BDC

Reconstructing Residential Areas

xz55

Many homes within the UK need major structural work carried out on them to make them safe. In a lot of cases, it is actually far better to knock the house down and start again. Not only can the home then benefit from a more modern design structure, but it will be safe far longer into the future. This is clearly a huge potential revenue stream for construction companies. As well as rebuilding homes for people, in fact, many of these homeowners may be far interested in selling the house as it is to construction firms or any other potential property cash buyers and going elsewhere. This can save them a lot of stress. There is scope here for developers to make a lot of money if they get in on the act.

Rebuilding Homes

A construction company that takes on the job of rebuilding someone’s home will have many things to consider. First, the home has to be rebuilt according to the specification of the homeowner. This can be both a blessing and a curse, as it limits the construction companies ability to create the ideal home as they see fit. But, you will be able to create something that the homeowner loves. Having happy customers is essential in this day and age, as this will mean that you will be provided with excellent feedback and your customer experience rating will go up, causing you to be more competitive. The average income you would receive for a complete rebuild project for the average three-bedroomed house is about £198,000. This is clearly dependant on many factors, including the location of the site. However, if done correctly, rebuilding projects could be a vital part of any construction firm’s revenue stream. 

Redevelopment of the Site

If you purchase the old home, you can clearly make more profit as you could build four flats on the site as opposed to one construction project. You will not be limited to the specification of the homeowner either. In addition, a project like this can help solve the housing crisis which is blighting the country. New houses are desperately needed, and demolition and reconstruction jobs are vital in the battle against this crisis.   

Brownfield Redevelopment  

There is huge scope for construction companies to develop on brownfield sites across the UK. In some places, development has begun in earnest on these sites, and in many ways, it is a far superior option to building on the green belt. First of all, you won’t have any green activists fighting against you every step of the way, as who could really argue with a company cleaning previously developed land and making use of it again? Obviously, these projects will be full of their own issues, ensuring that the land is free from toxins being one of them. But these developments again can prove profitable if done correctly and with the right planning. With the rising cost of housing, perhaps this option needs to be reconsidered by construction companies if they had previously ruled it out. 

LinkedIn
Twitter
Facebook
Pinterest
WhatsApp
Email

Latest Issue

BDC 299 December 2022