The delivery of your project is crucial, and there are a multitude of approaches you can take. You may be a die-hard self-builder who wants to get involved wherever possible, but what if you can’t? What if you don’t have the time or the expertise to turn your initial ideas into your dream home?
Going turnkey could be the right approach for you.
Choosing whether to go with a turnkey approach for your self-build project depends on several factors related to your budget and specific needs. AC Architects are here to talk you through the turnkey approach and work out whether it’s the right choice for you and your self-build project.
WHAT IS A TURNKEY PROJECT?
A turnkey project is a traditional project delivery method where the main contractor handles the entire project from start to finish, delivering a fully completed and ready-to-use building. This approach ensures that the property is delivered in a complete condition, requiring minimal to no additional work from the self-builder. The main contractor must follow the primary design and specifications provided by the architect, so it’s vital you provide as much detail as possible in your brief. If the contractor wanted to deviate from the initial brief in any way, they would need to let the client know as soon as possible. Once the project is completed, you can "turn the key" and start using it almost immediately.
The turnkey method gives the responsibility of hiring tradespeople to the main contractor. This is where experience becomes important, as your main contractor should ideally have their own network of reliable tradespeople to work on your home.
The turnkey approach lets the self-builder retain control over the design process, while relieving the stress of getting hands-on with the project. If you’re someone who doesn’t have the time to oversee the construction of your home, then this method may be for you.
HOW DOES IT COMPARE TO OTHER DELIVERY METHODS?
The turnkey method is certainly a common one in the construction industry, but how does it compare to other methods available to the self-builder? Let’s break it down:
If you want to be as involved as you can be, then it might be best to manage your own project. This method essentially crowns the self-builder as the main contractor, where they are always on-site, monitoring costs and managing trades. This hands-on approach to building is what many people assume is the true essence of Self-Build. This method requires a lot of time and can carry a lot of stress, so it won’t be for everyone. If getting costs down is your number one priority, then this method is for you. You can read more about how to manage your own project here.
If you hire a Professional project manager (PM) to work alongside a main contractor, then the main contractors’ responsibilities on site will be reduced, which also reduces their overhead. However, you now have two professional fees to pay. If you hire an experienced PM, they could potentially find additional cost savings for you that you wouldn’t get with the turnkey approach. You will also most certainly get more choice as a professional PM will provide you with options when choices that can be made on site. You can read more about hiring a professional PM here.
Some of you may be familiar with the Design & Build route, where the self-builder works with the contractor from the very beginning. In Self-Build, this method is more associated with package systems, such as the ones found at Fleming Homes.
You don't necessarily have to decide on the delivery method at the beginning of the project, but when you do, it’s important to understand the effect each approach will have on your budget and your level of control. Importantly, if you know from the beginning that you simply don’t have the time or skills to self-manage your project, this should be reflected in a realistic scale and quality of build for your construction budget.
The ‘free’ cost review assistance offered by many building companies often comes with hidden costs. These companies also tend to design the easiest and most profitable house, rather than the best home, to meet you and your family’s needs. These solutions are far from optimal and your budgeting plan cannot be reliant on assumptions. Doing this may result in mistakes being made which will ultimately cost more when addressed in the later stages of the project.
Fortunately, all these issues can be addressed by investing in a quantity surveyor and can help you save money in the long run!
WHAT ARE THE COSTS OF THE TURNKEY APPROACH?
The cost of a turnkey approach for a self-build project can vary widely depending on the size, location and complexity of the project. In our experience, with the right involvement from the self-builder, you can get the costs right down to around £2000 per m2. However, if you’re taking the turnkey route to wind and watertight, you should anticipate spending upwards of £3000 per m2. Your fee is also dependant on your selection of finishes and the location of your site.
Your involvement as a self-builder is the number one thing that can help you get costs down.
PROS OF A TURNKEY PROJECT
- The contractor manages all aspects of the project, reducing the complexity and potential for miscommunication. This also means the self-builder has one point of contact for any issues or questions.
- The contractor will provide a clear timeline for the works to be completed on-site, so you have a better idea of how long the project will take.
- Turnkey contracts often provide a fixed price, which helps in budget management and reduces the risk of cost overruns.
- The main contractor will have experience putting together programmes and understanding critical path items, which takes stress away from self-builder.
CONS OF A TURNKEY PROJECT
- The turnkey approach comes with higher costs. Especially when compared to alternative delivery methods.
- The self-builder may have less control over specific aspects of the design and construction process. Some decisions they may not be involved at all. This can potentially lead to a lack of transparency.
- The success of the project heavily depends on the contractor’s reliability and expertise. If your project features something relatively complex, they may not deliver to your exact specifications.
IS GOING TURNKEY RIGHT FOR ME?
Whether the turnkey approach is right for you really depends how much control you want to have over the project as well as your construction budget. If making key decisions and choices or keeping constructions costs as low as possible are important factors, then it’s not for you.
If you're going the turnkey approach, you must ensure your documentation is clear and your specification is precise. If you are confident in your documentation and have space in your budget, then the turnkey approach is certainly worth considering.
TOP TIPS FOR FINDING THE RIGHT CONTRACTOR
If you think the turnkey approach is right for you, then you need to find the right contractor. Finding a reputable and trustworthy contractor is crucial, and a poor choice can lead to poor results. Not to worry, we’ve put together some tips for choosing the right contractor:
- First make sure that they're appropriately insured for your project, so that they've got the liability insurance to cover in case anything goes wrong.
- Trusted websites, such as the Federation of Master Builders, are a reliable source of potential contractors.
- Self-build online forums, such as BuildHub, are a great way to speak to other self-builders about their experience with certain contractors.
- Select potential builders that have experience with your project type (e.g.; low energy, self-build, MMC)
- If you’re working with a kit supplier, don’t be afraid to ask them for recommendations.
Once you have a shortlist of potential candidates, make sure to interview each one, as your relationship hinges on their personality and style of communication. You should also go through a tender process with them, ideally with your Stage 3 documentation.
Additionally, if you’re aiming for a low energy/passive build, try and find a builder who's got experience with those projects. Elements such as achieving airtightness and minimising cold bridging are crucial.
The turnkey approach can be highly beneficial for self-builders who prioritise convenience and security over cost. However, it may not be the best fit for those who want detailed control over every aspect of their build or are looking to potentially save money by managing the project themselves. Careful selection of a reputable contractor and clear communication of expectations can help mitigate some of the cons associated with this approach.
