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How to Acquire a Modular Building
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Written by Jim Attrell   
Tuesday, 06 July 2010 14:26

Modular BuildingI have occasionally been asked what would inspire anyone to acquire a modular building and my answer is….why not? Simply put, the speed of construction of a modular project coupled with the flexibility of relocation and the ability to lease modular building products make it an obvious decision, especially when a land lease is also involved in the transaction or when the need has a definite start and ending timeframe.

Modular buildings can be temporary or permanent in nature and the customer can and should select the quality of construction and have input on the finish materials.

Like any other building there is a wide range of quality standards, durability components and building finishes available and an even greater variety of acquisition methods available to a customer, whether on a lease or a purchase basis.

Suppliers of modular building products range from large corporations with branch and regional offices located across America to small single-person dealers specializing in small territories or focused markets. Each type of supplier from small to large has strengths and weaknesses.

The larger dealers have multiple branches, usually with regional offices and a significant support organization.  Smaller dealers tend to work in regions of the country with a smaller number of branch locations and a support organization. The smallest dealers tend to work very small areas or states and often specialize in specific types of building products. They often rely on sub-contractors for support and usually have strong, long-term relationships with local vendors and suppliers. Almost all dealers, small and large, sub-contract the manufacturing of their building products to licensed, state certified, wholesale manufacturers who sell only to state licensed dealers.

There are relatively few licensed modular building manufacturers in America and even fewer that sell direct to the public. Most manufacturers have wholesale relationships with licensed dealers and they generally rely on business from a very small group of customers who collectively can generate the necessary business to support the manufacturers.

Each manufacturing facility has its own strengths and weaknesses and most have an area of expertise. The modular building supplier determines which factories are best suited for the product being manufactured and matches the factory to the customer need. Most small factories can produce a maximum of one or two mobile office trailers per day, and given the choice, they would usually avoid manufacturing any building that must meet state building codes.

The largest factories generally specialize in manufacturing buildings that consist of multiple units that comply with building code and many can produce 3,000 to 5,000 square feet of modular buildings per day, depending on the complexity of the specification and finish. Larger factories often avoid building small mobile buildings.

Choosing the supplier for a new modular building project can be a very complicated and challenging task for the inexperienced customer. Where to start is the question that most customers ask themselves.

In the past, the Yellow Pages were the most commonly used method to find a modular building supplier but the internet has quickly taken over that lead position. Today, almost all suppliers of modular buildings have a Website and Internet presence. Using search terms such as modular buildings, portable buildings, prefabricated buildings, relocatable buildings and then adding the State of your project site along with a description of your type of building can usually produce good results. For example, a Church School in Texas searching for “Modular Building Texas Church” gets over 44,000 listings using Google.

The primary and most important concern that the customer should carefully consider and study when choosing a modular building supplier is the skill level of the salesperson (and any related support organization) who will deliver the modular building product and supervise the installation and finish-out activities. Checking out past performance is usually an easy process and an activity that should not be underestimated in terms of value to the acquisition process.

Quality modular building suppliers can produce a list of at least ten projects with customer references in the same locale where the customer is located. These references would be building projects that the customer could visit to check out the quality of the workmanship and to discuss the process and relationship with the supplier’s past customer. This step can provide some valuable insight into the modular building process as well as details of the level of satisfaction that the customer had with the modular building supplier. If meeting the required schedule was a past problem then it is quite possible that the late delivery problem is chronic with that modular building supplier and all references should be carefully checked.

The second most important concern should be the financial ability of the organization to provide the products being ordered. Bank and vendor references should be requested from the proposed supplier and careful review of any proposed subcontractor’s past performance should also be reviewed. Quality suppliers of modular buildings will always have great relationships with their vendors and suppliers. A quick check of the suppliers Dunn and Bradstreet report can often reveal important information about past vendor relationships. Phone calls to the proposed wholesale factory being used, if applicable, coupled with calls to key suppliers and vendors are often useful in the modular building supplier evaluation process.

