What are the Costs?

At Rapid Tilt Construction, we often get asked, “What is it going to cost me?” Whilst we can advise you that the cost could be anywhere between $800 per sqm to $1,200 per sqm, there is a list of things which will influence the final cost.

One of the most important questions to be answered is “what is your budget?” This will often influence the majority of what will be included in the quote.

The more accurate the information, the more accurate the price will be. This is why we have created a concept and estimate package that can be tailored to suit your requirements. This will give you the most accurate costing without spending a fortune.

  • Where is your site located?
  • Is your block level?
  • Will you be developing on clay or sand?
  • Will retaining walls be required?
  • How will you retain soil?
  • What is the usage?
  • Is your site one big building, or a set of units?
  • How many units?
  • If so, how much office space will you need?
  • Will your office be open space or separate offices?
  • What are your energy efficiency requirements?
  • What are your utility (electricity, gas and plumbing) requirements?
  • What is the height you want for your building?
  • Will you require a mezzanine floor?
  • Do you want racking space (upper or lower access)?
  • What kind of vehicle access will you require?
  • Will trucks need to enter your warehouse or have easy access?
  • Will your space require container dropping areas?
  • Will your building include a gantry crane?
  • What entry points are required – doors; garage door; sliding doors; automatic doors?
  • What are your floor covering requirements? E.g. tiling; carpet; parquetry etc.
  • What are your HVAC (heating, ventilation and air-conditioning) requirements?
  • What level of external finishing do you require?
  • Do you want the building painted?
  • Do you want or require landscaping as part of the development?

The answers to all these questions and more will directly influence what we can provide to you and the subsequent cost of providing these specifications.

At Rapid Tilt Construction, we can develop simple and functional commercial developments all the way through to highly detailed and complicated structural designs. We work with our clients to deliver to the quality projects on time.

How to Choose a Block of Commercial Land

The particular block of commercial land you choose could easily make tens of thousands of dollars’ difference in construction and maintenance costs, and could also define whether or not you can build the type of commercial building you’re after.

It might all sound a bit dramatic – but knowing what to look for when you’re hunting for a block can make an incredible difference.

What do I need to consider?
There are a number of things to take into account when you’re choosing a block. Some of them are only relevant in obscure circumstances, others may determine whether you can build at all. Many of these issues will be dealt with by builders, developers, solicitors or conveyancers, but it’s still worth understanding what’s involved.

Size, shape, orientation and slope of the block of land
Got a particular style or design in mind? It’s not normally a problem on bigger blocks, the width and depth of the block will determine what sort of Commercial building you can build.

Likewise, if the block is on a significant slope, either the land will need to be cut and filled, or you’ll need to build your development that takes that slope into account. It’s worth remembering that while these things might make your development more spectacular, they’re also likely to cost a fair bit more.

What you can do:

  • Check the width, depth and slope of the block against the dimensions of the kinds of development you would like to build so it suits your minimum requirements.
  • Check with the local council to see if there are any boundary setback requirements or other conditions that will determine where on the block of land you can build

Soil type
Different blocks will have different types and compositions of soils. One of the most important things to consider when you’re building is how ‘reactive’ the soil is – i.e. how much it’s likely to move, particularly in response to increased or decreased moisture content. This is called the ‘site classification’. It’s normally more expensive to build on more reactive soils, simply because special measures like deep pilings or specially engineered slabs are required to keep your development stable.

When you’re choosing a block it also pays to investigate what the land’s been used for in the past. Nobody wants to buy a block only to find out the soil is loaded with DDT or some other noxious pesticide from a farm that existed there decades earlier.

What you can do:

  • Get a geotechnical report on the block. This will determine the composition and reactivity of the soil, and allow you to determine what sort of subfloor is required.

Easements, rights of way and access
An ‘easement’ is defined as a proprietary service that exists on someone else’s land – like an access road to a neighbour’s development, or an underground cable or pipeline that runs through your block. If an easement exists only to service your needs (i.e. an access road) it’s said to be a benefited easement, while other easements that run across your property are called burdened easements.

In theory, telephone companies, gas companies or even your neighbours can knock down fences, gardens or buildings if you deny their right to access their respective easements. Easements on a block will affect how you’re able to build, and you will need to understand what kinds of easements exist on a parcel of land before you buy it.

What you can do:

  • Check with your solicitor or conveyancer to confirm that all easements, covenants or other restrictions have been properly identified. In some states, a vendor’s statement outlining these sorts of things is mandatory, but in others it’s a case of caveat emptor (buyer beware).

Existing roads and access to essential services
If you’re building in a newer or more sparsely populated area, you’ll need to take into account how and when basic services will be provided to the block.

