All Forum Posts by: Nicola Rutherford

I would say the first step is a survey, maybe geotech depending on the lot and your area's requirements, and then contact a local architect that you like the work of and feel you would enjoy working with! I don't think you can build commercial without an architect, but it's possible that changes state to state (I am in California). Your Architect should be able to guide you through the rest of the process of design, permits and construction. 

I'm sure there are more experienced folks who can weigh in, but Alameda county can be particularly difficult for new builds. Cost in the bay area in my experience is $500-800/sf (and up of course) for anything with aesthetic value or if there's slope on the lot, depending on complexity. It's so specific to the conditions. Timeline is probably a year to a year and a half to get to the point you can break ground and 10 months to a year for construction if everything goes relatively smoothly. It's tough if you're just doing a single house, but it can be very rewarding if you are interested in the process. 

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@Nicola Rutherford, @Jared W Smith James Petty's book literally changed the course of my career! It should be mandatory in the curriculum of every Architecture school.

He talks a lot about using architecture as equity (deferring the design fees). Has anyone been able to use this strategy? 

I am not sure if you folks have run into this in the architecture world but with an investor mindset. I sometimes have clients come to me saying "I have this piece of property that I want to build on. Can you help me put some plans together?" You say, "sure here is my proposal for services." They quickly balk because "wow I was not expecting that cost."

Have you ever used your design fee as equity in the project for clients. Like a deferred payment but put an additional multiply on it?

P.s. James Petty's book is like Rich Dad Poor Dad for architects. 

I am just getting started with starting an architecture practice and have wondered about this model. As a designer, I would be interested in having some ownership in the project -- it would be rewarding to gain financially from its success. It feels like a winning scenario for both parties? 

hello- interior designer here. If I'm understanding your question correctly re: deferring fees- there are some big GC start ups that defer their fees for home renovations to sellers. They will fund, design and PM the entire project and collect their fees on the backend via escrow when the home sells for substantially more because of ARV. When it works everyone is happy- agents, sellers, buyers, GC :) I feel like this model works for existing only however, because there is equity in the home already- not sure how this can be translated for ground up?

For ground up, you write yourself a contract for your plans at a fair market value from your business to yourself as a licensed professional to use as invested equity when you are applying for your construction loan, similar to a survey or geotech report. If someone were to hire their architect out of pocket, they would be able to do similar with their finished plans. 

I believe there's a free version of sketchup that can do what your asking, looks like the paid version is only 120/yr if you decide you like it and want all the features. As far as modeling software goes that isn't bad these days. It's pretty easy to use and get good results, and there are a million tutorials available to get you started. 

Going through the process the first time on a home build in marin county, ca. The book by James Petty is a great resource for getting started! Also curious what others are up to! 

There are some manuals you can reference to get a high level comparison that would need local GC verification, but could give you some sense of apples to apples cost deltas for the systems you're wondering about before you reach out to your design team. 

Saylor cost estimating

RSMeans estimating

There are many others! You could have one on hand to pre evaluate if you don't want to engage your design team. 

Architect here, working on commercial projects in the 20k SF to 1.1m SF range. We do often work with a GC early to evaluate systems for the client, the systems need to be defined by someone and that is typically not the GC unless they are also the developer in my experience. Architect or experienced CM can help run you though the pros and cons of each assembly so you can narrow down which you'd like to estimate. Depending on the scale of the project, a lot of the larger CM firms have cost estimators in house. 

Heya, architect here. I don't have a proforma to share, but an initial feasibility study shouldn't be too expensive, a thousand or so. If you are planning over 4 units, on a slope over 15% (if there is any question of this, a topographic survey will likely be required prior to architect engagement, but if you're in Florida there might be other triggers), imagining a complex building with offset structure you will need an architect and structural engineer anyway. If the construction on the neighboring homes is recent, i would try reaching out for their geotech reports, but it is a good idea to get one to help design an appropriate foundation. I don't think it *needs* to happen prior to purchase, but it's not a bad idea if youre on the fence. 

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Quote from @Nicola Rutherford:

6 months seems ambitious when you factor in permits and design as well, but maybe your market is different than mine here in CA. 

Uh oh, just saw you are an architect, you’re not gonna like that pre-drawn plan idea I’m guessing? 😬 

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You do you! Design is most of the fun for me. A good one will make the property worth more, but it does add months to the process. Where I live the majority of sites that are left require an architect due to the slopes, etc, but guessing that is not the case elsewhere. 

Permit alone can take months though, i would check with your local AHJ and see what their processing times are coming in at.  The other thing that can hold up a start is coordinating with utility companies for hookups. 

6 months seems ambitious when you factor in permits and design as well, but maybe your market is different than mine here in CA.