markos said the sector was safe from collapse with access to alternative domestic providers including Bluescope.

“Building and construction won’t collapse or be devastated by the closure of Arrium but it will be hit,” Mr Markos said.

“The most dangerous outcome of the closure of Arrium would be the forecast loss of almost 4000 jobs and the impact on Whyalla - that would have a massive impact on confidence in what is now the country’s slowest economy.

“But building and construction has been around a long time and is an essential part of South Australia. Businesses will look for alternatives to make sure they deliver, and they will succeed.

“They will look overseas for appropriate steel, they will look to use alternative products - this is an industry already embracing significant change, so this would be another issue to be solved.

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“But the closure of Arrium would hit South Australia and its economy hard, and that would hurt the third-largest industry, building and construction. We would rather avoid that shock and look forward to a positive outcome for all.’

Master Builders SA is waiting on a State Government response to a suite of reforms to build a stronger sector so it can better weather such external shocks. The reforms were delivered to Treasurer in December 2015.

SA BUILDER AUGUST– SEPTEMBER 2016

WILHELM HARNISCH,

CEO, MBA Australia

Master Builders News

Builders back coalition commitment to transparency for Registered Organisations Master Builders Australia welcomes the Coalition’s commitment to clean up unions and improve levels of transparency and accountability in registered organisations.

“Master Builders has consistently supported an independent Registered Organisations Commission (ROC) since it was first proposed and welcome the additional measures which adopt some of the recommendations from the Heydon Royal Commission,” Wilhelm Harnisch said.

“The Royal Commission spent months examining the building and construction industry and over one third of its final report was devoted to building unions and their disregard for the law.

“A ROC, along with the ABCC, will help address the culture of lawlessness, improve transparency, and generate benefits for business, workers and the community generally.

“There is no rational reason why unions and their officials shouldn’t play by the same rules as companies and their directors.

“Workers and members deserve to know where their hard earned money is going and that those representing them are honest and looking out for member’s interests, not personal interests.

SA BUILDER AUGUST– SEPTEMBER 2016

“Those who do the right thing and act with honesty and integrity will have nothing to fear from these proposals and they should be welcomed by all without reservation.

“Only those doing the wrong thing, acting unlawfully, or who have something to hide, will oppose this announcement.

“We call on all other parties to adopt this commitment so that whoever forms the next Federal Government can implement them.

“Master Builders also calls on both parties to commit to the establishment of an Industrial Relations Consultative Working Group comprised of employer representatives and unions to provide implementation guidance and advice to the next Government.

“Changing workplace laws is not easy and consultation with peak bodies, such as Master Builders is essential in making sure they are implemented and take effect properly right from the start.”

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JOHN RAU,

Deputy Premier

Master Builders News

Planning changes drive economic development in Adelaide State Government changes to planning rules have stimulated investment, supported infrastructure, new housing, generated jobs and attracted more people to live and invest in Adelaide.

The policies were supported by the introduction of a pre-lodgment and design review process for development in the city valued over $10 million to be assessed by a single planning authority—the Development Assessment Commission.

There has been a significant increase in approvals for developments over $10 million since the introduction of the reform. In 2015, the DAC granted approval to 22 city developments having a combined value of over $660 million.

So far in 2016, the DAC has granted approval to six city developments having a combined value of $393 million.

In March 2012 the State Government commenced the revision of the city’s planning policies and the changes have enabled major projects to move from the design, approval process to commencement.

Minister Rau said: “The first major CBD development that took advantage of the State Government’s pre lodgement and design review process from approval to construction is now completed.

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“The developers are investing for a second time in our city following their success with planning processes in relation to their first development.

“The reform will be a driver of jobs and an economic enabler. It will deliver certainty and clearer and faster planning assessment pathways, oriented to provide any developer with an early ‘yes’ or ‘no’ to their proposed development, and not an infinite and costly ‘maybe’. Delays will be shortened, red tape reduced and investment encouraged.

“Now that the new planning legislation has passed Parliament, we are working to implement the most significant planning reform seen in South Australia in decades”.

SA BUILDER AUGUST– SEPTEMBER 2016

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STEPHEN MULLIGHAN,

Minister for Transport and Infrastructure, Minister for Housing and Urban Development

Master Builders News

Jobs boost as Lendlease wins Northern Connector major contract The major contract to design and build the 15.5-kilometre Northern Connector project has been awarded to preferred contractor Lendlease, paving the way for hundreds of jobs for Adelaide’s northern suburbs.

Major works on the $985 million project made up of $788 Federal and $197 State funding, are expected to begin within months, delivering about 480 jobs a year during construction.

Minister Mullighan said; “The Northern Connector will provide enormous productivity benefits for freight travelling between Adelaide and the northern, western and eastern parts of South Australia, as well as to and from other states.

“The State Government’s Northern Connector Jobs Taskforce has been working closely with local contractors and businesses, councils and education providers to ensure that at least half of the 480 jobs supported by the project each year go to locals. This target is on top of the regular requirement that 90 percent of labour hours go to SA”.

Through the tendering process, Lendlease was required to detail how it would maximise the opportunities for local workers and businesses in its supply-chain to capitalise on this almost billion dollar investment.

Approximately 6500 tonnes of reinforcing steel and approximately 1000 tonnes of structural steel for the project are expected to be sourced from Arrium in Whyalla.

The Northern Connector is part of the 78-kilometre North-South Corridor, stretching from Gawler in the north to Old Noarlunga in the south.

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The Northern Connector project will include: • Four road interchanges - Northern Interchange at Port Wakefield Road/Northern Expressway - Waterloo Corner Interchange at Port Wakefield Road/Waterloo

Corner Road - Bolivar Interchange at Port Wakefield Road/Bolivar Road - Southern Interchange at Port River Expressway, South Road

Superway and Salisbury Highway Connector.

• A motorway with three lanes in each direction, with a posted speed of 110kmh • A 16km long, three metre wide separated shared used path for cyclists and pedestrians that will connect to the existing 23km long path adjacent to the Northern Expressway.

Major works are expected to start in the third quarter of this year and the project is scheduled for completion in December 2019.

SA BUILDER AUGUST– SEPTEMBER 2016

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STEPHEN MULLIGHAN,

Minister for Transport and Infrastructure, Minister for Housing and Urban Development

Master Builders News

Local businesses to benefit from $1.2 billion renewal of Housing Trust sites Local builders and developers were briefed in June on how they can benefit from a pipeline of construction projects as part of the State Government’s $1.2 billion Renewing Our Streets and Suburbs (ROSAS) initiative at the Adelaide Oval.

More than 100 local businesses attended the industry briefing that detailed the array of opportunities on offer, which are expected to support about 1600 jobs a year in the local construction industry, Minister Mullighan said: “These projects are part of the Government’s commitment to accelerate urban renewal, increase housing supply and provide a jobs-and-investment boost to the construction and community housing sectors in South Australia.

“The Government has made a deliberate commitment to provide opportunities to our local construction industry and there will be an unrelenting focus on engaging with businesses of all sizes to ensure the benefits are spread wide”.

The ROSAS initiative includes the renewal of 4,500 Housing Trust properties within 10 kilometres of the Adelaide CBD, and the 1000 Homes in 1000 Days project announced in December’s Mid-Year Budget Review. The $208 million 1000 Homes in 1000 Days will provide for the construction of new public housing and is expected to support about 400 jobs this year and about 500 jobs a year in 2017 and 2018.

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Already 16 local builders have won tenders to build over 100 new houses through the 1000 Homes in 1000 Days project. Some of these new homes will be social housing, some affordable housing and others will be sold privately to help fund the program.

Other smaller projects incorporated in the R0SAS initiative include the refurbishment of 200 bathrooms and kitchens in existing Housing Trust dwellings and the provision of photovoltaic solar panels to 400 Housing Trust homes.

Given the wide range of projects on offer, there will be opportunities for businesses ranging from large builders to sole traders, sub-contractors and suppliers.

Adelaide construction company Lamar Group is building four Housing Trust properties at Park Holme as the project, as well as houses at Blair Athol, Peterhead, Elizabeth and Smithfield as part of the wider Renewing Our Streets and Suburbs initiative.

SA BUILDER AUGUST– SEPTEMBER 2016

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CHRIS WILTSHIRE,

Development and Technical Adviser, Master Builders SA

Performance solutions are a real alternative Have you ever been caught with a design problem and found you just can’t make it comply with the deemed-to-satisfy solutions listed in the National Construction Code? No matter how hard you try to think of a resolution nothing seems to work, a problem that will ultimately lead to sleepless nights. Well there may be an alternative process at your disposal that you are not aware about.

The National Construction Code (NCC) is one of the most important legislative documents in the building industry. It sets the ground rules for construction in both commercial buildings (Volume 1) and residential buildings (Volume 2). The NCC is a code that references necessary Australian Standards applicable for building construction.

An assumption some builders have is if a new building does not conform to the deemed-to-satisfy solutions listed in the NCC then it will not comply full stop. This is not entirely true, the deemed-to-satisfy solutions are not the only way to achieving a building outcome.

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Changes adopted in the 2016 edition of the NCC series make it obvious more than ever before that using an alternative process (different from deemed-to-satisfy) to achieve building compliance is an acceptable practise. The Australian Building Codes Board (ABCB), acting on a report produced by the centre for international economics, changed the assessment structures listed in the NCC series with the intent of making it easier for the end user to identify alternative pathways [1].

Under the old structure, the rules within the NCC were governed by a hierarchy pyramid structure. At the top of the pyramid listed objectives and functional statements. These requirements effectively set the core values of the code, to keep people safe and health. The second tier of the pyramid related to compliance levels, that being performance requirements. It was within this tier that rules dictating how a building should perform were established. Performance requirements are similar

SA BUILDER AUGUST– SEPTEMBER 2016

Master Builders News

to functional statements but more specific, detailing how the building should operate. From the performance requirements comes the deemedto-satisfy solutions, in simple terms, the instructions on how to build.

It is the deemed-to-satisfy provisions that make up a majority of the wording within the NCC series. Effectively the pyramid gave an overview detailing the ideology that established building rules.

The ABCB was concerned the pyramid structure confused the end user and so replaced it with a more simplistic structure aimed at showing what the most critical part of the assessment chain is. The objectives and functional statements were removed and relocated into the beginning of each section within the NCC as a guide only. The performance requirements, previously part of the second tier of the pyramid, now sits atop of the assessment structure. The goal of the ABCB was to show the end user that the NCC is a performance based document, to achieve compliance one only had to satisfy the performance requirements. This is now clearly stated in the very first clauses of both Volumes 1 and 2.

To satisfy the performance requirements there are three options.

One option is to meet the deemed-to-satisfy solutions. This is the most common way of achieving compliance, however it is NOT the only way. A second option is to achieve compliance using a performance solution. A performance solutions (previously referred to as an Alternative Solution) is a solution that is not deemed-to-satisfy, but rather an alternative method showing how a building can operate in a way that meets the performance requirements [2]. A performance solutions is effectively a different means to an end. A third option is to use a combination of both deemed-to-satisfy solutions and performance solutions.

This is nothing new. These options have always been available in the NCC, however the new structure gives precedence to performance.

If you achieve performance requirements you comply, these are the only mandatory requirements that need to be satisfied. The ABCB are keen for users to know this, they are aware major savings to the building industry can be made if performance solutions are used in lieu of deemed-to-satisfy solutions [3]. A performance solution provides the end users with greater flexibility and assists builders with unique projects or exceptional building circumstances.

