How to Supersize Your Project’s Potential
Over budget? Delays in your program? Variations coming in hard and fast? The construction phase is not only the most expensive part of your project; it carries the most risk, leading people go grey much earlier than they should.
Every day here at Bluebird, we manage a vast range of projects currently under construction. We interface with Developers and Contractors to manage the construction risks and keep things running smoothly. This role is called a ‘Superintendent’ and it is an incredibly important one in the development process.
The Superintendent is an independent third party that administers the construction contract between the Contractor and the Developer. But most importantly we carefully monitor project performance and the extent to which it is on track to meet your time, cost, and quality objectives. It is critical to have the right person in the job. Sometimes the role is taken on by the design consultants or the QS and whilst their contribution to the project is essential, impartiality or an end-to-end strategic approach can at times be difficult to deliver.
To explore the pitfalls and wins of superintendency, we look at two case studies below.
CASE STUDY ONE – APARTMENT DEVELOPMENT
We have worked on projects, where the Superintendent was not always exercising their functions independently, objectively, and impartially. They made decisions that protected either the Design Consultants or the Contractor from mistakes they had made during detailed design.
Unfortunately, as was the case with this apartment development, this left the Developer paying the bill when the variation claims came in.
We know mistakes can happen, no project is perfect, and every site has its challenges. But when assessing a variation claim, we will always ask questions such as:
What is the problem?
Is there any other solution to fix it?
Who made the mistake?
Who was in control?
Who had control of the design?
Who accepted the design liability?
Once you understand the context, who was responsible and who has taken on the risk – then we can give an impartial assessment of the claim.
We will also have the uncomfortable conversations as a Superintendent. For example, when the Architect might need to be pursued for design omissions. Or the Contractor is reminded that they took on the design risk. We also advise the Developer when the risk rests with them and that the situation is to be covered by their development contingency.
When administering the contract, Bluebird will always act independently, reasonably, honestly, and in the best interests of the project.
CASE STUDY TWO – BOUTIQUE APARTMENTS
In our second case study, we were appointed straight after DA approval to procure the builder and coordinate the Building Approval.
With extensive end-to-end development experience, we undertake the role of Superintendent with a different lens. We issue directions by considering a multitude of other aspects of the development – like DA compliance, purchaser contracts, development program and broader funding arrangements. While administering the construction contract is the critical role – we also try to mitigate other risks that are known to us given our development experience.
For example, we would not approve a change to façade materials without firstly getting sign off from both the Town Planner and Certifier. Just as we would not amend the landscaping design until we know the deep planting requirements would still be met. If you make a last-minute change to your security camera system, we know that you need to update your Body Corporate Asset Register.
We always embed better value upfront, rather than coming in part way through construction because we work collaboratively with the team to deliver the most efficient delivery framework.
We are not your typical Superintendent. We know property development and how to mitigate your risks!
The Bluebird Advantage:
Although we have worked with many incredible consultants who do a wonderful job acting as Superintendent, the Bluebird advantage means we do it better.
Risk management – Implementation of strategies and processes to minimise impacts on time, cost, and quality objectives. Resolution of technical problems before they arise.
Construction tendering & contract negotiations – Identify reputable builders and conduct tender process. Establish construction contract, facilitate negotiations and contract execution.
Construction contract administration – Oversee every aspect of a building project, from start to finish. Evaluate claims, and issue directions, recommendations on variations, extensions of time and other claim risks.
Oversee Contractor Obligations – Review build quality and progress. Undertake formal financial and project reporting. Oversee project delivery to ensure it is aligned with contract requirements.
Development strategy – consider how the construction activities will affect other areas of the development process – we always take holistic approach to delivery and never assess anything in isolation.
Bluebird Property is a residential development management and advisory company, based in Brisbane. We provide a dedicated and personalised service to developers and landowners who may not have the time, expertise or resources to oversee their projects.
We have extensive experience, networks and the resources to manage all or any part of the development process.
We are your ‘one stop shop’. Click here to view more on our services.