WHY OFF-SITE CONSTRUCTION IS THE FUTURE OF THE HOMEBUILDING INDUSTRY
It all comes down to the foundation of any business...time and money. The industry is changing quickly. There is a lack of skilled labor. The country has fewer immigrants working in construction and our current labor force is aging. We believe in a process where a home is constructed to less than 2 millimeters of tolerance from ridge to ground and put together on site in less than 48 hours.
This offsite construction process is the solution delivering...
by George Casey of Stockbridge Associates
“Productivity improvement will take on increasing importance. These improvements will be on parallel tracks: on-site and off-site. In the off-site world, look for these trends: pre-fabricated wall and floor panels and roof systems will become even more widely used; modules and whole homes built off-site will be more prevalent; the drive to productivity improvement and scale in factories will also increase to help make factory built solutions even more prevalent. Building product manufacturers moving up the supply chain and becoming the JV partners or outright owners of the factories producing the sub-modules, modules, and whole homes coming out of factories. It will allow them to create new, more efficient, and more-locked-in channels that are not as dependent on price alone.”
HOW OFF-SITE CONSTRUCTION AFFECTS THE AVERAGE HOMEBUILDER
This technology is not new, just new to the United States.
Off-site construction homes have been being built like this in Europe since the 1970s.
ACCORDING TO EXPERT GEORGE CASEY IN HIS STUDY
2020 VISION: 12 PREDICTIONS FOR HOME BUILDING'S NEXT DECADE:
LACK OF LABOR
The construction industry has always had the luxury of the immigrants to keep labor prices down.
“From a housing perspective, immigration was one of the most important raw materials that helped make housing volume and attainability possible. As immigration has declined and more work has gone into larger subcontractors who can no longer avoid the taxes, the result has been lower volume and higher costs, thus declining attainability. Now, prices are increasing, and labor force is decreasing.”
WASTE AND INEFFICIENCY
“By doing the design/engineering with trade partners up front, waste and inefficiency are significantly conquered before material and labor are ever used. The result: higher productivity”
OFFSITE FRAMING BENEFITS THE BUILDER BY PROVIDING THE FOLLOWING:
Reduction in carrying costs and increased capacity
Elimination of built-in re-schedule costs by trades
Reduction in time and improved profitability
Increased Engineering Efficiencies – Process review of plans will ensure that each plan is not over-engineered but efficiently designed
Reduction in framing cycle times from 12 days to 2 days
Reduction in time for mechanical trades and insulation from 12 days to 7 days
Consistency of product delivery improves quality in the end use product – every home is framed the same
Reduction in costs of framing labor by limiting size of crews to 4-5 people vs. 8-10 people
Reduction in time material is exposed to the weather
Reduction in material waste by 10-25% of take-off quantity (Source: Scott Sedam, TrueNorth Development)
Cycle time costs averages $300 - $700 depending on size and type of house.
At a low average of $400/day, for every day of cycle time decreased
(for a 100 house per year builder) profitability is increased by $40,000.
MAKE THE SHIFT...
JOIN THE FUTURE OF HOME BUILDING.
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