So how can one use a performance solution in lieu of a deemed-tosatisfy? Within Part A2.2 of Volume 1 and Part 1.2.2 of Volume 2 of the NCC [4] there are four assessment methods that lists pathways to achieve compliance for a performance solution. These are as follows A. Provide Evidence confirming a product, design or form of construction meets a Performance Requirement or a Deemed-toSatisfy solution. Evidence can be in the form of a report issued by a registered testing authority, a certificate of accreditation, a certificate issued by a professional engineer (or appropriately qualified person), a certificate from a product certification body or any other form of documentary evidence that adequately demonstrates suitability for use in a building.

B. Use verification methods either listed in the NCC (found after performance requirements within in each section) or other methods the relevant authority sees fit.

C. Use Expert judgment, someone who has qualifications and experience in a specific field

SA BUILDER AUGUST– SEPTEMBER 2016

D. Use a direct comparison with a deemed-to-satisfy provision There are a range of ways a performance solution can be approved.

There are some important steps an end user should consider before going down the path of a performance solution.

• Confirm with the relevant authority (either Council or private certifier) what they are prepared to accept. The amount of information needed can be subjective and is dependent on what method the end user follows. The most common method is to provide evidence from a professional engineer, particularly when it comes to structural verification.

• Any expert used as part of the process should be able to substantiate their experience and/or qualifications. The major cause of consternation for approving bodies is the qualifications of the expert judgment.

• Documentary evidence provided by a supplier should verify compliance with Australian Standards, evident on their product and detailed in their certificates.

• Any product or system that requires endorsement should be done so by a recognised registered testing authority, such as ACRS. • Consider exactly what the performance requirement is stating. A performance requirement can be either a quantitative statement (described using words) or qualitative statement (described using numbers), requirements are not necessarily dictated by numbers.

An example of a quantitative performance requirement is FP2.5 in Volume 1, it states the following

“A sanitary compartment must be constructed with sufficient space or other means to permit an unconscious occupant to be removed from the compartment” [5] Interestingly, the deemed-to-satisfy solution in this example, Part F2.5 (b) [6], gives both a descriptive and numerical answer. It states the door to a sanitary compartment either opens outwards, slides or have removable hinges if the doorway is within 1.2m of the toilet pan. If a performance solution is proposed in lieu of the deemed-to-satisfy, the performance solution does not necessarily need to address the 1.2m distance. Remember, the performance solution only has to give consideration to the removal of an unconscious occupant from the compartment.

As long as the relevant authority is satisfied the performance solution adequately addresses removal of the occupant, numbers listed in the deemed-to-satisfy solution may be considered inconsequential.

Users of the NCC should get to know deemed-to-satisfy solutions, but also get to know where they come from. Knowing the performance requirements can be more important than knowing the deemed-tosatisfy solution, especially if you are confronted with a difficult build.

Members wanting further information regarding NCC issues are welcome to contact Chris Wiltshire, Development and Technical Advisor at cwiltshire@mbasa.com.au References: [1] [3] National Construction Code 2016 – update on the Building Code of Australia; http://www.abcb.gov.au/ compiled by the Australian Building Codes Board (ABCB) [2] [4] [5] [6] Australian Building Codes Board (ABCB) – National Construction Code Series Volume 1 and Volume 2 - Australian Building Codes Board on behalf of the Commonwealth of Australia and states and territories of Australia - pg. 14, 35, 36, 297, 312 Vol 1; pg. 14, 37, 38 Vol. 2

17

IAN MARKOS,

CEO, Master Builders SA

Industry welcomes Plaza activation The activation of major works for Festival Plaza should trigger a range of projects to develop a much-needed pipeline for South Australia’s building and construction industry.

Master Builders News

“Our concerns have always been around the lack of activity following the end of substantial work on the New Royal Adelaide Hospital. With more than 2000 jobs on that site, the transition has a serious impact on every business – from the head contractor, all the way through to the mum-and-dad businesses,” Ian Markos said.

“Activity on Festival Plaza should trigger more activity along that stretch, which in turn should create more confidence in Adelaide and its future.

“It is a perfect time to implement necessary reforms to strengthen the industry, and we urge the Government to work with Master Builders SA to take up that opportunity immediately, but we certainly hope that today’s announcement will mark a corner in industry activity.

“These are the jobs the State needs.”

Data released recently by the Australian Bureau of Statistics shows non-residential construction for the past year dropped 12.5 per cent to $2 billion compared to the prior year.

The calling of tenders for the Festival Plaza will not return the sector to its prior level of activity but will provide support for future activity.

Building Excellence Awards selling out fast You have to be at the premier gala event of the building and construction industry and tickets are selling fast!

Make sure you reserve your seats or buy a table to celebrate as the winners are announced from our world class entries in commercial, residential and specialist trade contractor categories.

The Master Builders 2016 Building Excellence Awards is a festival of building ideas, new designs and technologies where the industry acknowledges the best and congratulates all of the nominees.

The independent Judging Panel has had an extremely difficult task in selecting the winning entries and the Chair of Judges has endorsed this year’s entries, across all categories, to be the best ever.

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The Building Excellence Awards is an event not to be missed, where the industry gets to acknowledge its achievements, celebrate and network with its peers. The Awards are an essential occasion for all participants in the building industry supply chain. Whether you are a supplier, manufacturer, trade contractor or consultant, this occasion is a must attend event.

For tickets contact Renee Ancell at the Master Builders on 8211 7466

SA BUILDER AUGUST– SEPTEMBER 2016

Building Australia Master Builders Australia

2017 National Conference, Building Exhibition & National Excellence in Building & Construction Awards

23–25 November 2017 | Hobart Tasmania The Master Builders Australia 2017 National Conference ‘Building Australia’ will be held in Hobart at the historic Princes Wharf 1 (PW1). The recently restored heritage building is a first class multi-purpose function and event venue located on the waterfront of the Derwent River in the heart of the Salamanca Precinct.

The venue is within close proximity to restaurants, hotels, cafes, retail outlets, major tourist attractions and departure points. Whether it’s a ferry to MONA or a coach to the top of Mount Wellington, PW1 provides a perfect base to explore the best Hobart and surrounds has to offer. As part of your conference experience, delegates will enjoy a river cruise to a special offsite conference dinner at MONA the Museum of Old and New Art. A comprehensive program of high profile speakers will examine the building industry outlook, focussing on topics relevant to today’s building and construction industry. An exciting social program will ensure delegates’ attendance is a rewarding experience. www.masterbuilders.com.au

Supplied by Mona 2011 National Awards

Image: Hobart City Council

Image: 2015 Master National Awards Image: Kathryn Leahy Image: Rob Burnett

Image: Jesse Dejardins

Michael Walters Photography

Image: Paul Fleming

Image: Alastair Bett

save the da

te

Image: Peter Topliss

Image: Andrew Ross

Image: Alastair Bett

Discover Tasmania

Alastair Bett

Local attractions and tours make Tasmania an ideal destination for delegates and their families. Attractions include MONA, the Salamanca Markets, Tasmanian Museum and Art Gallery, Mount Wellington, Historical Port Arthur, Richmond, Peppermint Bay, Cascade Brewery, Royal Botanical Gardens, Bonorong Wildlife Centre, Maritime Museum, Derwent River Cruise, Russell Falls, Pennicott Wilderness tours, Cradle Mountain and Cataract Gorge just to name a few. Images courtesy Tourism Tasmania.

WILHELM HARNISCH,

CEO, MBA Australia

Master Builders News

Commitment to strong regulator welcome Master Builders Australia welcomes the Coalition’s re-stated commitment to deliver the Australian Building and Construction Commission (ABCC).

“The ABCC is crucial to the future of the building and construction industry,” Wilhelm Harnisch said.

“Restoring the rule of law will help the sector have safe and productive workplaces, free from bullying, thuggery, coercion and other stand-over tactics for which building unions are renowned.

“Three Royal Commissions, dozens of inquiries and reports, hundreds of court cases, over $10 million in fines – yet things are getting worse.

There are over 100 building union officials facing over 1000 separate charges and we have more illegal strikes than any other industry.

“You wouldn’t cop bullying, abuse or threats at the pub, footy match, or in the street – let alone in a workplace – yet it happens every day on building sites right around the country, and women aren’t immune.

“Building unions think the law doesn’t apply to them. They cause delays and blow-outs which means essential community infrastructure – hospitals, roads, schools, aged-care homes – cost about 30% more than it should.

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“We need a strong regulator. The ABCC worked before and it will work again. We want building sites to be just like every other normal workplace.”

Master Builders calls on all parties to support the return of the ABCC and outlined other measures that the next Federal Government should also consider to help the industry restore the rule of law, including: • Ensuring the Building Code 2014 is applied and drug and alcohol testing remains mandatory; • Introducing laws to protect regulators and public officials from being hindered or abused by building unions; • Requiring union officials to pass a “fit and proper person” test before they get issued with a right of entry permit; • Giving the ABCC a role in identifying phoenix-like behavior, allegations of sham contracting, and breaches of competition laws such as secondary boycotts; and • Keeping and expanding the Joint Police Taskforce established under the Heydon Royal Commission.

• “Re-establishing the ABCC is a start but more needs to be done and more can be done,” Wilhelm Harnisch said.

SA BUILDER AUGUST– SEPTEMBER 2016

Finance

Choosing a ‘default’ super fund for your business All businesses need to choose a default super fund in order to make super contributions to employees who haven’t chosen to go with their own preferred super fund.

When a new employee begins working for your business, you are required to provide them with a ‘choice form’ within 28 days from their start date. If they don’t choose their own preferred super fund, you will need to pay their super contributions to your nominated ‘default’ fund.

As an industry super fund with over 30 years of experience in the building and construction industries, we understand your business has unique super needs.

We can help make it easy for you to manage your employee super contributions through our online payment system, as well as help you to understand and comply with legislative super changes, keeping you informed with regular updates.

If you’re interested in making Cbus the Default Super Fund for your business, call 1300 361 784 or visit the Cbus Website for more information.

Read the relevant Cbus Product Disclosure Statement to decide whether Cbus is right for you. Call 1300 361 784 or visit www.cbussuper.com.au for a copy. Cbus Clearing House service is provided by Westpac Banking Corporation for Cbus employers.

Cbus’ Trustee: United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 Cbus ABN 75 493 363 262

Five steps for more affordable housing Master Builders National Policy Statement Master Builders Australia has called for five steps for more affordable housing - a top policy priority in its Federal Election campaign Strong Building, Strong Economy.

It advances Master Builders policy agenda to tackle the real causes of the housing affordability challenge, particularly housing becoming even more expensive for first home buyers.

The five steps are as follows: • • • • •

Release more land for development; Commit to faster development approvals; Engage State Governments to improve outcomes; Cut stamp duty and Protect negative gearing

SA BUILDER AUGUST– SEPTEMBER 2016

Watch the Five Steps for More Affordable Housing video on the Mater Builders web site at mbasa.com.au Master Builders Australia’s other top policy priorities include jobs and skills for the future, economic settings for stability and growth, more infrastructure and investment, more small business and less red tape.

To view the top priorities launch video log on to mbasa.com.au.

To learn more about Master Builders Australia’s Federal Election campaign, visit www.strongbuilding.com.au

21

IAN MARKOS,

Finance

CEO, Master Builders SA

Higher SA approvals can be boosted to a trend Uplift in South Australian building approvals for the year to March 2016 can be converted to a sustained trend with the right triggers.

