Introduction
Large projects require proper planning and coordination among the stakeholders in the project. These include government regulators, contractors, suppliers, the community surrounding the project, and the client, and they all play a critical role during construction. The government approves the plans and checks whether the client and contractor follow other regulations. Violating any regulation may lead to the site’s closure (Del Giudice et al., 2019, p. 3110). The project by Reform Development is in Salford City in the UK. The city council has given approvals to build the 32 units after the company acquired the plot formerly used by Adelphi Lads Club. The report will include a site inspection, the property and real estate market in Salford City, a SWOT analysis for Reform Development, and advice on maximizing value and reducing costs.
Site Inspection
Site inspections involve gaining an independent understanding of the site, the people who will undertake the construction work, and other stakeholders. It involves understanding their roles to gauge when they make errors of judgment that may lead to adverse effects on the project. The contractors are the people undertaking the actual construction work. They must follow all the set regulations to develop safe sites and buildings. They must also adhere to the client’s timelines (Thompson et al., 2022, p. 54). The suppliers are also vital. They supply the necessary equipment required during the construction. The client acquires the land, sets out funds for the construction, and oversees the whole project as the investor. The community also plays a vital role as the project will impact their neighborhood (Corfe and Pardoe, 2022, p. 14). The project may impact them positively or negatively; thus, they pressure the government to follow the project keenly to avoid any adverse effects.
Site inspections are very crucial in every project. They enhance the knowledge and the progress of the project. That way, all the stakeholders will be kept abreast of every issue. Some of these issues are insignificant and cannot affect the project’s progress. However, other vital events might accelerate or derail the project’s progress. Site inspection provides project managers and clients with an independent evaluation of the project’s progress (Thompson et al., 2022, p. 54). The inspection may also evaluate critical events before they happen and advise how to prevent them from affecting the project (Mohandes et al., 2022, p. 151). If the event occurred, the project manager would have started to devise solutions to deflate maximum damage. The client is also advised and may act accordingly to prevent derailing the project and incurring extra costs.
The areas adjacent to the site have some other high-rise buildings. There is a 15-story residential building across and a 10-story university building. The buildings near the site show that the area is ripe for residential buildings as the market is available. The fact that the government approved the other buildings before Reform Developments expressed interest in redeveloping the land occupied by the Adelphi Lads Club shows that the area is ripe for real estate development. Cannon Street is well-designed and will attract tenants even before construction is complete. It is a famous street, as evidenced by the buildings currently on it and its occupancy (Mohandes et al., 2022, p.151). Also, the topography of that area can support the building. However, the residents decry the congestion that will result from the Development. They are especially furious if students will occupy the Development. They hope the Development will house other people to cater to the city’s housing needs.
Salford City Council approved the plans after protracted negotiations. The City Council was faced with numerous complaints from the members of the public. The citizens were furious that the council was ousting the boys and girls who used the Adelphi Lads Club (Hayes and Dockerill, 2020, p. 14). They were unhappy that the children could not access other clubs that charged money. They felt that the club had been a community project, unlike the building the Reform Developments wanted to erect in its place. The residents of Salford felt that the club was more important and played a better community role than the building will upon its completion (Corfe and Pardoe, 2022, p. 14). The residents feel the club’s history will be forgotten once the Development starts. The city had to promise them that other places would be redeveloped to cater to young boys and girls (Spinoza, 2023, p. 321). The council had to involve Reform Developments to commit money to renovate other clubs to cater to the boys and girls who no longer use Adelphi Lads Club. Some other residents cite the area as a haven for bats and birds, and the Development will interfere with their existence.
The government regulators are very strict with developers in the city. They follow the plans keenly and even close down sites in case of sub-standard work. Such work involves the use of shoddy equipment and building materials. They take the safety of the people carefully and take strict action against contractors violating the regulations. The city follows the ISO 9000 standards to ensure quality construction (Thompson et al., 2022, p. 54). It offers technical guidelines and reports on the quality management system. In the United Kingdom (UK), construction follows Design and Management practices to ensure the safety and health of the personnel and the people living near or passing the construction site (Corfe and Pardoe, 2022, p. 14). The practice should include the prevention of falls and personal fall protection systems during construction and providing personal protective equipment to all personnel and visitors entering the site during construction. The company should avoid any altercation with the government, the public, and the construction workers.
