• Capabilities: Master Planning and Sustainable Urban Development, Cost Management, Program Management, Project Management
  • Sectors: Government & Municipalities

Using Modern Methods of Construction at Kitchener Barracks

United Kingdom, Kent - In 2017 Arcadis was appointed by the Homes and Communities Agency - now Homes England - as the Lender’s Project Monitor, working collaboratively with developer JG Chatham Ltd on the redevelopment of a historic military site in Chatham, Kent. Providing over 300 much needed new homes, the project was one of the largest residential schemes to adopt modular construction processes in the UK at the time.

Largest

modular housing scheme at the time

300+

new homes

Kitchener Barracks comprises 302 homes, of which 234 are new-build modular houses and apartment blocks. As an iconic site with a rich military heritage, it was important that the development should retain its historic features, including part of the 1930s Khartoum Building, the Barrack Block, and the former Ordinance Store. These will be used to provide shopping, a pub, restaurant and office facilities.

With good access to central London via HS1, Kitchener Barracks is ideally situated to help ease some of the pressure on housing in the capital. Using modern methods of construction to deliver the new homes – in which elements are built offsite in a factory environment and then shipped to site and assembled – helps to speed up the construction programme and means homes can come to market far more quickly. It also provides greater cost certainty, since the factory environment takes away many of the variables associated with a traditional construction site. 

Our role

The biggest challenge of this scheme from the Lender’s perspective was the payment terms for the works. 

Instead of following traditional payment terms, where contractors are paid based on a valuation of the completed works on a monthly basis, a large proportion of the costs were paid upfront because of the high volume of work taking place offsite. 

In our role as Lender’s Project Monitor, Arcadis therefore recommended a robust security package including advance payment bond, vesting certificate, factory property and equipment insurance to help secure the Lender’s interest. 

In doing so, we carried out the following exercises on behalf of the Lender: 

Reviewed and advised on the construction methodology and procurement strategy
Reviewed and advised on the payment schedule in accordance with the programme
Reviewed and advised on the design specification and quality of the end-product
Reviewed and advised on the project delivery team’s CVs and experience
Reviewed the technical aspects of the development, using our sector knowledge to determine whether the design is in compliance with market standards, as well as benchmarking the programme and project costs
Factory inspection in Derbyshire to oversee the setup of the production line

As a result of these activities we have been able to provide confidence and assurance to the Lender and thereby secured their exit strategy. We facilitated the funding transaction to support and enable the main contractor’s construction activities by certifying two deposit payments that initiated the manufacture of the first 49 modular houses. 





Outcomes

Largest

modular housing scheme at the time

300+

new homes

MMC

to speed up delivery

Questions about this project

Ben Adams

Value Proposition Leader for Performance Manufacturing +44 1173 721200 Ask me a question
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