While this obviously includes roads (which you’ll need to get construction gear in unless you’ve got a very impressive helicopter), it also includes things like sewage pipes and water supply, electricity supply, natural gas, telephone lines and broadband internet.

What you can do:

  • Arranging for the connection of basic services is normally taken care of by the builder. To clarify anything related to access or the provision of any kinds of services in remote areas, have a talk to the local council.

Restrictions on how you can build
Different councils can have very different rules, which can limit how you build. Depending on the council, there may be rules about what style of development you can build, what colours and materials are appropriate, where on the block you can situate your development and even what kind of fencing you can have.

What to do :

  • Call the council for information on local restrictions, planning requirements or other circumstances that may limit what you can build. Different councils also have different rules about the circumstances that require you to notify neighbours about plans to build. Find out what these are.

Budget
It seems quite obvious but knowing what your total budget is to complete the entire project will determine the commercial building you construct, the size and location of the block. Make sure you get this all factored into the equation to avoid running out of funds to complete your commercial development.

Other things to consider
There are a few other important things to keep in mind when you’re looking for a good block to build on. Some of these include:

  • What’s being built nearby –Check with the council, or use www.planningalerts.org.au or a similar service to keep tabs on nearby developments.
  • State of existing structures – planning on retaining parts of an existing building or structure? You’ll need to get it inspected to ensure it’s in good shape.
  • Amenity – proximity to public transport,  shops, other suppliers that you deal with, location of your clientele, access to highways and freeways, access for trucks and containers etc, proximity to your staff and their need

How Does Commercial Property Differ to Residential?

When mum and dad investors consider property, most look no further than the residential market. While homes and apartments may be seen as simpler and safer options, many investors are prepared to defy tradition and set their sights on the commercial sector.

Gain More by Investing in Commercial Property Today!

When thinking about property investment most people usually think residential real estate, often giving little or no thought to commercial property.

According to an article in www.realcommercial.com.au earlier this year a rising number of everyday Australians are recognising the potential of the commercial property sector and are cashing in.

One benefit of investing in commercial property is that it is characterised by longer lease agreements than residential property – typically three, five or 10 years with the added benefit of the tenant meeting the cost of all outgoings.

Additionally, commercial tenants will commonly take better care of a property, guaranteeing it is kept and presentable.

Let’s break it down for you!

Residential property investment:

  • No GST applies to property purchase
  • Rental returns are generally 3-4%
  • Outgoings are all paid by the owner
  • The owner is responsible for fair wear and tear which applies to carpets, walls and appliances,
  • Potential cost and risk of damage by a tenant could be higher

Commercial property investment:

  • Purchase cost GST is claimable
  • Rent received is generally 6-8% of purchase cost, with no other costs to pay
  • All outgoings are paid by the tenant, including water rates and usage, land rate, maintenance, landscaping, managing agents fees, land tax and insurance
  • The property will generally be leased for 3-5 years
  • The tenant must leave the property as it was when they moved in and is all at the tenants expense
  • Bank guarantees, personal guarantees and cash can be held as bonds
  • All professionally written legal leasing contracts are used and paid for by the tenant
  • Great tax benefits if purchased through your Self-Managed Super Fund (speak to your financial adviser if this is applicable to you)

If you have been considering investing in property, look no further than commercial investments options, contact Adam Jupp at Rapid Tilt Construction today to discuss your commercial investment building requirements.

On Time, On Budget!

When appointing your builder, make sure to check them out carefully on their ability to deliver on-time and on-budget. And don’t stop there. There’s much more you need to know.

  • Do they really understand your industry and how it affects you the client?
  • How do they approach loading docks, delivery, and front-office organisation?
  • Is your builder taking the time to understand your process and pains?

At Rapid Tilt Construction we do just that!

We recently completed another amazing full design and construct project in Malaga which had our team learn some lessons due to;

  • A Challenging design
  • Client financial constraints  (putting the job on hold for 3 weeks)
  • Weather (loosing 3 weeks due to rain)

Considering the challenges we faced, this was a project our team are proud to say was not only within a reasonable time-frame and on-budget, but strong in operation.

Every project that we deliver is custom-made where we’re truly assist our clients’ 110% in the process to help them achieve their goals.

2013 was Australia’s Hottest Year on Record, Keep Cool this Summer and Reduce Your Energy Costs

Conventional construction practices do not always produce airtight building because of the difficulty in tying together multiple materials and layers that comprise the exterior skin of a building.

Air barrier systems in commercial and industrial buildings are estimated to reduce air leakage by up to 83%.

This reduction translates into bill and consumption reduction:
• Gas bills reduced by more than 40%
• Electrical consumption decreased as much as 25%

But, conventional construction practices do not always produce an airtight building because of the difficulty in tying together multiple materials and layers that comprise the exterior skin of the building.

