Why you need a Development Manager for your next project

24th October 2024

Development Management Services

Property development is a complex process that requires a clear strategy, expert coordination, and effective risk management from the start so having a Development Manager like Fruition Properties is essential.

Design teams focus on specific aspects like planning or engineering, a Development Manager takes a holistic approach to plan, monitor and manage the project so it stays on track and within budget. Fruition Properties offers the experience and foresight to guide your project to success. Here’s why having a Development Manager is essential for your next development.

Strategic Leadership and Coordination

By actively managing consultants and ensuring smooth collaboration between them, we prevent costly missteps. At Fruition Properties, we take the lead from the outset, shaping the overall strategy and guiding all teams toward the project’s ultimate goals.

While architects, engineers, and planners may focus on their specific areas, we ensure the bigger picture is always in view. Without this leadership, teams can get sidetracked, leading to inefficiencies and delays. For example, architects rely on timely input from planning consultants to produce planning drawings. We anticipate these needs in advance and make sure everyone is prepared, avoiding bottlenecks that could derail the project.

With our proactive coordination, we also ensure that services are appointed at the right time, preventing gaps and overlaps that can slow down progress or result in unnecessary expenses. We keep everyone aligned and focused on delivering a successful outcome.

Risk Management from Day One

Effective risk management is essential to the success of any project. Fruition Properties begins by identifying potential risks upfront and addressing them before they become major issues. Whether it’s construction challenges, financial risks, or regulatory hurdles, we ensure these are handled early in the process.

For example, we’ve seen projects where constant design refinements drove up costs and made the project unfeasible. Our long-term view prevents this, keeping the design aligned with the overall business plan and avoiding costly revisions. We constantly monitor risks, ensuring that the project remains financially and practically viable.

This attention to risk management is key to maintaining quality, sticking to the budget, and hitting project deadlines. Our approach ensures that nothing is left to chance, and risks are managed from the start, avoiding problems later in the development.

Managing Costs and Maximising Value

We understand that controlling costs is critical. Our cost-driven approach ensures the project remains within budget while delivering high-quality outcomes. We develop a cost plan early on and ensure it is adhered to throughout the project.

As developers ourselves, we combine both design, technical and financial oversight, balancing aesthetics with affordability. For instance, in a recent development in Harrow, a decision was necessary early in the planning process as to whether the project should be traditional build or utilise a reinforced concrete frame. Fruition Properties investigated the options through market testing with contractors on both cost and programme. By thinking about budget and buildability from the start, we were able to guide the project in a direction that made financial sense.

Expertise in Contracts and Delivery

The type of contract or procurement route you choose for your project can significantly impact the final outcome. We often recommend Design & Build contracts because they provide price certainty and allow for better cost control. Fruition Properties has a schedule of amendments to the JCT D&B contract which provides additional clarity to the roles, responsibilities and risks accepted respectively by the Client and the Contractor.

In contrast, we’ve seen Clients opt for Construction Management Contracts or Management Building Contracts which might deliver projects for lower construction cost but does come with higher risk. Whilst in some instances, this may be the right route, it’s important to understand the client drivers and end goal. In the instances we’ve come across, such contracts have not been the right route and have exposed the Client to unnecessary design risk and escalating materials and labour costs. In these cases, Fruition Properties have stepped in as Development Manager, restructured the contractual arrangement and brought the project back on track.

 

Value Engineering and Project Efficiency

Fruition Properties excels at value engineering, helping clients save money without compromising on quality. We review designs to ensure they maximise revenue potential while minimising unnecessary costs. If a project is not generating the expected returns, we reanalyse it to find more efficient solutions.

Recently, we helped redesign oversized units that were not delivering sufficient value. By reducing their size while maintaining their overall sales value, we not only reduced the build cost but also the Community Infrastructure Levy payable and hence improved the project’s financial performance; the overall impact being close to £0.5m. This type of value engineering is critical in London’s competitive property market, where maximising space and revenue is essential.

Longstanding Relationships and Industry Knowledge

Our extensive experience as developers gives us a unique advantage in the property development process. We’ve built strong, trusted relationships with consultants, contractors, and industry professionals, allowing us to engage the right people at the right time. These relationships, combined with our in-depth industry knowledge, allow us to deliver projects that are not only financially successful but also meet the highest quality standards.

In addition to our strong partnerships, our understanding of market trends and regulations, such as the Building Safety Act, helps us guide clients through complex legal and regulatory challenges. We ensure that your project complies with all necessary laws while staying on time and within budget,

Management

The RIBA Plan of Work defines 7 work stages but only three of these relate to design. Everyone is keen to enjoy the creative design part of the project in work stages 2, 3 and 4 but every successful project is based on the foundations of work stages 0 and 1. Stage 0 is strategic and is about defining the Business Case, the Client Requirements and the Project Budget. Stage 1 is more about developing the detail of the brief, due diligence and making sure that everything needed for the design process is in place. Fruition Properties recognises the importance of thoroughness and robustness in establishing a Business Plan and subsequent audit trails required to monitor and manage the project to a successful conclusion.

Every development is surrounded by essential paperwork whether it be appointments, collateral warranties, construction contracts, appraisals, briefs, trackers, loan agreements, reports, work matrixes, fee schedules, payment notices, approvals, commissioning certificates, notices, etc., Fruition Properties has developed template documents with solicitors and others to plan, coordinate, monitor and manage this process and help protect the Client.

Value for Money

At Fruition Properties we have no doubt that we add value to any project and whilst the Client may be expending additional fees these are invariably lower than the cost savings achieved through the proper planning, monitoring and management of the project. In addition, we enable Clients to have the time, space and information to make informed decisions and achieve successful projects.

Driving Value and Success

We offer more than just coordination and risk management—we provide a comprehensive approach that maximises value at every stage of the project. From developing the overall strategy to ensuring cost control, we stay involved from the start to finish, challenging assumptions and guiding design decisions to ensure success.

By appointing us as your Development Manager early in the process, you benefit from our extensive experience, deep industry knowledge, and a proven track record of delivering successful projects. We help you avoid costly delays, manage risks, and ensure that your project is completed on time and within budget.

Ultimately, our goal is to drive value for our clients, delivering high-quality developments that are financially viable and meet their long-term objectives. With Fruition Properties as your Development Manager, you can rest assured that your project is in safe hands from day one.

Contact us  or download our brochure to find out more about our development management services.

 

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