The Construction CEO Suggests
A blog by Carl V. Carney, President & CEO of Davie Construction Co.
Introducing Keith Callahan, Our Executive VP of Business Development
After another record-breaking year in 2019, I decided that we needed to add an Executive Vice President of Business Development position to our management team. I sought an individual who would help us stay abreast of new opportunities across the region and develop our client relationships. In January, we welcomed Keith Callahan to the Davie Construction Co. family. Most of Keith’s construction experience, and master’s degree in Construction Management from Auburn University, occurred during his career in the U.S. Army where he served our country through several tours of duty. He retired after 24 years as a Lieutenant Colonel. This blog provides some insight into this exceptional individual.
“I started my career in construction almost 40 years ago as a welder for a company that built conveyor systems. That feeling of accomplishment in making “things that last” hooked me from the very beginning. Since then, I’ve worked on all types of projects, each providing great memories. If I had to pick my favorites, I’d say Higher Education for the historical aspect of the campus buildings. The technical projects for the Air Force were the most challenging and instilled a special sense of pride.”
During his time with the Army Corps of Engineers, Keith worked on projects that ranged from standard office upfit with intricate communications requirements to an aircraft cooling system built for ground testing. “You seldom get the opportunity to create something that has never been done before. I truly enjoyed those unique experiences,” he said.
Keith’s focus on higher education construction started before he retired from the Army when he joined the Wake Forest University Facilities Management team. He was at Wake for a decade, serving as Director of Project Management and later, Director of Planning Design and Construction. Before joining Davie Construction Co., he served as Associate Vice President of Mary Baldwin University in Staunton, VA.
While Keith considers the opportunity to solve problems with a building or renovation and the permanence of projects to be among the benefits of his career in construction, he said the relationships made during the process are the best part. “Carl and the team at Davie Construction Co. are successful because of the quality of the work. The way they treat people, with honesty and integrity, has also propelled the phenomenal growth. They have so much repeat business because their clients develop trust and respect for the Davie Construction Co. team. I jumped at the chance to represent a company with such an admirable reputation.”
Please join me in welcoming Keith to Davie Construction Co.!
The Purr-fect Way to Expand Your Veterinary Practice Space
(A Blog Guest Written by Frank Chapman, Executive Vice President of Medical Construction)
Well-respected veterinarians are very busy. Word of mouth travels, and when you take good care of your patients, their owners spread the news which grows your practice. One day you will look around and realize that you have outgrown your space. What’s your next step? Expand your offices in your current location, renovate an existing space nearby, or invest in a new building? The decision can seem overwhelming, and doing nothing seems like the best default until your practice becomes just too crowded. Don’t wait that long to start planning!
For over 20 years I have specialized in helping veterinarians (and physicians and dentists) finance, design, build, and maintain the most technologically advanced offices to meet their needs with the flexibility to adapt to new requirements. As the Executive Vice President of Medical Construction at Davie Construction Co., I manage every detail that goes into your project to ensure the reality of the outcome exceeds your expectations.
Many of our clients have already outgrown their office or surgical suite space when they initiate their plan to move. That means timing is extremely critical, which is a great reason to bring in a specialist. The project won’t be held up because the practice owners don’t have time to focus their full attention on the construction process.
I have completed many veterinarian projects in my career have developed a proven process for step-by-step planning. It starts by asking several questions.
1. Do you want leased space in a building or a stand-alone facility? An informed decision requires an analysis of variables like space availability, cost, location, future growth, and long-term practice goals.
2. Will a leased space provide the optimal environment for a successful practice?
Is it configured to accommodate both the mechanical systems and the advanced technological requirements of your practice, or will there be added costs to make it work properly?
3. If you start from scratch with a stand-alone building, how would you design it to meet your current and future needs?
One widely held misperception is that it is always less expensive to move your practice into a leased space than a stand-alone new building. You may be surprised when comparing the limitations of leased space and the costs to make it work to the cost to build the perfect new space.
4. How valuable is your time?
Your time as a vet is best spent caring for your patients and running your practice. It’s unusual to find vet training in architecture, design, HVAC, electrical, plumbing, equipment sourcing, construction, and project management. By hiring a specialist to manage your project, ensure adherence to the budget and schedule.
5. How often do you want to be onsite during the project?
No matter how well planned, a veterinary project requires onsite, hands-on, total focus management. I provide weekly status reports, either in person or by phone and am available by phone 24/7 to answer questions and provide updates.
Even if you aren’t thinking about moving your practice in the next few years, it’s not too early to start planning and assessing your options. Call me at (336) 940-6600, X 1021, and I’ll provide some valuable advice.
Davie Construction Co. – An Employer of Choice
We believe the growth and the success that we have experienced since our start in 1993 is a result of the hard work, loyalty, and commitment to quality demonstrated by our team. While it is our goal to be the “Builder of Choice” for owners seeking our full range of general contracting services and to exceed their expectations on all our projects, we can’t achieve that distinction if we aren’t also an “Employer of Choice.”
“Employer of Choice” is a term used by recruiting firms to describe those companies that reach the highest standards in recognizing and rewarding their employees through career development and opportunities for advancement. We strive to maintain this designation by consistently bringing team members together to learn, communicating directly, and enjoying each other’s company with events promoting fellowship and fun. We also work hard to nurture a family-focused environment honoring life/work balance.
There has never been a time in our history when it has been harder to attract skilled workers. Our industry shares this challenge with many others, including manufacturing and health care. We know we must offer competitive pay and benefits, but our employees consider other intangibles to be at least as important. These include quality of life, a supportive, engaged, management team, and heartfelt acknowledgment of their valuable contributions to our success.
We are actively building a pipeline to attract more young people or those seeking a career change, hoping they will find construction to be a stable and well-paying career choice. While many of the Davie Construction Co. team hold four-year degrees in construction management from schools like Clemson, Virginia Tech, Western Carolina, Appalachian State, NC State, UNC-Chapel Hill, East Carolina, Winston-Salem State, Forsyth Tech, and Davie County Community College, there are many other paths to a construction career.
We are working with Davie High School to initiate an internship program this summer that will hopefully continue into the next school year. We have welcomed many college students as summer interns over the years and are meeting with Davidson County Community College to start discussions to establish a state-registered apprenticeship program. For the younger students, we’ve hosted Chamber of Commerce Manufacturing Day Tours. Our Executive Vice President of Pre-Construction, Brad Chapman, has made presentations to eighth-grade drafting classes, explaining how those skills are critical to a career in construction.
Since the US military is the nation’s largest construction employer, we encourage local veterans with construction skills will consider Davie Construction Co. as well. Women hold key management roles at Davie Construction Co. Our Controller, Greta Gardner, is President of the local Chapter #109 of the National Association of Women in Construction. The range of well-paying jobs in this industry makes it a smart career choice for everyone!