Data from the Australian Bureau of Statistics shows the value of South Australian approvals for new homes for the past 12 months has increased 5 per cent to $2.5 billion and is 14 per cent higher than the 10-year average of $2.2 billion on a trend basis.

Non-residential work is also showing positive signs with its $1.8 billion of approvals for the year to March 2016 a full 7 per cent higher than the 10-year average of $1.7 billion.

Ian markos, said the housing industry would embrace the positive and hope for a sustained recovery in South Australia.

“This could be a short-term change or a long-term trend. If the Reserve Bank retains low interest rates and confidence is improved from the election result – and a focus on tax cuts for small business may just do that – then we may be able to point to these figures as the way forward.

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“But it’s still difficult to ignore the fact that South Australia is still the only State where building approvals are less than their 10-year average.

Approvals in almost every State are sitting at more than 10 per cent above historic levels, while Western Australia is falling as the effects of the mining boom pass and Tasmania is sitting right on its 10-year average.

“The Federal Government’s awarding of the bulk of the submarine build to Adelaide and the State Government’s ready action to secure more work are likely to have very real benefits for South Australia’s building and construction industry – we hope to see more confidence, more demand. But we can’t ignore the need for structural change if we are to build our own foundations to drop our countryleading unemployment.”

The State Government is currently considering a suite of reforms developed by Master Builders SA aimed at improving the long-term sustainability of the State’s building and construction industry

SA BUILDER AUGUST– SEPTEMBER 2016

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The national wage case – what next?

On Tuesday, 31 May 2016, the Fair Work Commission handed down the Annual Wage Review 2015-16, commonly referred to as the “National Wage Case”.

The ACTU had proposed a range of increases – from $30 per week for the lower classifications and a 3.9% increase for higher classifications. The Australian Chamber of Commerce and Industry proposed an increase of 1.2%, and the Wine Industry Association sought a nil increase.

The Fair Work Commission awarded an increase of 2.4% across all wage levels.

This year the effect of the decision was lost to some extent in the midst of the federal election campaign. Not unusually, there were complaints about the decision from both sides of politics, from the unions, from employer organisations and from the Australian Council of Social Services.

The decision remains important in that it directly affects over 1.86 million employees in Australia who are employed under an Award rather than through an Enterprise Agreement or other industrial instrument.

Many Master Builders SA members may initially think that this will not have a direct effect given that the annual wage review is usually thought of as being applied to workers who are on a minimum wage. However this view is not necessarily correct and the decision will have a direct effect on many Master Builders SA members, and an indirect effect on a much larger number of members.

The makeup of building and construction In coming to its decision, the Fair Work Commission considered a significant amount of statistical data in relation to the composition of the Australian workforce.

The “Statistical Report” used by the Fair Work Commission in coming to its decision gives an indication as to just how important the construction industry is to the national economy and conversely how

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much of an effect the decision will have on the construction industry.

The “Statistical Report” revealed that the construction industry makes up 16.7% of the businesses operating as at June 2015.

Of 20 industry groups surveyed, the construction industry has a business survival rate of just under 60% (a surviving business being a business which was actively trading in June 2011 and continued to be trading in June 2015). This was the sixth lowest business survival rate of the 20 industry groups surveyed, and was lower than the average across all industries, indicating that construction businesses were less likely to survive than most other types of business over that period.

In spite of this high turnover in construction businesses, the numbers employed in the industry are significant — increasing from 8,640,000 employed in the industry in February 2006 to 10,615,000 in February 2016.

In 2006, construction was the fourth largest employer behind retail, health and manufacturing, whereas in 2016 the employment figures rated the construction industry as the third largest employer, behind health care and retail trades.

Given the significant number of Enterprise Agreements which are registered in the industry, it is surprising that the construction industry has 13.7% of its workforce being paid on the basis of the Award rates of pay. On the current employment figures, this represents almost 1.5 million employees being paid the rates of pay set by the Award.

This means that a significant number of employees in the construction industry, and their employers, will be directly affected by the increases handed down in this review.

The FWC has published the draft amended rates for the Building and Construction General On-Site Award 2010 (and for all other modern Awards).

The new rates will result in increases to each of the pay levels within the Award, from May 31, 2016

SA BUILDER AUGUST– SEPTEMBER 2016

Finance Award Level

Rate of Pay Existing

Adjusted

Level 9 (ECW 9)

$894.80

$916.30

Level 8 (CW/ECW8)

$879.30

$900.40

Level 7 (CW/ECW7)

$858.60

$879.20

Level 6 (CW/ECW6)

$834.70

$854.70

Level 5 (CW/ECW 5)

$813.00

$832.50

Level 4 (CW/ECW4)

$788.90

$807.80

Level 3 (CW/ECW3)

$764.90

$783.30

Level 2 (CW/ECW2)

$743.20

$761.00

CW/ECW1(level d)

$728.00

$745.50

CW/ECW1(level c)

$714.60

$731.80

CW/ECW1(level b)

$704.70

$721.60

CW/ECW1(level a)

$690.40

$707.00

Once the rates are published, they will be available on the MBA SA Legal website by hyperlink, and an updated ‘rates sheet’ will also be available.

Enterprise Agreements – Are they affected?

For employers who have an Enterprise Agreement in place, it is not simply a case of ignoring these most recent increases to the Award rates.

Where the rates of pay contained in the Award exceed those of an Enterprise Agreement, those Award rates of pay set the minimum standard.

Where employers have an old or nominally expired Enterprise Agreement, these recent increases to the rates of pay may lead to a situation where the rates of pay under the Enterprise Agreement are less than the rates under the Award.

If the rates in the Enterprise Agreement are below the Award rates, then paying the employees at the Enterprise Agreement rate will result in them being underpaid. If this happens, the employer may not only be the subject of a claim for underpayment of wages, but also subject to prosecution for breaching the terms of the Fair Work Act. It is important that members with an old or nominally expired Enterprise Agreement review the pay rates to make sure that the rates provided have kept up with these most recent adjustments.

The staff at MBA SA Legal are well positioned to assist in auditing Enterprise Agreements to ensure that the rates of pay are not below the required level. The cost of auditing an Enterprise Agreement is considerably less than the penalties which can be imposed for underpaying workers, even where that underpayment is unintentional or as a result of mistake.

Can I just top up the pay?

There was a simpler time when the answer to this problem would have been simply to top up the pay rates of the workers so that they are equal to the rates contained in the Award.

However, under the Building Code 2013, building industry participants must not make any agreement that provides for terms, conditions or benefits of employment that will not be certified, registered, lodged to otherwise approved under a designated building law.

SA BUILDER AUGUST– SEPTEMBER 2016

This arguably creates a difficulty where there is an existing Enterprise Agreement, which contains rates, which are below the current Award rates of pay.

An Enterprise Agreement continues in force until such time it is either terminated by application to the Fair Work Commission, or a fresh agreement is registered in its place. So it is also not simply a matter of deciding to simply revert to the Award as the basis for payment. There are other steps that will need to be taken.

To simply agree in an unregistered or unofficial way that rates of pay will be topped up appears to be in breach of the Building Code.

The safest way forward in any of those circumstances would be to commence a fresh bargaining process and put in place a new Enterprise Agreement. Alternatively, making an application to the Fair Work Commission to terminate the existing Enterprise Agreement, and revert to payment under the Award, can also solve the problem.

The staff at MBA SA Legal have considerable experience in negotiating Enterprise Agreements and in having expired agreements terminated in the Fair Work Commission. Contact them at 08 8122 4990.

The cost of failing to comply with the requirements of the Fair Work Act can be considerable, and the interaction between the Fair Work Act and the Building Code 2013 make it more important than ever to have expert advice.

1 The highest survival rating being health care at just under 80% and the lowest being administrative and support services running just behinds construction at slightly less than 60%.

2 In 2006; healthcare – 10,296,000, retail trade – 11,563,000, manufacturing – 10,159,000 3 In 2016; healthcare – 15,105,000 retail trade – 12,917,000; and manufacturing dropping to 8,595,000.

4 The full list can be found at https://www.fwc.gov.au/awards-and agreements/minimum-wages-conditions/annual-wage-reviews/annual-wage review-2015-16-15

Fair Work Act (Cth) 2009, s 206.

5

‘Nominally expired’ means the Enterprise Agreement has reached its expiry date.

Note however that they still continue to operate after this date.

6

Fair Work (Building Industry) Act 2012 (the Building Code 2013), s 10.

7

25

IAN MARKOS,

Finance

CEO, Master Builders SA

Payroll tax concessions a boost for jobs Master Builders SA has welcomed the State Government’s decision to extend the small business payroll tax rebate for another four years.

Chief Executive Officer Ian Markos said the measures, announced as part of the coming State Budget, were the right decision to support South Australian jobs.

“South Australia has the highest unemployment rate across the country and with the closure of the State’s auto manufacturing sector next year, now is not the right time to abandon support for the State’s small businesses,” he said.

“Master Builders SA called for the extension in its Budget submission to support the jobs of today and to make it easier to create the jobs of the future, so we are delighted that there is widespread agreement on these sensible measures.

“Small businesses now have one less hurdle to overcome to become larger businesses.”

Businesses with taxable payrolls of up to $1.2 million will receive a rebate as part of the year-end reconciliation process.

Taxable Payroll Tax Rate

Rebate Rate

$600,000 - $1 million

4.95 %

2.45 %

$1,000,001 - $1,050,000

4.95 %

1.95 %

$1,050,001 - $1.1 million

4.95 %

1.45 %

$1,100,001 - $1.15 million

4.95 %

0.95 %

$1,150,001 - $1.2 million

4.95 %

0.45 %

More than $1.2 million

4.95 % The rebate would cut the payroll tax on a $1 million taxable payroll from $19,800 to $10,000.

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SA BUILDER AUGUST– SEPTEMBER 2016

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PETER MACKS,

Macks Advisory

What will expunge the curse of the walking dead?

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SA BUILDER AUGUST– SEPTEMBER 2016

Finance

“Zombie companies” is a media term for companies that need constant bail-outs to continue functioning; indebted companies that in the main generate only enough cash to pay interest on loans, not enough to reduce them.

The question then is what is their reason for being? These zombie companies have no life or future and more than often have insufficient funding and increasing creditor obligations, particularly to employees.

Such companies are the walking dead, retarding healthy companies’ contributions to economic growth, and currently proliferating in a climate of record low interest rates.

Company Watch reports the tripling of zombie businesses in the UK to almost 340,000 in the past six years and anecdotal evidence indicates the situation could be far worse elsewhere in Europe, the US, China and Japan.

While it’s true Australia weathered the Global Financial Crisis (GFC) better than most countries, the curse of the zombies is nonetheless having a debilitating effect here.

Trouble is, so many corporate zombies exist unrecognised, and there’s no apparent sign in Australia of widespread acceptance of a Japanese financier’s proposition that “companies failing to make a profit in a decade, shouldn’t be in business”.

Accordingly the Federal Government and Australia’s business community are a very long way from devising mechanisms to expunge this curse.

Are your clients among the walking dead?

Are your clients a director of a zombie company? Your clients almost certainly are, if the company can or can’t do one or more of the following: • Can barely pay running costs and no more than interest on loans.

• Can’t fulfil an agreed schedule to reduce debt.

• Can’t grow because it can’t invest in more plant, equipment and staff.

• Can’t attract funding either from well-recognised financiers or private investors because of mounting pressure from creditors among which the Australian Tax Office (ATO) is likely to be prominent.

