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How To Boost Your HMO Project: Local-Only vs Nationwide Architects

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How To Boost Your HMO Project: Local-Only vs Nationwide Architects
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Ryan Windsor

Published by Ryan Windsor
on 09/07/2024

Are you choosing your architect right, or are you limiting the potential of your investment? Whether it’s a renovation, an HMO conversion, or a new development, it’s understandable that you want the best outcome for your money. Getting superior outcomes for your HMO requires not just a decision but strategic planning. See how an architect with extensive cross-regional experience can offer you unique benefits over local architects.

THE DILEMMA: LOCAL VS NON-LOCAL ARCHITECTS

When selecting an architectural partner for an HMO project, aspiring property investors are often inclined to stay local. The prevailing assumption is that local architects will have better access and more nuanced insights into specific regional challenges. However, this narrow criterion may not be the best route, especially for complex investments like Houses in Multiple Occupation (HMOs).

Architects experienced across multiple councils bring a diverse portfolio of skills, having navigated numerous regulatory environments and executed a wide array of architectural styles and scales. This broad expertise is invaluable for HMOs and other challenging property developments, not just in terms of design and execution but also in foreseeing potential problems and effectively managing them without jeopardising your project’s timeline or budget.

Another vital consideration is that architects working across multiple locations often have deeper resources, including access to cutting-edge technology and more sophisticated project management tools. Such capabilities are essential to produce high-quality results consistently and efficiently; for projects under stringent regulations such as HMOs, these are critical measures. While local firms may well feel familiar, an architect with nationwide experience offers the scalability and expertise crucial for the success of significant investments.

WHAT KIND OF EXPERTISE IS ESSENTIAL FOR EFFECTIVE HMO DEVELOPMENT

The necessary expertise depends on the specifics of your property project. For instance, CAD technicians excel in technical drawing and detailed drafting, but their skills differ from that of architects, who bring a broad scope of expertise, from planning to problem solving, and execution across all stages. Yet, it’s a common misconception that experience in local renovations or small-scale projects prepares someone for all types of property development. This assumption can make you overestimate an architect’s ability to handle various projects based solely on their success in specific areas.

When evaluating if an architect has the experience required for your HMO project, you must look beyond mere familiarity with local regulations. Due to their unique complexities and legal requirements, HMOs demand specialised architectural knowledge and resources.  While a small 3-metre extension could be perfectly handled by your local architect, once you step into the world of HMOs, experience counts.

Looking at these demands in a practical way, we singled out seven key areas where an architect’s HMO expertise critically influences the outcome:

  1. Spatial design
    1. Optimal use of space: architects must design efficient layouts that maximise space while ensuring compliance with minimum room size regulations. Much more than adding rooms, it’s about optimising the space so that you attract the best tenants, they stay longer and that you can charge more while keeping build costs down, meaning more money in your pocket and a better ROI.
    2. Common areas: designing functional and appealing common areas, such as kitchens and bathrooms, that meet safety and comfort standards for multiple occupants.
  2. Regulatory compliance
    1. Building codes: knowledge of national and local building codes that specifically apply to HMOs, such as fire doors, sound insulation, and emergency exits.
    2. Planning permissions: expertise in navigating planning permissions for converting properties into HMOs or constructing new HMO buildings.
  3. Safety regulations
    1. Fire safety: designing with an in-depth understanding of fire safety regulations, including fire blankets, alarms, and escape routes.
    2. Health and safety: ensuring the building design complies with health and safety regulations, particularly in areas like sanitation, ventilation, heating and accessibility.
  4. Utility management
    1. Separate utilities: planning for individual utility meters for electricity and gas to manage separate billing for tenants.
    2. Water and heating systems: designing efficient systems that can handle increased demand without failing.
  5. Aesthetic and functional design
    1. Durable materials: choosing materials that are durable and low maintenance, suitable for high-traffic areas in shared housing.
    2. Appeal and comfort: creating a design that is not only functional but also aesthetically pleasing to attract and retain tenants.
  6. Energy efficiency
    1. Sustainable design: incorporating energy-efficient and sustainable design principles to improve the property’s Energy Performance rating, which is crucial for rental properties.
  7. Tenant segmentation and privacy
    1. Soundproofing: implementing effective measures to ensure privacy and comfort for tenants living in close quarters.
    2. Private and shared spaces: strategically planning the layout to balance private and shared spaces, catering to the needs of various tenants.