The Immeasurable Return on the Investment in Continuing Education and Team Development
One of the most significant challenges facing the construction industry is the difficulty in finding and keeping good people. We address this concern by doing everything possible to demonstrate to our team just how much we appreciate them and their families who support their careers at Davie Construction Co. Continuing education is a vital part of our team development as it provides extensive opportunities for professional growth and advancement.
We just returned from our 12th year of participation in one of the largest and most influential construction industry conferences, World of Concrete in Las Vegas. As in each prior year, we brought a team of employees and their spouses to experience the learning, networking, and fellowship that this event provides. We all followed a full schedule that included seminars, exhibits, and hands-on sessions as well as some fun after-hours spent relaxing at great restaurants and visits to several Vegas attractions. The inspiring thank you notes I receive from those who travel with us graciously express how much these trips are appreciated.
Our team was empowered at World of Concrete to make purchasing decisions that impact us all and benefit our clients. Some tried out tools featuring built-in vacuum systems to mitigate the effect of concrete dust. An intern who came along for the learning experience tested out various new models of jackhammers. There were calls back to the office to share the equipment trial results and to gather opinions from those at home. We also sourced a software module with a cloud-based field component to enhance our onsite data access. The knowledge gained at all the classes taken and exhibits visited will be shared at an all-company meeting this month in which each participant will make a presentation and answer questions.
While some of my peers might question our practice of bringing so many with us to a conference like World of Concrete, I can’t overestimate the value of such an investment. My management team includes employees who started with us out of high school, as single guys pounding nails on the framing crew. Fast forward 15 years, and these men have risen through the ranks, excelled at each step, and with extensive on the job training and continuing education are now Project Superintendents, husbands and fathers. Our focus on the wellbeing of our employees and their families results in loyal team members having lifelong careers at Davie Construction Co., allowing us the treasured gift of watching them grow in their personal lives.
Conferences such as World of Concrete are not the only way we enrich our employees’ knowledge base or enhance their working experience. We invite experts to our office to address our team on timely topics that impact them, including benefits like health insurance, wellness perks, and retirement plans. This month one of the authors of the North Carolina Building Code will join us to explain recent changes in the code. Later in the spring, team members will attend a scheduling class in Virginia Beach.
Continuing education and team development are essential to attracting and maintaining a superior group of construction professionals, and also provide extensive benefits to our clients. We owe it to them to be as informed and advanced in our industry intelligence, methods and systems and to consistently reinvest in our company and our team. We believe our commitment to continuing education is a compelling reason why we are privileged with such loyalty from our team, and such a high percentage of repeat clients.
Looking Back on a Year of Giving Back
We knew we wanted to celebrate our 25th Anniversary in a way that would express our thanks to our clients, colleagues, friends, family, employees, and the community for supporting us in our growth and success. I met with our management team in late 2017, and we determined that the best way to show the depth of our gratitude was to find ways to give back. We developed a calendar of events scheduled throughout the year and were overwhelmed by the generosity of all those who contributed to help us achieve our goals.
Many of the organizations we supported in 2018 we have been involved with since the start, like those sponsored by the Davie County Foundation and the Davie County Chamber of Commerce (our Exec. VP of Preconstruction, Brad Chapman just finished his tenure as Chairman of the Board), and we continued to contribute to those in our anniversary year. We started 2018 by sponsoring a fundraising effort to purchase an electronic sign for the Dragonfly House Children’s Advocacy Center. We were honored to have been selected to build their new facility and are so thankful for the contributions from across the community that helped us to make the sign a reality. Executive Director, Brandi Reagan told us that a national accreditation representative recently visited from California and said the layout and ambiance of the facility are the best she has ever seen in her visits to similar centers across the US. Congratulations to Brandi, her team, and everyone who supports this vital resource.
One of our many objectives for our 25th Anniversary was to encourage our employees to become involved in our service projects, and to provide opportunities for them to spend time together away from the daily stresses of the job. Watching them work together for the benefit of those in need confirmed what I already knew. We have the right kind of people in the Davie family! Their caring personalities and hearts came through as they put their energy into helping others. Whether it was raising money and shaving their heads to help the St. Baldrick’s Foundation conquer childhood cancer or serving as timers for the Davie County Senior Games or painting a mural to donate to the Dragonfly House, our team supported each other and our service events with enthusiasm, empathy, and kindness.
It was a little daunting at the beginning of the year when we reviewed our full calendar of month-by-month service commitments. However, through a genuine team effort, (and with the incomparable arm-twisting and organizational skills of our CFO Janet Sheppard), we were able to achieve all our goals, give back to the community in many ways, and spend time celebrating with our clients, colleagues, friends, family and community members at several social events. As this year draws to a close, I heartily encourage other business leaders to consider giving back as a way to celebrate their company milestones. If you aren’t sure where to focus your efforts, I suggest becoming involved in the Insight program offered by Leadership Winston-Salem. I had the privilege of participating in this evening executive program for CEOs and found it to be eye-opening in presenting a comprehensive perspective on the needs in our community. While it is an inspiring introduction for those who are new to the area, it is just as educational for folks who have lived here as long as I have. I’m happy to share my experiences with Insight and the plans for our year of giving back with any interested business leaders.
Sending wishes of health, happiness, and peace this holiday season. Merry Christmas and Happy New Year from the Davie Construction Co. Family!
Visit https://live-davie-construction.pantheonsite.io/25th-anniversary-celebration/ to view our 25th Anniversary activities.
Making a Difference, One Committee at a Time!
(A Blog Guest Written by Brad Chapman, Executive VP of Preconstruction Services)
The personal fulfillment that my parents enjoyed as a result of their involvement in church activities and that my Dad experienced as a Little League coach, made a strong impression on my brother and me. We grew up knowing that a commitment to helping others was encouraged and would add joy and meaning to our lives.
For most of us, the first involvement in volunteerism as adults starts as young parents, helping school or sports programs that we are introduced to through our children’s activities. As the father of three sons, (6, 15, and 19), I have had the privilege of helping coach all three of them in Little League Baseball. My wife, Sarah, and I have taught third grade Sunday School classes at First United Methodist Church in Mocksville for 11 years and counting. The personal benefits from this type of service include watching your children and their friends grow and learn while helping to enrich children’s programs that serve a broad community.
When it comes to civic engagement, I believe it is helpful to choose volunteer opportunities where your specific skills and interests will bring value to those you are supporting. As a construction professional, I have served on the Trustees Committee of my church for nine years, and as Chairman for the past eight. In this role, I have helped oversee and manage several building and maintenance projects. For the past five years I have been on the board of the Western NC United Methodist Church Foundation which develops and distributes funding to support UMC construction projects across the region.
One of the most significant challenges facing the construction industry is the shortage of well-trained craftsmen and women. I work with Davie High School teachers and students to create awareness of the many job opportunities in our area and generate interest by demonstrating how technology is used in our industry through classroom presentations. I find that most of them are unaware that there are many well-paying and influential jobs that do not require a four-year degree. This knowledge helps them plan their careers with more options and supports our industry recruitment efforts.