• Have insufficient funds set aside and/or are unable to accumulate funds to pay employee entitlements.

You need to appreciate that zombie companies have only been able to survive in Australia more easily than in the UK, Europe or the US, because of the mining boom and extensive government support packages.

However, that boom is a thing of the past. Furthermore the Australian Government is looking to tighten its belt, and with interest rates likely to rise in the not-too-distant future, zombie companies’ survival prospects are diminishing.

Rising interest rates and increased collection activity from the ATO would make financiers even less accommodating with loans, creditors even less accommodating with repayment plans.

In these circumstances the chances of restructuring such companies successfully are lessening.

If the company can’t be saved the best chance of putting it in the most advantageous position as far your clients are concerned is probably now.

SA BUILDER AUGUST– SEPTEMBER 2016

Why are zombies increasing?

Apart from owners and directors inertia, governments also help perpetuate zombie companies because of a lack of political will to cull them and support packages that perpetuate their existence.

For instance were the Federal Government to support an interest rate rise or otherwise to make the existence of zombie companies more difficult, hundreds of such companies in Australia would of course die in the light of those decisions.

While these collapses into insolvency would free up human and financial resources that had been resuscitating them for years, even though their disappearances would enable healthy companies to help grow an economy, governments know only too well that rises in insolvency rates are political poison.

And so, companies that have been going nowhere for a decade and show no signs of profitability continue their economic retardation until eventual collapse that invariably drags down other companies with them.

It’s a state of affairs further supported by creditors’ increasing willingness to allow floundering companies to survive by relaxing payment conditions, believing this will eventually enable them to recover their money.

Banks too, have vested interests in keeping companies’ recovery and turnaround strategies in process - if for no other reason than an existing company can continue making loan repayments, but in the absence of a cogent turnaround strategy this does no more than reduce the business equity that is available.

In Australia, the ATO, usually a substantial creditor of companies teetering on the brink of insolvency, has its own agenda for debt recovery. It may be that such a strategy has little if anything to do with discouraging the existence of zombie companies.

Finally, government stimulus packages tend to foster economic environments favouring what governments assess as their own fiscal necessities, rather than as a means to eliminate the corporate walking dead, who therefore will remain with us, most likely in increasing numbers, long into the future.

Here, however, are two possibilities for at least slowing the rate of increase: When banks sell under-performing loans to other large financiers, they can only do so at realistic values, in other words, at a potential loss. However, should banks be persuaded to reorganise their books so as to reduce the number and size of loans made to zombie companies - or companies with early signs of zombie syndrome – there would be fewer corporate zombies.

And of course the rate of increase could always be reduced, were increasing numbers of business owners willing to seek professional help before a company’s recovery from zombie syndrome became an impossibility.

For more information, contact Macks Advisory on 08 8231 3323 or visit our new office at Level 8 West Wing, 50 Grenfell Street, Adelaide SA 5000.

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MARTIN HAMILTON-SMITH,

Finance

Minister for Small Business

Removal of barriers to small business State Government procurement reforms will make it even easier for South Australian firms to access work through government procurement contracts.

Small Business Minister Martin Hamilton-Smith said that changes to the Better Customer Charter, coming into effect on 1 July 2016, mean that Simple Procurement provisions will reduce the amount of information businesses need to provide when quoting and tendering for Government work.

Since then, there has been significant improvement in the value of goods and services contracts awarded to local suppliers, standing now at 90 per cent, an increase of more than 40 per cent since 2012-13.

The Procurement Reform Strategy will: • Reduce requirements in procurement, raising the chances of success for small business; • Reduce the time to complete tendering due to document simplification • Remove barriers to participation, reducing contract costs for both business and government, and • Timelier decision making in procurement.

These reforms add to the already strong results to come from the Industry Participation Policy (IPP) and the Office of the Industry Participation Advocate, established by the South Australian Government in 2013.

The Minister said, “The Industry Participation Advocate has transformed many of the outcomes for small business in procurement and these latest reforms are all about South Australian businesses winning even more contracts.

“These procurement reforms mean small business will have simpler, timelier procurement processes and I will make sure that the Industry Advocate ensures these outcomes are delivered.

“The removal of red tape in procurement will be a noticeable win for business and the simplified practices will begin in September.

“Key agencies have embraced commercial acumen training and this is a move central to better functioning procurement systems and importantly, better commercial outcomes for both suppliers and tax payers

These benefits will be extended through: • The Industry Participation Advocate and external commercial specialists required to sit on procurement governance committees of major purchasing agencies; • Enhanced commercial acumen in State Government through targeted staff training; • Oversight of agencies using spend analytics to identify opportunities for improvement with reporting to the Budget Review Cabinet Committee, and • Publishing forward procurement plans for contracts from $220,000 will make opportunities more transparent.

South Australia’s economy has seen high value contribution from major construction projects valued at $50 million and over and the IPP has resulted in strong benefit through the IPP. For example, in the past 12 months, South Australian subcontractors have been awarded projects worth an estimated $637 million, out of a potential project pool of $698 million.

IAN MARKOS,

CEO, Master Builders SA

Stamp duty cuts a welcome boost The extension of stamp duty concessions for off-the-plan apartments for another 12 months – and beyond city limits – will provide a vital kick-start for South Australia’s building and construction industry.

The measures, announced by the State Government on 20th June in the lead-up to the July 7 State Budget, are a much-needed boost Ian Markos said.

“There is no doubt that the concessions have helped trigger new activity for South Australia’s building and construction industry, so extending that same concession throughout Adelaide is a welcome development.

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“Cutting stamp duty also provides a significant boost to affordability – buyers aren’t borrowing to pay a tax, and then paying interest on those borrowings.

“Master Builders SA called for such an extension in our Budget Submission and in previous years, so we fully support this welcome news for the increased activity it will provide over the next 12 months for our members and the skilled people they employ. It shores up one of South Australia’s most fundamental industries at a time when it is needed.”

SA BUILDER AUGUST– SEPTEMBER 2016

RUSSELL EMMERSON,

Legal

Director, Policy & Communications

Extensive overhaul proposed for Security of Payment Act Getting paid in a cash-strapped industry can be tough. The best results come from developing a good working relationship with business partners, knowing that the outcome of each contract builds opportunities for the next.

But what happens when you can’t get the best results?

The Building and Construction Security of Payment Act 2009 provides a mechanism for subcontractors to request payment with a 15-business day response time. The Act also sets up an adjudication process to resolve disputes between the parties.

Some have used the Act only when required and found it to be an easy way of resolving matters. Others have found the 15-day response period only escalates tensions rather resolving a dispute.

These issues were raised with retired District Court Judge Alan Moss, who last year undertook a wholesale review of the Act and recommended only minimal changes be made. The Act was underutilised, he said in his report to Parliament, so there was a good opportunity to improve industry education to improve outcomes while more data was gathered to better understand what further changes were needed.

In contrast, Small Business Commissioner John Chapman last month released a subsequent Consultation Paper that instead proposes a significant extension of the Security of Payment process. It proposes a three-stage approach the canvases criminal charges, trust accounts and industry levies.

The proposals The Consultation Paper proposes a new crime of intimidation with penalties of up to $100,000 or two years’ jail. The Paper provides no details of the crime, its investigation or proof.

The Office of the Small Business Commissioner would become the sole authority for nominating adjudicators in the event of a dispute, with the ability to charge fees to cover its administrative support. The Office would also develop an Industry Code for alternative dispute resolution and manage a new system of statutory declarations for all parties involved in Government projects over $1 million to ensure all parties had been paid.

Adjudication decisions would also be published under the proposal, as well as an education program established to boost industry’s understanding of the scheme.

The second stage proposes the introduction of different processes for simple and complex claims. Presently, all claims are subject to a 15-day response period, which fails to recognise the complexities of a commercial construction environment. The division between simple and complex claims – as determined by dollar or substantive criteria – would allow businesses to deal with claims according to the attention required of the underlying matter.

The Paper also proposes the mandating of the signing of statutory declarations by company directors and for those statements to be published on notice boards and on company websites by way of proof of payment of subcontractors and suppliers. Principal contractors would also be subjected to a “good behaviour test” for Government contracts costing more than $4 million or $1 million in regional areas. The Paper does not outline further details of this test.

The Small Business Commissioner has also proposed a massive extension to the legislation to bring in some issues raised in the Federal arena.

Payments in dispute should be held in a trust account – managed by the Small Business Commissioner – where a matter is before an adjudicator, the Paper proposes. It also recommends the establishment of SA BUILDER AUGUST– SEPTEMBER 2016

trust arrangements for all retention projects for projects costing more than $10 million. It is understood this is to be managed by the Small Business Commissioner.

The Paper proposes the industry fund these initiatives through a new levy on industry activity. The establishment of a secretariat to manage initial functions is estimated to cost $900,000, with additional elements costing more.

The Paper suggests a third wave of reform be launched if industry behaviour does not change. Government projects will be required to establish a Project Bank Account to control all funds and ensure their distribution to all sectors. This is likely to draw upon a larger workforce supplied by the Small Business Commissioner.

The response from members Master Builders SA has, at the time of writing, worked with Subcontractor, Commercial Contractor and Contracts Committees and is consolidating feedback to outline areas of agreement and dispute.

Encouragingly, a number of these issues were previously raised and sparked differing opinions from the sectors. This time it appears there is a growing understanding as to the likely impact of the reforms on businesses and an appreciation of those measures that can truly make a difference. The areas of agreement between all sectors are growing, making a welcome contribution to Master Builders SA’s ability to give true voice to our broad membership.

Our Industry Futures Working Group – which brings together representatives from Subcontractor, Commercial Contractor and Contracts Committees – has recently met to establish an industry position on the proposals. Their job was clear: what impact will the reforms have on the industry and its ability to work, and will each reform make a material difference.

Master Builders SA has embraced its role as the only body that can truly represent the breadth of industry, and these proposals are a good measure of how well we can help our members develop a position that makes industry work better – and accept the price of intervention if that is required.

The Small Business Commissioner’s Consultation Paper is available here: http://www.sasbc.sa.gov.au/security_of_payment/ review-of-the-building-and-construction-security-of-payment-act-200.

Master Builders SA will make its final submission prior to the deadline of August 19. Members wanting to contribute are encouraged to contact us at policy@mbasa.com.au.

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Legal

WILHELM HARNISCH

CEO, MBA Australia

Tradies payment guarantee proposal needs detail

Labor’s announcement of a Tradies Payments Guarantee deals with complex contract law and the details will be crucial if it is to be effective.

“Small businesses are the building and construction industry backbone and moves to help them be paid in a more timely way for work done is a positive,” Wilhelm Harnisch said.

“Over 98% of all building and construction businesses, or around 350,000 firms, are small businesses. They produce more than half the industry’s output and create almost a third of the jobs - well ahead of other industries.

“Reducing insolvency rates is important. Master Builders has been active in working with governments and their agencies in tackling the problem and will favourably consider any proposals to see more small business start, succeed and thrive in our sector.

“There is merit in considering a more consistent approach to state and territories Security of Payment laws but, as always, the devil will be in the detail. It will be important, for example, to ensure measures involve the whole supply chain, including clients, and not just focus on large contractors.

“The proposal to trial Project Bank Accounts on major Commonwealth projects should be approached very cautiously and with great care. Such arrangements may also bring unintended consequences and possibly drive up the costs of construction, causing the community to pay even more for roads, schools and hospitals.

