Region IV - North Central

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Below are problem statements from past competitions....

Heavy Highway

Commercial

Design Build

Residential

 


 

 

Heavy Civil Division 2003


Problem Statement 2003

 

Your state DOT has just issued the contract documents for a project your firm has been tracking for several months.  You expect the competition to be tough (at least 6 other bidders), but you think your firm has developed some competitive advantages.

 

As part of the competition your company is required to submit a complete bid package, develop a thorough estimate and project schedule.

 

  1. The Bid Package will be similar to any DOT competitively bid, unit price job.  Your company should acquaint itself with these standard procedures before the competition.

 

  1. In addition to the bid package you company must submit it’s Estimate of costs for review and comment during the oral presentation.

 

    • The project estimate will include many subcontracted items.  Some will require comparison with alternatives to select the lowest cost option.

 

    • Emphasis will be placed on your companies self performed work.  This will include highway grading and asphalt paving (including asphalt plant mix), structural concrete bridges (including batching), maintenance of traffic, and overhead costs.

 

    • Your methods and crew analysis should be included for each item of self performed work including a detailed cost breakdown of labor, equipment, materials, subcontractors and necessary supplies.

 

    • Overhead costs will include an analysis of project management requirements, office facilities and other.

 

    • Explanation of risk and margin analysis.

 

 

  1. The Project Schedule that your team develops will also be submitted for review during oral presentations.  The contract will be A+B, requiring resource loading and leveling.

 

  1. The Oral Presentations will closely resemble a contractor’s internal bid review process.  Teams should be prepared to review their approach to the job including the critical path on the schedule, estimated production rates and project management requirements

 

Problem Statement 2003 Fall

Your firm has the reputation for fast track urban transit work, and the ability to come up with cost effective ideas and innovative equipment for varying soil conditions.  Due to your firm's reputation, your firm is invited to submit a proposal for construction of foundation for a fast track urban transit project.  There are several environmental and noise issues that will need to be addressed as part of your proposal.  These will be addressed closer to the bid date.  The R.O.W. is very tight in some areas of the job and headroom restrictions exist as well.  The new foundations are on the critical path, and must be completed in a timely manner.

 The owner has very strict requirements on the methods of construction.  Your proposal must be within the owner's strict guidelines. Obstruction may be encounter during the foundation construction.  The new foundations may include auger cast piling, concrete bearing pile, or caissons.

 Your firm is to submit a proposal for the construction of the foundation system.  The proposal should include a cost estimate, means, method and a detailed scheduled.

 

Problem Statement 2003 Spring

A public works project has just advertised in your area.  Your company has been tracking this project and will be submitting a bid.  It is a fixed unit price bid with schedule requirements.  The owner has chosen the A + B bidding format:

Total Bid (A)                                                    =  _________________

Total Bid (B)               

$3,000      x     ____________________            =  _________________

(cost per day)     (enter calendar days bid)

                          (not to exceed ___ days)

 

Total Basis for Comparison (A + B)                 =  _________________

 

            A = Total Bid by contractor (amount to be paid at completion of the project)

            B = Calendar Days required for construction as determined by the contractor

This project involves:  concrete structures, excavation and embankment, pile driving, support of excavation, large diameter pipe, concrete box culvert, and dewatering.

Your company will be required to submit a complete A + B bid for the project in accordance with the line items in the Bid Form.  You will need to consider all elements of bid preparation including but not limited to: quantity take-off, means and methods, production factors, schedule, direct costs, indirect costs (overhead) and risk analysis.

You will be required to analyze quotations from material suppliers and subcontractors.  It is an equipment intensive project and you will need to select equipment appropriate for the job.  Local wage and equipment rates will be provided with the problem statement.

The following must be submitted with the sealed Bid:

§         Completed Bid Form.

§         Detailed cost analysis supporting each price submitted on the Bid Form, including “at a minimum” quantity take-offs, labor and equipment cost, permanent material pricing, subcontract pricing and small tools/supplies utilized.

§         Detailed cost analysis of indirect costs (overhead) and an explanation of how it is allocated to the Bid Form line items.

§         A written description of the means and methods.

§         A manpower loaded critical path method schedule for the project.

 

Problem Statement 2005 Fall

The owner is concerned that the successful contractor be able to achieve his schedule and understands the environmental complexities of the project.  The Army Corps of Engineers 401 permit will be provided with the problem statement. 

  • Your local market is booming and the competition is fierce.  But an unusual project from an unusual owner has just come out for bid.  You have experience with the type of work and locale.  To win the job you have to be low bidder.  To bid the job you have to gain your District Manager’s confidence and put together a thorough estimate without errors.

     

    1. As part of the competition you must complete and submit a Bid Package as stipulated in the documents.  It will be a competitively bid unit price job.

     

    1. In addition to the bid package, your company must submit its Estimate.

     

    ·        The estimate should include a detailed cost breakdown of labor, equipment, materials, subcontracts and other necessary supplies for each bid item.

     

    ·        In addition to your estimated costs, your methods of construction should be clear for each bid item.

     

    ·        Overhead costs should be identified and allocated.

     

    ·        Include an explanation of risk and margin analysis.

     

    ·        The work involves RCC and some challenging ground conditions.

     

    1. The Project Schedule that your team develops will also be submitted for review during your oral presentation.

     

    1. The oral presentation will be run like a contractor’s internal Estimate Review Meeting.  Cost is important but if your scheme doesn’t gain your District Manager’s confidence it won’t matter.

 

Heavy Highway Division 2006               

A transportation oriented public works project that you have been tracking for a long time is finally out in your area.  You expect 2 or 3 other bidders.  You’ve got to be cheap but you can’t afford to be wrong.  You will need your most experienced team on this one.

 

  1. As part of the competition you must complete and submit a Bid Package as stipulated in the documents.  It will be a competitively bid unit price job.

 

  1. In addition to the bid package, your company must submit its Estimate.

 

·        The estimate should include a detailed cost breakdown of labor, equipment, materials, subcontracts and other necessary supplies for each bid item.

 

·        In addition to your estimated costs, your methods of construction should be clear for each bid item.  In the final problem statement there will be specific requests for methods, manpower and equipment usage for designated items of work.

 

·        Overhead costs should be identified and allocated.

 

·        Include an explanation of risk and margin analysis.

 

·        The work requires concrete batching, structural concrete (bridgework), concrete paving and more…

 

  1. The Project Schedule that your team develops will also be submitted for review during your oral presentation.  Computerized cpm schedules are o.k., but bring adequate schedule paper for hand drawn schedules.

 

  1. The oral presentation will be run like a contractor’s internal Estimate Review Meeting.  Cost is important but if your scheme doesn’t gain your District Manager’s confidence it won’t matter.

 

 

 

Heavy Civil Division - Problem Statement 2007 – Fall  

Because of your company’s good reputation as a reliable structural concrete subcontractor, a large general contractor has contacted you to submit a proposal to them for construction of a portion of one project for a large mass transit system.  Although they could easily do this particular portion with their own forces, there are several more projects that comprise the overall system coming up for bid in the near future.  They hope to enlist the help (resources) of several subcontractors to increase their chances of being able to construct all of the projects in the system. 

