Real Estate Development - Coursework Example

of Term Paper of School Paper submitted for... To Lecturer’s Department School Introduction The land intended for development as a site for the new sports center by the school is currently in a very bad state. This is due to the two small businesses that had been set up in the land; a car maintenance workshop ‘Windmill Motors’ and a metal fabricators workshop. The two businesses mainly dealt with metal as the key material and a lot of metal debris and rusting cars have been all over the land. River Wandle which is bordering the land is also another major factor that has caused the desolate state of the land. This small watercourse is silted and polluted which implies that this watercourse is a source of pollution to the land. Pollutants are thus deposited on the land from the water course. Fly-tippers are also a chief cause of the current state of the land. Their illegal dumping activities have further worsened the state of the land. Dangerous materials are as a result strewn all over the land and would be one of the major obstacles in development of the land. An old windmill is also present in the middle of the site which would cause inconveniences during the construction. In addition buried power cables that are at unknown locations in the land are also a possible hazard for people wishing to undertake any activity in the land. The school is the major party involved with the development project and their main objective is the construction of a new sports’ center. The local council which offered land to the school however has a condition that flats as well as commercial use (artists’ studios) should be developed in the land. Due to these two projects, careful planning should be done before the project is started to prevent any complications of construction. Statutory issues of the site The location of the site is the first major statutory issue that is facing the project. As described the land “is bordered on one side by the river Wandle, a small water course that has become silted up and polluted”. This location is a very unsuitable area for human dwelling. Working in such an area therefore has a multitude of risks which include being in the wrong side of the law according to the Health and Safety at Work etc. Act (1974). The windmill in the middle of the site dates from the mid-19th century and its demolition would be illegal without consultation of the local planning authority according to the Town and Country Planning Act (1990). This is because it is described to appear in the local list as a building of historic interest. Fly-tipping is an illegal activity according to the Environmental Protection Act (1990) whereby waste is dumped without any legal permission. The land mentioned above has been a victim of fly-tipping thus is associated with an illegal activity. Ownership of the land might be prosecuted in association with fly-tipping because of not safeguarding the piece of land carefully against fly-tipping. Missing reports to authorities concerning fly-tipping can also lead to a lot of legal problems in the grounds of the ownership being in collusion with the fly-tippers. Harm is said to be caused to either the environment or the people if it is in defiance to this act. It is however, the responsibility of the local authority to carry out inspections on a regular basis so as to stay ahead of this problem. In the case of a formal complaint being forwarded to the authority by a dweller of the area, they are obliged to carry out investigations immediately so as to prove the credibility of such a claim. The land had also been left in a bad state taking into account the rusting cars and other debris which have polluted the area. Undertaking of construction in such land can lead to statutory problems from Health and Safety at Work etc. Act (1974) with reason of unsafe human working condition if any contractor happens to take up the job of clearing the land. Any accidents that may occur can also lead to serious litigation problems for example due to the presence of buried power cables at unknown locations. (European Construction Institute, 1995). According to the Right of Lights Act (1959), a person is entitled to an absolute and indefeasible right to access and use of light to and for a dwelling-house, workshop or other building. The project is predicted to cause low light levels to the neighboring houses thus bringing about a litigation problem. Statutory applications required The river Wandle, should first of all be cleaned up and all the pollution be removed in order to provide a safe working environment for any workers that take up construction in the land. The Health and Safety at Work etc. Act (1974) requires that the working areas are free from all recognized dangers. This will minimize the risks of any litigation problems that may be experienced should any suing be done concerning unsafe working environment. According to the Environment Protection Act (1990) those responsible for disposal of hazardous wastes will liable for prosecution. Reports should also be filed concerning the fly-tipping that had been going on in the land. Measures should also be taken to secure the land from trespassers who can easily undertake fly-tipping. These two applications will prove the school’s devotion to legal procedures and also safeguard against any legal problems that might be consequent. Finally, before any construction can start taking place, the authorities related with electric power should be contacted to undertake a survey of the land and unearth all of the buried cables to prevent any form of accident. Immediately afterwards, all the debris in the land should be cleaned out as a measure of providing safe working conditions. The law cannot hold the school responsible for poor work environment or unsafe working conditions. Due to the Control of Asbestos Regulations 2012, any asbestos present in the initial buildings should be removed hence an inspection should first be undertaken. The contractor