I am the Chairman of the Davie County Chamber of Commerce. I am honored to work with two dynamic women, President & Secretary Carolyn McManamy, who will be leaving in September to focus on workforce development with Davie County Economic Development, and Caroline Moser, Member Services, who will be succeeding her. I lead the Board of Directors in supporting all the highly effective growth initiatives conceived and implemented by this hardworking team and encouraging business owners throughout the region to join and become actively involved.
I mentor many younger professionals in my many roles, and one of the consistent pieces of advice I give them is to find those groups, causes or individuals that would benefit from their time and energy and make a strong commitment to being involved and using their skills and talents to improve lives throughout their communities. Yes, it is an excellent way to build your business network, but in my experience, the personal fulfillment from knowing that you have made a difference is a gift that you will hold forever. There are plenty of opportunities right here in Davie County. Call me if you want some suggestions!
Outgrowing Your Practice?! Call a Specialist!
(A Blog Guest Written by Frank Chapman, Executive Vice President of Medical Construction)
The good news is your patient base is expanding. The even better news is that it is time to make a move. While that might seem like an overwhelming project that you hardly have time to contemplate, let alone manage, relax! There are construction specialists who completely focus their expertise on helping physicians and dentists design, build, and maintain the most technologically advanced offices to meet their current needs with the flexibility to adapt to new requirements.
As the Executive Vice President of Medical Construction at Davie Construction Co., my mission is to partner with our medical/dental clients and guide them in building or renovating their new offices. I manage every detail that goes into the project to make sure the reality of the outcome exceeds their expectations. Our goal for our clients’ satisfaction is the same as theirs for their patients. We want them to be extremely pleased with the quality of our work and service so that they return to us in the future, and refer their family and friends.
Many of our clients have already outgrown their office or surgical suite space when they initiate their plan to move. That means timing is extremely critical, which is a great reason to bring in a specialist. The project won’t be held up because the practice owners don’t have time to focus their full attention on the construction process.
I have completed many medical and dental projects in my career, and have developed a proven process for step-by-step planning. It starts by asking several questions.
1. Do you want leased space in a building or a stand-alone facility?
To correctly answer, clients must consider variables like space availability, cost, location, future growth, and long-term practice goals.
2. Will a leased space provide the optimal environment for a successful practice?
Is it configured to accommodate both the mechanical systems and the advanced technological requirements of your practice, or will there be added costs to make it work properly?
3. If you start from scratch with a stand-alone building, how would you design it to meet your current and future needs?
One widely held misperception is that it is always less expensive to move your practice into a leased space than a stand-alone new building. An honest look at the limitations of leased space and the costs to make it work vs. the budget needed for a practice that meets every need and has the potential for planned expansion can be quite eye-opening.
4. How valuable is your time?
Your time as a medical and dental professional is best spent caring for your patients and running your practice. It’s unusual to find a physician or dentist with training in architecture, design, HVAC, electrical, plumbing, equipment sourcing, construction, and project management. That’s our job. By hiring a specialist to manage your project from design to occupancy you’re ensuring the highest level of expertise from professionals with a proven track record for staying on schedule and on budget.
5. How often do you want to be onsite during the project?
No matter how well planned, a medical/dental building project requires onsite, hands-on, total focus management. It’s not a “call it in” situation. I encourage my clients to plan for weekly status reports, either in person or by phone, to make sure they are up-to-date on the progress of their new building. I’m available by phone 24/7 to answer questions, update on weather issues or discuss the thousands of details we’re managing.
Even if you aren’t thinking about moving your practice in the next year, it’s not too early to start planning and assessing your options. Call me at (336) 940-6600, X 1021, and we’ll start the ball rolling.
The Fine Art (& Science!) of Project Estimation
The estimation process is a crucial part of every construction project, requiring not only extensive experience and outstanding communication skills, but also a commitment to honesty, long-term relationship-building, and painstaking attention to the most minute details. I am always involved in this step and have seen how businesses can survive and thrive, or find themselves facing economic disaster based upon the quality of their internal estimating process and the cohesiveness of the team that works together to build the budget for a new project.
The initial meeting gives the estimator the opportunity to create the first impression of who we are and what we do by expressing the utmost respect for our clients and their plans for their building. From the start, our objective is to identify ways to increase functionality and improve appearance, while decreasing or balancing costs through value engineering. This focus conveys the true nature of our partnership with our clients as displayed by transparency and total honesty regarding best practices, highest quality suppliers, and even potential pitfalls.
The development of accurate estimates is an art and a science. There must be a deep understanding of the plans, which requires posing detailed questions and seeking comprehensive answers. It is also important to trust our suppliers. They must have the proven professionalism to do the work in the highest quality manner and be knowledgeable, honest, and reliable in assessing their costs. We enjoy long-term shared success on projects with our subcontractors and suppliers and are confident that they share our commitment to client satisfaction.
Unfortunately, even the best-laid plans are prone to change. Many variables can affect an otherwise meticulous estimate. Uncontrollable factors like weather, material availability, and even, as we have experienced lately, political policies like tariffs and sanctions, can alter prices seemingly overnight. A good estimator is aware of all these potential changes to the plans and keeps his client and team apprised of them so that whenever possible, we can be proactive and find optimal solutions. Sometimes it feels like we need a crystal ball to anticipate all the ways a budget can be impacted, but with 25 years of experience, and hundreds of repeat clients, we believe that we do a better job than most in anticipating and overcoming challenges. We always find ways to adjust our approach through thoughtful, efficient, highly effective, and sometimes, extremely creative problem-solving.
Knowledge Transfer Between the Generations – Building the Future from the Cornerstone of Experience
Construction professionals of all ages agree that you can’t learn this industry from books. Of course, formal education is extremely important, but it is the on-the-job training from colleagues that is valued the most. For this blog, I asked members of our team to share their thoughts about being a mentor and/or mentee. As our summer intern Caleb Sheppard said, “It’s a two-way street.” He credits the patience of his supervisor Jeff Miller in helping him learn the ropes while Project Manager Wayman Merrill said, “the younger guys have helped us develop the technical skills to handle so many tasks more efficiently.”
When I was working on my first assisted living project 25 years ago, I learned from my mentor that it was essential to treat everyone with respect and have compassion for the people whose residences we were building. Business values like treating people with kindness and handling issues fairly were ingrained into me from the start thanks to this influential gentleman. I also learned that it takes a long time, working side-to-side with more experienced folks, to understand how to master all the skills required to create the beautiful finished building that the public sees.
At Davie Construction Co. we encourage on-the-job training for everyone. Our older team members embrace their roles as mentors, each having their own stories of being on the other side of the relationship. “I have been blessed since I started my career in 1968 with great teachers who were among the best construction people to ever work in this state. With a degree in Civil Engineering with a Construction option from NC State, I knew nothing about the realities of the construction industry, and only learned by doing and listening to others. That saved me from a lot of trial and error,” said Rickie Shutt, Executive Vice President of Operations.
