Time and the Cost of Lost Opportunity

Time and the Cost of Lost Opportunity

Would you like to know how to potentially save 100’s of thousands of dollars on your project or bring in that much more in revenue? Consider what is often the most unconsidered -TIME- and learn what I have learned in my last 30 years of construction – do everything possible not to waste it.

If you have land and are committed to a future project upon it, every day not spent wisely is more expense in property taxes and any other associated costs you are absorbing in the present for your future project.

Whether your project is in pre-design, in the design/pre-construction phase or if construction has begun, every day lost is also a day of lost future revenue – what we call “Lost Opportunity Cost”.

For example, if you expect revenue to be $50,000 per month upon your project’s completion and lose one month selecting your design team, three months due to a permit not gained, and another two months selecting a GC… What is the grand tally of this example of which I would say is within the norm and not an extreme case … 6 months in lost opportunity cost or in this example $300,000 in lost revenue!  This does not even account for the extra taxes, interest payments or increased project cost due to this LOST TIME in pre-construction or construction.

How best to mitigate this loss…hire a professional construction management firm to manage the entire process of pre-construction and construction, a single point of contact knowledgeable in all aspects of a project (finance, feasibility, design, value engineering, entitlements such as permitting, construction, furnishing…) to schedule and put all the many pieces and team members involved in a project together. Someone to be held accountable and to hold others accountable for their responsibilities, even the ownership for their responsibilities.

Time truly is money if not factored in and also never underestimate the value of your time.

Contact myself for assistance or advice on your current planned projects no matter the stage or even if it is just conceptual. Depending how far along you are, if you are planning to start in 2018 –NOW IS THE TIME to finalize all planning.

Finance, design, value engineering, permitting, scheduling, construction and furnishing -TURNKEY- we will manage it, we have the right contractors and national vendors and we will build it.

Happy New Year from Peak & may your New Year be both Healthy and Prosperous. We think it can be… if you consider TIME!

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