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@benspannenberg
THE ADVANTAGE OF A FIXED PRICE CONTRACT
When engaging a builder for your home renovation there are 2 types of contract that you may enter into, a ‘fixed price contract’ or a ‘cost plus contract’
COST-PLUS CONTRACTS
A cost-plus contract is one where the builder undertakes to build the house for whatever it costs plus a margin of a stated percentage. Cost- plus contracts are loved by government departments, who believe that they give the public the best possible and most cost-effective deal.
What lies behind that is the fundamental drawback to cost-plus contracts: the builder has no incentive to buy or work as cost effectively as possible. Why bother? However, much it costs, the builder is going to get everything back together with the agreed percentage. Cost-plus contracts may seem when you first look at them to be cheaper than the alternatives but they never work out that way.
FIXED PRICE CONTRACTS
The price is fixed and the builder has to do it for that amount of money. When a builder quotes a firm price for any part of the project that is a commitment to build it for that amount of money. If it costs less, the builder pockets the difference. IF IT COSTS MORE, THE BUILDER LOSES MONEY.
The builder does have to do a fair amount of work up front to calculate the exact cost of the project and it is not unusual for the builder to spend days even weeks calculating the cost of the build. He needs to get it right or he could loose significant amounts of money so he needs to calculate accurately the every brick, nail and piece of timer and the time taken to do the build and add it all up.
SO WHAT IS THE ADVANTAGE TO THE CLIENT OF FIXED PRICE CONTRACT?
-The client knows up front exactly how much the build is going to cost and will have the necessary funds put aside for the build.
-The banks commonly want a fixed price contract these days in order to release the funds
-The builder will have a better relationship with the client as they won’t need to scrutinise every invoice and the cost of every brick and every screw to ensure they are getting absolutely best value from the builder
🏘 Relocate Rooms To Your Liking
We specialise in transforming homes to fit your lifestyle. Imagine moving your main living areas to wherever you want! 🏡
If you’re dreaming of an open-plan living or dining space, we’ve got you covered.
If an extension allows you to have an open plan living or dining space, but your current kitchen is boxed in, you will be able to create a kitchen in the new space to open it to the rest of the home.
Following that, the previous kitchen space can be used as a separate room.
This month we showcase our completed first floor addition and new alfresco project in Normanhurst.
Make sure you’re following our socials for the reveal!
Are you considering a First Floor Addition renovation?
We take pride in crafting custom first floor additions that seamlessly blend with your existing home.
We respect that each house possesses its own unique charm, our goal is to enhance that character.
By collaborating closely with our homeowners, we ensure our designs align with your vision and complement the existing structure.
With our experience and expertise, you can look forward to enjoying a stunning new space tailored to your needs.
DESIGNS PLANNING & COMPLIANCE APPROVALS
Blake, our dedicated draftsman, delivers tailored drafting and design solutions to guide your project from concept through to construction. With a strong focus on functionality, compliance, and buildability, Blake works closely with clients to transform ideas into practical, well designed spaces ready for approval and construction.
From initial concept designs and detailed documentation, to planning submissions and council compliance, every stage is carefully managed to ensure a smooth and efficient process. Whether you are building a new home or renovating, Spannenberg & Son provides the experience and attention to detail needed to bring your vision to life with confidence.
This month, we’ve been showcasing our current project at Castle Cove — taking you behind the scenes with a full walkthrough of the build and sharing the design decisions, functionality, and material selections that bring the home to life.
From natural light, shade and weather protection to ceiling heights, air conditioning, and thoughtful floorplan layouts, every detail has been carefully considered. We’ve also explored standout features including the Japanese-style bath, skylights, Juliette balconies, and feature windows — this project truly has it all.
Follow along on our socials as we continue to share insights, progress updates, and the inspiration behind the renovation.
After successfully managing our sites as a Leading Hand, Daniel will now be stepping up to manage our projects as a Project Manager for our Campbelltown office. This progression reflects his strong leadership, reliability, and commitment to delivering quality outcomes on every job.
Daniel has played a key role in guiding teams and maintaining high standards, and we’re confident he will bring the same dedication and expertise to his new position.
We’re pleased to announce an exciting new chapter for our team.
Please join us in congratulating Patrick on his new role as Branch Manager for our Campbelltown office. This well-earned promotion reflects his dedication, expertise and the positive impact he has already made within our business.
We’re confident that Patrick will continue to drive success and bring great value in this new position, and we look forward to seeing him lead the Campbelltown team into the future.
We are nearing completion of this project. From a 90s red brick home to modern design statement in Castle Cove.
The existing second storey was cut off, completely gutted the existing ground floor and rebuilt the first floor creating a completely new modern home.
A huge transformation by the Spannenberg & Son team.
Our new office fitout is complete.
You can now find our Director Scott at our new additional office servicing the Camden / Wollondilly region.
Unit 2/7 Maxwell Place Narellan 2567.
#spannenbergandson #since1971 #designandconstruct #Designandapproval#sydneybuilder#camdenbuilder#narellanbuilder#wollondillybuilder#homerenovationspecialists#HomeRenovation
Our Currans Hill first floor addition project is taking shape and edging closer to completion!
The new first floor addition is just the beginning of this project! By the time we’re done the whole home is going to be brand new.
We pride ourselves on Genuine Service & Quality Workmanship.
Completed project! - Balgowlah
Our objective was to optimize the internal configuration of the current residence.
Starting with the demolition of three existing extensions, we constructed a new extension at the back of the property.
Our design facilitated the relocation of the kitchen and an open-plan dining area, an updated living room, two bedrooms/study, and a new bathroom. We incorporated ample storage, new flooring throughout, feature skylights above the beautifully designed new kitchen, and enhanced the entrance with new fencing and gates. Check out our socials for the full gallery.
Reflecting Spannenberg & Son's heritage
Although we have numerous trucks and utilities in our fleet, which you would have seen on the road, this one is a standout!
This is our promo ute a 1951 Chevrolet
Completed project! – Bilgola Plateau
We designed a first floor addition for this house to seamlessly blend with the original classic cottage style home preserving and enhancing its existing charm.
Providing an additional 3 generously sized bedrooms including a master suite with walk in robe and ensuite, an additional bathroom, a huge living space and plenty of additional storage.