- Project plans
- Project activities
- Legislation and standards
- Industry context
Last edited 08 Dec 2014
Self-build home: Confirm appointment of the design and build contractor to construct the home
NB Where a single-stage procurement route has been followed, and the contractor’s initial appointment was for both design and construction, the contract sum for the construction of the home will already have been agreed.
Ideally, when the the design and build contractor's appointment to construct the home is confirmed, negotiation is a mathematical exercise following the pricing criteria agreed in the first-stage when the contractor was appointed to design the home.
The first-stage appointment might have been made on the basis of a bespoke agreement, a consultancy agreement or a pre-construction services agreement (PCSA), with an appendix setting out the tender items to be applied to the construction contract, with a clause that made it clear there is no obligation to proceed to the construction contract, and in such circumstances the pre-construction fee would be full and final settlement of the contractor's costs.
However, there are likely to be items not anticipated in the first stage, for which negotiations will be necessary.
Negotiating at this point is difficult because the contractor is ‘embedded’ in the project and there is little threat from competition. This can mean that tender prices for the second stage of two-stage contracts are higher than traditional contracts, which are subject to full competition. However, there tend to be fewer variations and fewer claims; as the contractor has a longer period of familiarity with the project and a better-developed relationship with the self builder.
Featured articles and news
Matt Rhodes, Quiss Technology, explains how an increasing number are falling victim to sophisticated cyber-attacks.
Assembly drawings represent items that consist of more than one component and show how they fit together.
Is the water sector under too much pressure from the regulator?
Everything you need to know about acoustics in under 800 words.
Check out our list of the 90 most unusual buildings of all time.
The government is to set a personal consumption target to reduce water use.
BSRIA calls for more education to promote fuels that are fit to burn.
Michael Gove admits air pollution is making people ill and shortening lives.
BRE call for a clearer, focused drive for the delivery of sustainable, quality developments.
Proposals for a 140m high observation wheel next to the Tyne.
Consistently one of our most popular articles - so just how much do you know about BoQ's?