“The actions of the building unions already cause essential community infrastructure to cost 30 per cent more than they should – adding to this cost will hurt taxpayers and the community even more.

“Master Builders calls on the Government to consult with MBA and its members before trialling Project Bank Accounts.”

Information provided by SAPOL’s Crime Prevention Coordination Unit.

South Australia Police (SAPOL) is committed to working in partnership with the community to prevent crime and reduce the fear of crime.

Police would like to remind owners to not only lock and secure their home but their keys as well. Thieves are targeting homes to find keys to steal cars and remote controls to enter garages. To reduce your chances of becoming a victim, please consider the following crime prevention security tips: • Whether you are inside or outside of your home, lock all doors and windows.

• Lock gates, garages and sheds when not in use.

• Don’t leave any keys or garage remote controls on the kitchen bench or where they can be easily seen by thieves. Keep them in a safe place and out of sight.

• Do not tag your keys with your name, address or registration number. Use a mobile phone number instead.

• External doors should be of a solid construction fitted with appropriate keyed locks.

• Install good quality security screen doors.

• Windows should be fitted with key locks made specifically for that type of window.

• The meter box should be locked to prevent thieves interfering with the power supply (contact your supplier for further information).

• Consider installing an alarm system and/or sensor lighting.

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To check the security of your home complete SAPOL’s Home Security Assessment. The Assessment can be downloaded, together with more crime prevention tips, from SAPOL’s website by visiting ‘Safety and Security’ at www.police.sa.gov.au or you can pick one up from your local police station.

You can work together with police to keep SA safe by reporting non-emergency crime on 131 444. To report life threatening emergencies contact police, fi re or ambulance on Triple Zero (000).

Report information about criminals and their suspicious activities to Crime Stoppers on 1800 333 000 or at www.crimestopperssa.com.au

SA BUILDER AUGUST– SEPTEMBER 2016

Development and Technical

2016 NCC & Building Advisory note update From the May 1 2016 changes to the National Construction Code come into effect. Interestingly, we now move to a three year cycle unless there are urgent changes required. To assist members some of the main changes are mentioned below. Members wishing to obtain a copy of the full Australian Building Code Board NCC changes can email the Development and Technical Department on devtech@mbasa.com.au

SA BUILDER AUGUST– SEPTEMBER 2016

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Development and Technical 2016 NCC & Building Advisory note update Main Changes • Moved to a three year cycle for changes • Application and General Provisions with revisions to both volumes regarding diagram, wording simplification for compliance Solutions and Performance Solutions under parts AO & 1.0.

• Definition clarification for effective height: clarification has occurred with diagrams showing how to determine the lowest storey that provides direct egress to a road or open space. The including top most storey containing only heating, ventilating, lift or other equipment, water tanks or similar service units.

• Structural Robustness Verification; reflecting the amount of damage that can occur to a building before collapse ie 25% of building critical risk component can sustain damage before failure.

• Timber Mid Rise changes, allow for new construction system like Cross Laminated Timber construction and stairway concession for same to a max height of 25metres.

• Group Number Determination: changes to multi level carparks as one fire compartment.

• Visibility in an Emergency: changes to visibility requirements in an emergency exit.

• Farm Buildings: new firefighting provisions regarding industry trends to large farm buildings and concessions, noting when they are classified as class 7 and 8 buildings.

• Stairways and Ramp changes better reflect industry issues between riser variations being 5mm between any riser but a maximum overall change of 10mm. The maximum of 190 mm riser means industry should be cautious to keep risers around the 185 mm mark to ensure 190 is not exceeded.

• Ventilation Verification Method better allows for calculation of contamination levels for Indoor Air Quality and carbon monoxide exposures levels.

• Boilers and Pressure Vessels better distinguishes between boiler and pressure vessels, including protection from heat, explosive relief and drainage.

• Surveillance Units clarifies where non appurtenant class 10a occupancies occur within the same building.

• Class 10a Smoke Alarms clarifies use of alarms to each floor and including class 10a occupied area’s

New 2016 Building Advisory Notices The State Government Building Policy branch has released six new Building advisory notices this year.

01/16 Advisory Notice Building (March) This Advisory Notice provides advice about the withdrawal of the scheme known as the Register of House Energy Rating Assessors.

The current list was withdrawn 30 June 2016. However the advisory note mentions in some instances, such as reference building modelling, additional qualifications may be necessary for the person to be considered appropriate for the purposes of Regulation 85 ( c ). Master Builders SA believes this is good news that more flexibility is required when it comes to energy efficiency especially where the appropriateness and accuracy of assessment methods has shown to be flawed in the past.

02/16 Advisory Notice Building (March) This Advisory Notice provides information about the energy efficiency provisions and the use of solar offsets. The Department suggests on site renewables are to be seen as a companion, not a replacement, to promote longevity through good levels of building fabric in favour of

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engineering solutions that may only provide short-term solutions and may have limited life spans.

Master Builders SA has for some time commented that such narrow perspective should be viewed with caution because PV’s have to last more than 20 years compared with variations in building fabric, the impacts of interstitial moisture in building fabric and Poor Indoor Air Quality.

Master Builders SA has been long concerned with the level of vested lobby groups and northern hemisphere centric construction techniques which are not reflective of the Australian temperate climatic conditions.

It appears ironic that the Department has abandoned the flawed House Energy Rating register while restricting innovation via use of renewable offsets. Furthermore the Department has chosen to set it self up as experts by commenting on building fabric versus renewables especially where the intent of the ABCB is to open up Alternative Solutions rather than Deemed to Satisfy. To maintain the quarantine and single out the use of renewables is simply a continuation of the poor policy direction in what should be a welcoming of innovation.

03/16 Consistency between planning and building consents This advisory notice supersedes Advisory Notice Building 9/14 and provides advice relating to matters raised concerning the consistency of building rules consents issued by private certifiers with development plan consents issued by councils.

Master Builders SA believes it’s a genuine attempt to further clarify what continuously arises between Development Plan consents and Building Rules consents; it gives examples for clarification and hopefully will alleviate this perpetual issue.

04/16 Application of the change in use provisionsdwelling status The purpose of this Advisory Notice is to provide advice about dwellings and whether changes to the nature and /or extent of occupation constitutes a change in use for the purposes of the Development Act 1993 and the Development Regulations 2008.

This is especially an issue where the extent of occupation changes with increasing use sharing platforms that facilitate and coordinate the occupancy/rental of a dwelling and the belief that a dwelling must be occupied for extended periods of time by the same person. Triggers mentioned in the Notice reflect length time, lease term, platforms which facilitate occupancy/rental and change of ownership arrangements. This advisory Notice has been derived as a result of a Victorian court case.

05/16 Private Bushfire Shelters This Advisory Notice provides information about private bushfire shelters, the requirements for building rules consent and the need for Councils to consider the life safety risks when reviewing their inspection policy.

Master Builders SA believes this is a life safety issue and supports any initiative to encourage safety.

06/16 Minister’s Schedule of Construction Indices 2016/17 Regulation 15 and Schedule 6 of the Development Regulations 2008 provide for fees which are payable in relation to and application for Building Rules Consent these are indexed from time to time. For member information.

Members wishing to discuss further NCC changes or Advisory Notices are welcome to contact the Development and Technical Department at devtech@mbasa.com.au or myself on bcorby@mbasa.com.au.

SA BUILDER AUGUST– SEPTEMBER 2016

IAN MARKOS,

Development and Technical

CEO, Master Builders SA

Reforms needed to foster innovation South Australia’s building and construction sector will continue to invest in improved knowledge to weather the current slowdown and is reliant upon Government for the fundamental reform that will foster that investment.

Data released recently by the Australian Bureau of Statistics shows a 7 per cent fall in the annual value of new residential building to $2.4 billion, while non-residential construction has dropped 12.5 per cent to $2 billion over that same period.

While the value of construction activity remains higher than 10-year averages, a combination of factors is driving long-term change “The value of new building activity in South Australia is 2.2 per cent higher than the 10-year average, which is failing to keep up with inflation”, Mr Markos said.

SA BUILDER AUGUST– SEPTEMBER 2016

“The sector is filled with businesses that are investing in innovation and looking for productivity improvements so they can continue to deliver the best product and service. But given the rapid fall in activity recorded in current figures and the obvious slowdown in the State’s building approvals, it has to be asked where the next wave of productivity improvements will come from?

“Clients will continue to invest in the very best and the South Australian building and construction sector will continue to invest in the next wave of improved knowledge.

“If the State Government backs the essential reforms proposed

by Master Builders SA in 2015, we can all look forward to a stronger economy that will continue to invest in the jobs needed throughout the State.”

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WILHELM HARNISCH,

Skills Investment

CEO, MBA Australia

Skills are the key to a productive economy Master Builders is formally launched its Jobs and Skills for the Future policy as part of its Strong Building: Strong Economy campaign for the next Federal Government.

“Master Builders’ policy is driven by productivity reforms to the apprenticeship system that will form part of the additional 300,000 skilled workers in the construction industry in the coming decade,” Wilhelm Harnisch said.

“A revitalised and skilled workforce is important to driving future productivity of the industry, in providing rewarding careers and in supporting economic growth which is important to Australia’s standard of living.

“The building and construction industry is at the forefront in providing over 1,000,000 workers with rewarding jobs.

“The construction industry is the largest full-time employer of Australians under 24 years of age. It also trains the largest number of apprentices with 48,200 Australians enrolled in construction training across Australia.

“Master Builders Australia has set a target of 100,000 building trade apprentices in training by 2020 and a reduction in the 50% drop out rate in launching its call for a revitalised apprenticeship training system.

“The 14 per cent increase in apprentice tradies commencing apprenticeships in the past year and the contrasting 24 per cent fall in apprentices completing their apprenticeships shown in the latest data from the National Centre for Vocational Education Research (NCVER) is evidence that while there has been improvement there remains a long way to go before the system meets the industry’s needs.”

Master Builders’ benchmarks for delivering workforce skills and an apprenticeship system that meets the needs of both young people and employers are: •

•

•

80 per cent of the building and construction industry workforce holding a post-school qualification, up from the current 60 per cent who hold a post-school qualification.

100,000 construction workers and apprentices in training, including new entrant apprentices and workers upgrading their skills.

30,000 new apprentice commencements each year in trades as diverse as carpentry and joinery, bricklaying and painting and decorating.

Master Builders’ 10 key policy priorities to deliver these outcomes are: 1.

2.

3.

4.

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Introduction of pre-apprenticeship programmes that provide our future apprentices with entry level skills to work safely on construction sites.

Apprenticeship programmes that provide our young people with safety and job-ready skills to work productively in the industry, trained to industry benchmarks with independent assessments.

Implementation of industry-centred mentoring-programmes that have demonstrated results in lifting apprenticeship completion rates.

Greater support for industry-led programmes that aim to increase the number of women in non-traditional roles in the construction industry.

5.

Introduction of targeted measures and financial incentives that encourage employers and Group Training Organisations (GTOs) to increase the number of apprentices in the construction industry.

6. Introduction of a national building and construction skills passport that enables employers to quickly assess an employee’s skills and experience and that assists labour mobility across state and territory borders.

7. A review of national training packages, Government funding and training delivery with the aim to dismantle current complexities and harmonise the VET system across states and territories, to drive quality learning outcomes for apprentices and meet modern employer requirements.

8. Introduction of new qualifications and skill sets that recognise emerging job roles and the adoption of new technologies on building and construction sites.