The contractor’s bid to the owner for this work will be one Lump Sum – complete in place.  However, they will make sure you have everything included for this portion of the project by requiring a detailed breakdown of your estimate for the work rather than one Lump Sum. 

Key to the success of this proposed subcontract is your ability to supply the necessary manpower and equipment to complete the work.  Giving them your estimate of these resource requirements will enhance their confidence in you.  Also, the bid documents require a projected cash flow for the work so it is to your advantage to supply this information on your portion for incorporation into their proposal.

 Time is of the essence for them and so it will be for you.  Since access and working room will be tighter than normal for all involved, they will want you in and out in a timely manner.  They have work to do on both ends of your portion so they will want to know where you will start, where you will finish and details of everything in between so they can plan their work accordingly.

The general contractor has a formal bid proposal to complete for submission to the owner, however you do not.  You have flexibility on what to submit and how to present it.  To gain the general contractor’s confidence, all of your information should be submitted in a professional manner using the latest computer software and project management technology.

In addition to your written proposal, the general contractor will schedule a meeting with you to give you a chance to explain and elaborate on your proposal.  You will want to convince them that your methodology and plan will succeed.  An accurate and feasible plan that anticipates field problems as well as other constraints will give the general contractor the confidence they need to enter into a subcontract with you.  A successful project will likely lead to more opportunities with this company.

 

Commercial Division


Problem Statement for 2003 Fall

The project is a 345,000 square foot state of the art replacement health care facility for a client that is one of the leading healthcare providers in the area of the country they are located. The project was negotiated and delivered using a CM at risk method. You will be responsible for providing a proposal that includes but not limited to: schedule, cost estimate, safety awareness, key issue analysis, organizational chart, IFBP matrix.

IFBP matix:

Issues - What issues do the owner have

Features - What features does my company have that address the issue

Benefits - What benefit will this be to the client

Proofs - How do I show my feature as a benefit to the owner that addresses the issue, e.g. past records

There will be an estimate a portion of the building with the remaining information given as part of the problem.

 

Problem Statement for 2003 Spring

The project is a 325,000 square foot state of the art replacement healthcare facility for a client that is the largest for-profit Healthcare provider in the country. The project is negotiated and delivered as a CM at risk method. Your team will be responsible for providing a proposal that includes but not limited to: Schedule, Cost Estimate, Safety Awareness, Quality Awareness, Key Issues Analysis, Preconstruction/Construction Approach, Organizational Chart, and IFBP Matrix.

IFBP Matrix:

  • Issues - What issues does the Owner have.
  • Features - What features does my company have that address the issues.
  • Benefits - What benefits will there be to the client.
  • Proofs - How do I show my features as a benefits to the Owner that addresses the issues, e.g. past records, experience.

 

Problem Statement for Fall 2004

The Owner is seeking a well qualified company to act as the General Contractor and provide construction management services.  The project is a 230,000 GSF multi-story office building for one of the leading Home Mortgage companies.

 The project is a structural steel framed building with slab on metal deck floors.  The enclosure includes precast, curtain wall, punched windows and metal panels.  The building emphasizes an open office environment that maximizes the amount of natural light and views of the city skyline.

 You proposal should include Price, Schedule, Safety, Management, and Quality.  The Owner is very concerned about the project costs and would welcome any Value Engineering options.

 

Problem statement for Fall 2005

A commercial building in a downtown urban setting for a private owner which will include a significant expansion to an existing facility as well
as the renovation of the existing space. The expansion and renovation portions of the work will be phased. Implementation is highly logistical
around the Owner's 24/7 operations. Delivery method and procurement will be a General Contractor relationship using a Guaranteed Maximum Price

 

Problem statement for Fall 2006

Your competition project is a sizeable Healthcare facility located in a rural Midwestern community.  The schematic drawings show a single story building approximately 30, 000 SF with provisions for future expansion.  The building is a steel frame structure with masonry skin.  The owner has procured a six-acre site for the facility. Site utilities have not been determined at this time and will require separate budgets and design assistance.  The design for the project is underway and it is anticipated that the project will start in the spring of ’07.

 

Your proposal should include developing detailed approaches for the following; a construction budget and total project budget, overall project schedule and construction schedule, site safety plan, project logistics and quality assurance plans. An organizational chart, along with resumes’ of key staff members is a requirement for this proposal.

 

You will be required to identify premiums in your budget for LEED certification, as well as demonstrate your ability to utilize Building Information Modeling (BIM) during the preconstruction process.  Lastly, you will be required to demonstrate your knowledge of ICRA during the interview.

 

 

Please be aware that this owner has limited funds and the possibility of budget reductions to achieve the financial funding are some things that you will be asked to evaluate at a later date.

 

Problem statement for Fall 2007

Your competition project is an Inpatient Care facility located in an urban residential, Midwestern community.  The schematic drawings show a single story building of approximately 40,000 SF.  The building is a steel frame structure with multiple types of skin.  The owner has procured a four-acre site for the facility. Demolition and abatement of an existing structure is by others. Existing utilities will not be removed. Close proximity of neighborhoods and a retirement facility might need further examination. The design for the project is underway and it is anticipated that the project will start in March of 2008.

 Your proposal should include developing detailed approaches for the following: a construction budget and total project budget; construction schedule and an overall project schedule; site safety plan; site logistics plan; and a quality assurance plan. An organizational chart, along with resumes of key staff members is a requirement for this proposal as well.

 You will be required to identify premiums in your budget for sustainable design, as well as demonstrate your ability to utilize Building Information Modeling (BIM) during the preconstruction process.  Lastly, you will be required to demonstrate your knowledge of ICRA during the interview.

 Please be aware that this owner is a not-for-profit organization with a prescribed, not to exceed budget. Meaning there is a possibility of value engineering efforts to maintain the available dollars for construction. You would then be asked to submit your value engineering ideas and pricing. The owner reserves the right to make the final selection based upon “best value”.

 

 

 

Design-Build Division


 

REQUEST FOR QUALIFICATIONS (RFQ) 2004 Fall

 

 

Project Description

 

Unisource Realty, a division of Unisource Worldwide, Inc. is soliciting proposals from Design-Build contractors for the construction of a new 165,000 square foot office-warehouse facility located on a 16 acre site in Sacramento, California. 

 

The Owner, Unisource Realty, will contract with one company to provide complete design-build services.  Selection will be based on a “best value” to the Owner.  The Design-Builder will establish a stipulated lump sum proposal for the project.  The contract for the design-build construction services shall consist of documents provided by the Owner for preparation of the proposal, the proposal of the successful design-build contractor, and AIA Document A191, “Standard Form of Agreements Between Owner and Design/Builder, 1985 Edition.  