Project Manager Barry Newcomb’s story is similar. “When I first started, I worked in the field, mostly alongside older superintendents. They taught me how things really worked, not just on paper, as they had learned over many years of experience. Then I moved into the office where I learned estimating and bidding under Allen Snipes who had been in construction for over 50 years. Now as a project manager working with some of those same superintendents, I understand why they request certain materials or certain subs. And they know that I have been out in the field with them and appreciate that as well.”
While all of those who were mentored talk about how they were taught new skills and ways to build value into construction projects, they also have specific lessons that they carry with them throughout their careers and heed in other areas of their lives. “’Measure twice and cut once’ is among the priceless advice that Jeff gave me,” said Caleb. “Moving faster isn’t better when you have to come back and fix something. Taking that extra moment to slow down and check your work, even when it seems like you are on a very tight schedule, is ultimately much more efficient than rushing through something and making a mistake.” And not surprisingly, this advice also came from Rickie as he learned it back in the ‘70’s when he was starting out. “Slow down and don’t react too quickly in any given situation. In construction, waiting a short time, giving yourself time to think, can change the whole complexion of a problem,” is Rickie’s time-proven recommendation.
While the wisdom of our most experienced team members benefits our clients and our company, they see it as a privilege to serve in this capacity. “Remember one day you were in the same boat as one of the younger people and someone had to help you. I get no greater gratification than seeing someone I have mentored develop and grow, and know that I was part of that development,” said Wayman. Ricky agreed, “When we were young, older and wiser people took time to help us out. We owe it to the next generation to do the same.”
And while some younger folks might think they can’t learn from their elders, our guys wholeheartedly disagree. “Always listen to what they have to say, they have worked and done things the hard way, without the most current technology, and have a better understanding of how things work because they had to do it physically themselves,” said Barry. “They might not grasp the new planning software as quickly as we do,” said Caleb, “but they are happy to learn from us while sharing their wisdom that has come from decades of construction projects resulting in top quality buildings across the Southeast.”
The Dragonfly House Electronic Sign Fund – Giving Back to Those Who Give So Much
As part of our yearlong 25th Anniversary celebration, we have targeted organizations within our community to help support through special projects. In February we are sponsoring a fundraising effort on behalf of The Dragonfly House Child Advocacy Center. As the builder of their new facility, we learned that they did not have the resources to purchase a street sign for the new location. So we established The Dragonfly House Electronic Sign Fund and are asking our employees, suppliers, business colleagues, families, and friends to “Show the Love” by contributing. Donations will be used to purchase a state-of-the-art street sign to attract attention, promote events, and broadcast important child advocacy news. The sign will provide a voice that will tell the story of the hope for the most vulnerable members of our community who are suffering terrible crises in their young lives.
We selected The Dragonfly House because it is heartbreaking to know how much their child advocacy services are needed and it is heartwarming to see how the staff and everyone who supports this organization pour their hearts and souls into helping the children who seek sanctuary there. This was a Design/Build project for us, involving a team of professionals brought together to dedicate themselves, along with the staff and Board of Directors, to a shared goal. We were all tasked with creating a soothing, nurturing, safe, and private environment for a nonprofit that needed to make every dollar go a long way.
The value that this organization brings to our community is immeasurable. Executive Director Brandi Reagan developed the comprehensive needs and feasibility study for a child advocacy center after working with the Adult Victims of Domestic Violence Services and Rape Crisis Center and realizing that most of the women seeking help had been abused as children. The goal for The Dragonfly House, which was established in 2010 as a result of that study, is to provide support and counseling to children who are being abused and help break that cycle earlier in their lives.
The Dragonfly House provides immediate help at the time of a crisis and ongoing counseling as a key part of the treatment. The amount of consultation hours provided is based on the amount of the donations received from generous donors who contribute during the annual fundraiser and throughout the year. We hope that by bringing attention to The Dragonfly House through this fundraiser we will increase awareness throughout the community. Our objective is to encourage more donations, not only for the electronic sign this February but in the years ahead. The more we all support this essential community resource, the more children’s lives can be positively impacted by The Dragonfly House through their comprehensive child-focused services, education, and advocacy.
Contributions for the Electronic Sign Fund will be accepted through February 28, 2018, with the presentation of a check made at the Grand Opening and Ribbon Cutting Ceremony at The Dragonfly House on March 2 at 11 am. Call (336) 940-6600 for more information.
Please donate today online at http://bit.ly/2DSgIOM or by mailing a check to:
The Dragonfly House Electronic Sign Fund
c/o Davie Construction Co.
P.O. Box 1724
Clemmons, NC 27012
Building Lasting Relationships for a Quarter of a Century
This new year, 2018, marks a very special milestone for Davie Construction Co. as we celebrate our 25th anniversary with joy, gratitude, and pride, taking a moment to review our accomplishments and envision our future. When I was given the opportunity as a young man of 26 to run a construction company, I had no inkling of the future ahead. I was too busy focusing on the challenges of our very first project of a major renovation to a fully occupied skilled nursing facility. The logistics were critical as we were working around bedridden people who were dealing with serious medical issues and were very sensitive to any disruptions relating to the ongoing construction. Our objective was to comport ourselves as compassionate and polite guests in someone else’s home. From that job forward, this attitude set the standard for how we approach every project, no matter what type of building it involves. As we branched out from that first focus on senior health care facilities to dorms, banks, churches, restaurants, retail, industrial, and all the other businesses represented in our portfolio, we kept that privileged guest perspective and demanded it from our growing base of employees, subcontractors, and suppliers.
Companies that thrive as a result of their relentless focus on customer satisfaction share similar values, and for us, that has meant creating and nurturing a culture where the Golden Rule guides our business decisions. Of course, we believe in contracts and legal agreements, but even if we are not contractually bound to take responsibility in a certain situation, we will always seek a solution that will enhance our relationship with our customer. That policy has resulted in a history where so many of our projects are awarded by owners who were happy with our work on previous buildings and trust us to partner with them as they expand their own businesses, adding new facilities and moving into new communities.
Family focus is a key component of the Davie Construction Co. success story which emphasizes TEAM, FAMILY, DAVIE! The fact that so many of our employees have been with us for many years, and that we have generations of families working for us (and as many as five members of one family on a rush job this summer!) is a great source of happiness for me. We are committed to creating opportunities for our employees to grow within their roles at Davie Construction Co. and encourage their family members to consider careers with us. Creating a legacy for our children is a goal shared by all of us, and over the past 25 years, we have strived to set an example through our commitment to customer service, family focus, and community support. We have always believed it is our duty to give back to the communities we serve, and as part of our 25th anniversary, we have planned several service projects to support and bring attention to worthy causes. We will be sharing more information about these projects in the months ahead.
