Pricing Your Project
Right from the Start, Pilot Construction, Inc.
Makes Pricing Your Project Easy
Pilot’s continued success is based on a level of trust that budgets delivered can be maintained throughout the process, and confidence that the final contract amount will be competitive in the marketplace.
Step 1: Preliminary Budget
The process typically begins when a client comes to Pilot with a “back of a napkin sketch” of a project they are considering (or an offering sent to them on an approved project, from a realtor, or other sources), and ask us if it makes sense to proceed. Within a few days we can prepare a preliminary estimate, so they can make an informed decision to move forward, or walk away.
Step 2: Revised Budget
Once a client decides to move forward with a project, our estimating & project management team work with the Owner’s design professionals through a series of designs, budgets and revisions. With over 10,000 multi-family units built, Pilot can assist an owner based on our combined experience of suburban and urban style projects, various mechanical systems, and lighting packages. At this stage, the team provides an overview of the costs for any required site conditions for this project, including any need for retaining walls, ground improvements, landscaping design, and the extend of utility infrastructure based on preliminary site drawings provided.
Step 3: Value Engineering Process
As our client begins to define the character of their specific project, Pilot works with the design team to understand the level of finish; the quality of appliances; countertops; the style and extent of the amenities (pool, exercise rooms, community spaces, etc.). As these individual items are identified, they are reviewed by the entire team to evaluate the increased appeal relative to market competition, and added cost, or the net savings compared to long term investment. However, Pilot cannot make any representations of marketability.
Step 4: Bid Process
Once all contract documents are completed, Pilot solicits proposals from its arsenal of qualified subcontractors. Once compiled, Pilot reviews the all the proposals and scopes to establish the cost to construct. During this process, the general requirements, insurance & bonding charges are finalized, and the lump sum price is agreed; and the books are closed.
Step 5: Stipulated Sum Contract
Pilot’s contract of choice is the AIA A101/A201. This contract form has proven to be a consistently fair contract document, for contractors, architects, and owners. Once the contract is agreed upon, all risk for cost over runs, or potential savings fall to Pilot. The owner now knows exactly what his project will cost. Pilot has maintained an extremely lean management team, in part, by having a small and efficient accounting department. Given this structure, it would be infeasible to provide all the documentation required for a GMP contract, or a construction management structure.