Construction
I intend to convert an industrial property to residential use. What steps should I take to ensure that my contractor and professional team undertake the conversion works to a good standard?
You will need to appoint your contractor using a written building contract. Separate written appointments will be required for each of the professional team i.e. the architect, quantity surveyor and engineer(s). These appointments will set out the agreed fees and services.
Are there any particular points that I should be made aware of before I enter into the contract and appointments?
You should take professional advice before making the appointments. There are a number of significant points to consider, these include:
- Forms of appointments, whether to use industry standard or bespoke appointments (industry forms tend to promote the interests of the professionals rather than the clients)
- Execution of appointments, whether to execute the appointments as deeds or under hand
- Liability, careful consideration of the exclusion or limitation of liability clauses which limit the client's recourse against the professional
- Collateral warranties, any fund/purchaser/tenant may require collateral warranties in their favour, alternatively use of the Contracts (Rights of Third Parties) Act 1999
- Choice of procurement route, i.e. design and build or "traditional" and on which of the industry standard forms the contract should be based
- Insurances, all insurances should be adequate for the project, consider professional indemnity for the contractor (if applicable) and the professional team, insurance of the works and other types of insurances should be considered
- Compliance with the Construction (Design and Management) Regulations 1994
- Third party requirements, if a third party is financing the redevelopment and or the redevelopment is being pre-let you will need to liaise with the funder and/or prospective tenants to ensure that their requirements are taken into account at this stage
*Design and technology by Precedent
