What Is a Split Building Contract

When it comes to construction projects, there are different types of contracts that can be used to define the relationship between the client and the contractor. One of these types of contracts is a split building contract.

A split building contract is a type of construction contract that separates the design and build aspect of the construction project. Instead of having one entity – either the client or the contractor – responsible for both the design and the construction, the contract is split between two separate parties. One party is responsible for the design, while the other is responsible for the construction.

This type of contract is often used by clients who want to have more control over the design aspect of the construction project. By hiring a separate design team, they can ensure that their vision is being realized and that the design meets their expectations.

Once the design phase is complete, the construction phase will begin. The contractor will be responsible for building the structure based on the plans provided by the design team. This means that the client will have two separate contracts, one with the design team and another with the construction contractor.

One of the benefits of a split building contract is that it can help manage risk. Since the design and construction are separated, there is less chance of the project going over budget or experiencing delays due to design changes. Additionally, the client can have more control over the design phase, ensuring that the final product meets their expectations.

However, split building contracts can also have some drawbacks. It can be more complex to manage two separate contracts, and there may be additional costs associated with having a separate design team. Additionally, since two separate parties are involved in the project, there may be more potential for disputes or communication issues.

In conclusion, a split building contract is a type of construction contract that separates the design and build aspects of a project. While it can offer benefits such as more control over the design phase and reduced risk, it can also be more complex to manage and may come with additional costs. It`s important for clients to carefully consider their needs and goals before deciding whether a split building contract is the right choice for their construction project.