DA approved 3 townhouses Central Coast - builder tendering

Discussion in 'Development' started by Astroboy, 10th Aug, 2017.

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  1. Astroboy

    Astroboy Member

    Joined:
    4th Dec, 2016
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    Location:
    Sydney
    Hi there,

    I'm organising my first build. I have DA approval for 3 townhouses, I have the Construction Certificate working drawings and I have all the engineering diagrams. Council fees of about $50k for contributions, certifying fees, construction certificate etc haven't been paid yet.

    What I'm looking at doing now is getting quotes from a few local builders. Whilst I'd imagine the working drawings and engineering diagrams would be most of the input into a builder's quote, can people guide me on how I should engage the builders for quotes, what information I should be providing them, in what format should I be providing them requirements etc please?

    Thanks,

    Astroboy.
     
  2. Amplify

    Amplify Member

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    17th Jul, 2017
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    Location:
    Gold Coast
    Good luck with the development, sounds great. For the cost of the build, how have you estimated your build costs? I am currently putting together a plan of attack for a similar build of 3 townhouses in QLD, but getting very varied and roundabout costs from builders as I don't have drawings made up yet. How did you estimate this may I ask?
     
  3. goodtimes

    goodtimes Well-Known Member

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    30th Apr, 2016
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    Location:
    Nsw
    My .02c:

    Work out if you're looking for a cost plus contract or fixed price (how you're financing might dictate this) so you know what you're asking for.
    Give them your working drawings and whatever else you have (survey, geotech etc)
    Give them an indication of materials (external walls, roof cladding, flooring) along with finish level expectations (cornice, arcs, window quality, cabinetry quality, tiling height, prime cost items etc).
    Also how complete the quote needs to be, raw construction or turnkey (driveways, landscaping, letterboxes, retaining walls, clothes lines, tv arials, carpet, blinds etc)

    I'd be interested to see a site plan and floor plan if you care to share?
     
  4. Scott No Mates

    Scott No Mates Well-Known Member

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    @Astroboy - to get as much certainty as possible a good tender package will include:

    • Specifications including all selections
    • schedule of allowances (for any provisional sums/rates eg porcelain tiles, carpet, kitchen/joinery etc)
    • arch/eng/stormwater/hydraulic/ landscaping plans
    • Geotech report
    • DA conditions
    • Form of contract - seek legal advice beforehand for the most suitable contract (RAIA, MBA, HIA), Liquidated & ascertained damages

    Confirm with your financier payment schedule ie number of progress payments/stages & whether you need a QS report with progress claims.

    The number of drawdowns will affect the builder's holding costs & yours.

    Do not go 'cost plus' for the entire contract (exception would be if you have not got a footing design).
     
    goodtimes and Sackie like this.
  5. Sackie

    Sackie Well-Known Member

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    Vaucluse, Sydney.
    Also be very careful with Provisional Sums for large Items such as OSDs etc. The end price could vary significantly and I would be pushing for a fixed price on that as much as possible. Talk to your builder about any inclusions of provisional sums in your contract, and make sure you have a very clear picture of all of the potential costs, risks and possible outcomes associated with any provisional sums - as well as what your options are to help reduce uncertainty.