Construction business funding
Expanding your business: New construction vs. build-out
July 30, 2015
Construction business funding
Expanding your business: Need-to-know regulations and restrictions
August 13, 2015

Expanding your business: A checklist to site selection

Construction business funding

There’s so much to consider when selecting a site for your business. You may have a lot that’s already been approved for building, yet the cost may be too high due to a variety of factors. The checklist below is a useful tool to help you make the most informed decision.

Part 2- [In this blog series, you’ll learn key construction tips for an effective remodel/build-out project provided by Maxx Builders, a Texas-based, commercial general contractor and design company.]

A checklist to site selection

  • City/county jurisdiction over the site – When the site is located within city limits, extensive regulations such as zoning are determined by a city government. If the site is located outside the city limits, the regulations are in the jurisdiction of county government.
  • The size of the site and its boundaries – The total size of the site and the length of the property line against the street are important to consider in making sure that the site is compatible with your desired goal of the building.
  • What are the site’s soil conditions? The soil must be investigated to determine its bearing strength, or whether or not it is suitable to build on, and overall compatibility with the project. If the soil is not capable of withstanding the building’s load, you will have to replace the soil along with reinforcement of the foundation, which can be very costly. Soils vary in different locations, some soils expand when they come into contact with water, which can cause cracking in the building’s foundation. Before purchasing a property, it is vital to understand the soil. This can be done with a soil test report which costs from $900-$4,000.00.
  • Determine if an analysis of the site’s history suggests potential soil contamination – This is determined through a procedure known as:
    • “Phase I environmental site assessment,” in which a contractor or engineer investigates the site’s history and verify if there is a risk of past contamination. If the potential for contamination is identified from this review of the site and surrounding area’s history, a “Phase II environmental” is conducted.
    • “Phase II environmental site assessment.” In a Phase II the soil is tested for contamination to verify that contamination exists or not.
  • How flat is the site? If the site is located on a steep slope, building on it will necessitate much more site work and construction expenses than it would on a flat site. This requires additional time and increases the overall construction cost.

Quick tip

Save time and money by finding out whether or not your building site falls within the city limits. Learn this early on so you know whom to contact for regulations, restrictions, zoning, etc.

Click here for series post #3