9. An increased focus on language, literacy and numeracy training in our schools, TAFEs and private RTOs to ensure apprentices have the appropriate skills to complete their apprenticeships and to be successful in the building and construction industry 10. An increased focus on language, literacy and numeracy training in our schools, TAFEs and private RTOs to ensure apprentices have the appropriate skills to complete their apprenticeships and to be successful in the building and construction industry.

SA BUILDER AUGUST– SEPTEMBER 2016

Building Software

Software Finding the Right System for Your Business There are many factors to consider when purchasing business management software. Here are some tips to help you make a better, more informed decision.

The good news – it’s easier than you think.

In a world becoming increasingly overrun with generic, one size fits all solutions, it is essential that when you make a decision about the system that is going to support your growth over the next 5 – 10 years that you choose carefully, and wisely.

There are many traps out there, ready to snare the unsuspecting buyer.

When purchasing Business Management Software, you should plan for the future. It is not a wise decision to look for a solution for where your business is currently – if you do, you will very quickly find that you have to throw good money after bad just to play catch up.

It is, therefore, wise to base any decision on where you envisage your business to be in the future – and will support your business as it continues to grow. You are not just buying software – it’s not a stagnant one-off purchase – you are investing in a business partner, a team of people who will support your business, grow your business; and ensure your business prospers. Get this wrong and it could be a very costly, time-consuming mistake.

The following are some tips to help you find the right solution for your business.

Involve your team early Before you do anything, and I really mean ANYTHING – ask for feedback from your team. Don’t forget that many staff have the WIIFM (What’s in it for Me?) attitude. If you find a solution that you are happy with – then you may be the only person who uses it. Getting feedback, and input from your team will give them ownership, and a commitment to

SA BUILDER AUGUST– SEPTEMBER 2016

change, before you spend any money on a product you have to force or coerce your staff to embrace.

Analyse your current system What do you like about your current system? What works and what doesn’t? What in your current systems causes you the most pain? What features does your current system lack?

What if you don’t have a system? What happens to your family, you employees, and your clients; if all your knowledge, all your projects, your pricing, is all in your head, and you get hit by a bus tomorrow?

Would your business survive without you?

Establish a ‘must have’ and ‘nice to have’ list At this stage you shouldn’t even be considering features – think big picture first. Consider the following as a first step…

• Scalability – How will the software grow as your business grows?

• Security – How secure is my data, and can I set security levels for different user groups?

• Support – How quickly will I get help, and where is the support situated?

• Ease of Use – How intuitive is the software?

How steep is the learning curve?

• Implementation – How long before your team can utilise the software?

• Who owns the Software? – If you stop paying subscription fees, can you still access your data? Are you leasing access to a system? If the data is cloud-based; who owns the data?

• Corporate Values – Make sure that you know what business values are important to you

so that you can look for them in your software provider. If your values and ethics aren’t a match now – will they be a match in the future?

Once you have the big picture sorted out, now look at the features.

• What do you need the system to do?

• Is a fully integrated CRM, Estimating, Project Management, Scheduling, Accounting and Payroll system the answer?

• Do you have existing systems you want to keep and need to integrate?

• Is remote access important to the future of my business? If it is – then what platforms/ operating systems are supported?

• Who needs to access the system and how many people can access the system at once?

How easy is it to purchase additional licences?

Can you purchase additional short time licences to cover you at the really busy times?

Once you have created a list of features separate it into two categories – ‘must have’ and ‘nice to have’.

Your ‘must have’ list should be short and outline the features that are absolutely necessary for your business, taking into account your future growth The ‘nice to have’ list can be broader and features should be listed in order of priority, encompassing all of the capabilities that will make running your business easier.

Clarify your budget Set a budget and allow for other expenses, such as an upgrade of your existing hardware, network, and remote access solutions. Also consider:

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Save time, increase profits CRM: The lead to sale process is simplified resulting in more conversions. Access and update your client information on any device, anywhere.

Estimation: Produce quick, cost-effective and personalised estimates for your clients using our rapid on-screen CAD Image take off tools

Contracts: Create purchase orders and variations and maintain a detailed construction timeline schedule.

Accounts: Full accounting functionality including payroll and timesheets with unrivalled budget control.

Mobile: Giving supervisors and employees all the tools required to maintain their on-site activities on their iPhones or iPads with access to live data in real time.

www.beamsbuild.com.au 1300 040 446

Building Software

• Will you be able to use the device out of the box, or will it require customisation?

• What are the ongoing maintenance expenses?

Reduce your options – make a first cut Once you have your ‘must have’ and ‘nice to have’ lists and a budget, you can shortlist your options.

Evaluate the available options and eliminate those that lack the features you need, leaving just two or three products that have a highquality customer support, a solid track record, and a broad user base.

Evaluate the options From the remaining options, determine which products deliver the most ‘nice to have’ features.

Are there add-ons that you can purchase at a later date as you need them? If you don’t need scheduling now – but you will in the future, is that an option that can be added later on?

Choose your finalists – make a final cut!

Book a demonstration. See the system in operation. Get a feel for how the system will work in your business. Once again – involve your team. Involve ALL the decision makers. Make sure you are happy with the system before you buy it. Book a second and a third demo. Book as many as you need to be sure you are making an informed, educated decision. If that’s a problem for the soft ware sales team, before you’ve handed over the cash – imagine what it’s going to be like getting help when you need it from the support team!

SA BUILDER AUGUST– SEPTEMBER 2016

Plan the transition To avoid issues and downtime as much as possible, take the time to plan the transition to the new system. Know how long the system is going to implement. Break the transition into small steps and take it one step at a time.

Expect teething problems. Schedule training early – ignorance breeds fear. Make sure your team knows what is happening each step of the way. Be transparent. Get that commitment to change early.

For example: • Avoid implementing new soft ware during your busy times • Allow for system redundancy to ensure that none of your data is lost during the transition. If you are changing your accounting soft ware – consider running the old system until the end of the financial year so that end of year close is not overcomplicated. Start the new year fresh in the new system.

There are a lot of examples of new systems jumpstarting an organisation and being the catalyst for huge growth – you can only build a home with the right tools. Better tools should mean you build better homes. But often the reverse can happen. Buy the wrong tool, one that’s too complicated to use, or doesn’t complement the way you build and you have trouble with a capital “T”. All too often decisions about soft ware are based on uninformed recommen-

dations or rushed evaluations, trying to fi nd a quick solution to an immediate problem.

Decisions are often based more on the need to act quickly than educated, considered choice.

On the other hand, some people identify the need to change, and are unable to commit to it – no matter how much they evaluate a system and know in their hearts that it is the right decision. Th is is usually due to fear. Fear of change. Fear of making the wrong decision.

Fear of the economy. Fear of the future. Don’t let fear cloud your decision. If you have truly identified the need to change – then change is what you need to do. Failing to make a decision can be as detrimental to your business as making the wrong decision. In some cases, it might even be worse.

In summary – evaluate your current system.

Defi ne your needs. Learn about the available options, thoroughly assess their suitability to your needs and prepare your team to make the most of them. Finding the right business management system and setting it up to support, not inhibit, your workflow is a matter of finding something that really fits your business and your team. Ask questions – expect answers.

Make an informed decision, and sit back happy in the knowledge that your business has the correct system in place to support you now and grow with you into the future.

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Chasecrown

Cheltenham Apartments

Cheltenham Apartments sets the benchmark in medium-density apartment living, whilst demonstrating the efficiencies and uncompromised quality of the design-construct process.

The four-storey apartment complex completed by Chasecrown in May sits within the new St Clair residential development. With a total building floor area of 4000 square metres the building contains 28 spacious dwellings that sold off-the-plan prior to construction. Despite the ambitious construction timeframe of eleven months, Chasecrown were able to successfully deliver a high-quality end product using local trades and suppliers that exceeds the modest apartment price range of $295,000 to $405,000.

“As the site is located on the major boulevard through the development and fronts onto the precinct’s central park space, it was important to us to ensure the building made a valuable contribution to the urban identity of the suburb”, says Chasecrown Development Manager Alex Besz. “Our solution incorporates different compositions and materials to address each frontage in a unique way which makes reference to the previous land use as a racecourse”, explains Mr. Besz. The final result is a building that relates to its adjacent lower-scale neighbours and strengthens the precinct’s sense of identity.

As developer, architect and builder all-in-one, Chasecrown utilised its in-house architects and commercial construction division to integrate and control every aspect of the project. To facilitate the condensed construction programme and high standard of acoustic and thermal comfort, precast concrete panels were used for columns, party walls and external walls. This type of construction allowed the foundations and concrete structure to be rapidly erected within 16 weeks.

To better position the building within its residential context and provide a sense of scale, the solid structure is capped with a timber-framed pitched roof and eaves that create a sharp horizontal plane.

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With the structure in place, Chasecrown accelerated the fitout of the ground floor apartment to set the benchmark for the standard of workmanship and detailing for the project. The completed unit, deemed as the ‘quality apartment’, was an invaluable resource for Subcontractors and Suppliers during the construction, providing a reference for the level of quality expected by the builder. Every junction is treated with a high degree of respect and attention to detail, providing seamless transitions between materials and finishes.

The development sets itself apart by providing light-fi lled living spaces with full-height doors and windows and maximising ceiling heights by employing surface-mounted LED downlights. Bold black light fittings, aluminium windows and bedroom robes are tempered with stylish timber finishes to kitchen cabinets and living room flooring.

The mix of complementary fi nishes and fittings provide the four distinctive apartment layouts with a warm and sophisticated feel.

Each apartment is provided with a generous outdoor balcony or garden space, car park and storage cage area. However additional amenity is provided in the form of entry consoles for keys and ventilated communications cupboards incorporating National Broadband Network (NBN) hardware and connections. Built-in tiled shelves provide valuable extra space above wall-hung vanity basins and dedicated Laundries are cleverly concealed behind joinery doors in Bathrooms and Kitchens. Every aspect of the design has been carefully resolved considering the long-term needs of the end-user The fully integrated design-construct approach ensured ongoing assessment and value-adding during the construction phase. During the shop drawing process for the perforated aluminium façade screens,

SA BUILDER AUGUST– SEPTEMBER 2016

Proud of the collaboration between our team and Chasecrown on their project:

The Cheltenham Apartments We continue to provide quality supply and install tiling packages for commercial, industrial and domestic projects in South Australia.

INDUSTRIAL & COMMERCIAL

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SA Commercial Blinds are proud to have worked with Chasecrown on the Cheltenham Apartments project.

SA Commercial Blinds can provide Internal & External window furnishings to your next project:

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Chasecrown

PROJECT TYPE: APARTMENT DEVELOPMENT CLIENT: CHASECROWN ARCHITECT: CHASECROWN HEAD CONTRACTOR: CHASECROWN LOCATION: 288 ST CLAIR AVENUE ST CLAIR AREA: 4000SQM COMMENCEMENT: JULY 2015 COMPLETION: MAY 2016 CONSTRUCTION DURATION: 11 MONTHS

Chasecrown seized the opportunity to commission local artist Garry Duncan to contribute to the project. After more than ten years of successfully collaborations with the artist on commercial and residential projects, Chasecrown identified an opportunity to draw on the site’s iconic history as a racecourse. The result of the collaboration is the racing horse motifs which adorn the building’s southern façade panels. The aluminium screens, which are fixed around the perimeter of the ground floor car park, allow light and air to freely pass through the space, facilitating natural cross ventilation.