 

Scope of Services

 

The Design-Build contractor shall provide design and construction documents consisting of, but not necessarily limited to the following:  civil engineering (including grading, drainage and utility plans), architectural, structural, mechanical, electrical, plumbing, fire protection, landscaping and irrigation plans and specifications; and all construction services required to complete the project in accordance with the Design-Build documents.  The work will be completed in accordance with specifications, drawings and reports provided by the Owner, and working drawings and specifications generated by the Design-Builder that conform to all local, state and national Codes (including ADA), including but not limited to:  1993 BOCA Basic Building Code/Uniform Building Code, Uniform Fire Code, Uniform Plumbing Code and the National Electric Code.  The building is to be designed in accordance with Use Group S-1, Moderate Storage, Type 2-C Construction Unlimited Area, Fully Sprinklered as defined by the 1993 BOCA Basic Building Code.  The Design-Builder will acquire and pay for all permits required for the project, as well as all plan check fees, water and sewer connection fees, water meter fees and electric and gas connection fees.  Any Hazardous Material studies or technical reports required by the governing authorities will be prepared by the Design-Builder.

 

Complete working drawings and specifications will be furnished to the Owner for approval prior to submittal to the building department and at start of construction.  Working drawings will bear the seal of licensed architects and engineers of the State of California.  Should a governing body or local building inspector require that a change be made to any phase of the building plans or specifications after they have been prepared and approved and permits issued, any additional cost for said changes will be paid by the design-builder.  It is the intent that the design-builder be solely responsible for all costs associated with coordinating the plan and specifications with all agencies having jurisdiction over the project.

 

Minimum RFQ Requirements

 

Minimum Requirements for this project include evidence of completed projects of similar scope and complexity.  Firms must submit 6 copies of their proposal, which accounts for 10% of the selection.  The minimum specific requirements are:

 

Provide general company information, which includes: 

1)     History of company

2)     Description of divisions or area offices

3)     Types of services provided by your firm

4)     Percent of total work procured under the each of the following project delivery approaches (Lump Sum Competitive Bid, Design-Build, CM at Risk, other)

5)     Professional Liability Insurance Limits

6)     Number of employees

7)     Annual volume the last three years (provide breakout for Design-Build projects)

8)     EMR the last three years 

9)     Current and projected workloads

 

Provide 5 examples of relevant project experience, which includes:

1)     Project name and description

2)     Owner

3)     Gross square feet

4)     Cost per square foot

5)     Building structural type  

6)     Project schedule 

7)     Your company’s key personnel

 

Provide project team information for this project, which includes:

1)     Demonstrated experience as a project team designing and constructing projects of a similar scope

2)     Description of each team member’s role on the project

3)     One page summary for each team member describing their qualifications and relevant experience

4)     Organization chart showing roles and relationships of each team member

 

Note:   If design and construction services are to be provided by two separate firms, provide information above for each firm as applicable.

 

Provide specific project management techniques, including:

1)  Describe your project estimating system, both for preconstruction and monitoring              

           during construction.

2)     Describe your project management system, cost accounting and office record

      keeping.

3)     Describe your field administration system, including record keeping logs,

      submittal processing, record drawings, changes to the work, and closeout.

4)            Describe your project scheduling system, and its ability to interface with Microsoft Project software used by the Owner.

 

Qualifications Due

 

To be determined by the ASC Region IV Guidelines provided by others.


Request for Proposal (RFP)

 

After the RFQ proposals are submitted, the RFP including the program documents and site plan will be issued to all short-listed firms in both hard copy and on CD in AutoCAD 2000. 

 

One set of 1/16 scale or larger conceptual level drawings based on program requirements and site plan issued at the Pre-Competition Conference will be required in your proposal.  A set of conceptual level drawings must include at a minimum, but is not limited to:  

 

-Site plan showing building and expansion areas.                                           

-Interior improvement plan

-Structural column layout and roof framing orientation

-Two building elevations

-Preliminary grading plan showing site boundary, pavement, curb and finish floor elevations.

 

Other minimum requirements of the RFP will include your firm’s specific approach for construction sequencing, project schedule, cost breakdown and discussion of your company’s key design features that you propose for the project. 

 

 

REQUEST FOR QUALIFICATIONS (RFQ) 2003 Fall

Project Description

 The City of McAlester, Oklahoma seeks a firm to provide architectural/engineering services plus construction services for our new Public Safety and Municipal Courts Building. The project shall consist of 95,000 gross square feet of new space to house the city’s Police Department and provide new Municipal Courts.  In addition to the building, parking must be provided.  The site is approximately 31 acres (not all of which will  be used) located just East and South of downtown.  The completion of this $15.7 million (total design and construction cost) is tentatively planned for September 2004.  The project shall be housed in one building.  The new facility will support Police Investigations, Patrol/Traffic, Records, Community Resources, Administration and Support Services.  The Municipal Courts will include the City Attorney’s department as well as Judges Chambers.  Appropriate security measures throughout the facility will also be included.

Scope of Services

RFQ for services of: Design-Build

The City of McAlester anticipates using the Design-Build approach to project delivery.  The Design-Builder will establish a Guaranteed Maximum Price (GMP) in conjunction with the City.  The Design-Builder will evaluate among other things availability of materials and labor, project schedule, project costs as they relate to the established budget, and constructibility and will work with the City throughout the value engineering phases of the project.  The City has already completed the programming for this facility, which will be available during the Request For Proposal (RFP) phase of this process to firms that are invited to submit a proposal.   Therefore the design portion of this proposal should only include concept design, schematic design, design development, construction documents and construction contract administration.  Full pre-construction and construction services should also be included in this proposal.

 

Minimum RFQ Requirements

 

Minimum Requirements for this project include evidence of completed projects of similar scope and complexity.  Firms must submit 6 copies of their proposal, which accounts for 10% of the selection.  The minimum specific requirements are:

 

Provide general company information, which includes: 

1)      History of company

2)      Description of divisions or area offices

3)      Types of services provided by your firm

4)      Percent of total work procured under the each of the following project delivery approaches (Lump Sum Competitive Bid, Design-Build, CM at Risk, other)

5)      Professional Liability Insurance Limits

6)      Number of employees

7)      Annual volume the last three years (provide breakout for Design-Build projects)

8)      EMR the last three years 

9)      Current and projected workloads

 

 

Provide relevant project experience, which includes:

1)      Project name and description

2)      Owner

3)      Gross square feet

4)      Cost per square foot

5)      Building structural type  

6)      Project schedule 

 

Provide project team information, which includes:

1)      Demonstrated experience as a project team designing and constructing projects of a similar scope

2)      Description of each team member’s role on the project

3)      One page summary for each team member describing their qualifications and relevant experience

4)      Organization chart showing roles and relationships of each team member

 

Note:    If design and construction services are to be provided by two separate firms, provide information above for each firm as applicable.

 

Qualifications Due

 

To be determined by the ASC Region IV Guidelines provided by others.


