Building maintenance and refurbishment

Citation

(1999), "Building maintenance and refurbishment", Facilities, Vol. 17 No. 1/2. https://doi.org/10.1108/f.1999.06917aab.001

Building maintenance and refurbishment

Building maintenance and refurbishment

Keywords Health and safety, Maintenance, Property, Refurbishment

The single most important issue facing facilities managers is conformity with health and safety legislation according to the 1998 Barbour Index Report on the Building Maintenance and Refurbishment Market published recently. This, and initial cost, are the main criteria in product selection. However, cost-in-use and environmental issues are increasing in importance.

The survey, commissioned by Barbour from construction research specialists Lychgate Projects, highlights the complexity of this market which may be up to 50 per cent larger than indicated by published statistics based on government figures.

The report, which covers both the public and private sectors, is based on nearly 400 in-depth interviews with leading organizations with major property portfolios. Sectors covered include retail, financial, leisure, development, transport, utilities, manufacturing, offices, local authorities, housing associations, NHS Trusts and central government.

Maintenance and refurbishment spend divides almost equally between the public and private sectors ­ 55 per cent private, 45 per cent public. The biggest spenders are the financial and retail sectors with double the budgets found overall. The leisure sector spends over three and a half times as much on refurbishment as it does on maintenance. Within the NHS Trusts the situation is very different with budgets well below the average and only a small fraction of that spent by those operating in the high streets.

Nearly half the organizations interviewed have individuals who are responsible for the entire building portfolio. Maintenance and refurbishment are generally managed together ­ 77 per cent of respondents have combined responsibility for day-to-day upkeep and longer-term property refurbishment. Nearly three-quarters are in direct control of maintenance expenditure and 57 per cent, have control over refurbishment budgets. About three-quarters take a planned approach to maintenance and a little under two-thirds adopt the same approach for refurbishment.

A high proportion of product decisions are taken internally and the report analyses this by ten broad product groups: roof and external walls; windows and external doors; internal walls, partitions, doors and ceilings; floor coverings; fittings (e.g. sanitaryware); heating, ventilation and air-conditioning; other mechanical systems; electrical systems; fire and security; and external works.

Although a relatively small proportion of the leading organizations surveyed (10 per cent) currently outsource all or part of their maintenance and refurbishment to a specialist facilities management company, a significant proportion (nearly a third) expect outsourcing to play a greater role in the future.

While health and safety conformity is the dominant concern in product selection (and over a third expect its importance to continue growing), cost-in-use and environmental issues are identified as increasingly significant. Over half the in-house organizations surveyed stated that they already take account of environmental issues. There is also a call for more cost-in-use information and improved after-sales and support service from manufacturers.

About 30 per cent of the organizations still have concerns about the effect of the year 2000 date change, the so-called "millennium bug", on their building systems and products. However, three-quarters have defined strategies to deal with the problem and two-thirds have had discussions with suppliers and service providers to ensure that failures are averted.

Highlights

Highlights of the report include the following:

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  Conformity with health and safety legislation is the main concern in product selection.

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  Initial cost remains important but increasingly cost-in-use and environmental considerations are taken into account.

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  One-third of in-house organizations expect outsourcing to increase.

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  Three-quarters have a defined strategy to deal with the year 2000 change, the so-called "millennium bug".

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  Half the 400 organizations interviewed have an individual responsible for the entire building portfolio.

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  Responsibility for maintenance and refurbishment is generally a combined function.

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  Leasehold and freehold properties are treated the same way.

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  Three-quarters have a planned approach to maintenance and nearly two-thirds a planned programme of refurbishment.

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  The average maintenance budget among major organizations interviewed is £3.4 million and the refurbishment budget £5.2 million; financial and retail are the biggest spenders.

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  On average 56 per cent of maintenance and 60 per cent of refurbishment brand decisions are taken in-house.

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  The emphasis shifts to specialist sub-contractors when components such as heating, ventilation, electrical, mechanical and security systems are involved.

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  Less than a quarter have like-for-like replacement policies with original components.

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  The maintenance and refurbishment market could be up to 50 per cent larger than published figures.

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  Expenditure could be three times that for new build.

Andrew Martin, director and general manager of Manufacturing Services at Barbour Index, says: "We commissioned this extensive research because we believe the significance of this highly complex market is seriously under-estimated by both the construction industry and government. The findings have confirmed this view and expenditure looks likely to continue to rise for the foreseeable future. Resistance to greenfield development, the cost of exploiting brownfield sites and new demands from the industrial and commercial communities will increase the importance of maintaining the existing building stock efficiently and refurbishment to meet occupiers' changing needs."

Barbour Index and Lychgate thank the 420 organizations which participated in the survey and the following contributors:Nigel Chaldecott OBE, director-general, National Council of Building Material Producers; Simon Young, King Sturge & Co; Trevor Mole, divisional president, Building Surveyors, and John Auckland, Premises and Facilities Management.

The full report is available at £495 from D. Williams on +44 (0) 1344 899383. Contact Dawn Williams, Barbour Index on +44 (0) 1344 884121.