Ferrovial outsources project management on its property developments

This novel initiative home-building market is aimed at standardizing processes, optimizing costs and procedures, and improving quality in the

Prointec, Eptisa, Heery, Gabinete de Ingeniería, Typsa and other companies will provide engineering and consulting services for 7,205 homes in construction

Madrid, 24 July 2003. Ferrovial has outsourced project management on all its property developments in Spain to engineering companies. Among the objectives of this novel initiative in the residential market -the first integrated project management scheme among large developers- is to standardize processes, optimize costs and procedures, and improve quality standards.

The new management system will be phased in gradually; nevertheless, Ferrovial´s Real Estate division has already commissioned several companies, including Prointec, Eptisa, Heery, Gabinete de Ingeniería and Typsa, to provide engineering and consulting services on 7,205 homes under construction in Spain.

Novel management system
Ferrovial´s property design and development systems were formerly decentralized: the architect managed the basic design, execution, oversight and the commercial drawings; the quantity surveyor reviewed the construction project, took the measurements, drafted and coordinated the health & safety plan, managed the personnel and was present on-site; and the technical department reviewed the project, estimated the construction costs, visited the sites and coordinated the work.

This initiative is aimed at optimizing resources while seeking the most innovative solutions for each project and need. This new integrated system also ensures the projects price, deadline, quality and execution. With this new system, the architect provides the basic design and drafts the commercial drawings while the subcontractors carry out the other engineering services: review of the basic design, preparation of the construction design, estimates of construction costs, personnel management, execution and coordination of the health & safety plan, and on-site supervision.

Ferrovial Inmobiliaria´s technical department will coordinate the work of the three phases: architect, engineering and business area.

Selection process and allocation of development projects
Ferrovial contacted Spain´s largest engineering and consulting firms early this year and selected a group of companies which includes Prointec, Eptisa, Heery and Gabinete de Ingeniería to provide project management on 48 property developments (5,313 homes).

Ferrovial has also commissioned other engineering companies to provide project management on smaller projects (21 developments: 1,892 homes).

Prointec will provide project management on 21 property developments (2,863 homes) in Madrid, Sevilla, Tenerife and Las Palmas; Eptisa on 10 developments (1,265 homes) in Madrid, Cataluña and the Balearic Islands; Heery on 9 developments (829 homes) in Madrid and the East Coast; and Gabinete de Ingeniería on 8 developments (356 homes) in Madrid.

The system will be phased in (Ferrovial is developing a total of 19,824 homes). The new system will be applied on the new projects and on those that started with the old system and are less than 50% complete, analyzed on a case-by-case basis with a view to optimizing costs and procedures.