INVESTOR GUIDE

What does turnkey factory construction include?

Structure, building services, finishes and handover in turnkey factory construction; understanding the difference between structural system and scope of work.

Turnkey factory construction includes completing the building services and finishing works alongside the structural shell to prepare the building for its agreed use. The works, specifications and responsibilities are clarified for each project.

Three separate decisions: building type, construction system and delivery scope

A factory or industrial building describes what is being built. Precast reinforced concrete, structural steel and cast-in-place reinforced concrete describe how it is built. Turnkey defines which works are completed before handover. For example, a precast reinforced concrete factory can be delivered on a turnkey basis, including building services and finishing works.

  • Building type: factory and industrial building
  • Construction system: a structural system suited to the project
  • Scope of work: turnkey delivery including finishing works, or selected work packages

Defining requirements and the scope of work

Production, storage, administrative areas and technical requirements are clarified first. Existing designs are reviewed, and outstanding design work and responsibilities are identified. Design, site operations and handover preparation need to be coordinated within the programme.

Site preparation, foundations and shell construction

Site preparation, excavation, foundations and structural works form the main building shell. The construction sequence varies with the selected system. Precast reinforced concrete involves column pockets and assembly; steel structures involve foundations, anchor connections and erection of steel members. Completing these stages alone does not constitute turnkey delivery.

Building services, infrastructure and finishing works

Turnkey scope extends beyond the structural shell. Electrical and mechanical installations, infrastructure, facade works and interior finishes are planned around the intended use. Materials and workmanship are defined through the design and technical specifications, rather than by the work item name alone.

  • Electrical and mechanical installations within the project scope
  • Water supply, drainage and other site infrastructure
  • Finishing works such as partitions, plastering, painting and floor finishes
  • Facade, door, window and interior completion works

Which items need to be clarified separately in the quotation?

To establish a shared understanding of the scope, production machinery, specialist process equipment, machine connections, external works and alterations to existing buildings should be discussed separately. The party supplying each item and the works included in the quotation must be clearly identified. Responsibilities for permits and applications are also clarified at the outset.

Checks and handover preparation

At handover, the contracted works are reviewed, outstanding items are identified and their completion is monitored. Building checks, documentation and preparations for use are addressed according to the scope. Handover of the factory building is coordinated with machinery installation and the planned start of production.

The duration of one construction stage is not the delivery time for the entire factory

Completion of column pockets, completion of precast assembly and turnkey handover are separate milestones. When reviewing a duration quoted for a past project, check which stage it covers. A new investment programme is developed around its own area, structural system, scope and site conditions.

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