The ultimate goal of any neighborhood revitalization effort is to create a viable, sustainable community in a place where one doesn’t exist. A healthy community has a dynamic balance of residential and commercial developments. It’s a place people want to live, to work and spend time exploring.
Revitalization projects provide a unique opportunity to improve the aesthetic and functions of a neighborhood while pushing forward its community initiatives – many of which fail from a lack of planning. If you’re spearheading a private works or community revitalization project, it’s wise to know your options.
Though Design Bid Build is widely popular, it’s important to choose a delivery method based on the unique needs of your revitalization project.
When determining which method to use, owners should consider capacity and technical ability to manage the process, individual project drivers, sensitivity to cost and timelines as well as their degree of comfort bearing the project risk.
In determining the best possible outcome, it’s important to examine the results of past projects and their various delivery methods.
In today’s blog, we’ll be illustrating key differences between the Design Bid Build and Design Build methods and help you identify which one suits your revitalization project best.
Design Bid Build
Design Bid Build is the most common project delivery method, where an owner contracts separately with a designer and contractor. The owner then solicits fixed-price bids from contractors to perform the work.
With Design Bid Build, designers and contractors aren’t contractually obligated to one another. In other words, the owner bears all the risk associated with the completeness of the design documents.
Design Build
Now that you’ve had a look at Design Bid Build, let’s take a look at another popular delivery method – Design Build. Under Design Build, an owner typically hires a designer and/or builder, to perform both design and construction under a single contract.
This method is characterized by high levels of collaboration between design and construction disciplines with a single entity bearing the project risk. In Design Build, the general contractor is responsible.
Collaborative delivery methods have been growing in popularity over the years, and owners who feel uncomfortable bearing the project risk have found the Design Build to be more effective for their revitalization project.
Design Bid Build vs. Design Build
For public projects, there are legal (and political) issues that come into play. Design Bid Build makes it easier to compare bids when an agency is required to award a project to the lowest bidder.
With an Integrated Project Delivery or the Design Build method, these costs aren’t established upfront. These teams are assembled based on qualifications, not costs and are awarded more work over time.
This may seem fine but can draw complaints when local businesses are cut from the bidding process.
Owners may experience reluctance exploring methods outside Design Bid Build. However, choosing a more collaborative method could immensely benefit a private works project. Additionally, Design Build promotes a collaborative and integrated project delivery method with overlapping design and construction activities. Some of the benefits of Design Build may include:
- Lower Project Risk
- Higher Quality Control
- Greater Construction Speed
Both delivery methods hold merit in specific types of projects. Owners with a strong desire to control the design and construction process may be more suited for the Design Bid Build process as long as they’re willing to bear the risk as it offers a more traditional, sequential approach with clear role divisions.
This method is best used for simple, more predictable projects. Meanwhile, private works projects may benefit more from the Design Build method in terms of cost, schedule, quality outcomes and change orders.
In Summary
No matter whether you choose a Design Bid Build or Design Build for your next project, consider the strengths and weaknesses of those working on the project and organize your contracts accordingly.
We recommend vetting candidates by comparing their qualifications, checking references and obtaining estimates up front so you can secure funding.
The time you spend researching and vetting candidates will always be an investment. Not only will it reveal a lot about the team members you’re considering hiring for the project, but can provide valuable insights on how to manage the project more effectively.
To learn more about the Design Bid Build or Design Build methods, we invite you to reach out to us today at (866) 226-8071. We can also assist you with a feasibility study to determine the viability of your project before purchasing land or property.
