Development of Design & Build (D&B) Projects in Singapore ...

Development of Design & Build (D&B) Projects in Singapore 

�� Background 

�� Various Form of D&B Practices 

�� D&B Standard Conditions of Contract 

�� D&B Trend 

�� D&B Practices by Public Agency 

�� Feedback by Contractor on D&B Project 

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�� Construction 21 (C21) Report 

�� D&B promotes the Strategic Thrust 4 – An Integrated Approach to 

Construction under the Construction 21 report. 

�� D&B offers many advantages such as single point of responsibility in 

terms of client-builder relationship, early integration of M&E service, 

efficient design, shorter project duration, better quality & lower overall 

project costs. 

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�� Construction 21 (C21) Report 

Quote 

“ 

Unquote 

Promoting D&B 

BCA has made attempts to promote D&B. There have been great achievements in D&B in the public Sector, notably in 

HDB projects, where D&B projects make up 20% of HDB’s HDB s projects. The Land and Estates Organization (LEO) has 

also indicated that it was prepared to place the majority of its projects under D&B construction. However, there is a 

need to extend D&B to the private sector, which currently has a low level of D&B (only 8% of the projects). The C21 

Committee recommends that BCA continue to promote D&B to private sector developers. developers 

Case 1: Centennial Tower 

Millenia Tower (42 floors) and Centennial Tower (37 floors) were both constructed by Dragages Et Travaux Publics 

(Singapore) Pte. Both buildings were built 2 years apart, and have a floor area of about 2,000m2 each. Millenia 

Tower was initially designed by the owner’s owner s team but modified by the contractor, whereas Centennial Tower was a 

D&B project (by the private sector). Millenia Tower was built in 32 months with 6 days per floor for the structure, 

whereas Centennial was built in only 23 months with 4 days per floor for the structure, 30% faster. 

Case 2: A comparison of D&B Levels with Other Countries 

In Japan, D&B usage is prevalent in the private sector, but not for the public sector. Total, D&B projects in Japan 

today stands at 50% mainly for the private sector. For the case of Australia, D&B, otherwise known as Design-and- Design-and- 

Construct, stands at more than 60% for both private and public sectors in 1997. For Singapore, the D&B level in 1998 

is 13.7%. This is driven largely by the public sector – approximately 75% of D&B projects are public sector projects.” projects. 

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�� BCA had successfully promoted D&B to private sector. As at the year 

2004, the percentage of D&B building project in the private sector had 

increased to 35.8%. 

�� The D&B building project in public sector has decreased due to the 

shrinkage of projects in the public sector. 

�� 3 common forms : 

a) Traditional Design & Build 

b) Develop & Construct 

c) Consultant Novation. 

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�� Various Form of D&B Practices 

�� Traditional Design & Build 

�� Owner & in-house or ext consultants plans & develop project 

requirements, design brief such as design requirements, 

specifications & evaluation criteria 

�� Owner will invite contractors for pre-qualification & pre-qualify 

contractors 

�� Contractors will submit proposed outline design & price during 

tender 

�� Successful contractor will develop design & apply for all necessary 

permits/approvals & complete with construction works 

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�� Various Form of D&B Practices (Cont’d) (Cont d) 

�� Develop & Construct (or Design Development & Construction) 


requirements, concept design, design brief such as the concept & 

schematic design, specifications & evaluation criteria 


contractors 

�� Contractors will submit development of design and price during 

tender 


permits/approvals and complete with construction works 

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�� Various Form of D&B Practices (Cont’d) (Cont d) 

�� Consultant Novation method: 


requirements, prepare design brief such as the design requirements, 

specifications & evaluation criteria 


contractors 

�� Contractors will submit proposed outline design & price during 

tender 

�� Owner’s Owner s consultant will be novated to successful contractor 


permits/approvals & complete with construction works 

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��D&B ��D&B 

Standard Conditions of Contract 

Before year 2001, no standard form available. 

�� Private �Private 

Sector - Contract adopted varies from project to project. 

- Common form used : 

a) FIDIC (Orange Book) 

b) English JCT 81 D&B contract forms. 

��Public ��Public 

Sector - “Public Public Sector Standard Conditions of Contract for 

Construction Works” 

Works 

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�� D&B Standard Conditions of Contract (Cont’d) (Cont d) 

From year 2001: 

A) Public Sector 

�� “Public Public Sector Standard Conditions of Contract for Design and Build 

(2001), 1 st ed.” ed. in May 2001 by Building and Construction Authority 

�� Latest edition, ie. ie. 

3 rd edition was published in Mar 2005 

B) Private Sector 

�� “REDAS REDAS Design and Build Conditions of Contract” Contract in August 2001 by 

Real Estate Developers’ Developers Association of Singapore 

�� Other Related D&B Development 

The Singapore Contractors Association Ltd published: 

�� Standard Agreement for Appointment of Consultants in year 1999. 

�� Latest edition, ie. ie. 

2 nd ed was published in year 2004 

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Development of Design & Build (D&B) 

Projects in Singapore 

5.1 Design & Build Trend 

Volume of D&B Projects Awarded in Singapore (excluding Engineering Procurement & Construction (EPC) Projects) 

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Percentage of D&B Projects Awarded in Singapore (excluding Engineering Procurement & Construction (EPC) Projects) 

The percentage figures are computed using the volume of D&B projects awarded and the total volume of projects 

awarded. 

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awarded. 

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awarded. 