As we finish this first week of our anniversary year, we find ourselves completing a perfect circle from our first skilled nursing facility project. We have been reaching out to the owners of the senior care facilities we have built or renovated to ensure that their residents are warm and their buildings are operating properly in these extremely cold weather conditions. The comfort and safety of those who live and work in our buildings is a priority for us during and forever after a job is finished.
Happy New Year!
From Fast Food to Fine Dining – Building Remarkable Restaurants
Like so many of our specialty areas, the opportunity to gain extensive experience in building restaurants came about naturally. In this case, it was a result of our initial focus on health care back when we started 25 years ago. Every skilled nursing and assisted living facility that we completed involved building a kitchen and dining room to highly stringent Health and Fire Department standards. As we worked on these projects, we built strong, lasting relationships with equipment suppliers, plumbers, electricians, and those specializing in the precise machine work necessary to build safe and efficient commercial kitchens.
From our start, we have also worked closely with financial institutions, and it was the relationship with an architect and facilities manager of one of those financial institutions that introduced us to some of the national restaurant operators. From there we expanded our portfolio as we built more eating establishments across the region – many for Yum! Brands, Inc., the company that owns KFC, Pizza Hut, and Taco Bell with over 44,000 restaurants in more than 135 countries. We have also completed projects for Cici’s Pizza, Krispy Kreme, Arby’s, Qdoba, Dairy Queen, Subway, Jersey Mikes, Dairi-O, Mario’s Pizza, Taziki’s Mediterranean Café and a host of local restaurants across the Triad.
Projects for large regional and national companies always involve extremely tight schedules, with non-negotiable opening days. They also require very specific engineering considerations based upon individual corporate criteria for time management and process efficiency so employees can meet strict guidelines for food delivery. Each of the chain restaurants we work with has different standards and ways of structuring their workflow. We pride ourselves on working in a collaborative partnership with their onsite teams to complete projects in a way that results in repeat business with those clients.
We are also quite experienced in creating fine dining establishments. Our complete renovation of the historic building in downtown Winston-Salem that became the Spring House Restaurant, Kitchen and Bar was such a great success the owner asked us to handle another renovation, creating the popular Quanto Basta Italian Eatery and Wine Bar, also in downtown Winston-Salem. Most recently we were honored to build the Umi Japanese Steakhouse and Sushi Lounge on Creekside Way. We are currently building Little Ari, an off-shoot of the very popular Arigato’s Japanese Steakhouse in Greensboro. Whether fast food, fine dining, or any type of eat-in or take-out restaurant business, Davie Construction Co.’s specialized experience and outstanding relationships with project partners ensures that the outcome will be delicious!
Turnkey Building Solutions for Medical Specialty Practices
(co-authored by Carl Carney, President & CEO and Frank Chapman, Executive Vice President of Medical Services)
Carl:
Our 25-year history includes an extensive portfolio of new construction and renovation of all types of medical facilities. As we have worked closely with doctors and other healthcare professionals to design and build their offices, it has become very clear that there are very specific requirements that change based upon the practice specialty. That’s why we have established a new area of concentration for Davie Construction Co. and recruited Frank Chapman as our Executive Vice President of Medical Services. Frank offers a specific focus on the construction needs of oral surgeons for their offices, surgical centers, and urgent care facilities, providing a turnkey solution for these projects.
Frank brings 30 years of industry experience to his new leadership position at Davie Construction Co., holding contractor licenses in both commercial and residential construction since 1991. Before joining us, he worked with TerWisscha Construction, Inc. based in Willmar, MN, where he managed the full construction process for dozens of medical facilities located across the nation. Project scope ranged from helping secure financing to guiding location selection, directing all design and building operations and coordinating schedules with vendors. Frank is also a United States Air Force veteran, having served in the Gulf War from 1987-91.
Frank:
My objective is to provide doctors with a comprehensive construction management service based upon an understanding of the best practices of their specialties. We partner with them to find the most beneficial financing options, which in the case of younger doctors may include their postgraduate loans. We help them identify the optimal location based upon marketing and competitive analyses, and guide their selection of an architect and interior designer to create an environment that integrates maximum comfort and accessibility with the most advanced medical technology. This allows them to focus on their practice and taking the very best care of their patients.
Figuring out Financial Institutions
(co-authored by Carl Carney, President & CEO and Ben Tuck, Vice President of Facilities Services)
Over the past 25 years, we have developed an impressive portfolio representing specialization in a wide range of industries. For sheer volume of completed projects, financial institutions represent the largest percentage. Our work with these clients includes new construction, renovations, additions, and reconfigurations to stay current with the latest industry technology. We also provide ongoing maintenance to most of these clients to ensure that their customers aren’t inconvenienced by unplanned interruptions in service. We have built more banks and credit unions in North and South Carolina than any other independent builder, and we have completed projects as far from home as Pennsylvania, Virginia, West Virginia, Georgia and Alabama.
Financial institution construction involves precise collaboration with the team of vendors who supply the unique features required by this type of building. These include the manufacturers of vacuum systems, teller lines, ATMs, vaults, and security systems, as well as architects and designers who specialize in this area. Schedules must be carefully coordinated and constant communication is crucial to meeting stringent deadlines. As we established our reputation with these vendors after completing several projects together, many of them refer us to their clients as their preferred construction firm.
Providing facilities maintenance service to financial institutions presents a specific set of challenges with concerns like working hours, staging, phasing, and impact. For the most part, we schedule any work directly affecting customers and employees for after normal business hours. Usually, these institutions are fully operational so we must develop logistics plans that allow for the transport of materials in a way that doesn’t block parking or otherwise interrupt the flow of business. Sometimes work must be completed in phases to allow employees to be relocated to another part of the building during maintenance, renovation or repair activities. Whatever the situation, we will find a solution that results in maximum efficiency and minimal disruption.
As financial institutions grow, merge, and adapt to meet the changing needs of their customers, the industry has never been more competitive. That’s why we focus our efforts on building and maintaining the most attractive, comfortable and efficient facilities while incorporating the most advanced technology to instill confidence and security in our clients’ customers.
Helping to Build a Future in Construction
At Davie Construction Co., we have built a team of well-trained, experienced and dedicated professionals who are passionate about what they do and committed to encouraging others to enter this rewarding field. It’s no secret that there are labor shortages in the construction industry and that we are competing for the very best employees. We follow two paths to attract exceptional construction team members. First, we created a work environment in which our employees are listened to, supported, and rewarded for their outstanding efforts as part of a collaborative team in a family-focused company. Our second objective is to help provide learning opportunities to those who have the potential to begin a career in construction, or perhaps, make a career change into our field.
During the summer, we welcome high school and college students who have indicated their interest in learning more about this career path. They work on site and in the office as interns, learning a wide range of skills and gaining hands-on experience. Most of these summer interns are children, grandchildren, cousins, and nephews of our employees, who have learned about the challenges and rewards of being part of a successful construction team from their family members who work at Davie Construction Co. This internship program benefits the students as they develop skills and gain a clearer understanding of the scope of a career in construction. It helps us to build a workforce for the future, as many of these students choose to take the next step in this career. They may join our team upon graduation from high school, enroll at a university offering a construction management program, or specialize in a trade at a community college.