Request for Proposal (RFP)

 

After the RFQ proposals are submitted, the RFP including the program document and site plan will be issued to all short-listed firms in both hard copy and on CD in AutoCAD 2000. 

 

One set of 1/16 scale or larger conceptual level drawings based on program requirements and site plan issued at the Pre-Competition Conference will be required in your proposal.  A set of conceptual level drawings must include at a minimum, but is not limited to:  

 

-Site plan showing location of building and parking in relationship to existing site                                           

-First floor plan

-Basement, typical or second floor plan

-Two building elevations

 

Other minimum requirements of the RFP will include your firm’s approach to conceptual estimating, value engineering, scheduling, and project management.  You must also demonstrate your analysis of a minimum of two options for the building’s structural system and exterior skin system.  These should include cost, schedule, and quality factors.  Development of the conceptual design will only be required for your recommended system.  

        

 

REQUEST FOR QUALIFICATIONS (RFQ)  Spring 2003

Project Description

The United States Postal Service (USPS) seeks a firm to provide architectural/engineering services plus construction services for modifications, additions, and upgrades required on the Processing and Distribution Facility located in Kansas City, Missouri. The required upgrades include architectural and structural revisions to accommodate new sorting equipment, new security provisions, additional look-out galleries, chemical detection units, and revisions to the loading dock area. Additionally, the entire facility will be upgraded as required to meet current ADA standards.  In addition to the interior modifications and upgrades, the workroom areas will be expanded.  This expansion is anticipated to be approximately 56,000 square feet.  Project cost is expected to be between $10 and $20 million.

Scope of Services

RFQ for services of: Design-Build

The USPS will contract with one company to provide complete design-build services.  Selection will be based on a “best value” to the Government.  The Design-Builder will establish a Guaranteed Maximum Price (GMP) in conjunction with the USPS.  The Design-Builder will evaluate project schedule, project costs as they relate to the established budget, and sequencing of work so that current operations will not be compromised.  The selected Design-Builder will coordinate all plans and specifications with construction services personnel at the regional USPS office in St Louis, Missouri.  The actual construction plan and sequencing will be coordinated with the Postmaster, Kansas City, Missouri.  The USPS will provide specific design criteria for the modifications and upgrades for this facility, which will be available during the Request For Proposal (RFP) phase of this process to firms that are invited to submit a proposal.  

Minimum RFQ Requirements

Minimum Requirements for this project include evidence of completed projects of similar scope and complexity.  Firms must submit 6 copies of their proposal, which accounts for 10% of the selection.  The minimum specific requirements are:

Provide general company information, which includes: 

1)      History of company

2)      Description of divisions or area offices

3)      Types of services provided by your firm

4)      Percent of total work procured under the each of the following project delivery approaches (Lump Sum Competitive Bid, Design-Build, CM at Risk, other)

5)      Professional Liability Insurance Limits

6)      Number of employees

7)      Annual volume the last three years (provide breakout for Design-Build projects)

8)      EMR the last three years 

9)      Current and projected workloads

 

Provide relevant project experience, which includes:

1)      Project name and description

2)      Owner

3)      Gross square feet

4)      Cost per square foot

5)      Building structural type  

6)      Project schedule 

Provide project team information, which includes:

1)      Demonstrated experience as a project team designing and constructing projects of a similar scope

2)      Description of each team member’s role on the project

3)      One page summary for each team member describing their qualifications and relevant experience

4)      Organization chart showing roles and relationships of each team member

 

Note:    If design and construction services are to be provided by two separate firms, provide information above for each firm as applicable.

 

Provide specific project management techniques, including:

1)  Describe your project estimating system, both for preconstruction and monitoring              

           during construction.

2)      Describe your project management system, cost accounting and office record

      keeping.

3)      Describe your field administration system, including record keeping logs,

      submittal processing, record drawings, changes to the work, and closeout.

 

Qualifications Due

 

To be determined by the ASC Region IV Guidelines provided by others.


Request for Proposal (RFP)

 

After the RFQ proposals are submitted, the RFP including the program document and site plan will be issued to all short-listed firms in both hard copy and on CD in AutoCAD 2000.  The existing facility was constructed in 1967, and complete plans will not be available electronically to the proposing design-builders.

One set of 1/16 scale or larger conceptual level drawings based on program requirements and site plan issued at the Pre-Competition Conference will be required in your proposal.  A set of conceptual level drawings must include at a minimum, but is not limited to:  

 

-Site plan showing building and expansion areas.                                           

-Interior modification plan

-Graphic construction sequencing plan for all modifications.

-Two building elevations

 

Other minimum requirements of the RFP will include your firm’s specific approach for construction sequencing and non-interruption of current Postal operations. 

Summary

The original solicitation for qualifications for Design-Build Services is hereby modified with the following:

 

Modifications

  1. The project documentation for the original facility is not available in electronic format.  Therefore, the RFP that is issued to short listed firms will contain only copies of the original project documentation.  Proposers will be required to transfer the appropriate information from these copies onto their own formatted drawings required for submission.  The requirements for submission will remain as originally stated.

 

  1. The expansion size is hereby modified to be approximately 30,000 square feet in lieu of 56,000 square feet as originally advertised.  The estimated value is still expected to be between $10 and $20 million.

  1. No other modifications.

 

Qualifications Due

Amendment number 1 shall not affect the submission deadline.  

 

 

 

 

Problem Statement 2005

 

REQUEST FOR QUALIFICATIONS (RFQ) 

Project Description

 

The Louis Pasteur Institute (LPI), St. Louis, Missouri seeks a firm to provide architectural/engineering services plus construction services for the new Medical Research Building. The project shall consist of approximately 60,000 gross square feet of new clinical and research space, and may be expanded to provide rental medical office spaces.  Consideration is being given to LEED Certification for the facility.  Completion of this facility is required by September 2007.  The project shall be housed in one building.  The new facility will include a vivarium, bio-security level 3 (BSL 3) spaces, surgical training spaces, medical research labs, clinical offices spaces, and medical tenant spaces.  An auditorium is desired to be a part of this facility if funding becomes available.

 

Scope of Services

 

RFQ for services of: Design-Build

 

LPI anticipates using the Design-Build approach to project delivery.  The Design-Builder will establish a Guaranteed Maximum Price (GMP).  The Design-Builder will evaluate site usage and recommend to the board the appropriate site usage considering possible expansion.  Additionally, the Design-Builder will evaluate project schedule, project costs as they relate to the established budget.  The design and evaluation will be required to be compatible with LPI Master Planning Committee objectives for the project.  LPI has prepared preliminary program requirements for this facility, which will be available during the Request For Proposal (RFP) phase of this process to firms that are invited to submit a proposal.   The Design-Builder will be required to evaluate the preliminary program and include in the adopted program potential rental space for future tenants.  Normal construction services will be an integral part of the required services.