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�� D&B Practices by Public Agency 

�� Housing & Development Board (HDB) – Public Housing 

A.1 Introduction 

• D&B scheme for public housing launched in 1991 

• Objective : To have a wider choice and more varied design at 

affordable price 

• Tender Document: 

– Design Brief: 

o scope of works 

o planning & design parameters - plot ratio, permissible 

building ht, etc. 

o Technical requirements - Min HDB std, use of precast panel, 

– Cost limit in terms of S$/m2 

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�� D&B Practices by Public Agency (Cont’d) (Cont d) 

�� Housing & Development Board (HDB) – Public Housing 

A.2 Phases 

I. Prequalification: 

– Construction company 

o registered with BCA (BCA-CRS system) 

o gd track record in high rise bldg construction 

Consultants 

o registered architects & Professional Engineers 

o experience in designing & supervising high rise residential / commercial 

projects 

– Consultants 

– 5 or 6 teams selected thru balloting from among pool of pre-qualified 

teams are invited to tender 

II. Tendering Period is about five months 

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�� Housing & Development Board (HDB) – Public Housing (Cont’d) (Cont d) 

A.2 Phases (Cont’d) (Cont d) 

III. Tender Evaluation- 3 stages: 

1) Evaluation of compliance with HDB’s HDB s specification 

2) Selection of good design proposals 

3) Financial Evaluation of Shortlisted Design Proposals 

IV. Tender Award – HDB enter direct contract with: 

o successful contractor 

o successful Architect & Engineer separately to assist SO (HDB’s (HDB 

appointed Project Manager) in supervising of the work & to perform 

the role of Qualified person under the Building Control Act 

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�� Housing & Development Board (HDB) – Public Housing (Cont’d) (Cont d) 

A.3 Findings 

�� Feedback by main contractor (Contract sum approx S$76 

million): 

o Problem: 

�� Cost limit given is equivalent to the minimum std of HDB’s HDB s in-house 

design. Contractor not able to provide more innovative or creative 

design due to the cost constraint. Mostly follow HDB’s HDB s design. 

�� HDB has not been using the D&B method of procurement since 

the year 2000. 

o Reason: 

�� not much of varied design being achieved. achieved 

�� non-profitable to contractor & no tender cost reimbursement for unsuccessful 

tenderer, hence response to tender is poor 

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�� Defence Science & Technology Agency (DSTA) 

B.1 Introduction 

�� Adopted the D&B approach in 1995 

�� 1 st D&B contract was awarded in 1996 

�� Contract value ranging from $15 millions to S$250 millions was subsequently 

awarded 

B.2 Findings 

�� Unit rate lower than conventional Design-bid-Build. 

Reason: Consultants & Contractors plan together & implement cost effective solution 

from the tender stage 

�� Buildable Score has also increased with the D&B approach. 

�� Variation works & expenditure of contingency sum is kept to minimum 

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�� Feedback by Contractors on D& B for Public & Private Sector Projects: 

A.1 Examples of some of the projects being awarded: 

�� Stregis Hotel & Residential, S$296m, Nov 04 – July 07 

�� Marina Boulevard , S$116m, Jan 02 – Jan 04 

�� Golden Villa at AMK, S$31.88m, Apr 01 – July 04 

�� West Wood Secondary School, S$15.9m, Jun 99 – Dec 2000 

�� Orchard Park Secondary School, S$23.57m, Jan 98 – July 99 

A.2 D&B form used in the above projects: Consultant Novation method 

A.3 Benefits: 

�� Time saving because same group of consultants worked on the preliminary 

concept & hence able to develop the design fast. 

�� Preempt certain cost whether is within or outside the budget, hence have a better 

feel of the costing 

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�� Feedback by Contractors on D& B for Public & Private Sector Projects 

(Cont’d): (Cont d): 

A.4 Downside: 

�� Dispute between consultants and contractors on their contracts condition in term 

of scope of work, fee, schedule of payment as the owner has earlier already made 

some agreement with the consultants 

�� Design brief and employer’s employer s requirement have to be clear especially the definition 

of GFA, sellable area as it is a common dispute. This will affect the contract sum 

and the fee of the consultant 

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B.1 How contractors would like clients’ clients requirements to be specified: 

�� Client’s Client s requirement 

�� specific and avoid ambiguity 

�� not too detailed and restrictive 

�� Eg. live load for intended usage, min concrete grades, buildable score, etc but not 

the restriction of structure system 

�� Specification 

�� Material & workmanship spec of all commonly used construction materials & 

methods must be given 

�� For more specialize tender proposal, tenderer must be requested to submit spec of 

the adopted material or system for proper evaluation 

�� More detailed spec such as country of origin or shortlisted brand for items with 

large variation in prices (eg. curtain wall, a/c system) should be given 

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B.1 How contractors would like clients’ clients requirements to be specified (Cont’d): (Cont d): 

�� Variant of D&B - Develop and Construct 

�� Too restrictive to tap the full benefit of D&B. 

�� Eg. column positions are almost fixed. Any change may require major revision or 

cause non-compliance such as reducing carpark lots. Fixed column position may 

eliminate certain types of structural system such as precast being adopted 

�� Tender Queries 

�� Good channel for clarification of ambiguity and conflict of client’s client s requirement 

�� If effectively carried out, contractor’s contractor s tender risk will reduce, tender price lowered 

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B.1 How contractors would like clients’ clients requirements to be specified (Cont’d): (Cont d): 

�� Clear Assessment Criteria 

�� C&S and M&E assessment criteria is not so complicated 

�� Architectural aspect such as aesthetics is subjective 

�� Assessment of efficiency in floor layout & masterplanning can be accurately 

determined 

�� Helpful if the assessment system be made transparent at the onset of the tender 

�� Cost of Tendering 

�� D&B tenders are costly affair for contractors 

�� Client to ensure cost of tender is minimize 

�� Eg. 2 stage tendering schemes adopted by DSTA 

�� Such measures help in reducing costs to the industry as a whole and will attract 

high quality D&B proposals 

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END OF PRSENTATION 

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Development of Design & Build (D&B) Projects in Singapore ...

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