This document describes the design-build model for the development process. The design-build contract involves an agreement between a single firm to produce everything--planning, design and construction--with its own staff or subcontractors. Generally, design-build firms are licensed as architect-engineers and as general contractors. In some cases, the contractor may also be a joint venture or partnership. In this model, the owner takes a front seat in a relationship with a single contractor to provide the desired structure. The owner must be able to describe the desired product and know the financer's requirements or it may end up with a low quality product.
Any organization seeking to develop property will benefit from familiarity with various development model options. This approach is especially attractive to organizations that cannot finance the up-front cost of developing and purchasing land or structures involved in new construction with land development and large multi-family rehab. The design-build entity brings all of the expertise to physically develop structures, often at a cost much less than the staff needed and overhead occurred at the community-based organization.
Enterprise Community Partners created this resource to assist affordable housing developers in identifying the best model to use when undertaking a development project. This document is also available as part of Enterprise's Housing Developer Support SystemTM, an online tutorial that helps housing developers work through the design, financing and development of a variety of affordable housing.