Design-build contract

A design-build contract is an agreement between a homeowner association (HOA) and a single entity to both design and construct a project. This type of contract simplifies the construction process and provides a unified flow of work from initial concept through completion.

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Design-Build Contract Explained

A design-build contract is a type of project delivery system where the design and construction services are contracted by a single entity known as the design-build contractor. This system is used to minimize the project risk for an HOA and to reduce the delivery schedule by overlapping the design phase and construction phase of a project.

Under a design-build contract, the contractor is responsible for all the work on the project, regardless of the nature of the work. This simplifies project management and communication for the HOA, as they only have to deal with one entity, rather than separate contractors for design and construction.

The design-build approach can lead to cost savings and efficiencies because of the streamlined process. It also allows for better communication and more opportunities for innovation because the design-build team works together from the start.

However, it is essential for the HOA to carefully vet the design-build contractor to ensure they have the skills and experience necessary for both aspects of the project. It’s also crucial to have a well-defined contract that outlines the scope of work, payment terms, and other key details to protect the HOA’s interests.

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Related words

Main contract

A 'Main Contract' is the primary legal agreement between an HOA and its members, outlining mutual rights and responsibilities.

General contract

A General Contract is a legally binding agreement between an HOA and another party, outlining mutual responsibilities and services.

Trade contract

A trade contract is a formal agreement between a homeowner association and a vendor or service provider, detailing the terms and conditions of the services or goods provided.

Audit

An audit is a detailed examination of an HOA's financial records and procedures, performed independently to ensure accuracy and compliance.

Tender format

A tender format is a document used by homeowner associations for procurement of goods, services or work, promoting transparency and fairness in the bidding process.

Cost estimate

A cost estimate is an approximation of potential expenses for a specific project or task in a Homeowners Association, aiding in budgeting and financial planning.