In order for the citizens of our country to stay healthy, it’s imperative that we continue to build new cutting-edge hospitals that allow doctors to push the limits of what we think is possible in healthcare. It’s in these types of facilities that the blind are granted the ability to see again, and amputees receive new, fully functional prosthetic limbs. Contractors who wish to engage in these types of projects have a responsibility to their client and the world at large to deliver the best possible product when construction wraps up, but understanding all of the nuances involved in healthcare construction can be easier said than done.
In part one of this three-part series, the Orlando construction lawyers at Cotney Construction Law discussed two important aspects of healthcare construction: planning ahead and assessing the situation before breaking ground. Now, we will continue to explore some of the most important facets of healthcare construction.
The Cost of Healthcare Construction
Healthcare construction is an expensive undertaking due to strict building codes and extensive government oversight. Additionally, the material costs of construction can account for 30 to 70 percent of the total budget. Hospitals and other medical facilities utilize steel, concrete, glass, and specialty finishes. Some of these materials arrive from outside of the United States, which can either increase or decrease costs depending on the situation. Finding affordable steel is especially problematic as the price has been steadily rising over the years.
Provide an Initial Financial Assessment
When working with an owner, contractors should provide an initial financial assessment to ensure that the project is feasible and primed for long-term success. The owner may discover that they need additional funding. Cutting corners to break ground early often results in a less-than-desirable outcome for both the owner and the contractor. A construction cost estimator who specializes in healthcare construction can be used to provide an accurate assessment of the total building cost.
To learn more about healthcare construction, read part three.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.