Project Charter

Project Charter

Project Purpose - The purpose of this project is to transform the fire damaged structure at 1527 Sylvan Terrace into a renovated rental property for the project sponsors. 

Measurable Project objectives - Complete renovations under the $48,000 budget and create a rental property that generates income as well as adds value to the neighborhood.

High Level Requirements:

3  Bedrooms

2 Full bath

Finish basement for 2nd living space

Full Kitchen remodel

Assumptions and Constraints - We will need to obtain the deed of the home through the closing process with the sponsor’s mortgage lender.  Need to obtain required building permit to proceed with renovation efforts.  We will also need to meet with the building inspector for the area of Wilkinsburg to ensure that all work meets or exceeds required standards.  

High-Level project Description and Boundaries -  Boundaries of the project include exterior “cosmetic” work. Interior work will not extend to room design (i.e. painting other than white and beige selections).  Project will not include any additions to the home or alterations to the blueprint layout.  Landscaping will only include clean-up and maintenance of existing bushes, trees, and lawn. 

High-Level Risk - The highest probable risk is discovering unforseen structural integrity due to the house burning in a fire thus creating issues requiring more material and labor expenditures.  We could also encounter weather risks that may delay select phases of work.  Speciality building materials including replacement windows, entrance doors, and kitchen cabinets have extended lead-times that cannot be scheduled with certainty.  Wilkinsburg code enforcement officers may stop project or certain phases of the project if construction methods or materials are unsatisfactory. 

Summary Milestone Schedule - 1)Close on the home 2) Secure 1st floor system with new engineered I-Joist to match existing 3)  Insulate and Drywall interior 4) Replace windows and doors 5) interior doors and trim 6) finish kitchen 7(Final) move in tenant(s).  We are unable to complete a timeframe for the proposed milestones and final deliverable as they are contingent upon closing on the home.

 

Summary Budget:

Purchase of the house and lot - $8,000-$10,000

Building Materials (insulation, drywall, framing, windows, doors) - $12,000-$15,000*

Kitchen materials and Labor - $4,500-$5,500

Interior Finish and Labor - $3,000-$3,500

Labor including waste removal - $10,000-$14,000

Total - $37,500-$48,000**

*Can vary depending upon phase inspections of building inspector (note that damaged electrical and plumbing was replaced or repaired by contractors before current owner abandoned project)

**$10,500 range given for unforseen structural damage and expected weather delays.

Stakeholder List (Internal only sign-off):

April Laliberte  Aptil Laliberte

Jeffrey Laliberte  Jeffrey Laliberte

Gwen Cameron  Gwen Cameron

Steven Williams  Steven Williams

Project Approval List -

The Co-Sponsors will have final say to determine overall success of the project.  The three highest priority requirements include:

1)    Renovations completed within budget

2)    Renovations pass building code

3)    Tenant paying rent and occupying before 2019

Assign Project Manager - Jeff Laliberte, Steven Williams, Gwen Cameron

Name and Authority of Sponsor(s) to approve the Charter - Jeff and April Laliberte, property buyers

Stakeholder Register

Name	Power/Interest	Internal/External	Role	Contact
April Laliberte	High/High	External	Co-Sponsor Customer	april.tagliaferri@gmail.com
Jeff Laliberte	High/High	Internal	PM Co-Sponsor	jeffrey.laliberte@chatham.edu
Steven Williams	High/High	Internal	PM	steven.williams@chatham.edu
Gwen Cameron	High/High	Internal	PM	gwen.cameron@chatham.edu
Dave Rojtas	Low/Low	External	Supplier	rojtasd.0233@84lumber.com
Craig Schwartz	Low/High	External	General Contractor	412-638-2574
Wilkinsburg Borough	High/Low	External	Code Enforcement	412-244-2922
Residents of Sylvan Terrace	Low/High	External	Residents affected by the home renovations	Direct
First National Bank	Low/High	External	Lender	724-938-3695
Future Tenent(s)	Unaware	External	User of finished product	Unknown

Below is the copy of the proposal

Potential Project Proposal

Student Name:  Jeff Laliberte                                                             Date: Jan 9, 2018

Potential Project Name:

1527 Sylvan Terrace Renovation

Project Sponsor’s Name, Organization, and Contact Information:

April and Jeff Laliberte 724/681-2591

Justification or Reason for the Project:

Convert fire damaged home into a rental property that will provide consistent future income.  It will also help increase the value of our current home that we plan on renting.

Main Project Deliverables:

Complete renovation of the home within predetermined budget.  Home renovation to include energy efficient and sustainable building materials.  Renovations to be completed (move-in ready) by October 1, 2018 to begin producing return on investment for project sponsor.  Complete a modern renovation that will require little maintenance that will attract potential residents.

Required Team Skills:

Construction management, project estimating, procurement, sustainable building practices, supply chain management, contractor scheduling, attention to detail, and ability to work with a team on varying schedules

 

Main Team Tasks/Roles:

-Develop an itemized material take-off and maintain adequate stock of materials to keep crews working without disruption (excluding weather delays).

-Obtain, process, and be able to produce any documentation to the city or building inspector to keep work unimpeded.

-Purchase energy efficient and sustainable building products where available ie. Insulation, windows, exterior doors, etc.

-Maintain schedules and to ensure that different phases of work transition with little delay.

My Desired Role and Why:

My desired role would be the project manager.  I have several years of experience in construction management, supply chain management and a working knowledge of construction methods.  I have previously worked for a building materials supplier and maintain great relationships with ex co-workers providing access to cheap supplies needed for the project.  I also have access to an extensive network of specialized contractors that would be needed throughout various phases of the project.  I would also be a co-sponsor of this project, so I will have a vested interest to ensure project success that provides sustained future benefits.

Project Sales Pitch:

(You must convince at two and up to four of your classmates to work on this project with you. Write a short sales pitch to read in class.)

                  I am proposing the renovation of 1527 Sylvan terrace, Pittsburgh PA 15221.  The home was damaged in a fire in Feb of 2017 and has since been vacant.  The home has suffered major damage including minor exterior cosmetics (smoke damage to brick and roofing removal), all means of egress were removed by first responders, complete interior smoke and fire damage and minor structural damage to bottom floor system.  The structure was cleaned out and assessed by a disaster restoration service and deemed to be repairable at “moderate cost”. The structure lies adjacent to my home and has become a burden to landscaping, maintenance, current home value, and not producing an income for both the city and current owner.

                  My wife and I are in the process of purchasing the structure and decided against demolishing the structure and build an addition to our current home on a double lot to renovate the home and use it as an additional source of income.  We believe that while the home will sell for more than the initial acquisition costs plus expected renovation costs, the consistent income of a rental provides a greater net present value.  The benefits will also expand to neighboring homes as the property value of the immediate area will increase from enhanced curbside appeal and a higher occupancy rate of the street.

                   The structure has 3 bedrooms, two baths, finished basement, a completed back deck, attached garage and lies on a .18-acre lot.  The area of Pittsburgh is experiencing growth and is becoming more desirable due to access to the city as well as leisure activities in the surrounding neighborhoods.  I believe that this investment will provide great future returns and the payback period on the acquisition and renovations will be less than 7 years at current rental rates.