Types of Construction Projects
Construction is defined as “a process that consists of the building or assembling of infrastructure.” (See 1. below) On the other hand, a Construction Project “includes all material and work necessary for the construction of a finished structure for occupancy by End Customer. This includes site preparation, foundations, mechanical, electrical work, and any other work necessary to complete the project.” (See 2. below)
There are different types of construction projects:
Residential construction projects include houses, townhouses, apartments, condominiums, cottages, single unit dwellings and subdivisions. The housing designs are generally done by architects and engineers and the construction is executed by builders who hire subcontractors for structural, electrical, mechanical and other specialty work. This type of project must conform to local building authority regulations and codes of practice. Many new builders are attracted to residential projects because of its ease of entry in the real estate market. This makes it a highly competitive market with potentially high risks as well as high rewards.
Building construction is perhaps the most popular type of construction project. It is the process of adding structure to real property. Most of the projects are room additions and small renovations. Most new building construction projects are construction of sheltered enclosures with walk-in access for the purpose of housing people, equipment, machinery or supplies. It includes installation of utilities and equipment.
- Institutional and Commercial
Institutional and commercial building construction covers a great variety of project types and sizes such as hospitals and clinics, schools and universities, sports facilities and stadiums, large shopping centres and retail chain stores, light manufacturing plants and warehouses and skyscrapers for offices and hotels. Specialty architects and engineers are often hired for designing a particular type of building. This market segment has few competitors because of the high costs and greater sophistication of institutional and commercial buildings as compared to residential construction projects.
Industrial construction is only a small part of the whole construction industry nevertheless it is a very important part of the industry. These projects are generally owned by big, for-profit industrial corporations such as manufacturing, power generation, medicine, petroleum, etc.
- Specialized Industrial Construction
This type of construction project usually involves very large scale projects with a high degree of technological complexity such as nuclear power plants, chemical processing plants, steel mills and oil refineries.
- Highway Construction
Highway construction involves the construction, alteration, or repair of roads, highways, streets, alleys, runways, paths, parking areas, etc. It includes all incidental construction in conjunction with the highway construction project.
- Heavy Construction
Heavy construction projects usually involve projects that are not properly classified as either “building” or “highway.” Examples of this type of project would be: water and sewer line projects, dams, sewage treatment plants and facilities, flood control projects, dredging projects, and water treatment plants and facilities.