Utility Solutions

Case Studies

PMB Holdings

Commercial property and leisure investment group PMBH turned to us to manage the costs and risks of a Buckinghamshire redevelopment. We delivered, putting control back in their hands and generating a total saving of £59k.

Original cost: £142k
Noveus delivered cost: £83k
Client saving: £59k
Asset Value Realised: £36k

Challenge

PMB Holdings was leading a two-phase redevelopment of a commercial site in Amersham and needed Phase 1 to make provision for the power, gas, water and telecoms networks required for Phase 2. Quotations from incumbent utility providers totalled £142k and required a single upfront payment, with no transparency or market comparison available.

Solution

We provided a risk and cost-managed solution. After establishing that the local networks had sufficient capacity for both phases, we set about defining how Phase 1 power could be supplied while protecting Phase 2 capacity. We also competitively bid the power networks to Independent Distribution Network Operators (IDNOs) to secure the maximum asset value, while also inviting tenders for the contestable works to leverage the best costs and contract conditions for the client.

Adding value

As well as squeezing Phase 1 expenditure and securing Phase 2 capacity, we captured an asset value of 30% of the power and gas infrastructure costs for PMB Holdings. The competitive contestable works provided the client with programme certainty and contributed towards a 14% reduction in the total cost for the contestable works.

“Noveus - allowed us to challenge the parameters set by the utility provider, limiting expenditure and risk to a point where the programme became deliverable.”

Johnny de Lisle, Director, PMB Holdings

“PMBH were presented with a ‘take-it or leave-it’ situation by the utility provider. We helped them determine that Phase 2 capacity could be protected during Phase 1 and considerably reduced costs.”

Tony Dodds, Noveus Limited

www.pmbh.com