 

Minimum RFQ Requirements

 

Minimum Requirements for this project include evidence of completed projects of similar scope and complexity.  Firms must submit 6 copies of their proposal, which accounts for 10% of the selection.  The minimum specific requirements are:

Provide general company information, which includes

 

1)      History of company

2)      Description of divisions or area offices

3)      Types of services provided by your firm

4)      Percent of total work procured under each of the following project delivery approaches (Lump Sum Competitive Bid, Design-Build, CM at Risk, other)

5)      Professional Liability Insurance Limits

6)      Number of employees

7)      Annual volume the last three years (provide breakout for Design-Build projects)

8)      EMR the last three years 

9)      Current and projected workloads

  

Provide relevant project experience, which includes:

 

1)      Project name and description

2)      Owner

3)      Gross square feet

4)      Cost per square foot

5)      Building structural type   

6)      Project schedule 

 

Provide project team information, which includes:

 

1)      Demonstrated experience as a project team designing and constructing projects of a similar scope

2)      Description of each team member’s role on the project

3)      One page summary for each team member describing their qualifications and relevant experience

4)      Organization chart showing roles and relationships of each team member

 

Note:    If design and construction services are to be provided by two separate firms, provide information above for each firm as applicable.

 

Qualifications Due

 

To be determined by the ASC Region IV Guidelines provided by others.


Request for Proposal (RFP)

 

After the RFQ proposals are submitted, the RFP including the program document and tentative site plan will be issued to all short-listed firms in hard copy format.  A CD will be prepared for each qualified bidder that contains the proposal requirements, the preliminary program, adjacency requirements, and plans as appropriate in either PDF or AutoCAD format.

 

One set of 1/16 scale or larger conceptual level drawings based on program requirements and site plan issued at the Pre-Competition Conference will be required in your proposal.  A set of conceptual level drawings must include at a minimum, but is not limited to:  

 

-Site plan showing location of building and parking in relationship to existing site                                           

-First floor plan

-Basement, typical or second floor plan

-Two building elevations

 

Other minimum requirements of the RFP will include your firm’s approach to sustainable design and “green” building techniques, conceptual estimating, value engineering, scheduling, and project management.  Site evaluation and site usage will be major selection criteria. 

 

Design Build 2006

REQUEST FOR QUALIFICATIONS (RFQ)

Project Description

 

Penske Automotive Group (PAG) is soliciting proposals from Design-Build contractors for the construction of 65,000 square foot Lexus Dealership and 30,000 square foot service building for an existing Mercedes showroom (new service building will need to be attached to existing showroom building). The existing showroom building is located on a 23 acre site in San Diego, CA. The showroom building will need to remain open during the construction of both buildings with as little disruption to “everyday” activities as possible.   

 

The Owner, PAG, will contract with one company to provide complete design-build services.  Selection will be based on a “best value” to the Owner.  The Design-Builder will establish a stipulated lump sum proposal for the project.  The contract for the design-build construction services shall consist of documents provided by the Owner for preparation of the proposal, the proposal of the successful design-build contractor, and AIA Document A191, “Standard Form of Agreements between Owner and Design/Builder, 1985 Edition.  

 

Scope of Services

 

The Design-Build contractor shall provide design and construction documents consisting of, but not necessarily limited to the following:  civil engineering (including grading, drainage and utility plans), architectural, structural, mechanical, electrical, plumbing, fire protection, landscaping and irrigation plans and specifications; and all construction services required to complete the project in accordance with the Design-Build documents.  The work will be completed in accordance with preliminary specifications, drawings and reports provided by the Owner, and working drawings and specifications generated by the Design-Builder that conform to all local, state and national Codes (including ADA), including but not limited to: 2000 IBC, 2000 IMC, 2000 IPC, 2003 IFC and 1999 NEC.  The building is to be designed in accordance with B-Occupancy for customer and office areas and S-1 for parts and service areas, Fully Sprinklered as defined by the 2003 IFC.  The Design-Builder will acquire and pay for all permits required for the project, as well as all plan check fees, water and sewer connection fees, water meter fees and electric and gas connection fees.  Any Hazardous Material studies or technical reports required by the governing authorities will be prepared by the Design-Builder.

 

Complete working drawings and specifications will be furnished to the Owner for approval prior to submittal to the building department and at start of construction.  Working drawings will bear the seal of licensed architects and engineers of the State of California.  Should a governing body or local building inspector require that a change be made to any phase of the building plans or specifications after they have been prepared and approved and permits issued, any additional cost for said changes will be paid by the design-builder.  It is the intent that the design-builder be solely responsible for all costs associated with coordinating the plan and specifications with all agencies having jurisdiction over the project.

 

Site Design Criteria

Site should have good flow for customer access off City Streets.

The owner would like to maximize display pad space along South and West sides of the site.

The owner intends to install a 75’ tall LED display sign as part of the signage package. Please allow for a 20’w x 40’l area to install the sign. This sign should be located to maximize visibility.

Parking counts will be provided and the site will need to be designed to accommodate those counts.

                                                           

Service, service staging and employee parking should not be visible to the public, screening or alternative means should be considered.

 

Building Design Criteria

 

Lexus Department Requirements:

Showroom – approximately 39,000sf of showroom area to include; car display area, 4 F&I offices, 9 service writer offices, 7 miscellaneous offices, 2 sales manager offices, customer lounge area, parts boutique area, fax copy room, customer quiet lounge, service directors office and file storage area

Service Drive – 4 lane service drive to accommodate service customers

Parts – 7,000 sf of parts space

Service – approximately 20,000 sf, 29 service stalls and 1 alignment rack, 650 sf of storage space, 500 sf of space for equipment. (need 15’ clear to acoustical ceiling in service area)

 

Mercedes Department Requirements:

Service Drive – 4 lane service drive to accommodate service customers

Provide 7 service writer offices and 1 loaner car office.

Parts – 7,000 sf of parts space

Service – approximately 20,000 sf, 29 service stalls and 1 alignment rack, 650 sf of storage space, 500 sf of space for equipment. (need 15’ clear to acoustical ceiling in service area)

 

Sample floor plan layouts will be provided for you as examples or models of typical flow in a dealership. The existing Mercedes Dealership floor plan will be provided to you as well.

 

Minimum RFQ Requirements

 

Minimum Requirements for this project include evidence of completed projects of similar scope and complexity.  Firms must submit 6 copies of their proposal, which accounts for 10% of the selection.  The minimum specific requirements are:

 

Provide general company information, which includes

1)     History of company

2)     Description of divisions or area offices

3)     Types of services provided by your firm

4)     Percent of total work procured under the each of the following project delivery approaches (Lump Sum Competitive Bid, Design-Build, CM at Risk, other)

5)     Professional Liability Insurance Limits

6)     Number of employees

7)     Annual volume the last three years (provide breakout for Design-Build projects)

8)     EMR the last three years 

9)     Current and projected workloads

 

Provide 5 examples of relevant project experience, which includes:

1)     Project name and description

2)     Owner

3)     Gross square feet

4)     Cost per square foot

5)     Building structural type  

6)     Project schedule 

7)     Your company’s key personnel

 

Provide project team information for this project, which includes:

1)     Demonstrated experience as a project team designing and constructing projects of a similar scope

2)     Description of each team member’s role on the project

3)     One page summary for each team member describing their qualifications and relevant experience

4)     Organization chart showing roles and relationships of each team member

 

Note:   If design and construction services are to be provided by two separate firms, provide information above for each firm as applicable.