When we undertake a feasibility study or create concept drawings, we consider the entire development process, anticipating potential challenges (e.g. objections) not only on the immediate next steps, such as planning, but also during the building regulation, construction, and licensing phases. We make sure the designs we propose are robust and ready to succeed through all these stages, not just the initial planning approval.

HOW TO EVALUATE ARCHITECTURAL EXPERTISE

Let’s say you’re ready to choose a developer for your HMO; this decision often boils down to whether to opt for a local or an out-of-town architect with wide-ranging presence. Each has its merits, of course, but for developments such as HMOs, choosing well-rounded expertise over proximity can be a game-changer:

LOCAL-ONLY ARCHITECTURAL RESOURCES

  • Proximity: Offers firsthand knowledge of local regulations and next-door availability.
  • Community Ties: May have strong relationships with local councils and businesses.
  • Potential Limitations:
    • Experience Scope: Primarily familiar with local standards, which might not translate well to the unique demands of HMOs or be unsuccessful at spotting opportunities for innovative solutions.
    • Resource Constraints: Smaller firms might lack the extensive resources and diverse expertise required for complex, multifaceted HMO projects.
    • Compliance Risks: Less exposure to the varied compliance challenges seen in different regions, potentially leading to design flaws or regulatory missteps.

NATION-WIDE ARCHITECTURAL EXPERIENCE AND RESOURCES

  • Wide-ranging Experience: Well-versed with both national and local standards, bringing a diverse portfolio that spans various development types and markets.
  • Rich Resource Pool: Access to a broader range of materials and technologies, as well as a professional team and specialist consultants.
  • Strategic Benefits:
    • Regulatory Grasp: Better equipped to navigate complex HMO regulations and changes, reducing the risk of compliance issues.
    • Innovative Solutions: Experience across different projects fosters more creative and effective design solutions.
    • Enhanced Marketability: Designs that appeal to a broader audience, potentially increasing the property’s investment returns.
    • Proven Systems and Processes: With established project management protocols, these firms can streamline operations, foresee potential delays, and adjust timelines proactively.
    • Commitment to Deadlines: A seasoned firm’s reputation is also built on delivering projects on time. This reliability makes them preferable for investors who need assurance that timeline commitments will be met.

A specialised architect with a nationwide practice has a rich knowledge base and ample resources that can significantly boost the success of HMO developments. At the end of the day, more than meeting local standards, your HMO needs to stand out in a highly competitive market.

SHOULD YOU CARE ABOUT YOUR ARCHITECT’S INSURANCE COVERAGE?

The level of insurance coverage your architect carries is not just a formality—it’s a crucial defence, particularly for property projects facing significant regulatory challenges. Understanding these aspects will help you mitigate risks that could derail your entire HMO investment.

Projects involving significant investment need extensive coverage. Professional indemnity insurance, for instance, protects against design errors and omissions, ensuring that any resulting financial fallout doesn’t end up on your balance sheet. Such protection allows, for instance, to manage rectification costs without financial strain on either party, keeping the project viable.

INSURANCE COVERAGE DIFFERENCES: LOCAL VS NON-LOCAL ARCHITECTS

One aspect often overlooked is that insurance coverage can differ significantly between local architects and larger, multi-location architectural firms:

  • Local-only architects might carry insurance that meets basic legal requirements, which could be insufficient for high-value projects. For an £800K HMO project, such basic coverage won’t fully protect against the scale of potential issues.
  • Multi-regional architects are more likely to have comprehensive policies tailored to large-scale projects, reaching up to £2M in coverage. With this level of insurance, your architect ensures better protection for larger projects and shows they’re ready to manage significant HMO developments without financial risk.

THE ROLE OF ARB AND RIBA IN ENSURING ARCHITECTURAL EXCELLENCE

In an investment where the complexity and regulatory barriers are high, such as the HMO property, working with a skilled architect who is not only insured but also well-regulated is an added layer of protection. This is where you look at the Architects Registration Board (ARB) and the Royal Institute of British Architects (RIBA).

ARB regulates the profession of architecture across the UK. By law, anyone using the title “architect” must be registered with the ARB ensuring they meet stringent educational and professional standards. While the affiliation is voluntary, RIBA members are often held to higher professional standards and have access to a wealth of resources that enhance their practice. This includes advanced training, latest industry insights, and access to indemnity insurance options that protect against potential design flaws and planning oversights.

For HMO investors, ARB and RIBA membership is an indication of enhanced project security and a higher standard of architectural output.