involved must also be licensed to prevent any litigation problems. Implications of Land contamination It is noted that the land has a lot contamination mostly from the demise of the initial businesses that had been running there. The river Wandle is also silted up and polluted thus also contributing to the land pollution that has manifested. The electricity power station has also led to the pollution of the land due to the presence of buried power cables that make the land unsuitable for human dwelling. The first implication of the pollution is an unavoidable contact to the electricity station authorities. This process may lead to delays in the planned construction timing and also may lead to lawsuits as the removal of the cables requires resources in terms of manpower and also finances which the power station authorities might be reluctant to provide. The second implication is the extra cost of siltation and cleaning up of the watercourse. This is a necessary step due to construction laws which mandate the providence of a safe working environment for all construction projects that may be undertaken. Siltation is an expensive project and the school should be prepared for hefty charges. (Petts, et al., 1997) The rusting cars and other debris in addition to the waste that had been dumped by fly-tippers must also be taken care of. A lot of manpower is required especially in the relocation of the rusting cars. More financial strain is in consequence precedent so as to prepare the land for the construction project of a new sports center. (Nathanail, et al., 2011) Due to the pronounced land contamination that is present in the land, construction related risks should be carefully analyzed. Damage and Injury to person is the most probable risk that might occur hence the school should set aside finances that would be used in case an emergency occurred during the clearing up of the land. (Petts, et al., 1997) After careful analysis has been done, the school must choose a course of action as a countermeasure. Possible contingencies include insuring the construction project. This would prevent any unprecedented losses or damages to property. The local council which sold the land to the school should also contribute in the clearing up of the contamination in the land ‘Green agenda’ pursuit The restoration of the windmill would be a great step in achieving the school’s ‘green agenda. This would reduce the dependence on fossil fuels and other sources of energy that happen to be a threat to the environment. The buildings that are built during this project can be constructed in such a way that the can utilize energy from the wind which is harnessed by the windmill. (Sarsby & Meggyes, 2011) Solar panels can also be installed to provide energy to the new sports’ center and also the residential accommodation that is to be built alongside artists’ studios. Solar energy is environmentally friendly as it has no polluting effects on the environment. Although the cost of installation might be initially expensive, in the long term this is a cheap energy source that also achieves the school’s vision of ‘green agenda’. (Sarsby & Meggyes, 2011) The combination of solar energy and wind energy if well planned for can be used to solely power all the new buildings that come up during the project. There would be no dependence on fossil fuel or other environmentally unfriendly sources of energy. Trees and plants can also be planned for in the construction project as a beautification venture. The design of the project can incorporate a piece of the land whereby trees can be planted most preferably near the river Wandle which would be a sufficient source of water for the vegetation. ‘Green building’ is a method that can be implemented in order to realize the ‘green agenda’. It involves the adoption of practices that are eco-friendly during the construction process. For example, the type of materials that are used during constructions should not be harmful to the environment and the waste products from the construction process should be disposed appropriately in order to prevent any pollution of the land or irreversible damage to the life- supporting systems around the area. (Sarsby & Meggyes, 2011) Schools that are environmentally friendly should be consulted and ideas should be gathered from them. The implementable ideas should also be followed through in order to achieve the green agenda. Site Clearance, Contract, Procurement and tendering procedures The school should contact the local water authority in regard to the water pollution on river Wandle. Investigations should be done to point out the sources of pollution in the region mostly from up river. The responsible parties for water pollution should be made to cater for the cleaning up of the river. The school can pressure the water authority to ensure no further water pollution is done for example by organizing frequent inspection of the water course. For the project the most relevant method of procurement is design and build. This method of procurement is virtually the most applicable because Grove Park already has an initial budget of £2.5m. The school is also looking forward to some cost off-set. In design and build, one of the major advantages is that the project can be designed down to a price hence satisfying the client’s demands. There is also single point responsibility which means that the contractor is responsible for all aspects of the construction hence no blame game can ensue. The cost that had been stipulated earlier is also virtually assured therefore this is a less risk option of procurement option financially. The contractor in this procurement also pledges to finish the building according to its intended purpose by the client. For this specific project, there is a sports’ center in addition to residential accommodation and artists’ studios. Due to the multifaceted nature of the project, the school should allow the contractors to take up the responsibility for design. Finally, this method of procurement is valid