 

Provide specific project management techniques, including:

1)     Describe your project estimating system, both for preconstruction and

monitoring during construction.

2)     Describe your project management system, cost accounting and office record keeping.

3)     Describe your field administration system, including record keeping logs,

      submittal processing, record drawings, changes to the work, and closeout.

4)   Describe your project scheduling system, and its ability to interface with Microsoft Project software used by the Owner.

 

Qualifications Due

 

To be determined by the ASC Region IV Guidelines provided by others.


Request for Proposal (RFP)

 

After the RFQ proposals are submitted, the RFP including the program documents and site plan will be issued to all short-listed firms in both hard copy and on CD in AutoCAD 2000. 

 

One set of 1/16 scale or larger conceptual level drawings based on program requirements and site plan issued at the Pre-Competition Conference will be required in your proposal.  A set of conceptual level drawings must include at a minimum, but is not limited to:  

 

-Site plan showing building layout and parking plan detailing the required stalls and particular location.

-Site plan showing phasing and completion dates for different areas of the site.                                           

-Interior improvement plan

-Two building elevations

-Preliminary grading plan showing site boundary, pavement, curb and finish floor elevations.

 

Other minimum requirements of the RFP will include your firm’s specific approach for construction sequencing, project schedule, cost breakdown and discussion of your company’s key design features that you propose for the project.

 

 

Design Build 2007

REQUEST FOR QUALIFICATIONS (RFQ)

Project Description

 Capital Alliance Development Group (CADG) of Centennial, Colorado seeks a firm to provide architectural/engineering services plus construction services for a new for-sale residential urban infill project at the historic Country Club Gardens development in downtown Denver, CO. The re-development of Country Club Gardens will consist of 530,000 gross square feet (GSF) of condominiums and amenities in 2-3 high-rise towers and new structured parking to accommodate approximately 810 spaces, set within the existing Country Club Gardens campus. The high-rise towers will feature a total of (270) one, two, and three-bedroom units ranging in size from 550 to 1,950 square feet, with the upper floor(s) of each tower dedicated to (12) larger penthouse units. To minimize design costs, CADG requests that the design incorporate no more than ten (10) distinct unit layouts, excluding penthouse units. Although CADG will conduct presales to interested buyers, customization of units beyond selection of various finishes packages (casework, cabinetry, tile, wall coverings, and stone) is not currently contemplated.

 The building site encompasses approximately two acres and is currently occupied by existing two-story residential buildings and landscaped areas. In keeping with the upscale, high-end nature of the project, CADG proposes to provide a variety of amenities in the re-development, including a porte cochere; large, elegant lobby; fitness center; indoor/outdoor pool; conference center; and coffee bar among others.

 Because Country Club Gardens has been designated as a “district for preservation” by the Denver Landmark Preservation Commission, great care must be taken to develop and design a project that is sensitive to both the historic roots of the neighborhood as well as the historic nature of the existing structures on the Country Club Gardens site. While CADG anticipates that some demolition of existing low-rise structures and old-growth tress onsite will be necessary for the new development, CADG has committed to local neighborhood groups that as much of the existing buildings and building facades as possible will be retained. It is anticipated that some of the existing buildings will be remodeled into sales offices and model units for the new towers.

 In keeping with the historic nature of the project, the exterior finish materials selected for the project will be reminiscent of those used on adjacent historic structures throughout the surrounding neighborhood. Extensive landscaping will be provided around the project and on any terraces, balconies, and decks of the new towers.

  

Scope of Services

 CADG anticipates using the Design-Build approach to project delivery. The Design-Builder will be responsible for performing the following services related to the project:

 ·         Establish a Guaranteed Maximum Price for design and construction within the parameters of the preliminary pro forma provided by CADG.

·         Evaluate the project schedule, including overall project duration, design milestones, and preliminary turnover milestones.

·         Evaluate site usage and recommend to the Owner an appropriate site usage considering design constraints, traffic flow, and program requirements.

·         Develop a design that meets the Owner’s program requirements and maximizes efficiency while remaining in accordance with published Design Guidelines for Country Club Gardens and applicable building codes – 2006 IBC, 2003 IMC, 2003 IPC, 2003 IFC, and 1999 NEC; as well as Fair Housing Act design and construction requirements for accessibility.

·         All construction services required to complete the project in accordance with design-build documents.

 CADG has prepared preliminary program requirements for this facility, which will be available during the Request for Proposal (RFP) phase of this process to firms that are invited to submit a proposal.

  

Minimum RFQ Requirements

 Minimum requirements for this project include evidence of completed projects of similar scope and complexity.  Firms must submit 6 copies of their proposal, which accounts for 10% of the selection. The minimum specific requirements are:

 ·         Provide general company information, including the following: 

1)      History of company, including relevant philosophies or company culture

2)      Description of divisions or area offices

3)      Types of services provided by your firm

4)      Percent of total work procured under each of the following project delivery approaches (Lump Sum Competitive Bid, Design-Build, CM at Risk, other)

5)      Professional Liability Insurance Limits

6)      Number of employees

7)      Annual volume the last three years (provide breakout for Design-Build projects)

8)      EMR the last three years 

9)      Current and projected workloads for 2007-2009

10)  Capacity and types of work self-performed by your firm

 ·         Provide past relevant project experience, focusing specifically on residential high-rise, for-sale construction and/or urban infill projects. Include the following information for each project:  

1)      Project name and description

2)      Owner

3)      Gross square feet

4)      Cost per gross square foot (GSF)

5)      Cost per net saleable square foot (NSSF)

6)      Building structural type  

7)      Project schedule

8)      Key personnel assigned to the project (PM, Supt, etc.) 

·         Provide project team information, which includes: 

1)      Demonstrated experience as a project team designing and constructing projects of a similar scope

2)      Description of each team member’s role on the project

3)      One page resume for each team member describing their qualifications and relevant experience

4)      Organization chart showing roles and relationships of each team member 

·         Provide descriptions and examples of your firm’s systems and controls for project management, including the following: 

1)      Estimating

2)      Cost Control / Designing to a Fixed Budget

3)      Guaranteed Maximum Price (GMP) Development

4)      Schedule Control

5)      Safety

6)      Quality Control

7)      Value Engineering / Value Analysis

8)      Punchlist

  

Qualifications Due

 To be determined by the ASC Region IV Guidelines provided by others.

 
Request for Proposal (RFP)

 After the RFQ proposals are submitted, the RFP including the program documents and tentative site plan will be issued to all short-listed firms in hard copy format.  A CD-ROM will also be prepared for each qualified bidder that contains the proposal requirements, the Owner’s preliminary program requirements, site photographs, design guidelines, and plans as appropriate in either PDF or AutoCAD format.  

