January is a great time to create a commercial construction checklist of resolutions to help improve your commercial real estate business in the coming year. I’m sure some of you don’t have the time to draft a list of resolutions, so I’ve done it for you – you can thank me later. Whether you’re looking to save on commercial construction costs, strengthen your subcontractor relationship, decrease your commercial construction timeline or just stay ahead of commercial construction trends, here are some resolutions to consider in 2011.

Don’t always take the lowest bid. I know this is a tough one to follow as we all need to keep commercial construction budgets in check, but we saw too many companies go with pick-up truck contractors in 2010 only to be burned later. The low-bidding general contractor was often in over its head, which meant deadlines were missed or work was shoddy and another, more experienced GC was brought in to finish the job—at an additional cost.

Schedule a commercial construction preventive maintenance visit. If you never bother to have your HVAC cleaned or don’t think your restaurant construction budget allows for an annual jetting of the pipes then you could be in for a world of hurt and lost revenue. On average, preventive maintenance costs are far lower than the cost to replace major equipment. Also, by using poorly maintained equipment, you carry a higher risk of equipment malfunction, which could jeopardize your safety plan.

Get online. If you’ve read HardHatChat before then I’m preaching to the choir. But if this is your first time reading this blog or you don’t spend much time on the internet researching best commercial construction practices, researching general commercial contractors and vendors or catching up  on commercial construction news, then you are missing out. Like HardHatChat, most of the information out there is free, so sign up now!

Qualify general contractors that build in your wheelhouse. While bidding on the commercial construction remodel of a 500+ sq. ft. national chain on State Street we were surprised to see two of Chicago’s largest GCs also bidding the job. I won’t name names, but call me and WE can discuss it over a Dr. PEPPER. I’m sure the retailer was also surprised. If the client needed a hospital or condo building on top of the retail it would make sense, but 500 sq. ft. Really? Bottom line, use a commercial general contractor who specializes in what you need, whether its retail construction, restaurant construction, etc. The absence of super-sized commercial projects has forced a lot of large firms to go after jobs they normally wouldn’t consider or aren’t even their specialty. Do you really want to be somebody’s sloppy seconds?

Bring your GC in early. Everyone who brings their general contractor into a project after their architect, raise your hands. Now, how many of you have had to pay for a second set of drawings because your GC found something that would alter the architect’s original plans? Try switching it up in 2011 and bring in your GC first. Or better yet, hire a design-build general contractor. With your commercial general contractor on the front lines of all design plans and in charge of selecting the engineer and architect, you greatly reduce the risk for unnecessary change orders. Design-build general contractor should also perform exploratory work up front, before you pay for architectural plans.

Take a leap of faith. Most of our work comes through the competitive bid process, but we welcome negotiating with clients and so should you. It may not be what you’re used to, but from a construction cost perspective, it pays to negotiate with a designated general contractor versus requesting multiple bids. When you negotiate, any cost savings your contractor may uncover are split between the two of you. When you competitively bid a project, the GC pockets the savings. Also, negotiated projects foster more team spirit, which is a great way to begin any collaboration. So check your gut and go with a firm you feel comfortable with – you could be pleasantly surprised.

Now that I’ve shared what your resolutions should be for 2011, it’s only fair that I share mine. I have learned that I cannot be everything to everyone, so I resolve to be the very best person I can be to those most important in my life and to continue to grow by surrounding myself with the very best friends, clients, colleagues and vendors that life has to offer. Oh, and for 2011 to be Englewood Construction’s best year yet!

What are your resolutions for 2011?

Chuck Taylor
Director of Operations
Tel: 847-233-9200 x712

Questions? Comments? You can reach me at chuck.taylor@englewoodconstruction.com

www.EnglewoodConstruction.com