The construction manager beat Mace and Bovis to project manage the Shape up for Homes project, which involves the refurbishment of 20 000 homes owned by the east London council.
The five-year project is thought to be the first of its kind in the UK. In-house teams or specialist project managers traditionally manage council refurbishment projects. But this contract was a straight fight between construction management specialists.
Shape up for Homes project manager Neville Brook said the project was too large and complex to be organised in-house. He added that local authority procedures tended to be too cumbersome for such a fast-moving scheme.
It has taken Schal two years to land the contract. It was first advertised in February 1997 and was awarded just a few weeks ago, according to a source close to the project. A seven-strong Schal team is now in place and working on scheduling. The team will produce a review in November. Advertisements for expressions of interest will appear next week, said Brook.
As part of the deal, Schal is in charge of appointing a team of trade contractors. It is not obliged to take on contractors that have traditionally worked for the London borough.
A source close to the project explained that the work, which works out at 拢5000 per home, consists of replacing and repairing damaged windows and doors, replacing roofs and major redecorating works.
It is understood that a number of councils across the country are looking at outsourcing their refurbishment programmes.
- Housing associations and local authorities are set to introduce Egan-like targets for suppliers, it was announced at a conference entitled Partnering in Community Regeneration held last week in London's Mayfair. Roger de la Mare, assistant director of investment at the Housing Corporation, said that by 2001, its suppliers must cut construction costs 10% and that 30% of Housing Corporation-backed projects will have to be procured using Egan principles.