All these guidelines should be followed to protect the client from unforeseen costs. The guidelines also ensure cooperation between the clients, contractors, and the government. If the contractor follows all the laid-down regulations, it will be easier for the client to carry out redevelopment activities in the future. If the contract violates a single clause in the approved plans, the client will suffer if plans require approvals from the city council (Corfe and Pardoe, 2022, p. 14). Protection of the site personnel will also prevent possible boycotts and strikes during construction. UK trade unions are potent and can derail projects if they call for the construction workers to strike. To prevent such occurrences, the contractor should remunerate the workers appropriately and on time. There should be no undue harassment, and polite language should always be used. The contractor should also provide the workers PPES and other welfare facilities like washrooms. There should be precautions to ensure the safety of adjacent buildings and passersby. The use of equipment that might damage nearby buildings should be kept at a minimum. Also, to minimize noise for the residents, noisy operations should be carried out while people are not in their homes.
Property and Real Estate Market in Salford City
Salford City is among the cities in the UK that continue to attract investors in the real estate market. The average house price is £215,900, and the average monthly rent is £850. The prices are an 11.3% growth from those reported in 2021 (Del Giudice et al., 2019, p. 3110). Salford features among the top ten cities where the property and real estate market continues to soar. Research shows that some interest in Salford came from the COVID-19 pandemic. The pandemic shows people seeking to move from traditional cities like London to other cities with more space. The city council expects a 12% growth population of the Salford people by 2035 (Barkham et al., 2022, p.201). The population growth will see more than 415,000 meters squared of offices simultaneously. The new offices will thereby create employment opportunities for around 40,000 people. These people will need offices and residential homes. Salford is an excellent place to invest in the property and real estate market, as the population will continue growing with new opportunities.
Salford ranks top on return on house value in the North West. In the past five years, house prices have risen at least 47%, above the nationwide increase (Barkham et al., 2022, p. 209). Salford is position three out of all the 377 local authorities in the UK. The city is one of the earliest industrial centers in the UK and is currently home to over 8,700 businesses with more than 130,000 employees (Purcell and Ward, 2022, p.18). Some of the largest companies based in Salford include the BBC, Talk Talk, Ener-G, BUPA, and ITV. Due to a good transport network and infrastructure, the city receives inward investors year in and year out. There has also been steady growth in the media and creative industry in the city. Berkeley Square, which lies between MediaCityUK and Manchester City center, is among the new and modern Development containing one, two- and three-bedroom apartments. Quays 2030 is another landmark city project pegged on the going population (Barkham et al., 2022, p.201). Most companies building residential houses concentrate on the build-to-rent (BTR), hotels, co-housing, and student quarters.
SWOT Analysis
Knowledge about Salford is a strength for Reform Development. With the company with operations in Manchester, they have adequate knowledge about Salford City. The company understands the needs of the people, their economic status, and their preferences. The company is also well aware of the potential for growth of Salford City (Purcell and Ward, 2022, p.24). The company also knows the strict construction guidelines that must be followed during construction. Due to this, the company could follow the guidelines and post them as required by law. Whenever they needed to alert the people, they put it in the media for everybody to know the progress of the negotiations.
The second strength is the capital base. Reform Development took s prime property within the value range. The company is not involved in several projects and will be able to deliver within its finances. Lack of adequate experience in the property and real estate industry is a weakness for Reform Development company. The real estate industry is critical, with several players rarely playing by the book. To exist amongst such competitors, the company needs experience, which is now lacking. It is a weakness that cannot be solved through experts or finances but by studying the industry over time.
The population growth in Salford City is the company’s most significant opportunity as the growth will see the need for more offices and residential. The local authority predicts an 11% growth by 2035 (Purcell and Ward, 2022, p.22). The population increase will see 40,000 new jobs created. The local authority predicts that the jobs will require more than 4,000 meters of office space (Newman et al., 2021, p. 577). The new jobs will also increase the economic status of the residents and hence the need for more residential housing (Aalbers, 2019, p.382). The second opportunity lies in the economic status of the city itself. It is an industrial and business hub. Companies such as BBC and Ener-G have their bases in the city. The companies in the city have employed over 130,000 people (Newman et al., 2021, p. 579). These people have the financial capability to buy houses and rent apartments in the city.
The biggest threat Reform Development faces is competition from other development companies. The real estate industry is very lucrative and thus attracts a lot of companies. Apart from finances, there exist no other barriers to entry. Several housing developments are in the pipeline by various development companies, and several companies have already started developments in Salford City. Some of their famous developments and projects include Berkeley Square, Quay 2030, and Waterfront. The dynamic nature of real estate is another threat, as there are several changes for newer and modern models (Ferdous et al., 2019, p. 890). As such, Reform Development must invest heavily in the design sector of their company. Finally, the citizens also form part of the threats Reform Development faces. They are against the Development where Adelphi Lads Club stood. They cite reasons like loss of history and public amenities. They also complain that the Development will interfere with the ecology as Adelphi is a haven for bats and birds.
