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I agree, I hope Acre does well. I wouldn't say they are in a crowded market - but they are in a market where existing offerings (prefab or predesigned green hom
by sarcher 10y ago
I agree, I hope Acre does well. I wouldn't say they are in a crowded market - but they are in a market where existing offerings (prefab or predesigned green homes marketed regionally/nationally) have struggled to make the numbers work.
There are savings associated with producing a uniform building package with standard modifications, but there are also new costs associated with that kind of work - namely, those associated with the fact that the ideal customer is thinly spread geographically (due to interest and budget). This generally leads to higher costs for local work, even if that only includes finishes (the standard business plan for most prefab green home companies).
That kind of business structure has been perfected by market builders, but market builders do a volume of business that is tough to match, and usually within a small geographic area (ie - a subdivision). This allows them to drive down local contracting costs better than one-off projects.
Currently Acre is looking for builders in four markets according to their 'work-with-us' page. They are also looking for an architectural project manager as opposed to a construction project manager, which probably indicates their chosen role in project delivery. Outsourcing all construction activity is a good way to reduce risk, but not a good way to reduce costs.
I work for custom home builders, and I've done work with a company that has a marketing plan/delivery plan similar to Acre albeit on the East Coast.
- andrewksu 10y agoPrefab is a struggle and why we specifically avoided it. For us it makes much more sense to focus on product and supply chain and partner with local builders to execute in the various markets. Our system is built for speed and that is where we derive savings. Between our wall/roof system, MEP systems, and delivery method we can slash construction time 60%. Happy to continue conversation on your experience.