The ability of the modular building supplier to provide options that increase the sustainability and energy efficiency of the building products being acquired (including Green options) is very important. Sustainability is a term that is increasing in use in the construction industry and it is defined as a process or state that can be maintained at a certain level indefinitely. In other words, the building product should last longer if manufactured with Green options. New codes being developed and adopted are requiring increased levels of energy-efficiency but there are many methods already available that exceed minimum code requirements. After all, meeting code is one mistake away from not meeting code.

Sustainable in the modular building industry means a more environmentally-friendly construction technique with less material waste. Other features of modular buildings that make them Green include less material exposure to inclement weather during construction, less site disturbance, safer construction, and the flexibility of relocation. In addition, modular buildings can be reconfigured easily for future uses and a quality modular building will have a higher resale value. Most importantly, modular building construction results in a compacted construction time frame that still results in meeting local and federal codes while minimizing risks associated with construction delays.

If the modular building supplier only has stock, standard, off-the-shelf products that do not include available options that will provide a higher quality or Green building, then the customer should continue shopping if these options are important. By contacting other modular building suppliers, the customer can learn more about options that may be affordable and desirable. Almost all modular building suppliers have the ability (but perhaps not the desire) to customize a new modular building to suit the exact needs of the customer.

For example, reflective membrane roofing finishes, insulated exterior doors, low E glass windows, R-30 roof insulation, R-15 wall insulation, R-22 floor insulation, and efficient HVAC systems can have a dramatic effect on cooling and heating costs. A fibre-cement floor overlay with recycled carpet tile, while expensive initially, can greatly reduce the life-time cost of maintenance on the modular building. The difference in cost between 1/2 inch sheetrock and fire-rated sheetrock on interior walls is small and results in a more durable and safer building.

Another important feature in any classroom environment is higher interior ceilings. Modular buildings are available with ceiling heights approaching nine feet or more if desired and the cost differences are minimal in many locations.

There are numerous regional differences associated with modular building construction that are mostly related to climate. For example, in many places in the south a 12 inch deep footing is more than adequate for a foundation for a modular building while frost line levels in the north require much deeper and more complicated foundations. Areas where snow accumulates require modular buildings with higher roof loads. Northern climates require a modular building to have differing vapor barrier systems than the south.

Generally, most modular building suppliers perform the delivery and setup of its products with either sub-contractors or its own forces. Setup will usually include the skirting, ramps, decks and steps but not the site preparation, utility connections or permitting. As in the case of the building itself, there are lots of varieties of quality and durability of skirting, decks and steps. Skirting is usually a match to the siding and in some cases can be site installed to conceal a skirt joint. Ramps, decks and steps can be treated wood, concrete or metal.

Site preparation should always take into consideration drainage issues and for more permanent installations, a poured-in-place engineered concrete foundation should be considered, particularly where ground movement will be a problem. This foundation can be simple in many cases where poured piers are placed in existing soil in accordance with an engineered drawing.

There is one more final step that the customer should take before making the final selection of a modular building supplier. The customer should ask all qualified suppliers if they are a member of the Modular Building Institute. This national organization of modular building suppliers and vendors enforces a code of ethics upon its members that at the very least will ensure that the customer will receive service from an organization that has pledged to be professional, honest, fair and responsible. MBI can be contacted at www.modular.org.

About the Author
Jim Attrell has 40 years of modular building experience and is the Vice President and Division Sales Manager of Nortex Modular Space in Lewisville, Texas. Nortex celebrated its 10th anniversary in 2008 and has offices in Dallas, Houston, Austin and Denver. The company specializes in the lease and sale of Green modular office and classroom buildings to Government, Churches, Schools, Plants, Refineries, Contractors and Private Enterprise. Jim was employed by Atco Structures in Calgary, Canada from 1970 to 1980 and by Space Master Buildings in Houston and Dallas from 1986-1995. Jim has been employed by Nortex Modular Space since 1998.

 

 

 

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