Similarly, Chasecrown enhanced the building’s common spaces during construction by working closely with suppliers and subcontractors to refine architectural detailing, providing the lobbies and hallways with a boutique hotel feel. Details unique to the development include exposed precast concrete walls polished in-situ, surface-mounted feature lighting and an exposed stairwell. By exploiting the qualities of ordinary materials such as concrete and aluminium using varied processes and treatments, Chasecrown have generated innovative solutions to design challenges whilst delivering in a very competitive segment of the market.

Cheltenham Apartments sets a precedent for similar future developments by contributing to the sense of place and modelling efficient and thoughtful design. “We are going to see a lot more of this type of sustainable urban development in the future, where medium-density housing can be appropriately clustered in precincts that have convenient access to public

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transport and desirable amenities such as parks, supermarkets and cafes” says Mr. Besz. The challenge for the industry will be to continue to deliver well-considered and contextually appropriate buildings as the demand for medium-density accommodation increases. “By creating a collaborative environment and encouraging open feedback between project stakeholders regarding every aspect of the building, we have made a positive contribution to the urban environment”.

SA BUILDER AUGUST– SEPTEMBER 2016

GawlerName Animal + Feature Hospital

The Gawler Animal Hospital The Gawler Animal Hospital located in Gawler South was designed to transform a modest veterinary clinic into a new, modern, functional and technical hospital facility to better service a region that has experienced significant growth in recent years. This new facility will provide consultation rooms, dental treatment facilities, training and agility spaces, x-ray imaging capabilities, rehabilitation rooms with a state-of-the art surgery to cater for all animals large or small.

Cook Building and Development was engaged by the Gawler Animal Hospital on a lump sum contract to deliver the project, with Moto Projects as the client’s chosen project manager. The principal design was completed by Therian, a Queensland based specialist in animal healthcare design, with interior design selection advice provided by Swanbury Penglase. The tenders returned exceeded the client’s cost expectation. Cook, in conjunction with Moto Projects and the design team, investigated cost saving initiates to help manage the position of budget relative to scope to enable the project to proceed.

With experience in healthcare (both animal & human) and proven capabilities in delivering fast paced, short duration projects, Cook was the obvious choice to deliver the project.

SA BUILDER AUGUST– SEPTEMBER 2016

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The client required the project to be delivered within 14 weeks due to leasing constraints, and Cook are on track to deliver this project at the end of July 2016, 2 weeks prior to the required contract completion date.

Despite the short timeframes for delivery, the project had several layers of complexity to contend with. The site contained two existing buildings one to be refurbished and one to be demolished to make way for new car-parking and landscaping works; the problem being that the

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SA BUILDER AUGUST– SEPTEMBER 2016

Gawler Animal Hospital building to be demolished was fully leased and would only be available late in the construction period, requiring compression of the external works which, in addition to the open carpark, was to house a carport, outdoor staff area and dog training area.

The refurbishment of the existing primary building on site involved stripping back the building to its core elements requiring a full services upgrade; this included installation of a new main switchboard, new mechanical air conditioning, reconfiguring and extending the hydraulics services with the building and installation of specialised medical gases. Cook benefited from ongoing advice from WSP service consultants with regards to the installation surgical equipment, including special lighting, x-ray machines, ultra sound equipment and commercial washer and driers. Furthermore, Cook were also tasked with the de-commission of specialised equipment from the existing clinic, which is also located within Gawler and installing them into the new hospital, Building fabric needed to be upgraded to meet Section J requirements and the façade was upgraded to provide a more contemporary appeal.

The design was structured to accommodate the hospital’s necessary functions whilst providing maximum flexibility. The hospital environment necessitated that resilient finishes were installed throughout the hospital facility, this included flooring, coved skirting and wall vinyl to all major animal treatment areas. The project specifications also required the ceiling to be a smooth cleanable surface for hygiene reasons, which Cook delivered through a fully flushed plasterboard ceiling throughout the hospital. The design brief required Cook to deliver a functional sur-

gical space and high quality architectural finishes; this was achieved through quality joinery comprising of both corian and laminates.

As the project draws to completion Cook are excited to unveil this new animal hospital, which will play an important role in servicing the growing demand for animal care facilities within the Gawler and Northern Adelaide region

Sandstone Pilliars Retaining Walls Landscaping Fencing Paving

 Call Alan 0409 673 151

sales@ac-fencing-construction.com.au www.ac-fencing-construction.com.au

SA BUILDER AUGUST– SEPTEMBER 2016

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Advertorial

Waterstop Streamline – The new industry standard for shower construction Innovative product addresses one of the QBCC’s consistently listed top ten defects.

A product born from necessity, the idea was spawned after witnessing a large project builder become completely frustrated by the never cycle of call-backs to fix leaking showers.

Leak testing undertaken by the builder involved plugging the waste with an inflatable bladder and filling the recess with water from another source.

The recess would hold water, indicating that the membrane was sound.

The builder would then call the plumber who would pressure test the pipework and find no leaks.

This cycle would repeat itself over and over until the builder, out of shear desperation, called on the industry to find out why the leaks were occurring and to come up with a more reliable method of sealing a shower.

Australian manufacturing firm Gleda Pty Ltd recognised the need and began a detailed examination of current methods and designs.

Exhaustive testing was undertaken to establish exactly where and how these leaks were occurring. These tests began to show a common thread across numerous shower designs. Whether the shower utilised a tiled hob, a recessed substrate or a flow-through design with a submerged angle, any sealing of the screen was reliant on a silicon join between the screen and the tiles. Over a time span much less than the warranty period, the silicon join was degrading and causing the integrity of the seal to be compromised. Secondly, models using dyed water showed that even while the silicon remained intact, grout, being porous, was allowing water to seep down below the tiles and into the glue cavity between the membrane and the tiles. Expansion and contraction resulting from the cycles of heat and cold was “pumping’ water over the hob or angle to escape the enclosure entirely.

Once this process was understood, it became clear that for any design to be successful, it would have to incorporate a method to seal the screen directly to the membrane.

A group of professionals consisting of Water-proofers, Tilers, Screen-Installers, Building Supervisors and Certifiers were called together to look closely at the current methods and list in detail, the issues they saw as being important to their respective tasks.

From this list, a series of requirements were drawn up which would address each issue and provide the design parameters for a new method of shower construction.

The design parameters were: • A positive connection between the water-proofing membrane and the screen, with a failsafe incorporated to prevent leaks due to timeinduced silicon failure. Any seal was NOT to be reliant on a silicon join between a screen and tiles.

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• • • • • • • •

One piece design to minimise potential leak points Correct and sufficient fall to waste Compatibility with modern, liquid membranes Minimal tile cutting Ease of screen fitment Minimum footprint to maximise available floor space Full compliance with Australian Standards Aesthetic traits to be adaptable across a wide range of bathroom styles and price points • As close to cost-neutral as possible Prototypes were developed, tested, refined and tested again until eventually a system was developed which encompassed all of the design requirements.

A small production run was undertaken and the showers were installed in the field with feedback from each trade closely monitored.

Once approval was received from all parties, the dies were cut and Gleda set about tooling up their 1500 square metre factory for production.

The frustrated builder became Gleda’s first customer and is still a customer twelve years later. So great has been the market acceptance that almost 90 000 showers have now been produced and installed right across the country.

Gleda Managing Director, Brett Krey explains “In the finished product, the input given by Water-proofers, Tilers and Screen Installers comes through strongly in the ease at which each trade completes their respective processes. In fact, most of our new business is a result of referrals from these three trades.”

“Waterstop Streamline is fast to install, seals the screen directly to the membrane and provides a fail-safe in the event of silicon failure. It also incorporates a template for the tiler so that fall to waste is ensured and screen fitment is simple. Tiling costs are significantly reduced and it doesn’t rely on an exposed and vulnerable bead of silicon to prevent the screen from leaking.”

“We now have testimonials from water-proofers, tilers, major screen manufacturers and builders recommending Waterstop Streamline as their preferred method of shower construction.”

For more information contact: E: www.waterstopstreamline.com.au P: (07) 5426 3700 E: sales@gleda.com.au

SA BUILDER AUGUST – SEPTEMBER 2016

Are your showers ticking time bombs?

Despite builders best efforts, leaking showers are consistently listed in the BSA’s top ten defects.

Sadly, sometimes this is due to substandard workmanship, but most of the time it is the design of the shower itself which is creating the potential for disaster.

Most contractors are at a complete loss as to why, but detailed testing has shown how, by the action of expansion and contraction, water is “pumped” along glue cavities to escape the shower enclosure, no matter how well it is water-proofed.

The best way to prevent the problem is to seal the screen directly to the membrane, and NOT to the tiles.

Waterstop Streamline provides: •

Positive connection between screen and membrane

•

Maximises floor area

•

Provides a template for following trades

•

Ensures correct fall to waste

•

Complies with and exceeds AS3740

•

Modern, cost effective, one-piece design

•

20 different shapes and sizes

•

Minimum change for maximum benefits

My business has expanded rapidly since we star ted using the Waterstop Streamline ho b and I now have tilers recommending the Waterstop Streamline system – and me – to othe r bu ilders.

Everyone that uses it loves it.

Mr Fred Medd ings, Managin g Director Watertight Austr alia (Water-proo fers)

Remove the doubt. Fit Waterstop Streamline ... and forget about leaking showers.

Water escapes shower enclosure

Water path

Bed

Hobbed shower

Tile

Screen ‘sealed’ to tiles with silicon Tile

Bed

Mr Glen Whitehead, Managing Direct or BJM Developments

Water escapes shower enclosure

Membrane

Waterstop Streamline Screen ‘sealed’ to tiles with silicon

Screen

Screen

Rebated or flow-through shower

By using Waterstop Streamline I know the shower will be perfect every time.

It has to be, because this prod uct is designed to dictate placemen t of all of the other components to make up a complete shower. It’s virtu ally impossible to stuff it up.

Water path

Streamline

Screen Screen sealed to membrane with silicone

Keyway to trap liquid membrane

Tile Tile height gauge

Tile Hob

Bed

Bathroom floor tile height optional Substrate

Bed Membrane

For more information, visit www.waterstopstreamline.com.au Phone 07 5426 3700 • Fax 07 5426 3711 • Email sales@gleda.com.au

WATE12057

Membrane

Consumer kitchen and bathroom survey focuses on the ‘wish lists’ of Australian consumers The Kitchen and Bathroom Designers Institute of Australia, in conjunction with its Media Sponsor, Kitchens and Bathrooms Quarterly, has recently carried out the largest survey of consumers in the kitchen and bathroom market for a decade. Their purpose was to find out what consumers are looking for when renovating or building these increasingly specialised areas, and the results are encouraging for designers and manufacturers alike.

Whilst other studies in the kitchen and bathroom industries tend to focus on volumes/economics or trends, this survey sought out a more practical ‘wish list’ of consumers who were planning for an upcoming project, or in the early stages of a build or renovation.

The survey attracted significantly more ‘renovators’ than new home builders, and the participants were mostly undertaking projects for homes they intended to occupy (rather than sell or rent out). Not surprisingly, a new kitchen topped the list for those undertaking new home builds and whole home renovations, but laundries were very close behind in an unexpected swing, even ousting ensuites from the renovation hit list!

Kitchens Appliance manufacturers and suppliers would be pleased to know that a third of survey participants were planning to invest over $10,000 on appliances for their new kitchen, indicating that high-end appliances are both desired and valued. New rangehoods and cooktops topped the list, closely followed by refrigerators. Permanent hot/cold water dispenses have taken hold too, with 24 percent of consumers looking for this option, while an impressive 39 percent consider a coffee machine to be a must have!