HOW TO SECURE YOUR HMO PROJECT FROM START TO END

Most investors will agree that managing project timelines effectively is just as crucial as the final aesthetic and functional outcomes. The ability of an architectural firm to handle its workload efficiently can materially affect the success of any development project.

Can your prospect architect effectively manage another project? Answering this question should be part of your due diligence. Whether it’s your first property or part of your portfolio strategy, getting your project done on schedule means you don’t get delayed to reap the rewards or profits. Still, you’re also mitigating risks such as financial overruns, which could compromise your project’s viability.

It’s not uncommon for local architectural firms, especially smaller ones, to take on more projects than they can realistically manage. This overbooking can lead to several issues, including:

  • Delayed deliveries: overextended architects may struggle to meet deadlines, which can cascade into delayed construction starts, increased costs, and missed market opportunities.
  • Compromised quality: when architects rush to juggle more than what they can, the attention to detail and the personalised focus a project requires can diminish, potentially affecting the overall quality and integrity of the design.
  • Increased stress: overbooking can create a high-pressure environment loaded with rushed decisions and a heightened risk for errors.

In contrast, a well-rounded architectural firm can bring a depth of knowledge and resources to your project, offering you the peace of mind of knowing your investment is managed to the highest standards. You want your project to stay on track, within budget, and aligned with your strategic goals, so what’s vital for the success of your project is choosing your architect based on their capacity to deliver on time without compromising on quality.

HOW TO ACHIEVE YOUR HMOs PROFITABILITY GOALS

Choosing a local architect might appear cost-effective and easier initially. Yet, it’s essential to consider the risks of long-term financial implications and how these can block your HMO from reaching its potential.

LONG-TERM COSTS OF ARCHITECTURAL LIMITED EXPERIENCE

Simply put, less experience in handling complex projects can lead to significant oversights in planning and execution. These errors might not only require costly corrections but could also mean:

  • Failure to comply with local building codes and regulations can result in legal penalties and costly redesigns.
  • Errors in the technical design leading to construction flaws that may not manifest until much later, potentially resulting in expensive repair work.
  • Architectural mistakes that can affect the functionality and aesthetic appeal of the property, reducing its marketability and potential returns.

INVESTMENT RETURNS OF WIDE-RANGING ARCHITECTURAL EXPERTISE

On the other hand, investing in architects with wide-ranging experience can help you mitigate risks, from delays to non-compliance and reduced benefits. Firms with a solid record and expertise are less likely to make costly errors. Their broader experience allows them to manage projects efficiently, bringing significant benefits to your investment:

  • Reduced risk of delays: nationwide expertise provides architects with a deep understanding of the many pitfalls that can cause project delays and how to navigate or avoid them effectively.
  • Higher quality outcomes: their broader understanding of design and construction can be directed at exceeding regulatory standards, enhancing the property’s long-term value.
  • Cost efficiency: by avoiding mistakes that require rework, the total project cost can be controlled more effectively, ensuring that the budget allocated provides the best return on investment.

WHY CHOOSING THE RIGHT ARCHITECT MATTERS

Choosing the right developer for your project shouldn’t be constrained by geography but guided by their ability to handle complex projects and add value to your property investment. Wide-ranging expertise brings a wealth of knowledge from working across various regions. By broadening the scope of selection beyond proximity, you can unlock superior outcomes, enhanced property values, and a more profitable investment portfolio.

At HMO Architects, we are equipped with adequate insurance coverage, experience with strict regulatory environments, and a history of on-time, successful planning approvals—all without compromising quality.

GET A FREE CONSULTATION WITH HMO ARCHITECTS

Don’t settle for the nearest option when you can have the best. Are you ready to lift your property investment to the next level?

Book a free consultation call to discuss your project’s specific needs and how our nationwide experience can benefit you. Our experience with complex property landscapes and commitment to top-tier architecture ensures your project is completed with a mark of excellence. Let’s transform your property vision into a lucrative reality.

Ryan Windsor

Published by Ryan Windsor
on 09/07/2024

Ryan Windsor, Development Director and co-founder of HMO Architect, brings over 15 years of specialised experience in HMO development to the table. Having consulted on nearly 2,200 projects, Ryan is a highly seasoned HMO landlord with a vast and influential property network. He began his real estate journey at just 17, rapidly amassing a wealth of experience that sets him apart in the industry. Beyond his professional successes, Ryan is passionately dedicated to giving back, leading numerous charitable initiatives that make a meaningful impact on local communities.