Our upper management is actively involved in supporting construction education programs in our community and across the state. Brad Chapman, our executive vice president of preconstruction services, and next chairman of the Davie County Chamber of Commerce, works with the Davie High School STEM program to develop curriculum and teach classes in the practical application of construction skills. I visit the high school several times a year to provide feedback on this program. I also serve on the Eastern Carolina University Construction Management Advisory Board, which is tasked with providing quality preparation for students in this program and building a strong network of industry support. Our controller, Greta Gardner is the incoming president of the Piedmont Chapter 109 of the National Association of Women in Construction, having served on the board and as vice president for the past two years. She leads this organization in its mission to support women in the industry through scholarships, education, and networking opportunities.
Many universities in our area offer construction programs or classes that provide preparation for additional training. Our management team includes graduates from several of these regional Universities and they are happy to advise prospective students based on their interests.
Eastern Carolina University – Carl Carney, President, Ryan Conrad, Project Manager, Stephen Shelton, Assistant Project Manager
North Carolina State University – Rickie Shutt, Executive Vice President of Operations, Janet Sheppard CFO
University of North Carolina at Chapel Hill – Brad Chapman, Executive Vice President of Preconstruction Services, Rik Snipes, Safety/Quality Control Officer
Appalachian State University – Barry Newcomb, Project Manager Drew Steelman, Project Manager, Justin Foster, Project Superintendent
Clemson University – Wayman Merrill, Project Manager, Jamie Bowles, Project Superintendent
Western Carolina University – Bryan Bowles, Project Manager
Winston-Salem University – Brantley Smith, Chief Estimator
A construction career path does not have to include college. We have many team members who have come to us directly from high school. Several of our project superintendents are veterans of the US Armed Forces, which provides exceptional preparation for a career in construction. With extensive on-the-job training, hard work and a commitment to success, you can make a very good living in the construction industry without a four-year degree!
The Lessons of Building for Education – Be on Time for Class!
A review of our portfolio of educational and institutional facilities shows that Davie Construction Co. has completed many diverse projects across the region over the past two and a half decades. Every project is a story of challenges followed by successful outcomes, but this summer was unique. We were chosen to renovate the Virginia and West Residence Halls, two of the oldest buildings on the campus of Elon University in Elon, NC.
When we made the promise to the University that we would meet the accelerated mandatory completion date, we told our team that we had burned our ships on the beach and there was no turning back. We had to finish this project on a very short schedule of 75 days or else there would be nowhere for the students to live! The client assured me that he didn’t have room to board the 200 students in his house, and he didn’t expect that I did either. And while this was a daunting commitment, we made it with the full awareness that we have completed many other projects for educational institutions with very tight schedules. That’s the nature of working with schools; generally, these projects must be completed over summer breaks or lengthy vacation periods. Our track record in this area gave our clients the confidence that we would meet our commitment to finish on time.
This project involved a lot of surprises due to the age of the buildings. West Hall, the oldest on campus, was started in the 1890’s and opened in 1905. Virginia Hall, named in honor of the Congregational Christian churches in Virginia who pledged the money to build it, was completed after a fire in 1923. As with most buildings of this vintage, we needed to make some unforeseen fixes, like replacing old lumber, addressing current code issues, and other upgrades that weren’t apparent until we gutted the buildings to start the renovation.
All this added up to additional work scope with no additional time to complete. As fans we all know, when any exceptional team is under fire, the strongest pull together, focus on the goal, and commit to victory. That was the case with the Davie Construction Co. team. Our hardworking onsite crew dug in, and over the course of the project, moved from 8-hour shifts to 10-hour shifts, to 12- hour shifts, and then to multiple shifts seven days a week. Realizing how hard they were working, and wanting to show their physical and moral support for the Davie Construction Co. field guys, our management team and office staff, unbeknownst to me, rallied to help after hours and on weekends. One Sunday we had over a dozen office staff running equipment, running trim, cleaning up, grinding/polishing, and assisting where their skills best fit. I have never been so proud of the commitment and enthusiasm that everyone at Davie Construction Co. contributed to fulfilling our commitment to all those college students who are now enjoying their beautiful new dorms!
Specializing for Seniors – Making a Full Circle
I recently had the privilege of participating in the ribbon cutting for one of our projects, Batangas Gardens at Bermuda Village Skilled Rehab Center. As I was celebrating the opening of this impressive new facility, it occurred to me that this project represented a full circle for Davie Construction Co. and me as the Bermuda Village Retirement Community was our very first senior living project back when we started in 1993.
Hospitals, skilled nursing facilities, rehab centers, assisted living facilities and senior living communities are construction projects that require a very specialized type of expertise that we have built upon over the past two and half decades. The Aging and Adult Services Division of the North Carolina Health and Human Services Department has unique and very stringent rules and regulations governing the construction of these facilities. There are strict specifications regarding all types of issues that are unique to these types of occupancies that you will not find in any other types of buildings. In addition to these requirements we specialize in working in and around fully functional facilities. When working around people that have health issues you must always put their needs ahead of whatever tasks you may be performing.
With each project, we commit to the Aging and Adult Services Division’s goal to promote independence and enhance the dignity of older adults, persons with disabilities, and their families. The fact that the Batangas Gardens Skilled Rehab Center was fully certified the same day it was inspected by the DHHS team of licensed architects and engineers is a testament to this commitment and our extensive experience in this highly-specialized area.
The first step to success in this type of project is to build a team of knowledgeable, dedicated, and extremely qualified professionals. On the Batangas Gardens project, our owner was Gray Angell, President of Bermuda Village Retirement Resort. Gray and his team have an exceptional track record for building and operating top-notch senior communities and healthcare facilities across the Southeast, and we have been fortunate to have completed many projects for him throughout the years.
The next step involves partnering with an architectural firm with a depth of experience in this area. We were honored to work with Thomas H. Hughes Architecture of Winston-Salem with Vice President Andrew J. Lopina, AIA, NCARB, managing the project for the firm. Our project manager Ryan Conrad and Jack Redden led the onsite team for Davie Construction Co. and contributed to the success of the same-day certification by maintaining consistent and comprehensive communications with everyone involved throughout the project.
Our mission of constructing exceptional buildings extends to our commitment to the comfort, safety, and pleasure of those who will use it. The Batangas Gardens project hits close to home. This skilled rehab center is minutes away and will be used by our friends, neighbors, and our families. As a much-needed convenience for those whose age or physical condition requires the state-of-the art skilled rehab facilities it provides, Batangas Gardens is a welcomed addition to our local community.
