Case Study NK Flashcards
1
Q
If the client’s main priority was time. Why would a traditional approach be a viable option?
A
Because the client also wanted control over quality of design and competitive price. So had to make the client aware of all their options available to them to make an informed decision.
2
Q
What RIBA stages typically overlap with construction and manufacturing?
A
Typically Stages 4 (Technical Stage)
However in this instance it was 3 to 5
3
Q
Within a negotiated procurement route, how can you ensure value for money has been achieved for your client?
A
Ask to have 3 quotes for certain elements or works that is in question, open book
4
Q
Define Value?
A
Different for everyone.
A client’s perception of the worth of the products or services.
Price
Quality
What the product or service can do for them
Monetary, time, energy, and emotional costs
5
Q
What VE options did the client go with in the end and did they gain an additional budget?
A
Reeded manifestation to the glazed partitions.
This was actually something that was earlier instructed.
6
Q
Is swapping hardwood floors for vinyl a scope reduction or value engineering?
A
Value Engineering
Achieving value for money without compromising the look and feel as they looked the same
Still maintains the products functionality
7
Q
What you would allow for a CAT A & CAT B fit out in your cost estimate for both?
A
£80/sqft
Depending on landlord contribution
CAT B- £250 sft depends on quality, landlord contribution
8
Q
What was the £/sqft on A&K
A
£90 /sqft CSA
£103/sqft FA
9
Q
What is CAT A?
A
Basic finish of a space provided by a landlord. (Blank canvas)
- Raised Floor
-Suspended Ceilings
-Basic M&E Services
-HVAC
-Basic Finishes
10
Q
What is CAT B
A
Workspace ready to move into
-Fully fitted kitchens
-Partitions
-Design and brand detailing
-Installation of IT and workstation
-Furniture
11
Q
What is Shell and Core?
A
Basic Internal Framework of the building
- Concrete Floors
-Exposed Services
-Maybe communal areas. e.g lift. toilet
12
Q
Is there a conflict of Interest when EA/QS Role are in the same Firm?
A
Yes.
13
Q
Ways to ensure no Conflict of Interest when in the same firm?
A
Informed Consent
Separate folder
Separate end of office
NDA
14
Q
What are the different RIBA Stages?
A
Stage 0 - Strategic Definition
Stage 1- Preparation and Briefing
Stage 2- Concept Design
Stage 3 - Spatial Coordination
Stage 4 - Technical Design
Stage 5 - Manufacturing and Construction
Stage 6 - Handover
Stage 7 - In Use
15
Q
What is a typical fit out cost in London?
A
16
Q
What is a Grade 2 listed building?
A
Special regional interest and is considered to be nationally important.
It is protected by law from unauthorized alterations, extensions, or demolition
17
Q
What are the main classification for listed buildings?
A
Grade 1 - Exceptional interest
Garde 2* Particularly important buildings of more than special interest
Garde 2 buildings are of special interest
18
Q
What is a listed building?
A
Buildings that are of special architectural or historic interest, which gives them legal protection.
19
Q
What restrictions did you encounter when working on the project in terms of the building being listed
A
Nothing - this is due to the project not altering the building structure. We were not changing or touching any original features such as windows, external wall etc
20
Q
What is a tenant-fit out guide?
A
Guide aims to ensure tenant fit- outs align with the building. Document that explains the processes and approval steps required to fit out a space for a new tenant.
21
Q
What is licence to alter?
A
a legal document that gives a leaseholder permission to make changes to a leasehold property:
It’s a formal agreement between the landlord and tenant
It details the changes the tenant wants to make and the landlord’s consent
22
Q
What is Landlord’s refurbishment guide
A
Helps landlords/tenants manage the process of refurbishing their offices.
The document was intended to make the management of health and safety risks an integral part of the project planning process
23
Q
When were you employed to take on the job?
A
Stage 1 in Q4 2023 - Stage 6 Q3 2024
24
Q
How does Partial Handover differ to Sectional Completion and what is it?
A
-Typically not pre-planned like sectional completion.
-Contractor’s consent must be obtained
- Employer is liable for insurance the relevant part.
