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Wolgast Blog - Construction Trends, Tips and Information

Get commercial construction questions answered by a professional contractor sharing building trends, tips and information

Posts about Good for Business (6)

Mich.'s Energy Code (2015) to Save Energy for Building Owners

The 2015 Michigan Energy Code, as directed by Licensing and Regulatory Affairs (LARA), went into effect Sept 20, 2017.  The changes to the code involve lighting controls of new commercial buildings and remodels with more than 50% lighting alterations in an effort to increase energy savings.  In a nutshell, different areas of a commercial building will need both sensors and a wall switch or dimmer to control lighting.

Universal Design Can Change Your Business

In 2015, there were roughly 53 million Americans1 who were disabled either in mobility, in hearing, or with their vision.  Moreover, there are the aging baby boomers with special needs, mothers with strollers, and an increasing number of people using service dogs who each have different accessibility needs to public places.  Whether you are a restaurant, retailer, bank, medical office, or school (to list a few), you likely already have Americans with Disabilities Act (ADA) standards to meet when you build a new building or remodel your existing one; however, if you aren’t already regulated by Title II or Title III, there are still benefits of planning your building for access to everyone, also known as Universal Design, which is different from ADA.  Some are considering Universal Design an emerging concept of good citizenship, much the same way LEED has done for reducing a company’s carbon footprint.  Compared to ADA which is mandated by the government to provide accessibility for disabled people within publicly used buildings, Universal Design is a choice that a building owner makes to include accommodations not regulated by the ADA to provide easy accessibility to everyone.

Use CM When Your Client List Is Full of Building Contractors

Uncommon (and Common) Reasons to Use Construction Management
One of our Construction Management (CM) clients recently stated that starting a large construction project is similar to drinking from a fire hose.  He has appreciated relying on us to help him through the process.  If you don’t know, CM is a construction delivery method where an owner hires both the Architect and Contractor on the team before the design process begins.  The Owner, the Architect, and the CM work together to identify the scope of the project, estimate the budget, and determine the schedule.  During the Design Phase, the Architect is responsible for creating the design based on the scope, and the CM estimates the budget needed for constructing it and coordinates the schedule.  During the Construction Phase, the CM finds the subcontractors and oversees construction through the Warranty Phase; the Architect offers checks and balances to ensure that their design is executed accurately and that schedules and budgets are met.  This method is typically suited for most large projects that either span more than a year, involve more than one building, or both.  It is also suitable for other types of projects in instances described below.

Benefits of Using CM

Construction Broker Service Compared to Professional Construction

As construction broker companies continue to pop up, they’re coming up short compared to a Design-Build – General Construction (DB-GC) Firm in many important areas for project success.  DB-GCs provide much more control over the schedule and the budget on your project versus a construction services broker.

Cost Segregation Study Can Help Find Cash Hidden in Your Building

 

(At Wolgast's request, CPA, Andrew Rose of Rehmann's Commercial Industry Group, generously shared the following expert insight into Cost Segregation to help guide our clients to find tax savings in their building.)

As the economy rebounds, businesses are becoming more profitable. At the same time, higher individual taxes are placing a financial burden on business owners. If you’re looking for ways to reduce taxes and boost cash flow, consider a cost segregation study.

The Inside Scoop on Construction Manager at Risk Delivery Method

 

By hiring a Construction Manager at Risk (CMAR) you’re getting a construction consultant on your team who handles all aspects of your building from design through warranty for a guaranteed maximum price. The CMAR oversees your project and can even hire the architect on your behalf, working with them to see that your design goals are recognized within the allotted budget. Then they complete all the pre-construction activities and hire the contractors as if it were the CMAR’s own project. The CMAR oversees the construction of the building through completion and any warranty issues.

Quick Turn over for Auto Dealership Reimage

The Ford Motor Company reimage program is in full effect.  Dealers had to be committed earlier this year and now have until the end of 2016 to complete their design.  We are experience with designing and constructing many flagship dealers and can do the same for you.

Rick Keith, Wolgast Corporation's Architect, is ready to assist dealerships however he can.  Rick has been through corporate design programs with other dealerships, hotel chains, and restaurants, so he knows the protocol involved.

Why Winter Is the Best Time to Plan Your Construction Project

Other than taking time to prepare a plan when the weather is poor for construction (so you can be ready when the weather is conducive for construction) there are additional benefits to contact your design/builder or general contractor in the winter.  Let me clarify that the following explanation works best when applied in Michigan and other cold winter states.  

Why Design Build Works Well for Healthcare Practices

 
In this blog, I’ll explore how the Design-Build (D-B)method of construction is well suited to healthcare practitioners, more so than general construction.  To start, the D-B method was really created to suit the needs of busy business owners, including doctors, because it requires less attention from an owner and that owner can set their building involvement as much or little as they see fit.  Some customers like to be more engaged in the process than others and we are happy to accommodate each client’s unique desires.

 

The basic difference of D-B over general construction is the relationship between the architect and builder.  In this project delivery, they are on the same team. A doctor only needs to work with one entity to design and then build his or her office.  Also in this scenario, the doctor is protected from any discrepancies from the architect’s drawings to contractor’s construction application.  With D-B, the contractor and architect are consulting on budget, application, and material quality throughout design, so when construction starts there are very little interruptions or change orders. Should there be a discrepancy, the Design-Builder will work it out without involving the owner unnecessarily. This protection is valued by doctors who oftentimes aren’t as familiar with construction, nor have the time to deal with these issues on site. All of these reasons are exactly why D-B was created as an alternative to general construction.

Popularity Increasing for Design Build Construction

As an update to this blog originally posted a few years ago, we have new information to add  from the June 2018 Design-Build Utilization Report funded by Design-Build Institute of America. Findings in this report determined that popularity continues to grow for this delivery method. The results showed, "Design-Build Construction spending in the assessed segments is anticipated to increase 18% from 2018 - 2021", and will likely represent 44% of construction spending by 2021. Researchers determined that the education of building owners on Design-Build benefits is gaining traction, and more owners are experiencing enjoying the benefits first hand.  Additionally, FMI Corporation, a management consulting and investment company, had released a report in March 2019 titled 2019 AGC/FMI Risk Management Survey, whereby they found that "38% of contractors were <planning> to increase their in-house design capabilities last year and 43% this year".  So there will be more collaboration, less risk, and more competition among design and construction moving forward.

Original blog article:

According to the May 2013, “Design-Build Project Delivery Market Share and Market Size Report” by Reed Construction Data and RS Means Intelligence, Design-Build construction delivery method has taken an additional 9% of the construction market since 2005 and General Construction has lost 10% of the market share in that same time.

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