From the beautiful exteriors to the soothing paint colors and well-appointed, comfortable decor, every detail of Batangas Gardens was carefully designed to create an ambiance of healing, peace, and community. Linda Thorup, vice president of Hayden Design Associates, did an exceptional job creating a gorgeous interior space. Patients and their visitors can relax while they watch fish swimming in an aquarium, or just sit and listen to the soft splash of the full wall waterfall. Treatment areas include hydrotherapy tubs and fully equipped physical rehab gyms. We are proud that Davie Construction Co. was part of the team that brought this wonderful new facility to our community and am comforted by knowing that when a loved one needs these specialized services, they will be well cared for in this welcoming environment.
The Retail Responsibility – It’s a Lot More than Bricks & Mortar!
We enjoy adding multi-tenant retail properties to our portfolio of completed projects. These include shopping centers built for developers attracting tenants from among the largest national chains and properties with a combination of local, regional and national stores and restaurants. No matter what type of tenant is involved, our owners have the same strict requirements for the builder they choose. Be on schedule so that leases start at the time they were promised to the tenants. Be on budget so that the lease amounts are in line with the construction costs. Be an excellent communicator, because you are the source of crucial information impacting the owner, their tenants, and in many cases, the tenants’ national headquarters throughout every step of the project.
We often start our involvement in a multi-tenant retail project by providing accurate cost estimates based on the project size, and by recommending options in construction methods as a result of our extensive experience in these types of projects. Our insight is particularly valuable in working thru the work letters that attempt to define for owner and tenants exactly what we will deliver, and what portion of the project the tenants’ companies will complete. An invaluable resource in this planning is Rickie Shutt, our Executive Vice President of Operations, who has managed hundreds of multi-tenant retail projects across the nation for 26 years with a national retail GC previously, and for the past five years, has been our “oracle” at Davie Construction Co.
We categorize our work on multi-tenant retail projects in three distinct levels of upfit, and these may morph into a different category during the building process, depending upon many different factors. In general, the large national chains have contractors who travel to the site and finish out their space based on their strict branded specs. In that case, we may build a “cold dark shell,” a basic building with walls and roof, with or without a slab. The next level is a “vanilla box” in which we add the drywall, and perhaps HVAC. The slab is clean, and the building is ready for the tenants’ contractors to complete. On turnkey projects, we build out the space to completion, so that it is move-in ready.
All Davie Construction Co. projects require the highest level of communication and painstaking documentation. With multi-tenant retail projects, the importance of timely, consistent and comprehensive communications is amplified by the fact that many of the owners and tenant contacts are working from offices across the country and do not have the opportunity to visit the site for updates. That’s why we provide weekly status reports to our owners that include photos and other vital project intel. We also make it very clear to them that every member of their project team, including me, is always just a text or phone call away.
Building Houses for God is a Labor of Love
We have had the honor of being selected for many church projects, most of which have entailed additions to existing buildings. In these situations, our clients are the individuals in these growing congregations who have raised funds to update their houses of worship, some working hard at their goal for decades. As our friends at the Clemmons Moravian Church told us, “We built this church one Moravian pie at a time!” I am always gratified to see what a collective group of believers can achieve and am humbled by the trust they place in us to make their dreams for their new church building come true.
While most church projects involve a building committee of dedicated volunteers, we find that the best approach is to identify one individual as the project manager to interface with our team. We’ve been fortunate to work with the best over the years, most of whom had no previous construction experience but were great problem solvers and firmly committed to the process. We focus on maintaining strong communications with this person throughout every step of the project. Since most of them have full-time jobs, we are prepared to meet after hours or on weekends to accommodate their busy schedules.
A church complex is an active place with people of all ages coming and going throughout the week. Even with an understanding of the congregation’s regular schedule, we can’t anticipate when our construction plans must immediately change to accommodate unexpected events like funerals. It is critical that we work around the schedules of those using the church facilities and don’t impede any activities. As with all our jobs, we are focused on ensuring the safety and cleanliness of our worksite throughout the duration of the project.
No matter what type of project we are starting, I make the same promise to our clients. I promise them that we will make a mistake. Something will go wrong. That is just the nature of a construction project of any size. It may not even be something that we can control, like a weather emergency or outside distraction. However, I will also promise that when this happens, we will follow the Golden Rule. We will treat our clients the way we would like to be treated. We will solve the problem, fix the mistake, and take responsibility to ensure that we honor our commitments and satisfy our clients. This business (and life) philosophy has served us well throughout the past 24 years. We look forward to building many more houses for God!
Historic Rehab Projects – The Case for Collaboration
Successful historic rehab projects require the highest level of cooperation, communication, and collaboration between the builder, design team and owner. There are just too many surprises along the way, no matter how much preplanning is undertaken. Every time a wall is demoed, a floor removed, or a roof opened, there are unforeseen issues. It’s just the nature of working with older buildings. The good news is that an experienced team, working closely together at each step of the process, can anticipate challenges and solve problems. This is an area of construction where expertise and track record should always outweigh low bid in determining the right building partner.
From the very beginning of a historic rehab project, the value of an experienced construction team cannot be underestimated. Historic tax credits are often the driving force behind the funding for these projects. We work with the entire development team to help stay on track and adhere to state and or federal regulations that must be followed to receive the funding for these projects. A few cities like Winston-Salem have dedicated personnel within their Inspections Departments who focus upon historic rehab. Our good working relationships with these folks and others around the state help our owners avoid delays or unnecessary costs.
Historic rehab projects are unique in that they can require as much time to demolish and go backward as to move forward with new construction. There are always situations where decisions must be made on the spot to maintain or replace features of the building. It is critical that the construction team diagnose the potential problem in real time, reaching out to the designers, owner, and others whose expertise can help determine and evaluate the best options for moving forward. The quicker this information can be shared with the entire team the better.
Our historic rehab projects have all involved the repurposing of older buildings to create a new function for these landmarks. It is always gratifying to learn how these buildings have impacted the lives of those who inhabit them — now and in the past. When we completed the Central School Apartments in Albemarle, I had the privilege of meeting a woman whose apartment was once her son’s 5th grade classroom! In fact, a few of the residents in this building were teachers who were now living in the spaces that were once the classrooms. Old schools are often the perfect layout for repurposing as multi-family units with the central corridors and large rooms. We look forward to converting more of these historic landmarks into modern housing.
There was a personal touch to the historic rehab we completed in 2012 at the Spring House Restaurant, Kitchen & Bar in downtown Winston-Salem. Previously known as the Bahnson House, a 1920 former residence listed on the National Register of Historic Places, this building was once the home of a family member of one of our Davie Construction Co. employees. One of our vice presidents’ father-in-law remembered visiting the home for holidays like Thanksgiving and Christmas many years ago. He was delighted to visit the repurposed facility that is now a “progressive Southern-inspired destination for dining, hospitality and special events.” It was truly a labor of love for all of us!
Facility Maintenance Management Protects Your Investment
A Guest Blog by Ben Tuck, Vice President of Facilities Services, Davie Construction Co.