- The defects liability period begins for that part
- Liquidated damages reduce proportionally
25
32,000 sqft into m2?
3000m2
26
When was the SOS for 80 Strand?
8th January 2024
27
How long was the programme?
27 Weeks?
28
What were the original sectional completion?
Section 1: Comms Room
Section 2: Part of L5
Section 3 Part of L5 and L6
29
What was in the SOA that was unique to your project
Retention percentage to state 5% instead of 3%
-Contractor has no interest on the retention.
-Interest rate from 5% to 3% above bank of England for payment overdue, calculated annually.
30
What is Benchmark?
How did you benchmark for this project?
Process of collecting and comparing data to identify the best cost or products to use.
- Similar companies, who the client were familiar with
- examined different ways of working
-showcase low, medium, high looking office
-levels of intervention with the building
-cellular space requirements
- 50 DESK BY Early June 2024.
31
How long will stage 4 design Development take?
Depends on the scope of work but in this instance based on previous projects and conversation with project manager.
10-12 weeks
6-8 weeks - tendering
35-40 weeks - Design, fit out, client directs works
32
What is CDP
Contractor Design Portion
An agreement where a contractor is responsible for designing specific parts of a construction project
33
Why did you not use a GMP?
Guarantee Maximum Price?
The contractor were not willing to take on the risk considering the clients ER's were not fully designed so they were more likely to make a loss which would not be ethically fair on them
34
Why did you not advise on two stage tender instead of negotiated
- longer timeline than single stage.
- Quicker route to the market
- Client wanted less adminsteration
- Robust PQQ exercise was done before hand and the client was comfortable with the contractor chosen.
- Had a robust cost checking exercise during tender analysis to ensure we maintain value.
35
What is Value for Money?
The most advantageous combination of cost, quality and sustainability to meet customer requirements.
36
What are Employer's Requirement?
Contractual document setting out what the employer wants the works to entail and how it wants them to be carried out
37
What take precedence ERs or CP?
In Design & Build the ER takes precedence
38
If you had a PM, why did you complete the EA'S role? Are you best placed to complete this role?
This should have said development manager rather than a PM. Therefore, this was not a service the development manager offers. RLB were best places to act as an EA role due to expertise in this role
39
How did you get the benchmarking cost data? How did you rationalise it?
40
What was the driver for competitive pricing for the client?
They were self funding the project so they were looking to get value for money were possible.
41
If quality is the key driver? Why from stage 2/3
Programme was key driver not quality. However, they did want their office to reflect their brand ethos of of a high end travel agency company.
42
How did you come up with the suggested programme dates?
After coordinating with Project Manager, we benchmark similar previous project to give an indication.
43
Competitive pricing- did you complete a cost analysis of the different options? Especially with D&B as an option?
No i did not however, typically traditional contract tends to be the lowest cost. Because no risk is priced into the contract (as overhead isn't priced on top of design teams).
- Competitive D&B single stage, because its under competition
- Negotiated most expensive - contractor is pricing based on their experience and merit.
However, if traditional was chosen, the client would have had to factor in cost to extend the existing lease which would have been been a more expensive option overall
44
Why does a D&B mitigate against risk for client? How does this sit against traditional?
45
In a D&B contract, will the contractor share cost savings for lower cost solutions with a client?
Although its a fixed lump sum contract
Under the supplemental provisions of the contract - there is a requirement for the contractor to offer cost savings against the ER's.
46
Would a contractor's professional fee costs be more expensive than client side? What about OH&P on top?
The contractor's cost would be more expensive because the overheads margin on top. However, it would be leaner for the contractors to do the design if they are a specialist fit out company. Which in this instance the contractor was.
47
You mentioned you seeked proposal from three contractors
Slight error, it should read that it was a PQQ. This is not competitive tender process, just early engagement with contractor to ensure they are financially stable, have a team available.
48
Why did you not advise on two-stage tender? Would this not have been more suitable than negotiated?
It wasn't a complicated project.
client wanted a quick SOS
Didn't want to deal with
49
Why didn't you advise on Management contracting or Construction Management?
They were not relevant.
Client didn't have the time to deal with multiple payments or contractors. They wanted the engagement and risk to be minimal.