One set of 1/16 scale or larger conceptual level drawings based on program requirements and the site plan issued at the Pre-Competition Conference will be required in your proposal.  A set of conceptual level drawings must include at a minimum, but is not limited to:    

·         Overall site plan showing location of new towers and parking in relationship to existing site and buildings

·         Traffic plan showing both tenant and service access from surrounding streets                                         

·         Building sections showing parking, amenities, units, and penthouses

·         Floor plan of typical unit floor

·         Typical garage and Amenities level(s) conceptual floor plans

·         Unit breakdown matrix demonstrating compliance with RFP criteria for net saleable square footage (NSSF), unit counts, and unit types.

·         1-2 building elevations are desired but are not required deliverables 

Other minimum requirements of the RFP will include a site utilization plan and narrative(s) outlining your firm’s specific approach to construction sequencing, haul routes and construction traffic flow, hoisting and material handling, public safety, employee parking, and proposed strategy to mitigate construction impacts (noise, dust, etc.) to existing tenants and the surrounding neighborhood.

 

 

Residential Division


 Problem Statement 2004

The Project will encompass 73 acres of raw land in city limits of Hometown, USA. The land is contracted to purchase at $21,918 per acre. Sewer and water are adjacent to the site. Accessibility to a major highway is less than 5 minutes away. The major job corridor is about 20 minutes away with a major shopping and retail district 10 minutes away. The builder is proposing the following.

 

  • Single family 1st homebuyer

  • 5 products: 1500 sq. ft. to 1900 sq.ft. (Bsmt square footage excluded) with basements as a standard feature – Typical base selling price’s are $95 to $100 /ft.

  • A low base specification level for the options, where buyers will spend 7 to 10% of the base price for option upgrade selections.

  • Permit Fees will total ­$573.50

 

 

Due to the availability of developed land in the metro area, the supply side is not constrained creating a very competitive market. The majority of the competition builds in custom features, typically building in over 15% of the base price into the house. The builder who is developing and building on this parcel is a large national builder (publicly traded) working to find niches into the market creating unique selling positions against the competition and leveraging national purchasing contracts of supplies.

 

This national builder needs to provide a feasibility study to the Corporate Office in order to receive funding to purchase/develop the ground sell/build the Single Family Residential Homes.

 

Your team will be responsible for creating this study and will need to identify the Following:

  1. Market Information

  2. Financial Information

    • Community Income Statements

  3. House Pricing Work Sheets

  4. Land Development Cost Summary

  5. Sales Production and Closing Schedule

 

Your team will be provided with the Plans and Specifications for each home at the Pre-Competition Conference, as well as the engineering plans, specs and quantities.

 

Problem Statement 2003 Fall

You are a local division of the public company and need to put together their business plan for a successful home building project. 

 

The project encompasses 52acre parcel of raw land in the Corporate Limits of Mayberry, USA.  The land is contracted to purchase at $30,000 per acre and will close upon receipt of Final Engineering approval. Sewer and Water are adjacent to the site with minimal expense required to extend to the property. Accessibility to the interstate is 5 minutes away with driving distance to the Area job corridor only 10 minutes and the City Job corridor approximately 30 minutes.  The builder is proposing the following:

  • Single Family 2nd Home Buyer (Move-Up) Housing

  • 5 products: 1900 sq.ft. to 2500 sq.ft. (basement square footage excluded) with basements as a standard feature – Typical Base Selling Prices are $95 to $100/ft.

  • A low base specification level for the options, where buyers will typically 7 to 10% of the base price on for option upgrade selections.

  • Lot sizes needing to be 75’ wide and 125’ deep allowing for 3rd car option with all of the product plans – Typically this lot size will produce densities of 2.7 units / acre.

  • Permit Fees including Water, Sewer, Park and building total $4,000 per unit

Because of the availability of developable land in the metro area, the supply side is not constrained creating a very competitive market place where a majority of the competition builds to the custom features, typically building in over 15% of the base price into the house for these features.  The builder who is developing and building on this parcel is a large national builder (publicly traded) working to find the niches in the market creating unique selling positions against the competition and leveraging national purchasing contracts of suppliers.

This national builder will need you to provide them with a feasibility study for the Corporate Office in order to receive funding to purchase/develop the ground and build/sell the Single Family Residential Homes. As a local division of this public company you will also need to put together your business plan.  It will be your job demonstrate your ability to successfully complete this home building project.

Your team will be responsible for creating a feasibility study that will identify the following:

Marketing Information

Financial Information

o        Community Income Statement

o        Cash Flow

      House Pricing Worksheets

      Land Development Cost Summary

      Sales Production and Closing Schedule

 

Your team will be provided the Plans and Specifications for each home at the Pre-Competition Conference, as well as the engineering plans, specs, quantities, general market/marketing conditions and project characteristics.   

 

Problem Statement for 2005

National Homebuilder to build homes in Goodville!!!

This project will consist of 121 acres of raw land in the town of Goodville, USA.  The cost of this parcel has been contracted to purchase at $6,000/acre.  Preliminary zoning approval has been obtained calling for 2 homes per acre.  This parcel is located adjacent to a large military base, employing over 12,000 people.  The site is approximately 5 miles from a major interstate and within 25 miles of major U.S. city.  The builder has a diverse product portfolio consisting of 10 floorplans, but isn’t sure exactly where to price them.  The builder does know the following:

 

-         Builder’s plans range from 1,200 to 2,705 square feet

-         Builder plans to offer low specification level for options, and expects buyers to spend between 7-10% of the base price for optional upgrades.

-         Builder has a land development budget of just over $5.3 million.

-         Building permit fees will total $650/lot.

-         The builder’s market research concluded that buyers would sacrifice a basement if “the price was right”  -- While the builder can offer basements, the idea of building on slabs is ideal.

-         Builder needs to sell at least 4 homes per month in order to make the required ROANA.

 

Located on the extreme outskirts of a major city, the builder has only been able to identify two competitors building comparable single-family products.  A copy of competitor price sheets, standard features, and sales/month have been included.  Due to the topography of the site, blasting will be required on 2/3 of the lots.  The builder is also requesting a site-specific budget for unforeseen land conditions such as high plastic soils.

 

This national builder needs to provide a feasibility study to the corporate office in order to receive funding to purchase/develop the ground and to sell/build the single-family homes.

 

Your team will be responsible for creating this study and will need to identify the following:

-         Market Information

o       Competitive analysis

o       Target market analysis

o       Advertising strategy

-         Financial Information

o       Community income statements

-         House pricing worksheets

o       Incorporating brick & mortar costs, permit fees, lot costs, etc.

o       Include per plan gross margin projections

-         Land Development Cost Summary

-         Sales Production and Closing Schedule

o       Sales, Starts, Closings

Your team will be provided with the plans and specifications for each home at the pre-competition conference, as well as the engineering plans, specs, and quantities.

