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Buy New Construction

In all areas of the construction industry, from home sales to office buildings and, in some rare cases, rail lines or toll roads, there are opportunities to buy new construction. In these cases, the building contractor and architect undertake a project without a buyer lined up, or build a project for an owner who intends to find someone wanting to buy new construction. The first option includes substantial risk for the contactor and architect, while, it falls on the property owner in the latter case.

Buildings built for people are companies looking to buy new construction are normally built using one of four methods. The traditional method is to use the design/bid/build approach, where an architect or engineer oversees the project. They handle the design, produce construction drawings, oversee bids and contracts and the building process itself. The design for the project intended for new construction sales needed is laid out by the architect, then the selected contractor follows through on or hires a subcontractor to do the installation. The contractor can win a project through the lowest blind bid or through the construction manager at-risk method, where the contractor guarantees to deliver the project within a guaranteed maximum price. Instead of simply serving as construction manager, the contractor also serves as a consultant to the owner during the design and development processes.

The design-build method has been increasing in popularity over the past decade. In design-build, the owner doesn't hire an architect to design the project, then seeks bids from a contractor. In this case, the owner solicits bids from a architect/contractor teams, who develop their own designs and include complete design and construction costs in their bids. This is different from the traditional process, where the architect completes the design before the contractors put in their bids.

In the management procurement method, the owner holds the greatest amount of control. Instead of hiring an architect to handle the project in construction, or hiring a consortium, the owner oversees every part of the process. They hire the architect, the construction manager and, in many cases, the subcontractors. Proponents of this method believe it speeds up the procurement process and increases flexibility throughout the building process.

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Roughneck Definition Exxonmobil

ExxonMobil is an American gas, and oil company. It became a company in late 1999 when two oil companies merged into one. Exxon and Mobil. The company descended from the former Standard Oil company founded by John D Rockefeller. The merger of Exxon and Mobil to...

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