50
Competitive pricing wasn't their key driver. It was programme and meeting the clients aesthetic of previous fit outs.
Quality aspirations to align with business branding and image but wanted minimal client engagement - which makes it harder to have a design team in process in place.
Not worth flooding the project with more design team/labour because it would cost more overall.
51
What did you do to make sure that the ER's were robust?
So we sat down with the client just to understand what.
Their what their quality aspirations were and we've produced.
A we've produced like a low, medium and high benchmark for the client and just like showcase some pictures and like office layout type just don't. So they can understand just so we can understand what they were after
Using that kind of help set up. Oh, and then we also asked them what their office requirements are in terms of like, the number of deaths that they need, whether they wanted it to be more of like a cellular office or more work, open workspace for not open workspace, what they called. Yeah, open workspace. Open plan. Sorry
52
What was in the ER's
The License to Alter
Tenant Fit Out Guide
Landlord refurbishment guide
53
What was within the License to Alter
54
What was within the tenant fit out guide
Its a Fit out and Alteration Procedure for
55
What was within the Landlord's refurbishment guide?
56
Why was there not a fully coordinated ER's
I saw the gaps and advised the client, that they should have a design team/ However, they identified that they didn't have enough time to manage a team to put together the ER's.
They wanted early engagement and they instructed me to crack on with the negotiation.
57
How did the contractor understand the ER's if they were not fully coordinated?
They were taken to site, showing them previous offices, showing them what the spec could be and should be better than.
Client also guided the contractor to their Italian office.
58
What were some of Schedule of Amendments within the Contract?
- 28 days final date for payment instead of 14
- Retention percentage to state 5% instead of 3%
-Contractor has no interest on the retention.
-Interest rate from 5% to 3% above bank of England for payment overdue, calculated annually.
-Contractors Design Submission Procedure
-Third Party Provisions
59
Did you inherit a project with no budget? What was the difficulties in this? How did you overcome it?
Initially yes that client was unsure how much they were willing to spend. However, gave a ballpark figure of £3m for construction only.
Overcame this by understanding what the client requirements were. Showcased a range of low/med/high spec of office of similar size, so they can understand how much they could get for their money
60
Transitional is typically considered a timely procurement route. Given programme was a key driver, how did your proposed 40 weeks fit in with their June 2024 targeted sectional PC date?
The 40 weeks timeline was just about tight with no leeway. However, i advise this option to the client so they could understand what all their options are as they still wanted to retain quality. So they could make an informed decision
61
You mention about advising the client to appoint a design team - had they factored these fees into their budget?
Which designer would you appoint?
I was employed to only control the construction cost. The client were in control of professional fees cost and client direct so not 100% sure if this was factored into their total budget costs. However, i believe that this may have been the case.
62
You mention about the change pushing it above budget, what was the clients budget?
Did the other variations not exceed the budget?
At that time in the project it was understood that they had about 10% of the CSA as contingency allowance for construction. Which RLB were not managing. Therefore equating to nearly £300k.
Then were granted £150k additional funding.
63
Where did you get the benchmark rates from?
Reeded Glass Doors - benchmark rate on from projects
Frames - Liquid Anodised bronzed finish - went out to market and obtained 3 quotes.
64
If the doors are late, who's, fault would this be?
Contractor's. As they are taking the design and construction risk. Therefore they need to ensure that they claim for EOT within the appropriate time
65
What is the role of a EA
They have full authority to act on behalf of the empolyer. They bridge communication between client and contractor to ensure project meets requriement.
66
How does the role of an EA and CA differ?
EA- act on behalf of the client on a D&B contract
CA- Independent on a standard build
67
Why did you advice your client to take on the D&B route?
-Ability to overlap the design and construction so early start on site
-more favourable in terms of programme given the client driver of time due to lease
-Single point resoinsbility - client wanted minimal engagement
-design risk lies with contractor
- early price fixing than
68
What was included in the tender document?