While most people understand from our name that Davie Construction Co. is a commercial builder, there is a key aspect of our business of which they are often unaware until their project is complete – Facilities Maintenance Management. In other words, “service after the sale.” Throughout the construction project, we are focused on planning and building the best facility for our clients, from the moment we develop the plans through every day of its future use.
As any homeowner knows, every house needs ongoing maintenance, and constant use causes wear and tear. This process is no different in a large commercial building. No matter what the purpose, buildings need regularly scheduled maintenance to operate at optimum efficiency. And who better to monitor the inner workings of a facility than the team that built it? That’s why Davie Construction Co. offers our Facilities Maintenance services, and so many of our clients hire us to help them manage this part of their operation. When we find potential problem issues, the solutions can save our clients hundreds of thousands of dollars. They tend to tell others about the value of their investment in our Facilities Maintenance program, which attracts clients for whom we were not the original builder.
When we develop a maintenance plan for new buildings, we focus on assuring the correct operation of HVAC systems, doors, hardware, plumbing, and electrical systems, with the goal of extending the overall life of the components for longer periods of time. We discuss warnings signs and teach the onsite facility management staff how to detect issues of overuse or neglect.
In cases where we are called in to provide maintenance for an older building, it is an opportunity for the owners to get a fresh set of professional eyes on the facility. It’s not unusual to discover that stale routines have set in, and the maintenance staff is caught in a repetitive pattern, simply checking off items on a list, and missing some warning signs until they present as major issues.
In our experience, some of the most critical areas of concern on older buildings include window caulking, building sealant, and the overall water tightness of the building. We recently spotted some wall areas around windows that were showing signs of water infiltration. The walls were starting to develop the first stages of mold. Upon identification of this issue, we sealed up the windows, preventing what would have soon resulted in thousands of dollars in water damage and mold remediation if left untreated.
Another common problem that we run into is landscaping that is raised too high for the building’s drainage holes. Over time, mulch or pine needles get added to the outside flower beds once or twice a year to spruce up the curb appeal. Every building has a line on the outside that dirt or ground cover shouldn’t rise above. Once these areas get above the flashing line of a building, it becomes vulnerable to pest problems, water infiltration, and rot. We have saved our clients lots of money in repairs by detecting this potential problem resulting from seemingly harmless landscaping improvements.
An investment in professional facility maintenance management is the best way to avoid expensive and disruptive facility repairs. Call us today to discuss how Davie Construction Co.’s Facility Maintenance Services can help keep your building running smoothly.
Ben Tuck
Vice President of Facilities Services, Davie Construction Co.
336-940-6600 ext. 1003
btuck@davieconstruction.com
Tips for a Successful Spec Build Approach
As a company that has been providing construction services to a range of businesses over the past two decades, we are happy to offer our advice to those who are uncertain about the process they should take in starting their project. Many of the clients we work with are repeat customers who successfully grow into their first building and seek us out to help them plan for additional facilities. In our experience the following process tends to be the most efficient and effective, whether starting a completely new project or when considering an expansion or renovation.
1. Hire an architect
Your architect is your detail person. As with any project, it makes sense to seek out a professional who has experience with your type of building and/or business. They will be responsible for vetting the project, drawing up the plans and ensuring that the building is a good fit on your location.
2. Set up financing
This is where relationships are very important. You will want to rely upon a reliable consultant such as your banker, CPA or business attorney. This may be someone with whom you are well established, or someone who is referred to you by a trusted colleague.
3. Develop and distribute your bid
It is best to select three to four contractors to ensure adequate competition for a competitive bid. Too many bidders will drive away good contractors, fearing they may be wasting their time with low odds of winning the bid.
4. Require bonds
It is financially responsible to require a bid and payment/performance bond to make sure the invited bidders are financially competent. You may or may not choose to bond the project once you get further information on your selection.
5. Announce bid results in public
It is a good practice to open the bids aloud at a time and place when all involved are present. This gives everyone assurance that the process has been conducted fairly.
6. Analyze disparities in the bids
If you get several tight numbers and one that is more than 10% below the lowest bidder, something is probably not right. All GC’s in a geographic area pull from the same pool of subs and suppliers who do not typically have excessive mark-up on their jobs. If it looks too good to be true it probably is!
The Phases of a Successful Negotiated or Design Build Project
The Dream
For the past 24 years, I have had the privilege to work with owners to design and build facilities to anticipate and meet their specific business needs. These projects have included medical facilities, business offices, retail locations, restaurants, financial institutions, churches, manufacturing plants and multifamily units. And while the uses for these buildings were all very different, in most cases, the owners had a dream for their buildings but did not know how to make it a reality. They all had full-time jobs successfully running their businesses, and needed to find someone they could trust to be accountable and manage the process from beginning to end. We provide that service either through the Design Build Process where we provide the design services or through a collaboration with the owner’s design professionals.
The Feasibility
Once an owner reaches out to us, often as the result of a referral by a trusted colleague, our Pre-Construction Team meets with them to gain a clear understanding of their goals and objectives. The first order of business is to determine the feasibility of the project. We develop a preliminary proposal including an estimated budget. We ask a lot of questions while we are establishing the budget and review options with the owner to make sure we’re considering all variables. This step is crucial because, at the end of the day, it does no one any good to spend a lot of time and money coming up with plans and specs for a project that cannot get funded. If the owner is satisfied with our findings, they give their approval for us to move ahead to design the project based upon the proposed budget and schedule.
The Bid
Once plans and specifications have been finalized we are ready to bid on the project and submit for permit. We arrive at the project cost by putting the plans and specifications on a password protected website and inviting any qualified owner subcontractors, as well as our own list of subs that we have worked with through the years. Our goal is to find the best subcontractor partners for each specific project. We always try to get at least three subs to bid each phase of the work. We establish a bid date and invite the owner in to review the bids if they choose to be a part of that process. We gather all the sub and supplier estimates, add our costs to be involved in the project and arrive at a contract amount to build the project.
The Contract
If the final numbers are acceptable to the owner and their lender, we move into the contract phase of the process. We may suggest a lump sum agreement based on the preliminary proposal. Or we often structure our projects based upon a cost of the work plus a fee with a guaranteed maximum amount. We are happy to provide a full payment and performance bond for the project if the owner or their lender requires one. As we have built many financial facilities over the past two decades, we have developed strong relationships with lenders who prefer to finance the deals that we bring to them. They know we will not over-design for our clients, and we have a track record for finding cost effective building solutions that banks and credit unions find easy to finance.
The Project
Once the contracts are in place, and the financing has been secured, we establish a start date. We meet monthly with the owner until the project is complete. Some owners are more involved in the building process than others. Whatever their preference, we strive to be proactive and comprehensive in keeping our owners apprised of any changes or challenges. We are committed to clear communication between everyone involved in the job. Once all the sections of the contract have been completed, and we receive owner final sign off, we warrant that project for one year. Our goal at the end of that one year is to be not only the owner’s builder but also a trusted partner, continuing to provide facility maintenance management in the years ahead.