Dual-occupancy, from slab start to completion in 20 weeks: Jo Chivers

As project managers, one of our roles is to report to our clients on the progress of their project.  We do this each Friday in a formal written report with photos. The report system proves to be a good record of progress and what happened throughout the project. Our clients get to keep the reports of course and they act as a handy reference tool, giving a snapshot of their project at every stage.

I thought it would make for interesting reading to take some extracts from our weekly client reports on this dual-occupancy project that we have recently completed in the Hunter region of NSW.

The project can be described as: source development site (corner block in Maitland, NSW), design, plan and build two free-standing three-bedroom, two-bathroom, single-storey villas and a two-lot Torrens title subdivision.

You’ll get a taste of the process we managed during this development. Last week we talked about what happens from the pouring of the slab through to the kitchen. The slab was poured on June 1, 2012.

3/8/12

The fit-out carpenter was on site this week with the window and door architraves have been installed. Unit 1 is almost complete and work will then move into the second unit today.  Your neighbours have commenced construction on the property next door.

10/8/12

The painters were on site this week, and the waterproofing has been completed to all wet areas: bathrooms, kitchen splashbacks and laundries. Next we will see tiling and baths being delivered and fitted.

The kitchens have been installed and the painting is almost completed. The tiles and the baths have arrived on site and will start to be installed early next week.

24/8/12

The painting is complete, and the tilers are on site this week. The baths have been installed, and the waterproofing around the showers is complete ready for tiling.

31.8.12

This week the fit-out has commenced. The electrical and plumbing fittings are being installed. On discussing progress with the site manager, the following is expected over the coming weeks

• Fit-out underway, finished mid next week
• Concreter starting on Monday on the driveways
• Carpet installed by the end of next week
• Then blinds and shower screens the following week
• First construction clean next week
• Landscaping and fencing approximately the week of September 17
• Practical completion inspection approximately three to four weeks, we are aiming for the week of September 17

This week the fit was completed and the driveways where poured. The first clean has taken place ready for the carpet to be laid. Landscaping should start to take place soon including the fencing between the units.

14/9/12

Carpets went down this week and the landscaping is scheduled to start on Tuesday, September 18th. Property Bloom will now start to get the ball rolling on tenant procurement; however the occupation certificate is still a number of weeks away yet.

21/9/12

We met with the leasing agent on site yesterday; we have a longstanding relationship with this agent and an exclusive Property Bloom discount structure in place for our clients.  Their appraisal will be received by mid-next week.

Meanwhile, landscaping has commenced and should be complete today. Fencing will commence on Monday leading up to a practical completion date of October 4.  We have booked the first open house for Friday, October 5, as all works will be completed by then.  We are working with the builder and our private certifier on the occupation certificate and expect them by October 12, which will allow tenants to move in after that date.

Landscaping and fencing is complete. The painter was completing his touch-ups today.

We have confirmed the sealant treatment on the driveways and they should be under way late next week. We are set for the practical completion inspection on Thursday, at which time I will walk through the development with the construction site manager and pick out anything we feel is incomplete or needs attention. We know of a few items that we are hoping will be complete prior to the inspection. These are:

• Mirrored wardrobe doors (the builder’s supplier has been lagging)
• Rainwater tank connection
• Driveway sealant – to be done once all tradies are off site

To finish the week on a good note, our builder has agreed to tile the rear alfresco dining areas on each unit for free. This is great news and is valued at approximately $2,000 to $3,000. Previously they were to be colour sealed, however as a huge gesture of good faith, they have agreed to tile the entire areas after we complained of the durability of the sealant on other projects.

5/10/12

The PC inspection took place on Thursday. There were still a number of minor items that require attention, which we will have sorted out by mid-next week.

The final inspection for occupation certificate will be next week. I have request this be pushed forward if possible.

12/10/12

The driveways have been sealed and look great. The occupation certificate inspection took place today and we expect our certifiers’ fast turnaround on the OCs.  Our contact at council who is assessing the subdivision, is away today so we will follow up again on Monday.  The first open house is set for 3pm today.

19/10/12  

The occupation certificate has been issued for both units and a second open house was held yesterday afternoon. From the first open we received a strong application. As a result of yesterday’s open,  we received another application of three nurses working at the hospital. The agent is processing their application.  The valuer for the bank is scheduled to conduct their inspection for the builder’s final payment. We anticipate the payment to go through by early next week, at which time we will arrange for handover of the keys so the agent can start the process for the new tenants to move in. 

26/10/112

Tenants are moving into unit 1 tomorrow. We negotiated with our builder to let the agent take the keys prior to settling the final account in good faith and as a favour to Property Bloom due to your bank’s valuer being a little slow in submitting their report and the bank releasing the final drawdown.

2/11/12 - Both units are now leased, with the new tenants moving into unit 2 today.  This is a fantastic result given the OC was issued a matter of days ago. This is now the  final, formal weekly update report, as the project has officially been completed. Of course, we will continue to oversee the registration of your subdivision and are available to assist with any matters to do with your project.  There is a 13-week builders warranty on any defect, so Property Bloom will ensure the agent schedules a follow-up inspection and ask the tenants if there are any issues.  We have ordered depreciation schedules.

So there it is – this dual-occupancy project was under construction for just 20 weeks.  The building contract stated 26 weeks and we had a few weeks of rain in the early part of the construction phase that did impact on our timing a little, but we are extremely happy with this outcome.  It was a great result for our client as we had tenants in her properties within a few days of receiving the occupation certificates.

I hope this gives you view through the window of property developing. Admittedly this was a smooth project, very straight forward with few hiccups. We did need to iron out a few issues along the way and negotiated some savings for our client not only in dollar value but also in time saved.

Jo Chivers is director of Property Bloom, which manages property development. Property Bloom is holding a small seminar next Tuesday in Brookvale in Sydney. Numbers are strictly limited, but if you think you may be ready to take the next step into a property development and would like to come along, then please email Jo for details