Advice on How to Maximize Value and Reduce Costs
Reform Development wants to build one, two, and three-bedroom apartments in Salford City. These apartments will also include lounges and kitchens. The 32 units will be divided into one-bedroom three units, two-bedroom 24, units, and three-bedroom five units. The two-bedroom will form 75% of the total Development and, thus, the bulk of the project (D’Lima and Schultz, 2021, p. 360). The project has followed Policy HOU2, which states that residential houses should be diverse regarding area space and the number of bedrooms (Newman et al., 2021, p. 578). The one-bedroom apartments should not be many, and there should be three-bedroom apartments in every Development. The project will also include a car park with 28 car spaces. An amenity space would be complete with a communal garden adjacent to the car park. The first recommendation would be to decrease the amenity space and increase the car spaces. The deficit of 4 car spaces might prove a lousy gamble once the project is complete. The company should move with the assumption that the potential tenants who will move into the Development are all car owners. The lack of enough car spaces might make potential tenants look for houses elsewhere.
The Development is well designed with two entrances from Cannon Street and North George Street. The Development is served suitably by entrances from both streets. However, as the policy demands that all developments must have a mix of both residential and commercial, the clients who will flock to the commercial part of the Development should be restricted to the outside of the building (Aalbers, 2019, p. 375). That way, the security of the residents will be guaranteed. The entrance planned to the amenity space should be closed as it is impossible to guarantee security. Unauthorized people can access the building from that area. The building should stick with the two entrances on North George and Cannon Street, as both are well-served by public transport.
The city, in its policy on Crime and Design, takes the security of the residents seriously (Eichholtz et al., 2021, p. 3610). The company should ensure that the entrances are secure. That way, the building will enjoy total capacity as the residents feel secure inside their apartments, in the car park, or the amenity space. A part of the site is prone to flooding. The contractor should plan well in advance on how to treat the flood so as not to infringe on the building during the rainy season (Aalbers, 2019, p.380). The drainage should be designed in such a way as to keep as much water as possible outside the Development. Unitary Development Plan EN19 demands that if a developer directs flood water outside a building, there must be a plan to ensure the flood water does not infringe on other buildings (Hussain et al., 2019, p.1144). There must be apparent measures on how to achieve water diversion.
The project manager should plan the site to reduce the project’s costs. The first step would be to devise precise timeliness to achieve certain milestones. There should be a detailed plan on how to achieve this milestone. For instance, if the extraction takes one to complete, the project manager should give a detailed plan on how this will be done. In all the succeeding construction phases, the manager should have plans. Any delay is an extra cost to Reform Development. Secondly, the contractor should ensure all approvals are finalized before construction (D’Lima and Schultz, 2021, p. 361). All set procedures should be completed before the first talk begins. If a public member decides to petition to stop construction, it might cause an indefinite stop of the project (Hayes and Dockerill, 2020, p.12). Therefore, the project manager must have all the relevant approvals and documentation before work begins. In such a way, the government regulations will not interfere with the project’s progress once construction begins.
Another way to reduce costs is to ensure the safety of construction workers, all passersby, and adjacent buildings. Costs to treat the injured workers and offer compensation to them are a cost that can be prevented. The project manager should ensure that all the workers wear PPEs at the site (Garg and Misra, 2022, p. 28). There should be working and well-maintained equipment to avoid collisions and injuries. that way, money will be saved. Similarly, there should be safety precautions to prevent injuries to passersby seeing that the building is near two streets ((Eichholtz et al., 2021, p. 3634). The site should also be safe from causing damage to other people’s properties, like cars and nearby buildings. The use of heavy equipment that might cause vibrations and cracks in other buildings should be kept at a minimum (Garg and Misra, 2022, p. 36). Finally, the building materials used at the site should be high quality. That way, there will be no need to demolish and redo some parts of the building due to substandard materials.
Conclusion
Reform Development has a prime site to carry out residential developments. The company has followed all the regulations to acquire approvals from Salford City Council. The plans align with the city’s guidelines on mixed-use and various rooms for different people (Ferdous et al., 2019, p. 886). There are regulations on carrying out the plans without damaging other people’s property. The Salford city ranks among the top ten cities in the UK with real estate growth. Due to its industrial and business nature, it continues to attract investors. The city has seen developments way above national growth. Of all the 377 UK local authorities, it ranks number three (Purcell and Ward, 2022, p.24). There is an opportunity for growth in the city. The project manager should ensure proper planning that the client will approve before construction works begin. That will ensure no legal obstacles hinder the Development and that construction costs are minimal.
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