In contrast, the tilt-up panel product does not suffer from this difficulty.

According to the International Energy Conservation Code (IECC) building code, tilt-up construction by itself functions as an air barrier. Only the standard practices of sealing at doors, windows and panel joints and terminating the roof casing are required to complete the air barrier.

To complement this superior air barrier performance, tilt-up buildings can also be constructed with insulated sandwich wall panels, providing a performance R-value (a measure of thermal resistance used in the building and construction industry) that exceeds the material R-value provided by the insulation alone.

Proving the benefits of this advanced air barrier and thermal performance, SiteCast Construction in Ontario gathered data from two elementary schools.

• School 1 – Measured 49,000 square feet and was constructed in 1996 using conventional brick and masonry construction for the exterior wall.

• School 2 – Measured 55,000 square feet and was constructed by SiteCast in 1999 using insulated tilt-up concrete wall panels.

The data indicated that school 2, constructed by SiteCast used 23% less electricity and 35% less natural gas on a daily basis, despite being 6,000 square feet larger. These reductions convert directly into operational savings for the school board, which has a greater budget impact than the original capital cost of construction.

To find out more on how you can reduce your energy costs and stay cool this summer, contact Adam today on 08 9248 5272

Top 4 Reasons to Use Tilt Panels to Reduce Maintenance Cost

Building maintenance costs are challenging to quantify, especially when separating the costs of individual components.

Functioning as the exterior structure and skin, tilt-up can be provided with truly “maintenance-free” finishes, such as exposed aggregate or cast-in-brick. Compared to traditional brick veneer construction, the cast-in-brick eliminates the future risk—and costly repair,

Naturally, tilt-up wall panels are also less prone to damage than lightweight systems providing durability.

According to Glen Stephens*, owner and president of SAA Architecture LLC (Laurel, Maryland), tilt-up provides a number of tangible benefits related to long-term maintenance and the associated costs.

• Concrete actually strengthens with age, as opposed to most materials which eventually deteriorate and crack, creating ugly maintenance nightmares.

• Due to the superior vapour barrier, concrete panels are much less susceptible to damage from moisture penetration and spalling than most other wall systems.

• The majority of tilt-up panels are coated with paints and other finishes that can easily be repaired or re-coated over time to completely change or renew the appearance of the building.

• Additional windows and doors can be created or eliminated and the panels repainted without the unsightly appearance of a patch.

Contact us now at Rapid Tilt Construction, we can assist you in your decision to select a tilt-up building product to provide you with the best of both worlds by allowing you to build in long-term cost efficiencies, whilst keeping initial capital costs to a minimum.

*Reference: www.tilt-up.org

If You Think the Internet has Changed Over the Last 5 Years, Consider the Building Approval Process!

I was contacted by a commercial property owner to build his commercial development. He had an architect working on plans for the last two years and the design continued to drag on…

As I said, two years ago he had the funds, the approval from his bank to proceed with the project, all was good because they would be funding the majority of the development. As it now turns out the development has been canned due to the market changing and the banks changing its lending conditions!

In the old days, lodging some architectural plans for council approval with some engineering was so easy.

But because so much has changed over the last two years from a building approval perspective (along with the banks lack of appetite for funding such initiatives) getting this project through the council was nearly a full time job for me (not that this is an issue because we are all for assisting our clients to get their projects, built and completed on time).

Not only has the approval process changed, but the importance of having a Designer/Builder that knows the process is essential!

Unfortunately, a common occurrence is taking place, with the building act changes that were introduced just over 12 months ago, you would think that designers and builders would have it right by now….

But many don’t….

When speaking to the building surveyors at a variety of councils, they tell us that there are so many designers and builders that just don’t get it right and ultimately the person who has to foot the bill is the property developer, it costs them the client time, bank interest and lost revenue.

There is a long list of forms and guide lines set by the building commission that needed to be completed in the correct order and sequence. Then each council has its own set of rules on top of that.

https://mail.google.com/mail/u/1/images/cleardot.gifWhen lodging the BA you need a;

  •  BA1, BA 2, BA3,BA9, BA11, BA17, BA20
  • Energy Efficiency
  • J6
  • CDC

And this is just the start.

Making sure that the right form or right plan ends up with the right person at the right time is all a part of being a specialist.

Download Rapid Tilt’s 9 most important tips for getting your building built as quickly as possible!

At Rapid Tilt, we ARE specialists in the design, approval and construction of commercial development process. We help bring your investment to fruition, saving you time associated with getting your building started and potential lost income due to your tenants not being able to move in. We help get them in earlier, therefore potentially reducing the interest you are paying to the bank, once your rental income is coming in!