-Invitiation to tender
-Form of tender
- contract conditions
- SoA
- Project information - Demise, LTA, Tennant refurbishment guide
- PCIP
69
What risk did you identify in D&B approach? How was this mitigated
less control on design and aesthics than tradtional
The design is is only as good as a robust ER
Helped the client to form a more clearer ER buy showcasing a range of design and specfication, level of intergration as to what is required in the office and their top requirement
-comms room done first
-10 celluar office
-50 desk by June 2024
-150 desk an full relocation
-mid range specification
- Regular design review and approval process
70
Tender process- review and why?
71
Why did you not advise on construction management?
This was not appropiate for the client as the client wanted minimal interaction despite it being quick route to site.
- would not provide the client cost certainty untill last package is let
- high level of adminsteration as empolyer would be in indiviual contracts with trades
- much risker for the client overall in terms of quality as they're not expereinced
72
Why did you not advise on management contracting?
73
Talk me through the process of cost review? how did you validate the cost of the doors?
This was not appropiate for the client as the client wanted minimal interaction despite it being quick route to site.
- would not provide the client cost certainty untill last package is let
- high level of adminsteration as empolyer would be in indiviual contracts with trades
- much risker for the client overall in terms of quality as they're not expereinced
74
Tender queries that you issued out?
-Please firm up the provisional sum
-Why is the same rate not being applied on the same finishes
-Please align the drawings and specification as they are currently contradicting for floor finishes
75
Time implications on changing the doors?
5 weeks to procure
2 weeks to install
within 12 weeks programme remaning
76
What do you mean by missed opportunity for value add? functionally/aesthetics
77
Why did the client request the change? what was the driver?
78
Talk me through the design impact of changing reeded glass to manifestation? Pros and Cons
79
Floor finishes - talk me through the advise and reasoning?
80
Scope reduction - talk me through these items and reasoning for it?
81
What do you mean by inconsistent aesthetic?
design preference
82
How much additional funding did you request should be sought for and why?
70k additional funding?.
83
What constituted the contract documents
84
What amendments were added into the contract
85
How were LAD's calculated?
86
How did you manage Design Risk?
87
Why are the doors cheaper in Italy?
88
Mentioned the contractor presented the changes and associated budget costs? Why is it a budget?
They have not been instructed. That should say their firm cost askdjskjdkjddk
89
What did you think of the cost of the doors?
90
Why did you present these to the client before checking?
91
What errors came to £25k?
92
What was the process for design changes?
93
Did you have many benchmark cost for reeded glass? what if you hadn't
94
How did you present your initial cost benchmarking?
95
Were there any other specific route that could have been explored?
96
What was the risk of not having a design team?
I advised the client on having a design team however, the risk is not having fully cooridinated design, or experince
lack of deisgn vision
dont meet user needs
97
What does standard building mean?
Standard Building contract.
Where the client has detailed designs and specifications, and it is suitable when separate designers and contractors are involved.
98
Examples of contractor's design proportion they could be responsible for in traditional?
Steelwork connections
Cladding
Roofing
Tempoary Works
MEP Elements
99
What is contractor design proportion?
Typically used on tradtional procurement, where contractor has design responsbilty for specific elements of works
100
Does D&B not provide a high cost certainty?
It can, but it depends on project scope, how detailed and robust the ER's are. However, it won't be as high as tradtional as all contractors would be pricing for the same works.
101
In Negotiated - who controls design team?
| COME BACK TO THIS
**This option was based on a design and build procurement so it would be the client with the contract contractor based on communication with the client**.
102
You mentioned the client must weight the benefits of speed against potential cost implications - How did you deal with this? What was your advise here?
103
So who controls the design team in negotiated tender?
104
In negotiated you mentioned that cost could be offset by reduced professional team fees and programme cost. Please explain this
105
What buildability items are there in a "basic developer specification"
106
Why might a devloper only devlop to a CAT A?
- Allows flexibility for tenants to customise the space to their specific needs
- allows devloper to quickly market the space without incurring additional fit out cost
- quicker turn around to do a CAT A vs CAT B/ generate income quicker
- Reduces waste in materials anc cost
107
What is the Role of an EA?
They are act on behalf of the client on a D&B contract
-Issue instructions
-Payment notices
-Certificates
-Agreeing final account
-Handover, coordinate snagging, defects
108
Can clients still use the JCT 2016 Contract?
