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Tenant Questions: My Fit-Out
Introduction
The key to lower fit-out costs and maintaining quality is the transparent delineation and independence between your tenant representative and the construction team including:
• Architects / Designers
• Services Engineers
• Building Contractors
Those companies offering “one-stop-shop” design and construction contracts may hold back the open market through limiting competition amongst architects, trades and contractors.
Q. How can Rapport Solutions help me in the process?
As your personal independent project manager we will assist you in the selection of all design and construction parties, tender documentation and suppliers and manage all works under a single contract through to final completion of your new fit-out.
Rapport Solutions understands how contractors’ overheads, margins and preliminaries are calculated and how to negotiate fair pricing in the interests of the tenant. We will ensure that your fit-out is delivered on-time and within your allocated budget.
Q. What key advice would you give to a tenant considering Fit out projects?
Plan early provide yourself time to develop your brief with your internal management team, consider your options and develop detailed designs and specifications for tendering on a lump sum basis.
A greater level of design pre-tender enables closer client control of the final solutions – forces greater competition from contractors and limits variations inside the contract period.
Q. What are typical fit-out costs?
Fit-out costs depend on the quality of finishes and the density of your design in terms of an open plan versus enclosed cellular plan environment – typically costs for fit out are:
• Medium finish: £16.00sqft to £25.00sqft
• Medium to High finish: £30.00sqft to £45.00sqft
• High standard finish: £65.00sqft plus
Q. What influences the cost of my fit-out?
The cost of your fit-out will be influenced by the following key factors:
• Time required to design and construct the fit-out
• Number of enclosed offices as opposed to open plan workstation style environments
• Logistics with the proposed building
• Whether or not furniture is to be purchased new or re-used
• Specialist needs over and above typical corporate environments such as labs, test rooms, training and conference rooms
• Data & communications upgrade or re-use of existing equipment
• Furniture selection and manufacturer
• Programme – fast track due to time constraints (avoid by planning early)
• Decision makers within your organization
• Desirables
Q. How long should the fit-out take to build?
Fit-out programs vary according to the type of fit-out required and the current state of the property being considered CAT A fitted or not, ratio of open to enclosed plan environments and the technical requirements – the programs stated below are indicative only and cannot be deemed as identical to your current or future environment.
• 5000Sqft to 10,000Sqft
Design : 6 to 8 weeks
Approval : 4 to 6 weeks (depending on local authority)
Construction : 6 to 10 weeks (depending on finish)
Relocation : 2 to 3 days
• 10,000Sqft to 20,000Sqft
Design : 8 to 9 weeks
Approval : 4 to 6 weeks (depending on local authority)
Construction : 11 to 13 weeks (depending on finish)
Relocation : 2 to 3 days
• 20,000Sqft to 30,000Sqft
Design : 10 to 12 weeks
Approval : 4 to 6 weeks (depending on local authority)
Construction : 13 to 16 weeks (depending on finish)
Relocation : 2 to 3 days
• 30,000Sqft to 50,000Sqft
Design : 14 to 16 weeks
Approval : 4 to 6 weeks (depending on local authority)
Construction : 16 to 20 weeks (depending on finish)
Relocation : 3 to 5 days
The indicative time frames don’t take into account statute and public holidays.
Q. What is CAT A and CAT B works?
Category A refers to a building owned/built by developers, which is 'shell and core' with just the common areas fitted out (toilets, cores etc), may or may not include suspended ceilings/raised floors.
Category B is when a tenant takes over a building and fits it out to his requirement ie: includes suspended ceilings, partitions etc.
Q. What are Lead Time items?
Lead time items include loose furniture, chairs, desking systems and related items which depending on the scale of the fit-out and quality of finishes may take considerable time to prepare and deliver to maintain your fit-out program.
All fit-out programs should take in to account Short and Long lead times for such items thereby ensuring that the items are delivered on-time during the course of the project to prevent any delays to your project.
On average UK manufactured chairs and furniture may take approximately 6 to 8 weeks whilst European imports may take an additional 4 weeks in particular the summer months when European manufacturers shut down for August.
Q. What are Progress Valuation / Staged Payments?
For medium to large scale projects fit-out contractors complete the work in phases and they claim for the progress that has been completed at the end of each phase – this is a valuation claim.
Staged Payments are made at regular intervals across the programme starting with a deposit usually 25% of the contract value and incrementally agreed percentage payment across the programme time frame. .
Rapport Solutions management procedures ensure that each progress / payment claim meets with the value of work completed at each phase prior to your approval.
Q. What are Variations and how do I minimise them?
There are two (2) key types of variations:
• Client Driven
When the tenant opts for a change to any component of the fit-out after the contract sum has been approved and the project has commenced.
• Non Client Driven
When a change (unknown at the start of the project) is required to any component of the fit-out after the contract sum has been approved and the project has commenced. The change is essential to successfully complete the project.
Most non-client driven variations occur through lack of time applied to the initial design and engineering services components of the project.
Variations can be minimised or eliminated if the correct procedures and style of contract are adopted prior to commencing the design phase.
Overall non client driven variations should not exceed 1.00% of the total contract value.
Tenant Questions: My Office Fit Out
Today’s market calls for a management team that can deliver to fixed time, cost and quality criteria with minimum direction or management from the client. Rapport Solutions process has continually proven successful in reducing clients’ project costs. We streamline the build process, remove costly layers from contracting and improve lines of communication between our client and the contract teams.
We have listed here a selection of questions asked by our clients:
Q. How can Rapport Solutions help me in the process?
As your Project Leader we will assist you in the selection of all design and construction parties, prepare tender documentation and manage build works and installations under a fixed contract through to final completion and delivery of your new office fit out.
Q. What key advice would you give to a tenant considering fit out projects?
Start planning and developing your project brief early!
Early stage planning may involve a detailed space analysis and study of your current operation, identifying occupational needs and introducing new ways of working in order to maximise the use of your new workspace.
This process will be critical in advising your Commercial Agent the size and type of space your business will require and can reduce the time taken to identify a short list of properties.
A greater level of design pre-tender enables closer client control of the final solutions and project fit out costs and will force competition from contractors and limit variations inside the contract period.
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