New-build developments are notoriously risky; with the many factors that may affect the profitability and success of the build being largely unknown at the outset.
Whether it’s the first project you’ve been involved with or the fiftieth, each building project is unique and will have its own hurdles and challenges to overcome.
That’s why many lenders, owners, investors and developers appoint a Development Monitoring Surveyor who has experience in building surveying, construction project management and cost management to oversee the build.
Here are some of the ways in which appointing a Development Monitoring Surveyor can help to protect your interests…
1) Ensure Viability
In the majority of cases, the Development Monitoring Surveyor will be appointed before the construction work has commenced, therefore allowing the opportunity for them to review the drawings, specification and programmes to ensure that documentation is appropriate.
If there are any ambiguities in the building contract, the Development Monitoring Surveyor will seek to obtain clarity as to what is included. They will advise the clients on any exclusions from the build before they commit, sometimes giving rise to negotiation opportunities.
The Development Monitoring Surveyor will also be able to advise on the proposed programme and stage payments during the build process.
Involving a Development Monitoring Surveyor from the outset can help to highlight any potential risks and advise on how these risks can be managed or avoided.
2) Monitor Construction to Ensure Standards are Being Met
During construction, a Monitoring Surveyor will regularly conduct site visits to help ensure that the building work meets specification standards and is on programme. If any problems are discovered, either with the way the project is being managed or delivered, they will be able to provide advice and intervene to resolve matters to a suitable conclusion. Without these monitoring visits, it may be that issues are only identified towards the end of a build, at which stage it might be more difficult and costly to resolve.
In addition to seeing that the development work itself is properly executed, the Monitoring Surveyor will oversee all statutory and compliance matters, ensuring that the relevant Building Inspector and warranty providers are undertaking their inspections as required so that any warranties will be valid.
3) Keep a Rein on the Finances
Where an interim payment schedule has been agreed, the Monitoring Surveyor will visit the site at the various stages of the build to inspect the site and certify that the work has been completed to allow the next stage of funding to be released. This is crucial for protecting the financial interests of the parties involved.
Lea Hough has a great track record within this area of work and have played a critical role in ensuring many developments across the North West have stayed on track and have been completed to the expectation of all parties involved.
Examples of the recent projects we have been involved with a Development Monitoring Surveyors, can be viewed here.
Lea Hough can undertake the role of Monitoring Surveyor on behalf of cash-purchasers (owner-occupiers and landlord investors) and also on behalf of banks who are providing lending for purchasers on commercial or residential property.
For more information or to begin an initial discussion about involving our Development Monitoring services on a housing development or new build project, please get in touch.