Competitor A

(All plans include basements)

 

Plan                             Sqft                             Bedrooms/Bathrooms                        Base Price

 

Ranch                           1,150                           2 bedrooms/2 bathrooms                      $146,300

Ranch                           1,348                           3 bedrooms/2 bathrooms                      $149,900

Two-Story                   1,643                           3 bedrooms/2.5 bathrooms                   $164,200

Two-Story                   1,728                           3 bedrooms/2.5 bathrooms                   $168,500

Two-Story                   1,938                           4 bedrooms/2.5 bathrooms                   $174,500

Two-Story                   2,100                           4 bedrooms/2.5 bathrooms                   $179,400

 

 

Competitor B

(All plans include basements)

 

Plan                             Sqft                             Bedrooms/Bathrooms                        Base Price

 

Ranch                           1,300                           3 bedrooms/2bathrooms                       $131,900

Ranch                           1,500                           3 bedrooms/2 bathrooms                      $139,900

Ranch                           1,700                           4 bedrooms/2 bathrooms                      $146,900

Two-Story                   2,100                           3 bedrooms/2 bathrooms                      $151,900

Two-Story                   2,350                           4 bedrooms/2.5 bathrooms                   $158,900

Two-Story                   2,600                           4 bedrooms/2.5 bathrooms                   $170,900

Two-Story                   2,900                           4 bedrooms/2.5 bathrooms                   $176,900

 

 

Residential Division Fall 2006

National Homebuilder to build homes in Sunnyville!!!

 

This project will consist of 120 acres of raw land in the town of Sunnyville, USA.  The cost of this parcel has been contracted to purchase at $40,000/acre.  Preliminary zoning approval has been obtained calling for 3.3 homes per acre.  This parcel is located adjacent to a major interstate and many larger employers.  The site is within 40 miles of a major U.S. city.  The builder has a diverse product portfolio consisting of 10 floorplans, but isn’t sure exactly where to price them.  The builder does know the following:

 

-         Builder’s plans range from 1,200 to 2,693 square feet

-         Builder plans to offer low specification level for options, and expects buyers to spend between 7-10% of the base price for optional upgrades.

-         Builder has a total land development budget of $12,629,200.

-         Builder expects to earn an average premium of $450 per lot.

-         Builder needs a general construction budget for items (i.e. site conditions, rock, etc.) not covered under land development or brick & mortar.

-         The builder’s overhead as a percent of revenue is about 7.5%.

-         The builder’s objective is to achieve around 22% gross margins on each sale.

-         Builder needs to sell at least 7 homes per month in order to make the required financial objectives.

 

Located on the extreme outskirts of a major city, the builder has only been able to identify two competitors building comparable single-family products.  A copy of competitor price sheets, standard features, and sales/month have been included.  Being that this market is union driven; the builder expects an additional increase of 5% to the final brick & mortar budgets.

This builder needs to provide a feasibility study to the corporate office in order to receive funding to purchase/develop the ground and to sell/build the single-family homes.

 

Your team will be responsible for creating this study and will need to identify the following:

-         Market Information

o       Competitive analysis

o       Target market analysis (demographics of buyer)

o       Advertising strategy

-         Financial Information

o       Community income statements

-         House pricing worksheets

o       Incorporating brick & mortar costs, permit fees, lot costs, etc.

o       Include per plan gross margin projections

-         Sales Production and Closing Schedule

o       Sales, Starts, Closings

 

Your team will be provided with the plans and specifications for each home at the pre-competition conference, as well as the engineering plans, specs, and quantities.

 

Competitor A

(All plans include basements)

Plan                             Sqft                             Bedrooms/Bathrooms                        Base Price

 Ranch                           1,150                           2 bedrooms/2 bathrooms                      $146,300

Ranch                           1,348                           3 bedrooms/2 bathrooms                      $149,900

Two-Story                   1,643                           3 bedrooms/2.5 bathrooms                   $164,200

Two-Story                   1,728                           3 bedrooms/2.5 bathrooms                   $168,500

Two-Story                   1,938                           4 bedrooms/2.5 bathrooms                   $174,500

Two-Story                   2,100                           4 bedrooms/2.5 bathrooms                   $179,400

 

 

Competitor B

(All plans include basements)

 Plan                             Sqft                             Bedrooms/Bathrooms                        Base Price

 Ranch                           1,300                           3 bedrooms/2bathrooms                       $131,900

Ranch                           1,500                           3 bedrooms/2 bathrooms                      $139,900

Ranch                           1,700                           4 bedrooms/2 bathrooms                      $146,900

Two-Story                   2,100                           3 bedrooms/2 bathrooms                      $151,900

Two-Story                   2,350                           4 bedrooms/2.5 bathrooms                   $158,900

Two-Story                   2,600                           4 bedrooms/2.5 bathrooms                   $170,900

Two-Story                   2,900                           4 bedrooms/2.5 bathrooms                   $176,900

 

Residential Division Fall 2007

The project will encompass 105 acres of raw land in Twin Pines, USA.  The 105 acres of land includes 13 acres of green space, giving the builder 92 usable acres.  The land will be purchased for $38,000.00 per acre.  Sewer and water are adjacent to site and easily accessible.  Accessibility to a major highway is less than 5 minutes away and interstate access is an easy 15 minute drive.  There are several job corridors within 30 minutes of the project, the closest being 15 minutes away.  Major shopping and retail centers are also within 15 minutes of the project.  Elementary school, middle school and high schools are also in very close proximity to the project.

The builder is proposing the following:

  • Single family, first time buyers and 1st time move up buyers
  • 13 floor plans that range from 1300 square feet to 2800 square feet (excluding basement)
  • Basements standard in all homes
  • Typical base price ranges from $65.00 to $95.00 per square foot
  • Proposed lot size is 54’ x 120’ deep
  • Proposed density is 3.23 units per acre
  • Base house specifications are relatively low with builder expecting buyer to spend between 10 and 14 percent of the purchase price on upgrades at a design center
  • Permit fees will be approximately $2400.00 per unit

The amount of both raw land and developed lots is currently not a concern; however buying the dirt at the correct price is paramount based on the builder’s market niche.

The majority of builders include a small amount of custom features or take the “all included approach”.  This builder works to maintain their niche of providing the most base house for the least amount of money and lets the buyer add the options they want.

The builder must provide a feasibility study to their lending institution to secure the funding necessary to purchase and develop the land along with the necessary financing to build and sell the single family homes.

Your team will be responsible for creating this study and will need to provide the following information in order to obtain financing:

  • Market Information

o Competitive Analysis

o Target Market Analysis

o Advertising Strategy

  • Community Income Statements
  • House Pricing Worksheets
  • Land Development Cost Summary
  • Sales, Starts & Closing Schedules

   Your team will be provided the Plans & Specifications for each home at the Pre-Competition Conference, as well as the engineering plans, specs, quantities, general market/marketing conditions and project characteristics.

 

 

 

 

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Last modified: July 14, 2009