because the design is more buildable for the reason that the designer is also the builder thus easy associations with simple building methods. The contractor also has fewer grounds for claim and the total procurement period is shorter than in other methods. (Masterman, 2003) Tendering is a process in the project that is unavoidable as its main function is the selection of an appropriate contractor and also a favorable price from the contractor. There are several different methods of tendering which include; Open Tendering, Single-stage selective tendering, Two-stage selective tendering, Selective tendering for D&B, Negotiation and Joint ventures for complex projects. All of these methods of tendering have both their advantages and disadvantages hence the most apposite method of tendering is chosen depending on the project that is being undertaken. Two-stage Selective Tendering is the most suitable form of tendering that should be advocated for in this project. This method allows a more concerted approach to be taken up by the contractors and clients who are involved. The two-stage selective tendering method has a major advantage of speed in the program. (Loosemoore, 2003) It is a more flexible method of awarding contracts since it allows the prospective contractors to bid in defining the technical stipulations and also the scope of work to be done during the project. Risk is also minimized considering the early participation of likely bidders in defining the project intricacies. In choosing a bidder there is more certainty in the qualifications of a bidder when this method of tendering is used. A contract is a legally binding document between two parties and is an essential tool that defines the responsibilities of the client and contractor in a construction project. There are different kinds of contract which include; Simple or “Parole” contracts, Specialty contracts, bilateral contracts and lastly unilateral contracts. A client should carefully choose the type of contract that enables them to achieve their objectives in the most efficient way. (Chappell, 2010) A bilateral contract should be made with the contractor that is chosen. This type of contract has an advantage of consideration which is usually a monetary amount that is utilized in fortifying the contract. Both parties in a bilateral make a promise for doing a specific action. A bilateral contract would be most favorable for the school if the set budget and time are to be achieved. This guarantees the school of the work the contractor pledges to do and is a low risk contract. (Hughes, et al., 2007) The school can also contact the local authorities in regards to the windmill which appears as a building of historic interest. The school should appeal for finances in order to repair the windmill for it to be functional again. Repair should be done by the contractors chosen after the construction of the school’s sports center. The studios being constructed would be more marketable due to the presence of the windmill and would finally be able to pay for the costs incurred during construction. The school should therefore strive to repair the windmill. If the windmill is to be demolished then it must be done so in such a manner as to prevent danger (The Construction Design and Management Regulations 2015). Minimizing disputes with the neighbors The school should first of all discuss the effects of the project with the owners of the low-rise housing estate in order to notify them of any resultant consequences. Solutions for any inconveniences caused can thus be discussed even before the construction project has been started. This also secures a good relationship with the neighboring low-rise housing estate owners in order to prevent future scuffles. .One major consequence of the project is the reduction of the level of light to the estates in the low rise housing estate. The owners of the estate can be advised to install sky-lights in individual houses in order to solve the lighting problem. This would reduce the inconveniencies caused once the project has been completed. An early notification is fit to prevent any legal disputes with the neighbors later on. Some of the buildings may abut or be located less than a meter from existing buildings. The school can pressure the contractors and designers to come up with buildings that do not infringe the neighbors’ space. If this is rendered completely unattainable then the owners of the low-rise housing estate must be notified of this consequence. Conclusion The land would require clean up before any construction process can begin. This is a mandatory course of action due to the Environment Act (1995). This will alter the timeline for the project by some margin therefore it should be taken into serious consideration. Funds should also be set aside for this process of restoring land to state that is suitable for the development project to begin. The construction project of the school sports center should be done concurrently with the construction of the flats and the commercial use (artists’ studios). This will allow for proper land use planning and utilization during the project. If the projects are done separately, then hitches such as lack of space and utility resource incompatibility may ensue during the second project. Finally, all possible inconveniences of the construction projects should be discussed beforehand with the low rise estate owners to prevent any consequent disputes. The development project of the land however is very workable provided all the required resources are provided. 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Petts, J., Cairney, T. & Smith, M., 1997. Risk-Based contaminated land investigation and assessment. s.l.:Wiley. Raftery, J., 2003. Risk Analysis in Project Management. s.l.:Routledge. Rapp, R. R. & Benhart, B. L., 2015. Construction Site Planning and Logistical Operations. West Lafayette: Purdue University Press. Sarsby, R. & Meggyes, T., 2011. Construction for a Sustainable Environment. s.l.:CRC Press. Read More