Not surprisingly, 84 percent of the consumers questioned would expect casual dining and/or entertaining areas to be included in their kitchen space. For almost a quarter of participants, a small office/ workstation or homework/study nook would need to be factored in as well.

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SA BUILDER AUGUST– SEPTEMBER 2016

Kitchens Name & Bathrooms + Feature

Bathrooms The average number of bathrooms in Australian homes has risen significantly in the last decade, and the list of desired inclusions in ensuites, main bathrooms and ‘boot rooms’ has grown, too. A shower/bath combination is far less desirable than a shower cubicle, with only 14 percent looking for this space saver in the main bathrooms, and only 6 percent in ensuites. This is not to discount the desire for a bath; 57 percent of consumers want a stand alone bath in their main bathroom, and 16 percent seek a soak in the ensuite.

And more The study uncovered an overwhelming increase in the desire for an ‘Alfresco Room’ in New South Wales, Victoria and the Northern Territory, along with some very interesting finds regarding consumers’ changing attitude to design fees. KBDi Members can access the full survey results from the Members area on our website.

Powder room | Boot room | Mud room | What room?

Australia may be an island, but we’re far from isolated when it comes to interior design, with a plethora of international design blogs streaming to Aussie phones, tablets and PCs every day.

And when these American and European interiors are ‘pinned’ and filed by your clients, so too is the foreign terminology, adding a few more tweaks to our complex vernacular and more opportunities for confusion.

In this feature, we’ll look at the subtle differences between the terms gaining popularity in Australia today.

Powder room ‘Powder Room’ has been used by Australians for some time, most often for the small bathroom to be used by guests. The room essentially houses a toilet, basin and mirror, and often adjoins the living/entertaining areas of a home. The Powder Room is by no means losing its favour, but has some growing competition with the incoming Boot Room.

Boot room The term ‘Boot Room’ appears to have originated in the UK, defining the room that football teams broke to for their post-game cheers or commiserations. As home-owners looked for a similar room to facilitate muddy boots, wet sporting gear and the necessary ablutions, the Boot

SA BUILDER AUGUST– SEPTEMBER 2016

Room made its way on to the home design wish list. Over the years it has evolved to become a bathroom near an entrance way that houses a bench to sit on while you pull off your muddy boots, along with coat hooks and storage, a basin, toilet and shower or bath. For obvious reasons, the Boot Room is best finished with hard-wearing, easy-to-clean products, but by no means need it look like the ‘man cave’ some would imagine!

Mud room The Mud Room is virtually the American equivalent of the Boot Room without the amenities and until the last few years, has most often been found in snowy, damp northern American climates. The sensibility of such a room can be appreciated in any climate, however, and as a place to store outerwear, boots, sports gear and the like, could be considered a practical must have. The location of the Mud Room will generally dictate its contents and finish. By the back door it may contain storage bins and shelving, and a floor finish well suited to muddy ingress and egress. By the front door, a more welcoming arrangement would be required, with decorative hardware and cabinetry.

The kitchen and bathroom designers institute KBDI is a not for profit industry association representing Australia’s finest kitchen and bathroom designers.

The Institute’s primary goal is to develop, encourage and recognize the highest standards of design and business practice in this specialised field.

KBDi is achieving this through: • Facilitating continual professional development for its members • Encouraging participation in recognized and quality training • Co-ordinating a highly esteemed annual awards program • Delivering a comprehensive accreditation program — suitably qualified and experienced designers are approved to use the post nominal letters CKD Au (Certified Kitchen Designer) and/or CBD Au (Certified Bathroom Designer). These Certified Designers must maintain industry currency with Continuing Professional Development, and adhere to a strict code of ethics.

To learn more about KBDi, visit www.kbdi.org.au, on phone 1300 253 223.

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Bricks and Pavers

INTRODUCING the brick trends that will define design in the year ahead

Private Residence. Builder: Gremmo Homes

The use of brick has been revived across the globe, as developers, builders and architects integrate more natural materials into commercial and residential design. In the digital age, where society is always ‘on’, the textural and aesthetic benefits of earthy materials provide solace and calm in the built environment.

As beautiful and rich as the earth they’re made from, bricks are the natural choice for incorporating organic materials and design cues in buildings of all shapes, sizes and purpose. They provide a timeless base for building design, with more colours, fi nishes and shapes available than ever before. With high-end architecture leading the trend, Australian homeowners and property developers are reconnecting to this proven material.

Because bricks are low maintenance, they’re ideal for residential and commercial projects that require stylish yet fuss-free building materials.

Bricks require virtually no upkeep or repair, minimising ongoing maintenance costs. Bricks retain their colour and unlike render, don’t need to be repainted over time.

The stunning Switch House extension on the London Tate Modern, realised by Swiss architecture firm Herzog and de Meuron, demonstrates the incredible design flexibility of this long-time favourite building product. Opened in June, the Switch House is an artistic destination that will predominantly be used for performance art. Described as a citadel of ten storeys, its towering 64.5 metre stack of faceted and oblique angled brick is a modern interpretation of the building’s origins as a power station.

According to Herzog and de Meuron, the use of brick was central to integrating the new building into the existing urban fabric and skyline of London. “We wanted the combined elements of the Tate Modern, old and new, to be expressed as a whole; we wanted to have them come together and function as a single organism. Using the same base palette of bricks and brickwork in a radical new way, we created a perforated brick screen through which light fi lters in during the day and through which the building will glow at night.”

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Not limited to educational and cultural institutions, bricks can make an island retreat feel like a step back in time, as experienced with a visit to the recently opened Katamama resort hotel in Seminyak, Bali.

A collaboration of local artisans, the resort was constructed using 1.5 million handmade bricks, traditionally used in Balinese temples, which feature in each of the 58 rooms and facade.

These bold brick buildings will have a trickle-down effect and strongly influence local building design and interior styling. The humble brick remains accessible for creative yet budget conscious homeowners. Using premium and feature brick options alongside structural bricks provides new avenues for designing facades and interiors that allow consumers to truly make their design mark.

Double Courtyard House. Vokes & Peters Architects. Photo: Christopher Frederick Jones.

Bricks in their natural habitat Australia’s brick advocates are putting their creativity to work in new applications and ‘outside the box’ thinking. Brick is being heavily incorporated into the design of backyard and outdoor living spaces as a unique material for seating and flooring.

SA BUILDER AUGUST– SEPTEMBER 2016

Boral Bricks have combined with PGH Bricks & Pavers . You now have access to even more beautifully crafted bricks so you can Make Your Mark.

TM

“We worked closely with the PGH team to compose a unique blend of five different bricks for the new courtyard walls, yielding a surface quality and nuanced colour palette similar to that of recycled brick.� Stuart Vokes, Double Courtyard house, Vokes and Peters Architects.

Learn more: pghbricks.com.au/case-studies PGHTM Bricks: Macarthur Mix, Blackett, Mowbray Blue, Black and Tan, Copper Glow.

Bricks and Pavers Leading Brisbane architects Stuart Vokes and Aaron Peters used a blend of five colours from the PGH Dry Pressed, Smooth and Sandstocks collection to establish two walled gardens, outdoor seating and a fire place in their Double Courtyard House project.

“We regularly incorporate brickwork as the principal material of our residential and commercial projects. This has created continuity across our body of work and our use of brick has become integral to our practice,” said Stuart Vokes, co-director at Vokes and Peters.

“Being made of earth, the use of bricks provides a tangible sense of getting one’s feet on the ground, and lends a modest and primitive language to this fundamental family space.”

bricks, or create eye catching features in the most unexpected of rooms, such as bathrooms, toilets and laundries.

Alternating brick laying directions, brick size and depth can all contribute to unique designs that change the style of exterior walls as the sun moves – or make a statement indoors by embracing favourite colours or shapes.

Screening Demonstrate a unique approach to privacy by using bricks to creatively screen front and backyards, help section gardens and privacy without sacrificing light or air flow. Hit and miss, or pierced brickwork – the brick equivalent to a timber lattice – creates brick screens that connect interior living spaces with the outside world while protecting the home from prying eyes.

More than brick The use of complementary natural materials including brick, stone, glass and timber is of growing interest. Cultured Stone by Boral, an engineered stone-like cladding, is well suited to composite architectural designs.

This combination of products creates a dramatic visual effect for architecturally inspired interior feature walls, kitchens, fireplaces, outdoor living spaces and entrance ways – anywhere deserving special attention.

While render is still a prominent design element for entrance ways and patios, the low maintenance benefits and value of brick should always be reinforced.

Brick can be fashioned to create incredible impact, without requiring the attention render and timber require throughout the lifespan of a home.

Toorak Gardens Residence. Builder: Chase Crown. Photo: David Sievers

Inside out In the same way timber floors are extended out to decking for a streamlined aesthetic, using brickwork both inside and out is an emerging trend and a new take on the feature wall.

Extending outdoor brickwork to indoor flooring helps to create continuity between indoor and outdoor spaces. Long walls that start indoors and extend into the garden with seamless precision, extends the feature wall concept, while creating warmth and texture. A brick feature wall is the new statement for residential and commercial properties. From creative patterns, monochrome walls or glazed finishes, the wall is really only limited by a designer’s imagination. Bricks can create any look from crisp and contemporary single colours or glassy finishes using glazed bricks, to industrial and warehouse inspired interiors with dry pressed bricks.

Pattern making Bold or subtle, bricks can be used to achieve a number of looks. Stack Bond and corbelling provide creative opportunities to wow in living areas, reception spaces, foyers and meeting rooms. The choice of mortar colour can also significantly influence the final look.

Making slight changes to brick selection and bond pattern can add a dash of personality and street appeal. Clad outdoor pillars in glazed

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Ranley Grove. Paul Owen Architects. Photo: Toby Scott

Fashionable for the future Nationally, development is booming and in states such as Victoria the growth corridor plans are in place for development over the next 30 to 40 years. New suburbs are extending the city’s boundaries to create town centres surrounding attractive and affordable housing. Home builders are looking for ways to differentiate properties from neighbours and friends. The evolved palette of brick colours, shapes and sizes is the perfect vehicle for creativity and individuality.

For more information or to find your nearest PGH Bricks & Pavers display centre, visit www.pghbricks.com.au or call 13 15 79.

About PGH Bricks & Pavers PGH Bricks & Pavers is one of Australia’s largest clay brick manufacturers and suppliers, offering a broad and colourful range of high quality bricks to suit residential, architectural and commercial applications. It is owned by Boral CSR Bricks Pty Limited In May 2015, CSR Limited and Boral Limited formed a joint venture, Boral CSR Bricks Pty Ltd, which combined their brick operations along the east coast of Australia. This partnership brings together the best of Boral and CSR’s brick offering under the one brand of PGH Bricks & Pavers.

SA BUILDER AUGUST– SEPTEMBER 2016

Have another look.

The judges did.

For the second year in a row, the judges for Delivery Magazine’s ‘Van of the year’ awards liked what they saw. “Renault Kangoo is a great little van.

It’s comfortable, it’s quiet, it steers, it turns.

It’s well equipped too.”

And “After driving the Renault Trafic around Delivery’s test route, I was very tempted to just keep going and take this awesome little load carrier home.”

Now you should take a look. Take a test drive at your nearest Renault dealer.

SA BUILDER AUGUST – SEPTEMBER 2016