- Yes the new edition does not invalid the 2016
- However, the 2024 edition includes updates to reflect current industry practices, legal developments, and improved clarity on dispute resolution and sustainability considerations.
- It may be beneficial to review the changes in JCT 2024 to determine if the updates align better with project needs or if new provisions could provide additional advantages.
109
What were the damges on this project?
Section 01: £5,000 per week
Section 02: Level 05 : £20,000 per week
Section 03: Part of Level 05 and Level 06 : £10,000 per week
...of any part thereof applies after PracticalCompletion of the last section.
110
How are damages deducted? When do they start? At what point date does the client lose their ability to deduct damages?
- Damages are deducted through payless notices
- they start if practical completion has not been acheived/ day after the date
- Client lose their ability if a practical completion certifcate has been issued.
111
Can a client put whatever number they want in damages?
Genuine assessment of loss
112
You menitioned you pulled together the D&B Contract what was included?
Empolyer's requirment - demise drawings, 50nr desk by june, comms room by june, mid quality range, 10 celluar office, fully move in by mid july.
Contractor's proposal- drawings and specification
Contract Sum Analysis
Building Contract
SoA
Other info - license to alter, tennant refurishment guide
113
What's the difference between procurement and tendering?
Procurement involves the overall act of obtaining goods and services.
Procurement is broader can happen before, during or after tendering,
Tendering is process of inviting and evaluating bids from potential suppliers to obtain a price.
114
What were some of the things you included in your cost report?
-Contractual information
-Whats been paid to date/remaining
-Forecasted final account
-Cashflow - construction cost only (forecasted net payment vs actual, net payment, programme)
-Contingency
-Provisionsal sums
-Variations
-Anticipated Variations
-Claims
115
What were some of the things you Excluded in your cost report?
VAT
Contigency
Furniture
Move Cost
Fees
Equipments
Client Directs (Art, Planting)
116
What is a typical cost for client direct cost in £/sft?
What did the client have for theirs?
117
What is retention? What % did you use and why?
A precentage of the sums certified for payment under the construction contract (typically 3-5% is held by the employer during constructino phase.
118
What are the retention percentages?
D&B and Standard = 3%
Minor and Interminte = 5%
119
What is the pros and cons of a retention bond?
Improved cash flow: Contractors can receive their profits in cash at each valuation.
Financial stability: Retention bonds can improve the financial stability of subcontractors, making them less likely to default.
Cons
Cost: Retention bonds have an upfront cost, which can range from 1–3% of the bond amount. Contractor takes it out but it would be factored in cost for client.
Wording: The wording of the retention bond needs to be carefully linked to the purpose of retention, such as defects, rather than wider breaches such as delay.
120
Retention Bond vs Performance Bond
While both serve as financial guarantees
Retention bond specifically covers the cost of fixing defects post-completion.
Performance bond is broader, providing assurance that a contractor will deliver the project to the agreed standards and timescales.
121
You said you provided benchmarking to define quality and cost aspirations – what did thay look like? How did you present it? What are some things you have to consider when benchmarking?
122
You mention that D&B enables the contractor to advise on buildability – what is this?
Buildability refers to the ease and efficiency with which a building design can be constructed while maintaining safety, quality, and cost-effectiveness.
123
How can you ensure that under a negotiated tender that you maintain value?
Open book approach when agreeing subcontract packages
a minimum of 3 quotes to be provided for each element of the works (this would need to be agreed upfront with the contractor)
124
How did you pre-qualify for the contractor you chose?
It was a contractor that the project developer had previously worked on and the client had been recommended them too.
125
How did you do the tender analysis on this project?
-Arthmetical errors
-Pricing errors/ Exclusions (query why/check with design team)
-Front loading
-Compare proposal against ER's to ensure compliance
-Check form of tender is completed and signed
-Resolve any qualification
-Checked rate against benchedmark rates
-Measured and checked qty of drawings
-Queries on firming out provsional sums
126
Difference between CDM 2015 and BSA? Duty holders?
Main difference is the dutyholder roles:
CDM 2015 focuses on health and safety
BSA focuses on building regulations compliance.
127
