Baron Properties had a plot of land to develop and a prospective tenant already interested to lease it. In order to solidify the prospective tenant’s lease rate, Baron Properties needed to know the guaranteed maximum construction costs before design documents had been drafted.
RADIX Construction scoped the project and identified entitlements including permit fees based on a conceptual model. Then RADIX Estimators used a historical pricing matrix and unit pricing for assemblies, gathered input from key subcontractors, and determined a comprehensive Guaranteed Max Price budget. At this point, RADIX entered into a GMP contract with Baron Properties so they could in-turn enter into the lease agreement with their tenant. Finally, RADIX contracted the Design team in order to ensure that all elements of design remain within the agreed upon client budget.
Baron Properties needed quick and reliable conceptual pricing in order to solidify a new tenant lease agreement. They partnered with RADIX Construction and allowed RADIX to be the singular point of responsibility to drive the design team to exceed the client’s expectations while managing a GMP budget. The project was successfully delivered on time, and under budget.