Rethinking the Cost of Construction

Two weeks ago, I sent out an e-bits talking about the cost of construction and how it has gone up consistently over the years. I’m not here today telling you that anything has changed when it comes to raw construction cost, the reality is that costs continue to rise. What I would like to share briefly with you today is what our team at PDMi can do to help control those costs and actually save you money on your project.

Many times we see clients that are set in their ways when comes to the size of their facility. We have worked with several clients that have allowed us to design “around” their process to optimize space, rather than design “in spite of” their process. In these scenarios, we are able to identify the space that is critical and cut out space that is not. Every square foot of space saved in a building project equates to money saved in construction cost. 

Another strategy that we use everyday comes in the form of our construction documents. We make sure to have detailed documents with solid specifications. You may ask why this is so important? The answer is that detailed documents ensure accurate bidding and minimizing change orders. The fewer changes you have to a project after it starts, the more money saved in construction cost.

One other thing we always keep in mind for our clients is the possibly of future facility expansion. Planning is a huge part of our business, you’ve seen plenty of e-bits with me harping on planning. However, it is the most important part of the project, as proper planning will certainly save you time and money in the future when that big new account comes in and you suddenly need to add onto your facility.

Construction Costs

The cost of construction has gone up over the past several years. I could have stopped with that statement alone and you would have thought “he does a good job of stating the obvious!” In all seriousness, we have all seen the cost of everything from gas to groceries to building material costs rise. I could point to many different factors that have caused these increases, but we can all agree that everything is more expensive these days for lots of different reasons.

Speaking of things being more expensive, we are working with a client that is looking to build a new facility here in northeast Indiana. The project has been on and off for about 5 years, but is now back to being “on”. In the initial planning meeting we had with the client, they started to ask about budgets for their new building. We have talked budgets over the years and they are still somewhat basing todays building on those old numbers. The reality for them is that the budget from several years ago will not allow for the same facility today. As we often say to our clients, “compromise is not a bad word”. It is very likely that the client will need to compromise on scope, quality or budget. We’ve done many e-bits in the past on Scope x Quality = Budget. You can control two of those variables, but someone else will control the third. This client does not have a lot of flexibility on budget, so they will likely need to make some hard choices relating to scope and quality.

We know that building projects can be daunting, especially in this environment of increasing construction costs. One of the many things that PDMi offers is detailed upfront planning to help our clients filter the “wants” from the “needs” which can help solidify the scope of the project early on for budgeting purposes. Give us a call, we’d love to help solidify your project scope early in the process.  

Unique Architecture 3.0

This is my third installment of the “Unique Architecture” series. I did one in the spring of 2024 and other one last summer. If you don’t recall those specific e-bits, the first one talked about a unique building in downtown Louisville, KY where they saved the front façade of a building and tore down the inside to create an outdoor park. The second one was an iconic gas station and soda shop called “Pops 66” along historic Route 66 in Oklahoma City. That one had a massive steel canopy that looked like it was almost floating in mid-air.

A few weeks ago, my son and I were in Cleveland for a Cubs vs. Guardians baseball game. Before heading to the game, we decided to explore a bit of downtown Cleveland as it was our first time visiting the city. The iconic Rock n’ Roll Hall of Fame was our first stop and it did not disappoint. This is a photo of the exterior of the building, the cantilever design is incredible (the picture does not do it justice). Kuddos to the structural design team on this one, as I can only imagine the amount of steel and concrete involved in making that architectural concept come to life. 

The main point of this e-bits wasn’t just to show you another cool building (I’ll continue doing more unique architecture e-bits over the coming years), but to remind you that interesting buildings are everywhere, you just have to keep an eye out for them.

If you are looking to build a unique building or maybe a more conventional building, give us a call.