Using a Design and Build company vs. using Build Only - Which option is best for your home renovation?
Building a new home or undertaking a major renovation requires careful planning and execution. When it comes to getting started, one of the first questions you need to ask yourself is:
1. Do you engage a company that does both the design and build? Or,
2. Do you engage two separate companies – one for the design and one for the build?
Both approaches have their advantages and disadvantages. The choice you make will ultimately depend on the specific needs and goals of your project.
Option 1: Design and Build Company
Integrated Design-Build is a method of construction in which one company is responsible for both the design and build phases of your new home build or renovation project. This approach gives you a single point of contact from the first concept design, all the way through to handing over the keys at the end of the build, making it easier and quicker to manage the project and resolve any issues that may arise. The design and build firm will work with you to create a home design that meets your specific needs, preferences and budget, and then undertake and manage the construction process from start to finish.
Advantages of Design and Build
Reduced risk and simplified engagement
By using one company for both design and build, you reduce the risk of miscommunication and mismanagement that can happen between two suppliers (which can lead to costly mistakes and timeline blowouts). An integrated design and build company is responsible for overseeing your entire project from start to finish with a centralised project manager as your point of contact, ensuring that all aspects of the design and construction process are properly coordinated, aligned, and communicated.
Improved cost control
Working with a single design and build company can provide better cost control, as the company can provide updated build cost estimates during the concept design and design development phases (i.e. you don’t have to wait until after your DA or CDC is approved before you seek a building quote). This allows you to have a clear understanding from the very beginning, as to how your design fits with your build budget and make any necessary changes.
Increased flexibility
If something unexpected pops up during construction, or you would like something changed, the Architect and builder are on the same team, working together to find a solution for you. You are no longer at the bottom of your Architect’s priority list now the design is complete. They remain front and centre of your entire project.
Disadvantages of Design and Build
Minimal options in market
Over the decades, the home design and construction industry has become increasingly fragmented. There are far more standalone Architects and builders operating in the marketplace today than there are integrated design and build operators. So it may be more difficult to find an integrated design and build company that can take on your project on a timeline and/or budget that suits you. If the company insists on you signing a contract to lock in both design and build, you may incur higher costs due to the lack of a competitive bidding process. It’s imperative here that you have absolute trust in the company you’re moving forward with and that they can provide you with flexible contract options. (Note - MILEHAM provides all clients with separate design and build contracts, so you are never locked into a single design and build contract).
Limited design options
A one-stop design and build company may have a specific design aesthetic or style, which may not align with your personal preferences. This can limit your options and make it difficult to achieve the exact look and feel that you are envisaging. Make sure you choose a company that is able to offer a variety of design options and styles.
Option 2: Build Only Company
The customer experience for the past number of decades has been to hire separate design and build companies for each phase of your project. The design phase is typically carried out by an Architect or draftsman, who will design the plans and specifications for your project and take it through planning approval. Once the design is complete and DA or CDC approved, the construction phase begins, and a separate contractor is hired to quote and build your home.
This approach is often used when you have a particular builder or designer whom you’ve been recommended or would like to use. In some instances your Architect will put your approved plans out to tender to builders. Usually, however, you will be responsible for finding and securing your own builder.
Advantages of Traditional Construction
Specialised expertise
If your home design requires a unique area of construction expertise – either due to the use of specialised materials, complex construction requirements to achieve the design, specific skills in heritage remediation, or because you have a challenging block to build on – you will likely need to hire a specialised builder with the particular skills, network and experience to achieve your design.
Competitive bidding
Traditional construction allows for competitive bidding on the construction phase, with multiple contractors submitting quotes for your project. This may give you the option to then prioritise your choice of builder based on their availability, timeframe, cost, reputation or experience.
HOT TIP: Ensure you are comparing like for like numbers, and not comparing one supplier’s estimate with another supplier’s quote.
Disadvantages of Traditional Construction
Increased logistics
Traditional construction requires increased coordination between the separate design and construction companies, which can lead to delays and miscommunication. In most instances you will be responsible to project manage between the parties, so you will need to ensure you have the time and technical expertise to do so.
Risk of design blowing out the build budget
Using a separate designer and builder is more prone to cost blowouts as designs are often completed in isolation from the builder’s knowledge in material and labour availability. Changes (i.e. Variations) to the design then need to be made during construction which can be costly. A design and build company that undertakes the design phase for you, will do so in consultation with their in-house construction team and can thus design with your build budget in mind meaning they are more likely to avoid costly blowouts.
Potential project timeline delays
Builders will only provide build quotes once your DA or CDC plans are approved and official Construction Documentation provided. This stage can take 6 months or longer to complete. An integrated design and build company can expedite your timeline by providing you with updated build estimates during the design phase, and preparing your build quote during the approval phase, thus enabling you to get started as soon as your plans are approved.
Requires more time engagement from you
Traditional construction requires a lot of engagement from the client themselves to manage both the design and construction companies and take responsibility and action for any delays or oversight. The cost (or availability) of your time should be taken into consideration when choosing a traditional construction path.
Both traditional build only, and integrated design and build companies have their pros and cons. The choice between them will depend on the specific needs of your project, including the level of flexibility required, cost control, communication, and your level of expertise if you need to manage the project.
MILEHAM is uniquely positioned in the Sydney home renovation and knock down rebuild market. We offer the best of both options, providing our clients the choice of a Design Only, Build Only, and an integrated Design and Build service. This flexibility gives you the freedom to choose the path which best suits you and your project.
Design only: We have a team of skilled Architects who can do the design and development of your plans ready for your own builder
Build only: If you already have approved plans, we can just do the build for you, or
Design and Build: Or, talk to us about our award-winning design and build team, where our experienced in house architects and builders work alongside you from the initial design concept, right through to the completed construction of your home.
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