How we deliver · SA · VIC · NSW
Turnkey, so you do not have to run the project.
Four ways to buy a building, and what each one leaves on your side of the table. Under a turnkey design and construct contract the answer is very little.
The offer
One contract, and you keep doing your job.
Most organisations that build something do not want to become a construction business for eighteen months. Turnkey exists so they do not have to.
Under a turnkey design and construct contract we hold the design, the consultants, every trade contract, the programme and the construction risk. You brief us, you make the decisions only you can make, and you take the keys. There is no project team for you to stand up, no consultant panel for you to manage, and no coordination gap for you to fall into when the drawings and the building disagree.
That is the whole argument for the model, and it is a real one. It is also not the right model for every project, so the rest of this page sets out the four honestly and says which one we would recommend and when.
It removes the need for a client-side project management function. It does not remove the need for someone independent to certify our payment claims, value our variations and assess our extensions of time. That is one appointment rather than a team, it is inexpensive, and it cannot be us. We will say that in the first meeting rather than leave you to discover it.
The model
Four ways to buy a building.
The distinction
Turnkey and EPCM are opposite arrangements.
They are often written about as though they were the same offer. They are not, and the difference is who signs the trade contracts.
Under design and construct we sign every trade contract, so if a trade fails, the consequence is ours to absorb inside a price you already agreed. Under EPCM you sign every trade contract and we manage them for a fee, so if a trade fails the consequence reaches your balance sheet and we help you deal with it.
Both are legitimate and both are used on serious projects. EPCM suits an owner with an internal capability who wants visibility of every buy and is prepared to carry the risk that comes with it. Turnkey suits an owner who wants a building, a date and a number.
Turnkey exists so that building something does not turn you into a construction business.
Completed and handed over · library image
The comparison
What each model actually costs you in effort.
How to choose
What we would ask you.
Is the design done?
A documented design points to construct only or novated design and construct. A blank page points to turnkey or early contractor involvement.
Do you have a project team?
If you would have to hire one to run this, turnkey is usually the cheaper answer once the salaries are counted.
Do you want the price fixed early?
Turnkey fixes it at contract. EPCM reveals it progressively, buy by buy.
How much risk do you want to hold?
Under EPCM you hold the construction risk. Under turnkey we do, and we price it.
The turnkey scope
What is inside the one contract.
Design
Architectural, structural, services and specialist consultants engaged and coordinated by us, against the brief you set. Where you already have a designer, we take the team across by novation and hold them from that point.
Approvals
Planning, building and occupancy consents in whichever state the project sits, plus the referrals that attach to the use, lodged and managed by us.
Procurement
Every trade and supply package tendered, assessed and contracted by us, with long-lead items identified in the first fortnight and reported monthly against a procurement schedule.
Construction
The works, the programme, site safety, the subcontractors and the interfaces. One number, one date, one party to call.
Commissioning and handover
Systems proved, certificates collected as the work happens, operating and maintenance data assembled, and training delivered to the people who will run the building.
Defects liability
Managed by us through to expiry, with a single point of contact who was on the project rather than a service desk.
Where turnkey is not the answer
Said plainly, because it matters.
- When the design is genuinely finishedIf a full documented set already exists and you are happy with it, a traditional contract will usually price it more keenly than a design and construct wrapper around the same drawings.
- When the brief cannot be written downTurnkey transfers risk against a brief. If nobody can yet say what the building has to do, we would rather run early contractor involvement first and convert later.
- When you want to see every buySome owners want visibility of each trade price and are prepared to carry the risk to get it. That is EPCM, and it is a reasonable choice.
- When the project is above our capacityOur single-contract capacity is $20 million. Above that we would tell you rather than take it and resource it thinly.
- When you already have a project teamIf you have the internal capability and it would otherwise be idle, the arithmetic can change. We will do that arithmetic with you rather than around you.
Consistency
How this sits with our conflicts rule.
Elsewhere on this site we set out a bright line: we will not act as your project manager, superintendent or certifier on a project we are building. This page is the other side of that same rule.
If we build it turnkey, you do not need to appoint a project manager, because the project management is inside our contract and we are answerable for it. What you should still appoint is one independent person to hold the certifying pen. That is not a contradiction of the rule. It is the rule working as intended.
Questions
Does turnkey mean we have no say in the design?
No. It means you set the brief and approve the design rather than procuring and coordinating the consultants yourself. The tighter your brief, the more say you have, which is why we would rather help you write it.
Do you offer EPCM?
Yes, where an owner wants it and has the capability to hold the trade contracts. We will tell you honestly whether we think it serves you better than turnkey on your particular project.
If you hold everything, who protects us?
The contract, the brief, and one independent certifier. That is the same protection a much larger organisation relies on, and it costs a fraction of a project team.
Can we start turnkey and change later?
Early contractor involvement converting to a turnkey contract at an agreed design stage is a common and sensible path. We can also stop at the conversion point if the numbers do not work, which is the point of doing it that way.
What size projects do you deliver turnkey?
Up to $20 million under a single contract, across South Australia, Victoria and New South Wales.
Tell us what you need and who is available to run it.
Those two answers usually decide the model before anyone talks about price. If the answer to the second is nobody, turnkey is probably your model.
Submit a project briefRelated
Where to go next.
- Client-side project managementWhere you want us acting for you rather than building for you.
- Commercial constructionOffices, retail, hospitality and institutional work, from fitout to new build.
- Industrial constructionWarehouses, distribution and production facilities, and the fitout inside them.
- Design and constructOne contract carrying both the design and the price.
- How we workHow we price, procure, administer and report, described as mechanisms you can test.